Capsim Differentiation Strategy

790 Words4 Pages
The senor industry is facing a new challenge, the SEC had just announced the breakup of monolithic corporation Sensors, Inc. Though difficult as it may be for Sensors, Inc., new opportunities has risen from the dramatic government intervention. The old monopoly had burned to the ground but from the ashes 6 companies will enter the new competitive arena to compete and benefit the consumers with its ever ending urge to advance in sensor technology and better suit their demands. The sensor industry is expected to grow for 14%-16% per year for the next 8 years, it is a great outlook for our company and for the entire industry, but it is up to us to establish a foothold in this race and out compete the other 5 companies. The sensor industry as a whole will track consumers demand with 5 segments of products: low tech, traditional, performance, high tech, and size. The low tech consumers desire ordinary size and performance sensors, while the traditional seeks the moderate advanced technology. The performance consumers prefer the extremity of performance while the size consumers lean towards the convenience of spaciousness from small sensors; the high tech consumers fall in between the grudging comprise of the two. We the Andrew Company’s immediate goal is to establish a strong foothold in the race, thus we will incorporate the generic differentiation strategy to compete against the other 5 companies namely: Baldwin, Chester, Digby, Erie, and Ferris. The gist of the strategy is to produce products in all of the five segments of the industry, together the continuous development of products in each segments and rigorous marketing, and gain the most market share in the senor industry. The profitability of Andrew Company is not most successful at the current 4th year. There is a net loss of $7,281, and a negative accounts receivable of $10,666. Its ability to gain growth

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