8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
1/27
7/6/2013 Current SituationAnalysisMarketing Pre-Mid Project
8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
2/27
1 | P a g e
Superior University, Lahore
Superior University, Lahore
Principles Of Marketing
Topic:
Current Marketing Situation Analysis Of Virtual Reality.
Submitted To:
Maam Tabinda.
Submitted By:
1.Tariq M. Hussain. (BTC-12114)
2.
Nouman Yousaf Bhatti. (BTC-12125)3.Muhammad Awais. (BTC-12137)
4.Amir Shahzad. (BTC-12141)
8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
3/27
2 | P a g e
Superior University, Lahore
Table of ContentsIntroduction .................................................................................................................................................. 5
Virtual Reality: ............................................................................................................................................... 5
Current Situation Analysis: ............................................................................................................................ 5
Market Review: ............................................................................................................................................. 5
i. In Medical:............................................................................................................................................. 5
Differentiation with our Product: ......................................................................................................... 6
ii. In Construction: ..................................................................................................................................... 6
Differentiation with our Product: ......................................................................................................... 6
iii. In Gaming: ............................................................................................................................................. 7
Differentiation with our Product: ......................................................................................................... 7
Product Review: ............................................................................................................................................ 8
i. Products Attributes and Benefits They Offer: ....................................................................................... 8
ii. Their Current Packaging: ....................................................................................................................... 8
iii. Their Current Pricing: ............................................................................................................................ 9
iv. Their Distribution: ................................................................................................................................. 9
v. Promotion: .......................................................................................................................................... 10
vi. Services Offered: ................................................................................................................................. 10
Competitive Review: ................................................................................................................................... 11
i. Direct Competitors: ............................................................................................................................. 11
a. Microsoft (Xbox 360): ......................................................................................................................... 11
Strengths: ............................................................................................................................................ 11
Weaknesses: ....................................................................................................................................... 12
b. Siemens (CT Scanning): ....................................................................................................................... 12
Strengths: ............................................................................................................................................ 12
Weaknesses: ....................................................................................................................................... 12
a. Sony Electronics: ................................................................................................................................. 12
Strengths: ............................................................................................................................................ 12
Weaknesses: ....................................................................................................................................... 12
b. Philips: ................................................................................................................................................. 13
Strengths: ............................................................................................................................................ 13
Weaknesses: ....................................................................................................................................... 13
Market Share: ............................................................................................................................................. 13
8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
4/27
3 | P a g e
Superior University, Lahore
Microsoft (Xbox 360): ......................................................................................................................... 13
Siemens (CT Scanning): ....................................................................................................................... 13
Sony Electronics: ................................................................................................................................. 13
Philips: ................................................................................................................................................. 13
Distribution Review: .................................................................................................................................... 14
Microsoft (Xbox 360): ......................................................................................................................... 14
Siemens: .............................................................................................................................................. 14
Sony Electronics: ................................................................................................................................. 15
Philips: ................................................................................................................................................. 15
Financial Review:......................................................................................................................................... 16
Microsoft (Xbox 360): ......................................................................................................................... 16
Siemens: .............................................................................................................................................. 16
Sony Electronics: ................................................................................................................................. 17
Philips: ................................................................................................................................................. 18
Market Share: ............................................................................................................................................. 18
Microsoft (Xbox 360): ......................................................................................................................... 18
Siemens (CT Scanning): ....................................................................................................................... 18
Sony Electronics: ................................................................................................................................. 18
Philips: ................................................................................................................................................. 18
Channel Distribution: .................................................................................................................................. 19
Microsoft (Xbox 360): ......................................................................................................................... 19
Siemens: .............................................................................................................................................. 19
Sony Electronics: ................................................................................................................................. 20
Philips: ................................................................................................................................................. 20
SWOT Analysis: ........................................................................................................................................... 20
a. Microsoft: ............................................................................................................................................ 20
Strengths: ............................................................................................................................................ 20
Weaknesses: ....................................................................................................................................... 21
Opportunities: ..................................................................................................................................... 21
Threats: ............................................................................................................................................... 21
b. Siemens: .............................................................................................................................................. 21
Strengths: ............................................................................................................................................ 21
8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
5/27
4 | P a g e
Superior University, Lahore
Weaknesses: ....................................................................................................................................... 21
Opportunities: ..................................................................................................................................... 22
Threats: ............................................................................................................................................... 22
c. Sony Electronics: ................................................................................................................................. 22
Strengths: ............................................................................................................................................ 22
Weaknesses: ....................................................................................................................................... 22
Opportunities: ..................................................................................................................................... 23
Threats: ............................................................................................................................................... 23
d. Philips: ................................................................................................................................................. 23
Strengths: ............................................................................................................................................ 23
Weaknesses: ....................................................................................................................................... 24
Opportunities: ..................................................................................................................................... 24
Threats: ............................................................................................................................................... 24
PESTEL Analysis: .......................................................................................................................................... 24
a. Political Factors: .................................................................................................................................. 25
b. Economic Factors: ............................................................................................................................... 25
c. Social Factors: ..................................................................................................................................... 25
d. Technological Factors: ........................................................................................................................ 25
e. Environmental Factors: ....................................................................................................................... 26
f. Legal Factors: ...................................................................................................................................... 26
8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
6/27
5 | P a g e
Superior University, Lahore
Introduction
Virtual Reality:
A hypothetical three-dimensional visual world created by a computer; user
wears special goggles and fiber optic gloves etc., and can enter and move about in
this world and interact with objects as if inside it.
Current Situation Analysis:The current situational analysis is designed to take a snapshot of where things
stand at the time of planning. The situational analysis consists of six steps which
we have to keep in mind while analyzing the current situation and are as follow:
I. Market Review.
II. Product Review.
III. Competitor Review.
IV. Distribution Review.
V. Financial Review.
VI. S.W.O.T Analysis.
First of all if we want to analyze the current marketing situation we have to go
through the following steps:
Market Review:
There are many competitors which are related to our new product and are
present in different fields and aspects of life. From those competitors weve
enlisted some competitors as follow:
i.
In Medical:
In medical field different hospitals and other places, the competitorcustomers are using the X-rays Machines, ECG Machines, CT scan, Eye
Scanning and Sonographers etc. These are the competitors Products which
we have to compete as they are being used by the competitors customers
already. They target the customers which are doctors and related to
medical field by visiting or by any mean. There are different markets
8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
7/27
6 | P a g e
Superior University, Lahore
specifically for the medical section and they have targeted that size of
market and the field is of medication.
Differentiation with our Product:
In Virtual Reality these all machines are combined into a single machineand will do all the work which these individual machines will do. Its
beneficial as our product will save the time, space, money, will give
results at the spot and accurate. Its will be also used for scanning the
whole body and helps the Doctors or Respective persons to identify the
problem by creating the patients virtual image outside the computer
practically in front of the persons so they can analyze deep inside the
human body or anybody practically and can diagnose easily and
accurately. Itll also be used for postmortem so that they can scan
everything which is inside the body by showing virtual image outside the
computers. By this our product is far different from the competitors
product and is very much effective, efficient and useful.
ii.
In Construction:
The competitors in construction field are the software developers as
AUTOCAD Software and in construction field the engineers are the
competitorscustomers that make different structures of buildings on the
computer and by the software. They are limited to the computers andlaptops and have to work and edit and delete only on these appliances.
They target customers which are engineers and architects. They provide the
products by visiting offices and offering the products.
Differentiation with our Product:
In construction field Virtual Reality plays a vital role as the virtual reality
helps the engineer to create a virtual image of the structures or
buildings. Moreover, it not only creates the virtual image in the space
but using this product an organization and engineers not only render the
resulting structures in 3D but also experience them as they would in the
real world. By this our product have differences as compared to our
market competitors as they are only giving the software but we are
giving them practicality and are going to experience them physically.
8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
8/27
7 | P a g e
Superior University, Lahore
And you can make amendments with your hands as well. There will be
no need of using keyboard or mouse.
iii.
In Gaming:
In gaming our competitors are Play Stations and video games. Thecompetitors customers are youngsters and kids. They play games on the
play station by looking on the screen and use the remotes or handles for
controlling. By this they play game. A person is bound to stay at one place
to play a game and as continuously viewing the screen has the bad effect
on the eye sight. They targets the customers which are teenagers or
youngsters and place their products in such markets where such customers
visits most for gaming purposes and cover this section of markets and these
are mainly the youngsters and the kids who love to play games.
Differentiation with our Product:
In gaming virtual reality also plays and important role as it shows the
image of the games virtually and are 3D and you can see from every
side as it would be same from every side. You will enjoy everything in
virtual reality as everything will be in 3D and the main thing in the
game world is that for controlling in virtual reality you are enough.
You yourself are the controllers of the game and can control the
game by your gestures and the main thing is that your virtual imagewill be created in the game and new world will be created for
virtually and you will experience yourself in that respective game and
can enjoy as much as you can. What youll do, your virtual image will
do the same. Virtual Reality understands your gestures and body
motions.
8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
9/27
8 | P a g e
Superior University, Lahore
Product Review:
In Product review we will analyze about the competitors products and the offer
and services they are offering to the customers. We will analyze the current
offerings by the following Points:
Product Attributes and benefits they offer
Their current packaging
Their current Pricing
Their Distribution
Promotion
Services Offered
i.
Products Attributes and Benefits They Offer:
Our competitors offers the different types of the products in the market
which are uses in hospitals, gaming, constructions etc.
In medical field the equipment being used of the competitors are of small
sizes and are easily moveable and can be move where ever you want to
move. The attributes are that the products are easy to handle, easy to
move from one place to other and easy to understand. The benefits are
that they help to diagnose the failure or any problem or disease in thebody.
In gaming field the products which are being given by the competitors are
that they are giving games by which children are becoming sharp and
intelligent. In construction field the competitors are offering software
which makes the structures in the PCs and Laptops and can make changes
when needed.
ii. Their Current Packaging:
Packaging is the material surrounding the product presented in a retaillocation or when sold as new. PACK(Protection with Attractive Covering
with Knowledge sharing of product for users) +Aging(that gives long life to
the product).
The current packaging of the competitors productsthat is play station
includes the different images on the box. This box itself consists of the
8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
10/27
9 | P a g e
Superior University, Lahore
components related to PlayStation. This box contains CDs, Manual,
PlayStation Device and Remotes. They made the packaging attractive by
printing different images on the box.
The current packaging of medical equipment includes the cleanliness of the
products and the protection of such products by strong packaging and aresafe and sound.
The current packaging of constructions software are simple and are
packaged in polythene bags and the product is usually CDs or DVDs. The
cover on the bags are of constructed building structures and are attractive
as well. By this current packaging the CDs or DVDs are not being scratched
and are safe and can be used in future.
iii.
Their Current Pricing:
In medical field the current price being offered by the competitors
different products varies. Some are very much expensive high machinery
and some are cheap and some of them are lying in between. The pricing of
their product also varies and are not fixed.
In gaming field the current price being offered are not very high and not
very low but lies in between. The whole package contains everything
related to the main product so you got everything just by purchasing the
package.In construction field the price being offered are low as their packaging
contains CDs or DVDs and they consists of only software for construction
purposes. Thats why these products have low pricing.
iv.
Their Distribution:
In medical field their product offerings in terms of distribution is that they
focus on the reliability that our product is very much easy and it have the
respective warranty. Easy and comfortable to use.
In the field of gaming their product offerings in terms of distribution is that
they focus on the user friendly environment and they offer CDs or DVDs
with the player and the cells as well with the remote controllers.
8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
11/27
10 | P a g e
Superior University, Lahore
In the field of construction their product offerings in terms of distribution is
that they give only the software and along that they also give the user
guide through which the engineers can understand how to use the
software and their product. They also offers the pack of softwares so that
if one CD or DVD is out of order they can use another one.
v.
Promotion:
The promotion of their product is done by signing different and popular
celebrities and showing them on Television and by posting flexes on the
streets and everyone crossing from that point will see their products.
They also give free samples to the people to experience them in practical
and then ask about their reviews. In software they offer the trial version of
software and if they will like the product they will purchase it. They
promote their products not only on Television but also on the internet,
social media websites, banners, flexes, campaign etc.
vi. Services Offered:
In gaming the competitors offering the services are, they give the one year
Warranty and Liability. If the product is determined to be materially
defective during the Warranty Period, your sole remedy and exclusiveliability shall be limited to the repair or replacement of this product with a
new or refurbished product and will give back to the customer.
In medical field providing the product also offers the application for their
customers which helps customers keep tabs on their health and engage in
healthy behavior using their mobile phones. Using a mobile phone
application, users can register their daily exercise and meals and then view
the registered data.
In construction field the competitors offering the services are that they give
the updated and new versions of software their customers are using with
enhanced tools and other things with improved usage and performance
and with new options which are new and very much helpful for their
customers.
8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
12/27
11 | P a g e
Superior University, Lahore
Competitive Review:In this review we will tell the major direct and indirect competitors of our product
and moreover, will discuss about their market position and or market share.
For knowing this we have to follow the following steps:
Direct Competitors.
Indirect Competitors.
Competitors Strengths and Weaknesses.
i.
Direct Competitors:
The two major direct competitors in accordance of our product are as
follow:
a. Microsoft (Xbox 360).
b. CT Scanning.
ii. Indirect Competitors:
The two major indirect competitors on accordance of our product are as
follow:
a. Sony Electronics.
b. Philips.
a. Microsoft (Xbox 360):
Strengths:
Xbox 360 provide device and a set of remotes to their respective customers
and with these they also provide some CDs or DVDs of games with thepackage free of cost.
8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
13/27
12 | P a g e
Superior University, Lahore
Weaknesses:
The weakness of this product is that it only creates a virtual image on the
screen and is also a remote controllable and on the other hand it also dont
give the feelings of touch of any object in the game.
b. Siemens (CT Scanning):
Strengths:
CT scan is a competitors product which gives the image of brain on our
systems screen and most partial CT scans take just seconds. It give nearly
accurate measurements and helps to identify the problem.
Weaknesses:
A full scan of the entire body can be completed in about a half-hour. Thisspeed helps in finding internal injuries and internal bleeding timely enough.
It is not as fast to diagnose any injury but intermediate speed. It also only
shows the image on the screen but not show the image virtually physically.
a.
Sony Electronics:
Strengths:
Out of all its products at present, Sony's success with the PlayStation is most
noteworthy -- it has been successful since inception, and still sees tremendousconsumer demand.
Weaknesses:
The high cost of media production, especially in its television business, has
affected the company's pricing strategy. Its television business has lost an
equivalent of $6.3 billion for eight years in a row. It's also losing market share to
manufacturers, such as LG and Samsung.
8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
14/27
13 | P a g e
Superior University, Lahore
b.
Philips:
Strengths:
Philips continuously explores new ways to improve products and to offer
innovative products to its consumers. It have created a program through whichhigher and higher quality levels in all products and services will be reached.
Technological products of Philips can be more design oriented.
Weaknesses:
Philips Inc. operates in fields where competitiveness is very concentrated.
However it has strong customer base it should not underestimate the emerging
customers; it should keep up with new trends and updating the existing products,
actively listen new proposals from customers and staff and continue to promote
its brand image via effective advertisements.
Market Share:
Microsoft (Xbox 360):
The total sales and market share of this product in 2010 market share was 29.8%,
In 2011 it has an increment and was updated as 34.5% market share, In 2012 it
was 38.2% market share, In 2013 it was 35.8% market share.
And the total lifetime is 30.4%.
Siemens (CT Scanning):
The total market share of Siemens Company in 2010 was 34.9%, in 2011 it gains
its market shares and reached to the 39.4%, and in 2012 its market shares cross
the 44.6% and in 2013 its market shares with increment reaches to the 52.3%.
Sony Electronics:
Electronics is Sony's most important business segment, bringing in 66.8% of its
revenue. In Electronics its share is 66.8%, In gaming its share in market is 11.2%,
In Motion Picture its market share is 10.7%.
Philips:
The Market share of Philips from 2011 to 2012 was 37.1% and in 2013 he market
share was increased and is 57.7%.
8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
15/27
14 | P a g e
Superior University, Lahore
Distribution Review:
In this segment are Explaining the current types of distribution channels used by
the competitors.
Microsoft (Xbox 360):
Microsoft Distribution review is that the technology and custom modules
specifically for wholesale and distribution which are given follow:
- Picking and delivery of goods, integrated with transport
- Handling of item numbers and prices
- Purchasing Management
- Delivery control
- Exchanges
- Contract Management
- Course administration
- Barcodes and Scanners
- Document handling- E-Business and EDI
This tools help our customers come back, buy more, and stay informed.
Siemens:Siemens distribution review is that we provide the better product that based on
the higher technology and the batter quality and our distribution review are given
follow:
- Transport of goods and delivering them to the destination.
- Taking care of the item numbers and their price tags.
- Providing Products to the wholesale dealers.
- Contracts with the wholesale dealers and with the customers.
8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
16/27
15 | P a g e
Superior University, Lahore
- Placing the new products on the display of their registered franchises.
- Motivates the Channel Members for the promotion of their products.
- Documentation and data bases.
- Online Services.
Sony Electronics:
To improve forecast accuracy and collaboration with retail partners, Sony
Electronics integrated its S&OP and CPFR programs. The results exceeded both
Sony's and the retailers' expectations.
Sony have three different steps for distribution and are given below:
1.
Producers
Wholesaler
Retailer
Consumer.2. Producers RetailerConsumer.
3. ProducersConsumer.
They also have some core steps and are mentioned below:
a. Shifts in the competitive landscape.b. Clarified roles and responsibilities.c. One plan, one number.d. Retailers benefit from data analysis.
e.
The future of the "trusted chain".
Philips:The steps included in the distribution are as follow:i. Manufacturing Items.ii. Regional Offices/ Depots.
iii. Distributors.
iv. Retail Outlets.
v.
Customers.
8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
17/27
16 | P a g e
Superior University, Lahore
Financial Review:
In this segment were going to provide detail on current sales analysis of
competitors.
Microsoft (Xbox 360):- Revenue:
In 2012 it was $73,723.
In 2011 it was $69,943.
In 2010 it was $62,484.
Percentage Change 2012 versus 2011 was 5%.
Percentage Change 2011 versus 2010 was 12%.
- Operating Income:
In 2012 it was $21,763.In 2011 it was $27,161.
In 2010 it was $24.098.
Percentage Change 2012 versus 2011 was 20%.
Percentage Change 2011 versus 2010 was 13%.
- Diluted Earnings Per Share:
In 2012 it was $2.00.
In 2012 it was $2.69.
In 2012 it was $2.10.
Percentage Change 2012 versus 2011 was 26%.
Percentage Change 2011 versus 2010 was 28%.
Siemens:
-
Revenue:
In 2012 it was $61,124.
In 2011 it was $55,928.
In 2010 it was $46,278.
Percentage Change 2012 versus 2011 was 6%Percentage Change 2011 versus 2010 was 9%.
- Operating Income:
In 2012 it was $18,367.
In 2011 it was $ 24,116.
In 2010 it was $ 22,678.
8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
18/27
17 | P a g e
Superior University, Lahore
Percentage change 2012 versus 2011 was 21%.
Percentage Change 2011 versus 2010 was 14%.
- Diluted Earnings Per Share:
In 2012 it was $1..5.
In 2012 it was $1.9.Percentage Change 2012 versus was 18%.
Percentage Change 2011 versus was 24%.
Sony Electronics:
-
Sales and operating revenue:
In 2012 it was 6,493.2.
In 2013 it was 6,800.9
Change in yen+4.7%
In 2013* it was $72,349.
- Operating income (loss):
In 2012 it was (67.3)
In 2013 it was 230.1.
In 2013* it was 2,448.
-
Diluted:
In 2012 it was (455.03).
In 2013 it was 40.19.
In 2013* it was 0.43.
8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
19/27
18 | P a g e
Superior University, Lahore
Philips:
Net Income in millions of euros unless otherwise stated
In 2010 the total sales was 6,159.
As a % of sales in 2012 was 8.4.
Financial income and expenses in 2010 was 81.
Income taxes in 2010 was 77.
Results investments in associates in 2010 was 3.
Net income in 2010 was 524.
Market Share:
Microsoft (Xbox 360):
The total sales and market share of this product in 2010 market share was 29.8%,
In 2011 it has an increment and was updated as 34.5% market share, In 2012 it
was 38.2% market share, In 2013 it was 35.8% market share.
And the total lifetime is 30.4%.
Siemens (CT Scanning):
The total market share of Siemens Company in 2010 was 34.9%, in 2011 it gains
its market shares and reached to the 39.4%, and in 2012 its market shares cross
the 44.6% and in 2013 its market shares with increment reaches to the 52.3%.
Sony Electronics:
Electronics is Sony's most important business segment, bringing in 66.8% of its
revenue. In Electronics its share is 66.8%, In gaming its share in market is 11.2%,
In Motion Picture its market share is 10.7%.
Philips:
The Market share of Philips from 2011 to 2012 was 37.1% and in 2013 he market
share was increased and is 57.7%.
8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
20/27
19 | P a g e
Superior University, Lahore
Channel Distribution:
Microsoft (Xbox 360):
Microsoft Distribution review is that the technology and custom modulesspecifically for wholesale and distribution which are given follow:
- Picking and delivery of goods, integrated with transport
- Handling of item numbers and prices
- Purchasing Management
- Delivery control
- Exchanges- Contract Management
- Course administration
- Barcodes and Scanners
- Document handling
- E-Business and EDI
This tools help our customers come back, buy more, and stay informed.
Siemens:
Siemens distribution review is that we provide the better product that based on
the higher technology and the batter quality and our distribution review are given
follow:
- Transport of goods and delivering them to the destination.
- Taking care of the item numbers and their price tags.
- Providing Products to the wholesale dealers.
- Contracts with the wholesale dealers and with the customers.
- Placing the new products on the display of their registered franchises.
- Motivates the Channel Members for the promotion of their products.
8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
21/27
20 | P a g e
Superior University, Lahore
- Documentation and data bases.
- Online Services.
Sony Electronics:
To improve forecast accuracy and collaboration with retail partners, Sony
Electronics integrated its S&OP and CPFR programs. The results exceeded both
Sony's and the retailers' expectations.
Sony have three different steps for distribution and are given below:
4. ProducersWholesalerRetailerConsumer.
5. Producers RetailerConsumer.
6. ProducersConsumer.
They also have some core steps and are mentioned below:
f. Shifts in the competitive landscape.g. Clarified roles and responsibilities.h. One plan, one number.i. Retailers benefit from data analysis.
j. The future of the "trusted chain". Philips:
The steps included in the distribution are as follow:
vi. Manufacturing Items.
vii. Regional Offices/ Depots.
viii. Distributors.
ix. Retail Outlets.
x. Customers.
SWOT Analysis:
a.
Microsoft:
Strengths:
Brand loyalty.
Brand reputation.
8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
22/27
21 | P a g e
Superior University, Lahore
Easy to use software.
Strong distribution channels.
Robust financial performance.
Acquisition of Skype.
Weaknesses:
Poor acquisitions and investments
Dependence on hardware manufacturers
Criticism over security flaws
Mature PC markets
Slow to innovate
Opportunities:
Cloud based services
Mobile advertising
Mobile device industry
Growth through acquisitions
Threats:
Intense competition in software products
Changing consumer needs and habits
Open source projects
Potential lawsuits.
b. Siemens:
Strengths:
Diversified business in terms of business segments and geographic presence.
Strong R&D Capabilities.
Diversified customer base.
Weaknesses:
Increasing debt to equity ratio.
Weak internal control.
Allegation of posting rivals business secrets on its computer networks.
High dependence on third party providers.
8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
23/27
22 | P a g e
Superior University, Lahore
Opportunities:
Acquisitions and joint ventures to drive growth.
New contracts and orders.
Increasing demand for electricity.
Threats:
Intense competition.
Risks associated with conducting business outside Germany.
Environmental and other government regulations.
c. Sony Electronics:
Strengths:
Sony has built a brand. This is highlighted by the fact that the company was
tagged in a 2011 survey as Asia's most valued brand.
The company is synonymous with technological excellence and has a rich
heritage of technological expertise. Besides creating the Trinitron Color
television, VCR, and Walkman, the company helped develop the magnetic
recording tape, the compact disc, and the Blu-Ray disc, used today as a
medium for high-definition video playback. Its latest innovation, a Crystal
LED television, was well received at the Consumer Electronics Show in Las
Vegas. Out of all its products at present, Sony's success with the PlayStation is
most noteworthy -- it has been successful since inception, and still sees
tremendous consumer demand.
A strong foothold in the entertainment industry with Sony Music and Sony
Pictures has been beneficial to the company by offsetting losses in its
consumer-products division.
Weaknesses:
The high cost of media production, especially in its television business, has
affected the company's pricing strategy. Its television business has lost an
equivalent of $6.3 billion for eight years in a row. It's also losing market
share to manufacturers, such as LG and Samsung.
While diversifying into too many business segments, the consumer
electronics giant has shifted its focus from its core competency -- making
8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
24/27
23 | P a g e
Superior University, Lahore
great consumer-electronic products. This has resulted in a distortion in
Sony's brand. Apple, which is also in the consumer electronics space, has
managed to focus on just a few products, build competency, and make
them incredibly successful.
Opportunities:
The company can take advantage of its movie and music business along
with its experience in the gaming space to deliver value-added content to
support and integrate its product line. It has talked about doing this with a
four-screen strategy, which looks like a good concept.
The company lately bought off its entire Sony Ericson joint venture. This
should give Sony the opportunity to act independently and innovate in the
booming smartphone and tablet market. The company has the opportunity to enter the healthcare-imaging sector in
a significant way through a possible acquisition of a 30% stake in Olympus.
Threats:
Sony faces price competition from competitors such as Samsung and LG,
who are gaining traction with lower-cost products such as televisions and
mobile devices.
If rumors are to be believed, Apple can give a tough time to Sony by
introducing its own version of the television, Apple TV. Moreover, Apple is
seeing a significant appreciation in its brand value compared to Sony on a
global basis, according to Inter brand's Rankings.
Sony's online network faces threats from hackers. The company's
PlayStation network was hacked, resulting in leakage of customer
information, such as credit-card data.
d.
Philips:
Strengths:
Philips continuously explores new ways to improve products and to offer
innovative products to its consumers. It have created a program through
which higher and higher quality levels in all products and services will be
reached. Technological products of Philips can be more design oriented.
One of the Best Quality in the Market.
8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
25/27
24 | P a g e
Superior University, Lahore
Innovative Culture Can Produce New Products For Philips.
Diverse product and services.
Technology.
Brand name.
Weaknesses:
Philips Electronic SWOT Analysis" will have a long-term negative impact on
this entity, which subtracts from the entity's value.
Could improve online presence.
Opportunities:
Lighting product group help reduce energy cost.
New Technology.
Emerging Markets.
New markets, Services and Customers.
Threats:
International Competition is intense.
Bad economy could hurt growth.
Political Risk at a local Government.
Substitute Products are Common.
PESTEL Analysis:
In this segment we are going to perform PESTEL analysis which consists of 6 parts
which are as follow:
Political factors affecting our product.
Economic factors which are important for the launch/ re launch of our
product
Social factors Technological forces which are either helping or a barrier in the launch or
re launch of our product.
Environmental/ Natural factors.
Legal factors which deals with the legislation and law and order situation.
8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
26/27
25 | P a g e
Superior University, Lahore
a.
Political Factors:
The effect of political factor is very danger on our product. The political factor
effect our product in different way. First of all it will affect our company financial
resources. Our product is expensive and the policies introduced by the
government or politicians will affect in a developed way. The politicians wantsome amount of share in our product and they will have our product share
without their participation and which is not good for our organization and
product.
b.
Economic Factors:
The political factor which will affect our product is that our product is on the high
budget and may our government will not support us in the product by giving ashare in the budget and all the expenses will be handled by our organization. If
the economy of country is not good and down then the taxes will affect our
products as their will be increment in the taxes which we cannot control and will
affect our product. The global financial crisis will affect the consumption and
production of our product.
c.
Social Factors:
The Pakistani customers market have the majority of price seekers and minority
of quality seekers due to which our sales will may be decreased or will be affectedby the society. But on the other hand it will help the society as it is coming with a
new innovation in the technology and will be very affective and it will definitely
make the people life easier than before and the society will like our product and
they will create a word mouth.
d.
Technological Factors:
Competing technology development
Research funding Associated/dependent technologies
Replacement technology/solutions
Maturity of technology
Manufacturing maturity and capacity
Information and communications
8/11/2019 Current Marketing Situation Analysis of Virtual Reality-2
27/27
Top Related