Case Study: Ben Jenson's Strategies in Contemporary Management

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Added on  2023/06/03

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Case Study
AI Summary
This case study examines the strategic challenges faced by Ben Jenson, an electronic appliance store, in the face of increasing online competition, particularly from companies like Amazon. The central conflict revolves around whether to embrace showrooming and how to compete on price. Ben Jenson, the founder, opposes showrooming and favors aggressive discounts, while the CEO advocates for a differentiated product mix, superior after-sales service, and employee training. The suggested solutions involve finding a mutual understanding between the founder and CEO, focusing on factors beyond price such as customer feedback and product availability, and establishing an online presence to broaden customer reach. To thrive in the 21st-century VUCA world, the case emphasizes the importance of globalization, innovation, employee training, and customer retention strategies to achieve a competitive advantage.
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Running Head: CONTEMPORARY MANAGEMENT
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CONTEMPORARY MANAGEMENT
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CONTEMPORARY MANAGEMENT 1
Table of Contents
Question 1..................................................................................................................................2
Question 2..................................................................................................................................2
Question 3..................................................................................................................................2
References..................................................................................................................................3
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CONTEMPORARY MANAGEMENT 2
Question 1
The electronic appliance store named Ben Jenson is the retail store of the electronic
appliances which is currently facing the challenges and the obstacle of the online shoppers in
the retail store. The customers are mainly creating a conflict for the storekeepers by checking
the prices online and comparing the same by the showroom price. The major conflicting
values that are of core importance are discussed in the case study. Because of the Amazon a
challenging company is providing the solutions by making it more feasible for the customers
to buy the product online and that too by comparing the prices of the products on the
Amazon. Moreover, the next conflict of the company is the dilemma of serving the
showrooming or not. Ben Jenson who is the founder of the company is against the process of
the showrooming, whereas the CEO is in the favor of the showrooming process as it would
close all the doors of the store for them as the customers would not even like to visit the store.
In the opinion of the CEO, the company shall focus on the product mix and that too the
product mix of the differentiated nature (McGee, 2016). Apart from this the CEO also wants
to focus mainly on the employees, after-sales services to its clients and the Ben Jenson has
the different take on this opportunity and thinks it is a costly process and the cost structure
will only be disturbed so he recommends the adoption of the offensive strategy by providing
the aggressive discounts (Al-Debei, Akroush & Ashouri, 2015).
Question 2
In order to solve the problem, there shall be a mutual understanding between the CEO
and the founder of the business Ben Jenson. The case study discusses majorly in relation to
price and the first solution is that price is not the only factor hence; Ben needs to focus on
other variables as well such as the customer feedback, the choices and the preferences of the
customers, product assortment and the product availability as well. Ben Jenson can create
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CONTEMPORARY MANAGEMENT 3
their own websites to showcase the products online and this will not only curate the interests
of the customers but eventually, it can reach to a large mass in a go (Akroush & Al-Debei,
2015).
Question 3
In order to be compatible and compete for the 21st-century leader-manager position in
VUCA world, the concept of the online shopping is highly inspiring and innovative. The
same concept is also associated with the digital media. The main highlights in the direction of
the management competencies shall be of the globalized nature. Not only the differentiation
or the innovative product but it is the responsibility of the employees as well and they shall
be trained and given proper knowledge so that it becomes beneficial for the store to grow and
compete among the existing competitors. This process will not only help in retaining the
customers but also helps in a maximization of the profits. Hence these strategies shall be
adopted by Ben Jenson in order to have the competitive advantage over the Amazon (Hoberg
& Phillips, 2016).
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CONTEMPORARY MANAGEMENT 4
References
Akroush, M. N., & Al-Debei, M. M. (2015). An integrated model of factors affecting
consumer attitudes towards online shopping. Business Process Management
Journal, 21(6), 1353-1376.
Al-Debei, M. M., Akroush, M. N., & Ashouri, M. I. (2015). Consumer attitudes toward
online shopping: the effects of trust, perceived benefits and perceived web quality.
Internet Research, 25(5), 707-733.
Hoberg, G., & Phillips, G. (2016). Text-based network industries and endogenous product
differentiation. Journal of Political Economy, 124(5), 1423-1465.
McGee, L. W. (2016). Collaboration in a Competitive Market: The Collective Impact Model
in University Legislative Relations.
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