3.3: Competitors
a. Explanation
Market Share
An estimation of 1,112 renter-occupied apartments in Layton City, Utah (City-data.com, 2016). TONED LLC has 1 unit thus by calculating 1 is what percent of 1,112 equals 0.09% of the market share for this area.
SWOT Analysis
A method for TONED LLC’s strategic plan to evaluate these four elements as they relate to business objectives. This is demonstrated below to help analysis TONED LLC’s marketing strategy:
Strengths
• The rental property is well located in a growing neighborhood with easy access to military bases, churches, neighborhood schools, city parks, shopping and restaurants. Located less than 5 minutes from I-15, the commute to Salt Lake City is approximately 30 minutes.
• TONED LLC has …show more content…
Porter’s book, “Competitive Strategy: Techniques for Analyzing Industries and Competitors” (Advameg, Inc., 2018), he identified six major sources of barriers to market entry modified for a property management business:
1. Economies of scale. Economies of scale occur when existing competitors in the property management industry have achieved economies of scale, it acts as a barrier by forcing new entrants to either compete on a large scale or on a small scale accept a cost disadvantage in order to compete. Also, a number of other cost advantages that act as barriers to market entry are favorable locations, and experience and learning curves.
2. Product differentiation. A barrier to market entry by forcing new entrants to spend time and money to differentiate their products and services.
3. Capital requirements. An example, TONED LLC may require capital investments in order to expand by acquiring existing or constructing new rental property. Capital requirements form a particularly strong barrier when the capital is required for risky investments like research and …show more content…
These assets won't be at risk in case your LLC faces bankruptcy or lawsuits. Profits and losses can get passed through to your personal income without facing corporate taxes. However, members of an LLC are considered self-employed and must pay self-employment tax contributions towards Medicare and Social Security. LLCs can have a limited life in many states. When a member joins or leaves an LLC, some states may require the LLC to be dissolved and re-formed with new membership unless there's already an agreement in place within the LLC for buying, selling, and transferring ownership. LLCs can be a good choice for medium- or higher-risk businesses, owners with significant personal assets they want to be protected, and owners who want to pay a lower tax rate than they would with a corporation (U.S. Small Business Administration,
a. Explanation
Market Share
An estimation of 1,112 renter-occupied apartments in Layton City, Utah (City-data.com, 2016). TONED LLC has 1 unit thus by calculating 1 is what percent of 1,112 equals 0.09% of the market share for this area.
SWOT Analysis
A method for TONED LLC’s strategic plan to evaluate these four elements as they relate to business objectives. This is demonstrated below to help analysis TONED LLC’s marketing strategy:
Strengths
• The rental property is well located in a growing neighborhood with easy access to military bases, churches, neighborhood schools, city parks, shopping and restaurants. Located less than 5 minutes from I-15, the commute to Salt Lake City is approximately 30 minutes.
• TONED LLC has …show more content…
Porter’s book, “Competitive Strategy: Techniques for Analyzing Industries and Competitors” (Advameg, Inc., 2018), he identified six major sources of barriers to market entry modified for a property management business:
1. Economies of scale. Economies of scale occur when existing competitors in the property management industry have achieved economies of scale, it acts as a barrier by forcing new entrants to either compete on a large scale or on a small scale accept a cost disadvantage in order to compete. Also, a number of other cost advantages that act as barriers to market entry are favorable locations, and experience and learning curves.
2. Product differentiation. A barrier to market entry by forcing new entrants to spend time and money to differentiate their products and services.
3. Capital requirements. An example, TONED LLC may require capital investments in order to expand by acquiring existing or constructing new rental property. Capital requirements form a particularly strong barrier when the capital is required for risky investments like research and …show more content…
These assets won't be at risk in case your LLC faces bankruptcy or lawsuits. Profits and losses can get passed through to your personal income without facing corporate taxes. However, members of an LLC are considered self-employed and must pay self-employment tax contributions towards Medicare and Social Security. LLCs can have a limited life in many states. When a member joins or leaves an LLC, some states may require the LLC to be dissolved and re-formed with new membership unless there's already an agreement in place within the LLC for buying, selling, and transferring ownership. LLCs can be a good choice for medium- or higher-risk businesses, owners with significant personal assets they want to be protected, and owners who want to pay a lower tax rate than they would with a corporation (U.S. Small Business Administration,