Copyright (c) 2009 Alan Gillies
Moving into the market is a difficult decision for any business. A business has to consider quite a few factors, and every detail is critical in determining the method to be utilised when going for a piece of the market share. Decisions such as when, where, and how much cash to spend, all play a serious role in the possible success or failure of a business enterprise.
The key to this understanding is that when making a move for market share, strive to be in the limelight – so everyone, potential customers and competitors alike, can’t avoid your presence even if they tried. You should be aggressive in your approach, which can easily be measured by the time, money and effort put into your advertising, sales promotion, publicity and public relations, introductory offers and discounts, etc. The businesses which are able to differentiate themselves from their competitors are the real champions of their industry, and they are, without doubt, the market leaders. They get focused customer attention and unique privileges over all others in their market.
The following activities can be initiated by a business to make their presence felt in the market:
- Differentiated Products and Services – The products or services offered by a business should be differentiated from those offered by others. It may be in terms of technology, design, packaging, the appearance or anything else, but the product or service should have a distinct image in the minds of the customers.
- Customer Focused Advertising – Advertising is an important and effective means of reaching out to your potential customers. Television, radio, internet, mobile phones and print media are the common advertising tools used in today’s world. This advertising should be customer and market targeted. The intensity of this advertising and how many people it will reach usually depends entirely upon the budget allocated.
- Customer Relationship – Customers are the most important consideration of any business, and the point of all business is to get to these customers in the most effectual way – as efficiently as possible. The fundamental point of marketing is to create long term relationships with as many customers as possible, and with improved presale and after sales service, a business can deliver quality assistance to the pursuits of every customer, thereby guaranteeing long term relationships and regular custom.
- Introductory Offers and Schemes – It is quite important at the time of breaking into a market that a business should implement introductory offers, rebates, discounts and programs to stimulate customers to buy more products and services.
- Extensive Warranties and Guarantees – Almost every customer will prefer a product that carries some kind of warranty or guarantee. If a new product has some form of extensive warranty or guarantee, most customers will consider that the company is being responsible for their product, and therefore, it’s seen as an “intelligent buy”.
Questions related to market shares
How do you compare market shares for companies.?
I have to compare market shares for MGM grand, Harrahs entertainment, and Stations Casinos. I do not know how to do this and I am running out of time.
(a) Heath owns < 20% of Van Fashion. You apply the cost method when accounting for investments.
2008
Mar. 18
Stock investments(Dr) $390,000 (not $39,000)
Cash(Cr) $390,000
June 30
Cash(Dr) 9000
Dividend income (Cr) 9000
Dec. 31
Dr Stock investments $60,000 (30,000 shares x $15 minus $390k)
Cr AFS Reserve (within equity) $60,000
Available-for-sale financial assets (AFS) are any non-derivative financial assets designated on initial recognition as available for sale. AFS assets are measured at fair value in the balance sheet. Fair value changes on AFS assets are recognised directly in equity, through the statement of changes in equity
(b) Yoder owns between 20 and 50% of Parks. You have to use the equity method.
2008
Jan. 1 Correct
June 15 Correct
Dec. 31 Correct
No one really knows. The health of the banks is a moving target. As the economy and unemployment worsen, the health of the banks worsens. The recent relaxation of accounting rules for toxic assets only makes the lack of information worse. The ability of the government to improve the situation has its limits. Cautious investors generally do better in times of limited information.
does baking soda count
More top work! keep em comming!
I am not going to lie. I thought that Obama would have been different than the typical puppet for the plutocrats. I was wrong.
The consolidation of wealth into the top 1% of the rich has accelerated under Obama. Furthermore, the average worker is now working harder than he ever has, and is getting paid less for it. All the while, the worker is being used by the rich oligarchs.
Historically, business downturns witness a decrease or stagnation in worker productivity. The current economic crisis is different. Worker productivity has increased rapidly in recent months. While productivity increased by more than six percent in the second quarter, labor costs tumbled by 5.9 percent.
This is part of a longer trend in the US economy. “Between 2000 and 2007, the average American worker’s productivity rose 19.2%, yet more of those gains are going to top managers,” “Adjusted for inflation, average wages have grown just 0.7% per year since June 2000. In 1979, the ratio between the average CEO’s pay and the typical workers pay was 27 to 1. By 2007, it had widened to 275 to 1.”
This is not the social change I voted for, this is the same ultra right wing conservative economics that I have come to loathe. I have lost all hope for this country, and as other countries are falling in line with the USA and following their pattern, at the behest of the World Bank (a puppet of the USA plutocracy) and the IMF, I do not know where to turn for a decent place to live where I can be treated fairly.
The funniest part, which is also ironically the saddest part of all this is that 1/2 of all America believes that Obama is a socialist. In reality, he is nothing more than a capitalist puppet. No liberal minded person would ever confuse Obama with anything related to socialism. However, the oligarchy in the USA has successfully convinced the radical extreme conservatives that Obama is a socialist, and convinced Americans that socialism is bad.
It is truly a dark time we live in.