Introduction
The computer industry is a competitive field characterized by dynamic innovations and technological advancements. The industry is trendy since consumers are technology-oriented with ever-changing demands. As a result, computer manufacturers need to be watchful of the trends and consumer demands since the ability to cope with the demands helps the companies to grow and succeed. Some of the companies involved in the sale of computers include Dell, Apple, and Sony. The new laptop company intends to enter and win the market share in the competitive computer market. Some of the strategies that the company intends to apply include marketing mix, promotion mix, and customer care.
Remarkably, the company should conduct SWOT analysis to understand its strengths, weaknesses, opportunities, and threats so that it can devise effective strategies like marketing mix and promotional mix, which enables it to enter, expand, and compete effectively in the computer industry. Therefore, the essay examines SWOT analysis of the laptop company and formulates effective strategies like marketing mix and promotional mix, which the company can employ to compete effectively with Sony, Dell, and Apple.
Overview of the Business Model
The company deals with the laptops and intends to apply effective strategies like SWOT analysis, marketing mix, and promotional mix in facilitating itself to attain competitive advantage in the computer industry. Good facilities and competent employees, who have passion, motivation, and innovation are some of the resources useful for the success of the company. Remarkably, the strategies will not only help improve the competitive nature of the new company, but they will also facilitate its growth through increased sales volume and consumer loyalty. Therefore, the impact of the strategies in the financial health of the company is increased sales volume and enhanced competitiveness in the market.
Implementation of the strategies will occur in a systematic manner, while monitoring will happen simultaneously with implementation. Simultaneous implementation and monitoring of the strategies facilitate corrective measures and improvements in areas that display weaknesses or knowledge gaps during the process of implementation.
Strengths and Opportunities
Some of the strengths that the company will employ so that it can succeed and gain a competitive advantage in the market include the use of technology, maximization of distribution channels, and improvement of product quality. To succeed and compete effectively, the company will use technology to deliver laptops that have the expected qualities. Since the company plans to enter and compete in the market with companies like Dell, Sony, and Apple, which have a high market share, it has to develop good distribution channels. Moreover, the opportunities that the company can utilize to succeed and compete with its rivals include diversifications, mergers, and acquisitions.
According to Withey and Lancaster, diversification increases the product and consumer base (264). Introduction of products like smartphones and tablets is among the opportunities that the company can employ to diversify its products and increase its target customers. Mergers and acquisitions materialize when the company decides to work together with other multinational companies or acquire small companies, which have a good reputation in the market. The opportunity linked to mergers and acquisitions is practical in the sense that it increases the sales of the new company and improves its reputation.
Weaknesses and Threats
The weaknesses that the company may encounter in the field include increased amount of companies supplying computers in the market. The weakness occurs because high supply of computers in the market reduces profitability and sales of the company products. Conversely, the company will ensure that its products have high quality so that it outsmarts its competitors and wins the market share. Inability to target and focus the right market segment is another weakness since failure to target the correct segment reduces the performance and profitability of the company (Withey and Lancaster 163).
To target the right consumer segments, the company will undertake an extensive market research so that it understands consumer preferences and their locations. On the other hand, some of the threats that the company expects to encounter sharp and ruthless competition. An effective market research on the needs and dynamics of consumers will ensure that the company delivers products that match the trendy demands of consumers in terms of technology and quality.
Strategies
The Marketing Mix
For effective entry and growth in the computer industry, the company needs to employ the elements of the marketing mix and use them as strategies of penetrating into the competitive market. The elements of the marketing mix include place, product, price, and people. Notably, the elements are very important as their application determines the progress of the company. Strategic placement is very important because the company sells products to a certain segment of clients. Withey and Lancaster explain that it is fundamental to ensure that the location and placement of products is strategic to enhance their accessibility to the target consumers (160).
Essentially, products, which are not accessible to the customers usually decline, since consumers become reluctant and end up purchasing products from competitors. Products that company should offer in the market have to meet the expectations of clients in terms of quality and performance. The need to match the products with customer expectations is necessary because modern consumers of computers are quality oriented and can only purchase products that meet their expected standards.
The company needs to understand that pricing is a very important strategy that determines its success or failure in the market. Price is the monetary value attached to a product during its sale and it occurs after consideration of the cost of production, transport, and profit margins. When pricing its products, the company should understand that high prices drive away potential clients, whereas low prices make it to incur losses (Withey and Lancaster 136).
Therefore, the prices allocated to its laptops should be within the purchasing power of its consumers and the range of its competitors. To enter the market successfully and gain a competitive advantage, the prices of its products can be slightly lower than that of its major competitors like Dell, Apple, and Sony. The people involved in production, supply, and sale of the products must have the required competence in the field. The company should not underscore the significance of its employees, suppliers, and consumers since they determine the success of the firm. Essentially, good implementation of these elements leads to a successful growth of the company in the computer industry.
Promotional Mix
Advertising and Personal Selling
Promotional mix is another strategy that the company can use in gaining competitive advantage over its competitors that are already in the market. According to Withey and Lancaster, some of the elements contained in the promotional mix include advertising, personal selling, sales promotion, and direct marketing (184). Since the company is new in the computer industry, it has to employ advertising strategy so that it can increase awareness in the minds of the target customers concerning the products it offers.
Significantly, advertising should inform potential clients about the company’s products and persuade them to purchase these products. Personal selling is an element that entails selling of the products directly to consumers by availing them in areas that the target clients live. The strategy is important since it creates an avenue where clients and employees interact and exchange ideas. Furthermore, the strategy is practical in the early stages when the company will be convincing its target consumers on the quality and performance of its products.
Sales Promotion and Direct Marketing
Sales promotion and direct marketing are elements of the promotional mix that the company can use as growth strategies. Sales promotion entails the use of non-media and media marketing approaches such as contests and exhibitions to inform and persuade the potential buyers to purchase the products from the company (Withey and Lancaster 286). On the other hand, direct marketing comprises of direct communication with consumers through online marketing platforms and stores. In direct marketing, the agents market the products of the company directly to potential consumers alongside their adverts. In addition, direct marketing entails the use of messages and emails to inform and persuade customers to purchase the products from the company. It is imperative to understand that if the company uses the elements in an efficient manner, they will act as strategies that will facilitate its successful entry into the market.
Conclusion
The computer industry is a dynamic field associated with frequent shifts in consumer demands. The shifts in demand usually take place due to technological advancements that determine consumer perceptions and affect the quality of computers delivered into the market. As a result, the laptop company has to be on the lookout for the trends so that it delivers products that match client expectations in terms of quality, quantity, price, and performance. An effective SWOT analysis is very important in ascertaining success strategies and viability of the company. Some of the useful strategies include marketing mix and promotional mix, which facilitate entry of the company into the market and promote its subsequent growth.
Works Cited
Withey, Frank, and Geoff Lancaster. CIM Course Book Marketing Fundamentals 07/08. New York: Routledge, 2013. Print.