It can be defined as a business environment with a majority

Assignment Help Marketing Management

Reference no: EM13391030

It can be defined as a business environment with a majority of small, geographically dispersed firms. There are no market leaders, nor is there is a firm that has to power the shape the industry. The organizations in fragmented industry operate in a perfect competition market structure; there will not be entry barriers and exit barriers except few legal and government rules and regulations.

Example: Healthcare Industry, Hotels and Auto repair centers, firms manufacturing

The advantages of operating in fragmented industry are no big players, low entry barriers, investment is low, and the differentiation strategy can be implemented to over the competition. There are also few limitations to operate in the fragmented industry but they can be solved in the following way:

Customer Relationship Management: Strong customer relationship should be maintained to meet the customer requirements to improve customer retention.

Branding: Private labeling or branding should be used to increase the product image.

Quality: The success of smaller firms operating in the fragmented industry completely depends upon the quality policy of the firm.

Increase vertical integration: The organization operating in fragmented industry should consider vertical integration rather than horizontal integration.

Specialization: The firm should continuously improve the customer satisfaction level with its specialized products which delight customers. The product specialty should be benchmarked with top brand in the industry.

Cost Cutting Techniques: The firms should concentrate on cost cutting tools and techniques to increase the profit rather than price increasing of the product.

Technology: The latest technology can be adopted and learned by the organization to improve the productivity of the organization.

Reference no: EM13391030

Questions Cloud

Refer to problem 61 assume that the three patient services : review the walk-in clinic data presented in problem 5.5. construct projected pro?not?t and loss statements at volume

Describe the strategic importance of customer relationship : describe the strategic importance of customer relationship management crm and discuss how crm can be used to create

Analyze the pricing strategy relative to the companyrsquos : you created a fictional start-up company entering a foreign non u.s. market with a good or service. here you will

An analysis of a company using data from its annual report : an analysis of a company using data from its annual report. using the concepts from this course you will analyze the

It can be defined as a business environment with a majority : it can be defined as a business environment with a majority of small geographically dispersed firms. there are no

Strategic planning is essential in the sustainability of : strategic planning is essential in the sustainability of all healthcare organizations. outline the processes or steps

For your final paper write a reflection paper based upon : for your final paper write a reflection paper based upon the information that you have learned throughout this

There are three 3 important factors affecting the choice of : 1q. describe the three 3 generic types of possible survey methods as well as a fourth option online surveys.2q. what

What are seven important factors that need to be : 1. what are seven important factors that need to be communicated in a written research report?2. discuss five 5 problem

User Account

All Pages