Transcript Document

Product analysis -SSU
High Price
PREMIUM STRATEGY
High quality/design
Masters courses – Non EU
students
Specialist courses e.g. Maritime
Professional courses – CIMA
PhD
OVER CHARGING
STRATEGY
DVD/Video
Low quality/design
Low Price
GOOD VALUE STRATEGY
Undergraduate courses
Applied research
Consultancy
EU undergraduate
ECONOMY STRATEGY
Foundation degrees
H.N.D.
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BCG Matrix - SSU
Market share (relative to largest competitor)
High
Stars
Low
Question Marks
Overseas students
PG and UG
High
Market growth
Low
Cash Cows
Dogs
Funded research
2
GE Matrix - SSU
U.K. Market
High
Medium
International Market
Product attractiveness
Low
High
Medium
Low
Strong
Competitive
advantage
Medium
UG courses
Masters
courses
Low
PG courses
Applied
research/
consultancy
UG courses
3
HR Management
Can assume a staff grouping of variable quality and commitment
Technology Development
Can assume that IT department functions well and services the needs of staff and students in a
timely fashion.
Margin
Firm’s Infrastructure
Open and transparent culture. Maintains ethical stance in its approach to community at large.
Procurement
Strong buying power – SUPC. Sources ethically produced products.
Inbound
Logistics
Assume effective
systems in place
as ops, outbound
logistics/service
run smoothly.
Operations
Estates, Library
and I.T.
department
services the
needs of students
and staff
Outbound
Logistics
Can assume that
the supply chain is
functioning well. No
problems
encountered with
overseas
recruitment fairs.
Marketing
& Sales
Brand mgt –
need to
measure
awareness and
position the
products more
memorably in a
crowded
marketplace
Service
Customer
service levels
are variable,
Margin
Support Activities
Understanding how SSU adds value to its
business and its place within the value system
Primary Activities
4
Product Perception Grid - WHS
Quality
High
1 =Specialist courses – maritime.
2 = Masters courses for non EU
3= Masters courses for EU
1
4 = Consultancy
2
Price
High
Low
5 = Funded research
6= HND
4
7= Foundation degrees
6
7
Low
5
Competitor Analysis:
Porter’s Five Forces Map - SSU
Threat of new entrants - High
Crowded marketplace. Barriers to entry
are low. Could expect private
universities to be established in the near
future. French and German universities
now teaching in English. Scandinavian
countries could follow suit.
Supplier powerMedium
Suppliers will always try to
drive up prices but equally they
need to sell their products and
membership of the SUPC
negates problems.
Industry rivalry - Intense
Competition in all product
commodities is increasing. More
established universities have
immense pulling power and
appeal..
Threat of substitutes – Low
Although India and China are trying
to set up their own institutions,
quality levels lag far behind the UK
for the foreseeable future
Buyer power – High
Students today have so much choice in
which university they wish to attend.
Provided that UK students achieve
reasonable A level results they can take
their pick. The more prestigious universities
can demand higher grades.
As for overseas non EU students they are
sought after by most universities who
sometimes compromise high entry levels to
secure large numbers of top fee paying
students.
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Matching Assets and Competencies – SSU’s sustainable
competitive advantage
SSU Assets/Competencies
 Provides a range of courses that
students need
 Brand recognition in U.K
reasonably high
 Product of variable quality
 Product range of courses needs
to be extended
 Variable customer service
 Recruitment drives in main
overseas markets (assumption)
 Growing reputation
 Accommodation service is of
variable quality
 Good awareness of
environmental impacts
 Socially responsible
Customer Requirements
Best Fit
Match
• Large number of students are
seeking an advanced education
 Brand recognition/brand longterm stability
 Quality over competition
 Large selection of courses to
choose from
 Attentive customer service
 Good distribution network –
widely available in overseas
markets
 Good reputation
 Good choice of accommodation
 Environmentally friendly
 Socially responsible universities
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Establishing Strategic Direction:
Ansoff Matrix - SSU
Existing
markets
Existing products
New products
Market penetration strategy
Product development strategy
U.K- need to leverage more usage from
existing customers across all product
categories
Develop new degrees such as
retail management, public
relations, events management, etc.
KTP schemes (DTI)
New
markets
Market development strategy
Diversification strategy
New distribution channels. New overseas
markets.
Investigate optimum global markets
Development of online learning, distance
learning packages for overseas, UK
professionals
Set up an overseas campus in
India, Pakistan or Bangladesh.
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International Decision making model
Business Portfolio Model – Harrell & Kiefer.
Selection of Markets and Product/Market development - SSU
Country attractiveness/priority
High
High
Medium
SSU Compatibility/capability
Primary
U.K
India
China
Taiwan
Malaysia
Hong Kong
USA
Thailand
Korea
Indonesia
Singapore
Medium
Secondary
Europe
UAE
South Africa
Low
Tertiary
Low
Latin America
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