The company had to competes with a large number of firms. Also, substitutes such as private cars and public transportation were available to their potential customer. Based on the Five Forces Analysis, Harley-Davidson must maintain competitiveness, especially in terms of product quality, to protect its business from other firms. Threat of Subtitles: This identifies the effect of substitute product in Harley’s industry. There are many substitutes to Harley’s products such as cars, and public transportation, however the overall force of threat of subtitles are moderate as Harley’s customers are into riding chopper motorcycles and would not prefer to shift to other
This decision helped Trek to maintain its image as suppliers’ equipment for serious bicycling enthusiasts. In addition, Trek Company has became famous and favourite brand quickly among connoisseur market. The method used by Trek to selling their bicycle was successfully helped Trek to avoid fierce- competition in normal market with others bicycle company but also upgrade Trek’s bicycle as branded bicycle. Furthermore, Trek can be well-known in world market quickly because they were using same tactic with the above philosophy which is the indirect strategy such as sponsorship that rarely used by others company to promote their
Brompton needs its workers so that the bikes can be built and sold to the customer, this is why Brompton is reliant on human resources to keep the company profitable. The employee’s performance will directly affect the performance of the business as if there is not enough bikes built then Brompton will have less to sell and if the bikes are not up to standard then they must be built again and Brompton will lose money from the bikes that didn’t pass quality control. Brompton can look after the human resources through training, this will improve the development and effectiveness of the staff which allows the business performance of Brompton to improve. If staff at Brompton are not regularly managed and trained it could lead to some staff to get bored and could lead them to lose track of the correct procedures when making the bikes, if the bike was not correctly assembled or not to the right quality then the company would lose money as it would not only be paying to replace the biked but would also be wasting money paying staff to build poor quality bikes, this would damage Brompton’s reputation and could push away customers. The problems of human resources and managing it is that it can be costly to train staff and can lead to lost motivation from the employees if they think they are doing their job right but someone else tells them differently, by trying to increase the number of customers it could push the staff away decreasing the
The California-based automotive company manufactures and sells nearly zero-emissions cars, that cause less hurt to the surroundings than gas-powered vehicles, thereby creating it a "socially responsible" company. Tesla's chief Elon Musk, started the energy unit maker with one goal in mind to assist finish the world's dependence on oil. Moreover, Musk says the "overarching purpose" of Tesla Motors is "to facilitate expedite the move from a mine-and-burn organic compound economy toward a star electrical economy, that he feel to be the first, however not exclusive. That's beyond any doubt a noble and socially
In order to satisfy the needs of consumers companies can have surveys where consumers can suggest and comment on the companies’ products. Allowing consumers to voice their opinion and give constructive criticism will allow both companies to succeed and grow. I would also recommend both companies to take risks. Taking risks such as developing a new concept car that is not already out in the market could help the company become a leading competitor, because such product would create an impact on consumers because it has never been seen before. Although, taking risks does not always ensure success it does allow the company to grow by error.
Arbitrations can be very effective at resolving conflict, but only under the right circumstances. Today, many organizations are moving towards putting mandatory arbitration clauses in their employee contracts to prevent employee’ disputes from going to formal court (Murray, 2018). Arbitrations can be used from employment contracts to rental and credit card agreements. This is because arbitration is much more efficient, cheaper and quicker than traditional legal proceeding. With arbitrations, you do not have to wait on a specific court date, so the result can be handled quickly and not bog down the court system (Fallon & McConnell, 2007).
These are the key aspects that can affect the organisation and management structure of a firm, all these interpersonal communication, management attitude, and social norms have yet been taken into consideration for Porter’s diamond framework. Moreover, Porter’s diamond framework does not cover how national culture will then affect the competitiveness in the national business system (Bosch & Man, 1997). Porter also mentioned that in firm structure and strategy, Japan business system prefers to maintain long-term relationship with their suppliers in the automobile industry is not based on their cultural perspective but rather it is due to pressure under those economic circumstances. This sentence is proven wrong by Whitley (1991), Japanese culture is well known for close connection and long-term employment in order to make their business system unique. Businesses in Japan have strong bonding with their partners to create strategies in reducing uncertainties, likewise these cultural factors is the action that leads to keiretsu being formed in Japan business system (Earley & Singh,
2.2 Industry Analysis - Porter’s 5 Forces Analysis Threat of Substitutes Bicycles and services from unknown manufacturers can provide huge substitution threats. Just as alarming for bicycle manufacturers is the internet: it is developing as an excellent medium for cheap marketing services. The price that consumer are willing to pay for a product is depends the quantity and the availability of substitute products. When a close substitute for a product is exist, industry profitability is suppressed because consumer will pick out if the price are high. Example consumer will compare the price of other bicycles with this bicycle in terms of quality and appearance, a customer can easily get another bicycle which is less difference but in more cheaper
(Chandler, 2013) Customers have greater access to products so they can choose between, for example, a cheap more polluting car and a more expensive non-polluting car. Also, there is more competition so Tesla needs to distinguish itself from other companies by focusing on CSR. An emerging force that may reshape CSR in the future might be climate change. In order to diminish climate change as much as possible, corporate social responisibility is very important. Companies should think about less polluting products and production processes for
Well past the stage of a startup, going public serves to the advantage to Uber through access to a much larger capital market, while leveling the playing field between the management, creditors, along with actual and potential Uber drivers. What the government could do is to encourage it. Either way, a recent UK tribunal case that Uber drivers are not self-employed and so should be subject to traditional labour rights does not serve to the advantage of actual and potential drivers. The sensible thing UK’s government should do is to protect the collective bargaining rights by actual and potential Uber drivers, and upheld