Sigma Telecom
SIGMA TELECOM COMPANY
1. What steps would you suggest to the company management for reversing the downward trend in their profits?
Ans. The following are our suggestions to the company management:
Product innovation and after sale service:
The company should focus on research of new technology and product as well as make sustained effort to harness foreign technology to better meet customer requirement and gain customer loyalty. Another important aspect the company should focus on is after sale service by creating POD?? for existing products.
New distribution channels for different market segment:
The company can invest on developing separate distribution channel for different market segments. This would ensure increased customer focus, help managers in setting better sales target and increased sales.
Increased focus on private sector:
The company should increase its focus on private sector companies as they are growing at a faster rate due to liberal government policies. A separate sales team for private sector would be better since their way of dealing with suppliers is different from that of public sector companies.
Focus on low-end market as well:
The low-end market is untapped by the company. With the high-end market seeing increased competition and eroding market share, the company may focus on developing a product for the low-end market and a separate distribution channel.
2. Which segments should the company target and what kind of target market strategy should it follow to maintain its leadership position?
The company should target the private sector firms which involve corporate houses, hospitality sector and others that account for 62% of demand with renewed vigour. Each segment should have a dedicated sales team and distribution channel. Such companies focus a lot on after sales service, hence the firm should strengthen the after sale support system. It can outsource its after sale service to a
1. What steps would you suggest to the company management for reversing the downward trend in their profits?
Ans. The following are our suggestions to the company management:
Product innovation and after sale service:
The company should focus on research of new technology and product as well as make sustained effort to harness foreign technology to better meet customer requirement and gain customer loyalty. Another important aspect the company should focus on is after sale service by creating POD?? for existing products.
New distribution channels for different market segment:
The company can invest on developing separate distribution channel for different market segments. This would ensure increased customer focus, help managers in setting better sales target and increased sales.
Increased focus on private sector:
The company should increase its focus on private sector companies as they are growing at a faster rate due to liberal government policies. A separate sales team for private sector would be better since their way of dealing with suppliers is different from that of public sector companies.
Focus on low-end market as well:
The low-end market is untapped by the company. With the high-end market seeing increased competition and eroding market share, the company may focus on developing a product for the low-end market and a separate distribution channel.
2. Which segments should the company target and what kind of target market strategy should it follow to maintain its leadership position?
The company should target the private sector firms which involve corporate houses, hospitality sector and others that account for 62% of demand with renewed vigour. Each segment should have a dedicated sales team and distribution channel. Such companies focus a lot on after sales service, hence the firm should strengthen the after sale support system. It can outsource its after sale service to a