Questions & Answers

Questions & Answers

booming economy will help the business in different ways, lowers interest rates, potential of market etc. Help the organization to foster.

People, besides purchasing products, also look for the social initiatives of the organizations, like CSR of P& G.

Governmental policies affects businesses, like interest rates, taxes etc., these ultimately hit the revenues of company.

Adoption of technology depend on the existing trend, if the existing technology is obsolete, then new one can be fruitful, i.e. iPod replaced cassette players.

Due to change in demographics, trends do change, for example, new generation prefers rock music, while for old people, and it is not of interest.

Lower barriers of entry prove to be a threat of new entrants in the market, for example, social media websites.

Pepsi is the substitute of coke, and several other substitutes of products the revenues of the company due to switching of consumers.

A buyer becomes a competitor when there exists conflict of interests. For example, a venture capitalist can steal the original idea by refusing to finance the project.

The merger of sonny and ericsson, multiplied the market share of products due to brand amalgamation of two brands.

Strategic alliance gives opportunity to have two work philosophies less than one agreement, thus this saves the risks of being merging.

Having an alliance with organizations is better than competing, since it increases the revenues through monopoly, like McDonald's partnership with weight watchers.

Product diversification helps to divert risks involved in current strategy like casinos diversification into non gambling business.

Vertical integrations reduces the costs an increases the options for distribution, like, medical universities produce doctors for their own hospitals.

Degeneration opportunity helps to redefine the target market in order to have profits, for example, liquidating assets which do not perform.

Airbus's strategy to use Boeing 777 on trans-pacific flights proved fruitful as a lobbying strategy.

Research helps companies to better prove their products and services, oil companies sponsor researches to show concern for climate change.

Changing opinion of general public helps the company to enhance its PR, for example, Boeing uses extensive PR activities to change public opinions.

First move advantage gives boost to business in terms of market share, for example, introduction of iPhone, utilized the market.

Improvement of quality gives psychological air to consumers, for example, improvement of hospital process will satisfy patients.

Added feature gives better perception of care, for example, extra hours after class to discuss problems with teachers in university.

Service improvement is key to customer care, for ...