Porter's 5 Forces analysis of Cemexs Acquisition Strategy: The Acquisition Of Rinker Group Case Help

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Porter's 5 Forces analysis of Cemexs Acquisition Strategy: The Acquisition Of Rinker Group Case Study Help

A Porter's 5 Forces analysis of Cemexs Acquisition Strategy: The Acquisition Of Rinker Group Case Solution could be conducted to design numerous strategies using the strengths of the company to get opportunities, overcome weak points and to reduce the risks. It might likewise be utilized to assess that how particular weak points withstand specific opportunities and increase the dangers. The techniques drafted using the Porter's 5 Forces analysis of Cemexs Acquisition Strategy: The Acquisition Of Rinker Group Case Solution are provided as follows;
• Utilization of strong international brand position and funds in expanding towards potential markets.
• Unique brand name experience could assist the company to better position itself in new markets.
• Resistance in expansion in the potential worldwide markets encouraging diversity.
• High costs restricts the growth in numerous Asian and African countries with low per capita earnings.
• Strong brand name recognition, non-traditional ways of marketing and the distinct brand experience could be utilized to lower the hazard from prospective clients.
• Stringent appearance policies could caused the customer shift towards Victoria with high social duty.
• Limited target audience might caused a decrease in the overall market share of the business.
These strategies could 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 Cemexs Acquisition Strategy: The Acquisition Of Rinker Group Case Solution could be carried out to assess the availability of financial resources to the business that might be utilized in growth towards worldwide markets. The monetary position of the business could be evaluated by using the information given in the case Exhibition 1. The ratios that could be thought about in financial efficiency analysis are given in the Table 1 below;

From the above Table 1, it could be seen that the business has a sensible monetary performance with a ROE of 7.9% and a high sales development of 18.4%. Although, a 4.3% net profit margin does not seems to be prospective and the business needs to put efforts in increasing its revenues together with lowering its operational costs to increase its earnings margins.

Porter's 5 Forces analysis of Cemexs Acquisition Strategy: The Acquisition Of Rinker Group Case Solution

Segmentation

The segmentation analysis includes the analysis of numerous company sections of the business in domestic and the international, markets. The majority of the company's Traditional stores lie in US consisting of above 500 stores in almost each of the state of United States. The company has likewise an international presence in 8 different nations with its greatest number of stores situated in United Kingdom i.e. 21. The companyhas an overall of 54 stores in global markets that is most likely the 10% of its stores in the United States. It suggests that bulk of the incomes of the business originated from the local markets. Moreover, the company is considering to broaden its stores into 7 more European and Asian nations. A chart revealing the existence of the business in different international markets is given in the Appendix 2.

Targeting

The company targets its clothes brand to the young, tall and attractive teenagers and kids that are thought about to be cool. This targeting policy is accountable for various differences in the company related to its rivals. For example, the company hires great looking men and women for its shops and follows a stringent look policy to keep attraction of good-looking individuals towards its stores and provide a distinct brand experience.

Positioning

The company has positioned its brand name as a high-end brand targeting just a specific market section. The company with its non-traditional methods of marketing through designs and agents posters its brand image as a luxury clothes brand name targeted to the cool and attractive characters in society. This market position attracts different elite individuals towards the brand however it harms the business's position in different communities focused at the equality in society.

External Analysis

Competitor Analysis

Porter's 5 Forces analysis of Cemexs Acquisition Strategy: The Acquisition Of Rinker Group Case Analysis faces a lot of competition in the market with the presence of various number of competitors in the market. Gap is also thought about to be a potential competitor in regional as well as in international; markets as the company is considering to move in the worldwide markets.

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