Course Project I An analysis of the five competitive forces could help Samaritan business in many ways. The first one being bargaining power of customers is very important she needs to be the price leader in the industry. She is on the right track by contacting existing customers every year for their trimming needs. I think that she could use her degree in forestry and the fact that she worked at a large landscape design firm before owning her own business as an advantage for the threat of substitutions.
No matter what business you are in there is always going to be the threat of entrants, that’s why t is important that Samaritan set herself apart and make her business unique and good quality to get repeat clients. As far as rivalry goes she needs to have a decent price for her services and makes sure she does a complete Job in each yard to stand out amongst her competitors. There is no better way to get your business growing like word of mouth.
I think Samaritan may have a little bit of a competitive strategy already in place by differentiating her products and services. A stump removal company is not very common and it is a different business to start. I think that being a cost leader would e a much more effective strategy for her because if she did have competitors this would be a good way to make sure she would get business. I happen to Google tree stump removal services in SST. Louis, MO and happen to get a result of 51 businesses in the area so it’s hard to decide which strategy should be used.
Cantata’s knowledge of her competitive strategy would help her sales and marketing efforts by having business activities being developed to provide essential functions at the lowest price possible. (Kerosene, 2012) Instead of paying for advertising she could use other resources such as social media, advertising on a local tie like scraggliest, she could put up flyer at local stores especially in the spring time when a lot of trees usually need maintenance. She could make her own sales calls which would cut out having to pay someone to do it for her.
Samaritan would more than likely use a computer to generate her information pertaining to sales and marketing. Using a database would be useful because she could keep track of all her clients’ data, invoices, customer reports, accounting, and payroll. She would be able to keep track of all her clients and Jobs and could use a calendar to set up reoccurring services before booking new Jobs. She could also use an information system to gather market intelligence.
She could scan the local market for tree stump removal as well as see what her competitors are doing. It would be most successful for her sales to have a website. Everyone is so computer sax. N. Y these days and most people use the internet to search and reference businesses before hiring them to the Job. She could post pictures of Jobs she has done to reassure her clients that they are getting what they pay for. Www. Google. Com Kerosene, g e (2013, areaway B) nntp://www. Google. Com. Retrieval Trot NTP D. M. (2012). Using MIS. (5 deed. ). Pearson.