Xerox: Adapting to the Turbulent Marketing Environment
1. The micro environmental factors that have affected Xerox’s performance since the late 1990s are technological, cultural, and economic forces. 2. Xerox’s performance in late 1990’s has been affected by microenvironment and macro environment factors which were the main cause of their financial downfall. There were 6 categories of macro environment factors but only 4 have given the large impact to Xerox’s. Macro Environmental factors;
The Demographic Environment
Customer or users were mostly from millennials era has better educations and skills based training. Changing of human behaviour affected working process and environment.
The Economic Environment
Customers required more reliable and better document management, Xerox can’t catch up with demand in market and not able to be compete in global economy. The rapid changes of technologies have turning markets and opportunities forces for innovation then created new economy.
The Technological Environment
The world has quickly going into digital documents and shared them electronically while Xerox was busy perfecting their copy machine. Technology has changed rapidly from one stand copy machine into multiple copies using nearby network printer. Sophisticated technology solution for documents management were critically needed especially to multinational companies
The Cultural Environment
Aligned with technology innovation that’s getting broader/ wider businesses demands business process to be faster. Copy machine were replaced by email or document sharing. By expending business of customers required more reliable and fast document management solutions.
3. By focusing on the business services industry, Xerox has pursuedthe best strategy. I think that by making this switch, they are, in a sense, making a more environmentally friendly step in their business. Xeroxing uses a lot of paper, which, in turn, uses up a lot of trees. With electronic copies on the rise, this shift toward the services industry will help cater more toward the public and their awareness of the environment. technology develops more rapidly and xerox doing change to meet the requirements customer in accelerating industry affairs. do this change xerox can get consumer confidence and thus benefit from the new strategy, Customer can save more time, money to use digital ducument in do business, This will keep them updated and will help them retain customers since they are concerned with people focusing “on what matters most—their real business” 4. In order to respond to the first signs of declining revenues and profit Xerox firstly renewed its focus on the customer. This is because before this Xerox only focus on copier hardware. Then before developing new product, Xerox firstly researchers for customer focus group called “dreaming with the customer”. This involving Xerox experts who know the technology with customer that is about how delighting the customer. Therefore they discover that understanding customers is just as important as understanding technology. In this strategy Xerox’s learns that customer didn’t want just copiers but they want the easier, faster, and less costly ways to share document and information. Therefore with this strategy, they could have potentially learned the information and might be competitive company in the market again. 5. In regards to Xerox’s current situation, some recommendations that I would make to Burns for the future of the company would be to, first, stay in touch with the public. Track trends of where companies are going and what they prioritize. Second, I would suggest that they research and try to develop an easy and convenient way of sharing information. Of course there is email, google docs, and many other types of companies that do the same things, yet all of these modes of communication have shortcomings. If Xerox could design an information sharing website or program that does not have the glitches that many of these other sites have, I think that would put them ahead of others and would solidify their desireto help people “focus on what matters most—their real business.”