Sport Utility Vehicle and Porsche
1. Do you think Porsche had to go through the product market of cars and SUV? Did she have other options at the time described in the Case? Based on an analysis of advantages and disadvantages What would you recommend the same point in time?
We will use Porter's forces model to consider the attractiveness of the product market entry of vehicles - Luxury SUVs.
Existing competitors - most of the market share the SUV, the Porsche is in particular the United States. In 1998, there is fierce competition in the SUV in the U.S.. Beyond that, the more delicate segmentation of the product to market SUV Luxury cars, there is competition between the density of competitors.
Total power of existing competitors is very high.
Suppliers - suppliers can be divided into two types of Porsche. The first type that supplies workers (Labor) and the other is external and parts manufacturing companies. The first type of power supplies working up to the geographic location of the factory workers' organizations that exist there. The second type of supplier power is weak enough that you can switch between suppliers easily. Vision to take the case where vendors positioned themselves near the vehicle companies factories (p. 7 paragraph 1).
Total staff strength - depending on space, and comes as part of the consideration in choosing a plant.
Total external production companies and power - low power - medium.
Customers - customers love the brand Porsche identify it with quality and prestige. Also known from surveys that customers expect of a Porsche SUV car. Target customers are willing to pay in advance to get a brand identified with quality and prestige, while Porsche will provide a quality car, not much bargaining power customers.
Total power of customers - low.
Substitute products - product substitution is a threat to SUV, is an increase trend of cost-effective small car consumes less fuel. It comes in a green trend, coupled with expectations of a rise in fuel prices could be a
We will use Porter's forces model to consider the attractiveness of the product market entry of vehicles - Luxury SUVs.
Existing competitors - most of the market share the SUV, the Porsche is in particular the United States. In 1998, there is fierce competition in the SUV in the U.S.. Beyond that, the more delicate segmentation of the product to market SUV Luxury cars, there is competition between the density of competitors.
Total power of existing competitors is very high.
Suppliers - suppliers can be divided into two types of Porsche. The first type that supplies workers (Labor) and the other is external and parts manufacturing companies. The first type of power supplies working up to the geographic location of the factory workers' organizations that exist there. The second type of supplier power is weak enough that you can switch between suppliers easily. Vision to take the case where vendors positioned themselves near the vehicle companies factories (p. 7 paragraph 1).
Total staff strength - depending on space, and comes as part of the consideration in choosing a plant.
Total external production companies and power - low power - medium.
Customers - customers love the brand Porsche identify it with quality and prestige. Also known from surveys that customers expect of a Porsche SUV car. Target customers are willing to pay in advance to get a brand identified with quality and prestige, while Porsche will provide a quality car, not much bargaining power customers.
Total power of customers - low.
Substitute products - product substitution is a threat to SUV, is an increase trend of cost-effective small car consumes less fuel. It comes in a green trend, coupled with expectations of a rise in fuel prices could be a