Jawbone is a company founded by Hosain Rahman that specializes in portable audio products. It was only in the year 2011 did Jawbone venture into the wearable technology industry. As of 2014, Jawbone’s wearable technology line includes the Jawbone UP and Jawbone UP24.
In order to do a value chain analysis on the company, Jawbone, we must first know what a value chain is. A value chain, as defined by Michael Porter is “the process or activities by which a company adds value to an article, including production, marketing, and the provision of after-sales service”. In terms of Jawbone’s case, they have managed to create a successful and huge chain of ideas, research, activities, people and services that all contribute to the value chain. Through
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Jawbone managed to secure lucrative deals with top Chinese product suppliers, thus allowing Jawbone to create a direct supply line to mass produce their earpieces at a relatively low price. This has allowed them to establish successful Inbound Logistics for the company, thus they have created value in one of the primary activities in Porter’s Value Chain.
Moving on to Jawbone’s expansion to the wearable technology industry, Jawbone manage to play to their strengths. They used their competitive advantage with DARPA, allowing themselves to distribute a suitable number of units necessary to land them a decently sized share in the market. However, entering a new market meant there were a lot of challenges and problems Jawbone had to face.
It was not easy for an audio-specialized company to break into the health and fitness industry as they had lacked the necessary resources and required technology. This resulted in them failing in their attempt. However that does not change the fact that they were able to create a partnership with Motion X (the motion sensor technology which they used for their UP products) – even if the partnership was established only through their status from their brand in the technology industry, as well as secure a huge number of units for a product that they felt was functional and
It operates in more than 170 countries through its retail stores, online presence, independent distributors and licensees. The company capitalizes on its brand equity to drive its sales growth. However, high inventory and declined liquidity are a few causes for concern to the company. Emerging economies, especially Asian could open new growth avenues for the company driven by their accelerating economic activity. Growing counterfeit products market, intense competition and rising manpower cost could challenge the company’s profitable growth. (Global Data, 2012)
In order for a firm to create competitive advantage, it needs to create a set of activites that can deliver value to the specific product and services it offers to its customers. To start talking about my life as a “value chain”, I may need to compare it to a specific product”. This is going to take precedence both in my personal life and professional life.
By conducting a value chain analysis for Walt Disney Company, I will be able to accurately show the “parts of its operations that create value, and those that don’t” (Hitt, Ireland, and Hoskisson, 87). The value chain is segmented into two categories: support functions and value chain activities. Support functions include finance, human resources, and management information systems which “support the work being done to produce, sell, distribute, and service the products [Walt Disney] is creating” (Hitt, Ireland, and Hoskisson, 87). Value chain activities include supply chain management, operations, distribution, marketing, and follow-up services, which Walt Disney
The value chain, made by Michael Porter, is really important to see how a company structure is created. The value chain is constituted by two parts: support activities (firm infrastructure, human resource management, technology development, procurement) and primary activities (inbound logistic, operations, outbound logistic, marketing and sales, service). (Johnson et al. 2011, p.97-99)
Value chain is a set of activities a company performs in order to provide a valuable solution to their customer problem in their market space or industry. The value chain is made up of primary and support activities. Primary activities being research and development, production, marketing and sales and customer service. These are the primary steps that are required to get a product or service to market to solve the customer problems. Some of the secondary steps include company
“A value chain is a set of activities that an organization carries out to create value for its customers. Porter proposed a general-purpose value chain that companies can use to examine all of their activities, and see how they 're connected. The way in which value chain activities are performed determines costs and affects profits, so this tool can help you understand the sources of value for your organization.” (https://www.mindtools.com/pages/article/newSTR_66.htm) With this in mind, we will be taking a look at Tesla Motors.
A value chain analysis is a strategic analysis of an organization that uses value creating activities (Dess, McNamara, & Eisner, 2016, p. 76). The value chain analysis describes a company’s activities and relates them to an analysis of the competitive strength of the company
The objective of this paper is to introduce an extensive review of the Fitbit product evolution and marketing strategy as it relates to consumer demand and gained revenue. The Fitbit Tracker, released in December 2009, was the first of many Fitbit products. The latest models include the Fitbit Blaze, Fitbit Aria smart scale, Fitbit Alta, Fitbit Surge, Fitbit Charge, and the Fitbit Flex. The Fitbit is a wireless enabled wearable fitness tracking device with an intuitive user interface. The Fitbit competes with other brand models such
The value chain is one of the critical elements of a company’s strategy in today’s competitive world, because company’s profit depends on how the successful and efficient it runs its operations and how the end product appeals to the customers at a price that covers all the expenses of the company.
Wrist Wearables are a fairly new market segment and they are mostly only marketed to a niche audience. With less than half the U.S. population with any knowledge of the existence of smart wearables and half of that population even considering buying one, the marketability for this technology appears slim. Although, the potential for brand awareness, along with customer loyalty, is huge and a beneficial opportunity for any company to get their hands on.
Fitbit’s diverse product line has led to its success and this diversity can also be identified by the company’s slogan: “Find Your Fit.” Fitbit has demonstrated that it has an effective marketing plan that is composed of strong segmentation, targeting, and positioning. Fitbit’s various features and attributes have targeted consumers that have an interest in living a healthy lifestyle through physical activity tracking.
Supply management is a complex function that’s critical to business success, responsible for delivering efficient costs, high quality, fast delivery and continuous innovation throughout companies’ entire supply chains. The strategic contribution of supply management is measured not only in savings made, but also in increased shareholder value (Niezen, Weller & Deringer, 2007). Nike and Adidas are two global companies try to improve their competitive advantage through strategically managing and utilizing their supply chain. The purpose of this report is to compare and evaluate the supply chain management practices of Nike & Adidas.
A value chain is a chain of activities that a firm operating in a specific industry performs in order to deliver a valuable product or service for the market. The concept comes from business management and was first described and popularized by Michael Porter (Porter, 2013)
But these products were never quite able to break out of a “niche” category. From a marketing standpoint, two main issues have always plagued smartwatches:
Porter’s Value chain model has clearly influenced the understanding of how the management system works. But in spite of the importance of the value chain model very less is known about the determinants of failure or success through these techniques.