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Boston Pine Street Case Study Solution and Analysis


Historically, the business's core clients include the Original Devices Manufacturers (OEMs), which used to offer Boston Pine Street Case Study Solution products withtheir own brand name. Its consumer circle consists of Original Devices Manufacturers (OEMs), who used to offer Organization products with their own brand name. He rearranged Business as a global brand and informed his divisional supervisors to comprehend marketing and its importance.

Problem Statement

Corp's shift from a product based to a marketing company is not going as smoothly as planned.Overcoming the hesitation of divisional managers to include marketing successfully is still a major difficulty. Producing a consistent brand name identity across the whole world and using marketing methods that finest fits the local culture is no easy job.
Executive Summary
Situational Analysis

Boston Pine Street Case Study Analysis efforts for constructing its brand name across the world was begun after introducing the "brand-new management effort" by Chairman Lee in 1993. The objective was to change Business from a cheap OEM to a high value-added product service provider. To make the vision of Venture a truth, Chairman Lee appointed Yun as a vice chairman in 1997. Yun had a quite clear photo in his mind about how Organization can change from a low end to a high-end item service provider. He understood that change can just be done through placing Corp as a business providing high-end products and this might only be done through high level of marketing.

In spite of having a clear vision about how to construct Corporation brand, with a possible support of its executives, Yun dealt with a number of marketing challenges in early years of its efforts.

Among the marketing obstacles for Yun was the understandings of executives about the value of marketing. They considered marketing and selling as exact same tools and thought that quality products do not needed marketing for increasing sales. As their focus towards marketing was rather low in their previous business practices, and the existing marketing requirement was too much high, the space was too broader and to fill this gap with wrong understandings about marketing was quite challenging for Yun.

As mentioned above, marketing focus was extremely low in previous practices, for that reason there were no proper marketing spending plans for each of the product on the portfolio. There was no marketing planning provided for the existing products. Along with it the product variety of the business was increasing with the ripening of new product ideas by the R&D sector of Org. Yun had an obstacle to carry out marketing planning and to develop marketing budget plans for existing along with for new products from the very start, and this would take a huge time.

A substantial shift would be required in existing marketing expenses to construct the Boston Pine Street Case Study Solution brand name. This would result in increased marketing expenditures for Organization and could interrupt the administration concerning increased expenses, as they hesitated to marketing expenses formerly and a sudden big shiftwould make them disturb. This might lead to declining executive support for global marketing. In this scenario, Yun deals with an obstacle for justifying increased marketing expenses by demonstrating the long term value of substantial marketing expenditures.

Internal Analysis
SWOT Analysis

Boston Pine Street Case Study Help strengths lie in its big item portfolio. Corporation has biggest number of patents in the market with overall number of 15499 patents given in United States( USP).

Another strength of Boston Pine Street Case Study Solution is its ability to develop innovative products at a constant rate. It significant shows for the innovation and product creating of Business is that the business has actually received a lot of awards for its development and item style.

Unlike Apple and other competitors, Organization is focused on producing gadgets which can be easily incorporated with any type of open source Operating System (OS) and software. This offers Organization an edge over Apple gadgets.
Porter's 5 Forces Analysis
Company's capability to produce high-end items at low cost of production is likewise one of the major strength of Company as it allows the company to catch more market by supplying quality products with expense control.


Boston Pine Street Case Study Help weaknesses are concealed in the company's reliance on outsourcing software application for its gadgets due to business's inability in establishing software, unlike Sony. Venture likewise has low profit margins as compare to Apple due to huge distinction in the costs of Apple and Venture with a much lower difference in quality. The diverse focus of the business due to a great deal of items in its portfolio, result in the less efficient production and make the company unable to charge greater rates like Apple. The business is also inefficient in handling its patents and frequently deals with the issue of patent offense.


Opportunities for Boston Pine Street Case Study Solution lie in the growing Smartphone market and the business's effectiveness in the market. Business currently runs in about 80 nations and the company has a chance to increase its geographical expansion by moving towards more emerging markets outside Asia.


The dynamic market environment of innovation industry pose an extreme threat on Company's survival and force the company to spend much of its revenues share on R&D in order to survive in the long run. The market saturation in industrialized countries i.e. saturation of mobile company is also a huge threat for the company's growth in the existence of strong competitors like Apple.

4 P's of Marketing
Swot Analysis

Organization offers quality products and has a rather rich portfolio which caters to various segments. LCD and mobile phones are the most significant products of Organization, whereas DRAM is also not far behind in contrast of them.

• Laptops.
• Mobile phones.
• A/c.
• Computer.
• Hard disk drives.
• Washing machines.
• Refrigerators.
• Video cameras.
• Microwaves.
• Flash memory.


Boston Pine Street Case Study Solution uses both market competitive and market skimming prices techniques for its variety of items. In competitive rates it changes the rate according to the competition in order to get advantage, whereas, it utilizes market skimming technique where the item has an included worth and by selling a couple of products it can reach break-even.


It has among the very best supply chain networks, with retail suppliers, their own sole suppliers, E commerce channels like Amazon and so on. All its items are prompt provided to the selling place/ delivered to the customers straight in case of online order.

Vrio Analysis
It utilizes both offline & online channels of promotion to market their items. Paid item advertisements, social promotion and digital advertisements are uses to create awareness about Org products.

Worth Chain Analysis.

It's an analytical framework for recognizing service activities that include value or competitive advantage for the business.

Incoming Logistics.

For its incoming logistics it owns numerous logistics companies as it subsidiaries. It looks after its suppliers and develops an unified relationship with them and even lowered their payment cycles to increase this relationship further which adds value to their chain network.


Organization's core proficiency is its mass producing it produces 90% of its products in-house. Divided into three various divisions its operations are namely IT & Mobile Communications, Device Solutions and Consumer Electronic Devices. It is keeping operation hubs worldwide to even more include worth to its worth chain network.

Outbound Logistics.

Its outgoing logistics system efficiency is among the main reasons Boston Pine Street Case Study Analysis is able to take on Apple. Organization's own Electronic Logitec system plays a major role in the outgoing logistics operations. It even carries out the tasks of collection of payment, settling insurance claims, etc. on behalf of Corp.

Marketing and Sales.

Attracting target client attention towards the item is done through marketing and sales to interact with them the worth and competitive advantage the product uses. Boston Pine Street Case Study Solution marketing budget is continuously rising considering that they started their repositioning worldwide and will continue to do so as they are continually aiming to invest and expand in high possible development markets. The budget plan is spent on events, print and media ads, public relations etc.

Corporation put their clients at the top and continually strive to provide unmatchable client service standards. By adding a direct assistance line to call them 24 hours they have even more increased the included worth of Corporation service.


Boston Pine Street Case Study Solution has actually diversified market division, based upon its provision of wide variety of items to a great deal of customers. Organization target customer segments can be divided into 3 classifications i.e. Boston Pine Street Case Study Solution IT and Mobile Communications, Venture Consumer Electronic Devices and Org Gadget options.


Boston Pine Street Case Study Help geographical division is based upon two requirements i.e. region and density. Company serves about 80 nations worldwide with its items provided to Urban in addition to Rural areas of the country. The Organization is likewise growing its international existence and the company's flexibility in finding its plants motivates worldwide expansion of Company.


Company produces products that can be used by both females and males. The target clients for Org IT and mobile communication products have an age variety of 18-65 with bulk at a young or newly married life cycle phase. Apart from it, Corp Consumer Electronics are targeted to a client sector with an age variety of 25-65.


The psychographic division of Boston Pine Street Case Study Analysis s based upon the social class and the life style of the customer. Org target customers on the basis of social class are mainly upper middle, middle and working class clients, as Venture offer items like cell phones not much cheaper i.e. Motorola along with very little expensive i.e. Apple. It supplies quality products to middle level consumers at a slightly high rate than others targeting the exact same segment.


Boston Pine Street Case Study Analysis majority target clients have unique behavioural characteristics. It has consumers with an ambitious, fashionable and identified character with moderate level of loyalty towards the brand. Its consumers have some degree of shift towards other popular brand names i.e. Apple. Most of Organization clients desire quality as well as expense control. They are attracted towards Organization since of its moderate costs with a degree of quality.

Quantitative analysis.

Sales of Boston Pine Street Case Study Analysis has actually increased amazingly from 16 billion $ in 1997 to 44.6 billion $ in 2002, and the net earnings of.48 billion $ to 5.9 billion $. Digital media is the biggest selling classification of Org with sales of 13.9 billion $, whereas, Telecommunication and Semiconductors sectors both reached 11 billion $ in sales.

Qualitative analysis.

Yes, this decision is based upon the objective of Kim to target the more youthful audience and create a global brand picture of the business. Whereas, the core strength of the business is presently making however long gone are those days when good products were selling themselves. In the current age marketing is extremely essential and companies can not be successful without it. Kim has already started to strengthen the marketing activities of Business and soon it will become one of its core strength like producing if not much better.



Enterprise runs designs, manufactures and sell a large portfolio of consumer electronic devices. It runs in an incredibly competitive environment and has actually effectively placed itself as the maker of quality items. So, the answer is yes.


As, said earlier that Boston Pine Street Case Study Analysis runs in an extremely competitive environment, which means all the companies have similar products. So, the response for rarity is no.


Due to the nature of the industry, it is really simple for competitors to comprehend the performance of the products and easily make their own designs. Yes, Enterprise is only behind IBM in signing up new patents every year, but the benefit is very short term in this market.


Chairman Lee has entirely turn-around Corporation, from going practically bankrupt during the Asian financial crisis of 1997 to the leading 25 company worldwide. Absolutely yes there appertains company in the company and the outcomes speak for themselves.

External Ecological Analysis

PESTLE Analysis


Being a multinational brand spread nearly in every nation worldwide, majority of the environments like USA, Europe, China etc., are really conductive for its operations. Nevertheless, it deals with some political pressures in less industrialized countries where order situation is bad. Latin American, African and some Asian countries fall in this category, where political instability do have an effect on Boston Pine Street Case Study Solution operations.


Purchasing power of customers is essential for business like Company to grow and prosper. Emerging markets like India, middle-eastern nations and so on supply development chances, whereas, due to economic crisis even the customers of developed countries suffer severely. It is really important for the company to keep an eye on the continuous economic situation of the nation prior to going into the market.


Multinational business have to face different social and cultural concerns throughout its operations in a foreign nation. Enterprise has actually also dealt with lots of concerns but have actually adopted to the local environments of the majority of the countries extremely well. It has tailored its products, practices, policies etc. accordingly in order to achieve success.


With an annual expenditure of 2.4 billion dollars in Research study & Development, and with continuous innovative product launches, Boston Pine Street Case Study Help is one of the top innovative companies of the world. With a clear mission to be ahead of the rest when it comes to technological improvements, Corp has actually risen to the no 25 of the top effective business of the world.


Each nation has their own laws and policies, being an international business Organization have to strictly follow those laws in their jurisdictions. Failure to do so, will lead to major legal consequences. It has to study or hire a regional law expert before starting its operations in a particular country.


With the rising awareness amongst consumers about the environmental & ethical violations of business, Corporation needs to make sure that it follows all the security guidelines. Ecological damages, ethical misbehaviors are not appropriate and in some nations the consequences can be extremely severe. On the other hand it has to do some Business Social Responsibility practices to show the residents that it cares about their environment and people.

Porter's 5 Forces

Hazard of Alternative

Threat of alternative for Corp's each product category is quite substantial. Aspects for high hazard of replacement for Boston Pine Street Case Study Solution Smart device consist of the existence of high number of providers and Market saturation in industrialized countries, which make the cost of changing for consumers nearly zero. Along with it, Venture printing options products are threatened by the increasing destination of clients towards cloud storage.

Rivalry Amongst Existing Firms:

The rivaly amongst Corporation and its close rivals is intense. The significant factor behind this is the technique of market saturation in various number of item categories, forcing Enterprise to introduce more innovative features in existing products and new innovative items to preserve its development. Other factor for the extreme rivalry among the competitors is the little product distinction among the products. The popular gamers in the innovation industry are rather familiar with the importance of R&D costs for their survival and are running into a race of marketing and R&D spending, to catch the marketplace. The major rivals for Boston Pine Street Case Study Solution samrtphones consist of Apple, Motorola, LG, Nokia, Huawei, OPPO and so on. High competitors rivalry results in the changing market shares which can be seen in Exhibit F.

Bargaining Power of Providers:

( Company Sustainability Report, 2016) Provider's bargaining power for Enterprise is low as Company runs economies of scale and its orders are of potential size and worth. Due to incapability of Boston Pine Street Case Study Solution to construct its own software application, it has to outsource its software advancement to Google, which becomes a prospective supplier of software for Venture, resulting in high bargaining power of Google.

Bargaining Power of Purchasers:

Market saturation in many of the product categories also make the bargaining power of purchasers more intense in for Enterprise. In spite of igh bargaining power Corp is rather capable of selling its products at a higher price than much of its competitors, due to high end quality item and a reasonable brand image.

Risk of New Entrants:

Threat of new entrants for Corporation is rather low. Among the major element for low threat of new entrants is the high competitors in the industry. The requirement of substantial amount of capital to enter in the market is also among the potential barrier to entry. In addition to it, requirement of big competence and research study and advancement expenditures for survival in the industry also make brand-new entrants hesitant to enter in the marketplace. Market saturation is also one of the barrier of entry in technology market. High bargaining power of providers require the gamers in the market to charge as low costs as possible and this can only be achieved by production effectiveness. Brand-new firms, in majority cases, lack the production performance, hence increasing the risks for entrance in the innovation market.

Competitive Analysis

Company's high product diversification provides it distinction from its competitors. Unlikely to its close rivals consisting of Sony, Intel and Nokia, who focus bulk on a single product classification with Sony focusing on consumer electronics, Nokia on cell phones and Intel on chips, Boston Pine Street Case Study Solution had a big R&D spending on all of its item classifications which allow the company to earn possible profits from sales of practically all of its items.

The company ranks initially in 4 item classifications i.e. DRAM Chips, LCD Displays, Cinema TVs and Microwave, in regards to worldwide market share, among 8 various item classifications. Company was the global leader in making DRAM, SRAM and NAND flash chips. Although, Organization earnings from chips was less than Intel however its incomes from chips was growing much faster than Intel and has grown near to the revenue levels of Intel, as given in the case Exhibition 2.

In addition to the chips Company mobile market was also thriving at a high rate than its competitors i.e. Motorola and Nokia. Venture's cellular phone's sales development was 51% as compare to Motorola with just 4% and Nokia with zero sales growth. The significant reson behind Org's high development despite of greater costs than Nokia and Motorola was the company's high-end quality mobile phone.

Corp was likewise reaping the benefits from increasing market share of luxury LCDs as given up case Exhibition 3. The major reason, making the business allow to get the chance is its mass production at low expense. Sony was the biggest rival for Boston Pine Street Case Study Analysis in LCD market, nevertheless, it had likewise begun joint endeavor with Org in 2003 for LCD manufacturing, reducing the competitors for Business.

Porter's Competitive Method

Low Cost Leadership strategy of porter is fully carried out by Venture the method they accomplish economies of scale by reinforcing their core competencies of production. They constantly bring something new and ingenious whether it's a product or a service.


Alternative Service 1

The Chief Marketing Officer (CMO) of Boston Pine Street Case Study Analysis would develop a new brand name image by targeting the younger generation of the particular nation. As, especially smart phones of Org are very popular among the more youthful group.


1. It is the very best method to develop Customer Life time Value (CLV) by creating a long-lasting relationship with clients. Build loyalty through delivering worth and profit for long-lasting, as research has actually revealed it is much cheaper to maintain current consumers than to draw in brand-new ones.
2. Another pro of this alternative is that word of mouth spread quicker among younger individuals and which in turn will generate new customers for my products.


1. Old clients who were related to Organization before might not like this new image the business is attempting to portray.
2 It will incur additional costs to reposition some products and it might not even bring success as the trends change really quickly among the younger group.

Alternative service 2.

It would be done by organizing training workshops during which importance of marketing will be taught and numbers will be provided. Marketing environment must be produced internally initially as genuine marketing begins inside the corporation.


1. Its pro will be that all the marketing method supporters will come out and also the opposite ones.


2. Its con can create a very unhealthy environment in the office, as people typically withstand modification due to the fact that they fear it.

Identify the best option

Option is the finest as it clearly has more pros because once a Client Lifetime Value is constructed the business will benefit from it till that customer is alive and has buying power. Plus, our target clients are the younger generation which are bound to live longer than the existing old age people. Enterprise's primary objective is to develop commitment amongst its consumers and make them bought it from them and even purchase their different items.

Execution Plan

• Targeting more youthful generation through social marketing, developing a link with them like Pepsi make with music. And set the expectations possible and sensible.
• A group including finest marketing and sales specialists must be put together, and both views need to be taken into consideration prior to securing the resources needed to execute the plan.
• Thorough communication of the strategy need to be done as it is very crucial for everybody to be on the exact same page to make it work.
• Jobs and timelines should be build and interacted accordingly to each individual responsible.
• The supervisor should use a control panel which reveals the development of all the jobs which have been done or about to be done and by whom.
• The manager should keep an eye on and keep a constant check on the private and general efficiency.
Because any brand-new trend or policy may come in due to which all the things currently planned have actually to be adjusted, • Everyone should be willing to adjust midway. It's much better to have contingency plans already prepared.
• At the end of the campaign the manager should communicate the results and if effective must commemorate with the team.

Spending plan

This modification the budget allocation of many supervisors and different countries were unhappy and argued but the analysis done by the program was accurate and revealed figures like North America and Russia growth potential warranted a 35% allowance while they were receiving 45%. It actually assisted to relatively distribute the resources and record more consumers by spending more on advertisements on the high development potential regions of the world.

Its consistent investment in R&D and innovative practices have moved them to brand-new heights however for them its' only the start and they want to be amongst the leading 3 brand names in the world. Their marketing efforts should be directed towards younger market amidst the internal arguments about marketing and ought to produce Customer Lifetime Worth as it will not only provide them benefits now however will continue to enjoy it till the consumer life time. As the expense of maintaining the consumer is much cheaper than drawing in a new one.