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Motorola - Case Study Example

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A. Describe the salient opportunities and threats that exist in Motorola's external environment. Opportunities for Motorola are great and tremendous in the industry where it belongs. First, its best opportunity is its being the pioneer in its industry. This means having more windows of opportunities to be opened up for its business operation…
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Download file to see previous pages Furthermore, the increasing demand of products and services it offered from the start proves to be a remarkable opportunity in its part. This means that if this has to be applied in the present context, since Motorola has long been established in its industry, the opportunity is that it has the chance to cater the increasing and ever changing market needs. Another opportunity for Motorola is the vast demand for products and services it is in tune with at present. The existence of LG, Apple Incorporated, Nokia and other related companies is a proof that the industry where Motorola belongs is competitive and is a good venue to conduct business that will last for long. Apple Incorporated is known for its highly innovative products. This means that there are more things to be discovered in the industry where Motorola is engaged at present time. This means an opportunity for Motorola to discover and rediscover things on its own and introduce them to the market. The above mentioned opportunities are very important for Motorola. However, there are also corresponding threats that move against it. The first significant threat is a struggling economy. The 2008 economic downturn proved to be a remarkable threat in the case of Motorola. Economic condition is outside the bound of Motorola’s control and it definitely has significant impact on its part. Its financial stability has been quiet affected by this. This resulted to Motorola’s struggling mobile device business which further frustrates its stakeholders at the bottom line. Another significant threat is Motorola’s competitors. The varying strategic moves of Nokia, Samsung, Sony Ericsson Mobile Communications, LG Electronics, Apple Incorporated and others have tremendously created varying competitive advantage in Motorola’s industry. Each competitor is trying to create their own competitive advantage because they want to be a cut above the rest of the key players in the industry (Porter, 1990; Porter, 1998). For instance, the reason why Nokia was not completely harmed by the 2008 economic downturn was due to its ability to effectively use its strategic acquisitions, partnerships and industry leading in research and development. Apple Incorporated on the other hand is aiming to be the top and leading company of products in their latest innovation. LG anticipates customer needs. Samsung is very aggressive in its expansion into developing markets while enhancing strong brand awareness for its high end products. However, it did not overlook the fact that it needs to significantly manage its mid-to-low range products to cater a wide range of customers. It is important to consider that the competitors of Motorola are significant threats because they know what they need to do in the market and they are certainly good at creating strategies that will push them up to their competitive advantage. B. Describe the company's most prominent strengths and weaknesses. Motorola’s strengths involve its ability to understand fully the entire industry and the changing needs of the market. This is due to the fact that it is the pioneering company in its industry. Thus, it has remarkable ideas that could be turned into profit. It has sufficiently created a name and has long been established compared to its competitors. In this, there is no way that it could not surpass the competition. Thus, what it needs to do now is observed what the competitors ...Download file to see next pagesRead More
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