Lack of clarity of purpose can be a risk and a legal issue leading to disputes. The major legal principle here is that, companies should always endeavor to clarify and understand each and every clause of the contract so that they know what they are committing themselves too. It lessens on the misery caused during times of disputes. No matter how easy and simple it may appear during the contract signing process, it becomes totally complicated to understand and agree upon a common interpretation of ambiguous clauses when disputes come up. For instance, in the simulation given, there were ambiguous clauses like “ordinary requirements change” which became a source of conflict because the software user and system requirements changed over time which were had to just incorporate into the contract because of the big effect they had on the project costs and
⦁ E-Drive They have experience in the market. The quality is in the average of the market and. The company also offers an improved production systems and the lead-time is very flexible. The proximity with PSC is a plus. Additionally, the company has a strong reputation in product development.
Studies in this area across different sectors show a positive relationship between spending on R&D and the sales of the company and also have a significant positive effect on value additions and the number of new product announcements made (Bessant, J. R., and Joseph Tidd, 2011). Also, companies that invest a lot in research and development, also normally place a lot of patents for their proprietary process, knowledge or technology that will let them stand out, and so be more successful. This is supported with the fact that some of the most successful companies like Google, Microsoft, Apple, and Samsung, each of these are leaders in their industry spend good amount of resources on R&D and have a large number of patents that are filed regularly. Companies that are focused on innovation and new product development, and hence by creating proprietary assets and filing more patents, and invest a lot research and development, are not performing well in the present but are also positioning themselves to succeed in the future.
This advantage is most especially important in the technologies sector, in which a definitive product of specific design or purpose sets the standards for which other organizations can find most difficult to match. Though designs may be similiar in style, the cause of entering into an untapped “arena” may provide unparalled precedence in the industry. Additionally, being a first mover provides the organization the ability to set pricing at whichever value suffices its tactical goals (primary goals), as well as an enhanced demand for a rather new and innovative product. However, the problem with being a first mover is actually based upon the contrary to what is mentioned above. Without prior market penetration of an organization’s competetitors, the usefulness and effectiveness of properly marketing a new product or service can be quite burdensome.
West Jet Strategy 1. WestJet competes in the air travel market segment with a focus of providing low cost flights to the common traveler, such as friends and relatives. An order qualifier would be the timeliness of the flights. WestJet has achieved the best on-time arrival performance in its market segment which it is able to pass on to customer. As delays will often frustrate travellers, this can make WestJet that traveller’s top choice.
The company's ideal use of social responsibility has enriched its branding image to an extent where it has attracted many socially aware consumers. Nordstrom's profound social responsibility is a universal asset that can help the company be successful wherever it goes, specifically in regard to its transition to Toronto. To many customers nothing is more important than excellent customer service. Nordstrom's arguably greatest achievement till date is probably achieving the benchmark status of customer service in the retail market. There has
The company is also strengthening the quality, extent, and depth of leadership on all levels of the organization to make a more real-time, demand-driven and future-focused business (Procter & Gamble, 2011). P & G has good strategies and strong leadership
Our selection process is based on the fact that the combined companies of InterClean and EnviroTech are a mature entity. Mature organizations emphasize the maintenance of market share, cost reductions through economies of scale, more rigid management controls over workers' actions, and the generation of cash to develop new product lines (Cascio, 2005). Overall, our goal over the next several years is to capture the all inclusive government cleaning services and solutions market to expand our business and increase our sales. We will do this by maintaining a well trained diverse sales team, educating our customers, and offering the best and most streamlined customized cleaning
There are obvious positive synergy gains from the merger. Robertson tool has been on Monmouth’s radar for a while due to its strengths, large industry market share, assets and its mature sales distribution system, Robertson also meets all of the criteria Monmouth had established for its acquisition strategy, we will further analyze reasons Monmouth should take control of Robertson below; REASONS FOR GAINING CONTROL OF ROBERTSON TOOL IN 2003: Based on a computed WACC of 7.90% and a sensitivity analysis of different variables as shown below, Robertson would be a beneficial acquisition for Mr. Vincent and Monmouth Inc. if it can sustain a 3% growth rate into perpetuity and achieve 50% synergies from the acquisition. * Market Leader: Robertson held 50% market share of the $75million market for clamps and vises, it offers a broad, high-quality line of products and a very strong brand name. Its scissors and shears product line has an excellent reputation and holds 9% share of the market. * Distribution System: Robertson mature distribution channels globally made it a strong asset , it sold in 137 countries through 140 local sales reps. * Reduced selling and admin expenses * Monmouth will have a diversified portfolio , it will be able to leverage growth of Robertson product lines and therefore grow a business outside of the oil and gas industry * There was also the promise of Monmouth leveraging Robertson’s strong European distribution system to sell other hand tool lines Qst2.
1. How would you define “Frozen Preferences” and what is the impact of this concept on strategy formulation, alternative analysis and recommendation? • Managers don’t like to make major strategic changes once decisions have been made (except in the case of overwhelming evidence) as they will look unprepared and ineffective and their creditability is damaged • Frozen preferences o Management has made a decision and over time analysis shows that their decision may not be the best choice o However they feel compelled to maintain their current strategy even if it is not the best course of action. • As management preferences becomes a larger part of the organization (personnel changes, budgets etc), it becomes more and more difficult to change direction. o A tendency to avoid reversing changes even if it was not the best choice o In reality, past expenditures are sunk costs and the organization should use a clean slate to look at new choices, but to the manager, this will come at great personal loss.