Xm Radio Case Essay

II. Business Model and Strategic Plan Part I: Existing Business or New Business Division; Vision, Mission, and Value Proposition ………………………………6

the characteristics of a few. Space costs were all paid to Salem Telephone. Salem Data Services rented

Having secured installation deals with automakers including Chrysler, Ford and BMW, Sirius launched the initial phase of its service in four cities on February 14, 2002, expanding to the rest of the contiguous United States on July 1, 2002.

1. Identify the key problem in the case and explaining why it is the key problem.

This is because we pay close attention to the phone and not driving. To speak by phone must seize the red lights or parking space in a place we do call or send a message that we have no problem driving.

1.4.2 “Solutions R Us” Technical Consultants have provided a quote of $105,000. The system will last for 10 years. Their quote includes technical support. The quote includes all the required hardware, however, the hardware must be checked and serviced by them, twice a year at a cost of $500 per

Draw upon market data which is available, to support your conclusions on “Market Structure” with in this industry sector.

* What organizational structure, management processes, and philosophy will foster superior performance from the company’s business units?

corporate-level strategy you think is most important to the long-term success of the firm and

20 5. Corporate-level strategy 25 6. How is the effectiveness of the company’s strategies? (ROIC) 26 7. What strategic problems does the company have?

Strategy formulation has been acknowledged as one of the most crucial factors of ensuring the long-term growth of the business. However, the manner in which strategy is formulated, and most importantly, the nature of the strategy chosen for the company determines its future position in the marketplace (Grant, 2005).

-The market research concluded that most boaters would be purchasing a VHF radio as a replacement for an older unit. The VHF was a popular method of communication among boaters, but used primarily for safety: to communicate for help in an emergency and to find out the weather. Only 7% of Humminbird's customers owned a VHF radio, and 42% owned a CB radio. Since the VHF was going to be a replacement for CB radios Techsonic can get that 49% of its customers to using the new product. Many of the

* As Exhibit 8A illustrated, Plenitude carries a wide product line presumably targeting at a diverse segments of the market which include:

“Competitive strategy involves positioning a business to maximize the value of the capabilities that distinguish it from its competitor’s” (Porter 1980:47). A successful business plan requires first and foremost the formation of an appropriate strategy. Through the implementation of a suitable strategy, the company is able to obtain its own industry niche and gain an understanding of its customers (Porter 1985). Whichever strategy is adopted it must be adequately integrated within the firms goals and missions to achieve a competitive advantage (Parker and Helms 1992).

Radio is an ideal media for marketing fast moving consumer goods because it can reach wide targeted listener demographics in urban territory. A large number of people listen to radio while traveling in urban areas and respond to the broadcast of various commercial messages.