Political Analysis Of Haier Industry
Political: Each and every project has both internal politics and external ones. Internal ones like personal interests, jealousies and cohesive behaviour project occur in all projects and must be considered and managed by stakeholders. The latter refers to those which the stakeholders do not have under their control. These include all political events like tax policies, employment laws, trade reforms,trade restrictions, political stability, environmental regulations, tariffs etc. The factors that should be taken into account when checking for the political forces that can affect the industry are:
a. Political stability: The incumbent government must be stable which is true in India.
b. International Stability: There is also international stability …show more content…
It provides insight into how each of market drivers create impact. To assess how each of the market drivers impact, this tool serves to be handy. Companies like Haier are known to study the markets they wish to approach thoroughly and deeply before they make a move and it is in this perspective that this analysis is undertaken further.
Industry Rivalry
All the white goods manufacturers are engaged in severe competitive rivalry, hence this point is especially true for Haier. Threat of competitiors is hence very high. Haier cannot take its position in the market for granted. The margins are tight and the competition is intense in this market. Haier also faces intense competition for market share as characterised by the “Cola wars”(Rivalry between coke and Pepsi) in emerging markets like India. Here, Haier has to contend and compete with a multitude of players, global and domestic. This has made the impact of this dimension especially strong for Haier.
Barriers to Entry and …show more content…
Also the buyers are dependent on the companies since they would have to necessarily approach the company service centre for after sales service and for spare parts. But all this does not mean that they are at the power of the companies. Actually speaking it is the other way around as most emerging market consumers are known to be picky when deciding on the product to buy. They try to explore all the options they are given before making a
a. Political stability: The incumbent government must be stable which is true in India.
b. International Stability: There is also international stability …show more content…
It provides insight into how each of market drivers create impact. To assess how each of the market drivers impact, this tool serves to be handy. Companies like Haier are known to study the markets they wish to approach thoroughly and deeply before they make a move and it is in this perspective that this analysis is undertaken further.
Industry Rivalry
All the white goods manufacturers are engaged in severe competitive rivalry, hence this point is especially true for Haier. Threat of competitiors is hence very high. Haier cannot take its position in the market for granted. The margins are tight and the competition is intense in this market. Haier also faces intense competition for market share as characterised by the “Cola wars”(Rivalry between coke and Pepsi) in emerging markets like India. Here, Haier has to contend and compete with a multitude of players, global and domestic. This has made the impact of this dimension especially strong for Haier.
Barriers to Entry and …show more content…
Also the buyers are dependent on the companies since they would have to necessarily approach the company service centre for after sales service and for spare parts. But all this does not mean that they are at the power of the companies. Actually speaking it is the other way around as most emerging market consumers are known to be picky when deciding on the product to buy. They try to explore all the options they are given before making a