The paper "Information Systems: Marston Tools Plc" is a great example of a case study on management. Kling, Kraemer, Allen, Bakos, Gurbaxani, and King (1992) argued that manufacturing is an area where a vision of extensive coordination through computerization has been articulated. In this regard, computer integrated manufacturing (CIM) is often advanced as a subsequent stage for enhancing efficiencies and performance in manufacturing through the minimization of intra-organizational coordination costs. Marston Tool's plc is confronted by immense challenges that have hampered the performance, efficiency, and competitiveness of the firm. Problem analysis This analysis will focus on the five forces analysis developed by Porter (1980).
This entails three forces from the horizontal competition (external): the threat of new entrants, the threat of substitute products, and the threat of established rivals as well as vertical competition (internal): bargaining power of customers and bargaining power of suppliers. The threat of new entrants The advent of new tools manufacturing corporations in the market poses a major threat to the viability of Marston Tool's plc. competitive advantage in the market. This external competition has predominantly been coming from firms in Eastern Europe which have been materializing on the advantage of lower labor and materials cost in their respective localities when juxtaposed with Western Europe.
Most notably, China has been at the forefront of these advancements. Keidel (2005) noted that the large labor force in China, respectable literacy levels and work ethic when supplemented with continuing elevated levels of capital investment mean there will be an expansion of the global production of low skilled labor-intensive goods and services at a high and accelerating pace in coming decades. Against this background, there has been a major trend of manufacturers from other countries greatly penetrating the global market, and offering low prices for high-quality products which are influenced by the low cost of production in their home countries.
Despite the fact that the sole reason why Marston Tool's plc has been able to survive these trends is founded on its well-established reputation of quality thus making consumers be ready to pay a little bit extra to get the presumed added value, this trend is uncertain in the foreseeable future, mostly with most competitors willing to offer quality products at the lowest price possible.
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