Case Study Of Dick Smith Holdings Limited

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Introduction There is no much difference between starting up a new business venture and venturing into new markets especially for the small businesses that have issues with resources. A significant amount of management effort is needed for the two to be successful. Even though entering a new market is an effective way of entering a growing a business, several challenges threaten the success of market entries . Inexperienced as well as sophisticated and seasoned business entrepreneurs all suffer the disappointments in new market entries. This business research proposal uses the case of Dick Smith Holdings Limited market entry failures to present a way forward not only for the company, but for other companies in Australia facing the same business…show more content…
It was started in a car park, and first focused on car radio installation and servicing. A year later, the business saw a success and the owners opted to expand it. The expansion resulted in a shift to a new bigger premise as well as the introduction of Dick Smith Wholesale with the introduction of new products and services such as the electronic hobbying. Even though at the moment hobbyist preferred bigger established market, Smith was able to conduct research and a study modern mechanization, and present a kind of self-service that saved the customers the long queues. Advertisement for the company was done through the publicity stunts carried out by Smith himself as well as the use of the wacky-style. The company was able to withstand the waning of interest rates in the 70s and instead saw an expansion and had electronic catalogues on local magazines to market…show more content…
For instance, the executives might have had little or no market research information on the markets that were targeted for entry. The lack of adequate market research made it difficult for the company to have enough information on its opportunities with regards to the market entry . Furthermore, there might have been a cognitive bias or a systematic error in manner through which the executives processed information that they had at their disposal. Also, the business might have incurred miscalculation costs. These are the aspects that the business will need to focus on during the new project. When conducting a market entry, appropriate calculations will be necessary for the successful implementation of all the steps to avoid under calculations and cost challenges along the way. With the right approach, the company will have the ability to re-establish itself into the market and become successful . The research and strategic approach is most likely to work in favor of the

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