Porter's 5 Forces analysis of Renault-Volvo Strategic Alliance (B) Case Analysis

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Porter's 5 Forces analysis of Renault-Volvo Strategic Alliance (B) Case Study Solution

Porter's 5 Forces AnalysisA Porter's 5 Forces analysis of Renault-Volvo Strategic Alliance (B) Case Solution might be conducted to create various techniques using the strengths of the business to get chances, conquer weaknesses and to minimize the risks. It might also be used to examine that how particular weaknesses resist certain chances and increase the threats. The strategies prepared utilizing the Porter's 5 Forces analysis of Renault-Volvo Strategic Alliance (B) Case Help are offered as follows;
• Utilization of strong international brand position and financial resources in broadening towards prospective markets.
• Special brand experience could assist the business to better position itself in new markets.
• Resistance in expansion in the prospective international markets encouraging variety.
• High costs restricts the expansion in different Asian and African nations with low per capita earnings.
• Strong brand name acknowledgment, non-traditional ways of marketing and the distinct brand experience could be made use of to reduce the hazard from potential consumers.
• Strict look policies might led to the customer shift towards Victoria with high social duty.
• Minimal target audience might led to a decrease in the total market share of the company.
These techniques might assist 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 Renault-Volvo Strategic Alliance (B) Case Help could be conducted to assess the availability of funds to the company that might be used in expansion towards international markets. The monetary position of the company might be examined by utilizing the information given up the case Display 1. The ratios that might be thought about in financial efficiency analysis are given in the Table 1 listed below;

From the above Table 1, it might be seen that the business 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 prospective and the business needs to put efforts in increasing its incomes along with reducing its functional expenditures to increase its profit margins.

Porter's 5 Forces analysis of Renault-Volvo Strategic Alliance (B) Case Solution

Segmentation

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

Targeting


The business targets its clothes brand name to the young, tall and attractive teens and kids that are considered to be cool. This targeting policy is responsible for different distinctions in the business related to its rivals. The business hires good looking males and women for its shops and follows a stringent look policy to preserve attraction of attractive individuals towards its shops and supply a distinct brand experience.

Positioning


The company has positioned its brand as a high-end brand name targeting only a specific market segment. The company with its non-traditional methods of marketing through models and agents posters its brand name image as a high-end clothes brand targeted to the cool and good-looking characters in society. This market position brings in different elite individuals towards the brand name however it harms the company's position in numerous communities focused at the equality in society.

External Analysis

Competitor Analysis


Porter's 5 Forces analysis of Renault-Volvo Strategic Alliance (B) Case Analysis faces a great deal of competition in the market with the existence of various variety of rivals in the market. A chart showing the close competitors together with their qualities and the marketing strategy is given in. it could be seen that the American Eagle Outfitters is thought about to be the greatest competitors for business with its marketing technique associated to the tv programs. Space is likewise thought about to be a prospective competitor in local as well as in worldwide; markets as the business is thinking about to move in the worldwide markets. In addition to it, Renault-Volvo Strategic Alliance (B) Case Study Help. with its versatile pricing strategy and the Victoria's Street with its strong social status pose an extreme threat to the current market share of the Porter's 5 Forces analysis of Renault-Volvo Strategic Alliance (B) Case Analysis.



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