Japanese Market

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M.L. Suggested Assignment Question

M.L. Suggested Assignment Question

Question # 7

My only concern is that when the Japanese enter a market they often price way below the competition to gain market share. Then, when they number one, they raise prices. Such an approach could change the entire structure of the European market. Richard Welkers through the strategic alliance or merger with Altas owes ability to compete with the Japanese market. They always appeared with natural monopolies and largest single manufacture of the apparel market in the Europe. It also facilitates to draw the benefits of economies of scale with cost competitiveness with the Japanese. They work on lower wage and lower overhead cost that brings it closer to the market to sell at lower prices. History also explains that they are known as low-cost producer in market (Head & Mayer, 2004).

It can be concluded that the teachings of Honda forecasted the need for Japan to develop its infrastructure, develop military might and enhance sea trade. Sakuma highlighted many ill practices in the management of military affairs by the emperor and advocated for the adaptation of modernization while maintaining the national identity (Head & Mayer, 2004).

The market conditions of European and Japanese market shows that there are few consideration where he need to worry about his survival in the Japanese market. The peaceful coexistence between four major players shows that they need to achieve stability through the outsourcing of many suppliers (Pettway & Yamada, 1986). There is another problem for him if ML chooses to shift from secondary suppliers to a primary supplier through achieving cost cutting advantage. This will aid it achieve the primary source for one of the customers of ML. There are many varying factors that decrease the level of competition between the major players of the industry. The development of company for a strong personal relationship with its customers can increase optimal level of satisfaction which creates difficulty for other business to survive or expand into new markets. The policies and procedures of renting machines with the designing of new equipments can also switch for an expensive undertaking in own machines of suppliers. The third considers is related to no existence of standard prices that states every customer to pay a different prices and it will lead to customers withdrawing from business and switching to competitors (Pettway & Yamada, 1986). It will also create difficulty to compete on ...
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