Porter's 5 Forces analysis of Saint-Gobain: The Expansion Option In India And Or China Case Analysis

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Porter's 5 Forces analysis of Saint-Gobain: The Expansion Option In India And Or China Case Study Solution

Porter's 5 Forces AnalysisA Porter's 5 Forces analysis of Saint-Gobain: The Expansion Option In India And Or China Case Help could be conducted to design numerous methods utilizing the strengths of the business to avail opportunities, get rid of weaknesses and to decrease the hazards. It could also be utilized to evaluate that how specific weaknesses withstand specific chances and increase the threats. The methods prepared utilizing the Porter's 5 Forces analysis of Saint-Gobain: The Expansion Option In India And Or China Case Analysis are offered as follows;
• Usage of strong international brand name position and funds in expanding towards prospective markets.
• Special brand experience could help out the company to better position itself in brand-new markets.
• Resistance in expansion in the potential global markets encouraging diversity.
• High costs restricts the growth in various Asian and African countries with low per capita earnings.
• Strong brand recognition, non-traditional methods of marketing and the distinct brand experience could be made use of to reduce the danger from prospective customers.
• Strict appearance policies might led to the consumer shift towards Victoria with high social obligation.
• Limited target markets could led to a decrease in the total market share of the business.
These techniques might 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 Saint-Gobain: The Expansion Option In India And Or China Case Solution could be carried out to assess the accessibility of financial resources to the company that could be used in growth towards international markets. The financial position of the business might be evaluated by utilizing the information given in the case Exhibition 1. The ratios that might be considered in monetary efficiency analysis are given in the Table 1 listed below;

From the above Table 1, it might be seen that the company has a reasonable monetary efficiency with a ROE of 7.9% and a high sales growth of 18.4%. Although, a 4.3% net profit margin does not seems to be possible and the company needs to put efforts in increasing its earnings together with lowering its functional costs to increase its revenue margins.

Porter's 5 Forces analysis of Saint-Gobain: The Expansion Option In India And Or China Case Solution

Segmentation

Many of the company's Brick and Mortar shops are situated in US including above 500 stores in nearly each of the state of US. The company has likewise an international existence in 8 various countries with its greatest number of stores located in United Kingdom i.e. 21. The companyhas an overall of 54 shops in worldwide markets that is most likely the 10% of its stores in the United States.

Targeting


The business targets its clothing brand name to the young, tall and attractive teenagers and kids that are considered to be cool. This targeting policy is accountable for various distinctions in the business associated with its competitors. The business hires good looking men and females for its stores and follows a strict look policy to maintain destination of good-looking individuals towards its shops and offer an unique brand experience.

Positioning


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

External Analysis

Competitor Analysis


Porter's 5 Forces analysis of Saint-Gobain: The Expansion Option In India And Or China Case Help deals with a lot of competition in the market with the existence of numerous number of rivals in the market. Gap is likewise considered to be a potential competitor in local as well as in worldwide; markets as the company is thinking about to move in the global markets.



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