Professional Documents
Culture Documents
Contents
1.0.
Executive Summary................................................................................................................... 3
2.0.
Environment analysis................................................................................................................. 3
2.1.
2.2.
2.3.
2.4.
2.5.
2.6.
2.7.
3.0.
3.1.
PESTEL................................................................................................................................. 9
3.2.
3.3.
Current position.................................................................................................................... 12
4.0.
Key Issues............................................................................................................................... 12
5.0.
Corporate strategy................................................................................................................... 13
5.1.
5.2.
Corporate objectives............................................................................................................ 13
5.3.
6.0.
Marketing objectives................................................................................................................ 14
6.1.
Finance objective................................................................................................................. 14
6.2.
Marketing Objectives............................................................................................................ 14
7.0.
Marketing Strategy................................................................................................................... 15
7.1.
Market segmentation............................................................................................................ 15
7.2.
Segment evaluation............................................................................................................. 15
7.3.
Targeting.............................................................................................................................. 16
7.4.
Positioning........................................................................................................................... 16
7.5.
Competitive advantage........................................................................................................ 17
7.6.
7.7.
Marketing Strategy............................................................................................................... 17
7.8.
8.0.
8.1.
9.0.
9.1.
Implementation........................................................................................................................ 20
Schedule for key task........................................................................................................... 20
Control and forecasts............................................................................................................... 21
Critical success factor and criteria to evaluate the success of new implementation............21
10.0.
11.0.
Conclusion........................................................................................................................... 22
12.0.
References........................................................................................................................... 22
Market analysis
Market analysis for singer laptops are done through Porters five forces analysis
Factors
of
deviated
Bargaining
power
of
supplier
For the laptop projects of Singer Sri Lanka, it is deal with both the international and
local suppliers. Basically the materials are imported and assembling is done through
the local parties. Since company has to import from the specific customer who have
exclusive authorization power of developing such materials. Therefore it has to
purchase product only from the authorized supplier from Singer global. Since it could
be identified that there is a high bargaining power in international suppliers.
Considering about the local suppliers Singer Sri Lanka has power to select an
appropriate supplier. Therefore it could be identified that there is a high bargaining
Bargaining
power
customer
of
power in customers.
It couldnt identify that there is a no specified entry barriers on the new entrance for a
new brand. But Sri Lanka is already operating with the world famous brands, Therefore
it could be identified there is treat of new entrance and also there are controlling power
Threat of substitute
some specific work that would able to do but it couldnt identify as a 100% substitute
Factors of rivalry
(Porter., 2008)
Competitor Analysis
Considering about the competition level in the market it could be identified that there is a high level of
direct and indirect competition is operating in the market. The following perceptual map is provided a
clear view over competitor positioning base customer perception and price level of the market.
Customer perception
Future world
Epsi computers (Pvt) Ltd
Softlogic Information
Technologies
Metropolitan
Redington Lanka
Prices
(Softlogic , 2014) (metropolitan, 2014)
Key competitor analysis through likely response model
With consist with high level of similarities in business process as well as the product and service
portfolio it is identified the Soft logic as key competitor for the organization. Basically company is
commenced its business process in recent past and achieve the business targets in highest level
within a short time period. Therefore to analyses the key competitor behaviors, It is selected the
Softlogic.
Competitors drives
Objectives
Competitor capabilities
Strategy
ion
selling.
After sales services are well established.
Mission
experience
Sector-Softlogic (technology)
cheaper
rather
than
developing
infrastructure.
Objectives
2018
Obtain 50% market share in 2018
Be the market leader of after
Assumptions
Softlogic is the sole authorized distributor
Softlogic
DELL-Authorized
But
they
are
geographically.
not
And
widely
other
spread
areas
are
distributor
&
service
CISCO-Premier partner
covered by distributors
Positive response in %
70%
6
38%
50%
64%
82%
60%
information
Research has conducted by a research company covering entire country.
2.2.
Followings are given the corporate vision, mission and objectives of the Singer Sri Lanka Plc. And
also it is provided the marketing objectives of the Singer Laptops.
Marketing objectives
Mission
Objectiv
es
2.3.
SINGER X series
Through Bowmans strategic option it is identified that Singer brand is positioned in between the
differentiation and low price options. (Bowman, 1997)
2.4.
Director
fnance
Director
IT
Director
Marketin
g
Director
sales
Director
commerc
ial
Director
credit
Director
HR
Director
logistics
Current organizational structure developed based on functions of Singer. Commencing with the CEO
Directors is headed to separate departments. Under board of directors supervision senior managers,
managers and executives are clearly defined and delegated with relevant job descriptions and
authority respectively. Communication is flowing top to down and reverse flow of reporting
2.5.
System
Marketing
Description
When generating sales invoices and customer details are automatically save in the system at
Information System
the point of sales. Cancellation note can be only generated through an authorized manager
in out lets. Special customer id is generated for individual customer in computer itself. In
repeat purchases all details are automatically update to relevant customers.
System is use to generate all marketing related details such as static product wise, area
wise, repeat purchases. Only the above manager level position can access for such details.
Marketing planning
Base on the marketing information system all the top management is arrived with the
system
decisions. Basically the system is evaluated trends in the market and opportunities to the
laptop series.
Marketing
system
control
Company own with the MIS system to handle the marketing activities in the organization.
Further the all the data accuracy is evaluated through the system and decisions are
automatically derive through the system.
8
New
product
Prior to the product launch and after the product launch Singer conduct a market research to
development
evaluate the success of the product. Also it is identified further development through the
system
process.
2.6.
Consumer electronics
Furniture
Kitchen related
Sewing related
Singer
Transport
can
use
that
withdraws
from
2.7.
market
Marketing mix
elements
Product
Price
deviate
from
component
Sin-X 1200 -65,000/=
Singer.
Promotion
Company operates with both the above the line and below
There
are
marketing
no
specific
campaign
identified.
PESTEL
Factor
Drivers
Implication to Singer
Rating
Political
Development
in
H/M/L
H
government
process
has
moving
the product
GDP
over
turnover
with
the
improvement
of
Stability
of
inflation
also
create
direct
10
is
Improvement
of
level
of
of the society
especially
products
in
are
H
There is a risk with company to provide exact
requirement of the customers.
improved.
Technolo
Changes
gical
environment
Ecologica
High
ecological factors
Legal
in
concern
technical
about
the
3.2.
External Treats
of
reputed brands.
Expansion of the online
business.
No legal barriers on the
market entrance
Well
experienced
Internal Strength
reputed competitors.
ST-Maxi-Mini Strategy
EO
IS
IS
11
rupee
Depreciation
ET
and
1, 2 1, 2, 3-Avialbility of
decades.
Trusted brand of Sri Lankan
market.
Stability in financial aspect
Highly
spreader
of resources.
developed well.
EO
IS
IS
4-Make availability of
geographical establishment.
Experienced staff
Availability of credit sales,
increase seals.
EO
IS
methods.
High level of supplier chain
1, 6-Posibility to gather
1 Conduct cost
ET
2, 8 Use existing brand
Microsoft
license
Internal Weakness
IW EO
IW ET
market.
Highly depend on specific
contracts
materials.
Product is unavailable in
2 Avoiding risk of
term agreement.
available.
3.3.
Current position
1. The laptop series of Singer is still operating in the introduction stage of the product lifecycle.
2. Still company do not intend to moving towards the emerging market
3. Less of experience in laptop market since start in recent past.
12
With depreciation in rupee value it could be identified that there is a significant issue is
established with the Singer laptops. Since the materials for the Singer laptops are directly
import. Therefore it would create direct implication over the price level and profitability of the
product line.
Vision
Mission
Objectives
5.2.
Corporate objectives
5.3.
Singer laptops are positioned in the middle of cost leadership and quality aspects. Therefore it is
required to improve specific level of strategy that market to the brand. With the environment screening
13
it is identified that there is high level of competition in the market. Therefore it is required to identify
best strategy to develop the market. With the nature of product and competition it is required to
develop the market through cost leadership strategy.
SS
Singer X-series
(Porter, 1980)
Finance objective
Singer designed separate finance objectives for product line of Singer X-series laptops
6.2.
Marketing Objectives
Market segmentation
Following table is given the marketing segmentation for the three products category
Model
Geography
Demography
1.Gender
of
the
market
Sin-X 1200
Urban, rural
Sin-X 550
Urban, rural
Sin-X 3000
Urban, rural
Male/Female
Male/Female
Male/Female
Housewife, students
Housewife,
2.Occupation level
students,
Small entrepreneurs
Housewife,
students,
Business organization
Domestic
3.Nationality
of
Domestic
LKR35,000and above
LKR70,000and above
Sinhala,Tamil,English
Sinhala,Tamil,English
Sinhala,Tamil,English
Lower middle
Middle
Upper
the
customer
4.Monthly
Domestic
income
level
5.Language
differences
Psychographic
Social class
middle
middle
Consumer behavior
Quality conscious
Average
High
High
Brand loyalty
Low
Low
High
Price conscious
High
Average
Low
Singer has to improve level of sales and marketing activities base on different segment requirements.
7.2.
Segment evaluation
B
15
and
28%
32%
45%
Low
High
High
competitors
Consumer knowledge
High
High
Low
Low
High
Low
Penetration
market
Resources capability
market
Available
opportunity
the
segment
Attractiveness of other
of
the
Development
of
market
Developing
the
Development
of
market.
Developing
7.3.
Targeting
According to the market place it is required to target on different way in individual product rates.
According to the segment identification it is identified that there is clear difference in individual product
segments. Therefore it is required to come up with different market approaches base on segment
behaviors.
According to the identification the markets are developed with the different level of
7.4.
Positioning
Cost
H
Features H
Singer X-Series
16
the
With the sole purpose of market development and penetration it is required to position the Singer
laptop in the position of low cost and high featured product. Earlier the product is identified as a low
cost and low quality product. The initial identification has to change according to the above
positioning.
7.5.
Competitive advantage
Company has to identify clear view in the development of strategy to develop the competitive
advantage. For that it is suggested to develop the strategy as the cost leadership approach to the
organization. According to the Porters generic theory Singer laptop is identified as a product place in
the cost leadership. The preliminary objective of the placement is to develop the market position in the
industry.
7.6.
Cost
leadership
SINGER
LAPTOP
Differentiati
on
Cost forcus
Differntiatio
n forcus
7.7.
Marketing Strategy
Product Development
17
Specific advertising
Market Development
Diversification
7.8.
Followings are given an extended marketing program for the Singer Laptops.
Product
Product is defined as anything that can be offered to a market for attention, acquisition, use or
consumption that might satisfy want or need and also it is not limited to a finished good.
Singer laptop is coming under three main ranges of products that inclusive with different product
features.
Core product is considered as laptop with initial technology that could be used for the people.
Basic product is considered as different options that available with the product such as colour,
Price
In the general practice laptop prices are decided base on the brand name of the laptop and features
of the laptop ranges. According to the scenario of Singer it is decided to place the prices accordance
with features and target segment behaviors, Still the production line is operating to develop the market
it is required to consider market and segment behavior also to decide the price level.
Followings are given the different categories of price level that available with the Singer laptops.
Product
Price (LKR)
Sin-X 1200
65,000/=
Sin-X 550
78,600/=
Sin-X 3000
115,652/=
18
Place
Singer outlets
Singer Plus
Singer Mega
Authorized distributors
Singer website
Repair centers
Promotion
Both the above the line and below the line campaigns are required to develop the business of Singe
Laptops. Basically it is required with different marketing to specify the Singer Laptop separately.
Above the line
TV and radio advertisement
Press advertisement
News papers
Business magazines
Womens magazines
Youth magazines
Broachers and leaflets
Advertising in social media
Advertising in singer website
People
New staff has to recruit to handle the product line that has experience and knowledge over the
products.
Apart from that it is required to training the existing staff in the organization to improve the service
quality.
Provide specific employees to handle with different set of customer segments.
Physical evidence
Process
19
Gather customer feedback to evaluate the customer ideas about the product and continuous
8.0. Implementation
8.1.
1. Promotion
1.1. Above the line promotion
1.1.1. TV and radio promotion
1.1.2.
1.1.3.
leaflets
1.1.4. Social media campaigns
1.2. Below the line promotion
1.2.1. Direct
mails
set
to
1.2.2.
corporate customers
Sponsorship provides to
1.2.3.
corporate events
IT quiz competition
1.2.4.
in
school
2. Place
2.1. Availability of laptops
2.2. Open up new agreements
3. Physical Lay Out
3.1. Allocate and design unique
place
4. People
4.1. Recruitment of new staff to
product line
4.2. Conduct staff training
4.3. Performance measuring and
rewarding of the staff
5. Process of New Product
Development
Dec
Nov
Oct
Sep
Aug
July
June
May
April
March
Jan
Task
Feb
Month
9.1.
Matrices to evaluate
Following matrices are used to evaluate the success factors of implementation to next three years.
Matrices for
proftability
Gross profit
margin and
net profit
margin
Quick ration
Matrices for
efficiency
Customer
service speed
Matrices for
innovation
Number of new
ideas for a
month
Matrices for
effectiveness
Improvement
of service
quality rate
Matrices for
brand equity
Brand
awareness of
the product
Sales turnover
per employee
in the
segment
Success rate of
new product
implementatio
n
Customer
complain rate
Strength of
the brand
ROI
Improvement
in market
share
comparing to
the last month
performance
Value of brand
Stock
turnover
speed
Returns for
shareholders
fund
Attracted new
customer for a
month
Quality of delivery
EPS
Improvement
in
customer
loyalty
Level of
product
damages
2014
42,433,600
(32,300,000)
9,043,600
20%
(2,500,000)
(4,500,000)
4,032,500
21
2015
47,030,975
(37,418,800)
10,025,643
26%
(2,676,000)
(4,504,000)
5,265,211
43,225,050
(32,107,594)
11,117,456
30%
(2,306,500)
(2,926,150)
6,856,325
Interest cost
Profit Before tax
Taxation
Net profit
(500,000)
3,743,600
(452,675)
3,347,735
(250,000)
4,685,957
(758,684)
3,875,546
(1250,000)
4,857,6300
(921,625)
4,695,635
11.0. Conclusion
It is concluded that Singer Laptop is a novel and profitable business line to singer Sri Lanka in future.
Therefore it is required to establish proper brand identity in the segment in order to maintain proper
turnover in future as well as to acquire an established market share in the industry. Therefore it is
suggested to maintain the approach of cost leadership as the strategy for the Singer laptop business
line. Also it is recognized that there is high requirement to consider about all the elements in 7Ps
rather than limited into four elements. Also it is required to develop proper way of evaluation method
to evaluate the process since it newly developed product. Through that it would able to minimize the
negative implication that may happen with the process.
12.0. References
Bowman, C. a. F. D., 1997. Competitive and Corporate Strategy. Irwin,: London..
Censes aand statistics, 2014. quartly report, Sri Lanka: Government publication.
Gordon, I., 1989. Beat the Competition: How to Use Competitive Intelligence to Develop Winning
Business Strategies. Oxford, UK: Basil Blackwell Publishers.
Lanka, C. b. o. S., 2014. Annual report, Sri LAnka: Government publication.
metropolitan, 2014. Welcome. [Online]
Available at: http://www.metropolitan.lk/
Porter., M. E., 2008. The Five Competitive Forces that Shape Strategy". Harvard Business Review,,
pp. 86-104.
Porter, M., 1980. Competitive Strategy: Techniques for analyzing industries and competitors". New
York: The Free Press .
Softlogic , 2014. About us. [Online]
Available at: http://www.softlogic.lk/
[Accessed 10 8 2015].
22
23