Assignment
Caroline Katsidzira K90927
Question 1: Description of:
1.1 The marketing problem;
Blackberry is experiencing an extreme decline in sales i.e. declines in smart-phone shipments and a loss in market share of operating systems while its competitors experience a continued growth.
1.2 The consequent research problem;
The resulting research problem is to determine how to increase the sales of Blackberry while staying ahead of competitors, and to increase the market share in operating systems.
1.3 Three possible research questions;
(i) What are the reasons Blackberry is experiencing a decline in market share and smart-phone sales?
If the reasons of decline in sales and market share are discovered then the company can pin point areas where they can improve and produce better results annually.
(ii)What are the methods of reducing costs?
In order to discover how to save on production costs and to produce economies of scale Blackberry has to discover how to make extreme cost savings in order to give the benefits back to the consumer as smart phones are usually quite costly.
(iii) What are the reasons for Apple and Samsung growing in market share (despite both companies not having BIS and Apple especially being more costly for the South African market)?
If Blackberry can divulge what its immediate competitors are doing right, then it can figure out quite clearly what its doing wrong. As a company operating in the technological environment, it has to be innovative and project future trends thus being ahead or at least keeping up with competitors is vital.
Question 2: Brief report on the smartphone market in South Africa
2.1 The market Market Size
The market is inclusive of all users in the smartphone market in South Africa. The mini case-study has highlighted that an estimate of 16.3 million at the end of 2013 (WorldWideWorx)
Relevant segment Sizes
Market growth
The growth of smartphones has infiltrated up to 31% of the population.