III Comparative analysis Y6:
Company name Net Revenue EPS ROE Stock Image Credit
($000s) ($/Share) (%) Price Rating Rating
($/Share)
Company A 423,096 -0.10 -1.7 6.12 76 C-
B-Tech Camera 400,892 1.15 18.2 25.06 80 B+
Company C 414,227 0.28 4.8 5.67 73 C
Company D 376,492 -0.49 -9.0 6.11 72 C-
Company E 392,929 0.63 10.5 7.15 70 B+
In Year 6, we ranked in the first place in the market. In the following years, we will continue
to follow the previous strategies to maintain our place. Comparing the price with Year 5, in
Year 6, we decided to lower the price in four markets: North America, Europe Africa,
Asia-Pacific, Latin America in order to gain the market share and increase sale. To
accomplish that, we begin to improve product quality with reasonable price as well as
impulsing sale promotion
1. AC Camera: Our company’s competitors are Co. A, Co. C, Co. D and Co. E
a.North America and Europe Africa:
B-Tech: In Year 6, we decided to set the same price for two markets: North America and
Europe Africa ($219) which is lower than the average price. Because in these markets,
customers are more concerned about the quality of the product than the price, we mainly
focused on improve our product quality in order to increase P/Q rating. As a result our P/Q
rating is 4.7 stars, higher than market average and ranked second in the industry after
Company C (5.0 stars). About Advertising budget and Website display, in North America
market, the amount of money we invest in these two terms is quite low compared to our
rivals, lower than market average, that is explain why our market share is 18.6%, ranked fifth
in the industry; in Europe Africa market, our budget invest in marketing only reaches the
average level compared to other competitors, combining with other factors (price, P/Q
rating,...), consequently, our market share is 19.6%, rank third in the market. In the following
years, our goal is to maintain our first place and improve the market share for AC camera.
Company A: In this year, Company A ranked fourth in the market. In term of the price for an
AC camera, it reaches the average level of price ($224) compared to other rivals. With the
P/Q rating is 4.3 stars, it is ranked third in the market. About marketing, in North America
market,the cost of Website displays reaches the average level ($1500) compared to
competitors, Company A strongly invest in Advertising budget with $2900, higher than
average level, which may explain why Company A’s market share is 20.5%, ranked second in
the industry; in Europe Africa market, the budget of marketing reaches the average level.
Company A’s market share in this market ranked first in the market with 21.4%
Company C: In this year, Company C ranked third in the industry. In term of the price per
unit, Company C had the highest price in the market ($245 in North America market, $240 in
Europe Africa market). Because they strongly improve the quality of product, their P/Q rating
is 5.0 starts, leading to ranked first in the market. In North America, their investment in
marketing is quite low compared to the average level, specifically, Advertising budget is
$2400, Website displays is $1500, combining these above factors, Company C’s market share
in North America market is 19.2%. In Europe Africa, their investment in marketing is also
low compared to the average level, specifically, Advertising budget is $1300, Website
displays is $1100, which may explain why their market share account for 18.3%.
Company D: In this year, Company D ranked fifth in the industry. In term of the price per
unit, it is quite high compared to the average level ( $230 in both markets). Although they
had improved the quality of product, the P/Q rating slightly increase from 4.0 (Year 5) to 4.2
stars (Year 6), lower than the average level (4.4 stars) and ranked fourth in the market. In
North America market, their investment in marketing reaches average level, specifically,
Advertising budget is $2500, Website displays is $2000. Company D’s market share is 20.9%
ranked first in the market. In Europe Africa, their investment in marketing is quite low
compared to average level: Advertising budget:$1500, Website budgets: $1200. Their market
share is 19.6% ranked third in the market.
Company E: In Year 6, Company D ranked second in the industry. In term of the price per
unit, Company E had the lowest price in the market ( $199 in both markets), lower than the
average level. With the P/Q rating is 4.0 stars, the lowest P/Q rating, it seems that Company E
did not improve much in product quality, P/Q rating is the same as Year 5. In North America
market, Company E strongly invests in marketing, specifically, Advertising budget accounts
for $2900, Website displays $1700, higher the average level which may explain why their
market share accounts for 20.8%, ranked second in the market. In Europe Africa, they still
focused on strongly investing in marketing which is higher average level. Their market share
in Europe Africa make up 21.1% of the total.
b. Asia-Pacific and Latin America:
B-Tech: In Year 6, we also decided to set the same price for two markets: Asia-Pacific and
Latin America ($209) which is lower than the average price. Because in these markets,
customers are more concerned about the price of the product than the quality, we mainly
focused on adjusting the price to be reasonable along with impulsing sale promotion in order
to attract customers. As a result our P/Q rating is 4.7 stars, higher than market average and
ranked second in the industry after Company C (5.0 stars). About Advertising budget and
Website display, in Asia-Pacific market, the amount of money we invest in these two terms is
quite low compared to our rivals, lower than market average. The market share makes up
20.4% of total, ranked third in the industry; in Latin America market, our budget invest in
marketing is quite high compared to other competitors, higher than the average level,
combining with other factors (price, P/Q rating,...), consequently, our market share is 22.2%,
rank second in the market. In the following years, our goal is to maintain our first place and
improve the market share for AC camera.
Company A: They set the same price ($214) for both market: Asia-Pacific, Latin America.
With the P/Q rating is 4.3 stars, it is ranked third in the market. In Asia-Pacific, Company A
strongly invest in Advertisement with the budget $1700, higher than average level which may
explain why they gain the highest percentage of market share in Asia-Pacific (25.3%). The
same as Asia-Pacific market, in Latin America market, Company A highly invest in
Advertisement with the budget $1050. Their market share account for 25.5%, ranked first in
the market.
Company C: In term of price, Company C set price per unit for two market is the same
($235). Because they strongly improve the quality of product, their P/Q rating is 5.0 starts,
leading to ranked first in the market. In Asia-Pacific, Company C’s the budgets for
advertising and website displays are slightly increased compared to Year 5
(Advertising:$1200, Website:$1000). Market share makes up 16.5% of total. In Latin
America, the Advertising budget is quite low compared to the average level. Market share
accounts for 16.7%, ranked fourth in the market.
Company D: They set the same price ($225) for both market: Asia-Pacific, Latin America;
higher than average level. With the P/Q rating is 4.2 stars, it is ranked fourth in the market. In
both market, their investment in Advertising and Website are quite low compared to other
rivals which may lead to the lowest percentage of market share: Asia Pacific:15.6%, Latin
America:14.2%
Company E: They set the same price in two markets which is also the lowest price ($189).
With the P/Q rating is 4.0 stars, the lowest P/Q rating, it seems that Company E did not
improve much in product quality, P/Q rating is the same as Year 5. It seems that Company E
mainly focused on investing in marketing in both market, the cost for Advertising and
Website in these two market are all higher than the average level. In term of market share, in
Asia-Pacific, Company E makes up 22.2% of total, ranked second in the market; in Latin
America, market share accounts for 21.7% ranked third in the market.
PLAN Y7:
1. AC Camera
1.1 North America and Europe-Africa: In Year 7, B-Tech intend to set the same
price for two markets: North America and Europe-Africa. We increase price
from $219 to $229, along with increasing the product price is to improve the
quality of AC camera, this year, our goal is to achieve a P/Q rating 5.2 stars.
We realized that our budget for investing in marketing was still low compared
to the average level in Year 6, so in Year 7, we decided to strongly invest in
marketing in order to gain higher market share, specifically, in North America,
Advertising budget is $2850, Website display is $1750, we also support the
retailer about $5.84 per unit, the sale promotion and warranty period still
remain the same, we just increase the number of weeks up to 4 weeks; in
Europe-Africa, it is the same as North America market, except the Website
display is $1500 and the budget supporting the retailer is $5.92 per unit.
1.2 Asia-Pacific and Latin America: In this year, we also set the same price for
these two markets. We increase price from $209 to $219, along with increasing
the product price is to improve the quality of AC camera, this year, our goal is
to achieve a P/Q rating 5.2 stars.We realized that our budget for investing in
marketing was still low compared to the average level in Year 6, so in Year 7,
we decided to strongly invest in marketing in order to gain higher market share,
specifically, in Asia-Pacific, Advertising budget is $1850, Website display is
$1000, we also support the retailer about $5.97 per unit, the sale promotion and
warranty period still remain the same, we just increase the number of weeks up
to 6 weeks; in Latin America, it is the same as Asia-Pacific market, except the
the budget supporting the retailer is $6.68 per unit.