Porter's 5 Forces analysis of Zopa.Com: From A Hot Idea To An Established Market Player Case Analysis

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Porter's 5 Forces analysis of Zopa.Com: From A Hot Idea To An Established Market Player Case Study Analysis

Porter's 5 Forces AnalysisA Porter's 5 Forces analysis of Zopa.Com: From A Hot Idea To An Established Market Player Case Solution could be performed to create various strategies utilizing the strengths of the business to get chances, get rid of weak points and to minimize the risks. It might likewise be utilized to assess that how certain weaknesses resist certain opportunities and increase the dangers. The techniques drafted using the Porter's 5 Forces analysis of Zopa.Com: From A Hot Idea To An Established Market Player Case Solution are offered as follows;
• Usage of strong international brand position and funds in broadening towards possible markets.
• Special brand name experience could help out the company to better position itself in brand-new markets.
• Resistance in growth in the possible global markets encouraging diversity.
• High costs limits the growth in various Asian and African nations with low per capita earnings.
• Strong brand recognition, non-traditional methods of marketing and the unique brand experience could be used to reduce the danger from possible customers.
• Stringent appearance policies could caused the customer shift towards Victoria with high social obligation.
• Limited target markets could caused a decline 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 Zopa.Com: From A Hot Idea To An Established Market Player Case Solution might be performed to assess the schedule of funds to the business that might be used in expansion towards worldwide markets. The financial position of the business could be evaluated by utilizing the data given in 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 monetary efficiency with a ROE of 7.9% and a high sales development of 18.4%. A 4.3% net earnings margin does not seems to be possible and the business needs to put efforts in increasing its profits along with minimizing its operational costs to increase its revenue margins.

Porter's 5 Forces analysis of Zopa.Com: From A Hot Idea To An Established Market Player Case Solution

Segmentation

The division analysis includes the analysis of various service segments of the business in domestic and the worldwide, markets. Most of the business's Traditional stores are located in US including above 500 shops in almost each of the state of US. The company has likewise a worldwide presence in 8 various nations with its greatest number of stores situated in United Kingdom i.e. 21. The companyhas a total of 54 stores in international markets that is probably the 10% of its shops in the US. It implies that bulk of the revenues of the company come from the regional markets. The company is considering to broaden 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 clothing brand 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 works with good looking guys and ladies for its shops and follows a stringent look policy to maintain attraction of good-looking people towards its stores and provide a distinct brand name experience.

Positioning


The company has placed its brand as a high-end brand name targeting only a particular market section. The company with its non-traditional methods of marketing through designs and representatives posters its brand name image as a luxury clothes brand name targeted to the cool and good-looking personalities in society. This market position draws in different elite individuals towards the brand 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 Zopa.Com: From A Hot Idea To An Established Market Player Case Solution deals with a great deal of competition in the market with the presence of different number of competitors in the market. A chart showing the close competitors in addition to their qualities and the marketing technique is given in. it might be seen that the American Eagle Outfitters is thought about to be the strongest rivals for business with its marketing strategy related to the television programs. Space is also thought about to be a prospective rival in local as well as in international; markets as the business is thinking about to move in the global markets. In addition to it, Zopa.Com: From A Hot Idea To An Established Market Player Case Study Solution. with its flexible rates technique and the Victoria's Street with its strong social status position a serious danger to the current market share of the Porter's 5 Forces analysis of Zopa.Com: From A Hot Idea To An Established Market Player Case Solution.



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