...department of LG. The following is a PESTEL analysis followed by a Porter’s FIve Forces analysis. Political There are many things to consider about politics for a multinational technology based company. Many different governments play a role in politics for a worldwide manufacturer. There is a large political movement for changing laws for more eco-friendly companies. In order for LG to create cell phones, tablets, and accessories, the LG must acquire material that is extracted from the earth, for example: aluminum, antimony, cadmium, cobalt, copper, etc. Also, in order to manufacture these electronics, LG must create plastics, batteries, and circuit boards, which use quite a bit of crude oil in the process of manufacturing. If political leaders in certain parts of the world were to change the laws about being more eco-friendly, LG would have to change either where they manufacture or how they manufacture. The eco-friendliness of LG’s manufacturing will affect many areas of the external analysis. Another major thing to consider for a political factor is importing and exporting products and materials. LG operates worldwide and could be affected by certain government decisions on their country's import or exporting standards or allowances. Along the same line as that, governments also have power over minimum wage and tax laws. Which can affect either way for a major manufacturer such as LG. Economic When considering an external economic analysis for LG, one must...
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...LG IN THE INDIAN COLOUR TELEVISION MARKET INTRODUCTION Ever since its inception in India 'LG India' has made an impressive beginning and has shown commendable progress on all parameters of keeping in touch with the market. This report aims to establish the factors included in the marketing plan of LG in India (in the colour television market) that has contributed to its rise to glory. This report begins by giving the origin and background of the company. Then the company and its environment have been studied. This includes the discussion of the PEST factors and Industry Analysis (Porter's Five Forces) followed by a SWOT Analysis. The next part involves the CSFS and competitive advantages followed by a discussion of the company's strategies. The last part then includes alternative strategic app and conclusion. BACKGROUND AND ASSUMPTIONS Origin The Lucky Group (now known as LG) has its origins dating late back to January 5, 1957 when founder Chairman Hwoi Koo had invested all his personal assets in its formation with great success isn many rounds of reinvestment by the late 1950s, Mr. Koo announced his intention to get into electronics after much painstaking research and planning the Goldstar Company (now known as LG Electronics) was founded on 1.10.1958. LG Electronics India Limited After being appointed one of the official sponsors of CTV kits for the Asian Games in New Delhi - 1982, LG disappeared for the next 12 years. Then in 1995 it came together...
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...Introduction This case study highlights Apple Inc. position on the consumer electronics retail within the United Kingdom’s market. The competitive conditions are highlighted using Porter’s five forces theory. The second part of this case study shows how Apple Inc handles the different forces and threat to remain competitive on the market. Porter’s five forces The Porters five forces is a model helping to analyse the forces that shape an industry’s competitive environment. The tool can be used to define the attractiveness of an industry as well as plan the strategy of a company within a market. Competitive rivalry within the industry The main actors of the consumer electronic goods are divided depending of the type of products their providing. Based on Apple’s product, we can identify the following competition’s group: * Computers: Lenovo, HP, Acer, LG, Fujitsu, etc. * Smartphones: Samsung, HTC, Sony Ericsson, LG, Nokia, Blackberry, etc. * Music players: HP, Samsung, etc. * Tablets: Samsung, Tesco, Acer, Microsoft, Blackberry, etc. The competitive rivalry is intense within the consumer electronic goods retail. Entering this market as a new brand is very difficult as the current actors are well settle. Also many companies having a step in the market are diversifying their type of electronic products, and each of them is a potential competitor for any other brand. Bargaining power of buyers The buyers have the opportunity to compare the products prices using...
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...1- What might have happened to Apple if its top executives had not supported investment in iPads? Answer- The idea of an iPad took the market by storm. If Apple’s executives had not supported the investment in iPad, then any of their rivals would have launched a tablet. Just like Samsung, HP, Microsoft did just after Apple launched their iPad. If that would have happened, then Apples share in the electronic industry would be limited to mobile phones and computers only and Apple would have lagged behind from its rivals and the scenario of today’s electronic market would have been different. 2. Why would it be unethical for Apple to sell its iTunes customer information to other businesses? Answer- If Apple ever tried to sell its customer information to any third party institution, then it would be really unethical act because Apple is carrying the trust of millions of its customers and if they sold that information to someone then that information can be used for many illegal ways, because it contain both financial and personal information of the user. So by doing this Apple will be breaking the trust of millions of its customers. 3. Evaluate the effects on Apple’s business if it failed to secure its customer information and all of it was accidentally posted to an anonymous website. Answer- Although, the protection of this type of information is among the top priority of it companies, but still if this information is leaked someday then it will be proved as a disaster...
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...` BANKING ACADEMY, HANOI BTEC HND IN BUSINESS (ACCOUNTING) ASSIGNMENT COVER SHEET | NAME OF LEADER | | REGISTRATION NO. | | UNIT TITLE | Unit 4: Marketing Principles | ASSIGNMENT TITLE | LG Electronics in Vietnam | ASSIGNMENT NO | 1 of 2 (Group Assignment) | NAME OF ASSESSOR | Ms. Doti Chee | SUBMISSION DEADLINE | November 2013 | ------------------------------------------------- ------------------------------------------------- I, __________________________ hereby confirm that this assignment is my own work and not copied or plagiarized from any source. I have referenced the sources from which information is obtained by me for this assignment. ------------------------------------------------- ------------------------------------------------- ------------------------------------------------- ------------------------------------------------- ------------------------------------------------- ________________________________ _________________________ ------------------------------------------------- ------------------------------------------------- Signature Date ------------------------------------------------- Serial No | Group member (Vietnamese Name) | Group member (English Name) | Class FO6 | Student no | Signature...
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...Introduction LG is a South Korean company that manufactures mobile phones, as well as other devices such as televisions and home appliances. They also offer Appliances , computer product, solar, LG originally stood for "Lucky Goldstar", but is now promoted as meaning "Life's Good". And LG is the fourth largest mobile phone manufacturer in the world. LG Porter's Five Forces Analysis The Bargaining Power of Buyers The bargaining power of buyers is petty moderate. There aren't many companies have same quality of products as those of LG. They have really high technologically televisions, monitors, notebook PCs. It stand out among existing competitors. Everything from the slim and sleek, it make the products superior to the competing companies. The Bargaining Power of Suppliers LG 's bargaining power of suppliers is very low. The company forms information partnership to create cooperation among supply chain partners for mutual success. It enters into a cooperative relationship with its suppliers by becoming their shareholders. This allows LG to promote strategic relationships with equipment and parts suppliers, which enables a stable source of supply at competitive prices. The result is high-quality parts at a lower cost which is done through sharing product concepts with suppliers early in the product development cycle. Threat of Substitute Products or Services The threat of substitute products is low. Their main production is panel TV, Substitutes for LCD are LED...
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...STRATEGIC MARKETING PLAN FOR LG ELECTRONICS NIGERIA STRATEGIC MARKETING PLAN FOR LG ELECTRONICS NIGERIA Omoruyi Okekumata Omoruyi Okekumata TABLE OF CONTENT table of contents i EXECUTIVE SUMMARY ii II Introduction 4 III Situation Analysis 5 1.1 competition analysis 5 2.1 pest factors in lg 5 2.1.1 political factors 5 2.1.2 economic factors 5 2.1.3 social-cultural factors 5 2.1.4 technological factors 5 3.0 PORTER’S FIVE FORCES ANALYSIS OF LG ELECTRONICS 6 3.1 Rivalry among Competitive Firms 6 3.2 POTENTIAL Entrants 6 3.3 Threat of substitute products or services 7 3.4 The Bargaining power of customers (buyers) 7 3.5 The Bargaining Power of Suppliers 7 4.0 SWOT Analysis 8 4.1 Strengths: 8 4.2 weakness 8 4.3 opportunities 8 4.4 threats 9 5.0 Aims, Objectives and strategies 9 5.1 Mission/Aim 9 5.2 Marketing Objective 9 5.3 Financial Objective 10 5.4 Strategy 10 5.5 core value 10 5.6 tactics 10 5.7 control 10 6.0 segmentation, targeting and positioning strategies 11 6.1 target market 11 6.2 segmentation 11 6.2.1 segmentation from geographic 11 6.2.2 segmentation from demographic 12 6.2.3 segmentation from behaviouralistic approach 12 6.3 positioning 12 7.0 implementation 13 7.1 Product in the Marketing mix of LG 13 7.2 Price in the Marketing mix of LG 14 7.3 Price in the Marketing mix of LG 15 7.3.1 Marginal cost pricing 15 7.3.2 Geographical Pricing 16 7.4 Promotion in the Marketing mix of LG 16 8.0 appendices 16 8...
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...PORTERS FIVE FORCES Porter's Five Forces is a framework for industry analysis and business strategy development formed by Michael E. Porter of Harvard Business School in 1979. Porter referred to these forces as the micro environment. They consist of those forces close to a company that affect its ability to serve its customers and make a profit. The overall industry attractiveness does not imply that every firm in the industry will return the same profitability. Firms are able to apply their core competencies, business model or network to achieve a profit above the industry average. The five forces of porter’s five forces model are as follows: 1. The threat of the entry of new competitors 2. The threat of substitute products or services 3. The bargaining power of customers (buyers) 4. The bargaining power of suppliers 5. The intensity of competitive rivalry 1. The threat of the entry of new competitors Profitable markets that yield high returns will attract new firms. This results in many new entrants, which eventually will decrease profitability for all firms in the industry. The new entrants face barriers to entry. They need to overcome them to compete successfully. Some of the barriers are capital requirement, customer loyalty, experience, etc. Specialized technology, production and distribution require high capital costs which acts as one of the barrier. The high customer’s loyalty and experience of the established firms also...
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...3141 group ass: porter 5 forces and life cycle Porter’s Five Forces Model: Porter’s five forces model is commonly used when making an analysis of competitive structure of an industry and the factors need to consider and analyse include: competitive rivalry within an industry, barriers or threats to entry, supplier power, buyer power, and threat of substitutes. 1. Competitive rivalry within an industry: When analyzing an industry, it is necessary to pay attention on each main competitor, there are a few factors that every company should analyse, these include the concentration, structural diversity, differentiation, and production capacity, applying in Motorola, competition is caused by the presence of many other companies that compete for the same target market and supply, secondly, low switching cost for customers to choose between all the similar products, thirdly, there is rare strategy for remedy when the company losing its market position and advantages, and lastly, a diversity of rivals with different histories, culture, and environment. Motorola is also facing a problem that there are many competitors such as Apple, Samsung, LG, Sony, and so on, the competition in the smartphone industry is really high, one of the important way that the company needs to consider is “the fight of high value”, they should work to gain more valued consumers, and gain the advantages that to always go first and support a country or city which is in the most difficult period...
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...Porter’s Five Forces Porter’s Five Forces analysis is a model used for industry analysis. Apple plays a significant role in four businesses, namely the communication equipment industry, the music and video industry, the mobile phones industry, and the personal computer (PC) industry. Because its participation in the overall PC industry is comparatively small compared to its other products, only the first three industries shall be analysed here. Apple’s overall business includes eight product lines: iPhone , its related products and services; iPad and related products and services, Mac portables and other music related products and services, Mac desktops, iPod, software, services and other hardware (Apple, Inc., 2014; GCEIP, 2014). 3.1 Bargaining Power of Buyers Communication Equipment Industry Buyer power is moderate. Apple communications equipment caters to individual buyers, but each buyer has little bargaining power as he/she bargains for him/herself alone. If the company loses just one consumer, the effect on the company will be insignificant. Collectively, however, buyer power may be more significant, as switching costs are low. Fixed line telecommunication devices have a low degree of differentiation and there is little innovation taking place in this area, for which reason buyers are sensitive to price levels and could easily transfer from one supplier to another. Apple’s major competitors in this market include Lenovo, Nokia, and Samsung (GCEIP, 2014; CEIPUK,...
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...AN INNOVATION STRATEGY FOR LG ELECTRONICS Thanks to the continuous technological innovation of handsets, the rise of mobile phones has been nothing short of phenomenal and the trend is expected to continue in the years to come (Frost & Sullivan, 2006). Their continued success is down to the fact that today’s handsets have become much more than simply mobile phones. A mobile phone can function as a camera, PDA and has many other features such as gaming functions and access to the Internet. Based on 3G, broadband is also paving the way for video-telephony and TV viewing. Characterised by continuous change and innovation, the mobile phone industry then sets an exciting stage for devising an innovation strategy. Our focus will be on mobile phone manufacturer LG. LG Electronics, Inc. is in fact a consumer electronics company with two other business units (Digital Display & Media and Digital Appliances), besides the Handset unit we will focus on in our report. On a global scale, LG’s handset division is 5th in terms of market share based on handset revenue, behind Nokia, Motorola, Samsung, and Sony Ericsson (see Appendix 1). Despite not being in the ‘Big Four’, LG’s market position is that of a strong challenger considering the many other ‘me too’ competitors that exist (e.g. NEC, Sanyo), but who fail to register in consumers’ minds. LG’s achievement can be seen to be mainly due to the success of their ‘Black’ series with popular models such as ‘Chocolate’ and ‘Shine’. Industry...
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...inline citations. Tagged since September 2010. * It may require cleanup to meet Wikipedia's quality standards. Tagged since September 2010. | A market analysis studies the attractiveness and the dynamics of a special market within a special industry. It is part of the industry analysis and this in turn of the global environmental analysis. Through all these analyses the opportunities, strengths, weaknesses and threats of a company can be identified. Finally, with the help of a SWOT analysis, adequate business strategies of a company will be defined.[1] The market analysis is also known as a documented investigation of a market that is used to inform a firm's planning activities, particularly around decisions of inventory, purchase, work force expansion/contraction, facility expansion, purchases of capital equipment, promotional activities, and many other aspects of a company. Contents [hide] * 1 Market segmentation * 2 Dimensions of market analysis * 3 Elements * 3.1 Market size * 3.2 Market trends * 3.3 Market growth rate * 3.4 Market opportunity * 3.5 Market profitability * 3.6 Industry cost structure * 3.7 Distribution channels * 3.8 Success factors * 3.9 Applications * 4 References * 5 See also | [edit] Market segmentation Market segmentation is the basis for a differentiated market analysis. Differentiation is important. One main reason is the saturation of consumption, which exists due to the increasing...
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...attraction center which attracts lots of visitors and foreigners from all over the world. The consumer base of Sydney is huge and the demand for high quality appliance and facility large. This paper is a critical analysis which describes the existing market environment and industry information. The paper firstly gave a brief introduction about the local retailing industry. The following part of the paper defined the mission and the marketing objectives of the target white goods outlet and re-emphasis on the Five Forces model. Implementation plan is more explicit which describes the market condition, promotion, distribution, pricing, product and other related areas of launching the new business. Finally, we made some suggestion and recommendation on the marketing strategies. This marketing plan is just preliminary and need adjustments when implemented. Table of Contents 1.0 Exclusive Summary 1 2.0 Introduction 2 3.0 Types of stores in Sydney 3 4.0 Porters five forces model...
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...Apple’s Business Models Analysis and Suggestion with Web 2.0 Strategy Contents 1. Abstract 3 2. Apple’s Business Model 4 2.1. Elements of successful business model 4 2.2. Apple’s innovation on its business model 4 2.2.1. Customer Value Innovation 4 2.2.2. Profit Pattern Innovation 5 3. Challenges Analysis 6 3.1. Apple’s challenges 6 3.2. Porter’s Five Force Model analysis 6 3.2.1. Threat of new entrants 7 3.2.2. Threat of substitute products or services 7 3.2.3. Bargaining power of customers (buyers) 7 3.2.4. Bargaining power of suppliers 8 3.2.5. Intensity of competitive rivalry 8 3.3. Innovation Matrix 9 4. Suggestion and action plan 10 4.1. Apple’s Fishbone Diagram 10 4.2. Monetizing for Apple with Web 2.0 strategy 11 4.2.1. N-sided platform 11 4.2.2. Multiple revenue stream 11 4.3. Platform Innovation 11 4.3.1. Production 11 4.3.2. Creative and Media 11 4.3.3. Accessories 11 4.4. Online Promotion 12 4.4.1. Action Plan: 12 4.5. Sustainable Competitive Advantage 12 4.5.1. R&D input 12 4.5.2. Better customer value 12 4.5.3. Sustainable profit pattern 12 5. Business Model Canvas 13 Conclusion 14 Reference: 15 1. Abstract Apple’s huge success set off a global widely discussion on its secret. According to this essay, it is not difficult to find its success story was attributed to its unprecedentedly innovative business model, which was not rare in the typical case analysis...
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...FACTORS 10 TECHNOLOGICAL FACTORS 11 GAP ANALYSIS 11 Porter’s five forces model of competition analysis 12 Threat of New Entrants (low) 12 Bargaining power of suppliers (low) 12 Bargaining power of Buyers –High 13 Threat of substitutes –High 13 Threat of competitors –High 13 Conclusion and recommendation 14 References 15 Introduction Sony is a global manufacturer of audio, video, communications and information technology’s consumer and professional markets. According with Rebort S.Kaplan and David P.Norton (2007), to measure strategic readiness, identify the intangible assets you needs to perform the internal process most critical to your strategy. Then assess your current capabilities in all these areas, identifying changes needed to improve alignment. Thus, applying the above mentioned approach the Sony Company is uniquely positioned to be one of the leading digital entertainment brands, offering an outstanding portfolio of existing multimedia contents. This approach is known Balanced Score card. Balanced Scored Card doesn’t treat strategy from only a financial perspective; it augments financial measures with objectives and metrics in three additional ’’perspectives’’-Customer relationship, internal process, and learning and growth. Company’s profile MISSION To provide Full Customer Satisfaction through Quality Service by Quality People. VISION To be the Leading & Most Trusted Service Network in the country for electronics and digital products in the broadband era. VALUES...
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