Hero Dog Treats Harvard Case Study Help

Home >> Hrm >> Hero Dog Treats

Hero Dog Treats Case Study Solution & Analysis


Hero Dog Treats Case Study Analysis is a widely known worldwide brand in technology industry, founded in 1938 by Lee Byung Chul, in South Korea. Hero Dog Treats handle a great deal of item categories consisting of Semiconductors, Telecommunications, Digital Media, Digital Appliances and many more other electronic items. Historically, the business's core customers include the Original Devices Manufacturers (OEMs), which utilized to offer Enterprise items withtheir own trademark name. Till early 1990s, the core competency of Company lie in its low rate offerings than its competitors by manufacturing existing items at economies of scale. Its consumer circle includes Original Devices Manufacturers (OEMs), who utilized to sell Hero Dog Treats Case Study Analysis items with their own brand name. Organization was not simply known outside Korea. There were likewise no or little interest in building the trademark name globally. Marketing budget plan was managed by production department with a focal point on supplying low-cost products.During the 1997 Asian Financial Crisis the company almost got bankrupt, but with the Vision of Chairman Lee it totally turn its fortune around and in 2002 was noted the leading 25 most valuable company on the planet. When Kim was employed as a Chief Marketing Officer in 2000 the company was not even listed. He rearranged Corp as a worldwide brand and educated his divisional managers to comprehend marketing and its importance. Now their objective is to reach the top 10 by 2005.

Issue Statement

Enterprise's transition from a product based to a marketing company is not going as smoothly as planned.Overcoming the reluctance of divisional managers to include marketing efficiently is still a major difficulty. Producing a consistent brand name identity throughout the whole world and using marketing techniques that finest fits the local culture is no easy job.
Executive Summary
Situational Analysis

Yun had a quite clear photo in his mind about how Hero Dog Treats Case Study Help can change from a low end to a high end product supplier. He understood that change can just be done through placing Organization as a company using high-end items and this might only be done through high level of marketing.

In spite of having a clear vision about how to develop Corporation brand, with a prospective assistance of its executives, Yun faced several marketing obstacles in early years of its efforts.

One of the marketing difficulties for Yun was the perceptions of executives about the worth of marketing. They considered marketing and selling as exact same tools and believed that quality items do not required marketing for increasing sales. As their focus towards marketing was rather low in their previous business practices, and the current marketing requirement was excessive high, the space was too wider and to fill this space with wrong perceptions about marketing was quite difficult for Yun.

Along with it the product variety of the business was increasing with the ripening of new product concepts by the R&D sector of Company. Yun had an obstacle to carry out marketing planning and to produce marketing spending plans for existing as well as for brand-new items from the very beginning, and this would take a substantial time.

A big shift would be needed in current marketing expenses to build the Hero Dog Treats Case Study Analysis brand name. This would lead to increased marketing expenditures for Company and could disturb the administration concerning increased expenses, as they were reluctant to marketing expenses previously and an abrupt huge shiftwould make them interrupt. This might lead to declining executive assistance for global marketing. In this situation, Yun faces an obstacle for justifying increased marketing expenditures by demonstrating the long term value of huge marketing expenses.

Internal Analysis
SWOT Analysis

Hero Dog Treats Case Study Analysis strengths lie in its substantial product portfolio. Company has biggest number of patents in the market with overall number of 15499 patents granted in US( USP).

Another strength of Hero Dog Treats Case Study Analysis is its capability to develop ingenious items at a constant rate. It significant shows for the innovation and item developing of Corp is that the company has actually received many awards for its development and product style.

Unlike Apple and other competitors, Organization is concentrated on producing gadgets which can be quickly integrated with any kind of open source Operating System (OS) and software application. This offers Business an edge over Apple devices.
Porter's 5 Forces Analysis
Venture's capability to produce luxury products at low cost of production is likewise one of the significant strength of Org as it allows the business to capture more market by supplying quality items with cost control.

Weak points

Hero Dog Treats Case Study Help weaknesses are hidden in the business's reliance on outsourcing software application for its gadgets due to business's failure in developing software, unlike Sony. Org also has low revenue margins as compare to Apple due to big difference in the costs of Apple and Venture with a much lesser difference in quality. The varied focus of the company due to a great deal of products in its portfolio, result in the less efficient production and make the company unable to charge higher costs like Apple. The business is likewise inefficient in handling its patents and often faces the problem of patent infraction.


Opportunities for Hero Dog Treats Case Study Solution lie in the growing Smartphone market and the company's effectiveness in the market. Company presently runs in about 80 nations and the company has an opportunity to increase its geographical growth by moving towards more emerging markets outside Asia.


The vibrant industry environment of technology industry present an extreme risk on Organization's survival and require the company to spend much of its earnings share on R&D in order to endure in the long run. The marketplace saturation in industrialized countries i.e. saturation of mobile business is likewise a huge threat for the company's growth in the presence of strong competitors like Apple.

4 P's of Marketing
Swot Analysis

Hero Dog Treats Case Study Help offers quality items and has a rather abundant portfolio which caters to different sectors. The majority of the items remain in the leading three of their respective industries. LCD and mobile phones are the greatest items of Org, whereas DRAM is likewise not far behind in comparison of them. Following is the line of product of Corp:

• Laptops.
• Mobile phones.
• Ac system.
• Personal computers.
• Hard disks.
• Washing machines.
• Fridges.
• Cams.
• Microwaves.
• Flash memory.


Hero Dog Treats Case Study Help utilizes both market competitive and market skimming pricing methods for its wide variety of items. In competitive pricing it adjusts the cost according to the competition in order to acquire benefit, whereas, it utilizes market skimming technique where the item has an added value and by offering a few products it can reach break-even.


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

Vrio Analysis
It wasn't a widely known business beyond Korea until 1993. However the management initiative taken by their CEO has actually pushed them to market more efficiently outside the borders and now it has actually gotten in the league of leading 25 business in the world in just 9 years. This is a remarkable achievement in spite of the ongoing arguments amongst the supervisors about embracing marketing practices. It uses both offline & online channels of promo to market their products. Paid item advertisements, social promotion and digital ads are uses to create awareness about Organization products.

Value Chain Analysis.

It's an analytical framework for determining organisation activities that add value or competitive benefit for the company.

Inbound Logistics.

For its incoming logistics it owns different logistics firms as it subsidiaries. It looks after its suppliers and produces an unified relationship with them and even reduced their payment cycles to increase this relationship further which includes worth to their chain network.


Org's core competency is its mass manufacturing it produces 90% of its products internal. Divided into three different departments its operations are particularly IT & Mobile Communications, Device Solutions and Customer Electronics. It is preserving operation centers worldwide to further add worth to its value chain network.

Outbound Logistics.

Its outbound logistics system efficiency is among the main factors Hero Dog Treats Case Study Solution is able to compete with Apple. Enterprise's own Electronic Logitec system plays a major role in the outbound logistics operations. It even performs the tasks of collection of payment, settling insurance claims, etc. on behalf of Corporation.

Marketing and Sales.

Drawing in target consumer attention towards the product is done through marketing and sales to interact with them the worth and competitive benefit the product uses. Hero Dog Treats Case Study Solution marketing spending plan is constantly rising given that they began their repositioning globally and will continue to do so as they are continually seeking to expand and invest in high prospective development markets. The budget is spent on events, print and media advertisements, public relations etc.

Enterprise Service. Org put their customers at the top and constantly aim to provide unmatchable customer support standards. As after sales service is ending up being extremely important to keep clients delighted and engaged, they even perform surveys through 3rd parties to discover their client's feedback and execute it in the favorable method to lower or if possible totally remove their consumer problems. By including a direct assistance line to call them 24 hours they have actually further increased the included value of Hero Dog Treats Case Study Solution service.


Hero Dog Treats Case Study Help has actually diversified market segmentation, based upon its arrangement of wide variety of products to large number of consumers. Org target customer segments can be divided into 3 categories i.e. Hero Dog Treats Case Study Solution IT and Mobile Communications, Corporation Customer Electronics and Org Gadget options.


Hero Dog Treats Case Study Analysis geographical division is based upon 2 criteria i.e. region and density. Venture serves about 80 countries worldwide with its items supplied to Urban in addition to Backwoods of the nation. The Enterprise is also growing its international presence and the company's flexibility in finding its plants motivates worldwide growth of Enterprise.


The demographic division of Hero Dog Treats Case Study Solution is based upon gender, age, life-cycle stage and occupation. Company produces items that can be used by both females and males. The target consumers for Organization IT and mobile interaction products have an age series of 18-65 with majority at a young or freshly married life process phase. They are mostly staff members, trainees and experts. Apart from it, Enterprise Customer Electronics are targeted to a client segment with an age series of 25-65. They are primarily workers and experts. Business Gadget Solutions are targeted at students, workers and specialists with an age range of 25-65.


The psychographic segmentation of Hero Dog Treats Case Study Solution s based upon the social class and the lifestyle of the consumer. Organization target customers on the basis of social class are primarily upper middle, middle and working class customers, as Business offer products like cellular phone not much cheaper i.e. Motorola in addition to not much expensive i.e. Apple. It offers quality products to middle level consumers at a slightly high price than others targeting the same segment.


Hero Dog Treats Case Study Solution majority target customers have distinct behavioural qualities. It has consumers with an enthusiastic, trendy and figured out personality with moderate level of loyalty towards the brand name. Its clients have some degree of shift towards other popular brands i.e. Apple. Most of Corporation consumers desire quality in addition to expense control. Since of its moderate rates with a degree of quality, they are drawn in towards Organization.

Quantitative analysis.

Sales of Hero Dog Treats Case Study Analysis has increased amazingly from 16 billion $ in 1997 to 44.6 billion $ in 2002, and the net revenue of.48 billion $ to 5.9 billion $. Digital media is the biggest selling classification of Company with sales of 13.9 billion $, whereas, Telecommunication and Semiconductors sectors both reached 11 billion $ in sales.

Qualitative analysis.

Yes, this decision is based on the mission of Kim to target the younger audience and produce an international brand name picture of the company. Whereas, the core strength of the company is currently manufacturing but long gone are those days when excellent items were offering themselves. In the existing age marketing is really crucial and companies can not prosper without it. Kim has already begun to enhance the marketing activities of Corporation and soon it will turn into one of its core strength like manufacturing if not much better.



Organization runs designs, makes and sell a vast portfolio of customer electronic devices. It operates in an incredibly competitive environment and has actually successfully placed itself as the maker of quality items. The answer is yes.


As, said previously that Hero Dog Treats Case Study Analysis operates in a highly competitive environment, which implies all the business have comparable products. The answer for rarity is no.


Due to the nature of the industry, it is very easy for rivals to understand the performance of the products and quickly make their own designs. Yes, Business is only behind IBM in registering new patents yearly, but the advantage is very short-term in this market.


Chairman Lee has entirely turnaround Company, from going nearly insolvent throughout the Asian financial crisis of 1997 to the top 25 company on the planet. Definitely yes there is proper company in the company and the outcomes promote themselves.

External Environmental Analysis

PESTLE Analysis


Being a multinational brand spread almost in every nation worldwide, majority of the environments like USA, Europe, China and so on, are extremely conductive for its operations. Nevertheless, it faces some political pressures in less developed nations where law and order circumstance is bad. Latin American, African and some Asian countries fall in this classification, where political instability do have a result on Hero Dog Treats Case Study Help operations.


Purchasing power of customers is important for companies like Company to succeed and grow. Emerging markets like India, middle-eastern nations etc. offer growth chances, whereas, due to economic crisis even the clients of developed countries suffer terribly. It is really important for the company to keep an eye on the continuous economic circumstance of the country before getting in the market.


Multinational companies have to deal with various social and cultural problems during its operations in a foreign country. Venture has actually also dealt with lots of problems however have embraced to the local environments of the majority of the nations exceptionally well. It has actually tailored its items, practices, policies and so on appropriately in order to be successful.


With an annual expenditure of 2.4 billion dollars in Research study & Advancement, and with constant innovative product launches, Hero Dog Treats Case Study Solution is one of the leading ingenious business of the world. With a clear mission to be ahead of the rest when it pertains to technological developments, Corp has actually increased to the no 25 of the leading successful companies of the world.


Each country has their own laws and policies, being an international company Enterprise need to strictly follow those laws in their jurisdictions. Failure to do so, will lead to major legal consequences. So, it has to study or hire a local law expert prior to starting its operations in a particular country.


With the increasing awareness among consumers about the ecological & ethical offenses of business, Business has to guarantee that it follows all the security guidelines. Environmental damages, ethical misconducts are not acceptable and in some nations the repercussions can be very extreme. On the other hand it has to do some Business Social Responsibility practices to reveal the locals that it cares about their environment and people.

Porter's Five Forces

Hazard of Alternative

Threat of replacement for Corp's each item category is quite considerable. Factors for high risk of substitution for Hero Dog Treats Case Study Analysis Smartphone consist of the presence of high number of providers and Market saturation in industrialized countries, which make the cost of switching for customers nearly no. Along with it, Corp printing services items are threatened by the increasing destination of clients towards cloud storage.

Rivalry Amongst Existing Companies:

The rivaly among Enterprise and its close competitors is intense. The major reason behind this is the approach of market saturation in various number of item categories, requiring Business to present more innovative functions in existing items and brand-new innovative items to maintain its growth. The major rivals for Hero Dog Treats Case Study Help samrtphones include Apple, Motorola, LG, Nokia, Huawei, OPPO etc.

Hero Dog Treats Case Study Analysis has a huge supply chain including about 2700 providers throughout the world.( Org Sustainability Report, 2016) Supplier's bargaining power for Corporation is low as Company runs economies of scale and its orders are of potential size and worth. These big orders make it possible for Business to negotiate prices with its suppliers. However, due to incapability of Hero Dog Treats Case Study Solution to build its own software application, it needs to outsource its software development to Google, which becomes a prospective supplier of software for Business, leading to high bargaining power of Google. In many of Hero Dog Treats Case Study Help has a power to negotiate prices, but it offer significant prices to its providers to develop a strong supply chain and to have strong relationships with its providers.

Bargaining Power of Purchasers:

Negotiating power of buyers for different variety of item classifications of Organization is extreme. Among the aspect resulting in the intense bargaining power is the schedule of large number of rivals in practically each item category i.e. rivals of Enterprise Smart device, with a really little differentiation. The high accessibility of suppliers of Mobile phones with minimum distinction, make the changing expense for buyers nearly zero, thus increasing the bargaining power of buyers. Market saturation in most of the item categories also make the bargaining power of purchasers more intense in for Hero Dog Treats Case Study Analysis. In spite of igh bargaining power Venture is rather efficient in selling its products at a greater rate than much of its rivals, due to high-end quality product and a fair brand image.

Danger of New Entrants:

Hazard of new entrants for Hero Dog Treats Case Study Solution is rather low. Along with it, requirement of huge proficiency and research study and development expenses for survival in the industry likewise make new entrants hesitant to enter in the market. Market saturation is also one of the barrier of entry in innovation industry.

Competitive Analysis

Venture's high item diversification provides it distinction from its rivals. Unlikely to its close rivals consisting of Sony, Intel and Nokia, who focus majority on a single item category with Sony focusing on consumer electronic devices, Nokia on cell phones and Intel on chips, Hero Dog Treats Case Study Help had a big R&D spending on all of its product categories which enable the business to make possible profits from sales of nearly all of its products.

The company ranks first in 4 item classifications i.e. DRAM Chips, LCD Displays, Big Screen Televisions and Microwave ovens, in terms of worldwide market share, amongst 8 different item classifications. Corp was the global leader in producing DRAM, SRAM and NAND flash chips. Business profits from chips was less than Intel but its incomes from chips was growing much faster than Intel and has grown close to the earnings levels of Intel, as provided in the case Exhibition 2.

In addition to the chips Enterprise mobile market was also flourishing at a high rate than its competitors i.e. Motorola and Nokia. Corp's mobile phone's sales growth was 51% as compare to Motorola with only 4% and Nokia with absolutely no sales development. The major reson behind Enterprise's high development despite of greater costs than Nokia and Motorola was the company's high-end quality mobile phone.

Organization was likewise reaping the benefits from increasing market share of high-end LCDs as given up case Exhibit 3. The significant reason, making the business enable to get the chance is its mass production at low expense. Sony was the most significant rival for Hero Dog Treats Case Study Analysis in LCD market, however, it had actually also started joint venture with Corp in 2003 for LCD making, lessening the competition for Corp.

Porter's Competitive Method

Low Cost Management strategy of porter is totally carried out by Corporation the method they accomplish economies of scale by enhancing their core competencies of manufacturing. They always bring something new and ingenious whether it's a service or a product.


Alternative Solution 1

The Chief Marketing Officer (CMO) of Hero Dog Treats Case Study Solution would produce a brand-new brand image by targeting the younger generation of the specific nation. As, particularly mobile phones of Corp are very popular amongst the more youthful group.


1. It is the very best strategy to build Customer Life time Worth (CLV) by creating a long-lasting relationship with clients. Develop commitment through delivering worth and profit for long-lasting, as research study has showed it is much cheaper to keep current clients than to draw in brand-new ones.
2. Another pro of this alternative is that word of mouth spread quicker among more youthful people and which in turn will generate brand-new customers for my products.


1. Old customers who were connected with Enterprise before may not like this new image the business is attempting to represent.
2 It will incur additional costs to rearrange some products and it might not even bring success as the trends alter very rapidly amongst the more youthful demographic.

Alternative service 2.

Business has made producing its core proficiency for the a lot of part of their business and due to which its managers are not afraid to fully get out of their comfort zone. It would be done by arranging training workshops during which significance of marketing will be taught and numbers will be given. Failure to get the passing scores will get benched. Marketing environment ought to be produced internally first as real marketing begins inside the corporation.


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


2. Its con can create a really unhealthy environment in the office, as individuals frequently withstand change since they fear it.

Determine the best option

Very first option is the very best as it clearly has more pros due to the fact that as soon as a Customer Life time Value is constructed the company will benefit from it till that consumer is alive and has purchasing power as well. Plus, our target customers are the more youthful generation which are bound to live longer than the present old age individuals. Corp's primary objective is to create loyalty among its consumers and make them bought it from them and even buy their various products.

Implementation Plan

• Targeting younger generation through social marketing, creating a relate to them like Pepsi finish with music. And set the expectations realistic and possible.
• A group consisting of finest marketing and sales experts ought to be put together, and both views ought to be taken into consideration before securing the resources needed to implement the plan.
• Thorough communication of the plan should be done as it is extremely important for everybody to be on the very same page to make it work.
• Tasks and timelines ought to be build and interacted appropriately to each individual responsible.
• The supervisor need to use a control panel which reveals the progress of all the jobs which have actually been done or about to be done and by whom.
• The manager should keep an eye on and keep a constant examine the individual and total performance.
Due to the fact that any new trend or policy might come in due to which all the things already prepared have to be adjusted, • Everyone should be willing to adapt midway. It's much better to have contingency plans already prepared.
• At the end of the project the manager should communicate the results and if effective must celebrate with the team.

Spending plan

This change the budget allocation of various nations and many supervisors were unhappy and argued however the analysis done by the program was precise and revealed figures like North America and Russia growth prospective warranted a 35% allocation while they were getting 45%. It truly helped to fairly disperse the resources and capture more clients by spending more on advertisements on the high growth capacity regions of the world.

Its continuous financial 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 top 3 brand names in the world. Their marketing efforts ought to be directed towards more youthful group amidst the internal arguments about marketing and need to develop Client Life time Value as it will not just give them benefits now however will continue to enjoy it till the client lifetime. As the expense of keeping the client is much cheaper than drawing in a brand-new one.