Analysis Marketing Plan Surfside Leisurescapes has steadily been losing their market share, as they were an established company in a untapped market it lead to new competitors easily entering the market as seen in Exhibit 1. The ‘old grass roots’ strategy that the owners previously employed failed to compete with new entrants. This lack of marketing strategies is tied back to the inexperience of previous management. The lack of a concrete marketing strategy caused the deterrent in sales and must be addressed for Jensen to increase net profit in fiscal 2005. The demographics in Newmarket (Exhibit 12) indicate that over 47% of Newmarket’s population
As a result, newspaper circulation fell by 17 percent due to revenues from display advertisement that have plummeted as many marketers engage customers via social media, Internet ads, special events, daily deal sites, and other promotional methods that sidestep newspapers. Consequently, The Wall Street Journal suggestions for price elasticity of demand for its products in digital editions is to try to find pricing approaches that made sense for its situations. In this way, being a national new paper that covers general news politics, economics, investments, the arts, and lifestyle trends that most people need to follow the latest happening in their field and stay updated on world events to pay a yearly amount to access their website. For his manner, the Journal believed it offered a long-term value that they wouldn’t appreciate if they could pay for content by the content or by the week sense they are not providing news instead they are providing a completive advantage tool. Likewise, the Journal site’s loyal and lucrative subscribers base, a growing number of major advertisers are willing to pay to reach audience online, which contributes millions more to the newspaper’s bottom line.
Bloomingdales is a higher end store that sells high quality products at a high price. They are currently losing many customers because the economy will not move out of the stagnation period. Right now the customers need to be saving their money in case they need it later to pay bills rather than spending it on clothing. Many consumers are starting to shop at stores like Macy’s or Kohl’s where they are offered almost the same quality products at lower prices. Some of Bloomingdales biggest competitors are Neiman Marcus, Saks Fifth Avenue, Bergdorf Goodman, Barneys New York, Lord & Taylor and Nordstrom.
Meanwhile, at Medtronic, their product development was falling behind. In the wake of the company’s growth, functional managers (who historically supervised product development at Medtronic) were becoming busier and busier with operations, while coordination fell through the cracks. Medtronic had many suggestions for new products but lacked the required focus and attention to get projects done quickly. In the end, each new project was already out of date (lagging competitors) by the time it got to market. Another factor relating to development teams was that they had separate development teams working on the two different physical architectures.
Obviously it is evident that Henkel Iberica current process isn’t working due to challenges of forecast exactness and demand variability for all the products it offers. The evidence is clear in the data from 2000 to 2001 as overall sales increased 2.2% but net earnings decreased by 5.7%. For a company to be profitable, focus should be on net earnings and not sales and providing a wide range of products to satisfy every customer. The loss of earnings is most likely due to not having the right product mix and volume at the right time as well as lack of communication between sales and
Question 1) • Fortis has been facing strong competition: Since 2002, Fortis has been losing nearly 2% per year of the steel strapping market (in 2002 50% and 2008 40%). • Furthermore Fortis is confronted with significant erosion of prices: Other competitors initiated price war and Fortis refused to continuously cut its price. This also led to the fact that Fortis loosed market share to its competitors. • These effects are coupled with the overall declining health of the industrial economy and the fact that Fortis as well as its competitors are closely tied to this. (Overall decline of market / demand) and the increasing price sensitive of customers.
Group Members Amr Al Kafoury Robert Aziz Ahmad Gawdat Islam Youssef M Mina Faragallah Amr Al Jarhi DONNER COMPANY BUSINESS CASE OPMG 5202 Amr Spring 2014 26 February 2014 Dr. Ali Awni Donner Company Business Case TABLE OF CONTENTS 1 2 Executive Summary ......................................................................................................................................... 4 Analysis ........................................................................................................................................................... 5 2.1 Production bottlenecks ............................................................................................................................ 5 Cause of bottlenecks: Variance in order size and design ................................................................. 5 Cause of bottlenecks: Rush orders ................................................................................................... 5 Cause of bottlenecks: Rework .......................................................................................................... 5 Cause of bottlenecks: Design Problems............................................................................................ 6 Cause of Bottlenecks: Production Process Problems ....................................................................... 6 Cycle times for orders of 1 board, 8 boards, and 200 boards: ......................................................... 8 2.1.1 2.1.2 2.1.3 2.1.4 2.1.5 2.1.6 2.2 2.3 Organizational Structure Problems .......................................................................................................... 8 Time wasted in ordering Raw materials .................................................................................................. 9 Safety Stock Approach
Starbucks was hit hard, the net income was down nearly 70% and it also dealt with its first ever decline in quarterly revenues. CEO Howard Schultz suggested that Starbucks is following a well organize plan to rebuild the strength of the business through more developed operations. While declining sales and profits could be the main reason, because on the global recession, Starbucks share price showed more of a concern about the company’s future. Starbucks problems could have also came from several other factors: Could Starbucks expansion resulted in too much store mass in a few metro areas. Growth of competition, not just from other coffee restaurants but from big-time fast-food restaurants like Krispy Kreme, McDonalds or Dunkin Donuts.
Market errors (mistakes in processing transactions due to FA or client associate errors Merrill was responsible for) declined 54 percent. The client satisfaction measures improved including “ satisfaction with client associate service”, “percentage of clients feeling they need more FA contact (declined)”, “percentage of clients feeling their FA exceeds in ‘looking out for their best interests’ ” and “ satisfaction with FA”. In my opinion, Merrill-Lynch need Supernova to be successful or grow in the future because historically, It was based on Merrill-Lynch making money by selling products to clients for FAs to make money. However, the retail-brokerage environment had changed with the deregulation of stock brokering, so many new firms entered the market to carve up the profits of this industry by implementing kinds of effective strategy to compete. Thus, if Merrill-Lynch wanted to keep its state and reputation, it must to find out a different way to support its continuing profit growth, it seemed that Supernova was well deserved in that situation.
Despite its strong market and size in Europe, SNI had not posted a profitable quarter since the merger takes place. In 1994, the company faced the loss over $350 million. Company had a weak base in emerging Asian and North American market and 65% of its products were sold in Germany. SNI was slow to respond to market changes requiring more customer responsiveness and market shifts away from large mainframe systems, whereas the company had a strong technological focus. The company had experienced the strong union pressure and strict Government layoff regulation on putting efforts to trim high labor costs.