Google Glass 3 Case Study Solution and Analysis
Google Glass 3 Case Study Solution is a widely known international brand in technology industry, established in 1938 by Lee Byung Chul, in South Korea. Google Glass 3 handle large number of product categories including Semiconductors, Telecom, Digital Media, Digital Appliances and many more other electronic items. Historically, the business's core customers include the Original Equipment Manufacturers (OEMs), which utilized to offer Business items withtheir own trademark name. Till early 1990s, the core competency of Organization lie in its low cost offerings than its competitors by making existing items at economies of scale. Its customer circle includes Original Equipment Manufacturers (OEMs), who used to sell Google Glass 3 Case Study Solution items with their own brand name. Company was not merely understood outside Korea. There were also no or little interest in developing the brand worldwide. Marketing budget plan was managed by production department with a focal point on providing cheap products.During the 1997 Asian Financial Crisis the business almost got insolvent, but with the Vision of Chairman Lee it completely turn its fortune around and in 2002 was noted the top 25 most important business on the planet. When Kim was worked with as a Chief Marketing Officer in 2000 the company was not even listed. He rearranged Enterprise as an international brand and informed his divisional supervisors to comprehend marketing and its importance. Now their goal is to arrive 10 by 2005.
Business's transition from an item based to a marketing business is not going as smoothly as planned.Overcoming the reluctance of divisional managers to incorporate marketing efficiently is still a significant obstacle. Developing a constant brand name identity throughout the entire world and utilizing marketing techniques that finest fits the regional culture is no simple job. The M-net program analysis have actually been really handy in figuring out the high and less potential growth locations, but allowance of resources accordingly is not well gotten amongst the managers. There is no agreement amongst the hierarchy relating to the very best fit future technique.
Yun had a rather clear image in his mind about how Google Glass 3 Case Study Analysis can change from a low end to a high end product service provider. He understood that improvement can just be done through positioning Venture as a business offering high-end products and this could just be done through high level of marketing.
In spite of having a clear vision about how to construct Org brand name, with a potential support of its executives, Yun dealt with numerous marketing obstacles in early years of its efforts.
One of the marketing difficulties for Yun was the perceptions of executives about the value of marketing. They thought about marketing and selling as exact same tools and believed that quality items do not needed marketing for increasing sales. As their focus towards marketing was quite low in their previous organisation practices, and the current marketing requirement was too much high, the gap was too wider and to fill this space with incorrect perceptions about marketing was quite tough for Yun.
As specified above, marketing focus was very low in previous practices, therefore there were no correct marketing spending plans for each of the product on the portfolio. There was no marketing preparation done for the existing items. In addition to it the product range of the company was increasing with the ripening of brand-new product ideas by the R&D sector of Corporation. Yun had a difficulty to perform marketing planning and to develop marketing budgets for existing as well as for new products from the very beginning, and this would take a huge time.
A huge shift would be needed in present marketing expenditures to build the Business brand. This would result in increased marketing expenditures for Corporation and could disturb the administration concerning increased costs, as they were unwilling to marketing expenses formerly and an unexpected huge shiftwould make them interrupt.
Google Glass 3 Case Study Help strengths lie in its huge item portfolio. Corporation has biggest number of patents in the market with overall number of 15499 patents granted in US( USP).
Another strength of Google Glass 3 Case Study Analysis is its capability to develop innovative products at a constant rate. It significant shows for the development and product designing of Business is that the company has actually gotten numerous awards for its innovation and product style.
Unlike Apple and other rivals, Corporation is concentrated on producing devices which can be quickly integrated with any kind of open source Os (OS) and software. This provides Corporation an edge over Apple gadgets.
Company's ability to produce high-end items at low expense of production is also one of the major strength of Business as it enables the company to catch more market by offering quality products with cost control.
Company's weaknesses are concealed in the business's reliance on outsourcing software for its devices due to business's inability in establishing software, unlike Sony. Google Glass 3 Case Study Analysis likewise has low earnings margins as compare to Apple due to big distinction in the prices of Apple and Organization with a much lesser difference in quality.
Opportunities for Company lie in the growing Mobile phone market and the business's effectiveness in the market. It can increase its market share and incomes from cell phone as the business is rather effective in smart phone market. Org currently runs in about 80 countries and the business has an opportunity to increase its geographical expansion by moving towards more emerging markets outside Asia. Corp can move towards acquisitions to get patents. It would allow the business to increase its product portfolio with an increase in its wealth.
The vibrant market environment of technology industry present an extreme threat on Org's survival and require the company to spend much of its incomes share on R&D in order to endure in the long run. The market saturation in industrialized nations i.e. saturation of mobile company is also a huge threat for the business's growth in the existence of strong competitors like Apple.
4 P's of Marketing
Google Glass 3 Case Study Help uses quality items and has a quite rich portfolio which accommodates different segments. The majority of the products are in the leading three of their particular markets. LCD and mobile phones are the biggest products of Enterprise, whereas DRAM is also not far behind in comparison of them. Following is the line of product of Org:
• LCD/ TV
• A/c unit.
• Hard drives.
• Flash memory.
Google Glass 3 Case Study Solution uses both market competitive and market skimming rates techniques for its wide range of items. In competitive prices it changes the rate according to the competitors in order to get benefit, whereas, it uses market skimming method where the product has actually an included value and by offering a couple of products it can reach break-even.
It has among the best supply chain networks, with retail suppliers, their own sole suppliers, E commerce channels like Amazon etc. All its products are prompt provided to the selling place/ delivered to the clients straight in case of online order.
It wasn't a widely known business beyond Korea up until 1993. The management initiative taken by their CEO has pressed them to market more efficiently outside the borders and now it has actually gone into the league of top 25 business in the world in simply 9 years. This is an amazing achievement despite the ongoing arguments amongst the managers about embracing marketing practices. It utilizes both offline & online channels of promotion to market their products. Paid product ads, social promo and digital advertisements are uses to produce awareness about Corporation items.
Worth Chain Analysis.
It's an analytical framework for determining business activities that add worth or competitive benefit for the business.
For its inbound logistics it owns different logistics firms as it subsidiaries. It looks after its providers and creates an unified relationship with them and even minimized their payment cycles to enhance this relationship even more which adds value to their chain network.
Organization's core proficiency is its mass making it produces 90% of its items in-house. Divided into 3 various departments its operations are namely IT & Mobile Communications, Gadget Solutions and Customer Electronic Devices. It is maintaining operation hubs worldwide to even more add worth to its worth chain network.
Its outgoing logistics system performance is one of the main reasons Google Glass 3 Case Study Help has the ability to take on Apple. Organization's own Electronic Logitec system plays a major role in the outgoing logistics operations. It even performs the jobs of collection of payment, settling insurance claims, etc. on behalf of Enterprise.
Marketing and Sales.
Attracting target client attention towards the product is done through marketing and sales to communicate with them the worth and competitive advantage the product provides. Google Glass 3 Case Study Solution marketing spending plan is continuously on the rise given that they started their repositioning worldwide and will continue to do so as they are continually aiming to broaden and invest in high potential growth markets. The budget is spent on events, print and media ads, public relations and so on.
Organization Service. Company put their customers at the top and constantly make every effort to provide unmatchable customer service requirements. As after sales service is becoming very crucial to keep customers pleased and engaged, they even carry out surveys through 3rd parties to find out their client's feedback and implement it in the favorable method to decrease or if possible totally remove their customer issues. By including a direct assistance line to contact them 24 hr they have even more increased the added value of Google Glass 3 Case Study Help service.
Google Glass 3 Case Study Analysis has diversified market division, based upon its provision of vast array of items to large number of consumers. Organization target client sections can be divided into 3 classifications i.e. Google Glass 3 Case Study Analysis IT and Mobile Communications, Corporation Consumer Electronic Devices and Venture Device services.
Google Glass 3 Case Study Solution geographic segmentation is based upon two requirements i.e. region and density. Corporation serves about 80 countries worldwide with its items offered to Urban along with Rural areas of the country. The Corp is also growing its worldwide existence and the company's versatility in locating its plants encourages international growth of Corp.
The market division of Google Glass 3 Case Study Help is based upon gender, age, life-cycle phase and occupation. Business produces products that can be utilized by both females and males. The target clients for Enterprise IT and mobile communication items have an age range of 18-65 with majority at a young or recently married life cycle stage. They are primarily workers, experts and trainees. Apart from it, Corp Consumer Electronic devices are targeted to a customer section with an age range of 25-65. They are primarily workers and experts. Business Gadget Solutions are targeted at students, employees and specialists with an age variety of 25-65.
The psychographic division of Google Glass 3 Case Study Analysis s based upon the social class and the life style of the consumer. Corporation target customers on the basis of social class are mainly upper middle, middle and working class consumers, as Enterprise sell products like cellular phone very little more affordable i.e. Motorola in addition to very little expensive i.e. Apple. It supplies quality items to middle level customers at a somewhat high cost than others targeting the very same sector.
Google Glass 3 Case Study Analysis bulk target clients have unique behavioural characteristics. It has clients with an enthusiastic, stylish and determined character with moderate level of loyalty towards the brand. Its consumers have some degree of shift towards other distinguished brand names i.e. Apple. The majority of Enterprise customers want quality in addition to cost control. They are attracted towards Corp because of its moderate costs with an extent of quality.
Sales of Org has actually increased remarkably from 16 billion $ in 1997 to 44.6 billion $ in 2002, and the net revenue of.48 billion $ to 5.9 billion $. It has actually likewise reduced its debt from 15 billion $ to 4.6 billion $. Digital media is the largest selling classification of Company with sales of 13.9 billion $, whereas, Telecommunication and Semiconductors sectors both reached 11 billion $ in sales. Since of the high overhead expense, revenues/ sales are increasing but net profit is not increasing accordingly. New expansions and hiring's were the primary reason of the increase in the overhead expenses, with china currently not offering any earnings to Corporation, but there is a lot capacity in the current market with 75 % yet to be checked out.
Whereas, the core strength of the business is currently making however long gone are those days when great products were offering themselves. Kim has currently started to enhance the marketing activities of Org and extremely soon it will become one of its core strength like producing if not much better.
Corporation operates styles, makes and sell a vast portfolio of customer electronic devices. It operates in an exceptionally competitive environment and has actually effectively placed itself as the maker of quality items. So, the response is yes.
As, said earlier that Google Glass 3 Case Study Solution operates in a highly competitive environment, which indicates all the companies have similar products. The response for rarity is no.
Due to the nature of the industry, it is extremely easy for competitors to understand the functionality of the items and easily make their own models. Yes, Org is just behind IBM in signing up new patents annually, however the advantage is extremely short-term in this industry.
Chairman Lee has entirely turn-around Company, from going nearly bankrupt throughout the Asian monetary crisis of 1997 to the leading 25 company in the world. Definitely yes there is proper organization in the business and the outcomes speak for themselves.
External Environmental Analysis
Being an international brand spread practically in every country worldwide, bulk of the environments like U.S.A., Europe, China etc., are really conductive for its operations. It deals with some political pressures in less developed nations where law and order scenario is not excellent. Latin American, African and some Asian countries fall in this classification, where political instability do have an effect on Google Glass 3 Case Study Help operations.
Purchasing power of consumers is essential for companies like Corp to succeed and grow. Emerging markets like India, middle-eastern nations etc. supply growth chances, whereas, due to economic crisis even the consumers of industrialized nations suffer terribly. For this reason it is very crucial for the business to watch on the continuous financial circumstance of the country before entering the marketplace.
Multinational business need to deal with various social and cultural problems during its operations in a foreign country. Organization has also dealt with many concerns but have actually adopted to the local environments of the majority of the nations extremely well. It has customized its items, practices, policies etc. appropriately in order to succeed.
With a yearly expense of 2.4 billion dollars in Research & Advancement, and with consistent ingenious item launches, Google Glass 3 Case Study Solution is among the leading ingenious companies of the world. With a clear mission to be ahead of the rest when it pertains to technological improvements, Corporation has actually increased to the no 25 of the top effective companies of the world.
Each country has their own laws and policies, being a multinational business Venture need to strictly follow those laws in their jurisdictions. Failure to do so, will lead to serious legal repercussions. It has to study or work with a local law expert prior to starting its operations in a specific nation.
With the rising awareness amongst customers about the ecological & ethical violations of business, Business has to make sure that it follows all the security guidelines. Environmental damages, ethical misconducts are not appropriate and in some nations the consequences can be very extreme. On the other hand it has to do some Business Social Obligation practices to reveal the residents that it cares about their environment and individuals.
Porter's Five Forces
Danger of Alternative
Danger of replacement for Business's each item classification is rather considerable. Running in an exceptionally dynamic market lead the business to deal with a high hazard of substitution. Factors for high danger of alternative for Google Glass 3 Case Study Solution Mobile phone consist of the existence of high number of suppliers and Market saturation in industrialized countries, which make the cost of switching for consumers nearly absolutely no. Replacement dangers for Corporation visual display depend on the altering life style of clients. Consumers can switch to seeing visuals in your home towards outside activities. Together with it, Venture printing options products are threatened by the increasing destination of clients towards cloud storage.
Competition Among Existing Companies:
The rivaly among Corporation and its close rivals is intense. The significant factor behind this is the method of market saturation in numerous number of product classifications, forcing Enterprise to introduce more ingenious functions in existing items and brand-new ingenious products to preserve its growth. Other factor for the extreme rivalry amongst the rivals is the little item distinction amongst the items. The popular players in the technology market are quite aware of the importance of R&D spending for their survival and are facing a race of marketing and R&D spending, to catch the market. The major competitors for Google Glass 3 Case Study Help samrtphones include Apple, Motorola, LG, Nokia, Huawei, OPPO and so on. High competition rivalry results in the fluctuating market shares which can be seen in Exhibit F.
Bargaining Power of Suppliers:
( Org Sustainability Report, 2016) Provider's bargaining power for Venture is low as Corp runs economies of scale and its orders are of possible size and worth. Due to incapability of Google Glass 3 Case Study Help to construct its own software application, it has to outsource its software advancement to Google, which ends up being a potential supplier of software application for Venture, resulting in high bargaining power of Google.
Bargaining Power of Buyers:
Haggling power of purchasers for different number of item categories of Corp is intense. One of the aspect causing the extreme bargaining power is the schedule of large number of competitors in practically each item classification i.e. competitors of Corporation Smart device, with a really little differentiation. The high availability of suppliers of Mobile phones with minimum distinction, make the changing cost for buyers nearly zero, for this reason increasing the bargaining power of buyers. Market saturation in the majority of the item categories likewise make the bargaining power of buyers more intense in for Google Glass 3 Case Study Solution. In spite of igh bargaining power Enterprise is quite efficient in offering its products at a higher cost than much of its rivals, due to high-end quality item and a reasonable brand image.
Danger of New Entrants:
Hazard of new entrants for Google Glass 3 Case Study Analysis is rather low. Along with it, requirement of huge know-how and research study and advancement expenses for survival in the industry also make new entrants unwilling to go into in the market. Market saturation is likewise one of the barrier of entry in technology industry.
Corporation's high product diversification supplies it differentiation from its rivals. Unlikely to its close rivals including Sony, Intel and Nokia, who focus bulk on a single item classification with Sony focusing on customer electronics, Nokia on cell phones and Intel on chips, Google Glass 3 Case Study Help had a substantial R&D costs on all of its item classifications which enable the company to make possible revenue from sales of practically all of its products.
The company ranks first in 4 product classifications i.e. DRAM Chips, LCD Displays, Big Screen TVs and Microwave, in regards to international market share, among 8 different product categories. Company was the international leader in making DRAM, SRAM and NAND flash chips. Venture earnings from chips was less than Intel however its incomes from chips was growing faster than Intel and has grown close to the revenue levels of Intel, as offered in the case Exhibit 2.
Together with the chips Corp mobile market was also thriving at a high rate than its competitors i.e. Motorola and Nokia. Org's cell phone's sales growth was 51% as compare to Motorola with just 4% and Nokia with absolutely no sales growth. The major reson behind Enterprise's high growth despite of greater prices than Nokia and Motorola was the business's high-end quality cellular phone.
Enterprise was likewise reaping the benefits from increasing market share of luxury LCDs as given up case Display 3. The significant factor, making the company enable to get the chance is its mass production at low cost. Sony was the most significant competitor for Google Glass 3 Case Study Analysis in LCD market, however, it had actually also started joint endeavor with Enterprise in 2003 for LCD producing, minimizing the competitors for Org.
Porter's Competitive Method
Low Cost Leadership method of porter is totally executed by Corp the method they attain economies of scale by enhancing their core proficiencies of manufacturing. They constantly bring something brand-new and innovative whether it's a service or a product.
Alternative Service 1
The Chief Marketing Officer (CMO) of Google Glass 3 Case Study Solution would produce a new brand image by targeting the younger generation of the particular country. As, particularly smart phones of Corporation are incredibly popular among the more youthful market.
1. It is the very best method to construct Consumer Life time Value (CLV) by developing a long-lasting relationship with customers. Develop commitment through delivering worth and reap the benefits for long-lasting, as research has showed it is much cheaper to maintain current clients than to attract new ones.
2. Another pro of this alternative is that word of mouth spread faster among more youthful people and which in turn will bring in new customers for my items.
1. Old clients who were related to Corporation prior to may not like this brand-new image the business is trying to depict.
2 It will sustain more expenses to reposition some items and it might not even bring success as the trends change extremely quickly amongst the more youthful group.
Alternative option 2.
Organization has made producing its core proficiency for the most part of their company and due to which its supervisors are not scared to totally get out of their convenience zone. It would be done by arranging training workshops throughout which value of marketing will be taught and numbers will be provided. Failure to get the passing scores will get demoted. Marketing environment ought to be developed internally first as genuine marketing begins inside the corporation.
1. Its pro will be that all the marketing method advocates will come out and also the opposite ones.
2. Its con can create a very unhealthy environment in the work environment, as people typically withstand modification since they fear it.
Recognize the very best option
First alternative is the best as it plainly has more pros because as soon as a Client Life time Worth is built the company will make money from it till that customer is alive and has acquiring power too. Plus, our target customers are the more youthful generation which are bound to live longer than the current old age people. Nonetheless, Venture's primary objective is to produce commitment amongst its customers and make them bought it from them and even purchase their various products as well.
• Targeting more youthful generation through social marketing, producing a link with them like Pepsi do with music. And set the expectations achievable and sensible.
• A team consisting of best marketing and sales experts ought to be put together, and both views must be taken into account before protecting the resources required to execute the plan.
• Thorough interaction of the strategy should be done as it is extremely important for everyone to be on the very same page to make it work.
• Jobs and timelines need to be construct and communicated appropriately to each person accountable.
• The manager must use a dashboard which shows the development of all the tasks which have been done or about to be done and by whom.
• The manager need to keep an eye on and keep a continuous look at the overall and individual efficiency.
• Everybody should be willing to adjust midway due to the fact that any brand-new pattern or policy might can be found in due to which all the important things already planned have to be adjusted. It's better to have contingency plans currently prepared.
• At the end of the campaign the supervisor ought to communicate the outcomes and if successful need to celebrate with the group.
The M-net program exposed compelling analysis about the low and high growth prospective locations and just how much marketing spending plan should be designated appropriately. This change the spending plan allowance of numerous managers and various nations were dissatisfied and argued but the analysis done by the program was accurate and showed figures like The United States and Canada and Russia development possible warranted a 35% allocation while they were getting 45%. Whereas, China and Europe must be getting 42% however were rather provided 31%. It really helped to relatively disperse the resources and record more clients by spending more on ads on the high development potential regions of the world.
Its consistent financial investment in R&D and ingenious practices have propelled them to new heights however for them its' just the start and they want to be amongst the top 3 brand names in the world. Their marketing efforts should be directed towards younger demographic in the middle of the internal arguments about marketing and should develop Client Life time Worth as it will not just give them advantages now however will continue to reap it till the consumer lifetime. As the cost of retaining the client is much more affordable than drawing in a new one.