Force 1. Suppliers
The suppliers of PowerBand are mainly from the electronic and rubber product manufacturing industry. Both industries have low concentration ratios, as there are a large number of small firms in the industry. Therefore, the PowerBand has a greater bargaining power and are more flexible in choosing its supplier offering the lower costs. (However, due to our specialized skills and technology required for the production, the PowerBand may cost higher to find skilled manufacturers.)
(http://clients1.ibisworld.com/reports/ca/industry/competitivelandscape.aspx?entid=529)
(http://clients1.ibisworld.com/reports/ca/industry/default.aspx?entid=939)
Force 2. New Entrants
Our product retains a range of functions specialized by high technology …show more content…
However, since it is also important to note that PowerBand also faces several substitutes and rivals to compete for the market share, our company needs to use strategies such as intensive promotion to deliver positive altitude to consumers in the short run. After the product is differentiated, the power of buyer could be reduced by the growing demand for the PowerBand. (However, if the product cannot be distinguished by target successfully, or the number of buyers becomes significant, then the power of buyer can be relatively strong. It is unlikely there is a concentrated buyer for the Powerband, since the gyms and fitness clubs are regarded as our …show more content…
Their consumer groups ranges from 20 to 64 years olds, but the main segments of gyms and fitness clubs market is people under 34, occupying the market consumption by 58.6%. Although the popularity of gyms and fitness club is significant in Canadian market, the convenience and timesaving feature of the PowerBand has the potential to lessen the threat from its
The suppliers of PowerBand are mainly from the electronic and rubber product manufacturing industry. Both industries have low concentration ratios, as there are a large number of small firms in the industry. Therefore, the PowerBand has a greater bargaining power and are more flexible in choosing its supplier offering the lower costs. (However, due to our specialized skills and technology required for the production, the PowerBand may cost higher to find skilled manufacturers.)
(http://clients1.ibisworld.com/reports/ca/industry/competitivelandscape.aspx?entid=529)
(http://clients1.ibisworld.com/reports/ca/industry/default.aspx?entid=939)
Force 2. New Entrants
Our product retains a range of functions specialized by high technology …show more content…
However, since it is also important to note that PowerBand also faces several substitutes and rivals to compete for the market share, our company needs to use strategies such as intensive promotion to deliver positive altitude to consumers in the short run. After the product is differentiated, the power of buyer could be reduced by the growing demand for the PowerBand. (However, if the product cannot be distinguished by target successfully, or the number of buyers becomes significant, then the power of buyer can be relatively strong. It is unlikely there is a concentrated buyer for the Powerband, since the gyms and fitness clubs are regarded as our …show more content…
Their consumer groups ranges from 20 to 64 years olds, but the main segments of gyms and fitness clubs market is people under 34, occupying the market consumption by 58.6%. Although the popularity of gyms and fitness club is significant in Canadian market, the convenience and timesaving feature of the PowerBand has the potential to lessen the threat from its