Galanz Case Study Summary

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Introduction The reason to conduct this research on the chosen topics; Porter Five Forces, a case study of Operations Strategy at Galanz, and an article of What killed Michael Porter’s Monitor Group, is to understand the general concept and link between the organization and its environment. This paper will highlight the components of business strategies including; goals, core activities, product market focus, and value proposition. The reason to choose these topics was they share the same theme of business strategies linking it with the environmental factors (Huang, Dyerson, Wu & Harindranath, 2015). Strategy is one of the critical elements while formulating any business plan. A good strategy will help the organization in identifying the opportunities …show more content…

With the help of effective utilization of process and capacity improvement; the company competed world-wide based on the low-cost. To achieve the economy of scale, Galanz should transform itself from OEM (original equipment manufacturer) and ODM (original design manufacturer) to OBM (original brand manufacturer). This case study highlights the operational and competitive strategies that Galanz practiced to achieve the rapid growth. The case clearly stated that the company started with a clear competitive strategy which is derived from the cost-leadership strategy, later the operations strategy is being designed and implemented to achieve the lowest-cost with the help of economies of scale ("Operations Strategy at Galanz", …show more content…

The company sets its benchmark by developing new and innovative products and technologies. This is Galanz flexibility. Second is the manufacturing of low-price but high-quality products which will provide enlarge market share, means the company is following “small profit but with quick turnover” strategy. Third component is the innovation, through which the company develops its key parts with the help of its own technology, and by investing in R&D. By practicing this, Galanz has set an entrance barrier for other competitors which now have become the key strategy in innovation. The competitive strategies for Galanz are the low-price of Microwave Ovens, and high-quality of the products. While the most important Operations strategies are 24/7 working of employees in production line, and in three shifts. Galanz has gained the economies of scale by producing the products at the lowest-cost with the high-class

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