Industry Analysis of New Balance

New Balance
System04099

Contents
Executive summary...............................................................................................................................3
Introduction...........................................................................................................................................3
Competition analysis.............................................................................................................................4
Dominant economic Features................................................................................................................5
External environmental analysis............................................................................................................6
Five forces Porter`s model.....................................................................................................................7
Key success factors................................................................................................................................8
References...........................................................................................................................................11

Executive summary
Certain critical elements of industry analysis macro environmental analysis that is used to
understand several external factors of organisation that uses analytical techniques. Moreover,
certain stakeholders that help in the operations of business and their affect is considered in
Five forces Porter`s model. The aim of this discussion to consider all the factors such as
economies of scale affecting the distribution, advertising, and production concerns,
competitors, certain economic domain features and key success factors that can help to make
a successful and potential marketing plan.
Introduction
Industry analysis is a method that gives and facilitates the company to build its understanding
regarding how New Balance perform when as compared to other similar products or among
the whole industry. It is important to allow the business owners to estimate that how much
profit the business can generate. The below discussion commences from competitive analysis
of New Balance, dominant economic features, external environment analysis, and figuring
out the Key success factors (Paperap, 2018). As for industry and situational analysis where
environmental analysis plays an important role in identifying the external and internal
elements that affect the organisation`s performance. Here, two model are discussed named as
PESTLE analysis and five Porter’s forces model. Moreover, the analysis continues in such a
way that no factor should be left behind while preparing the marketing plan. The first
assessment comprises of in-depth analysis of what competitive advantage it enjoys, what
positioning each renowned shoe company have received. To make a marketing plan,
organisation has to consider its competitors and what competitive advantage they enjoy
(Marketingweek, 2015).

Competition analysis
With the increasing globalisation especially in business concerns, many business-
manufacturing firms produces footwear and shoes apparels. Nevertheless, popular shoes
brands always stand in competition to outdo one another with modern and advanced shoe-
making technology in order to provide the customers the shoes that can fulfil the
requirements. Famous competitors such as Nike (a Oregon-based company), Adidas, Jordan,
Testoni (designed as formal shoes popular among opulent business class), Converse
(remained and dominated highly competitive US shoes market), Berluti, Reebok, Johnston &
Murphy (best known for sourcing, marketing, distribution and designing), Puma, and
Bostonian. The above 10 are popular shoes companies in the world (Sousa et al., 2014). The
products are differentiated on the basis of what particular attribute does the company offer.
For example- Nike is biggest sports equipment producer and is famous for designing, global
marketing, and manufacturing. Testoni`s designs are famous for formal occasions. Converse
generally indulge in manufacturing which is famous among Teenagers and youth
(BusinessWire, 2016).
As far as positioning strategies of New Balance is concerned, it has adopted many marketing
strategies to get brand awareness in the market. The company has undertaken marketing
campaigns through television, social media platforms, and sports magazines. Moreover, it has
its own website, page on Facebook, YouTube, and twitter in order to handle advertising
activities (Fresh Britain, 2018). The company has competitive advantage among other shoe
manufacturer. This brand provides affordable product both in terms of price inspired and in
terms of well-taken care of employees that drives performance. The company engages good
marketing techniques and focus on strategies that has contributed to handle competition.
People wear sneakers for fashion and leisure purposes and New Balance targets the market
but as a recommendation, company has to look for more market share by indulging the