Number of Pages: 5 (Double Spaced)
Writing Style: APA
Number of sources: 7
Complete the remaining steps of the comprehensive written analysis.
1.Specifically prepare any two of the following matrices to justify the strategies
?SWOT Matrix, SPACE Matrix, BCG Matrix, IE Matrix, Grand Strategy Matrix and QSP Matrix
2.Discuss the advantages and disadvantages of at least of two alternative strategies.
3.Recommend specific strategies and objective for the firm to follow over the next 3 years. Include an itemized estimate of costs for each year.
4.Compare and contrast your recommendations to the actual strategies planned by the company.
5.Specify how your recommendations can be implemented and the results you expect. Include a recommended timetable for the action items you are suggesting.
6.Explain in detail how you will review and evaluate the success of the strategies you recommended.
Original Paper:
Introduction
Founded in 1984 by Mike Lazaridis, as Research in Motion (RIM), BlackBerry Limited is a Canadian company that specializes in the production of telecommunication devices. The company manufactures smartphones and tablet computers. BlackBerry is famous for its BlackBerry smart phone. During the last decade, BlackBerry was the most dominant company in the smartphone market. In 2010, the company had a market share of 43% in the U.S. market. However, the company?s fortunes have declined significantly within the last 3 years. This is due to stiff competition from Apple?s iPhone and Google?s Android mobile operation system. This has reduced the market share of the company significantly. By 2013, the company market share in the U.S. smartphone market was 3.8%. During the second quarter of the company?s fiscal year 2013, the company reported losses of almost $1 billion. This forced the company to reduce more than a third of its workforce (Austen, 2013).
BlackBerry?s Objectives and Strategies
BlackBerry?s early marketing strategy focused on portraying the product as a business device. It provided business people with secure means of accessing and sending e-mails and text messages. However, the company was unable to adapt to change in the market trends during the second half of the last decade. This made the company lose its competitiveness in the market. Apple successfully launched the iPhone by responding to the changing trends in the market. BlackBerry?s current marketing objectives strive to portray the product as more than a business device (Ferrell & Hartline, 2012).
Outsourcing a sizeable percentage of production operations to foreign locations is one of the major factors that changed the landscape of the industry. Outsourcing enables companies to reduce their cost of production. However, BlackBerry was unable to change its operations to conform to the changing trends. BlackBerry continued to produce a sizeable percentage of its activities to in Canada; therefore, it had high costs of production. This reduced the profit margin an.
Fostering Friendships - Enhancing Social Bonds in the Classroom
Number of Pages 5 (Double Spaced)Writing Style APANu.docx
1. Number of Pages: 5 (Double Spaced)
Writing Style: APA
Number of sources: 7
Complete the remaining steps of the comprehensive written
analysis.
1.Specifically prepare any two of the following matrices to
justify the strategies
?SWOT Matrix, SPACE Matrix, BCG Matrix, IE Matrix, Grand
Strategy Matrix and QSP Matrix
2.Discuss the advantages and disadvantages of at least of two
alternative strategies.
3.Recommend specific strategies and objective for the firm to
follow over the next 3 years. Include an itemized estimate of
costs for each year.
4.Compare and contrast your recommendations to the actual
strategies planned by the company.
5.Specify how your recommendations can be implemented and
the results you expect. Include a recommended timetable for the
action items you are suggesting.
6.Explain in detail how you will review and evaluate the
success of the strategies you recommended.
Original Paper:
2. Introduction
Founded in 1984 by Mike Lazaridis, as Research in Motion
(RIM), BlackBerry Limited is a Canadian company that
specializes in the production of telecommunication devices. The
company manufactures smartphones and tablet computers.
BlackBerry is famous for its BlackBerry smart phone. During
the last decade, BlackBerry was the most dominant company in
the smartphone market. In 2010, the company had a market
share of 43% in the U.S. market. However, the company?s
fortunes have declined significantly within the last 3 years. This
is due to stiff competition from Apple?s iPhone and Google?s
Android mobile operation system. This has reduced the market
share of the company significantly. By 2013, the company
market share in the U.S. smartphone market was 3.8%. During
the second quarter of the company?s fiscal year 2013, the
company reported losses of almost $1 billion. This forced the
company to reduce more than a third of its workforce (Austen,
2013).
BlackBerry?s Objectives and Strategies
BlackBerry?s early marketing strategy focused on portraying
the product as a business device. It provided business people
with secure means of accessing and sending e-mails and text
messages. However, the company was unable to adapt to change
in the market trends during the second half of the last decade.
This made the company lose its competitiveness in the market.
Apple successfully launched the iPhone by responding to the
changing trends in the market. BlackBerry?s current marketing
objectives strive to portray the product as more than a business
device (Ferrell & Hartline, 2012).
Outsourcing a sizeable percentage of production operations to
foreign locations is one of the major factors that changed the
landscape of the industry. Outsourcing enables companies to
reduce their cost of production. However, BlackBerry was
unable to change its operations to conform to the changing
trends. BlackBerry continued to produce a sizeable percentage
3. of its activities to in Canada; therefore, it had high costs of
production. This reduced the profit margin and competitiveness
of the company. BlackBerry?s current strategy strives to reduce
its costs of production. The company has partnered with various
foreign companies for the supply of various products. It
outsources the design and production of its products to Asian
companies. In addition, the company has developed strategies
that will enable it highly skilled employees who would be able
to design innovative products rapidly (Gillespie, 2013). This
strategy would enable the company to improve its
competitiveness.
How BlackBerry may take advantage of opportunities and
counter threats
During the latter part of the last decade, technological
advancements led to rapid growth in cloud computing services.
Cloud computing enables an entity to access files and
applications that are hosted by another party over the internet.
Cloud computing reduces the need for companies to buy
expensive computers or software applications. Companies that
provide cloud computing services must ensure that there
systems are very secure. Breach of the security of the systems
would put highly sensitive client?s information at risk. The
breach may have great repercussions on the company. Analysts
expect the market to be worth at least $240 billion by 2020.
BlackBerry can tap into this market to improve its profitability.
Prior to the entry of Apple into the market, BlackBerry was
popular due to the high security of its messaging application.
The company may use the reputation of its messaging
application to venture into the cloud computing industry. The
company may make the application be compatible with devices
that use other mobile operating system. The ability to provide
high quality services may elicit customer?s interest on other
products of the company. In so doing, the company may
increase customers of other products (Boone & Kurtz, 2013).
The smartphone industry is characterized by rapid technological
changes. Therefore, companies must ensure that they release
4. new products rapidly. Companies that introduce new, innovative
products have a likelihood of succeeding in the highly
competitive industry. Blackberry?s inability to develop
innovative products rapidly is the major factor that led to the
dwindling of its fortunes. BlackBerry?s management system
limits it from developing new, innovative products rapidly. The
company may consider outsourcing certain production
operations. This strategy would reduce the cost of developing
new products. The ability to develop new innovative products in
a cost-effective manner would enable the company gain a
competitive edge over other companies in the industry (Ferrell
& Hartline, 2012).
CPM Matrix for Blackberry
BlackBerry Samsung Apple
Critical success factors Weighted score Rating Weighted score
Rating Weighted score Rating Weighted score
Market share 0.1 3 0.3 4 0.4 4 0.4
Price 0.1 3 0.3 4 0.4 3 0.3
Financial position 0.14 2 0.28 4 0.52 3 0.42
Product quality 0.14 4 0.56 4 0.56 4 0.56
Consumer loyalty 0.14 2 0.28 3 0.42 4 0.56
Advertising 0.08 3 0.24 2 0.16 3 0.24
Management 0.07 3 0.21 4 0.28 3 0.21
Global expansion 0.07 2 0.14 3 0.21 4 0.28
Innovation 0.16 2 0.32 3 0.48 4 0.64
Total 2.63 3.47 3.61
Analysis of BlackBerry?s CPM Matrix
According to the CPM matrix, Apple is in the top position in
comparison to BlackBerry and Samsung. Apple has a strong
brand image, which enables it capture a large market share. This
is despite the fact that the company?s products are more
expensive than Samsung?s. Samsung also has a large market
share since it offers various products at a low price. Samsung
and Apple have huge financial reserves that improve their
competitiveness in the market. Apple?s customer loyalty gives
5. it a competitive edge over Samsung and BlackBerry. Therefore,
it poses the greatest threat to BlackBerry.
EFE Matrix for BlackBerry
Key external factors Weight Rating Weighted score
Opportunities:
Rapid growth of advertisement via mobile devices 0.1 3 0.3
Rapid growth potential of cloud based services 0.12 4 0.48
Acquisitions would enable BlackBerry get patents 0.15 4 0.60
Rapid growth of the smartphone market in developing countries
0.1 3 0.3
Increased market for mobile applications (Apps) 0.1 4 0.4
Threats:
Rapid changes in technology in industry 0.15 4 0.60
The smartphone market in developed countries is highly
saturated 0.1 3 0.3
Inability to attract highly skilled employees 0.1 3 0.3
Stiff competition from Apple?s iPhone and Android mobile
devices 0.08 4 0.16
Total 1.0 3.6
Analysis of BlackBerry?s EFE Matrix
According to the EFE matrix, BlackBerry has a weighted score
of 3.6. This is above 2.5, which is the average of companies in
the telecommunications industry. Therefore, if BlackBerry takes
advantage of its available opportunities and avoids its threats it
would improve its competitiveness in the industry. The
company should develop strategies that would enable it develop
innovative products at a rapid rate. In addition, the company
should strive to venture into the smartphone market in
developing countries.
Conclusion
BlackBerry was the most popular smartphone manufacturer
during the first half of the last century. However, failure to
adapt to the changing market trends reduced the company?s
competitiveness. The company has adopted several marketing
strategies in an effort to regain its previous market dominance.