Objectives: * achieve leading market share in each served market in order to benefit from ad and logistics synergies * resist take over attempt Current Business Strategy * In retail stores, they measure by per unit square foot to measure capacity( exhibit 3b) * They sell brand name product * Cut commissions * Customer survey to support customer satisfaction * Switched management teams. * Invested in the POS system * Store remodeling, ex. Expanding to Canada, with small stores Evaluate External analysis * Market: is massive, growing at 8 % a year forces: * Rivalry: – Cost circuit city more to get out of business – Number of the competitors; and revenue are big, these will intense the rivalry – Product mix: there is a lot of product differentiation, ability to differentiate, can focus on different target market.
This makes the market rivalry less intense. – Customer services is declining, could lead to increasing? * Barrier to entry: – not hard to enter the market – not hard to open a specialty electronic store; no need to special skills, and no need for massive inventory Brand loyalty to the product not the store Substitute for electronic retail * Ebay, online ( not very competitive, not a strong force) * Customer * No brand loyalty, low switching cost * Purchase dispersed * Demand is not declining * Supplier * Specific supplier are required * Fast and efficient supply chain * Require good relationship with supplier is critical (ex DVD sales) * No shortage in supplier
The Essay on Local Branch Customer Product Supplier
Overview. The process is designed to handle the interaction with customers and suppliers, and also deals with stock control. Invoice and payment data is recorded. For clarity I have noted down the following: o Head Office consists of - Product Management Finance Sales A Local Branch consists of - A Local Office Warehouse Distribution Preliminary List of Entities. In my top-down analysis of the ...
