Case Study: Intel’s Social Media Strategy

Intel is one of the most foremost American global technology companies and the world’s largest semiconductor chip producer, in term of revenue. It is the inventor of the x86 series of microprocessors where its processors nowadays can be seen in a various computing devices used. The company was founded in 1968, as Integrated Electronics Corporation with home-based in Santa Clara, California, USA. Intel also manufactures motherboard chipsets, integrated circuits, graphic chips, network interface controllers, and other communications and computing utility devices. Robert Noyce and Gordon Moore and widely cooperated with the executive leadership Andrew Grove initially founded the company. The company grew and later started integrating an advanced chip design with a leading capability support manufacturing. The company started its prominent advertising campaign with Intel’s “Intel Inside” in the 1990s and made its Pentium brand names as the home-used processor. The company is everywhere in the digital social media – Continue reading

Case Study of Zara: Sustainability in Fast Fashion Industry

Established in 1975, Zara is one of the most successful retailers of today’s world. Their clear focus and vision has made them to tap the power of the fashion. Operating in 62 different countries it has nearly around 2500 stores all over the world. Zara under the flagship of Inditex, (a holding company located in Northwest Spain) is a fashion imitator, it comprehends what its customer’s desire and then designs and manufactures according to their expectations. Zara’s business working model is quite diverse from the other retailers; this makes them set out in the market. It has promoted the message of high fashion at a lesser cost across all countries through its unique and different selling techniques. The Sustainability of Zara Understanding and comparing the Business strategy  of Inditex and its major competitor will help in understanding the sustainability of Zara in the international apparel market. Gap which is one Continue reading

Concept of Industry Shakeout

Industry Shakeout marks a discontinuity or turning point, as the industry goes through a major upheaval. Some of the greatest risks which companies face are during times when the industry is witnessing a shake-out. An industry shakeout occurs when the rate of industry growth slows down as demand approaches saturation levels. A saturated market is one where there are few first-time buyers left. Most of the demand is limited to replacement demand. As an industry enters the shakeout stage, rivalry between companies becomes intense, with excess productive capacity and severe price discounting. Many firms exit the industry at this point. Industry shakeout provides an opportunity for those firms that are dedicated to success in this particular industry to consolidate their power, often by acquiring the assets of firms exiting the industry. At the growth stage of industry life cycle, a company should try to grow in pace with the growth Continue reading

Case Study of Comparing GE’s Two Leaderships – Jack Welch and Jeffrey Immelt

Thomas Alva Edison established Edison Electric Light Company in 1878. General Electric Company, known as and commonly abbreviated simply to GE, was formed in 1892, as a result of a merger of the competing companies Edison General Electric Company and the Thomson-Houston Electric Company. Having its headquarters in United States, GE is a major technology conglomerate and is the only company listed in the Dow Jones Industrial Index today that was also included in the original index of 1896. GE is a big multinational corporation and has a diversified infrastructure. Its business activities span a wide range of areas from aircraft engines, industrial products, water processing products, power generation to financial services, medical diagnostic imaging, security technology, consumer financing, and television programming. GE operates in more than 100 countries and employs about 300,000 people worldwide. In smaller and less developed countries, it operates through distributorship or dealership channel by giving Continue reading

Case Study of McDonalds: Strategy Formulation in a Declining Business

McDonald’s Corporation or rather the CEO, Mr. Greenberg realized there was a major problem arising within their corporation when their earnings declined in the late 1990s till the early 2000s. Their net income not only shrunk to 17%, but also suffered from slow sales growth below the industry average during that period of time. Although their market share was well above their competitors such as Burger King and Wendy’s nevertheless there was a slow share growth. Therefore the question of what caused the Big Mac Attack is raised. It is observed that there was a growing trend of customers moving to non hamburger meals which is being offered by indirect competitors such as KFC, Subway (dominating the market with more than 13,200 US outlets) and Pizza Hut as an alternative choice. Sandwiches and a variety of microwaveable meals are being offered at supermarkets, convenience stores and even at petrol stations. Continue reading

The Stability Strategy in Management

Stability strategy implies continuing the current activities of the firm without any significant change in direction. If the environment is unstable and the firm is doing well, then it may believe that it is better to make no changes. A firm is said to be following   a stability strategy if it is satisfied with the same consumer groups and maintaining the same market share, satisfied with incremental improvements of functional performance and the management does not want to take any risks that might be associated with expansion or growth. Stability strategy is most likely to be pursued by small businesses or firms in a mature stage of development. Stability strategies are implemented by ‘steady as it goes’ approaches to decisions. No major functional changes are made in the product line, markets or functions. However, stability strategy is not a ‘do nothing’ approach nor does it mean that goals such Continue reading