mngt350
MNGT350
Chapter
3 Homework
Yuwei Zhang, Han Yang
September 15, 2014
1. Review the principles of competitive advantage in Figure 3-7. Which types of competitive advantage has BOSU used to defeat copycat products?
Answer: BOSU has used some types of competitive advantages to defeat copycat products such as creating new products, locking in customers and buyers, establishing alliances with trainers and raising market entry barriers.
2. What role did information systems play in your answer to question 1?
Answer: Information systems play a significant role in BOSU’s success. BOSU uses database for email and postal correspondence so that it can create and maintain a close relationship with customers. This information system helps BOSU lock in customers, establish alliances, raise market entry barriers and reduce costs. By using Fitness Quest of trainer data, BOSU develops a crucial marketing strategy and gets a big success.
3. What additional information systems could Fitness Quest develop to create barriers to entry to the competition and to lock in customers?
Answer: There are many ways that could be used to create barriers to entry to the competition and to lock in customers. One way Fitness Quest can use is enhancing the products by using the information system. Fitness Quest can provide a chat room for BOSU buyers to express their opinions and feelings about BOSU trainers. Also, customers can track the specific workout information and share their fitness data to others in order to create a friendly competition. Furthermore, this way can build up the relationship between customers and trainers.
4. In the beginning, Fitness Quest had alliances with trainer sand its main competitor had alliances with major retailers. Thus, both companies were competing on the basis of their alliances. Why do you think Fitness Quest won this competition? To what extent did its success in leveraging relationships with trainers depend on information systems? On other
Chapter
3 Homework
Yuwei Zhang, Han Yang
September 15, 2014
1. Review the principles of competitive advantage in Figure 3-7. Which types of competitive advantage has BOSU used to defeat copycat products?
Answer: BOSU has used some types of competitive advantages to defeat copycat products such as creating new products, locking in customers and buyers, establishing alliances with trainers and raising market entry barriers.
2. What role did information systems play in your answer to question 1?
Answer: Information systems play a significant role in BOSU’s success. BOSU uses database for email and postal correspondence so that it can create and maintain a close relationship with customers. This information system helps BOSU lock in customers, establish alliances, raise market entry barriers and reduce costs. By using Fitness Quest of trainer data, BOSU develops a crucial marketing strategy and gets a big success.
3. What additional information systems could Fitness Quest develop to create barriers to entry to the competition and to lock in customers?
Answer: There are many ways that could be used to create barriers to entry to the competition and to lock in customers. One way Fitness Quest can use is enhancing the products by using the information system. Fitness Quest can provide a chat room for BOSU buyers to express their opinions and feelings about BOSU trainers. Also, customers can track the specific workout information and share their fitness data to others in order to create a friendly competition. Furthermore, this way can build up the relationship between customers and trainers.
4. In the beginning, Fitness Quest had alliances with trainer sand its main competitor had alliances with major retailers. Thus, both companies were competing on the basis of their alliances. Why do you think Fitness Quest won this competition? To what extent did its success in leveraging relationships with trainers depend on information systems? On other