3. Threat of new entrants High barriers to entry in the industry. Licensing requirements are high. There is a minimum size requirement to achieve profitability and the initial investment is required and fixed costs of operating. How much of the control is in the hands of existing players of the market or key resources?
Bargaining power of buyers ( High bargaining power of buyers ) Buyers will choose the lowest price of products. They are very sensitive to pricing and quality. There are many opportunities to choose another apparel vendor for alternatives. c. Threat of Substitutes ( Low Threat of substitutions ) The core product is garment / apparel production service that will make mass product efficiently. The substitution is personal tailors, that have low capacity and high costs.
The new generation wants to try the new products especially in a group of students 4. Internationally, there is a big chance to franchise the brand and achieving more revenue accordingly 5. With having attractive and smart website with using the search engine optimization, the company shall be able to gain more customer 1. Tough competition which may lead to decrease the price to be able to sell the product 2. In spite of that there is a good opportunity in investing this product abroad, but there is much risks also due to terrorism, tough competition, the product …etc.
2. Discuss different levels of market involvement and various modes of entry. Most of the companies start by producing and marketing in their own country. It is because the environment in the home country is better known thus the difficulties in the home country can be over come easily. But over time as the home market become saturated or in other words the market potential is fully occupied due to other players in a particular industry, a company seeks market elsewhere.
Bargaining power of customers Customers may have bargaining power and impose their conditions when they are very concentrated, associated in big groups or when they buy important amounts of products or services in a company. In this case, customers are quite numerous but they are not organised to stand up for their interests. The volume of their purchases is small, and as they are the final consumers, there is no real threat of backward integration. In general, we cannot say that customers have much power in the fashion retail
supplies beans from Latin America, Indonesia and Africa. 3. Bargaining Power of Customers: It evaluates the power of buyer to affect the price of the products. Customers have power when there are less customers compared to the large number of suppliers and when there are choices to switch from one product or service to another. This force lowers the profitability by bargaining for more services with higher quality.
EMERGING CHALLENGES: Technological changes in Indian banking system presents great opportunities and challenges for the banking industry. The primary challenge is to give consistent service to customers irrespective of the kind of customer. Different banks can differentiate their services by offering more technical facilities. Developing or acquiring the appropriate technology for the product, deploying it efficiently and then managing it to the extreme level is important to achieve and consistently providing high service and optimal standards while remaining economical and delivering sustainable return to shareholders. Leveraging technology is therefore, a key challenge that will be faced by the Indian banking sector.
This makes it is one of the leaders in the industry. Just Procter & Gamble is the possible competitor to it. Thus the market share of Unilever considered being one of its main strenghts. And familiarity of Unilever products is very high, many people in the world uses at least one product of them or sub brands everday. Otherwise, competition is one of the main threats that most of the companies would have face.
It might lead to lower prices and generally may result in a more competitive environment. However the companies use different barriers of entry to stop new entrants like capital investment requirements, distribution channels and government regulation. If the existing companies enjoy economies of scale, they could eventually drive the new entrants quickly by implementing
Of course, many banks in the United States do offer services that are in one way or the other similar to the present bank. Customers are likely to migrate to banks that are likely to offer the same services at considerably reasonable terms or quite