Creation and distribution of goods and services Essay

Creation and distribution of goods and services - Essay Example Richard Strong put forward the argument that the proposals would allow the corporation to develop two focused and separate market and product strategies for the market segments. The initial response was guarded, with its advantage being that it would allow the corporation to clarify positioning of its products while aiding Aldus to establish a unique and strong company identity in both market segments. However, the corporation had based its success via the offering of a single product line bridging creative professionals and business. This paper aims to evaluate this proposal. Strong’s proposal to alter the positioning strategy for Aldus As PageMaker’s sophistication grew to meet the high-end user’s evolving needs, the product became more unattractive to the business segment that was not as sophisticated. The primary distribution channels lacked sophistication to lend support to these high-end users, leading Strong to believe that the corporation faced the danger of being unable to serve these two markets. The situation was made worse in the European market by Apple Macintosh’s weak position, which made Aldus depend more PageMaker’s MS-DOS version. ... Trying to meet these segment’s divergent needs with one product line placed a high demand on software development staff. The product’s complexity would complicate the upgrade task and delay upgrade schedules. Conflict in the corporation arose because the software development staff was oriented to the graphic’s market, while others were oriented to business segments. Both groups could only respond to the needs of their market via a single product. Splitting Aldus into two divisions would allow them to focus on these different market segments. These organizational and product line decisions were made due to what industry executives viewed as polarization of software distribution. Telemarketers, mail order firms and superstores increasingly served the market, with the high-end served by boutiques that had the ability to provide after sales support, consulting, and needs assessment. Hardware sellers were becoming less viable as software dealers. Differences between C onsumer and Organizational Markets The first difference between consumer markets and organizational markets has to do with the nature of purchases (Pride et al, 2012). Organizational consumers buy capital equipment, semi-finished goods and raw materials for utilization in further operations or for reselling to others while final consumers normally acquire finished items for household, family or personal use. Organizational consumers are also more likely to demand exact specifications of products. Final consumers usually buy on a stylistic and descriptive basis. Additionally, organizational consumers usually use multiple buying responsibilities where more than one employee participates in expensive or complex purchase decisions. Consumer markets

Report About Southwest Airlines Term Paper Example | Topics and Well Written Essays - 2500 words

Report About Southwest Airlines - Term Paper Example They had been able to initiate and survive piece wars but as they did forward buying of oil, they are currently at a disadvantage against the competitors. The legacy carriers are now able to offer same fares as SWA as the oil prices have reduced. This strategy of theirs has backfired and they can sustain by further reducing costs or increasing productivity. They have also been accused and penalized for violating safety norms but they have their own clarifications and justifications. SWA continues to be the best run airline but after being market leaders and retaining profits continuously for several years, they now to revise their strategy. Southwest Airlines (SWA) is a benchmark in the industry for continuously maintaining fastest turnarounds, excellent service at lowest fares, on-schedule flights and luggage arrivals, a highly motivated and unionized workforce. In fact the airline achieved success not from economies of scale but because of its workforce (Bacon, 2001). The airline could boast of the lowest operating-cost structure in the domestic airline industry as it consistently offered the lowest and simplest fares. Its strategy through out has been based on exemplary levels of service. The airline encourages leadership and individuality at all levels. It was recognized by the Fortune Magazine as one of the top ten businesses to work for in the US (Achtmeyer, 2002). The Wall Street Journal ranked it first among airlines for customer service satisfaction. SWA started its operations out of Texas in 1971 with three aircrafts and was doing much better than other airlines because of fewer regulations in Texas. SWA grew to be the fourth largest airline in the US and by 2002 had a fleet of 366 Boeing 737 jets. It had 35,000 employees in 2001 and generated total operating revenues of $5.6 billion from a passenger load factor of 68.1 percent. Southwest was the United States’ only major