LifeStyle Lift Company - Essay Example

LifeStyle Lift Company LifeStyle Lift Company LifeStyle Lift Company faces competition from other companies selling similar products. The chief market rivals of the company include Lazer Lift, Private Practitioners and Ideal Image, which all sell products that compete for the same market as those of LifeStyle Lift. LifeStyle Lift Company operates in a localized industry, hence faces no foreign competition. Having established strong presence in the industry, LifeStyle Lift Company has a huge number of workers across the country, which would make it costly for the company to quit the industry.

The buyers in the market where LifeStyle Lift Company operates have high influence on prices because they have high bargaining power. LifeStyle Lift Company operates in an industry characterized powerful buyers. The company’s target market is mainly women aged between 50 and 70 years. LifeStyle Lift’s buyers are highly responsive to product price, credibility, quality as well as accessibility. High insurance cost in the industry makes it difficult for buyers to switch from one firm to another.

In order to minimize the threat of high bargaining power of buyers, the company can offer excellent customer service and ensure high transparency in its operations.LifeStyle Lift Company needs to establish competitive advantage over its rivals in order to do business successfully. It needs operation precision machinery and operation tools that can ensure efficient and effective service delivery to customers. There are few medical companies supplying LifeStyle Lift with the resources it needs to serve its target market effectively.

Few suppliers in the industry mean high supplier bargaining power and hence high product prices. Currently, the company is more focused on the prices of its products rather than quality. However, it is difficult for companies in the industry to change suppliers because the business is more specialized.Some of the barriers to entry in LifeStyle Lift’s market segment include insurance and legal requirements, which are both financial and regulatory. However, the barriers to market entry are not meant to discourage foreign firms from invading the local markets and hamper global growth of the industry.