A manufacturer with 4 product lines, facing declining sales.
How to start?
Macro/Micro Prospectives:
Macro:Changing in the industry over the last few years due to new competitiors, emerging technology, changes in costumer demands, and other factors.
Micro: Details of this manufacturer's business.
An emerging technology may be the prime drive for this manufactorurer's maket share shift.To study the impact of this technology on the industry and this manufacturer.
Whether switching to this new technology?
Is the technoloy here to stay?How mature is the technology? How sustainable is the advatage due to this technology(这个技术优势的可持续性) and what is the switching costs for this manufacturer, including new product development, marketing and promotion initiatives, and other issues
This technology is becoming a market standard and will be here to stay
How to introudce?
discussion towards product development, manufacuturing swithing cost, product launch, marketing related issues.
1)Should this new technology be introduced in exsiting product lines or should new products be introuduced with this new technology?
Driven by the demand for existing product lines and costs associated with either decision
2)We can examine either developing it in-house or acquiring a smaller company with this new technology.
3)If we have adequate data, we can do some quick "back-of-the-envelope"(粗略计算) calculations to work out market-share trends and break-even(盈亏) analysis.