There is also little difference in the supplier’s products. Overall Analysis of Industry Attractiveness Overall, the computer industry is relatively attractive. The potential for future growth is high but new competitors must face the threat posed by already established, well-known brands. There are relatively few substitutes for computers and the power of suppliers and buyers is low. New companies would likely be able to successfully yield a profit.
Consumer-products companies face weak buyer power because customers are fragmented and have little influence on price or product. But if we consider the buyers of consumer products to be retailers rather than individuals, then these firms face very strong buyer power. Retailers like CoolBlog are able to negotiate for pricing with companies like Chatime because they purchase and sell their product in cheap price. Supplier Power. More than likely, consumer-products companies face some amount of supplier power simply because of the costs they incu... ... middle of paper ... ... part from that, the threat of substitutes.
Sometimes managerial decisions affect the life of products in this case Product Life Cycle is not playing any role. Product life cycle is very fruitful for larger firms and corporations, but it is not hundred percent accurate tools to predict the life cycle and sales of products in all the situations. SIGNIFICANCE OF PRODUCT LIFE-CYCLE The product life cycle is an integral process in management of any product and revolves around the introduction, growth, maturity and decline stages. For emerging businesses, the cycle concept is an ideal tool that enables marketers to forecast future sales and plan new marketing strategies. The marketer’s marketing objectives depend mostly on where the product is in its life cycle.
Marketing spend has to be monitored carefully, since any significant moves are likely to be copied by competitors such as differentiation, and price reductions. Thus if industries sets minimum prices to avoid ‘pyrrhic’ price victory . Although this Decline Stage have not yet been reached regarding Hi-fi’s surely sales have decreased once other products entered the market. Such products are CD players, iPod’s, computers that can play a CD, portable CD and Radios. Hence the market is shrinking, reducing the overall amount of profit that can be shared amongst the remaining competitors.
Sometimes managerial decisions affect the life of products in this case Product Life Cycle is not playing any role. Product life cycle is very fruitful for larger firms and corporations, but it is not hundred percent accurate tools to predict the life cycle and sales of products in all the situations. SIGNIFICANCE OF PRODUCT LIFE-CYCLE The product life cycle is an integral process in management of any product and revolves around the introduction, growth, maturity and decline stages. For emerging businesses, the cycle concept is an ideal tool that enables marketers to forecast future sales and plan new marketing strategies. The marketer’s marketing objectives depend
In contrast, the brand image of Motorola in long-term is "traditional", "commercial" and "high-quality for business" (Elkin 4). However, Luca Petruzzellis figures out that Motorola has a weak brand effect of attracting the purchase of consumers compared with Apple (627). Accordingly, on the one hand, Motorola develops its marketing strategy with the factor that its brand image is strong as same as Apple so that it can successfully attract the attentions of Apple 's loyal customers. On the other hand, the real market performance in Italy indicates that Motorola 's brand image is significantly weaker than Apple. These two scenes support that Motorola fails to achieve the consistency associated with its marketing strategy and brand
Plus its starting price was set probably too high. Not every one can afford it and thus no matter the quality and advantages, sales stay low. There is lack of promotion, because if there are no sales, companies do not want to invest in ads in countries with low potential. Digital cameras can definitely succeed for its mass targeting but sellers need to develop some strategy to attract customers. This product falls into low learning category for its easy manipulation and knowledge of its perspective users.
What aspects make products better than other competitors? While the mission statement is appealing, it only favors a certain group of customers. Therefore, the environmental friendly competition and financial competition result in the long-term concern: marketing strategy. How should Sony Ericsson plan their marketing strategy to remain competitive in the market? Brand Competition and Financial Surges on Ordinary Earning Report The global economy remained remarkably weak and there was ... ... middle of paper ... ...l communication, March 9, 2010).
Concurrently, suppliers of computing and programming threaten forward integration due to the small size of software development projects compared to a firms overall business. Suppliers create the necessary technology to process tax returns making forward integration relatively cheap. Forward integration also provides additional revenue streams, such as when Intuit purchased TurboTax and Lacrete to increase Intuits product differentiation.  Conversely, buyer power is minimal. Buyers that integrate backwards and consume tax software companies do not profit directly because tax filing is a periodi... ... middle of paper ... ... risks added to GD’s line of business is its ability to forecast pricing to cover costs, its foreign contracts are subject to sovereign risk, R&D expenditures may not result in profits, and margins are considerably leveraged on the cost of materials.
Even though B&D was a leader in the two segments, it failed to succeed in the Profession-Tradesmen segment for following reasons. The known use of the B&D brand tools is more for “at home” use needs. Its weak point was where it failed to capitalize a very profitable distribution channel; membership clubs, while on the other hand Makita showed to be very successful in this major segment. This is why Makita is well above B&D, since it only focuses on one but major segment of the market. Joseph Galli has three different options to put in action towards the improvement of his brand; harvesting Professional-Tradesmen Segment, Sub-Branding in Professional-Tradesmen Segment or Dropping the Black and Decker name from the Professional-Tradesmen Segment.