Furthermore, there is no saturation in suppliers in the market and therefore, Garmco is in a position where competition is not fierce in Bahrain. However, globally, competition is fierce and this could be discussed in terms of low levels of product differentiation, as there is no branding in Aluminium. The Chinese manufacturers have massive capacities and can produce more at lower prices, which makes Garmco unable to compete with them. Also, the European mills, Indian, Chinese and few in Indonesia are very aggressive competitors (Lucas, 2016). 3.6 Competitive Position and industry attractiveness Garmco acquires arelatively low competitive position.
Tata Nano is built from scratch and most of the component parts are new and do not share platform with other models in the Tata family. As a result, it is difficult to assess the vehicle 's reliability, durability and parts ' longevity. These factors along with unavailability of the model have made it difficult to estimate the cost of ownership of Tata Nano and the frequency of service trips. The overall cost of parts and services of Tata Nano is likely to be at the range of similarly sized car like Maruti 800. The perception of frequent parts breakdown and shorter service interval due to sub-standard parts and inferior materials on budget cars may not hold true for Tata Nano.
Despite the large size and a significant purchasing power of the LOP market, very little understanding about customers' purchase behavior during this broader phase (Barki and Parente, 2010) significant differences exist on the purchases of the LOP market and people within the middle and high ends of the market in terms of their attitudes, perceptions, purchase behavior and purchase practices of product and services (Khavul et al., 2013). Though value looks to an outstanding determinant of their purchase decisions, there are different factors, like education, Area of Residence, culture, and faith that have an effect on their buying behavior (Pitta et al., 2008). As an example, Dey et al. (2013) show that rural farmers in Bangladesh use mobile phones; but their lack of technical experience shall be a major deterrent
Existence of few sellers - Few sellers dominate the entire industry and influence the prices of each other greatly thus controlling the market. b. Restrictions in entry – In an oligopolistic market businesses cannot easily enter the market. Its dominated by the existing merchants/businessmen which creates imperfect competition. Restriction or barriers are lesser than monopolistic market.
Unlike other markets that offers customers a variety of choices such in perfect competition, in an oligopoly market, the customers have limited alternatives (Ledvina, and Sircar, 2011).On the other hand, and producers sometimes have an opportunity of forming cartels and fix desired prices. However, the practice is illegal in most countries. Despite the immense contribution that were made by the developers of the models, the models are fundamentally flawed and are unable to explain recent events in the markets and industry more especially during the recent global financial meltdown that the whole world experienced (Breitmoser,
Damaging image by infringements; few of the recent incidents affected its brand image negatively. Too large product diversity (Lack of focusing on specific one); it takes a lot of work if the product portfolio is large. It cannot be possible to give concentration to each product with utmost importance. Heavily dependent on consumer electronics; dependence on consumer electronics is higher than other manufacturers. Lack of own operating system; like apple IPhone, it does not have its own operating system.
Their realization is only possible when one of the major player adopts it for use. 3.Small businesses in an oligopolistic market fail to establish themselves as a brand because most of the market is captured by larger firms. 4.With the presence of little competition, dominant companies may not think of improving their products. 5.Firms cannot take independent decisions and always have to consider the views of other dominant players in the market. 6.New firms cannot enter the market easily due to various barriers of
Due to this recession the banks had to reduce the credit facility and so the consumers were not able to borrow money for purchasing luxury items. This had a direct impact on the automobile industry. Toyota’s competitive advantages are: • Mass Production Toyota had a competitive advantage over Ford as it does not use mass production technique for the production of their automobiles. The negative impact of mass production were: Huge number of inventories has to be store in a big warehouse which would in turn increase the costs, if there is any changes in the settings of the machines then mass production will lead to the production of defective items, by doing the same kind of work the assembly line workers would be careless about the quality and do more flaws. Due to mass production it would be difficult for the company to customize their product according to the preferences of the customer.
There is immense revenue potential in the retail clients in India like small time institutes, coaching centres etc., which are hardly tapped till date because of the limited manpower and process. Concentrating only on existing and high paying client can lead