MGT 406 weblog

Sony's New Websit

2006-04-30T10:19:00.000-07:00

To introduce itself in a much better way, Sony made a big deal with a Dubai passed company called Omnia to design a new MP3 walkman website. This deal’s aim is to attract new customer here in the Middle East region. The website lunched recently in English and the Arabic version will be lunched soon. Sony’s expectation is to create that website so that it can reach it Middle East’s audiences easily using that site as a link that connect them with each other. This strategy will allow Sony to update its customers with the latest issues about the brands and make easy for them to gain access to the company’s products. The website is considered a strategic resource that Sony built in a fashionable, easy to use and in tune with the teenagers of today. Sony will be able to attract many new customers with this technique because the company’s major challenge was finding an excellent way to communicate with a mixture of local people and expatriates, but with the lunching of the new website the problem was solved and Sony became able to communicate with the locals through the Arabic version and with other nationalities using the English version. Using the website to maximize their benefits, Sony Succeed in building and improving a relationship with the audiences in the Middle East area, also Sony established a new one to one communication system with its customer by keeping tracks of the customers’ information on a database system. By doing this, Sony will be able to develop a better understanding of the habits of that sector and its behavioral patterns. Also, Sony lunched many new MP3 walkmans in the market besides opening the new website as a part of a marketing campaign in order to introduce its products to the new customer and to enhance the relationships between the company and its new target.

Tata Motors' New Car

2006-04-30T09:42:00.000-07:00

The main goal that Tata motors is trying to build a new low priced car that will become the cheapest care in the industry because it one of the fastest growing industry in today’s business. To compete aggressively with other competitors, Tata motors are seeking to find a cheap place for its plants and to cut costs by using new materials. They also should build a strong brand name and provided the market with different and unique car to create basis for differentiation so that they can gain a competitive advantage over other competitors. Tata motors put under consideration that producing such a cheap car will increase the value of these cars, and that is why they are expecting to sell $1,000,000 units in the first three years which will raise the revenues of the firm. This new car is a strategic recourse that Tata will supply to the market where nobody else from the competitors owns. The price of the car will be 100,000 rubies (1,250 pounds), this price is classified as a low price compared to other cars’ prices, and people in India are going to purchase this car instead of the motorcycles and scooters they are using currently. The increase in the demand for this car will lead the company to think in many direction of how to improve their relationships with the customer and that s what Tata motors are trying to reach, to built and maintain a healthy customers’ relationships beside their main goal of improving the quality of their products. Delivering the new car will be one of the most important concerns for Tata motors. Since satisfying the customers is very hard, Tata is trying to improve their value network and make the new car very accessible to million of Indians people who will try to purchase the car. Following this new strategy may put Tata motors in a very dangerous situation because many people said that the new car won’t be safety, otherwise Tata may become the leader of the car industry in India.

Dubai's Investments In The United States

2006-04-29T20:37:00.000-07:00

After the revel of another contract that Dubai made with the U.S navy, many people start talking about the policy that the U.S government is following in dealing with other countries that are trying to invest in the U.S. Now Dubai is trying to get a deal from the U.S government to have a control over the U.S ports, but what the Time magazine published was a deal made between a British company called Inchcape Shipping Services (ISS) and Dubai government, where Dubai government bought the ISS for $285million. The ISS is operating more than a dozen ports cities in the U.S, and it signed a new contract with the U.S navy that worth $50 million. Dubai government is facing many non market issues that may lead to giving up the new deal to take control of the U.S ports. These issues are what people said about the bombing of Cole and that the attacked happened after leaving Aden port by three hours, and giving Dubai the right to see some confidential information will make it easier to terrorist to gain this information. Another issue is that some people think that the U.S government should not give the control of its ports to strangers especially from the Middle East region because that might threaten the national security of the United States. The main interest group is the U.S people and some other political people, also many other active groups that are against the deal. The institutions involved in this case are the congress that gave the approval for the old deal and will give the approval for the new one, also some political institutions that are thinking of giving Dubai the opportunity to threaten the national security of the U.S. All the information are provided in the media and as reports published by the institutions that are against the deals.

The War Against Bloggers

2006-04-29T20:35:00.000-07:00

After the huge increase in the number of blogs and online journals that are published everyday in the web, many big companies were attracted to this new phenomenon and try to apply it in their business strategy as a new way to connect with their customers. What preventing these huge businesses from doing this, as lawyers said, are some non market issues deal with the possible legal pitfalls. These issues are considering the publishing of wrongful information about the company and its products; also it may contain a leak of confidential information about the company’s financial states or trade mark secret for example. Furthermore, employees could use these blogs to publish defamatory statements that will give others the right to sue the company. The interest parties in this case are the employees of the companies who are writing blogs and they considered the main interest group. Also we can classify the people or businesses that are affected by these blogs as a second interest group. Many employees were fired due to their blogs and what the writ on it. The institutions engaged in these issues are the workers unions that faced huge problem because of firing their member due to these blogs, also the court legal system that many people may use to sue others because of their writings. The information can be found in the reports of the companies about the employees and their performance. Also, the blogs itself can be considered as a source of information beside the media that will publish all the information about the case. Some legal institutions such as the law firms will release many information in the form of articles or journals, also the courts decisions and evidence could be source of information. So the information about the challenge that is facing blogs can be collecting easily.

Al Maya group wants to expand

2006-04-29T20:33:00.000-07:00

Al Maya group are currently operating 30 retail stores including 15 supermarkets. Now they are planning to open 10 more retail stores in their plans to expand and to control the market. To compete with other firms, Al Maya is trying to maintain their strong brand name by their expansion and by providing the market with unique product and services to build good basis of differentiation. The expansion to Europe exactly in Poland is a new strategy of getting out of the UAE and start to compete with others there. Al Maya had put in mind that opining 10 more retail stores will increase the value of their products and services which in returns will increase their sales as they witnessed a 100 per cent increase in sales year after year. These new stores are new strategic resources that Al Maya owns, and they can be considered as new capabilities that no other competitor has. Moreover, after the increase in the prices of oil people started to think that driving to malls, where hypermarkets are located, will cost them a lot and they wont be able to find parks, and that’s why Al Maya are expanding to fulfill the demands for their products and make it easy to the customers to reach their supermarkets. By owning 25 supermarkets all over the UAE customers won’t pay much for gasoline and Al Maya will improve the quality of customers’ relationship. Al Maya and Lal’s were one group called Al Maya Lal’s group and they were controlling the retail sector in the UAE and resisting the hypermarket sector, and that’s what helped the Al Maya group to stayed strong in the market after splitting. They gained enough experience to be successful and remain in the retail market segment.

Google Vs. Yahoo

2006-03-20T01:28:00.000-08:00

Google and Yahoo considered the most powerful engine searches over the web. So they are trying very hard to get rid of each other using all the possible ways. Lately both companies are trying to win a deal the will allow them to change the old media of the world, and if anyone of them did this step, then the company will be distinguished as the bigger online search facility. Google and Yahoo are trying to have an approached Trader classified media that contains around 575 print titles, but other true threats are coming along and one of these companies is Ebay that already made some approaches. Now both Google and Yahoo are thinking of an acquisition of the whole company but this action will be very costly since that firm is valued at 1.3 billion Euro. The interest of Google and Yahoo established a new competition and desire to create online communities. Trader is the firm that Google and Yahoo are trying to obtain; this company was established in 1987 containing three newspapers in Canada. The company is still expanding since its operating in around 20 countries including China one of the fastest growing markets over the world. Trader engaged in an investing activity in China where the firm spent 193m dollar in Sou Fun Holdings. And Since Google and Yahoo are also having some corporate activities in China; Trader expansion seems to be complementary for Google and Yahoo. Many other companies also are trying to bay Trader such as parent company of The Sunday Times, but they said that they won’t be able to close the deal because it is too expensive. Google and Yahoo have the financial abilities but doing such a decision needs much more consideration.

Dubai Vs. Hillary Clinton

2006-03-09T03:10:00.000-08:00

Dubai started to think in a way that will help her to enhance and improve the relations between Dubai’s government and British government. What Dubai did was something unique, it proposed to bay some main ports in England. Dubai faced huge movements against it, many people argued about the social and political issues and that the British government should keep its control over the ports instead of putting that control in the hand of Dubai’s government. In a while, all these social and political organizations that raised some non market issues gave their support to the British government. The government did some successful arrangements with these institutions and declared its agreement. On the other hand, Dubai and after finishing a successful deal in Europe, it went to the United States and started to offer to bay six major ports in the American land. What happened was something new to the Americans, Dubai should get the White House’s support to finish the deal, but this support will not be enough to close the deal. Particularly, this ports industry is shaped by many elements, and the agreement of the White House is not enough and Dubai should try harder to get the Congress support. Dubai got the Bush Administration’s agreement which considered a one step forward, but Senator Hillary Clinton started a strong and huge campaign against the deal in the Congress. She argued that giving a stranger the control over our ports will affect the United States’ national security. Many others think that the authorities in the United States will not ignore this side and will provide a full protection to these ports and Dubai will be only responsible of the financial aspects of the harbors. Others think that what Hillary Clinton is doing is just an advertisement campaign to her since she is planning to run for the presidential election. The situation is still very complicated and the deal is waiting to be closed, and Dubai government should try harder to get the deal.

Wal-Mart's New Challenge

2006-02-15T06:06:00.000-08:00

Wal-Mart is considered the biggest retailing store over the State and it has hundreds of branches all over the country. Big companies like Wal-Mart can control any market they enter so that is why they generate huge success wherever they open. Wal-Mart depends heavily on the loyalty of its customer, product differentiation is one strategy. Another strategy is Wal-Mart’s good organization in using its recourses and getting the whole benefit. Also, Wal-Mart’s competitors are not that strong to compete against Wal-Mart, in other words Wal-Mart used these strategies and gained a competitive advantage over other companies. Because of all these things New Yorkers are afraid that once Wal-Mart enters the market it will manipulate the retailing market in New York which people their consider this action as unethical and their biggest enemy. Moreover, labors, civil rights, and community groups stood against the opening of Wal-Mart in New York and the reason beside their resistance was that Wal-Mart does not give its employees enough wages. The author of the article supported that ethical issue by providing an example about an ethical Russian seller who refused to take apples from his place to Moscow and sell it for profit. At that time there was a shortage in the supply of apples in Moscow and that is why the seller refused this idea stating that it is unethical action. Firms should act ethically in many ways in order to maintain a high level of consumer’s loyalty and success. Wal-Mart situation is very difficult to solve and large portion of people are against them, and I think that the only solution is to gain their trust before doing any action. I think that Wal-Mart will provide new edge of competition and will give new experience that competitors will not be able to imitate easily.

Retailers must do, case

2006-02-07T11:25:00.000-08:00

In the article retailers must do more to stay on top of competition, many aspects from Hamel Business Concept Innovation and Porter Five Forces could be driven. The article mentioned that retailer’s outlets in Dubai should continually raise their performance standards to follow the rapid increase in Dubai marketing growth. Each new mall cut a piece from the outlets that had been introducing themselves in the market. According to Porter Five it could be a threat of new entrants. In addition to the power of new entrants, the financial government support for each new mall or outlet might hurt the competition standards. Now any new entrants have a competitive advantage on the previous outlets. Previous outlets in Dubai need to have better Product/Market scope, which mean they have to decide their market segmentation carefully. This new Product/Market scope needs Relationship Dynamic which to fit with new market segmentation. The change in the market should go along with new way of interaction between producer and customer. It could be face to face interaction which means change the products range or target new customers. Outlet that had been in the market for more than twenty years and which mainly depend on local customers need to shape their products to satisfy tourists more. Also that movement toward malling the UAE enforce many outlets to have flexible Pricing Structure. Outlets have many different alternatives to choose how they are going to determine their price. Changing the performance bar which mentioned in the article relate directly to how fast and effective could pricing structure strategy might be. Finally Fulfillment and Support which is part of Customer Interface framework is in favour of the new outlets, channels in the malls would be easier to reach by customers and the level of service by the government is much higher.

Review on “The Real Cost of Google's Sellout to China”

2006-01-31T16:13:00.000-08:00

In his article “The Real Cost of Google's Sellout to China” Thomas Lipscomb argued that the corporation between Google and the Chinese government well generate large profit to Google. This is the reason why Google corporate with China and refused the U.S government by stating that this action is considered invading for the privacy of its users. The agreement stated by China that Google should block many web sites and search terms that threaten the Chinese authoritarian government. Here we can find a connection between what Google did and one of Porter’s five forces. Government Policy is one factor of threats of entry, where we find that that policy created by the Chinese government decrease the freedom that the nation should has. In other words, Google refused to work with the U.S government since its protecting the privacy and the freedom of it users. But with China Google ignored these rights and aimed to increase their revenues by helping the government putting in mind that the Chinese market will be the largest technician market in the near future. Protecting the Chinese government’s interest dose not mean to limit the access to many web sites online for the largest population in the world and ignored their rights to learn more and get information.

Test Post

2006-01-21T11:27:00.000-08:00

Test Post for MGT 406 at AUS