Competitor analysis
The online shopping industry faces a high level of competition. Industry players compete in price, product range, market, scale operation and reputation. The industry is also subject to external competition from online retailers and traditional bricks-and-mortar retailers. The main analysis points of the market competition analysis report of the condom industry include:
1)Competition within the condom industry. There may be several reasons for the intensification of intra-industry competition:
1.First, the industry is growing slowly, and the competition for market share is fierce.
2.Second, the products or services provided by competitors are roughly the same, or there are few obvious differences.
3.The Third is that some enterprises expand production scale for the benefit of scale economy, the market equilibrium is broken, the products are overabundant, and enterprises start to resort to the price reduction.
2)The bargaining power of customers in the condom industry An industry customer may be a consumer or user of an industry product or a commodity buyer. The industry customer can prompt the seller to lower the price, improve the product quality or provide better service.
3) The bargaining power of the supplier of the condom industry
Whether the supplier can effectively push the buyer to accept higher price, earlier payment time or more reliable payment method.
4) Threats to potential competitors in the condom industry
Potential competition of
Suppliers want steady orders and prompt payment, they also want to feel valued by the company that they supply.
Economies of scale: Large companies can produce products at a much lower cost than small ones because the cost per unit drops as the volume of output rises
The impact of economies and diseconomies of scale Tesco face As businesses grow and their output increases, they commonly benefit from a reduction in average costs of production. Total costs will increase with increases in output, but the cost of producing each unit falls as output increases. This reduction in average costs is what gives larger firms a competitive advantage over smaller firms. This fall in average costs as output increases is known as Economies of Scale.
At CanGo it is obvious that the Internet has changed how society shares information, communicate, educate, shop and entertain them selves. Cushman & Wakefield conducted an extensive research during 2013 on the “online retail/ecommerce market”. The information published by Cushman & Wakefield is important to CanGo because CanGo’s business is part of the “online retail/ecommerce market”. The report has indicated that the growth has been an average of 18% during the course of three years (2009-2012) as opposed to the growth of the normal or traditional retail sales, which only grew 1.3% for the same period of time.
They can only produce small batches. Scale economies have brought down the unit costs of production and have fed through to lower prices for consumers. Economies of scale are a key advantage for a business that is able to grow. Most firms find that, as their production output increases, they can achieve lower costs per unit. Economies of scale are the cost advantages that a business can exploit by expanding their scale of production. The effect of economies of scale is to reduce the average (unit) costs of production.
| technical capability of seller, understanding of work by seller, and business type of seller.
Due to the fact of price sensitivity is high, consumers are willing to consume identical product with lower price; they stand on a strong bargaining position. On the contrary, suppliers have relative strong bargaining power because the high concentration of the industry.
managerial approach of seller, capacity of seller to do the work, and buyer’s ability to create a WBS.
Also, check whether they can perceive that it is essential to practice safe sex practices and how they can be flawed. The information uncovered that most understudies comprehended one of the real hindrances of condoms was putting it on wrong or not knowing how to put it on effectively. At the point when posed the question what is a disadvantage of the utilization of a condom, the age groups disagree. While most 18 years express that not putting on a condom effectively versus the 17 years who agreed that not putting on a condom, but as well as allergic reaction and breakage are cause of a disadvantage. Out of gender, 5/10 females said stated that was one of the major weakness of condoms along with male being 4/9. Which then drove us into a discussion on how to put on a condom efficiently and how to know whether it's on accurately. One of the namelessly questions was how would they know whether his condom is on a properly? You can see these illustrations in the appendix c and see the inquiries asked alongside the information in the index a figure
Online commerce was introduced to consumers in the mid-1990’s, and in the years since, it has grown exponentially. It started out virtually nonexistent and has become a multi-billion dollar industry. Nearly every retail sector has entered online commerce; clothing, electronics, home, health and grooming items, even food and groceries are starting to gain traction online. Online commerce sites rival traditional brick and mortar stores such as Walmart and Target, as well as other big-box stores. As online retailers such as Amazon continue to expand, many brick and mortar stores have been making their way online, indicative of an increasing movement towards online commerce. With more than 80% of the online population having made an online
* Customers – Customers is external stakeholders for all organization or firm. Without any customers a company cannot be process. Customers have power to choose their necessary service and products. Seller and marketing cannot force customer to purchase product and service. Example, insurance customers have many choices when they need to purchase insurance. That mean consumers can buy insurance in different company like Tesco Bank, Lloyd Bank, HSBC and other company.
The bargaining power of buyers stands in a direct relationship with the bargaining power of suppliers. If the bargaining power of buyers is substantial it increases the opportunity cost of suppliers. The greater the buyers concentration the greater their bargaining power. This bargaining power is also increased in markets where the suppliers’ concentration is high. The bargaining power is also increased when the cost of switching from one supplier to another is low. In instances where backward vertical integration is possible i.e. buyers setting up their own chains of suppliers the bargaining power of the buyer increases in that their prices may become more competitive. In a market where the buyers are more concerned over quality than price their bargaining power decreases as they are less inclined to shop
The idea behind this study is of great significance because e-commerce (online shopping) has grown tremendously since the turn of the century. It has shaped the way people do shopping for the most part.
This country attractiveness and proposed entry strategy was developed to introduce Four Seasons condoms to the lucrative Indian market. At a population that is growing at the rate of 1.4% (an increase of over 181 million during the last decade (India Census, 2011)), the market offers tremendous potential for Four Seasons polyurethane condoms. Population data shows that 2.4 million of Indians population is suffering from HIV/AIDS and the death toll in 2009 amounted to more than 170,000 (UNAIDS Global
“Economies of scale are unit cost reductions associated with a large scale of output” as it is able to spread over the fixed costs over a large volume of quantity (Wickramasekera, Cronk & Hill 2013 p90). “First-mover advantages are the economic and strategic advantages that accrue to early entrants into an industry and the ability to capture scale economies ahead of later