Who Is James Dyson and What Is the History of Dyson - Assignment Example

Corporate strategy Table of Contents Who is James Dyson and what is the history of Dyson 3 Discussion 4 Analyse the position of Dyson Ltd as compared to environment and competitors in UK market 4 Evaluate the most effective strategic option available with the organization 9 Recommend the strategic route and the methods for implementation of the chosen options 11 References 13 Introduction Who is James Dyson and what is the history of Dyson James Dyson is the founder of the organization of Dyson Ltd that came into existence in the year late 70’s. My Dyson started the company of Dyson Ltd with a small group of enthusiastic and energetic engineers in the garden shed. The united cooperation of all the engineers, positioned the organization of Dyson Ltd as a legendary brand in the segment of vacuum cleaners. The organization of Dyson Ltd recruited extremely talented researchers, who made use of the technology to develop daily life products that may offer better operations to the consumers. As a result of the development of these inventive vacuum cleaners, hand dryers, washing machine etc the level of frustration of the professional consumers reduced to a significant extent that improved the totals sale and demand of these products. This is the prime cause that enhanced the brand image and market share of the organization of Dyson Ltd in the entire globe among many other rival players such as Hoover, Electrolux and Panasonic etc. Hence, due to these above mentioned reasons, the organization of Dyson Ltd expanded to almost 55 countries in the entire globe within a very small span of time. This proved extremely beneficial for the organization that improved its revenue and profit by GB £ 1 billion and GB £ 115 million as compared to its rival contenders in the market of United Kingdom (Meyer, 2004, pp. 332-43). Thus, creativity and innovation enhanced the Wiltshire headquartered organization of Dyson Ltd of United Kingdom to expand its operations in the entire globe. Dyson at a glance Type Private organization Industry technology Founded 1991 Founder Sir James Dyson Headquarters Wiltshire of United Kingdom Key people Deirdre Dyson (deputy managing director) Products Vacuum cleaner, washing machine, hand dryers Revenue GB £ 1 billion Profit GB £115 million Employees 5200 Website Dyson.com Expansion 55 countries Discussion Analyse the position of Dyson Ltd as compared to environment and competitors in UK market Creativity and innovation acted as a boon for the organization of Dyson Ltd that improved its market share and popularity in the market of United Kingdom. Still its current position needs to be analysed with the help of SWOT analysis. Strengths: Unique engineering talents: the researchers of the organization of Dyson ltd comprises of unique engineering talents and skills within them. This is the prime cause that helped the organization of Dyson Ltd to develop varied types of inventive products and services. Due to which, the brand image and position of the organization of Dyson Ltd enhanced resulting in amplification of its reputation and market share to a significant extent. High-ended products: the products of Dyson ltd are extremely trendy in appearance and effective in operations such as Upright Vacuums. Upright Vacuum is a cyclonic pump that mainly captures microscopic dust particles and dirt thereby making the room entirely germ free. Moreover, it is extremely light-in-weight and so might be transferred from one place to another easily. Due to these causes, the demand and market share of the products of Dyson ltd is extremely high as compared to many of its rival players. Hence, due to the presence of these factors, the profitability and revenue of the organization of Dyson Ltd enhanced by almost 45 percent in the market of United Kingdom among others. Expansion in developed markets: in a very short period of time, the organization of Dyson Ltd expanded in numerous developed markets such as China, Malaysia, Singapore, Canada, United States, Japan and many others. This is one of the prime causes that improved the reputation and distinctiveness of the organization of Dyson Ltd. High concentration over quality: the organization of Dyson Ltd offers high concentration over quality so as to enhance its productivity and profitability. This might prove effective for the organization of Dyson Ltd to improve its brand image and market share in the market of United Kingdom among many other rival players. Weaknesses: Quality defects in mass production: in order to produce the products in huge way, the organization of Dyson Ltd had to face varied types of quality related defeats. Due to which, the reputation and profit margin of the Dyson Ltd reduced to a significant extent that declined its total sale and brand value. Loss of customer loyalty: due to quality related defeats, the loyalty and reliability of the customers reduced that affected its sustainability and market value to a considerable extent. As a result, the brand image and dominance of the organization of Dyson Ltd declined that reduced its effectiveness in the market of United Kingdom among many other rival players. Opportunities: Introduction of inventive product lines: the organization of Dyson Ltd became successful in presenting varied types of inventive product lines that may reduce the frustration of the customers. It might be possible only due to its high-tech operations that enhanced its demand and profitability in the market of United Kingdom as compared to many other rival players. High concentration over research and development processes: the organization of Dyson Ltd offered high level of attention over research and development operations. This is done, in order to amplify its demand and popularity in the market of United Kingdom as compared to many other contenders. Threats: High bargaining power: due to the presence of numerous suppliers, their bargaining power is extremely high. Due to which, the organization had to purchase the raw materials for the products at a quite high cost among others. As a result, a huge portion of profit margin and net income is wasted in this regard, as compared to many other rival players (Li, 2007, pp. 296-318). High competitive rivalry: due to the presence of numerous rival players, the competitive rivalry is extremely high. As a result, in order to retain the dominance and brand image of the organization of Dyson Ltd, it is extremely essential to introduce varied types of inventive features and techniques. Only then, the organization might enhance its customer base and profitability in the market of United Kingdom among many other rival contenders. Moreover, due to introduction of varied types of new features, the demand and profit margin of the products of Dyson Ltd might get enhanced to a considerable extent to a considerable extent. After completion of the evaluation of micro environment of Dyson Ltd, the macro environment is analysed with the help of PESTEL analysis. Political: due to low tariff rates and tax polices within the market of United Kingdom, the demand of the products of vacuum cleaners, hand dryers, bladeless fans etc is extremely high. Due to which the brand image ad profitability of the organization of Dyson Ltd increased resulting in amplification of its net income and total sales. Economic: due to extreme consciousness for health, the citizens of United Kingdom tried to purchase high-tech products of Dyson Ltd resulting in amplification of its profit margin and demand of these products. As a result, the popularity and dominance of the products of Dyson Ltd increased that improved its market share and reliability to a considerable extent (Mathews, 2002, pp. 467-488). Social: now a day, maximum extent of the individual desire to accomplish their works in a very small period of time. Due to which, they also desired to accomplish high-ended products such as vacuum cleaners, hand dryers etc that amplified their demand and popularity in the market among others. Technological: as the products of Dyson Ltd comprised of high-ended technologies, so it may reach each and every end of the residences. As a result, the products of Dyson ltd might easily clean-off the entire residence without keeping any dirt in any corner. So, the preference and demand of these machines are extremely high in the market as compared to many other rival players (Luo & Tung, 2007, pp. 556-565). Environmental: as the products of Dyson Ltd do not offer any sort of green house gases into atmosphere, so it is highly preferred by the customers of United Kingdom as compared to others. Due to which, the demand and dominance of the products of Dyson Ltd is extremely high within the minds of the customers of United Kingdom among many other rival players. Legal: Dyson Ltd functions within the market of United Kingdom, as per its regulations. So its market value and brand share is extremely high among many other rival players. Therefore, after evaluating both internal and external environmental conditions of Dyson Ltd, it might be depicted that its demand and profit margin increased mainly due to its unique engineering talents, high concentration over research and development as well as implementation of high-ended technologies. Hence, it proved extremely worthy for the organization of Dyson Ltd thereby amplifying its brand value and reputation in the market of United Kingdom among others. Due to which, its opportunities enhanced but threats reduced to a significant extent (Keegan, 2002, pp. 775-786). Dyson and Competitor Analysis Hoover, Electrolux and Panasonic include a dominant image and popularity in the market of United Kingdom as compared to Dyson Ltd. Hoover captured the attention of the customers due to its high-ended technologies. This acted as a boon for the organization that amplified its profit margin and revenue to a significant extent. Other than Hoover, Panasonic also positioned itself as a reliable and reputed organization, offering qualitative products at affordable prices (Kotler, 1998, pp. 443-453). Similarly, Electrolux improved its market share and distinctiveness by presenting inventive products as per the changing requirements of the customers. Due to which, it is highly preferred by the customers of the nation of United Kingdom as well as many other emerging countries such as Japan, China, United States etc. Evaluate the most effective strategic option available with the organization With the help of service marketing mix or 7p’s, the strategic option of the organization of Dyson Ltd may be evaluated. Product: each and every products of Dyson Ltd such as Uprights, Barrels, Handstick, Handheld and many others comprise of inventive technologies and high-ended materials in order to accomplish the desired tasks in an effective way. Due to the presence of these technologies, the demand of these materials is extremely high in the market of United Kingdom as compared to many other rival players (Kotler & Keller, 2012, pp. 987-990). Price: the organization of Dyson Ltd utilised the concept of differentiated pricing for the sale of its products. This means, the price of vacuum cleaners is quite high as it comprised of varied types of features but the pricing policy of other products is quite different for vacuum cleaners (Kolb, 2008, pp. 543-555). Place: the availability of the products of Dyson Ltd is extremely high in both brick and mortar as well as in online sites such ebay or Amazon. This is another effective cause that improved the brand image and dominance of the products of Dyson Ltd in the market of United Kingdom. Promotion: the organization of Dyson Ltd always tried to improve the brand image and value of the product lines by offering high concentration over social media sites such as face-book, twitter, linked in etc. By doing so the profitability and total revenue of the organization of Dyson Ltd increased significantly among others. People: the organization of Dyson Ltd also tried to recruit highly experienced and creative engineers for their team. Only then, the organization might become successful to present varied types of inventive products and services to its customers (Gupta, 2004, pp. 779-801). Process: the customer service executives of the organization of the Dyson Ltd always tried to offer effective services to its customers so as to retain their reliability and loyalty over the brand within the market of United Kingdom (Johansson, 1997, pp. 879-888). Physical evidence: in order to present a unique shopping feeling, the retail outlets of the organization of Dyson Ltd is prepared in similar way. Only then, it might amplify its position and image in the market of United Kingdom among many other rival players (Guillén & García-Canal, 2012, pp. 665-676). Hence, it might be stated that the most suitable option for the organization of Dyson Ltd is improvement of the features of core product and potential product. Dyson Ltd tries to manufacture, light weight and easily handled vacuum cleaners. For example: DC07 animal is a perfect example of modern and light weight devise that may be transferred very easily from one place to another (Hill, 2010, pp. 145-156). Moreover, DC07 is prepared with polycarbonate ABS, efficiently engineered machines. On the other hand, the potential features such as cyclonic devise to capture dirt easily, with filtration technique such as HEPA, rotating brushes along with an additional hose and a 4 litre bag capacity. Implementation of these features might enhance the demand and brand image of the product lines of the organization of Dyson Ltd that may amplify the profit margin and total sale in the market of United Kingdom among many other rival players (Drummond & Ensor, 2006, pp. 556-567). Recommend the strategic route and the methods for implementation of the chosen options In order to amplify the sustainability and competitive advantage of the organization of Dyson Ltd, the most important strategy is innovation (Porter, 2008, pp. 245-256). By implementing this strategy, the organization might become successful in offering products with various inventive features such as radical cyclone technology, HEPA layers, and ball technology. Filter cage and many others in order to retain the dominance and supremacy in the market among other rival players (ESOMAR, 2008, pp. 453-465). By doing so, the organization of Dyson Ltd might become able to attract a wide range of customers of varying age-groups and income groups that may increase its profitability and market share. Other than this, by implementing varied types of modern technologies, the organization of Dyson Ltd might become successful to cope up with changing demands and requirements (Bradley, 2007, pp. 323-344). This might prove effective for the organization to amplify its dominance and portfolio in the market of United Kingdom as compared to many other rival players such as Hoover, Electrolux, Panasonic etc (Grant, 2005, pp. 772-782). Other than this, with the help of this strategy, the organization of Dyson Ltd might retain its competitiveness and brand value in the market of United Kingdom in future era. The strategic route: Improvement of competitive advantage Improvement of Sustainability The most important requirement of any organization operating in any segment is to amplify the revenue and profitability in the market. However, in order to do so, the most important tactic for the organizations operating in the segment of technology, is innovation. By introducing varied types of modern and trendy techniques within the product lines, the demand and market share might get enhanced (Beall, 2010, pp. 232-244). Along with this, due to the introduction of varied modern techniques, the range of customers might be enhanced to a significant extent that may enhance the productivity and total sale of its products of Dyson Ltd in the market of United Kingdom. This might enhance the profitability and productivity of the organization of Dyson Ltd in the market of developing countries as compared to other rival contenders (Johnson & et.al. 2011, p. 115). Thus, it might be clearly depicted that, in order to amplify the sustainability and competitive position of the organization of Dyson Ltd, innovation is the most essential strategy. This is because; by implementing varied types of new techniques, the changing needs and demands of the customers might be satisfied effectively resulting in amplification of its profitability and total sales (Pride & Ferrell, 2004, pp. 123-134). References Beall, A, E. 2010. Strategic Market Research: A Guide to Conducting Research to solve problems. Boston: Harvard Business School Press. Bradley, N. 2007. Marketing Research: Tools & Techniques. New York: McGraw-Hill. Drummond, G. & Ensor, J. 2006. Introduction to Marketing Concepts. New York: Cengage Learning. ESOMAR. 2008. Market Research Handbook. London: Sage. 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