Pestel Analysis of Titan Watches

One of the primary change in strategies would require pruning Omega’s product lines to make it more coherent and to eliminate any potential intra-firm competition. Typically, the lower end models need to be pruned so that it could be positioned as a more effective Luxurious Brand to compete directly against other Luxury Brand watches. The prevention of any overlapping with sub-brands will ensure that there is no potential risk to the dilution of brand image as well as reduce the risk of cannibalization of the current product lines. This will also help in uplifting the overall brand image of the Omega brand by withdrawing a number of Omega’s low-priced models thereby boosting the band profitability which will ensure that there is enough opportunity for the improvement on brand margins - a key factor in reducing the price differences with Rolex. Another underlying argument is that this process will enable the exclusivity

Economic factors – which include interest rates, economic growth, exchange rates, inflation and taxation changes (Nieman, G; 1998). The change the economy can have a major impact on the behaviour of the business. For example: inflation may cause a higher wage demand from employees (Herrigton, Kew & Kew; 2009).

Over these 68 years of independence, Indian economy has witnessed a drastic change in the pattern of consumption due to increase in level of income and purchasing power. Post 1991 economic policy reforms, there has been high degree of competition and mass production. There is immense positive change in demand for high end technologically advanced branded goods, stimulated by increased awareness and changing taste and preference spurred by demonstration effect. This would mainly be due to narrow difference in prices of non branded and branded goods. Attractive services and accountability provided by various brands also contribute to this increase in demand for branded goods. Post liberalisation, Indian markets were flooded by foreign goods and there was wide range of choice. Earlier, Indian consumer durable market was dominated by few domestic producers like Godrej, Voltas, Kelvinator etc. The main categories of consumer durables are colour TVs, refrigerators, air conditioners and washing machines. Double income families, rising income level, increasing awareness among consumers are driving growth of this industry and easy financing avenues fueling the market.

Social factors refer to the changes in the lifestyle, behavior, attitudes and tastes of different societies. Social factors may affect the two businesses in the following ways:

The external environment can be easily assessed by using the PESTEL tool. PESTEL stands for political, environmental, social cultural, technology, economical, and legal forces. The PESTEL analysis for Qantas Airlines is as following:

The climate of the economy dictates how consumers, suppliers and other organisational stakeholders such as suppliers and creditors behave within society. Economic factors represent the wider economy so may include economic growth rates, levels of employment and unemployment, costs of raw materials such as energy, petrol and steel, interest rates and monetary policies, exchange rates and inflation rates. These may also vary from one country to another. An economic factor in Clare's Chocolates was the scare of prices due to the recession. James was worried that increasing raw material costs together with the recession would badly affect his sales.

Some of these factors are, if there is competition in the same category, the amount of goods produced, the demand for the products and more.

* Social factors include the cultural aspects and include health consciousness, population growth rate, age distribution, career attitudes and emphasis on safety. Trends in social factors affect the demand for a company's products and how that company operates. For example, an aging population may imply a smaller and less-willing workforce (thus increasing the cost of labor). Furthermore, companies may change various management strategies to adapt to these social trends (such as recruiting older workers).

Movado, a company established in 1881 by Achille Ditesheiem, has become one of the top luxury watch brands in the world today. Movado has always continually been innovating in all aspects. Movado 's historical success gives a strong background financially, technologically, and strategically. An analysis of the brand, the history, the present, jobs of high managers, customer responses, and incites. Will be presented with through details and examples. After the analysis, we expect to understand how the hierarchy of Movado created the one of the largest names in the watch making industry, the struggles faced by the company and what it takes to strategically plan such a big brand. Along with that we want to learn why Movado is able to attract

3. These fashionable brand watches are known to be tough and this is the third reason why consumers obtain branded watches. It is a considerable aspect to be aware of

Price: Designer watches of course will be affected by the cost of research and acquisition of a reputable designer but for the brand to be recognized they will have to start creating a slide, ie, a current price is 375$ for a rose gold plated watch. It has been noted that these watches turn colors after limited use. A partnership with Movado will enhance the novelty and the price so expect to be seeing 1000$ being a price for a watch, if only as to secure this market. Handbags also will need an upheaval in price so far. Note, prices in the range of 5000-7500$ for a bag with tribal print and/or animal print this will give the consumer recognition of this brand in a non-fad way.

as watches with style, class, flair and quality. In these days of mass produced generic watches that tend

What is interesting in this market is that there are no clear leaders. Even though each company’s goal is to make the more profit as possible, we can’t define any leader since they have different strategies and objectives.8 [ (Tower) ] For example, Patek Philippe’s core ideology is to have the most prestigious brand and to make the most expensive watch as possible, and target the most prestigious people which is a really niche market. In comparison, Rolex’s purpose is to be a more accessible luxury brand and make the most sales as possible. It is difficult to compare them in terms of success, Rolex sells more but Patek has a much higher reputation.

Factors that happen in the external environment are known as external factors or influences. These will affect the main internal functions of the business and possibly the objectives of the business and its strategies. The main factor that affects most business is the degree of competition - how fiercely other businesses compete with the products that another business makes. The other factors that can affect the business are:

The business environment can be understood in terms of four factors: Factor (Input) Conditions, Context for Firm Strategy and Rivalry, Demand Conditions, and Related & Supporting Industries. Factor (Input) Condition: