Porter's 5 Forces analysis of Dollar Shave Club: Disrupting The Shaving Industry Case Help

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Porter's 5 Forces analysis of Dollar Shave Club: Disrupting The Shaving Industry Case Study Help

Porter's 5 Forces AnalysisA Porter's 5 Forces analysis of Dollar Shave Club: Disrupting The Shaving Industry Case Help could be conducted to create numerous techniques utilizing the strengths of the company to obtain chances, conquer weak points and to minimize the hazards. It could likewise be used to examine that how specific weaknesses withstand certain chances and increase the dangers. The strategies prepared utilizing the Porter's 5 Forces analysis of Dollar Shave Club: Disrupting The Shaving Industry Case Analysis are given as follows;
• Utilization of strong global brand name position and financial resources in broadening towards prospective markets.
• Special brand name experience could help out the business to better position itself in new markets.
• Resistance in expansion in the possible worldwide markets motivating diversity.
• High prices limits the growth in numerous Asian and African countries with low per capita earnings.
• Strong brand name recognition, non-traditional methods of marketing and the special brand name experience might be utilized to minimize the threat from possible consumers.
• Stringent appearance policies could led to the customer shift towards Victoria with high social duty.
• Restricted target markets might led to a decrease in the total market share of the company.
These methods might assist the company 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 Dollar Shave Club: Disrupting The Shaving Industry Case Solution could be performed to examine the availability of financial resources to the business that might be made use of in expansion towards global markets. The financial position of the business could be assessed by using the information given up the case Exhibition 1. The ratios that could be thought about in monetary efficiency analysis are given in the Table 1 below;

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

Porter's 5 Forces analysis of Dollar Shave Club: Disrupting The Shaving Industry Case Analysis

Segmentation

The segmentation analysis includes the analysis of different business segments of the company in domestic and the international, markets. The majority of the company's Brick and Mortar stores lie in United States including above 500 shops in practically each of the state of United States. However, the company has likewise a worldwide presence in 8 various countries with its greatest number of shops situated in UK i.e. 21. The companyhas an overall of 54 stores in worldwide markets that is most likely the 10% of its shops in the US. It suggests that majority of the profits of the company come from the local markets. Additionally, the company is considering to expand its stores into 7 more European and Asian countries. A chart revealing the presence of the company in different global markets is given in the Appendix 2.

Targeting


The company targets its clothes brand name to the young, high and attractive teenagers and kids that are thought about to be cool. This targeting policy is accountable for various differences in the business related to its rivals. For instance, the company works with great looking men and women for its stores and follows a rigorous appearance policy to keep destination of good-looking people towards its shops and supply a distinct brand experience.

Positioning


The company has actually placed its brand name as a high-end brand name targeting only a specific market section. The business with its non-traditional methods of marketing through designs and representatives posters its brand image as a luxury clothing brand name targeted to the cool and good-looking personalities in society. Although, this market position brings in different elite individuals towards the brand but 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 Dollar Shave Club: Disrupting The Shaving Industry Case Solution deals with a lot of competitors in the market with the existence of numerous number of competitors in the market. Gap is likewise considered to be a possible competitor in local as well as in international; markets as the business is thinking about to move in the worldwide markets.



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