Competitor and SWOT Analysis
Introduction
Before a company commits any funds, resources, or capital to any project, market expansion, or research and development, it needs to have a good handle on the potential market outlook as well as risks.
Competitor Analysis
Identify key competitors in the market and list sales and market shares of competitors for the past 5 years.
Identify strengths of competitors in terms of product features and benefits, advertising, promotion, salesforce, research and development, supply chain, manufacturing operations, attractive pricing and discounts, financial strengths, etc.
Discuss competitors’ intelligence regarding legal and ethical issues, and tracking and analysis of the total range of competitive activity, including competitors’ capabilities and vulnerabilities concerning sources of supply, technology, marketing, financial strength, manufacturing capacities and qualities, and target markets.
Note: See Table 1 for an example of how you might format this information.
Table 1: Competitor Analysis
Factor Company Selected Competitor A Competitor B Competitor C
Types of products and services Apple Inc.
iPhone, Mac, iPad, AirPods, Apple T.V., Apple Watch, Beats products, HomePod, iPod touch, MacBook, iCloud, iLife. iMessage, iMovie, iTunes, and accessories. Samsung
Phones.
TV & Home Theater.
Appliances.
Kitchen Packages.
Audio, Watches & Accessories.
Tablets & Computing.
Monitor, Memory & Storage
(Samsung.com, 2022). Consumer electronics, data tech and portable communications, and device solutions industries international.
(Preimesberger, 2019). Microsoft
• Devices
• Software
• Apps
• Games
• Entertainment
(Shastri, 2022)
• Windows OS
for laptops and mobile technology
• Xbox
• Microsoft
accessories
&band
• Microsoft dynamics
CRM
solutions, servers
• Microsoft
Office for Dell
Lenovo, HP, Personal
Computers &
Notebooks, Servers,
Monitors,
Workstations, and accessories.
personal use and businesses
• Personal Computer
Games
• Movies and TV, Groove
Music
• Outlook Email and Skype
• Developer
tools
• Cloud and
Online services
• Microsoft
edge, Internet Explorer, Bing,
and MSN
• (Pratap, 2017)
(Startuptalky.com, 2021).
Services targeted to:
• Gender
• Age
groups The solitude age group is 22-55. This group is conveniently a market for the company. But with different products, the age dimension varies. Such as the smart, compact devices are more used by people of the 20-45 age group. Where iTunes, Apple Pay, app store and iTunes store are used by the age range 18-30. And finally, the apple watch, tv apple and accessories users are from 20-45+ age. (Andrew, 2022) Age s from 15 to 45 who are techsavvy students and young professionals, managers, and executives. driven by substantial
consumption digital mass media,
(MMAGlobal.com Ages from of 22 to 55 years old. Males more prominent than female user ratio is 60.8% to 39.2% indicating an expansion in the male market. Additionally, targets are young students, workforces and professionals loyal to the Microsoft brand (Startuptalky.com, 2021). Large corporate (Relationship) customers. Home and small business (Transaction) customers. Public sector (government and educational) customers (Bhasin,
2018)
Revenue generated over the past 2 years
• Brand
revenue
• Other
products $387.542B, a 11.63% increase yearover-year
$365.817B, a 33.26% increase from
2020
(Macrotrends.com, 2022)
• $365B in 2021, 52% just from iPhone revenue
• Services was the second rendering 18% of revenue Samsung’s current revenue is
$250.21 B. In 2021 revenue was $240.71 B an increase over 2020 revenue which was $203.43 B proceeds generated from sale of goods or services.
(Companies Market Cap.com, 2022)
(Byford, 2022). In the fiscal year 2022, Microsoft net income was over 72 billion, which increased from its 2021 number, and a record sales revenue in 2022 of 198 billion
(Statista.com, 2022) Dell revenue for the quarter ending April 30, 2022 was $26.116B, a 15.61% increase year-overyear.
Dell revenue for the twelve months ending April 30, 2022 was $104.723B, a 19.87% increase year-over-
• 230M iPhones, 71M iPads and 20M Mac and
MacBook units sold in
2020
• Apple’s home and
wearables division grew
25% in 2021
• It sold 110 million AirPods and 43 million Apple Watches in 2020
• Apple Music has 72 million subscribers, Apple TV+ has over 40 million
(Curry, 2022). year.
Dell annual revenue for 2022 was
$101.197B, a 16.76% increase from 2021.
Dell annual revenue for 2021 was $86.67B, a 2.19% increase from 2020
(Microtrends.com,
2022)
Years in operation Apple Inc., has been in operation for
46 years since its founding in 1976
(Busines-Standard.com, 2022) Samsung has been in operation for
84years since its founding in 1928 Samsung entered the personal electronic sector in 1980.
(Samsung.com, 2022). Microsoft has been in operation for fortyseven years since its founding in 1975 (History.com, 2022) Dell has been in operation since 1984 (Britannica, 2020).
Mission/vision Apple’s mission is “to bring the best personal computing products and support to students, educators, designers, scientists, engineers, businesspersons and consumers in over 140 countries around the world.” (Rowland, 2022). According to Rowland (2022), “Apple Inc.’s corporate vision is “to make the best products on earth, and to leave the world better than we found it (Para 5). Samsung’s mission statement is “We will devote our human resources and technology to create superior products and services, thereby contributing to a better global society.” (Samsung, 2020)
Samsung’s vision statement is “to inspire the world with our innovative technologies, products, and design that enrich people’s lives and contribute to social prosperity by creating a new future.” (Mission Statement.com, 2022) Microsoft’s corporate mission is “to empower every person and every organization on the planet to achieve more.” (Gregory, 2022)
Microsoft’s corporate vision is “to help people and businesses throughout the world realize their full potential.” (Gregory,
2022) Dell’s mission statement is “to be the most successful computer company in the world at delivering the best customer experience in markets we serve.
(Mission Statement.com, 2022).
Dell’s vision statement is “It’s the way we do business. It’s the way we interact with the community. It’s the way we interpret the world around us– our customers’ needs, the future of technology, and the global business climate. Whatever changes the future may bring our vision “(Mission Statement.com, 2022).
Advertising Apple business approach focuses on design and user experience and outsources manufacturing fundamentals (Ross, 2021).
Apple utilizes commercials and print ads, concentrating on how their products are differ from competitors. and will run advertisements
throughout the product’s life. (Titan
Digital.com, 2022) Samsung’s business model emphases vertically integrating supply chains and enhancing
production capacity. (Ross, 2021)
Samsung basically uses their advertising method in two ways, direct 7 indirect methods. The indirect method, they advertise their products through television, internet, and other media. And in the indirect method, Samsung let their customers know that the new products are good to use
(Shastri, 2022) Broad Match
Mobile Ad Targeting
Audience Networking
Display Advertising
Google Ads
Microsoft promotes utilizing media networks and media releases. its authorized retail stores Microsoft utilizes various channels to reach its patrons and promote its products
(Pratap, 2017) The direct model allows Dell to build its scheme to deliver influential, and better constructed systems at competitive prices. using direct selling, that eliminates the need for resellers and channels of retail
(MBaknol.com, 2022)
Promotion Promotional mix
• Product
• place, price
• promotion
• process
• people
• physical evidence.
(Dudovskiy, 2021)
https://titandigital.com/4-powerfulps-need-know-apples-marketingmix/ Promotional mix:
• Print media
• Social media
• Digital media
(Shastri, 2022)
To promote their devices, Samsung has teamed up with celebrities. Through this relationship, celebrities were able to promote their phones and other businesses across a variety of social media platforms. Collaborations with Alist celebrities can guarantee a rise in brand exposure due to their large fan base. Microsoft promotional mix consist of:
• Direct Marketing
• Advertising
• Sales
Promotions
• Personal
Selling
• Public
Relations
(Shastri, 2022) Dell utilizes numerous promotional methods to reach out to its potential buyers. The marketing mix strategy emphasizes 360 branding using television, print media, among other aspects such as newspapers, e.g.
(MBA Skool.com,
2022)
Positioning Apple has a 15.6 percent share of the marketplace 21.8 percent. share of the market Windows has a 73 percent market share, (Hughes, 2022) MBaknol.com, 2022)
Brand image Apple is a strong brand and consistent with brand values (Simplified, 2022) Has incorporated elements of apple business model
Company’s strengths One of the world’s strongest brands
High profit margins based on premium pricing
Effective rapid innovation processes based on a long 1. Dominates the Smartphone Market
2. Research and Development
3. Award Winning Brand
4. Ecologically Friendly 1. Brand loyalty
2. Brand reputation
3. Easy to use software
4. Strong distribution
channels 1. Brand name
valued at $7.5 billion
2. Product customization 3. Environmental
history of technological innovation (Smithson, 2022). Innovations
5. Samsung overtakes
Intel as biggest chip seller
6. Stronghold in the Asian Markets
7. Diversified Portfolio
(Business Strategy
Hub.com, 2022) 5. Robust financial performance
(Jurevicius, 2022). record
4. Competency in mergers and acquisitions
5. Direct selling business model (Jurevicius, 2022)
Company’s weaknesses its highly-priced products, entering areas of higher competition, and incompatibility with other software. (Beattie, 2022) • Extremely reliant on U.S. markets, and estimated that both Apple and Samsung combined sold at least 74% of smartphones in the USA market. …
• Decline in
Smartphone Sales. …
• Product Failures. …
• Dependence on Lowend Smartphones. …
• Hereditary
Leadership. …
• Bribery Scandal.
Business Strategy Hub.com,
2022) 1. Poor acquisitions and investments
2. Dependence on hardware manufacturers
3. Criticism over security flaws
4. Mature PC markets
5. Slow to innovate
(Jurevicius, 2022) 1. Commodity (computer hardware) products
2. Poor customer services
3. Low investments in
R&D
4. Weak patents portfolio
5. Too few retail locations
6. Low differentiation
(Jurevicius, 2022)
SWOT Analysis
Use what you have learned from an understanding of the industry, competitors, and customer segments to discuss the strengths, weaknesses, opportunities, and threats that exist for the brand:
• Strengths capture the positive aspects internal to your brand that add value or offer you a competitive advantage. This is your opportunity to remind yourself of the value existing within your brand. Discuss which brand attributes make it stronger than its competitors.
• Weaknesses capture the negative aspects internal to your brand that detract from the value you offer or place you at a competitive disadvantage. Discuss which brand attributes make it weaker than its competitors. These are areas you need to enhance to compete with your best competitor. The more accurately you identify your weaknesses, the more valuable the SWOT will be for your assessment.
• Opportunities are external to your brand. Discuss what opportunities exist due to industry or consumer trends. If you have identified opportunities that are internal to the brand and within your control, you will want to classify them as strengths.
• The better you are at identifying potential threats, the more likely you can position yourself to proactively plan for and respond to them. You will be looking back at these threats when you consider your contingency plans.
Note: See Table 2 for an example of how you might format this information.
Table 2: SWOT Analysis
Internal Strengths
• Most Valuable Brand
• Globally Iconic
• Top Technology
• Brand of Choice
• Proficient Research & Development
• Expansion in services
• Sustainability made Possible through Liam Internal Weaknesses
• High Priced Products
• Limited Advertisement & Promotions
• Entering into Area of Non-Competency
• Incompatibility With Other Software
• Allegations of Tracking
• Unfair Business Practices
• Integrate Stronger Parental Control Software
External Opportunities
• Consistent Customer Growth
• Qualified Professionals
• Expansive Distribution Network
• Lack of Green Technology
• Smart Wearable Technology • Utilize Artificial intelligence
• Expand Music Streaming Services
• Deliver Self-Driving Software Technology
• Expanding into Chip Manufacturing External Threats
• No Effective Countermeasure for Air Tags
• Apple Bullied by Counterfeits
• Increasing Competition
• Market Penetration
• China Tariffs
• Lawsuits
• Backdoor Mechanism
• Mark Zuckerberg criticized monopoly of iPhone’s app store
Image retrieved from https://money.cnn.com/2015/10/29/technology/apple-customers/index.html
Image retrieved from https://money.cnn.com/2015/10/29/technology/apple-customers/index.html
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