Porter's 5 Forces analysis of Chinas Electronic Commerce Initiative Leapfrogging Development Stages Case Solution
Home >> Asia Case Research Centre >> Chinas Electronic Commerce Initiative Leapfrogging Development Stages >> Porter's 5 Forces analysis
Porter's 5 Forces analysis of Chinas Electronic Commerce Initiative Leapfrogging Development Stages Case Study Analysis
A Porter's 5 Forces analysis of Chinas Electronic Commerce Initiative Leapfrogging Development Stages Case Analysis might be carried out to develop different strategies using the strengths of the company to obtain opportunities, overcome weaknesses and to reduce the hazards. It might also be used to evaluate that how specific weak points resist particular chances and increase the dangers. The methods prepared using the Porter's 5 Forces analysis of Chinas Electronic Commerce Initiative Leapfrogging Development Stages Case Analysis are provided as follows;
• Utilization of strong international brand name position and funds in expanding towards prospective markets.
• Special brand name experience might assist the business to better position itself in brand-new markets.
• Resistance in growth in the potential international markets encouraging diversity.
• High rates limits the growth in various Asian and African nations with low per capita earnings.
• Strong brand name acknowledgment, non-traditional methods of marketing and the unique brand name experience could be utilized to reduce the threat from possible consumers.
• Rigorous look policies might resulted in the consumer shift towards Victoria with high social duty.
• Minimal target markets might led to a decline in the total market share of the company.
These strategies could help the company to improvise its market position and be at the leading position in the market.
Financial Analysis
Financial analysis for Porter's 5 Forces analysis of Chinas Electronic Commerce Initiative Leapfrogging Development Stages Case Help might be carried out to examine the schedule of financial resources to the business that could be used in growth towards international markets. The monetary position of the business might be assessed by using the data given in the case Exhibition 1. The ratios that could be thought about in monetary efficiency analysis are given in the Table 1 listed below;
From the above Table 1, it could be seen that the business has a reasonable financial efficiency with a ROE of 7.9% and a high sales development of 18.4%. A 4.3% net revenue margin does not seems to be possible and the company needs to put efforts in increasing its earnings along with reducing its operational expenditures to increase its revenue margins.
Porter's 5 Forces analysis of Chinas Electronic Commerce Initiative Leapfrogging Development Stages Case Help
Segmentation
The segmentation analysis consists of the analysis of different business sectors of the company in domestic and the international, markets. The majority of the company's Traditional shops lie in US including above 500 stores in nearly each of the state of US. Nevertheless, the company has also a global existence in 8 different countries with its greatest variety of shops situated in UK i.e. 21. The companyhas an overall of 54 shops in international markets that is probably the 10% of its shops in the US. It indicates that bulk of the profits of the company originated from the local markets. Additionally, the business is thinking about to expand its stores into 7 more European and Asian countries. A chart showing the existence of the company in numerous worldwide markets is given in the Appendix 2.
Targeting
The company targets its clothes brand to the young, tall and attractive teens and kids that are thought about to be cool. This targeting policy is responsible for various differences in the company associated with its rivals. For example, the company works with good looking males and females for its shops and follows a strict appearance policy to maintain tourist attraction of attractive people towards its stores and offer an unique brand name experience.
Positioning
The company has actually positioned its brand as a high-end brand targeting just a particular market section. The business with its non-traditional methods of marketing through designs and representatives posters its brand name image as a luxury clothes brand targeted to the cool and attractive personalities in society. This market position attracts various elite individuals towards the brand name but it hurts the company's position in various communities focused at the equality in society.
External Analysis
Competitor Analysis
Porter's 5 Forces analysis of Chinas Electronic Commerce Initiative Leapfrogging Development Stages Case Analysis deals with a great deal of competition in the market with the existence of numerous variety of competitors in the market. A chart showing the close competitors together with their attributes and the marketing method is given up. it could be seen that the American Eagle Outfitters is considered to be the strongest competitors for company with its marketing method related to the television programs. Gap is also considered to be a possible competitor in regional as well as in international; markets as the company is thinking about to move in the global markets. Together with it, Chinas Electronic Commerce Initiative Leapfrogging Development Stages Case Study Help. with its versatile prices strategy and the Victoria's Street with its strong social status posture an extreme risk to the present market share of the Porter's 5 Forces analysis of Chinas Electronic Commerce Initiative Leapfrogging Development Stages Case Solution.
This is sample work and not applicable to real case study. Please place the order on the website to get your own originally done case solution.