1. How strong are the competitive forces confronting Blue Nile and other online retail jewelers? Do a five-forces analysis to support your answer. If you were to forecast the future‚ what would this analysis look like in 10 years? Potential entrants: Major online retailers‚ major jewelers‚ Village Silversmith Current Competitors: Ice.com‚ Gemvara‚ Diamond.com‚ Jamesallen.com‚ Astley Clarke Substitutes: Smaller/local Jewelry stores Buyers: Couples to be engaged Suppliers: Diamond mines‚ precious
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Blue Nile Case Questions 1. How strong are the competitive forces confronting Blue Nile and other online retail jewelers? Which one of the five competitive forces is the strongest? Do a five-forces analysis to support your answer. The competitive forces that are confronting Bule Nile and other online retail jewelers are strong. The threat of new entrants is high because the brick-and-mortar stores have a low cost of entry into the online retail of their jewelry. The threat of substitutes is
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Blue Nile Case Study 1. How strong are the competitive forces confronting Blue Nile and other online retail jewelers? Do a five-force analysis to support your answer. The competition among the competing sellers in the industry is strong. Competitors for Blue Nile not only include the online jewelry sellers such as Diamonds.com‚ Whiteflash.com‚ Ice.com and JamesAllen.com‚ but also include brick-and-mortar jewelers‚ chain department stores‚ mass merchants‚ local jewelry shop‚ and large jewelry
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Ashesi University College Competitive Strategy Course Code: BUSA 405 Semester One: 2010/2011 Marking Scheme Mid Semester Exams Lecturers: Anthony Ebow Spio and Robert Ahomka-Lindsay Section A (40 Marks) Provide Short and concise answers 1 Explain the term sustainable competitive advantage and why it is so important to a winning business strategy. (5 marks) Suggested Answer A company achieves sustainable competitive advantage when an attractive number or buyers prefer its products/services
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based on Blue Nile‚ a leading online jewelry retailer’s performance in inventory management‚ supply chain corporation‚ customer service and support. By analyzing the main competitive forces‚ weakness was pointed out. There is a detailed problem statement discussing the weakness and reasons are listed. The analysis of Blue Nile’s competitive forces is also a strong evidence of their negligence in a field of market. The term of generic strategy is used in the analysis of competitive forces for better
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Introduction “The Blue Nile was incorporated Delaware on March 18‚ 1999 as RockShop.com Inc. On May 21‚ 1999 the company purchased certain assets of Williams & Sons‚ Inc a Seattle Jeweller including a website established by that business. In June 1999‚ they changed their name to Internet Diamonds‚ Inc. In November 1999 the Blue Nile brand was launched and changed to Blue Nile‚ Inc with corporate head office located in Seattle‚ Washington USA. Blue Nile.com (2008) The Blue Nile “business has grown
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Blue Nile Inc. Strategy 2011 Blue Nile Inc. Strategy 2011 Introduction In 2009‚ the U.S. jewelry and watch market was 42% of the worldwide market‚ which was estimated to be as much as $140 billion. Industry revenues had grown 5.5% annually for the 20 years prior to the recession in 2008. Despite the recession and intense competition in this highly fragmented market‚ Blue Nile Inc. (NILE) capitalized on the industry growth rates and grew to become the world’s largest online
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one of the world’s leading markets. Blue Nile was considered the largest online jeweler. Sanjay and Amy Bhargave were on the market for an engagement ring. After their disappointing experience of shopping for a ring in New York City and in the local jewelers in their hometown‚ one of Sanjay’s clients suggested for the couple to visit Blue Nile’s website. After the great length Sanjay subjected himself to the diamond purchase process and with the help of Blue Nile’s diamond consultant‚ he finally
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SCM44 Case Study Cheng Gong 1. What are some key success factors in diamond retailing? How do Blue Nile‚ Zales‚ and Tiffany compare on those dimensions? Blue Nile has an obvious advantage in product variety and product availability since customers can “build their own ring” by choosing from an inventory of about 75‚000 stones online. The Tiffany brand is very strong and well established. It is associated with glamour‚ luxurious‚ trust‚ and customer service. So Tiffany can get higher margins than
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Case 7 Blue Nile inc. Discussion questions 1. The diamond and fine jewelry industry was very competitive. Market share was divided between locally owned brick and mortar stores‚ retail chains‚ big box stores like Costco and online retailers. Which made The rivalry between competing sellers the strongest of the competitive forces in the industry. Buyer bargaining power: very strong Strengths -Buyers incur a low cost of switching (they can purchase jewelery anywhere with no cost. -Buyers are
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