Barco Projection System, Barcos Decisions that Contributed to Current Problems - Case Study Example

Name Professor Course Date Success is the greatest quest of every business in the world today. Achieving business success, however, is never a walk in the park. It involves exhaustive set of activities that range from the business strategy, to the environmental factors that surround the operation of the business. Many businesses will always strive and go overboard, just to ensure that they learn something new about success, and try to implement it. This essay discusses three companies, from a different perspective, Barco Projection System Barco started in the year 1934, as a radio broad cast producer. However, with continuously increasing stiff competition, the company had to device new strategies that would help it survive in the market. Being a company that was in the filed of technology, the management decided to expand the company to produce projectors, which saw the company grow to high heights. Barco’s Brand Name, Dealers of Network and Electrical Engineers Strategy is the core factor that determines whether a business will succeed or end up in reds. Barco has a fairly balanced pool of strategic resources, which include, a team of skillful engineers and, a strong brand name based on their superiority. Their brand name and team of engineers therefore are the major strongholds of their strategies, hence appropriate strategic resources. They have a strong distribution network that is mainly concentrated in the European countries; this would be considered as a good strategic resource, if they were only targeting specific countries. However, the fact that the network of distributors is not well distributed weakens their strategy; it is not a good strategic resource, since it does not recognize the philosophy of business growth, which calls for extensive market share, across the globe. Their competitor, Sony, have multiple distributors across the globe, which ensure that they can supply their products to all their potential market. Barco are concentrated I few areas; this is a serious set back to their marketing strategies. Their band name is popular as the first company that produced high-scan rate projectors; after all, every end user of projectors is looking for speed. This is also a powerful resource that can help them to design an intensive market strategy, as well as a strategy to establish a bigger brand name than what they currently have. Their team of electrical engineers, on the other hand, is a focused group that is determined to carry out tireless researches in the search for a powerful product. This is another resource that management can use to design a strategic plan that will see them produce higher quality goods than their competitors. Sony’s Resources Barco’s competitors, Sony, have valuable resources that help it to wage stiff completion on its competitors. Their brand name is prominent, as the first company to manufacture high quality projector tubes. This brand name, along with their tube technology, is a strong resource for marketing and winning over the market, considering that every consumer is looking for quality pictures. This is an effort of their well experience team of electrical engineers, who have unique skills to produce unique resources. It also has a strong distribution network across the globe, meaning that they can easily market their products. Barco’s Decisions that Contributed to Current Problems Barco decided to concentrate on high end products, at the expense of their market growth. While Sony concentrated on developing wide market boundaries, Barco only chose to distribute is products in three main regions, where their products would be accepted with their high prices. It could have been necessary if they had considered producing both high end and average quality products, and distribute them evenly in all markets of the globe, to counter any threats from their competitors. Sony’s Strategic Plan and the Implications to Barco Sony’s strategic plan is based on picture quality and brand status. The company concentrates on producing projectors with the highest picture quality, and hence use this to market their products. They market their brand as a superior brand, which attracts the attention of all those who believe in the philosophy of class and status. Michael Bregman Factors that Made Michael Successful Michael is determined and creative in his business. He constantly seeks to develop his business ideas, despite the fact he sometimes suffers from a low self esteem. His determination and creativity, and a high imaginative mind in the Mmmuffin’s business were a great contributor to his success. When developing his products, he always ensured that they were superior to those of his competitors, hence gaining more customers. He developed his idea from the ideas in the food industry by mixing several unique ingredients, to ensure he produced quality products that would surpass those of other players in the market. This can be compounded by the fact that he always took heart, and apart from the cases when he did not make wise choices because of fear, it is evident that whenever he had a right attitude about something, he would pursue it. This was well demonstrated when he developed an interest in the muffins business. There are success factors are equable, and every one who has a success vision in business can have enormous benefits from the same. Positive attitude, creativity, and innovativeness are factors that should be mimicked by all other businessmen. How fast should Michael grow? The history of Michael’s business shows that despite all the set backs that that he experienced at first; his business has experienced tremendous growth over the years. Judging from his strategic plans and vision to expand his business through franchise, Michael’s business is expected to show a high growth rate in the near future. His products are of high quality, with unique ingredients, which have been responsible for the high increase in his customers. This is already an upper hand and a source of a strong strategic plan that can see him establish a powerful brand name in the industry and hence grow at a super speed. How Michel Should React if the Major Daily Newspaper Offered to Publish on his Mmmuffins Store If the leading daily newspaper in Toronto approached Michael and asked if he would like the newspaper to publish a story describing the Mmmuffins store, he should give be glad about it and give them a chance to do just that. This would be a strong selling point and strategy that will help him to make many people know about his business as well as convince the newspaper readers’ of the uniqueness and superiority of his products. Michael should understand that this will not only be a marketing opportunity but also a chance to attract likeminded investors who may be interested in helping him expand his business outlets and area of operation, in an attempt to increase his profits. Franchise of Michael’s Business Franchising is a relatively fast and cheap method of marketing and expanding a business within a short time. Over the years, Michael’s business has grown under his own influence and has now reached a saturation point; it cannot show a high growth rate. This means that the only sure way to expand his business in an attempt to achieve his goals would be to enter in to a franchise business. Franchising will help him gain control of a wide market share within a short time, which he would not have accessed without doing it. Just like any other business, he will obviously meet many challenges in the process of trying to franchise his business; however, he keep in mind that this is the best decision he can ever make for the success of his business. Franchising as Way of Raising Capital Franchising is a useful method of raising capital. Businesses that have entered into this business have shown a considerably high growth in both their size and capital. By franchising, Mmmufins will be a chief supplier and distributor of is products, and hence increase its general sales. An increase in its sales will undoubtedly go along with a high profit margin, from the previous profits. However, it should be note that franchising will only help a business to raise capital, after it is already established. It is hence not a guarantee that any business that decides to franchise will raise its desired capital. This calls for appropriate strategies and timely implementation of the same. Advantages of Franchisees Like they say, smart people deal with the winners. Taking a franchisee over a manager to run your store means that you have an expansive vision for your business. It is obvious that franchisees have the knowledge they are required in doing this business. Knowledge alone is not enough; they also have a pleasant deal of experience a finesse needed by a franchise business to succeed. Managers may be beneficial in directing the internal and general affairs of the business, but when it comes to taking a franchise business in the right direction, leave it to the experts. Franchisee will help the business to grow quickly, since they already have the knowledge and experience in the field and hence will not waste time learning many things. They will be able to market and expand the business across the globe, as their paramount goal is to increase their area of operation, so that they can get the largest share of the market share. Unlike managers who are well experienced in coordinating different departments of the business to produce the desired results, a franchise needs someone who can be able to establish a strong network of new contacts regularly, and identify the best investors, while considering the location of the new business. Difference between Michaels Goals and Other Potential Franchisees Michael, just like any other franchisee, has a vision to expand his business and develop a reputable business brand for Mmmuffins. However, his main goal is to make sure that he expands his profits through a few additional branches. However, a real franchise would be looking at how well he is connected and how many opportunities he can get to open new branches all over the globe. Mechanisms to help Align Franchisees Incentives to Build Muffins Brand Just like any other employees, franchisees can be motivated and aligned to the business brand name and expand its growth. There are several ways of keeping franchisees motivated and upbeat. Thinks of what happens after a powerful motivational talk, one usually feels unusually high and starts making up giant plans for the future. The same way, it is necessary to keep the franchisees motivated for the sake of your business. Talk passionately about the success of your business and you will keep their spirits high. Michael can also be able to motivate them by giving them a chance to make good money out of their activities. There is nothing that motivates a business mind like money. Giving them a chance to make money will keep them on the run, trying to ensure the business grows to inexplicable heights. Michael Should Franchise Now Michael should franchise now. Make hay while the sun lasts! It is crucial for him to realize that his business success may not be permanent if stern actions are not taken. He should franchise now, when his business is still producing unique products, so that he can use grow and take a large market share before other competitors set in. TAL VMI System Benefits to retailers of adopting TAL’s VMI system TAL’s VMI system will have a lot of benefits to any business that adopts it. First of all, the cost of placing orders will move to suppliers, and as a result, retailers will be relieved of this cost. Retailers will also realize considerable decrease in stock outs and inventory levels, which will help them, increase on their total sales, hence their overall profit. Since the suppliers will also be in a contest to attract and maintain retailers, they will provide them will improved services’ another benefit to retailers. TAL’s VMI System as a Strategic Resource for TAL? TAL’s VMI system is a strategic resource. The fact that TAL decided to create a unique VMII system is an already established strategic resource for them, this will especially work out if their system turns out to be one of the best VMI systems in the market. It will automatically attract other businesses, retailers and suppliers to outsource it because of its uniqueness, and as a consequence, their competitors will lose out on them. Obstacles that might Prevent Retailers from Adopting TAL’s VMI System The VMI is undeniably a powerful business tool. However, there are certain obstacles that usually prevent retailers from obtaining this useful system. The first barrier is usually fearing that the system may not work to their expectations, and that will be a loss to them. Other retailers are obscured by the cost of installing the system, which can be dealt with, as long as they show the willingness to acquire the system. Retailers also face the fear of losing most of their property, incase of interruptions like strikes, as they will always have stock with them. How TAL can overcome the Obstacle Every business problem has a solution. TAL can handle all these problems and ensure that many retailers are able acquire and use their system. They can start by removing fear from people and convincing them that they need to use the product because it has unusually many benefits. This will be made possible by ensuring that they carry out an offshore intensive awareness campaign before going to market their products. They can also device a system of payments through installation to ensure that the problem of finances dealt with. When entering new markets, they can start by launching a pilot project that will be aimed at grabbing the attention and curiosity of local retailers, so that they can develop interest in acquiring the system Advantages and Disadvantages of having a Unique Supplier of VMI Services, From a Retailer’s Perspective The advantages of having a unique supplier of VMI services are numerous. Retailers will receive high end services, which will ensure the sustainability of their businesses. They will also have an upper hand over their competitors, who may be sharing a common VMI system. Retailers will enjoy status, and hence use this as a marketing strategy. However, incase their supplier fails, they will be seriously disadvantaged. First, because they may lose out on many of their clients, and second because they may find difficulty in modifying it, and hence will have to bear the cost of installing another one. Read More