Overview
Multi-Tech’s mission is “To develop and steward great technology through creativity and innovation.” The company wanted to be able to lead today’s generation through technology that is creatively accomplished and highly innovative. The missions was developed by by starting to look at the image of the company from outside going in. Thinking about what the company, right at the start we knew wanted to be able to lead the market. As we progressed from quarter to quarter, we were able to stand by our mission and deliver it very well.
Our initial strategy started with a market size that focused on large and highly competitive segments. We chose to set our sights straight for a geographic market that was large despite of its cost and also on medium-sized markets that had costs in the middle. We wanted to be the first in the market and take the lead as well as to be a fast follower, imitating smart competitive moves and attack competition on home ground. We set our strategy into becoming the technology leader and the high service provider in the market. We set our target firstly on Mercedes and Workhorse followed by the Traveler. This was due to the Mercedes being a higher and more competitive segment, which matched our set of strategies in the beginning. We included the Workhorse because they had a large market segment in multiple cities that would allow Multi-Tech a chance to be able to dominate the market on a larger scale. The Traveler was then added so that we can also cater to a variety of needs from different target segments allowing for a diversity of products.
Strategy after Second Quarter
After the first quarter, we reviewed our strategy and the impact it had on our company. As we did very good in the first quarter, we chose to keep the same strategy for the second quarter. We kept focusing on large and highly competitive segments, and thereby taking the lead in the industry. Overall, I would say that our company was positively affected by the strategy we put in place during the 1st quarter and 2nd quarter. When we developed our strategy, we really took in consideration each of our company’s stakeholders. It was really important for us to provide a strategy that would benefit all stakeholders in our company. In the future, we plan to keep the same strategy. Some improvements or adaptations will be necessary in the long run due to the fast paced world of technology. We believe that this is the best option for our company.
Performance
Financial
Marketplace Live has efficiently used its assets from the primary business model to generate revenue. Such has been done to ensure that we maximize the wealth of the shareholders and ensure the survival and growth of the company. The return on capital employed as a profitability measure, indicates that the company has earned $6.3 for every $1 invested. Also, the net profit margin has been desirable indicating that all costs are kept under control. The operating profit calculated as the interest cover indicates that the company is able to meet its financial payments before they are due (Brooks, 2015).
Marketing
The company targets young individuals with access to technology as the services provided. We have offered great services and products to internet users. This has enabled us to gain competitive advantage over the other service providers. We targeted Mercedes, Workhorse and Traveler due to their outstanding competitiveness and reputation. Mercedes matched with the strategies we formulated at the beginning while Workhorse had a large customer base. This would make it possible for Multi-Tech to enjoy the wide customer base. We also incorporated the Traveler so as to cater for the diversified need of the clients.
The choices we made were very effective. They enabled the company to stay steps ahead of the competition by gaining the competitive advantage. The company was able to diversify the services and products produced. Through this, we were able to cater for the different customer needs by adopting flexible strategies. These strategies also aided the company to organize its resources in a sustainable manner that ensures the future of the company. Aside from these, the choices made ensured that the company coped with developing threats while delivering superior customer value.
Our company major strengths include the presence of Multi-Tech in every segment of the market (Mercedes, Workhorse and Travelers). We also opened new locations as quickly as possible to reach the maximum amount of potential customers. Our sales people were truly amazing and have a big part in our company’s success. The major weakness we faced was incapability to produce enough to fully meet demand. This made us lose potential sales that could have improved the revenues of our company. Another weakness was that we were not investing a lot in the future, but rather focused on the present and short-term decisions.
Multi-Tech’s biggest opportunities were being able to reduce COGS by producing more computers, and therefore reducing the price of each computer, as well as lower prices compared to competitors in order to constantly grow our market share.
Multi-Tech was able to present itself in every segment in the market and with the help of its outstanding sales people, it was able to own 47% of the market share. The strategies Multi-Tech used allowed it to dominate the market and created opportunities for better product development. The biggest threat that our company faced were competitors. In order to keep the lead in the industry, we needed to constantly improve our products and while trying to stay under competitors prices to maximize sales, and keep growing. We studied our surroundings and competitors and were able to take advantage of their weaknesses. Most of the competitors started out by having high prices and only developing 1-2 products. Multi-Tech, from the start, created 3 products for each segment and had lower prices on them compared to the other companies. We were able to catch the audience’s attention through this strategy and were able to continue its pursuit of leading the market.
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