The Business Strategy Game - BSG Online game Essay

The Business Strategy Game - BSG Online game - Essay Example Industry overview As we entered the footwear industry the notion of being highly competitive in the market was our main subject of concern. Through the knowledge we had gained in business studies, we had to apply Michael Porter’s five forces so that we thoroughly understand the market and promote our company’s competitive advantage (Roy, 2009). Thus, we put the following forces into close consideration. Firstly, on the bargaining power of buyers, we saw that, since the footwear industry provides an extremely competitive market, this force was at all times undergoing a steady rise. The most important opportunity under this force was that our company had the prospect of applying our differentiation principle for the products offered by our company. However, we observed that there was always the threat of consumers having a high bargaining margin thus bringing in the possibility of a lower profit than the one we had anticipated. About the bargaining power of suppliers, we saw that since there are very many suppliers in the footwear industry, this force is always very low. This was a very important opportunity to our company as it meant that, we could get supply of raw materials at low price. Thus, it aided us in meeting the strategy clock principle of selling quality products at low price. Concerning the threat of new entrants, we saw that the industry offered a great opportunity to our company. Since industry 7 was limited to five (5) groups, this threat was not applicable. In this sense, the footwear industry offered a huge opportunity for our company since we had to lay all our concentration mainly on outshining our existing competitors. Regarding the threat of substitute products, we saw this was a subject of great concern for our company. This is because, this competitive force was always very high as at most times the products available in the market were substitutes of one another. However, this force was an important opportunity to our compan y since it motivated us to be very innovative. Finally, we saw that the force of competitive rivalry was a great opportunity for our company to triumph in the industry. The opportunity offered by this force was that it ensured we did all our best in innovating higher quality product designs. However, our company had to face the threat of our competitors using our product designs to come up with more advanced ones. Company overview As we took over management of Zenith Company Limited, we observed several essential strengths and weaknesses that the company already put in place (Brott, 2009). Among the most essential strengths that Zenith had created is a huge market share of around 20%. Secondly, the company had a good customer base for its products particularly in North America and Europe Africa. It had also done a lot in promoting its brands over the internet thus enjoying the advantage of selling its products at higher prices per pair. Our company also had the advantage of having u tilized a significant number of retail outlets (Hill and Jones, 2010, p. 178). However, the company had some weaknesses and they included lack of celebrity appeal. The company further had a weakness of taking a lot of time in delivering goods to its clients. Decisions Year 11 There are several decisions that we had to concur as a team. This was to ensure that our company was going to meet the goal of being very competitive