Shareholders in Company D – Industry 43 Mounia Belkoura/Finance/December 2010 Hau Ping Cheng/Accounting/December 2010 Lan Ki Cheng/Business Administrations/December 2010
5 Forces Analysis The bargaining power of supplier – Low Power Threat (High) The bargaining power of customers (buyers) – Moderate Power Threat (High) The threat of substitute products or services – High Power Threat (Low) The intensity of competitive rivalry – High Power Threat The threat of the entry of new competitors – Low Power Threat
BSG Strategic Group Map (Yr 14) North-America Europe-Africa Asia-Pacific Latin America
KSF BSG – S/Q Rating – Advertising – Retailer Support Real Footwear Industry – Customization Ex. Custom shoes made possible with custom AdWords campaignsCustom shoes made possible with custom AdWords campaigns – International Expansion: Brand Development Ex. Reebok on expansion outlook: opens another store at Mirdif City Centre in UAEReebok on expansion outlook: opens another store at Mirdif City Centre in UAE – Customer Loyalty Ex. Crossing The Line? Nike Fan Inks His LoyaltyCrossing The Line? Nike Fan Inks His Loyalty
Strength Assessment ABCDE,F,G Yr 13Yr 14Yr 13Yr 14Yr 13Yr 14Yr 13Yr 14Yr 13Yr 14 S/Q Rating Advertising Retail Support
Market Share Growth Trend
Financial Performance Trend Earning Per Share Return On Equity17%24%21.1%22.7% Net Profit11.1%15.9%12.7%12.5%
Recommendation Improve S/Q rating. – Spend more money on the quality of footwear. – Ex. Increase the use of superior materials. Increase advertising budget. – Invest on brand recognition. – Ex. Celebrity, charity program. Maintain retail support.
Citation DePaula, N. (2010). Crossing the Line? Nike Fan Inks His Loyalty. Retrieved Oct. 14, 2010, from Sole Collector. Web site: loyalty/. Mashni, R. A. (2010). Reebok on Expansion Outlook: Opens Another Store at Mirdif City Centre in UAE. Retrieved Oct. 14, 2010, from AME Info FZ LLC, United Arab Emirates. Web site: Hussain, S. (2010). Custom Shoes Made Possible with Custom AdWords Campaigns. Retrieved Oct. 14, 2010, from SEO CHIEF. Web site: adwords-campaigns/.