A company situation analysis can be defined as “matching the company’s strategy to external market circumstances and to internal resources and competitive capabilities.” We believe that our company, Chester Electronic Sensors, is currently in a position to spring ahead in the Electronic Sensor market. The industry in 2011 (round 0) consists of six competitors in very similar positions, holding virtually equal market share. We will use indicators in the industry to help determine our position and build our marketing, production, R&D and financial strategy. The situation analysis, as outlined by Capsim, will help provide us with a picture of the current conditions of the market and how it will develop in the next 8 years (rounds). This …show more content…
We evaluated our company’s position in the industry, and found ourselves in an excellent starting position to further develop our products and match them to the industry’s needs. Our market share is adequate and we can advance further with our strategy improve and reposition our products in the coming years. We have underutilized capacity, which we intend to improve, while increasing automation to reduce costs. We have plans to improve our promotion to improve product awareness and with the appropriate product lines we will increase price to improve margins and better align our high-end product image. Our current financial position is optimistic, showing our leverage (Assets/Equity) at 2.0, when our goal is to maintain 1.5-2.0 overall. By utilizing the analysis tools we are learning what elements are driving demand, how to effectively tailor our products through R&D, how best to adjust our marketing and pricing, while lowering input costs, in order to improve margins and to ensure our stakeholders are all satisfied.
SWOT Analysis:
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Thank you for the opportunity to be part of this exciting project. Per your request I have evaluated the options for enhancing the production capacity to maintain and further develop our market share.
The company believes that new initiatives are necessary to bolster unit volume and especially reorders. I believe Advanced Materials lacks coherent strategy for Nundies to effectively appraise the financial worth of product service offerings. The managers must reduce the spending on order getting costs because they cannot increase their output to the capped limit of 100,000 liners. Other issues are whether or not the distribution approach currently used by the company will help reach profitability, and whether or not the company effectively reaches the target market.
As we continue to move toward the end our quarterly objectives. I wanted to take the time to explain some of our costs. In our particular field of designing and manufacturing products, we are always engaging in ways that we can mitigate loss and improve our processes. Performing such changes will give a stronger presence in the market by allowing us to remain competitive.
The following paper is about a company that is at the top level of their industry in selling their products and services. The background of this company describes about what kind of company this is and the types of products and services it provides to their customers. This section also includes the recent performance of this company and the varying aspects of what their target customers and whose is the competition.
Since we are focusing our efforts on the low end segment of the market, our product can be determined as a cash cow. A cash cow is generally a leading product in mature markets, generating more cash than is used. This allows companies to use that cash to pay for administrative costs, as well as paying for dividends to shareholders and even fuling R&D. We were able to come to this conclusion based on where our product stood in the segment. Our low-end product has a lower market growth rate at 11.7% than most other companies. however, our product has a high market share comparative to other companies. When these two factors are taken into consideration using the BCG Growth-Share Matrix, we can conclude that our product is a Cash Cow.
Reliable products for low technology customers: Our brands offer value. Our stakeholders are bondholders, stockholders, customers and management.
I am writing this memo as a member of the Andrews management team to notify you of the developments made on a preliminary business strategy that we are anticipating to be both successful and exciting. The sensor industry has experienced increasing product demand recently, as well as a universal desire for smaller and faster sensors in both the low and high tech market segments. Through the conduction of an external analysis, we have identified five major competitors within this industry, all sharing a similar control of suppliers and buyers to our company. The main goal of our strategy is to gain an advantage
We adjusted focus to our niche market, sold off capacity in the low end and traditional markets, and proceeded to decrease our production going into the next round. While selling capacity was the correct financial decision to combat our emergency loan, we were then left with stock outs in all of our product lines. As a result, we continued to struggle with overproduction and avoiding stock outs, but made improvements resulting in less drastic inventory swings in the later
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This strategy will lead you to a next platform and increase the growth. It is
Include a list of information sources that you used and a brief summary of the information provided.
Our team decided to choose the “Broad Differentiation” strategy as the basic strategy for our company. We will attempt to differentiate our product line in several distinct dimensions. By providing products that are vastly superior and unique from our competitors and pricing the products with an affordable price, we can gain something that is beneficial for the company in the future, which is customers’ loyalty and awareness. We may change or modify our strategy for the next round depending how it performs against our competitors.
The framework used in this note is organized around the estimates of industry demand, market share, costs, and performance. All data
Due to the growing competition and diminishing market share, companies are opting for different strategies to achieve their survival objectives as well as growth. Companies are thus executing grand strategies to provide their businesses with a clear direction for its strategic actions. These strategies, therefore, aim at both short term and long term sustainability and growth, and they include innovation, market development, product development, and concentration.
Chester chose to enter the sensor industry in 2016 as the niche cost leader. Our mission is to providing trustworthy products to our customer base. Our goal is to offer these products at a cutting edge price, with low overhead, at a high volume. By focusing on the Traditional and Low End segment of the market, Chester’s ability to achieve our mission made it possible to gain market share. Many aspects went into the logistics of the supply chain in order to carry out our operation. While the cost leader strategy is not always an opportune circumstance for the traditional segment, it allows us to offer lower prices to entice customers to purchase our products over other companies in the industry.