Ecco Case

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  • Topic: Strategic management, Porter generic strategies, Marketing
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  • Published : November 15, 2011
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Business Strategy Coursework
ECCO
By: Dipika Kumari

Title page

Date to hand in project:10th March, 2011
Project supervisor:Stefan Eberle
Word count:1804 words
International Business Academy
Signature : __________
IBA Student Name: Dipika Kumari
IBA Student No. : 139355
Class: KSIBA10BA1
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Table of content
Title page2
1.0 Executive summary3
2.0 Strategic position of Ecco4
2.1 Internal environment analysis5
2.1.1 Value chain5
2.1.2 Product life cycle7
2.2 External environment analysis7
2.2.1 Porter’s five forces7
2.3 SWOT analysis9
3.0 Competitive advantages in Hungry10
3.1 Porter’s diamond10
3.2 Capabilities for achieving & sustaing competitive advantages12
4.0 Route to competetive advantages 12
4.1 Porter generic strategy12
4.2 Ansoff matrix14
5.0 Conclusion:15
6.0 Bibliography:16
6.1 Book:16
6.2 Website:16

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* 1.0 Executive summary:
This course work is based on overall strategic view of ECCO by choosing one among the three given markets. And I choose Hungary as the base country for this task. The report will seek to answer:
* Strategic position of ECCO.
* ECCO’s competitive advantages on Hungary.
* And what strategy ECCO should follow on this market.

* 2.0 Strategic Position of Ecco:
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The Strategic
Position

Environment

Capability

Purpose

Culture

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The strategic position is concerned with the impact on strategy of the external environment, an organization’s strategic capability (resources and competences) and the expectation and influence of stakeholders.

* 2.1 Internal environment analysis:
* We can analyze the internal environment of ECCO, by the help of value chain. * 2.1.1 Value chain:
With the help of value chain, we can describe the categories of activities within and around an organization, which together create a product or services.

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Fig: The value chain, Porter 1985

ECCO controls every part of the process, unlike other companies who outsource their production; ECCO places its production in its own factories. There are factories in different part of the world such as Portugal, Slovakia, Thailand, Indonesia and China. Having own factories enables ECCO to maintain high level of technology throughout the production process and also constantly innovate the quality along with fashion. ECCO’s internal mould workshops in Denmark and Thailand ensure short development costs and delivery time.

The company focuses on the lean company development which includes education, coaching and training of managers to guarantee top quality products and their working environment is being met by the Code of Conduct to provide safe and healthy environment. They can enhance teamwork and cooperation to gain high results. Top quality has been achieved as ECCO massively focuses on qualitative raw material i.e. first class leather. ECCO’s tanneries are among the leading manufactures of quality leather for use as car and plane seats. ECCO operates its own laboratories as well as evaluate the shoes in real world conditions and on real feet so it organizes team of enthusiastic tester in long term orientation.

ECCO is an international business with global scope so the collection work is adaptation to local markets to match with newest trends and requirement in local markets. For this task ECCO’s headquarters arrange at least two major conferences each year. ECCO is a global brand. Therefore, the goal oriented training of shop personnel is a corner stone of ECCO. The shop strategy is a strong and independent part of ECCO’s overall...
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