Porter's 5 Forces analysis of The China Telecom Hong Kong Ipo Money For Nothing Case Analysis

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Porter's 5 Forces analysis of The China Telecom Hong Kong Ipo Money For Nothing Case Study Analysis

Porter's 5 Forces AnalysisA Porter's 5 Forces analysis of The China Telecom Hong Kong Ipo Money For Nothing Case Solution could be carried out to develop various strategies using the strengths of the company to avail opportunities, overcome weak points and to lower the risks. It could also be used to assess that how specific weaknesses withstand particular opportunities and increase the threats. The techniques drafted utilizing the Porter's 5 Forces analysis of The China Telecom Hong Kong Ipo Money For Nothing Case Analysis are provided as follows;
• Usage of strong worldwide brand position and funds in expanding towards potential markets.
• Special brand experience might help out the business to much better position itself in new markets.
• Resistance in growth in the potential international markets motivating variety.
• High costs limits the growth in numerous Asian and African nations with low per capita earnings.
• Strong brand name acknowledgment, non-traditional methods of marketing and the unique brand name experience might be used to decrease the danger from possible clients.
• Strict appearance policies might caused the consumer shift towards Victoria with high social responsibility.
• Limited target audience might led to a decline in the total market share of the company.
These techniques might help the business 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 The China Telecom Hong Kong Ipo Money For Nothing Case Solution could be carried out to evaluate the availability of financial resources to the company that could be used in expansion towards global markets. The financial position of the company could be evaluated by utilizing the data given up the case Display 1. The ratios that could be thought about in financial performance analysis are given up the Table 1 listed below;

From the above Table 1, it could be seen that the company has a sensible monetary performance with a ROE of 7.9% and a high sales growth of 18.4%. A 4.3% net revenue margin does not appears to be possible and the business needs to put efforts in increasing its earnings along with decreasing its operational costs to increase its profit margins.

Porter's 5 Forces analysis of The China Telecom Hong Kong Ipo Money For Nothing Case Help

Segmentation

The segmentation analysis includes the analysis of numerous service segments of the business in domestic and the worldwide, markets. The majority of the company's Brick and Mortar shops lie in US consisting of above 500 shops in almost each of the state of United States. The business has likewise an international existence in 8 various nations with its highest number of stores situated in United Kingdom 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 majority of the incomes of the business originated from the local markets. Furthermore, the company is considering to broaden its shops into 7 more European and Asian nations. A chart revealing the presence of the business in numerous global markets is given in the Appendix 2.

Targeting


The company targets its clothing brand name to the young, high and attractive teenagers and kids that are considered to be cool. This targeting policy is accountable for numerous differences in the business connected to its rivals. For example, the company works with great looking males and females for its shops and follows a strict look policy to keep attraction of good-looking people towards its shops and provide a special brand experience.

Positioning


The business has positioned its brand as a high-end brand targeting only a particular market sector. The company with its non-traditional methods of marketing through designs and representatives posters its brand name image as a high-end clothes brand name targeted to the cool and good-looking characters in society. Although, this market position draws in various elite individuals towards the brand however 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 The China Telecom Hong Kong Ipo Money For Nothing Case Analysis faces a lot of competition in the market with the existence of various number of competitors in the market. Gap is also considered to be a prospective rival in regional as well as in worldwide; markets as the company is thinking about to shift in the global markets.



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