Question mark which is mean a new begin of the product and it’s potential are still haven’t verify. Stars that mean a product that in this stage is consume a lot of spending but also generate a lot of profit. Cash cow which mean a stage that generate a lot of profit and not consume huge amount of spending. Dogs mean a products that are not accepted by the market anymore, in Dogs stage the product not going earn any profit to the company anymore. Based on my research show that now the Apple company product which is Mac still in the question mark stage because of the market share is still not stable in a time and also the potential of the Mac haven’t get verify.
The brand credibility also could have added to Toyota greatly underperforming in the United States. “Toyota’s fiscal second-quarter profit in North America declined over 3%” (Document E). If Toyota does not take action, their sales profits might decrease exponentially and they may not be able to recuperate. Toyota’s underperforming also contributes to the fact that the company itself has had major financial losses over the years. As shown in Document E, “..., an emerging-markets slowdown and sluggish North American profit”.
Competitors were climbing over each other to try and claim market share of a segment that was growing slowly and was unable to support all three major competitors equally, as the CEO of Nintendo of said too many “Too many powerful machines cannot exist . The industry was at the maturity stage of the product life cycle. Then the 7th generation of consoles were released, these brought about something new, almost different products, no longer gaming consoles, but interactive multimedia devices that were connecting people. We will speak more about this later. However, although slow to react to the effects of the global recession, the industry was starting to shrink once again.
The extra fees made the customers to give more preferences to the competitors, this lead to gradual decrease in users in eBay EachNet. EachNet executives, including CEO Shao Yibo, had left in droves after the acquisition in 2003 and Decision-making at eBay EachNet became centralised, leading to inflexibility and a lag in response to the changing Chinese market. Trust is one of the important factor in china but eBay failed to maintain the trust between the company and buyer and between the buyer and seller due to the lack of an adequate legal system or other formal means of dispute resolution and the eBay was fairly new in the Chinese market, consumers were not much aware of the brand while competitors had good image over the market. When EBay first time entered to Chinese market, they failed to provide security every step of the way during a sales transaction to ensure that consumers feel comfortable making their purchases. By the time the competitors had ensured and trusted payment systems which is AliPay system and escrow system made the users felt more confident in paying them.
The alliance’s success depended on Nissan getting back to profitability. through various changes to regain its profitability and competitiveness. Before Nissan got into alliance with Renault it was in significant debt problem. The amount in debt amounted to $11.2 billion and this prevented Nissan from making necessary investments in its aging product line. (http://www.nissan-global.com) Although Nissan has recorded a success in automobile technology but rather it forget to focus also on style /design, its products were too old to compete with others in the market (for example, micra in Europe)although micra (March) was nine years old and only a few updates it still competed for 25% of the Japanese market and for the similar portion of European market( Ghosn,2002) and most product lines weren’t much different from micra suffered from similar problems hence the reason for its financial difficulty.
Moreover, company’s CEO Dov Charney was considered as unreliable and he faced harassment allegations. In addition, there was financial weaknesses which company could not handle and as a result by the end of 2010 American Apparel was almost bankrupt. American Apparel’s strategy of coordinating its business only in Los Angles rather taking into cheap labor markets in Asia and cutting manufacturing costs is another key factor of company’s high costs. This strategy is argued to be the CEO’s incapability to oversee what
Second, the technological factor plays an important role in high tech industries which depend heavily on technology advancement, for example a failure in scanning this factor could result in declining in the profitability, Kodak company hadn 't succeed in selling normal camera because it couldn’t compete with digital cameras that produced by Sony firm. Third, the economic factors directly affect the consumers ' decision of purchasing new products, when the individual income increases the ability of buying more will also increase, in this condition all firms can sell more of what they produce. Many other factors such as taxes, inflation, and exchange rate affect the consumer 's capability of purchasing. Fourth, ecological factors such as pollution, carbon emission, the depletion of
However, in the case of BenQ-Siemens, the merger failed to produce synergy and more value than each company could achieve alone. Although Siemens’s mobile technologies increased BenQ’s strengths by supporting it to directly compete with other leading players, there was also a conflict of interest effectively turning some of BenQ’s leading customers such as Nokia, Motorola and Samsung into competitors almost overnight. It was no secret that Siemens mobile phone unit did not feel well when the company passed it to BenQ. Indeed, the division was losing cash at the rate of €1 million per day before the merger. Unfortunately, the Taipei-based company could not stop the bleeding.
Apple had to take risk in every single new product that they introduced to the market as no one knew how such an excellent product would be received by the market or what its function really is. And by following the risky strategy Apple has adopted, they weren’t always successful by their new products. Apple faced a lot of failure products like the Macintosh TV and Performa, but it’s how you get back from these failures with another revolutionary product and that’s what Apple has been doing. Apple’s Generic Strategy Another important aspect of Apple’s success in the Consumer Electronics industry is their extensive differentiation. It focused on key elements that differentiates Apple and their products from competitors and that made them stand out in the electronics market.
Nokia has tens of thousands of patents, but because of the company was structured majority of patents were not used at all in their own line-up and if they are not used than they aren't really innovations. Back in 1997, Nokia had designs for a touchscreen phone, but in 2004 when Nokia conducted a focus test, Nokia came into conclusion that people would not want touchscreen phone. Later on, it was revealed that because participants had tried devices that had been poorly working, expensive early models, the touchscreen phones tested so negatively. Steve Jobs famously did not care about marketing tests and their iPhone proved to be a huge success. Ironically, in 2010 Nokia earned more money from iPhones, than from their own smartphones, as Apple had licensed their patents.