Logitech Swot

4085 WordsOct 1, 201217 Pages
A. INNOVATION KNOWLEDGE INTEGRATED Strengths Logitech has several internal strengths that has attributed to the company’s success. Logitech has created for itself a strong reputation through its innovative products and excellent customer service. Innovation is Logitech’s top strengths. Because an innovation is cover throughout the paper, I will not be providing detail examples of in this section, but rather be focusing other key factors. Logitech has stood the test of time, the company can quickly respond and adapt to changes in technology or market conditions. Because Logitech’s product and brand is recognized worldwide, the company has a strong channel coverage and efficient worldwide distribution. In 2009, Logitech’s business retail…show more content…
Another threat Logitech and many other technology companies’ faces are counterfeit. The technology market has always struggled to compete with black market trading. In 2006, China and Hong Kong represented a large chunk of seized good. If the demand for counterfeit products being manufactures increases due to economic recession or other factors, it could possible affect Logitech’s overall revenue in the future. Another threat face by the technology industry is “TIME.” The peripherals market is set apart by short product life cycles, frequent new products introductions, rapidly changing technology, evolving customer demands, and aggressive promotional and pricing practices. Logitech average market life of its products is between 12–18 months and generates 50% of its annual revenues from new products. Logitech has to able to produce great new products months after months and year after year or else one bad product may hurt them financially like the early crisis in the early 1990s. COST ISSUES: HYPOTHETICAL MODEL OF ROI or COST BENEFIT For my hypothetical model of ROI, I used the information from the Apple retail store that opened in SoHo, New York, in 2004. I am also using Apple’s 2004 and 2005 retail financials. Logitech's ROI

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