Porter's 5 Forces analysis of Lenovo Being On Top In A Declining Industry Case Analysis

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Porter's 5 Forces analysis of Lenovo Being On Top In A Declining Industry Case Study Solution

Porter's 5 Forces AnalysisA Porter's 5 Forces analysis of Lenovo Being On Top In A Declining Industry Case Help might be performed to create numerous strategies utilizing the strengths of the business to avail opportunities, overcome weak points and to minimize the dangers. It could likewise be utilized to assess that how specific weaknesses withstand certain chances and increase the hazards. The strategies drafted utilizing the Porter's 5 Forces analysis of Lenovo Being On Top In A Declining Industry Case Help are given as follows;
• Utilization of strong worldwide brand name position and financial resources in expanding towards potential markets.
• Unique brand name experience could assist the company to much better position itself in new markets.
• Resistance in growth in the possible worldwide markets encouraging variety.
• High costs restricts the growth in numerous Asian and African countries with low per capita earnings.
• Strong brand acknowledgment, non-traditional ways of marketing and the special brand experience could be used to minimize the threat from potential consumers.
• Stringent appearance policies could caused the consumer shift towards Victoria with high social responsibility.
• Restricted target audience might caused a decline in the overall market share of the company.
These techniques could assist the business to improvise its market position and be at the leading position in the market.

Financial Analysis


Monetary analysis for Porter's 5 Forces analysis of Lenovo Being On Top In A Declining Industry Case Solution could be performed to assess the availability of financial resources to the business that might be used in expansion towards international markets. The monetary position of the company could be assessed by utilizing the information given up the case Display 1. The ratios that could be considered in monetary efficiency analysis are given up the Table 1 listed below;

From the above Table 1, it might be seen that the business has an affordable monetary performance with a ROE of 7.9% and a high sales growth of 18.4%. A 4.3% net revenue margin does not seems to be potential and the company needs to put efforts in increasing its earnings along with decreasing its operational expenses to increase its revenue margins.

Porter's 5 Forces analysis of Lenovo Being On Top In A Declining Industry Case Analysis

Segmentation

The segmentation analysis includes the analysis of various service sectors of the business in domestic and the international, markets. The majority of the company's Brick and Mortar shops are located in United States including above 500 stores in nearly each of the state of United States. The business has also an international presence in 8 different countries with its highest number of stores situated in United Kingdom i.e. 21. The companyhas a total of 54 stores in global markets that is most likely the 10% of its stores in the US. It suggests that majority of the earnings of the business come from the regional markets. Moreover, the company is thinking about to expand its stores into 7 more European and Asian countries. A chart showing the existence of the company in various worldwide markets is given in the Appendix 2.

Targeting


The company targets its clothing brand name to the young, high and good-looking teens and kids that are thought about to be cool. This targeting policy is accountable for different differences in the company related to its rivals. The company works with excellent looking males and women for its stores and follows a stringent look policy to keep tourist attraction of attractive people towards its stores and offer a distinct brand experience.

Positioning


The business has placed its brand as a high-end brand name targeting only a particular market sector. The company with its non-traditional methods of marketing through models and agents posters its brand image as a luxury clothing brand name targeted to the cool and attractive characters in society. Although, this market position draws in numerous elite individuals towards the brand but it injures the business's position in numerous communities focused at the equality in society.

External Analysis

Competitor Analysis


Porter's 5 Forces analysis of Lenovo Being On Top In A Declining Industry Case Help deals with a lot of competitors in the market with the existence of various variety of competitors in the market. A chart showing the close rivals along with their qualities and the marketing strategy is given up. it might be seen that the American Eagle Outfitters is considered to be the greatest rivals for company with its marketing strategy related to the tv programs. Gap is also thought about to be a possible rival in regional as well as in global; markets as the business is thinking about to move in the global markets. Along with it, Lenovo Being On Top In A Declining Industry Case Study Analysis. with its versatile prices method and the Victoria's Street with its strong social status present a serious risk to the current market share of the Porter's 5 Forces analysis of Lenovo Being On Top In A Declining Industry Case Solution.



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