Advantage Disadvantage
Licensing out their core technologies - High royalties fee collected
- Money can invest into R&D - Create competition from external, lower revenue
Licensing in core technologies that lack of - Can complement the lagging technology fast - High cost
- Low control in technology
Cross licensing with Ofo - Higher chance to become dominant power & design - Lower the barrier in competition
Table 2 Comparison of the advantage & disadvantage for Mobike in licensing strategy
Recommendation:
Careful consideration is required. Recommendation is that Mobike can go for 2nd option, through licensing in core technologies that lack of. This is basing on the strong financial status that Mobike currently have. They might want to consider
…show more content…
The 2 companies that come straight to the mind are ShangHaiLiangMing Tech Development Ltd & Chengdu Step and Share Tech Co.Ltd. ShangHai LiangMing has the most & strongest patent coverage in bicycle management/control, user interface & payment method, while ChengDu Step and Share has equivalent coverage in bike body system, power generation, & it share similar patent profile with Mobike. Mobike might want to form patent alliances or patent pools, in these few areas with the 2 companies, & provide licensing to Beijing Bikelock Ofo & all the rest of minor bike sharing company.
This will enable the fast establishment of dominant design of the bike sharing industry. All the complementary assets, such as application, user interface, lock, bike body design, business model can be formed in a fast manner. This will also reduce the chance of patent being infringed with more patent coverages from the other 2 parties holding substantial amounts of
Consumers are not limited to a single market, many of them will be purchasing multiple bikes, but all of them have specific preferences. Successful company will meet customer’s needs and maximize sales by growing the potential market size as well as taking sales from competitors.
The fight amongst the major players in this industry is not over price, but over capturing the market share. Since, there is no one definitive leader in the motorcycle industry on the global level, the companies tend to steal each other’s business, this makes the industry rivalry cut throat. One of the crucial factors that make this industry extremely attractive is the constant drive for innovation. Since different industry participants have different approach towards the same segment of the industry, there is a very high
This will ensure that no competitor can simply take her design and manufacture the product. This will also reduce the amount of direct competition due to the fact competitors cannot copy her product and market it to consumers.
Do you think that either firm can attain a sustainable competitive advantage in this business?
Significant investments have been made by MF&L that arguably are capable of satisfying the future demands of the growing company. Multiple platforms were integrated to form a solution that addressed many of the issues faced in the early 2000’s. Their
Harley-Davidson has managed to dominate the U.S. market by investing in research and development, experimenting with its designs and
In the future, licensing will keep increasing and its percentage of revenue will grow, especially if the management adopts a strategy of capitalizing on it.
| * Cruisers manufacturer * Incorporates technological innovation in its bikes based on the parent company R&D department that also offers ATVs and snowmobiles
TGP has the opportunity, if the deal goes through, to purchase a controlling stake in Ducati Meccanico, producer of the best motorcycles in the world. The
The overall intensity of rivalry in the motorcycle industry is strong, key players in this industry include the Harley Davidson, Winnebago, Polaris, Thor, Artic Cat and Marine Products. These top performers hold a high percentage of
In this case, I can see that whatever the advantages are, companies should continue improving their skills and strategies to adapt the requirements from customers and market. Like new world wine player, the companies need to focus on research on marketing firstly, and then make distinct policy to various levels of consumers. At the same time, the new entrant has to own their unique way to
This marketing plan examines the launch of a human-electric hybrid bicycle called e-bike by the world’s largest motorcycle manufacturing company HONDA, in China.
Starting from a company of less than 75 workers and owning less than 20,000 SCU for production, research, quality assurance and conduct warranty work Off The Chain Bikes has doubled the plant capacity and hearing doubling the workforce within two short years. The company is successful by targeting and capturing lucrative market shares by heavily investing in the desired technical specs and design styles of one of the most influential Racing bikes. Our keen ability to thoroughly research market demands, predicting competitive strategies between the four market majority shareholders by reviewing and interpreting the marketing reports and our aggressive design and development plans have significantly increased our market share and increase shareholder value. Our core competencies and strategic goals will be realized by carefully following our established plans and aggressively price our bikes to increase total market share.
This marketing plan examines the launch of a human-electric hybrid bicycle called e-bike by the world’s largest motorcycle manufacturing company HONDA, in China.
Due to the globalization of the economy, there has been great competition in the business sector. The basic human desire to challenge new limits and capture as much market as it is possible has given a new dimension to the concept of marketing - brand positioning. To position a brand requires making choices; whereas having a position means people will prefer a brand over another. A brand can be positioned in several ways: offering a specific benefit, targeting a specific segment, price or distribution. Despite the fact that positioning is considered by both academics and practitioners to be one of the key elements of modern marketing management, it is surprising to uncover general paucity of consumers/customers derived studies regarding