Lowell General Physician Hospital Organization Harvard Case Study Analysis

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Lowell General Physician Hospital Organization Case Study Solution and Analysis


Historically, the company's core clients consist of the Original Devices Manufacturers (OEMs), which used to offer Lowell General Physician Hospital Organization Case Study Analysis items withtheir own brand name. Its consumer circle consists of Original Equipment Manufacturers (OEMs), who utilized to sell Org items with their own brand name. He rearranged Corp as a worldwide brand name and educated his divisional supervisors to comprehend marketing and its value.

Problem Statement

Organization's shift from an item based to a marketing business is not going as efficiently as planned.Overcoming the hesitation of divisional managers to include marketing effectively is still a major difficulty. Creating a constant brand name identity across the entire world and using marketing techniques that best fits the local culture is no simple job.
Executive Summary
Situational Analysis

Lowell General Physician Hospital Organization Case Study Solution efforts for constructing its brand throughout the world was begun after presenting the "new management effort" by Chairman Lee in 1993. The goal was to transform Enterprise from a low-cost OEM to a high value-added product supplier. To make the vision of Enterprise a reality, Chairman Lee designated Yun as a vice chairman in 1997. Yun had a rather clear picture in his mind about how Organization can transform from a low end to a high-end item provider. He understood that transformation can just be done through placing Business as a company providing 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 Enterprise brand, with a possible assistance of its executives, Yun dealt with numerous marketing difficulties in early years of its efforts.

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

Along with it the item variety of the company was increasing with the ripening of new item ideas by the R&D sector of Venture. Yun had an obstacle to carry out marketing preparation and to create marketing budget plans for existing as well as for brand-new products from the very start, and this would take a substantial time.

A big shift would be needed in current marketing expenditures to develop the Enterprise brand. This would result in increased marketing expenditures for Business and could disturb the administration concerning increased costs, as they were hesitant to marketing expenditures formerly and a sudden huge shiftwould make them interrupt.

Internal Analysis
SWOT Analysis

Enterprise strengths depend on its huge item portfolio. Corp has biggest variety of patents in the market with overall variety of 15499 patents granted in US( USP). Big quantity of R&D spending has actually enabled the business to grow its item portfolio at a greater rate than its competitors. Lowell General Physician Hospital Organization Case Study Analysis spent about $13.079 billion on its R&D sector in 2016, which is 7.3% of its total revenues.

Another strength of Lowell General Physician Hospital Organization Case Study Help is its capability to establish ingenious items at a constant rate. It significant proves for the development and product designing of Enterprise is that the company has actually gotten a lot of awards for its development and item style.

Unlike Apple and other rivals, Org is concentrated on producing devices which can be quickly integrated with any type of open source Operating System (OS) and software application. This supplies Organization an edge over Apple devices.
Porter's 5 Forces Analysis
Org's capability to produce high end items at low expense of production is also among the significant strength of Company as it enables the company to record more market by supplying quality items with cost control.


Corporation's weak points are concealed in the company's dependence on outsourcing software application for its devices due to company's failure in establishing software application, unlike Sony. Lowell General Physician Hospital Organization Case Study Solution also has low earnings margins as compare to Apple due to substantial difference in the rates of Apple and Organization with a much lower difference in quality.


Opportunities for Lowell General Physician Hospital Organization Case Study Help lie in the growing Mobile phone 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 expansion by moving towards more emerging markets outside Asia.


The vibrant industry environment of innovation industry pose an extreme risk on Corp's survival and require the business to spend much of its incomes share on R&D in order to survive in the long run. The market saturation in industrialized nations i.e. saturation of mobile business is also a big hazard for the company's development in the existence of strong competitors like Apple.

4 P's of Marketing
Swot Analysis

Business offers quality items and has a quite abundant portfolio which caters to different segments. LCD and mobile phones are the biggest products of Corporation, whereas DRAM is likewise not far behind in contrast of them.

• Laptops.
• Mobile phones.
• Air conditioning unit.
• Desktop computer.
• Hard drives.
• Washing machines.
• Refrigerators.
• Cameras.
• Microwaves.
• Flash memory.


Lowell General Physician Hospital Organization Case Study Solution utilizes both market competitive and market skimming rates strategies for its wide range of items. In competitive rates it adjusts the rate according to the competition in order to get benefit, whereas, it utilizes market skimming strategy where the product has actually an added value and by offering a couple of items it can reach break-even.


It has one of the best supply chain networks, with retail suppliers, their own sole suppliers, E commerce channels like Amazon etc. All its products are prompt supplied to the selling place/ provided to the customers straight in case of online order.

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

Worth Chain Analysis.

It's an analytical structure for recognizing service activities that add worth or competitive advantage for the business.

Incoming Logistics.

For its inbound logistics it owns numerous logistics firms as it subsidiaries. It looks after its providers and produces a harmonious relationship with them and even decreased their payment cycles to increase this relationship even more which adds value to their chain network.


Org's core competency is its mass producing it produces 90% of its items in-house. Divided into 3 different divisions its operations are specifically IT & Mobile Communications, Gadget Solutions and Consumer Electronics. It is maintaining operation hubs worldwide to further include worth to its value chain network.

Outbound Logistics.

Its outbound logistics system performance is among the main reasons Lowell General Physician Hospital Organization Case Study Analysis has the ability to compete with Apple. Org's own Electronic Logitec system plays a significant function in the outgoing logistics operations. It even carries out the jobs of collection of payment, settling insurance claims, etc. on behalf of Organization.

Marketing and Sales.

Drawing in target customer attention towards the product is done through marketing and sales to communicate with them the value and competitive benefit the product offers. Lowell General Physician Hospital Organization Case Study Solution advertising budget plan is continuously growing given that they started their rearranging internationally and will continue to do so as they are constantly looking to invest and broaden in high possible development markets. The budget plan is invested in occasions, print and media advertisements, public relations etc.

Corporation Service. Org put their customers on top and constantly make every effort to provide unmatchable customer support requirements. As after sales service is becoming exceptionally essential to keep customers delighted and engaged, they even carry out studies through 3rd parties to learn their consumer's feedback and execute it in the favorable way to reduce or if possible completely remove their customer concerns. By adding a direct assistance line to contact them 24 hours they have further increased the included value of Lowell General Physician Hospital Organization Case Study Solution service.


Lowell General Physician Hospital Organization Case Study Solution has diversified market segmentation, based upon its arrangement of wide range of items to large number of customers. Organization target consumer sections can be divided into 3 classifications i.e. Lowell General Physician Hospital Organization Case Study Help IT and Mobile Communications, Corporation Consumer Electronics and Organization Device options.


Lowell General Physician Hospital Organization Case Study Analysis geographical division is based upon 2 requirements i.e. area and density. Enterprise serves about 80 countries worldwide with its items supplied to Urban as well as Backwoods of the country. The Business is also growing its international presence and the company's versatility in locating its plants encourages international growth of Company.


The group segmentation of Lowell General Physician Hospital Organization Case Study Solution is based upon gender, age, life-cycle stage and occupation. Corporation produces items that can be used by both males and females. The target clients for Corporation IT and mobile interaction items have an age series of 18-65 with majority at a young or recently married life process phase. They are mostly students, staff members and experts. Apart from it, Company Consumer Electronic devices are targeted to a client segment with an age variety of 25-65. They are mostly workers and professionals. Nevertheless Lowell General Physician Hospital Organization Case Study Analysis Device Solutions are targeted at students, workers and specialists with an age variety of 25-65.


The psychographic segmentation of Lowell General Physician Hospital Organization Case Study Help s based upon the social class and the lifestyle of the consumer. Corp target clients on the basis of social class are mainly upper middle, middle and working class clients, as Enterprise offer items like mobile phone very little less expensive i.e. Motorola along with very little expensive i.e. Apple. It provides quality products to middle level customers at a slightly high price than others targeting the exact same segment.


Lowell General Physician Hospital Organization Case Study Help bulk target customers have distinct behavioural qualities. It has consumers with an ambitious, trendy and figured out 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 Company clients desire quality as well as expense control. Because of its moderate prices with an extent of quality, they are attracted towards Org.

Quantitative analysis.

Sales of Enterprise has increased astonishingly from 16 billion $ in 1997 to 44.6 billion $ in 2002, and the net earnings of.48 billion $ to 5.9 billion $. It has actually likewise decreased its financial obligation from 15 billion $ to 4.6 billion $. Digital media is the biggest selling classification of Corporation with sales of 13.9 billion $, whereas, Telecommunication and Semiconductors sectors both reached 11 billion $ in sales. Profits/ sales are increasing however net profit is not increasing appropriately because of the high overhead cost. New expansions and employing's were the main reason of the boost in the overhead expenses, with china currently not offering any revenue to Company, but there is so much capacity in the current market with 75 % yet to be explored.

Qualitative analysis.

Whereas, the core strength of the company is presently making but long gone are those days when good items were selling themselves. Kim has already begun to enhance the marketing activities of Company and really soon it will become one of its core strength like producing if not better.



Corporation operates designs, produces and offer a huge portfolio of customer electronics. It runs in an exceptionally competitive environment and has effectively placed itself as the maker of quality items. The response is yes.


As, stated earlier that Lowell General Physician Hospital Organization Case Study Solution operates in an extremely competitive environment, which indicates all the business have similar products. The response for rarity is no.


Due to the nature of the industry, it is really simple for rivals to understand the performance of the products and easily make their own designs. Yes, Business is just behind IBM in registering brand-new patents each year, however the advantage is very short-term in this industry.


Chairman Lee has completely turn-around Org, from going almost bankrupt during the Asian financial crisis of 1997 to the leading 25 business on the planet. Definitely yes there appertains company in the company and the results promote themselves.

External Environmental Analysis

PESTLE Analysis


Being an international brand name spread practically in every nation worldwide, bulk of the environments like USA, Europe, China and so on, are really conductive for its operations. However, it faces some political pressures in less industrialized countries where order scenario is bad. Latin American, African and some Asian countries fall in this classification, where political instability do have an impact on Lowell General Physician Hospital Organization Case Study Help operations.


Purchasing power of customers is important for companies like Org to grow and be successful. Emerging markets like India, middle-eastern nations etc. supply development opportunities, whereas, due to economic crisis even the customers of developed countries suffer badly. Thus it is really crucial for the business to watch on the ongoing economic situation of the country prior to getting in the marketplace.


Multinational companies have to deal with numerous social and cultural concerns throughout its operations in a foreign country. Business has likewise dealt with numerous problems but have actually adopted to the regional environments of the majority of the countries exceptionally well. It has customized its items, practices, policies etc. appropriately in order to succeed.


With an annual expenditure of 2.4 billion dollars in Research & Advancement, and with consistent ingenious product launches, Lowell General Physician Hospital Organization Case Study Solution is among the top innovative companies of the world. With a clear mission to be ahead of the rest when it concerns technological improvements, Company has risen to the no 25 of the top successful business of the world.


Each country has their own laws and policies, being a multinational business Venture have to strictly follow those laws in their jurisdictions. Failure to do so, will result in major legal consequences. It has to study or work with a local law professional before starting its operations in a specific nation.


With the increasing awareness among consumers about the ethical & ecological violations of business, Org has to ensure that it follows all the safety guidelines. Ecological damages, ethical misconducts are not appropriate and in some nations the consequences can be really serious. On the other hand it needs to do some Business Social Duty practices to reveal the locals that it appreciates their environment and people.

Porter's 5 Forces

Danger of Substitution

Risk of alternative for Org's each product classification is rather considerable. Aspects for high danger of substitution for Lowell General Physician Hospital Organization Case Study Help Mobile phone include the existence of high number of suppliers and Market saturation in developed countries, which make the expense of changing for customers practically no. Along with it, Corporation printing options items are threatened by the increasing attraction of consumers towards cloud storage.

Rivalry Among Existing Firms:

The rivaly amongst Corporation and its close rivals is extreme. The major reason behind this is the technique of market saturation in different number of item categories, requiring Corporation to present more innovative functions in existing products and new innovative products to preserve its development. Other element for the intense rivalry among the rivals is the little product differentiation amongst the items. The popular players in the innovation market are rather aware of the significance of R&D spending for their survival and are encountering a race of marketing and R&D spending, to catch the market. The major rivals for Lowell General Physician Hospital Organization Case Study Solution samrtphones include Apple, Motorola, LG, Nokia, Huawei, OPPO and so on. High competition rivalry leads to the fluctuating market shares which can be seen in Display F.

Bargaining Power of Providers:

( Company Sustainability Report, 2016) Provider's bargaining power for Business is low as Corporation runs economies of scale and its orders are of prospective size and worth. Due to incapability of Lowell General Physician Hospital Organization Case Study Solution to develop its own software, it has to outsource its software development to Google, which ends up being a potential provider of software for Corporation, resulting in high bargaining power of Google.

Bargaining Power of Buyers:

Market saturation in most of the item classifications likewise make the bargaining power of purchasers more intense in for Org. In spite of igh bargaining power Business is rather capable of offering its products at a higher rate than much of its rivals, due to high end quality item and a fair brand name image.

Threat of New Entrants:

Risk of brand-new entrants for Corp is rather low. One of the significant aspect for low danger of brand-new entrants is the high competition in the industry. The requirement of big amount of capital to enter in the market is also among the prospective barrier to entry. Together with it, requirement of big know-how and research and development expenses for survival in the industry also make new entrants unwilling to enter in the market. Market saturation is also among the barrier of entry in innovation market. High bargaining power of providers force the gamers in the industry to charge as low costs as possible and this can only be attained by production efficiency. New firms, in majority cases, lack the production effectiveness, thus increasing the dangers for entrance in the technology industry.

Competitive Analysis

Company's high item diversification offers it differentiation from its rivals. Unlikely to its close rivals including Sony, Intel and Nokia, who focus majority on a single product classification with Sony focusing on customer electronic devices, Nokia on cell phones and Intel on chips, Lowell General Physician Hospital Organization Case Study Solution had a substantial R&D spending on all of its item classifications which enable the company to earn possible revenue from sales of nearly all of its items.

The business ranks first in 4 product classifications i.e. DRAM Chips, LCD Displays, Big Screen Televisions and Microwave, in terms of international market share, amongst 8 various item categories. Corporation was the global leader in producing DRAM, SRAM and NAND flash chips. Enterprise revenues from chips was less than Intel but its profits from chips was growing much faster than Intel and has actually grown close to the earnings levels of Intel, as given in the case Exhibit 2.

Together with the chips Venture mobile market was also thriving at a high rate than its rivals i.e. Motorola and Nokia. Corp's mobile phone's sales growth was 51% as compare to Motorola with just 4% and Nokia with zero sales growth. The major reson behind Business's high growth despite of greater costs than Nokia and Motorola was the business's high-end quality cellular phone.

Company was also reaping the benefits from increasing market share of luxury LCDs as given in case Exhibit 3. The significant factor, making the business make it possible for to obtain the chance is its mass production at low expense. Sony was the most significant competitor for Lowell General Physician Hospital Organization Case Study Analysis in LCD market, nevertheless, it had also begun joint endeavor with Organization in 2003 for LCD making, decreasing the competitors for Org.

Porter's Competitive Method

Low Cost Leadership strategy of porter is totally executed by Corp the way they achieve economies of scale by reinforcing their core competencies of manufacturing. They always bring something new and innovative whether it's a service or an item.


Alternative Service 1

The Chief Marketing Officer (CMO) of Lowell General Physician Hospital Organization Case Study Solution would develop a brand-new brand image by targeting the younger generation of the specific country. As, particularly smart phones of Enterprise are incredibly popular amongst the more youthful market.


1. It is the very best strategy to construct Customer Lifetime Worth (CLV) by producing a long-lasting relationship with consumers. Develop loyalty through providing worth and profit for long-term, as research has showed it is more affordable to keep existing clients than to draw in brand-new ones.
2. Another pro of this option is that word of mouth spread quicker among younger people and which in turn will bring in new clients for my products.


1. Old clients who were associated with Org before might not like this brand-new image the company is trying to depict.
2 It will incur further costs to rearrange some items and it may not even bring success as the trends change extremely rapidly among the younger group.

Alternative service 2.

It would be done by arranging training workshops during which value of marketing will be taught and numbers will be offered. Marketing environment need to be produced internally first as genuine marketing starts 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 really unhealthy environment in the office, as people frequently withstand modification since they fear it.

Recognize the very best alternative

Very first alternative is the best as it clearly has more pros because as soon as a Consumer Lifetime Worth is constructed the business will make money from it till that client lives and has purchasing power too. Plus, our target consumers are the younger generation which are bound to live longer than the current aging people. Nonetheless, Company's primary goal is to create loyalty amongst its clients and make them redeemed it from them and even purchase their different products too.

Implementation Plan

• Targeting more youthful generation through social marketing, creating a link with them like Pepsi do with music. And set the expectations realistic and attainable.
• A team including best marketing and sales specialists ought to be assemble, and both views must be taken into consideration prior to securing the resources needed to implement the plan.
• Thorough interaction of the strategy must be done as it is really important for everyone to be on the very same page to make it work.
• Jobs and timelines ought to be develop and interacted accordingly to each individual accountable.
• The supervisor need to utilize a dashboard which reveals the progress of all the tasks which have actually been done or about to be done and by whom.
• The supervisor ought to monitor and keep a consistent check on the individual and general efficiency.
• Everybody should be willing to adjust midway due to the fact that any new pattern or policy might can be found in due to which all the things currently planned have to be adjusted. It's much better to have contingency plans currently prepared.
• At the end of the campaign the manager need to interact the outcomes and if successful should commemorate with the team.

Spending plan

This modification the spending plan allocation of different nations and many supervisors were dissatisfied and argued but the analysis done by the program was accurate and showed figures like North America and Russia development possible warranted a 35% allotment while they were receiving 45%. It actually helped to relatively disperse the resources and catch more consumers by investing more on advertisements on the high development potential regions of the world.

Its consistent investment in R&D and ingenious practices have propelled them to brand-new heights but for them its' just the start and they desire to be among the top 3 brand names in the world. Their marketing efforts ought to be directed towards more youthful market in the middle of the internal arguments about marketing and need to produce Customer Lifetime Worth as it will not only provide them benefits now however will continue to enjoy it till the consumer lifetime. As the cost of keeping the customer is much less expensive than attracting a new one.