Dish Network Analysis In the digital age, can Dish Network remain a leader in the television industry? What challenges does Dish Network face in the age of streaming? How does Dish Network remain competitive in an ever-changing environment? Below we will discuss a complete analysis of how the company functions inside and out, from the data warehouse and supply chain to the front and back-end customer interactions, sales and programs used for enterprise resource planning and customer relationship management systems. In an ever-changing world, all companies must collect information and pay close attention to new trends in order to stay competitive. For a company such as Dish Network the customer feedback is one of the most important ways …show more content…
Porter Five Forces are categorizes by Supply Power, Buyer Power, Completive rivalry, Threat of Substitute and Threat of New Entry, to determine their competitive strength of a business. A clear understanding of who holds the competitive advantage in an industry can help a company discover what competitor weaknesses to capitalize on or weaknesses to work on themselves (“Mind Tools,” n.d). The Five Forces Model provides necessary information conducive to taking the right steps for the future of the business. There are about ten TV providers in the US, however in a given market there is only typically three choices for paid TV, Dish Network, Direct TV and a Cable Company (Comcast, Time Warner, WOW, Cox Cable, Etc.). Although it may be easy for a customer to switch companies, there aren’t many options for the customer to choose from in their select market. Subsequently, the TV provider holds a stronger supply power position over the customers buying power. There are many more customers than there are available paid TV providers, thus reducing the buying power of the consumer. Although, each provider has similar channel lineups, Dish Network is specifically know for having the most advance High Definition Digital Video Recorder (DVR) according to the Consumer Electronic Show ("CES," 2013). Dish Networks DVR provides …show more content…
Make to stock model focuses on tracking supply and demand of the products in order to replenish inventory in a timely fashion ("Supply Chain," n.d.). Analyzing previous years business intelligence and forecasting helps determine an expected amount of products (receivers and satellite dishes) necessary in the future. The rest of the supply chain management tracking is done through various programs such as Oracle and Axiom. These programs track business intelligence such as the amount of new customer acquired and what type of equipment did they order. These interlocking programs can then dictate the amount inventory used in order to determine the amount of necessary inventory. The main enterprise resourced planning system use by Dish network is Oracle. Oracle is a business software used to manage a combination of business function like inventory, accounting finance, human resources, transportation, Etc. (Haag & Cummings, 2013). Axiom is the customer relationship management software used by Dish in order to place front and back office operations. This can be an assortment of things from front sales and order placing to any various communications through call centers, emails, web, fax and personal
The market penetration of TiVo has been very poor. Fourteen months after its introduction only 0.04% penetration has been achieved out of the total of 102million TV watching population. This is also reflected in the poor revenue position of the company. Exhibit 3 shows that the company recorded a loss every quarter since the introduction of the product in September 1999 and has been getting worse.
TiVo has diversified itself in the industry by promoting their system as user friendly and innovated features such as viewing digital photo's wirelessly from a P.C and even a suggestion engine that selects consumer preferences. Marketing seems to be the best competence TiVo has thus far. These unique marketing techniques have made TiVo the most well known DVR and set the standard in the market. Many consumers acknowledge DVR's as TiVo's.
Determining the right target segment requires an analysis of the customer, company and competition (fig. 2). TiVo's customer is defined by unmet needs in the market. While TV is one of the most ensconced and ritualistic elements of contemporary American life, there are still aspects of television viewing that do not fulfill customer needs. An estimated 68% of Americans complained that they felt "widowed" by their loved one during the Fall television season because their spouses were chained to their televisions during primetime from 8pm to 11pm. Additionally, parents expressed a difficult time getting their children to do homework during key television programming times. In general, this is evidence that consumers want greater control over their television consumption habits. Analysis of the TiVo Corporation reveals their core competencies, which include proprietary software, national distribution through established retail outlets such as Best Buy, Circuit City and Sears and product co-branding with trusted electronics giants Philips and Sony.
Satellite radio is a technology that provides a radically new way to listen to radio. XM’s service makes use of advanced satellite capabilities and elaborates terrestrial receiver architecture to deliver a wide array of high quality radio programming nationwide. In early 1998, Robert Acker, director of strategic planning at XM, needs to develop a marketing strategy for this new radio service. There are several decisions that need to be made by the company in order to finalize the business plan. At fist XM needs to decide which of two business models to pursue, whether emphasis should be placed on charging customers a monthly subscription fee, or whether to rely more on earning revenue through advertising. In addressing this problem, management must consider the value that XM radio could propose for different consumer segments as compared with existing modes of radio (AM, FM) and in relation to its sole competitor in satellite radio – SIRIUS. Besides choosing a business model there is also a need to explore how best to approach and leverage manufacturer and channel partners, considering high unknown and high-risk technology. The purpose of this report is to analyze possibilities and outline possible recommendation on strategies for XM Radio. The following areas will be examined:
Consequently, the major responsibility of the strategist is to understand and cope with the competition. The five forces advanced by Porter include the bargaining power of buyers, the bargaining power of suppliers, threat of new entrants, threat of substitutes and the rivalry among existing competitors (Porter 80). In line with Porter 's five forces model, the structure of any particular industry develops from a set of economic and technical attributes that determine the strength of the various competitive forces. The shape of the five forces determines this premise since the five forces differ according to the industry in which business is operating. An example of how competition differs depending on the industry is evident from the comparison of fast foods restaurants and the Personal Computers (PCs) Industry. While in the fast foods industry customers might consider the convenience of the restaurants and location, in the PCs industry innovativeness is the key since customer seek product
In this case study we will gain a better understanding of TiVo, Inc. and how it has struggled to find success in a market they are known to be the innovator. At this point there are very few television viewers in North American that do not know what TiVo does for TV viewing. However, most consumers do not know the history or struggles this company has been through since creating the product in the late 1990’s. After reading this case study it is clear the creators of the TiVo were visionaries but it is also clear they were not business people too. Sadly, this might be the eventual demise of the company that clearly had the market in the palm of their hand. We will examine some of their flaws and how TiVo might regain some of the momentum to become a profitable organization.
Dish TV which is a major Satellite cable company who offers a unique business strategy. Dish TV Annual Report states that Dish TV offers high quality, outstanding customer service, and great value which has been a key part of the success for Dish TV.
Porter’s five forces assist to evaluate where the firm’s power lie in a given market and the attractiveness of the firm to other companies and businesses with respect to buyer power, supplier power, threat of new entrants, competitive rivalry, and threat of substitution. With respect to Audible.com, their market is selling audio content online. Supplier power for Audible.com is medium to high. The firm has an advantage with its partners who offer only specific products through Audible.com less expensively as compared to other companies or websites. However, some of the audio content is offered through many other websites and stores, which can be used instead of Audible.com. As a result, this pulls the firm’s power from the highest on the market to medium power. In spite of that, Audible.com is a supplier of large audio content. The firm is famous for being respected and reliable. This implies that the commitment of outside firms offers the firm with a significant a...
The world is experiencing a communications revolution. The Internet, e-Commerce and other developments (including the convergence of communication technologies) are profoundly reshaping economic and social life. AT&T must position itself to meet the challenge of this revolution. The strategic development of information-based industries is a key to the future social and economic development of the world.
Porter’s competitive forces model includes five forces that need to be analysed. These forces include the intensity of rivalry from traditional competitors, threat of new market entrants, threat of substitute products and services, bargaining power of customers and bargaining power of suppliers (Laudon & Laudon, 2007). See diagram below;
Porter 5 forces analysis is a framework for business management developed by Michael Porter in 1979. It uses concepts developed in Industrial Organization economics to derive 5 forces that determine the attractiveness of a market. It is also known as FFF, Fullerton's Five Forces. Porter referred to these forces as the microenvironment, to contrast it with the more general term macro-environment. They consist of those forces close to a company that affect its ability to serve its customers and make a profit. A change in any of the forces normally requires a company to re-assess the marketplace. The first force is called bargaining power of customers, the second is the bargaining power of suppliers, the third on is the threat of new entrants, the fourth one is the threat of substitute products, all in which influence the fifth force, the level of competition in an industry.
Porter’s five forces is a framework for analyzing an industry and business strategy development. It looks at forces that determine the competitive intensity of an industry and hence the overall attractiveness of that industry. The configuration of the five forces differs by industry. Understanding the competitive forces and their underlying causes reveals the roots of an industry’s current profitability while providing a framework for anticipating and influencing competition over time.
The Porter five forces model (see Appendix 1) as an external analysis tool was established by Michael E. Porter and firstly announced in his book “Competitive Strategy: Techniques for Analyzing Industries and Competitors” in 1980 . The main idea of the Porter five forces concept is that the attractiveness of a market depends on the characteristic of the five competitive forces that have an impact on a company (see Appendix 2).
We intend to exploit our leadership role by continuing to target and enter segments of the communications market that we believe will experience rapid growth or grow faster than the industry as a whole....
We can’t assume consumers will remain loyal if we don’t adapt and learn and you can’t assume brand strength alone will keep them or attract new consumers. The market will change and new will enter the market. I realized that the 5 D’s (Discovering, Defining, Developing, Doing, and Directing) in the marketing process is a continuous, an ongoing evaluation of the market conditions and the continued adaption. For Digital Channels, that means we must have the best feature rich products and service that our customers value. We can’t assume they will stay with us because they have for years. The moment a company becomes complacent, they become