Business Development Strategy: Case Studies of Leading Companies

Verified

Added on  2023/06/11

|15
|3847
|404
Case Study
AI Summary
This assignment presents a case study analysis of the business strategies employed by Swatch, Boeing and Airbus, and Netflix. The Swatch case examines the company's evolution from adopting ETA's ultrathin mechanical movements to implementing lean operations, fostering innovation, and diversifying its product line, ultimately achieving a strong brand position through effective marketing and sponsorship programs. The Boeing and Airbus case explores the competitive dynamics of the commercial aircraft industry, highlighting their market dominance, strategies for managing high development costs, and the emergence of new entrants in the narrow-bodied jet segment. Finally, the Netflix case focuses on the company's disruptive innovation in online video streaming, its ability to sustain a competitive advantage through quality content and strategic technology adoption, and its evolution from a DVD rental service to a leading entertainment enterprise. All of these materials can be found with other solved assignments on Desklib.
tabler-icon-diamond-filled.svg

Contribute Materials

Your contribution can guide someone’s learning journey. Share your documents today.
Document Page
Question
1
tabler-icon-diamond-filled.svg

Secure Best Marks with AI Grader

Need help grading? Try our AI Grader for instant feedback on your assignments.
Document Page
Table of Contents
Case study-1 Swatch..................................................................................................................3
Case study-2 Boeing and Airbus (Commercial Aircraft)...........................................................5
Case study-3 Netflix...................................................................................................................7
REFERENCES.........................................................................................................................11
2
Document Page
Case study-1 Swatch
1). Business level strategy is based on the process in which examine that how Swatch
compete with other competitors in marketplace. Swatch firm derived such strategies by
managers, executives making decision about whether their competitive sources. Typically,
the main power of enterprise is to differentiate price strategy concept and also handling scope
of business operations (Farrugia, 2021). With time passing, it has been evolved the swatch
business strategy in different phases. In some cases, an effective strategy should be
represented the change in strategic perspective which can be evolved to maintain a strong
position of business in the competitive marketplace. Initially, Swatch was adopted the
business strategy and adopt concept of ETA. It is the most common approach related to ultra-
thin mechanical movements. It can be produced over 1000 variants. As per given study, it has
been analysed that Swatch uses ETA and rationalised the level of production. In order to
improve morale and ethics, Swatch will try to start the concept of marketing movement and
maintain a price of new product from low to high.
Based on the evaluation, it has been examined that a leader of Swatch firm can be
implemented strategic approach through lean operations. Thus, it is also established the
innovation culture and environment. It has been justified that Swatch strategy developed by
Thomke, and implementing the company’s engineer for them to develop a concept of thinnest
Quartz watch. This kind of effective plan should be adopted by swatch firm and develop a
strong position of brand in marketplace. Furthermore, it has been expanding the division of
Swatch which mean that use a diversification strategy.
Initially, the division of Swatch is focused on elaborating the business with the help of
diversification strategy. It is helping to make cheap, fashionable watches and maintain a
stylish design pattern. The different categories of watches are available for every age group.
This can be possible due to new technologies, and improving efficiencies (Suchek and et.al.,
2021). After successfully implementing corporate strategies, ETA has been tried to extend the
core value of business by using vertical chain integration process. It is helping to increase the
distribution and level of marketing in terms of Swatch watches.
3
Document Page
Based on the ETA, Swatch can be adopted business strategy and identify the basic entry
decision, came to the right conclusion. Afterward, the company was focused on the low price
approach in different categories of watches. These are considered the most attractive
opportunity for everyone. The movement of Thomke towards corporate strategy with the help
of new market and new item diversification (Cartwright, Liu and Raddats, 2021). As per
given scenario, it has been examined that ETA engineers created or develop a low price
quality watches and used on the basis of economic condition. For example- The main use of
Joint research & development, Quartz technology combined with intangible as well as
tangible resources. This kind of operational activities are created to handle strategic direction
of business.
2). Swatch is one of the strongest brand in marketplace because of their products as well as
services. In 1983, the company was launched a new product such as plastic quartz. It was
become a global phenomenon. In the context of innovation and technology, Swatch is one of
the technical breakthrough and divided into 51 parts and always opposed to 100
requirements, make an appropriate traditional wrist-watch. This kind of approach is always
supported to maintain and achieve a great success. Without any doubt, the use of innovation
and modern design helps to increase demand of Swatch items. When a perfect marketing
strategy is helping to target large audience. This kind of thing is not only collecting
fashionable accessories but it is also established a connection with potential clients.
Swatch was able to maintain the level of success over period of time and always tried to
promote its brand with labelling. In some cases, it is conducting a sponsorship program to
promote different kind of products as well as services. Nowadays, there is biggest market of
Swatch and making its strong presence. In recently, Swatch has been expanding their
business in BRIC nations. This is why because of considering a design culture and
environment. Therefore, it can easily increase brand awareness with capture or record a high
level market share with tough competitors (Hendriarto, 2021). That’s why, company will try
to focus on the sponsorship and targeting large audience. The great success of Swatch was
identified by Nicholas, implementing innovative marketing approach or strategies, brand
positioning transformed the entire business group. After that, it was given a new position in
competitive marketplace over time. However, it is changing demand of market where Swatch
has focused on introducing different type strategies. To keep up-to-date and maintain
innovation in products and services. That’s why, Swatch is always focused on maintain its
success over time and gaining more competitive advantage. Based on the research, it has been
4
tabler-icon-diamond-filled.svg

Secure Best Marks with AI Grader

Need help grading? Try our AI Grader for instant feedback on your assignments.
Document Page
examined that different competitors will try to launch a new product and giving tough
competition in marketplace.
Case study-2 Boeing and Airbus (Commercial Aircraft)
1). the commercial based airline industry is one of the most popular business across global
marketplace. In some cases, it is also difficult to manage and control high competition level
in marketplace. Without any doubt, it has become obvious thing that aircraft industry has
attracted but their attention was clear to build a strong position in markets (Collings and et.al.,
2022). Boeing is one of leading company in terms of aerospace manufacturers for both
purpose of military as well as commercial level. Generally, Boeing is produced different
products such as satellite launch vehicle, rocket engines and defence systems. The company
operates their business at global level and centralised a strong decision-making. Airbus is
based on the commercial aviation enterprise and established by American firms such as
McDonnell and Boeing.
On the basis of evaluation, it has been analysed that two companies such as Boeing, Airbus
both are dominated in market due to the demand of commercial based jet aircraft. Nowadays,
it has been rapidly growing the market where Boeing is also delivered 723 aircraft and airbus
can be delivered 620 aircraft. These kind of combination are always forced both enterprise to
move and made by three smaller enterprises (Woo and et.al., 2021). Afterwards, it has
become easier for establishing a new image, entering the market for narrow bodied jet
aircraft. In today scenario, it has been identified that Boeing planes 50% of its demand and
31% of airbus planes. This type of reminder is helping to understand the global market and
also split into different smaller players.
For example- In Brazil, Embraer and Bombardiers in Canada have both shared 7% market
value. Initially, they were focused on the specific needs of regional jet market, and also
creating or developing a new planes. Due to increase the demand of planes, Boeing and
Airbus are dominated the current markets. This is why because of increasing 5% of its overall
annual profit rate. As looking forward, the company was tried to predict the economic growth
for next 20 years. This will help to represent the overall demand of jet aircraft across global
world. Based on the anticipated growth of airline business, it has been analysed that Boeing
believes the most world’s class airline, which will be selling 37,000 new aircraft between
2013 to 2033.
5
Document Page
According to estimation, the value of aircrafts are approximately 5.2 trillion in today’s
markets. In this way, it is helpful for business to clearly represent the future demand and
create or gain profit opportunity. As per given study, it is mainly focused on two companies
such as Boeing and Airbus. Furthermore, it observed that industry will find the best possible
entries and assumed high level of cost development. It is also associated with brining a new
jet aircraft, and also realised the need of substantial based economies. Therefore, it will be
calculating the price or cost. Companies are Boeing and airbus are worked together
effectively. For example- it has been estimated the price of Boeing airplane 18 to 20 billion.
These are considered the estimation price in order to develop aircraft. The enterprises will
have tried to sell large number of product within next 10 years. Based on the analysis, it can
be measured the prices, costs, risks and long-time intervals (Bravo, Vieira and Ferrer, 2022).
These are depending on the demand of new commercial based jet aircraft. However, it has
been identified three new entrants which have established a new business position in
marketplace. All kind of three entrants are trying to build a narrow bodied jets and its
capacity of 100 to 190 seats. At that time, Airbus and Boeing are dominating the different
segment of narrow bodied jets. For example- In china, the commercial based aircraft is
designed and its capacity approximately 100 to 190 seats, design structure is look like narrow
bodied. This type of jet aircraft was launched in 2018.
Apart from that, Bombardier is also focused on the developing 100 or 150 seat airplane and
develop a high competition for both Airbus as well as Boeing. Two companies have already
tried to sell their commercial Jet aircraft across global markets. In 2015, Bombardiers has
been ordered the 200+ companies and give a strong commitment for making 100 seats
aircrafts. On the other hand, Embraer is also focused on developing 108 to 125 seat plane to
compete in terms of narrow bodied segment (Snihur, Zott and Amit, 2021). These kind of
orders are always encouraging the companies to achieve best results or outcomes. If in case,
the new entry is happening because of three different aircraft producer who have believed
that attracts the entire market through narrow-bodied aircraft.
Additionally, another reason is that when airbus and Boeing react moves made by three
different smaller companies because of high competitive level in markets. It obvious thing
that increase level of entry barriers which are making cost effective. Therefore, competitors
are needed to be analysed the current business situation and then try to eliminate weakness.
Different kind of statement are always supported by innovative update and handled the
changes in the competitive environment. Two companies such as Boeing and Airbus are
6
Document Page
supposed to follow a specific philosophy in terms of commercial jet aircraft. Afterwards, it
easily targeting medium level market with the help of A787.
7
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
Case study-3 Netflix
1). Netflix is based on the American entertainment enterprise specializing in context of online
video streaming platform. In 2018, the company was selecting an adventure programming,
representing a specific vision for interactive television. Netflix has been started obscure
online shop and provide the renting facility of DVDs delivered in different manner. This kind
of innovation is always supports for Netflix business in order to increase demand of DVDs in
marketplace. In 2017, Netflix enabled to handle faster menu option on the different hardware
devices (Mac Cathmhaoil, Evers and Gliga, 2021). It provide the better opportunity to be
encoded the content. This will help to maintain static video scenes but require to control
fewer bits. On the other hand, Netflix uses innovation and allows user to streamline digital
content more effectively or efficiently. In some cases, when user can use a phone but it
require to maintain internet quality accordingly.
On the other hand, Netflix is used the disruptive innovation in its business strategy to gain
and sustain a competitive advantage. As per consider the disruptive innovation, Netflix is
always managed and controlled excellent revolutions where how people can easily handle
daily process of entertainment (Knudsen and et.al., 2021). The company will try to launch
and introduce the cheap prices items, maintain excellent quality HD video streaming. In
current scenario, everyone wanted to select the best option from TV channels. Netflix is also
developed the production house and produce, directs their specific online video streaming
series.
Netflix sustain a competitive advantage with the help of pricing strategy in order to optimise
the specific content, strategy and quality of data. It allows the users to charge more on
particular video and gaining more competitive advantage. It is worth for enterprise to manage
and control streaming innovation. Many users are focused on large subscription and gain
competitive advantage. Sometimes, it is also allocating the content in order to spend across
different members. As per given scenario, it has found that Netflix would increase price or
cost in US, it is worth from 13 to 14 month for its standard subscription. With changing the
move, the company is now expensive than other competitors like HBOMax. In some cases, it
is also competing the best services which are considered about half of its price or cost as
Netflix.
To sustain the Netflix brand, it is important to be implementing a concept of pricing power
during recent earning cells. This was incredible thing which is always used in the
8
Document Page
entertainment purpose. In additional, the biggest strength of Netflix is its innovation in
traditional content and adopting global strategy to separate it from video streaming approach.
In competitive markets, Netflix has already established a strong brand position and promote
various video series in foreign language. This kind of business task drives its international
growth. On the other hand, Video entertainment is one of the most popular industry but it
would not be monopolized in proper manner. At certain point, there is a space where it can be
handled streaming videos especially as continued to increase demand of business. Netflix
remain maintain a strong position in markets, and also gaining competitive advantage.
The significant role of innovative enterprise model is to increase demand of online presence
for different chain. Initially, the start of Netflix has become slow but afterward, it was gaining
more profitable and earning lot of money. Furthermore, the role of disruptive innovative
strategy and video streaming technology are helping to improve quality of television series. It
also enhanced the demand where every users can select different Subscription for Netflix.
2). Internet service streaming has become the important aspect in terms of digital media
expansion. Nowadays, it has been rapidly increasing the demand of streaming and heating up
across global world. Based on the survey, it has been observed that increase level of
percentage in terms of household and subscribe to the streaming services (Olabode, Boso and
Leonidou, 2022). Every users are witnessed the success of video streaming services, existing
networks and content owners. To increase the number of streaming services and continue to
grow business, intensifying the level of competition. At current scenario, it has been growing
the demand of streaming.
In the context of competition, internet streaming services are heating up because of new
entrants. They were concerned about the innovation of streaming services in future. For
example- Netflix has already established a strong brand position in marketplace. However,
whether it is truly end the golden age of streaming But it is also increased the competition
level because of other competitors such as Comcast, Disney. These are providing the best
quality of streaming services. Even those are representing a conventional entertainment,
make an effective plan to create a dynamic platforms. Therefore, they can easily increase the
demand of internet streaming services. On the other hand, Netflix is also focused on the
different services and understand the original content. In some situation, many consumers
were feeling so much frustration, showing a licensed content. Afterward, it provide better
9
Document Page
option for users where they can easily gain more subscription and heating up the competition
level.
10
tabler-icon-diamond-filled.svg

Secure Best Marks with AI Grader

Need help grading? Try our AI Grader for instant feedback on your assignments.
Document Page
Although, it focuses on the second wave to represent entrants of other competitors and seems
to find overload the choices of clients. In some cases, it would be developed an issue to
decrease quality of competition. Another way, it is also compared with TV and movie related
streaming such as music. These are considered the one key differences which is directly
impacts on the services. Comparing television and movie streaming are related to the music.
There is one key difference that are greatly impacts what kind of services they offered.
Typically, it is all about the video streaming service, but content is not hosted at same time
interval. And when content is also available from different services (Olabode, Boso and
Leonidou, 2022). For example- Netflix should be used the distribution strategies which
means that representing a license for accessing a specific content but it differ from different
platforms. For example- YouTube and television will be provided the facility of streaming
and also not charged anything. In some cases, it should be considered the different properties
that will be identified on single service such as Disney+.
The important question is related licensing, structure and current state of video streaming. It
is playing important role in order to represent the demand of platforms and splitting or
categorising the shows, movies across several subscription. In development areas of
streaming, firms such as Netflix have focused on the creating an original content. This kind
of effort will be improving the performance of enterprise. Netflix is one of the most popular
video streaming channel which may be created multiple programs and also representing
interactive data or information. The main aim of Netflix is to create, gain more success
through interactive content or data.
In today’s scenario, there are different kind of emerging enterprise which have been
recognised the actual success of market’s leaders and also attempting to find differences
between competitors. For example- Disney’s streaming service is one of the best example.
The aim of firm is to host massive library and representing content but it is not engaged with
services. It is only make libraries where it can easily download large amount of content.
Another firm is Amazon prime, it is highest competitor of Netflix. Amazon prime is also
providing the wide range of content and extending beyond television. It may offer a large
amount of data or information. This was great innovation in terms of video streaming and
attracts more consumers across global world.
11
Document Page
Based on the discussion, it has been recognised high competition level in marketplace.
Typically, it will be changing the demand of potential consumers and declare whether market
or client will be affected in both positively or negatively for new entrants.
12
Document Page
REFERENCES
Books and Journals
Bravo, A., Vieira, D. and Ferrer, G., 2022. Emissions of future conventional aircrafts
adopting evolutionary technologies. Journal of Cleaner Production. p.131246.
Cartwright, S., Liu, H. and Raddats, C., 2021. Strategic use of social media within business-
to-business (B2B) marketing: A systematic literature review. Industrial Marketing
Management. 97. pp.35-58.
Collings, D. and et. al., 2022. The effects of negative reputational contagion on international
airlines: The case of the Boeing 737-MAX disasters. International Review of
Financial Analysis. p.102048.
Farrugia, S., 2021. Tools to construct the comparative analysis of existing medical
portals (Bachelor's thesis, University of Malta).
Hendriarto, P., 2021. Understanding of the role of digitalization to business model and
innovation: economics and business review studies. Linguistics and Culture
Review. 5(S1). pp.160-173.
Knudsen, E.S. and et. al., 2021. Stability in turbulent times? The effect of digitalization on
the sustainability of competitive advantage. Journal of Business Research. 128.
pp.360-369.
Mac Cathmhaoil, B., Evers, N. and Gliga, G., 2021. Digital business model
internationalisation: illustrative cases of born global digital companies.
In Entrepreneurial Internationalization in an Increasingly Digitized and Networked
World Economy. Edward Elgar Publishing.
Olabode, O.E., Boso, N. and Leonidou, C.N., 2022. Big data analytics capability and market
performance: The roles of disruptive business models and competitive
intensity. Journal of Business Research. 139. pp.1218-1230.
Snihur, Y., Zott, C. and Amit, R., 2021. Managing the value appropriation dilemma in
business model innovation. Strategy Science. 6(1). pp.22-38.
Suchek, N. and et. al., 2021. Innovation and the circular economy: A systematic literature
review. Business Strategy and the Environment. 30(8). pp.3686-3702.
Woo, A. and et. al., 2021. An Analysis of the Competitive Actions of Boeing and Airbus in
the Aerospace Industry Based on the Competitive Dynamics Model. Journal of Open
Innovation: Technology, Market, and Complexity. 7(3). p.192.
13
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
14
Document Page
15
chevron_up_icon
1 out of 15
circle_padding
hide_on_mobile
zoom_out_icon
logo.png

Your All-in-One AI-Powered Toolkit for Academic Success.

Available 24*7 on WhatsApp / Email

[object Object]