Porter's 5 Forces analysis of Congoleum Corporation (Abridged) Case Analysis

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Porter's 5 Forces analysis of Congoleum Corporation (Abridged) Case Study Analysis

A Porter's 5 Forces analysis of Congoleum Corporation (Abridged) Case Help might be conducted to develop various strategies using the strengths of the company to obtain chances, get rid of weaknesses and to minimize the threats. It could also be used to evaluate that how certain weaknesses resist specific chances and increase the threats. The strategies drafted using the Porter's 5 Forces analysis of Congoleum Corporation (Abridged) Case Solution are offered as follows;
• Utilization of strong international brand position and financial resources in expanding towards potential markets.
• Special brand name experience could assist the company to much better position itself in brand-new markets.
• Resistance in growth in the possible international markets motivating variety.
• High prices restricts the growth in numerous Asian and African countries with low per capita income.
• Strong brand acknowledgment, non-traditional ways of marketing and the unique brand name experience could be made use of to decrease the danger from potential consumers.
• Strict look policies could resulted in the customer shift towards Victoria with high social obligation.
• Limited target audience might resulted in a decrease in the total market share of the company.
These methods might 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 Congoleum Corporation (Abridged) Case Analysis might be carried out to examine the availability of financial resources to the business that might be made use of in growth towards global markets. The monetary position of the business could be assessed by utilizing the information given up the case Display 1. The ratios that might be considered in monetary efficiency analysis are given up the Table 1 below;

From the above Table 1, it could be seen that the company has an affordable financial efficiency with a ROE of 7.9% and a high sales growth of 18.4%. Although, a 4.3% net earnings margin does not appears to be possible and the company should put efforts in increasing its profits along with reducing its operational expenditures to increase its revenue margins.

Porter's 5 Forces analysis of Congoleum Corporation (Abridged) Case Analysis

Segmentation

Most of the business's Brick and Mortar shops are situated in United States including above 500 stores in nearly each of the state of United States. The company has likewise an international existence in 8 different nations with its highest number of shops located in United Kingdom i.e. 21. The companyhas a total of 54 stores in global markets that is probably the 10% of its shops in the United States.

Targeting

The business targets its clothing brand to the young, tall and good-looking teenagers and kids that are considered to be cool. This targeting policy is responsible for various distinctions in the business connected to its rivals. For example, the business employs good looking men and women for its shops and follows a stringent appearance policy to keep attraction of good-looking people towards its shops and supply a special brand experience.

Positioning

The business has positioned its brand name as a high-end brand name targeting just a specific market segment. The company with its non-traditional methods of marketing through models and representatives posters its brand image as a high-end clothes brand targeted to the cool and good-looking characters in society. Although, this market position brings in numerous elite people towards the brand but it harms the business's position in numerous neighborhoods focused at the equality in society.

External Analysis

Competitor Analysis

Porter's 5 Forces analysis of Congoleum Corporation (Abridged) Case Help deals with a lot of competition in the market with the existence of various number of rivals in the market. A chart revealing the close competitors along with their qualities and the marketing method is given in. it could be seen that the American Eagle Outfitters is considered to be the greatest competitors for business with its marketing method related to the tv programs. Gap is likewise thought about to be a potential rival in regional as well as in international; markets as the business is considering to shift in the global markets. Together with it, Congoleum Corporation (Abridged) Case Study Help. with its flexible pricing method and the Victoria's Street with its strong social status position an extreme hazard to the present market share of the Porter's 5 Forces analysis of Congoleum Corporation (Abridged) Case Help.



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