INTRODUCTION
Haier is an appliance company based in China with worldwide operations. It is a well-known brand for both white and black goods. It owns a total market share of 6% in the world making it second largest refrigerator provider. Haier is known for its production of niche products, which makes it an outstanding position in the market. It has focused on staffing local population anytime it enters an international market. It believes that the local population has an outstanding knowledge of the market. It also focuses on bettering the environment of the city or country where it’s having its productions thus receiving a good carbon rating.
PRIMARY PROBLEM IDENTIFICATION
Since its conception, Haier has specialized in the electronic product
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First, Haier needs to do an operational reengineering which implies changing some of the predictable marketing strategies and embracing diverse and all round strategies to be able to remain firm and reclaim their diminishing market name. Second, they need to reconstruct their services blueprints ranging from the commerce flow, capital flow, material flows to the overseas. With this, they can be able to maintain an upper hand in the market, minimizing competitors blow on the face and in turn retaliating with a harder one. Third, Haier should embrace E-commerce and concentrate on making this a core strategy since the current world has greatly embraced E-commerce. With this, a great market percentage will also be …show more content…
They should maintain their strategy to be in the niche market of compact refrigerator for several reasons. First, they are already doing great in the US niche market producing 30% of total international sales, which establishes them as the second largest provider in the market. There is no need to reorganize its position when the business is already tapping good revenues. Additionally, there are several key and major players in the markets making it difficult to pierce this segment. As Haier states, “we don’t look to play as a competitive match since they are already bigger than we are”. Haier has significantly established its brand image as the compact fridge provider so as to avoid the big shots competition. Consumers
How could Curtis Automotive Hoist (CAH) maintain its fast growth and prestigious brand image with expanded market share given its limited financial and human resources? Should it adopt a market penetration strategy in US or should it follow a market development strategy and expand to Europe? If it adopts the market penetration strategy, should it approach the US market through the establishment of a sales office or through enhanced joint efforts with its current distributor? If entering Europe is desired, should CAH start with licensing or joint venture agreement with Bar Maisse or through direct investment?
(c) Hydrogenics Corporation financed its assets mostly through debt. In 2013, it had 84.6% debt and 15.4% equity. Similarly in 2012, it had 89.7% debt and 10.3% equity. Its debt to equity ratio was 5.50 times and 8.72 times in 2013 and 2012 respectively. The debt to equity ratio of Hydrogenics Corporation is a concern to creditors. Potential creditors might be reluctant to extend credit to the company.
The popularity of YETI is increasing, which results in a constant increase in demand for our products. YETI can be viewed as a necessity, meaning that the more disposable income an individual has results in an increase to YETI product purchases. Consumers that normally would never spend as much as $400 on a cooler are now also purchasing YETI coolers due to constant exposure to YETI products and the perceived benefits of owning our products. YETI also has the ability and opportunity to reach untapped markets overseas as our products can be used by anyone that has a need to keep perishables cold for an extended period of
This paper is an analysis of the ethical business decision matrix developed by The George S. May Company (May), a management-consulting firm. The paper will also compare how these guidelines were used by John D. Beckett (Beckett) in his company and how the author’s firm, PricewaterhouseCoopers, LLC (PwC), uses them. The guidelines are meant to be used by employees. These guidelines are specifically a measure of moral and ethical principles tied to business ethics in acceptability of right and wrong behaviour in the workplace.
Lowe’s Companies, Inc. is the fourteenth largest retailer in America, and overall the world’s second largest home improvement retailer. They are the 108th ranked corporation on the Fortune 500 top corporations list. With an impressive in store stock of 40,000 home improvement items on hand, ranging from lumber to Home décor items, plus an additional 400,000 home improvement items available through a special order program. Lowe’s provides a onetime stop for all home improvement needs, for both the Do-It-Yourselfer, and the ever-expanding market of the Commercial Business Customer.
Inventory would no longer be a good option for them since holding inventory in a rather quick selling environment is deem bad for the company, showing inability to sell based on consumer demand and has to pay inventory cost. They would also need to implement and focus more on consumer demand, increasing the need to hire market researchers and so on to evaluate the right amount of products to supply. Great customer service will be required in order to satisfy large amount of end users rather than just dealing with a few B2B
The author’s of this paper will describe how The Home Depot functions in globalized world and keeps pace with the world business community through innovation and diversity. Lastly, the authors will discuss hoe The Home Depot is going “green” with the help of today’s technology.
Sears has seen many different changes in business and has had to adjust to t...
Dansk Designs Ltd., founded in 1955, is a company that markets stainless steel flatware. The firm traditionally followed a strategy of differentiation. They produce high quality products for the “top of the table”. Their goal was to reach a small market segment, which consisted of upper class, prestigious customers. Dansk Designs wanted to sell the concept of the Dansk brand, and believed their consumers would purchase the Dansk products because of the prominent brand name and because the products were the very best in taste and quality. Ted Nierenberg, the founder of Dansk Designs has recently decided that he wants to keep Dansk growing at 15% to 20% per year. Nierenberg feels as if his current product line will not provide sufficient growth to meet his objectives, and believes it is in the company’s best interest to introduce a new line of house ware products called Dansk Gourmet Designs Ltd. Nierenberg believes they should market this new line to a much wider group of consumers at competitive prices. However, I believe that although expanding into a new market with a new product line will increase short-term revenues, in the long run it will be detrimental because the new line will dilute the brand identity of Dansk Designs. If Nierenberg wants to grow every year 15% to 20%, I believe he should consider ways to lower costs instead of increasing volume and revenues.
After a 4 P analysis of the company one found that it found itself in a luxury market where product quality and constant innovation are key points for the success. That is why the production process and its design can take even months. Product line is extensive however it is only conformed of high priced products. Price in this case is a guarantee of the quality present in the product. Moreover, high pricing represent an element of differentiation that the customer appreciates. However this is not a setback, LVMH has managed to have world wide presence and success. To accomplish it its selective retailing division is of high importance. Nevertheless, promotion posses the major challenge since its through this that the image of the product its transmitted that is why the company poses a major part of its budget in this section. It is Important to note that the percentage allocated is higher than those of most competitors.
Nevertheless, it must “defend” its current market share if not increase it, by maintaining premium quality and develop innovative products. The marketing mix strategies will effectively achieve targeted revenue and profitability in the near future.
The case looks at prescriptive strategy as applied to multi-product group of companies. Unilever is based in over a hundred countries where multiple products are being made in each. However, the market is mature which means that growth is stagnant and innovation is almost non-existent. In order to improve on growth and sales, the strategies that are needed look at how to come up with new products that have high profit margins and penetrate new markets. The prescriptive approach was used to come with a strategy to improve growth and profit. In order to improve on innovation, both the prescriptive and emergent strategies can be used since both support innovation. From the case study, not much profit was made when the ‘Path to Growth’ strategy was first implemented (2001-2004). The strategy was initially based on cost cutting. There was a need to also build volumes through existing portfolio of branded products through innovation and marketing. By focusing on increasing sales in developing countries where growth prospects were high and increasing investment in personal care products where profit margins were higher, it was possible to improve the profit portfolio.
I would recommend the continual implementation of the current strategy. The strategy is working and there is no reason to deviate from it. The company has been very successful in expanding its operations in other countries. I would recommend that the company continue to do that. I would also recommend spending extra resources in the development of new products to keep a competitive advantage over other competitions. The competition is only going to rise because the market has not reached saturation yet. In order to stay ahead of the competition, the company needs to keep researching new products, and stay in sync with the ever changing technology.
This strategy is very much about the business which is carried out as usual. In this strategy the marketer is focusing on both the product and the market opportunity.
With the intensifying competition in the home appliances market, China’s consumers’ consumption behavior was gradually becoming rational and mature. They would pay more attention to product quality and after-sale service, and the price factor was becoming less influential. To keep pace with the times, only focusing on low price is far from enough to maintain channel leadership.