What factors will constrain the growth potential of Dyson and Center Parcs now that they are well- established enterprises in their respective sectors? How appropriately are their strategies responding to these constraints?
What will be an ideal response?
Both companies have benefitted from premium prices justified to their (loyal) clienteles by their past
innovativeness. Dyson invests a substantial part of its profits in developing and commercialising new
innovations, thereby opening prospective markets in ways that are harder for Center Parcs to
emulate. However, the predations of copycat competitors are undoubtedly constraining the growth
potential in their respective, established markets, with a potentially negative impact on profitability.
They can respond either by seeking to reduce costs and to the degree the judge necessary, lower
prices, or by repositioning themselves further upmarket, which risks volume loss but potentially
greater profitability. Another option is to employ sophisticated market segmentation. Center Parcs
operates a complex location and time-based booking system. Dyson now presents products adaptedto narrow segments, such as smaller cleaners for flat dwellers with little storage space. Although
difficult to achieve cost-effectively, either one might decide to introduce a second brand to market
products that tackle budget competition more directly.
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On December 31, Winters Company received a $385 bill for the purchase of supplies in December that it will not pay for until January 15. Winters follows a policy of recording all prepaid expenses to asset accounts at the time of cash payment. The adjusting entry needed on December 31 to accrue this cost is:
A. Debit Accounts Payable $385; credit Cash $385. B. Debit Accounts Payable $385; credit Supplies $385. C. Debit Supplies Expense $385; credit Cash $385. D. Debit Supplies $385; credit Accounts Payable $385. E. Debit Supplies Expense $385; credit Supplies $385.
______ variations are wave-like oscillations in demand about the trend line caused by changes in economic or business cycles or due to changes in political conditions.
A. Cyclical B. Seasonal C. Irregular D. Random
Organizations can lock in suppliers either by making it difficult to switch to another organization or by ________.
A. increasing the complexity of their products B. reducing investments in their supply chain C. making it easy to work with the organization D. increasing the margin on their products E. reducing the bargaining power of consumers
Describe cyberterrorism and how to at least control its impact.
What will be an ideal response?