...Nike in the Action Sports Market The action sports industry serves a niche market. Only in recent years have action sports become mainstream and their athletes widely recognized. Similar to the music industry, it has been challenging to market to this “underground” demographic, as retailers seek profit, while consumers seek scarce products. Skaters, snowboarders, bikers, etc. desire one-of-a-kind or limited-edition active wear that can only be found at local shops. Much like music moguls want to be the first to hear new music, action sports athletes want to be among the first and the few to own specialized sports gear. This is where Nike has faced its greatest challenge—balancing the company’s desire to make a profit with the target market’s desire to remain “niche” or “underground.” Though Nike has been in the action sports industry for nearly 10 years now, it has only seen success in the market recently. Nike’s early attempts to enter the market were scoffed by counter-campaigns such as one competitor’s “Don’t Do It” slogan. Nike’s early attempts to make action sports shoes failed, in part because the brand was seen as “too corporate” for the underground lifestyle of athletes, and because the shoes lacked the quality athletes desired. Nike nearly offended the industry with patronizing commercials back in the 1990s, another failed attempt to reach the demographic. Nike needed to realize that they weren’t just selling shoes; they were selling a lifestyle, a...
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...ON INTERNET KNOWLEDGE OBJECTIVES 1. Define competitors, competitive rivalry, competitive behavior, and competitive dynamics. 2. Describe market commonality and resource similarity as the building blocks of a competitor analysis. 3. Explain awareness, motivation, and ability as drivers of competitive behavior. 4. Discuss factors affecting the likelihood a competitor will take competitive actions. 5. Discuss factors affecting the likelihood a competitor will respond to actions taken against it. 6. Explain competitive dynamics in slow-cycle, fast-cycle and standard-cycle markets. CHAPTER OUTLINE Opening Case Competition Between Hewlett-Packard and Dell: The Battle Rages On A MODEL OF COMPETITIVE RIVALRY COMPETITOR ANALYSIS Market Commonality Resource Similarity DRIVERS OF COMPETITIVE ACTIONS AND RESPONSES Strategic Focus Who Will Win the Competitive Battles Between Netflix and Blockbuster? COMPETITIVE RIVALRY Strategic and Tactical Actions Strategic Focus Using Aggressive Pricing as a Tactical Action at Wal-Mart LIKELIHOOD OF ATTACK First-Mover Incentives Organizational Size Quality LIKELIHOOD OF RESPONSE Type of Competitive Action Actor’s Reputation Dependence on the Market Popped the Top? COMPETITIVE DYNAMICS Slow-Cycle Markets Fast-Cycle Markets Standard-Cycle Markets SUMMARY REVIEW QUESTIONS EXPERIENTIAL EXERCISES NOTES LECTURE NOTES Chapter Introduction: The competitive landscape of the twenty-first...
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...commitments and actions the firm uses to gain a competitive advantage by exploiting core competencies in specific product markets Capability- the capacity for a set of resources to perform a task or an activity in an integrative manner Competitive action- a strategic or tactical action the firm takes to build or defend its competitive advantages or improve tis market position Competitive Advantage- when it implements a strategy that creates superior value for customers and competitors are unable to duplicate or find too costly to try to imitate Competitive behavior- set of competitive actions and responses a given firm takes to build or defend its competitive advantages and to improve its market position Competitive dynamics- refer to all competitive behaviors—that is, the total set of actions and responses taken by all firms competing within a market Competitive response- a strategic or tactical action the firm takes to counter the effects of a competitor’s competitive action Competitive rivalry- the ongoing set of competitive actions and competitive responses that occur among firms as they maneuver for an advantageous market position Competitor Analysis – how companies gather and interpret information about their competitors Competitor Intelligence – the set of data and information the firm gathers to better understand and anticipate competitor’s objectives, strategies, assumptions, and capabilities Competitors- are firms operating in the same market, offering similar...
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...VIETNAM TOURISM MARKETING STRATEGY TO 2020 & ACTION PLAN: 2013-2015 (PROPOSED) Executive Summary Developed by: European Union funded Environmentally & Socially Responsible Tourism (ESRT) Capacity Development Programme Vietnam Tourism Marketing Strategy To 2020 & Action Plan: 2013-2015 (Proposed) Executive Summary Page 1 © 2013 Environmentally and Socially Responsible Tourism Capacity Development Programme This publication has been produced with the assistance of the European Union funded Environmentally and Socially Responsible Tourism Capacity Development Programme (ESRT). The content of this publication is the sole responsibility of the ESRT programme and can in no way be taken to reflect the views of the European Union. The European Union and ESRT do not guarantee the accuracy of the data included in this publication and accept no responsibility for any consequence of their use. By making any designation of our reference to a particular territory or geographic area, or by using the term “country” in this document, ESRT and the EU do not intend to make any judgements as to the legal or other status of any territory or area. ESRT and the EU encourage printing or copying exclusively for personal and non-commercial use with proper acknowledgement of ESRT and the EU. Users are restricted from reselling, redistributing, or creating derivative works for commercial purposes without the express, written consent of ESRT and the EU. Environmentally...
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...Business Description When describing the industry, discuss the present outlook as well as future possibilities. You should also provide information on all the various markets within the indust Market Strategies A market analysis forces the entrepreneur to become familiar with all aspects of the market so that the target market can be defined and the company can be positioned in order to garner its share of sales.(market research for market and competitors) Competitive Analysis strategies that will provide you with a distinct advantage(concept store), the barriers that can be developed in order to prevent competition from entering your market, and any weaknesses that can be exploited within the product development cycle. Design & Development Plan The purpose of the design and development plan section is to provide investors with a description of the product's design, chart its development within the context of production, marketing and the company itself, and create a development budget that will enable the company to reach its goals. Operations & Management Plan The operations and management plan is designed to describe just how the business functions on a continuing basis. The operations plan will highlight the logistics of the organization such as the various responsibilities of the management team, the tasks assigned to each division within the company, and capital and expense requirements related to the operations of the business.(Designers...
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...Markets as Politics: A Political-Cultural Approach to Market Institutions Author: Neil Fligstein in: American Sociological Review, 1996, Vol. 61 (August:656-673) personal summary Markets are social constructions that reflect the unique political-cultural construction of their firms and nations. The creation of markets implies societal solutions to the problems of property rights, governance structures, conceptions of control, and rules of exchange. These solutions are then linked to current perspectives in economic sociology: networks, population ecology, institutional theory, and the problem of constructing action. The term "markets as politics" is used in two dimensions: a) the formation of markets is a part of state-building and b) processes within a market which reflect two types of political projects: the internal firm power struggle (who will control the organisation and how it will be organised) and the power struggle across firms to control markets. Instability and Actors There are three phases in market formation: emergence, stability, and crisis. Differing conditions of market stability produce different kinds of politics. A stable market is defined as a market in which the identities and status hierarchy of firms (the incumbents and the challengers) are well known and a conception of control that guides actors who lead firms is shared. Markets in crisis are susceptible to transformation. There are two forms of potential sources of instability in markets: (1) the tendency...
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...Overview I Market Analysis I Industry Analysis I Problems Plan of Action I Recommended Approach I Conclusion Lack of internal mgt exposure Wall street’s confiden ce Stock Price Chen’s Attitude China’s Local taste GAAP Cost 3. 3. Company Overview Introduction I Company Overview I Market Analysis I Industry Analysis I ProblemsI Plan of Action I Recommended Approach I Conclusion - Mia replacing departing founder/CEO of the company - 3500 quick casual - Franchised - Publicly traded - Flexible marketing and menus in America - Domestic demand - High quality fast food - Customer oriented policies - Risk taker - Organic ingredients - Keeping up to date (CCO) - Interior design Forget today’s profit. Have a positive impact on customers U.S.A 4. 4. Market Analysis Introduction I Company Overview I Market Analysis I Industry Analysis I Problems I Plan of Action I Recommended Approach I Conclusion Increasing GDP Stock Market Speculation Lucrative Market Sticking to strategy of international expansion To check the untapped potential Success of competitors like KFC , Mc Donald Local market Saturation Why China ? 5. 5. Industry Analysis Introduction I Company Overview I Market Analysis I Industry Analysis I Problems I Plan of Action I Recommended Approach I Conclusion China : Food intake is increasing Eating habits are different than Americans Largest producer and consumer of Rice 6. 6. Q1) What is your Evaluation of the way Levendary Café has entered the China Market? Introduction...
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...1 M5: INTERNATIONAL MARKETING DIAGEO: INNOVATING FOR AFRICA ESIC: MDCI 35 GROUP 2 Alaoui, Ismal Lei, Li Aissi, Meriem Maioui, Mohamed Noor Blal, Mehdi Sierra Alonso, Eduardo Domínguez Pérez, Roberto 2 INDEX 1. Situation To Date 1. 2. 3. 4. 5. 6. 7. 8. Company Size Product Range 2013 Results Geographical Scope Sales by Geographical Areas African Markets ROI by Geographical Area Domestic Market 3. 2014 Marketing Plans for African Markets 1. 2014 Objectives 2. Strategy 3. Product Actions 1. 2. 3. 4. 5. 4. Strengths Weaknesses Opportunities Threats 6. Areas of Distribution Points of Sale Correction of On-trade vs. Off-trade Imbalance Share of Wallet Promotion Actions 1. Bibliography MCDI 35 Assessment 4 – Group 5 Shipment Retail Price Estimates (Off-trade) Retail Price vs. Competition 2014 Sales Needed to Reach Objective Placement Actions 1. 2. 3. 4. 2. SWOT 1. 2. 3. 4. Pricing Actions 1. 2. 3. 4. 5. New Product Type of Consumer Region Ansoff Matrix Local Production vs Import Campaign 3 1.1. Situation To Date: Company size • HQ in United Kingdom. • Over 33,000 employees • 10 subsidiaries + 1 associate (Moët Hennessy) • Property, plants & equipment = 945 million GBP (30 Jun 2013) • Goodwill value = 1,377 million GBP (30 Jun 2013) MCDI 35 Assessment 5 – Group 2 Annual Report 2013 – Diageo. https://www.diageo.com/.../Diageo_AR_2013_LoRes_MASTER_FINAL.pdf 4 1.2. Situation To Date: Product Range 30 brands Brands combined value = 6,244 million GBP (30...
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...QUIZ 2 tips ● General Environment Dimensions in the broader society that influence an industry and the firms within it ● Industry Environment-more direct effect on strategy Set of factors that directly influences a firm and its competitive actions and response ● Competitor Environment Focuses on each company against which a firm directly competes ●The General Environment is grouped into seven environmental segments: page 38 [1] Demographic – population, age, geographic distribution [2] Economic - Inflation and interest rates [3] Political/Legal – org & gov trying to influence each other AntiTrust & Tax laws, deregulation policies [4] Sociocultural – greatest impact, workforce diversity, quality of worklife [5] Technological-Product innovations [6] Global-trading between countries, critical global markets [7] Physical-energy consumption ●To successfully deal with uncertainty in the external environment and achieve strategic competitiveness, firms must be aware of and understand these segments. EXTERNAL ENVIRONMENTAL ANALYSIS-more important for technology based companies • Firms engage in external environmental analysis to better understand and cope with their environments. • This analysis has four parts: - • Scanning (cookies on websites) –studying all segments in the general enviroment • monitoring, -events and trends • forecasting-projections of future trends • assessing.-determine timing and significance of trends INDUSTRY ENVIRONMENT ANALYSIS ...
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...Value Alignment BUS/475 Value Alignment Whole Foods Market, a natural food supermarket, was originally founded in Austin, Texas in 1980. When they opened there was a very small staff at one store location and there were fewer than a dozen other natural foods supermarkets available in the United States. Over the years the company has grown substantially. Much of their success can be attributed to their strong mission statement and core values for which they promote and proudly advocate. Whole Foods mission is to “to be able to be a grocery store featuring good, wholesome food; not a health food store filled with pills and potions” (Whole Foods, 2013). The Origin and Subsequent Evolution of Personal and Workplace Values Personal values are the beliefs deep within our subconscious and mixed and molded into the way we live our lives. Values guide our behaviors and the decisions we make. Very often our decisions about friends, a new job, a future marriage, and business decisions are based on our personal value system. We develop an initial set of values during our childhood from our parents, mentors, teachers, and grandparents; however later as we gain life experiences and develops our abilities to think critically we may add different values or disregard some of our initial values altogether. Many of our personal values affect our behaviors and the decision we make with regard to business. The origin and evolution of personal and workplace values joins the standard...
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...Mid-term Review Questions Chapter 1 1. Define strategic competitiveness, strategy, competitive advantage, above-average returns, and the strategic management process. Strategic competitiveness is achieved when a firm successfully formulates and implements a value-creating strategy. Strategy is an integrated and coordinated set of commitments and actions designed to exploit core competencies and gain a competitive advantage. Competitive advantage is when a firm implements a strategy that its competitors are unable to duplicate or find too costly to try to imitate. Above-average returns are returns in excess of what an investor expects to earn from other investments with a similar amount of risk. Strategic management process is the full set of commitments, decisions, and actions required for a firm to achieve strategic competitiveness and earn above-average returns. 2. Describe the 21st-century competitive landscape and explain how globalization and technological changes shape it. * The fundamental nature of competition in many of the world’s industries is changing. There are rapid changes in industry boundaries and markets. * Conventional sources of competitive advantage such as economies of scale and huge advertising budgets are not as effective as they once were in terms of helping firms earn above average returns. * The conditions of competitive landscape result in a perilous business world, one where the investments that are required to compete on a global...
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...ACKNOWLEDGEMENT WHAT IS OLIGOPOLY? An oligopoly is a market form in which a market or industry is dominated by a small number of sellers (oligopolists). Oligopolies can result from various forms of collusion which reduce competition and lead to higher prices for consumers. Oligopoly has its own market structure.[1] With few sellers, each oligopolist is likely to be aware of the actions of the others. According to game theory, the decisions of one firm therefore influence and are influenced by decisions of other firms. Strategic planning by oligopolists needs to take into account the likely responses of the other market participants. The major characteristics of a market proving it to be an oligopoly are:- 1. Profit maximization conditions An oligopoly maximizes profits. 2. Ability to set price Oligopolies are price setters rather than price takers. 3. Entry and exit Barriers to entry are high. The most important barriers are government licenses, economies of scale, patents, access to expensive and complex technology, and strategic actions by incumbent firms designed to discourage or destroy nascent firms. Additional sources of barriers to entry often result from government regulation favoring existing firms making it difficult for new firms to enter the market. 4. Number of firms "Few" – a "handful" of sellers.[3] There are so few firms that the actions of one firm can influence the actions of the other firms. 5. Long run profits Oligopolies...
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...power of strategy. These choices include: 1. Offensive and Defensive Competitive Actions 2. Competitive Dynamics and the Timing of Strategic Moves 3. Scope of Operations along the Industry’s Value Chain The above three choices will be explored throughout this paper. There are multiple measures to enhance the decision for maximizing the power of strategy. These include: • Whether and when to go on the offensive. • Whether and when to employ defensive strategies. • Whether to merge with or acquire another firm. • Which value chain activities, if any, should be outsourced. There are many other multiple measures to enhance the decision for maximizing the power of strategy. A company may decide to integrate backward or forward within the company or industry’s activity chain, or may decide to enter into agreements or partnerships within the industry. OFFENSIVE AND DEFENSIVE COMPETITIVE ACTIONS First a company must decide on where to go on the offense or defense. Some offense actions may already be employed with the general strategy of competing with other businesses. These include such things as focusing on building competitive edge, appropriating assets where competitors are found to be weak and protect their investments, or using a surprise tactic. Occasionally the firm’s best option is to be the first to use the strategy, and commence an offensive to advance and increase it’s market share. If a company decides to undertake a defensive position, then multiple strategies...
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...Strategic Transformation Team Vancouver Order of files: Filename | Pages | Comments and/or Instructions | MBUS 804 – Team Assignment | 18+ Cover Page | | Additional Comments: STRATEGIC BUSINESS PLAN for SANDRINGHAM INNS for the Period January 2010 to December 20xx ____________________________________________________________ _________________________ TABLE OF CONTENTS Executive Summary Section Page 1. Statement of Vision, Mission and Objectives 1 2. Identification of Major Clients and Markets 1 3. Positioning Statement 3 4. Key Performance Indicator Scorecard 4 5. Review of Major Environmental Factors/Trends 5 6. Key Success Factors for Industry 6 7. Major Strategic Issues (External and Internal) 6 8. Stakeholder Preferences 8 9. Summary of Anticipated Human Resource Requirements 9 10. Summary of Financial Impacts and Outcomes 10 11. Action Plans to Achieve Objectives 11 12. Summary of Major Risks 12 Appendices: 1. Strategic & Operational Health Assessment 2. Financial Calculations 3. Executive Team Changes and New Functions EXECUTIVE SUMMARY To come (1) STATEMENT OF VISION, MISSION & OBJECTIVES Mission Statement: To earn the loyalty of our guests by establishing internationally tailored inns run by a team of dedicated and talented people in an intimate, luxurious setting. Vision Statement: To establish an internationally recognized...
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...This worksheet is a complement to the study guide for both the MKT1. The purpose of this worksheet is to help you think about and apply important marketing concepts to Company G. By working through the exercises and matrices introduced in this worksheet (Section A, Section B, and Section C), you are laying the foundation for your marketing plan required in this assessment. This worksheet should be completed before you write your Marketing Plan, for which a template is provided. SECTION A – Product and Target Market The purpose of this exercise is to help you define and classify your chosen product, and define a specific target market. What a product is, how it supports the company mission, and how it fits into the market must be well understood in order to market it effectively. The target market must also be a fairly narrow, specific group of customers for this task. Product Product Description & Support of Mission Statement: Describe the different features of your product, then explain how that feature supports the given mission statement Example: Product Description: ACME Roadrunner pellets Mission Statement: Our mission is to delight our customers and channel partners by providing high quality, effective roadrunner pellets with timely delivery, superior customer service, and the best warranty in the industry. Feature: potent roadrunner deterrent chemicals How this supports the mission statement: The concentrated formula makes our pellets more effective...
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