National Geographic Society The Problem Essay Position Statement The key managerial problem which John Fahey is facing is to decide as to whom the e-commerce head should report, in the current organizational structure of NGS, so that the new position gives him enough freedom to leverage the growth opportunities of the e-commerce platform efficiently. How much span of control for the new head is required to cope with declining print media sales and build the right balance between allocating investments and revenue allocations across different product units of the organisation? He should also have enough exposure to build strong customer relationships and brand loyalty by improving the membership program using e-commerce. Diagnosis Fahey is facing the declining sales of print media as in North America, NG magazine revenues fell from $23 billion in 2004 to $20 billion in 2009. Advertising sales have declined by 30-40% in 2009 as compared to 2007.
Today in the computer hardware industry there is intense competition and the only way to gain market share is to take customers away from the competition; Dell, Gateway, and HP/ Compaq. Dell runs a direct-to-customer business which offers consumers lower prices, increased customization, and outstanding customer support. Gateway offers a service similar to Dell, but complements it with brick and mortar locations where customers can interact with sales representatives. HP/Compaq plans to focus on innovation in order to keep the large customer base they have already attained. In the software sector, the competitor base is rather different where one company, Microsoft, has substantial market share on PC based machines.
According to Mr. Dell “Dell get closer with its large customer by using “Premier Pages” which is a paperless ordering process for configuration, ordering, services, support, and customized PCs according to customer’s need” Explain how an ERP system could help Dell gain business intelligence. Using ERP (Enterprise Resource Planning) is essential in making decisions for companies, in this case DELL. DELL is known worldwide and the demand is so enormous for this company that the monitoring of orders and the reductions of waste and stock is very important to have always profit. Therefore to keep its customers happy, they must use ERP to help them plan for the future. Instead of having departments work individually, ERP helps them interact and help each other for the good of the company.
Discussion and Analysis Marketing strategy involves various strategies for increasing the limited resources of the company in order to improve their opportunities in sales and achieving sustainable competitive benefit. Under B2C market, the business strategy is formed through market research, along with the needs, competitors’ products, attitude evaluated along with distribution, packaging and sales of the product (McDonald & Wilson, 2011). Marketing is relating with maintained creating greater demand, the business to Consumer (B2C) market research is the research which is conducted with the consumers regarding businesses. This is also known as ‘Consumer
As an example, a company needs to advertise their goods to market the products and they have the marketing department to handle the task. But, the problem is, they want the advertising in the up-to-date level that was beyond their capability. So, the company was hiring tan advertising company to complete their needs. Moreover, outsourcing can be more affordable to purchase goods from the others company with some benefit compared to produce the goods by internally. As an example, Dell company, they was purchase some of the computers components from others manufacturer to reduce the manufacturing and production cost.
Also as technology changes very fast and some technological equipment have short lifecycle, Dell finally comes up with equipment to cope with those problems. Since Dell can forecast the sales by communicating with its customers, to achieve build-to-order model, Dell realizes that they need to improve its operation and supply chain. The greatest challenge of build-to-order model is lead-time. Customers do not like to wait or hear an excuse of any delay. Thus to avoid dissatisfying the customers, Dell decided to create its integrated supply chain.
The paper then concludes that reputation management should be an ongoing process for companies. To withstand turbulence negative events, companies like Wal -Mart need to enhance their image and credibility in an ongoing cam... ... middle of paper ... ... of this trend can have a great impact on the company performance. Due to the diminishing reputation and emerging negative cases the company is facing hurdles to improve its operations and expansion. Conclusion and Recommendation To save itself Wal-Mart works hard to gain the confidence and trust of the American people. In order to maintain growth in the United States Wal-Mart needs to gain the business of the more affluent customer; a customer that can take social issues into consideration before they shop.
• Improve – Improve their return on capital employed. Pre-tax return on capital employed (ROCE) rose to 20.8 percent in 2012. ROCE is a suitable benchmark for them because a result of lower of ROCE might occur in each year and the longer term shareholders expect a return over their risk. • Profit – Increase their operating margins. Group operating margins grew to 12.8 percent of sales.
With more business competition the general public will benefit because of the increased probability of price wars and more opportunity for critical innovation in the industry. Also, the eventual decision made by the government concerning the future of Microsoft will play a key role in future public approval ratings. Empirically speaking, the companies, an... ... middle of paper ... ... create an unhealthy, unbalanced market place for computer and computer software industry. The consequences are too dire to let Microsoft go on like it has in the past. In conclusion, something has to be done to create a more healthy business environment for all people affected by this case.
Whether this is a threat or not is still unknown. If the case was that PDAs substitute laptops, it would be a threat to Dell’s laptop business, but not to the entire Company if Dell keeps improving in the production of PDAs. To conclude, in order for Dell to compete efficiently in the laptop industry in the future, it needs to take advantage of all of the above opportunities. Consumers are becoming increasingly more demanding and price-sensitive. The next generation laptop must be consistent with the relevant trends affecting the industry today.