and Sattler, H., 2006) Mentions that these evaluations by consumers especially on their perceptions of quality of the product will be transferred if consumers recognize that the new product extension fits the mother brand. According to (http://www.brandextension.org/benefits.html) brand extensions enable companies or organisations to capitalize on the “previously paid for” brand building activities and equity of its current brand names. And they further explains that brand extensions are cost saving strategies for companies, also with the added benefit of additional sales derived from sales growth of the parent brand after the successful launch of the new brand extension. . 3.4.1 Benefits of brand extension According to (K. Mundt, J. Dawes, and B.
Using this NPV method, the best project will be the strategic acquisition of Schnapps Brand as suggested by Nigel Humbolt. It is noteworthy to comment that while the capital spending of this project is under the capital spending limits of the company, it also brings diversity in the core business and is promissory in terms of market expansion. With the IRR of 28.7% and projected return of $134 million, accepting this project will provide substantial gain to the revenue figures and confidence of the shareholders. Therefore, on the basis of Equivalent Annuity, the projects will be ranked as follows: 1. Strategic Acquisition 2.
The factors relating to competition and market participants are needed to be considered in this case. Diversification: Apple in this segment should develop new strategies towards to avoid the risks by developing new products and entering in other segments. The company should consider the existent demand and economic factors as they can create issues. AC 1.3 Explain different planning techniques that organizations can use Planning techniques are useful in creating different plans and strategies of an organization that can increase its efficiency. The various planning techniques can be explained in the context of Apple Inc are given below: BCG growth Matrix: The Boston Consulting Group Growth matrix is regarded as one of the most efficient planning techniques that the managers of an organization utilize for the purpose of planning the product portfolio of the organization.
Nowadays, it possesses strong skills to sale of shares and business operations. In the beginning of the 20th century, by merging the two companies passed to the new entity of SG Cowen. It was planned to continue as a boutique firm size since they seemed to be highly competitive and prestigious enough to be selective in its hiring process. A useful starting point for this study is owing to its deep banking knowledge collected through its equity research team, including its health care and technology. All these following characteristics are the main targets of the investors looking for profitable emerging companies.
Evaluation of Joint Venture and Bulldog Partner for Expansion It is important for the success of an international organisation that they must choose right market place to enter for the reason that it would surely help them to attain their set goals and objectives. Moreover, in the case of Dollar Shave Club their top officials are quite keen to consider Joint Venture as a market entry strategy while entering into Germany. In addition, they are selecting Bulldog as a partner in order to execute their business operations in a more accurate manner. It is noted that there are numerous large-scale organisations that consider joint venture as a market entry strategy such as Starbucks with PepsiCo and others (Chiao, et al., 2010). However, it is a prior responsibility of the top officials of Dollar Shave Club to assess the market of Germany through which they can easily identify the leading brands of their market and it would definitely help them to alter their plan as per the requirement and condition of the business.
If a company can gain foothold in the tough markets with fierce competition (i.e. European market, the U.S.A, Japan), then the company can easily expand from a strategically advantageous position into other easier markets (developing countries) with the brand reputation already established. According to the strategy, entering the American market is a very important step of Haier’s internationalization plans. The U.S.A is the world’s superpower, which has a mature and competitive market. If Haier could successfully penetrate the American market, it could be a real multinational company.
The analysis also shows that the fee gap between the international and domestic purchases might increase rather than decrease due to the exponential increase in the inter-country business transactions. However, there is a cloud with silver lining. The blockchain technology which is gaining popularity, if applied in this instance will certainly have an impact as per expert opinion. We closely monitor for any implementation of this technology to provide better service at a lower interchange fee. Keeping this mind, we are very positive about the technology being implemented that will certainly affect the fee structure and charges with respect to the countries and the companies who implement this
2.3 SWOT Analysis Companies must study the total area of the strengths, weaknesses, opportunities and threats in a market (SWOT analysis) and to gather data on the overall picture of the environment in order to succeed in the industry (Jobber & Ellis-Chadwick, 2012, p.32). Strengths: • Resources and competences • Consistency in payment and cooperation issues • Vision and mission • Excellent quality of the final product Weaknesses: • Negative effects from financial market trends Opportunities: • Dynamic promotion and advertising • Expansion to the Balkan markets Threats: • Entry of new players in the industry • Financial crisis - focus on the product’s price • Strengthening of the Multistores 3.0 Segmentation Targeting Position A company should focus on the consistency of its services and quality to achieve in this way to become competitive in the action markets. Tsantalis has developed over the years a dynamic differentiation of its products that is based on knowledge of the market. The perceptual map of the company in the market is presented below. Target Market I: The first target market may refer to the business-to-business market related to professional networks such as small restaurants, which can offer the company’s products and mainly small good restaurants.
(2015) concluded that a recognized brand name could provide competitive advantage and hence, is considered as one of the firm’s most valuable assets. Many firms have taken advantage from their established brand name by adopting the strategy of the brand extension. As, the technology and taste of the consumer changes and new products take on the market, companies with established brand names and positive brand images have more of the chance to be successful in the related or unrelated product
The company’s value share is driven by its KFC brand and the popularity of chicken fast food in South Africa. KFC has the strongest heritage in South Africa’s fast food market. When it comes to fast food KFC is by some margin the most prolific brand in the country, with 771 stores spread country wide. SWOT analysis on KFC Strengths • Global- 2nd largest restaurant chain with more than 18,000 outlets in 120