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MGMT562 - International Business Strategy
MASTER OF GLOBAL MANAGEMENT
Strategic Global Business Plan
Deliverable 3
SUBMITTED BY
CHANDANDEEP SINGH
MGM PROGRAM
ROYAL ROADS UNIVERSITY
Professor: Terry Power
Royal Roads University
Wharton Fellow
CHANDANDEEP SINGH | P a g e | 2
Ultimatepccure - Corporate Introduction & Executive Summary
It is fair to say that technology changes every day and makes computing uneasy and stressful. The
nature of technology has become advancement and extraordinary development. This creates a
consistent demand for skilled and innovative technology support consultancies like Ultimatepccure to
ease the computing of technology users. With the establishment of Ultimatepccure, requirement of
expert technical assistance that makes computing stress-free, easy and lively will be just a call away.
Ultimatepccure aims at positioning next generation technical consultancy services by offering ultimate
solutions to advanced computer software and hardware problems. With its core technical assets, next
generation support model and service expertise it aims to revolutionize the computer support industry
thereby creating a market niche for its customers. Ultimatepccure will target home, home office and
small business users to build its customer base with a mantra of Deliver, Delight and Devote.
Ultimatepccure will propose highly sought after valued factors in order to offer value to the customers’
money thereby ensuring resolution and customer satisfaction at every level.
With its long term business goals Ultimatepccure will not only establish its niche in market but also
overpower its competitors in every aspect in the same industry. Headquarters will be based in
Mississauga, Ontario, Canada.
Ultimatepccure will place online advertisements take active participation in direct marketing programs
and create strategic alliances with renowned computer resellers in USA, Canada and New Zealand to
develop and promote its business and brand.
Ultimatepccure aims to closely monitor its operations and workflow in order to achieve efficient
operations and 100% customer satisfaction.
Lastly, Ultimatepccure recommended that it would bring the Strategic Global Business Plan into
implementation as the industry has a huge potential for growth and the factors like technology that
drives globalization and success in Industry are in favor of Ultimatepccure.
Computer Repair Industry – Industry Overview
The number of computers in the world is expected to double to 2 billion units by 2014. Computer
repair industry creates a $40 billion industry and it is continuously growing worldwide.1
With updates
and upgrades to operating systems and other software the demand for technical support services is in
huge upswing. Approximately 83% of PC owners start to face difficulties within the 12 month period.
Only 25% of the PC owners felt that they were able to fix their computers when there were problems.
Many TPM’S (Third Party Maintenance) companies have emerged as a result of quick advances in
technology but most of them have failed the customer expectations on resolutions, user friendliness,
quality and pricing. The industry has seen some huge successes in the names of Geek Squad,
Support.com, Iyogi and Plum Choice. Below you find a thorough analysis of the Computer Repair
Industry analyzed using Porter’s Five Forces Model and SWOT Tool.
CHANDANDEEP SINGH | P a g e | 3
Computer Repair Industry – Industry Analysis
It is very important to carefully analyze the industry where the business will be proposed. There are
trends in the industry that result from industry driving forces and customer behavior. There are
essential factors to the entry, establishment, survival and success of business and without detailed
analysis of these factors a company cannot fight and survive a business war. The famous Chinese
military general and strategist Sun Tzu once said “If you know the enemy and know yourself, you need
not fear the result of a hundred battles. If you know yourself but not the enemy, for every victory
gained you will also suffer a defeat. If you know neither the enemy nor yourself, you will succumb in
every battle.”2
The computer Repair Industry is being analyzed using two different but important tools that list all the
factors and trends in the industry. Through analysis of the tools can be found in the Appendices
Sections whereas the crux of the tools is reflected in this document as a conclusion.
Tool 1
Porters Five Force Model A
: Michael Porter's famous Five Forces of Competitive Position model
provides a thorough platform for assessing and analyzing the forces in market that affects the position
of and business organization. This tool is being used to examine the forces behind the essential factors
to the entry, establishment, survival and success of business. Through analysis of the tool is reflected
in APPENDIX A.
CHANDANDEEP SINGH | P a g e | 4
Porter’s Five Forces Model
Supplier Power
 High Remote Access Cost
 Google Ad Word
Auctions
 Payment Gateway
Inflexibility to
Chargebacks
 Competitive Employee
Salaries
Buyer Power
 Trusted Support
 Responsiveness
 Demand for resolution
 Competition
 Purchase Currency
Technology and Support Substitutes
 Upgrades in windows resulting new system
purchases
 Handy Tablets
 Support from Family and Friends
 Self-support by reading tech blogs
 Reliance on Automated software tools like
CCLEANER
New Market Entrants
 Business Licensing
 Trusted Payment Gateway
 Google Ad words Time Slot
 Financial Restraints
 Competition
Competitive Rivalry
 Three major competitors (Support.com,
iyogi and Geek Squad)
 Established brands
 Financial Strengths
 Global Presence
 Global Business Alliances
 Potential Threats from new arrivals
 OEM Support Services
e Rivalry
CHANDANDEEP SINGH | P a g e | 5
1. New Market Entrants - Force Effect: Low ( 5 on a scale of 0-10)
2. Supplier Power - Force Effect: Low (5 on a scale of 0-10)
3. Buyer Power - Force Effect: Extreme High(10 on a scale of 0-10)
4. Competition - Force Effect : High (9 on Scale of 0-10)
5. Technology and Support Substitutes - Force Effect : Very Low (4 On a Scale of 0-10)
Conclusion of Porter’s Five Forces Model: It is very evident that the industry is easy to enter without
huge capital requirements. However, focus on customer support delivery in the form of resolution,
service promptness and easy is of utmost importance to satisfy the power the buyers acquire.
Competition is stiff but the market is huge and growing and a niche can be established by
Ultimatepccure. Suppliers are the mainly the service providers of the automated tools that
Ultimatepccure will use to be technically advanced and work efficient and have lesser power. Company
is offering service based on the skill level of its employees and can award its employees accordingly.
Technology upgrades and innovation of more devices like tablets cause never ending requirement of a
global and skilled support consultancy firm. All in all, the industry is easy to enter and has room for
solid entry and huge potential for growth. Staying competent is the key to success
Tool 2
SWOT ANALYSIS B
: SWOT Analysis is an examination of micro and macro factors of a given industry or
company. SWOT includes micro environment factors and trends that demonstrate the strengths,
Weaknesses of the computer repair industry. It also gives an overview of the weaknesses and threats
caused by the macro environment of the same industry. SWOT Analysis has been put in the APPENDIX
B and its summary is highlighted in this document as conclusion.
Computer Repair Industry - Conclusion of SWOT Analysis: Strengths of the computer repair industry
indicate huge and growing demand for expert technical assistance and opportunity for any competitive
and skilled company to establish quickly. Moreover the support charges of the OEMs and established
support providers and extremely high. The weaknesses in the SWOT Analysis point towards the
competition from the brands that are already established. Customer behavior and trust is hard to gain
for new entrants. Chargeback by customers many times creates big hassles for the Third Part
Maintenance companies as their payments are blocked. OEMs also pose big obstacles in the obtaining
the market share of the industry as a result of trusted brand image. Opportunities conclude the ease of
offering technical support in any global environment as entry barriers are not stringent. Multiple
factors like internet, viruses, Facebook, computer peripherals from different global brands cause the
need for support. Weaknesses point towards the potential risk caused by global competition,
technology upgrades, customer behavior and dropped compute prices. So in a nutshell, the SWOT
Analysis indicates huge market potential, easy entry, some challenges but a supporting global
environment.
CHANDANDEEP SINGH | P a g e | 6
Computer Repair Industry - Global Driving Factors and their Impacts C
There are various factors that really benefit the globalization and get benefits from globalization.
Below you will find very significant factors that totally drive the globalization, relative to Computer
repair industry. Detailed description of the below mentioned factors can be found in APPENDIX C
1. Internet
2. Technology
3. Operating Systems
4. Brand Presence
5. Remote Desktop Access
6. Language
7. Payment Gateways
8. Trade Blocs
9. Google
Conclusion of Global Driving Factors and their Impacts: Remote Desktop access has revolutionized the
technical support industry as it has eliminated the boundaries among the countries so as to offer any
software solution in the computer repair industry. Ease of payments through
Credit/Debit/Discover/American Express cards and Pay Pal has given an equal shoulder for all sorts of
global transactions. Furthermore, both, uniformity in Computer and Tablet Operating Systems
(Windows, Mac, and ios) along with presence of World Wide Web throughout the world are major
drivers that have led this industry to flourish with ease. The power of globally used search engines like
Google, Yahoo and MSN and social networking sites today is the one big factor driving borderless reach
as power can take any business global overnight by bringing it into limelight.
Ultimatepccure – Market Factor Assessment & Market Selection (Foreign & Domestic)
Now we know that entry in the industry in not tough and there is huge growth potential. But apart
from the industry the factors present in the marketplace where business is to be proposed also play
significant role. Ultimatepccure did extensive research in five countries and analyzed the qualitative
and quantitative factors that concern the technical support industry in these countries.
Market Factor Assessment - Factors Assessed: Political, Legal, Economic, Socio-Cultural & Technical
The best way to do the factor assessment of the ecosystem of the countries where the business is
planned is the PEST-C analysis. It is helpful in evaluating the facts and insights about forces (Political,
Legal, Economic, Socio-Cultural and Technical) that drive the growth of a new computer support
business in a particular country.
Target Countries: Ultimatepccure considers Canada, USA, UK, Australia, New Zealand as viable
markets to start the technical support business because of the Purchasing Power, uniform English
language, bigger market size, presence of global brands and extensive usage of technology products in
home and small businesses.
CHANDANDEEP SINGH | P a g e | 7
PEST-C Analysis D
– Through analysis of PEST –C can be read in APPENDIX D but summary of all the
factors and conclusion is framed in this document below:
The ecosystem of these 5 countries gives the following reasons for the viability of potential technical
support business in the above mentioned countries:
 Factors like the GDP, GDP Per Capita undoubtedly indicated the buying power of the economies of
these countries.
 The qualitative factors like government support and financing from bank reflects upon sound
financial stability of the company whenever a need for financial assistance may arise.
 The government is very protective for consumers and small businesses and has strict laws that
prevent local or outside telemarketing companies to spoil the market with incompetent services.
 With the big population, the presence of bigger brands like Dell, Lenovo, Sony, HP, Toshiba etc. also
indicates the strength of market and potential for future support in these countries
 Furthermore, it is very much evident from the data that the technical support industry employs
significant number of people in each of these countries which reflect on the presence and
availability of experienced and competitive employees.
 Equal taxation levels on sale of services, as compared to other goods at services in these countries
enables the cost of the service to stay at competitive prices not disengaging the customers.
 Presence of bigger brands along with variety of operating systems and other peripherals makes the
usage complicated and unfriendly calling huge demand for technical assistance.
 Presence of Iyogi, Geek Squad and Support.com in most these countries make them fairly
competitive with equal opportunity to create brand recognition in parallel to these bigger brands.
 Also, both the internet usage patterns and the availability of high speed internet are very well
suited for support over remote desktop access.
 Due to their busy lifestyle and frequent updates and upgrades in computer programs, people of
these economies are technically less capable of fixing their own computers which is other reason
for the selection of these countries.
Conclusion: Based on the PEST –C Analysis, the external factors clearly indicate the sound functioning
of the business under challenging situations which make these potential countries to be very modest in
practicing a technical support business efficiently. Overall, the Macro environment assessment of these
countries advocates the feasibility of these countries for a new computer support business.
Ultimatepccure: Market Selection using SMART ANALYSIS:
This SMART analysis is to evaluate and weigh factors specific for a business to grow and survive in a
market. Ultimatepccure will evaluate above mentioned five countries and select one country to base
its headquarters at and 2 countries for global expansion of the business.
CHANDANDEEP SINGH | P a g e | 8
Key Success Factors
SMART Model- Market Selection
Proposed Countries Weight
age
Canada United
States
UK Australia New
Zealand
Licensing
Requirements
20 17 15 13 13 16
Headquarters
Proposed
20 20 15 10 10 10
Government
Support/Protection
20 15 15 15 15 15
Political Stability 10 10 7 8 7 8
GDP (Per Capita) 20 15 18 12 10 20
Internet Usage 20 15 16 16 12 13
Financial
Assistance
10 7 8 7 7 7
Skilled Technicians 20 17 18 17 16 15
Competition 20 10 7 9 9 13
Wage Rate 10 8 7 6 7 7
Technology
Awareness
20 18 18 17 16 16
OEM Presence 20 18 20 19 17 15
Total Weighted
Values
210
170 164 149 139 155
Conclusion – SMART Model Analysis: The SMART Model indicated that Canada, USA and New Zealand
are stronger markets due the specific factors that were weighted. Various factors like business
licensing requirements, government support, political stability, per capita GDP, technology awareness,
competition, internet usage, brand presence etc. With Scores of 170, 164 and 155 Canada, USA and
New Zealand demonstrated that they favorable than UK and Australia. Canada is politically and
economically stable whereas USA is a bigger economy that calls for more demand. New Zealand has
the greater GDP than all other proposed countries and least competition among competing countries.
Australia and UK are also somewhat equal opportunity countries and Ultimatepccure will target them
in their long term business goals. Considering the weighted scores resulted from the SMART Model,
Ultimatepccure propose its Headquarters in Canada further propose that it will enter in the Technical
Support industry of USA and New Zealand under its global expansion goals.
CHANDANDEEP SINGH | P a g e | 9
Ultimatepccure: Risk Assessment Analysis
Ultimatepccure used Fish Bone Analysis to discover the factors that cause threat to the growth of new
business in this industry. Fish Bone Analysis is an important tool as it highlights key factors significant
to any situation.
fddd
Fishbone Analysis Risk Assessment Conclusion: Significant factors that cause immediate threat to
growth of a new computer support business in the industry were discovered. The factors found are
competition from OEMs, TPMs, poor work flow management, unskilled technicians, blockage of
payment gateway due to chargebacks etc. inefficient operations, non-availability to Google ad word
time slot cause and lower value proposed to customer in terms of responsiveness, resolution, price,
incompetent service etc. It is very important to target these factors and convert them into business
strengths so as to stay competent and efficient.
Ultimatepccure - Corporate Global Roadmap
BUSINESS OVERVIEW
Ultimatepccure will be delivering next generation Computer Hardware & Software Support Solutions
on Windows, Macintosh, iOS and Android platforms to home, home office and small business users.
With its core technical assets, service expertise and technology awareness the company aims to
develop a smarter next generation support model that will revolutionize the responsiveness, quality
and consistency in technical support service delivery. By using simple but advanced and reliable tools
the company proposes to deliver simple to advanced resolutions to its customers within minutes to
make the journey of all its customers relaxed, user friendly and time efficient.
Factors
that
cause risk
for a new
business
in
computer
support
industry
Google Ad Words
(Cost & Time Slot)
Poor Workflow
Management
Payment
Gateway/Chargeback
s
Competition
(OEMs, TPMs)
Operations CostUnskilled Technicians
Low or
Incompetent
Value
Proposition to
the
Consumers
Risk Assessment Examination using FISH BONE ANALYSIS
CHANDANDEEP SINGH | P a g e | 10
Corporate Global Mission
Ultimatepccure aims at positioning next generation technical consultancy services by offering ultimate
solutions to your all computer problems. With its core technical assets and service expertise it aims to
be consistent on its tradition to understand technical issues of its customers to develop its support
model accordingly. At Ultimatepccure, feedback will always be valued as its service process gets
smarter with every single customer interaction. Our mission is to eliminate all technical hazards of its
clients by its technical know-how, individual attention, customized support models & quality service.
Mission Statement
“Unmatched Service, Resolution 100% 24/7, Revolutionary Customized Support Model, Unbeatable
Price & Easy Computing Life is what?”
“Yes, one 100% Ultimatepccure”
Brand Name
A very through brainstorming was done by the management to decide upon the brand name that can
be recognized quickly as a high quality computer tech support consultancy company. Brands names
such as Ultimatepccure, Orbitgeek and i-techgeek were considered and proposed. A survey was
conducted with the target audience from Canada and America to select the brand name from the 3
management suggested options. Approximately 40% users clicked with i-techgeek followed by 35% and
25% for Ultimatepccure and Orbitgeek. Please note that i-techgeek was not considered as brand
name as itechgeek domain for website name was not available as it belonged to some other
company.
Important Note: Before finalizing upon any brand name it becomes very important that the domain
name exactly matches the brand name and is available on the World Wide Web with the country
specific domains like .ca for canada and .co.uk for UK. And .com that refers to "Top level domain for
commerce." Business cannot be conducted on a global level without a brand presence on the
internet. Matching brand can always cause confusion among customers, so selecting a unique brand
name is equally important as equal is its availability on the World Wide Web in the form of Domain
Name.
A very trusted Domain selling site (www,godaddy.com) was looked upon.
www.ultimatepccure.com and www.orbitgeek.com were available and immediately booked. And
management decided upon finalizing Ultimatepccure as its brand name.
Branding/Positioning Statement
“Ultimatepccure
Add Ease, Add Life to Computing”
CHANDANDEEP SINGH | P a g e | 11
Ultimatepccure Logo
Ultimatepccure Service Excellence Mantra – The 3D Model
“Deliver, Delight and Devote”
Ultimatepccure Goals & Objectives
Long Term Goal
1. Ultimatepccure aims to establish and promote its brand and services on a global scale with offices
in every major country of the world in next 10 years.
2. Ultimatepccure also aims to create its brands awareness and quick brand recognition in next 10
years on a global scale where it has its own image of ‘service excellence and superiority niche’ and
can be easily recognized among other brands
3. Ultimatepccure intends to stay on the top of technology by investing in technology research and
development in creating and offering advanced automated tools and solutions that can automate
the process of software troubleshooting in next 10 years.
Short Term Goals
1. Market entry in Canada, American and New Zealand with headquarters in Mississauga, Ontario,
Canada.
2. A value proposition of timely and practical advanced software solutions, at a customized flexible
pricing, service promptness, and compassion coupled with a 100% guarantee.
3. Establishing strategic alliance with computer resellers in Canada, USA and New Zealand so as to
offer support services to their customers as privileged customers.
4. Exploiting our competitors and creating a market niche for the next generation customized support
model
5. Quickly establishing a brand identity and developing a great reputation among customers to
generate word of mouth advertising.
CHANDANDEEP SINGH | P a g e | 12
Ultimatepccure - Competition Analysis Summary
There are many third party companies competing for their chunk of business in the industry, however,
the potential rivals of the industry include big players like Support.com, Iyogi and Geek Squad. The
potential rivals are selected on the basis of number of customers they serve and the geographic
regions they cover and with the wide variety of services they offer to their customers.
Support.com started as an online support business over the phone but gradually it grew quickly and
continues to expand its customer base. While Geek squad is a subsidiary of Best Buy stores and due to
the presence of best buy stores in North America it gained market as it could reach the customer base
due to its presence on physical basis. Iyogi emerged as one of the fastest growing companies in the
history of technical support when it first started in 2007. Right now Iyogi and support.com offers online
remote assistance and telephonic support whereas, Geek Squad offers services online as well as in
store and at customer’s sites as well. Advanced Computers was established in 1998 in Auckland and
currently offers support throughout New Zealand which is its biggest strength. Iyogi, support.com and
Geek squad are established brand in USA and Canada whereas Advanced Computers is an established
brand in New Zealand. Please see detailed Competition Analysis in APPENDIX E.
Ultimatepccure - Projected Competition Target Goal
Ultimatepccure aims at overpowering the key competitors in the industry in next 10 years. Strategic
Group Mapping Tool was used to analyze the current position of the competitors considering 2
significant factors of the Competitors strength i.e Market Share and Service Quality and Reliability.
Ultimatepccure - Strategic Group Mapping - Analysis Summary & Conclusion0
The below figure demonstrates the strategic group mapping of the competitors current position in
market in relation to the quality and reliability of the technical services they offer. The vertical axis
shows the Service Quality and Reliability in high and low quadrants as shown in the figure respectively,
whereas, the horizontal axis shows the market share of the competitors in high and low quadrants
respectively. Strategic Group Mapping Analysis is used to identify competitors with similar products
and with similar or different characteristics, following strategies to target the same product/service
giving competition in the industry.
Strategic Group Mapping shows Advanced computers in High Service Quality quadrant where as it is
only present is New Zealand and has a lesser reach globally so is shown in lower Market share
quadrant. Support .com has better service quality but it caters to customers only in USA and Canada so
it is placed in the respective quadrants. Whereas Iyogi has a poor service quality but an exceptionally
high reach in USA, Canada, Europe, UK and Australia and is placed in low service quality quadrant and
high market share quadrant. Geek Squad offers standardized service quality and has greater reach in
North America and UK. However it is not present in New Zealand. Ultimatepccure aims to overpower
the competitors in the next 10 years by offering reliable, prompt Service under its guaranteed
resolution program to earn the largest share of the market projected in next 10 years and is placed in
high quadrants.
CHANDANDEEP SINGH | P a g e | 13
Ultimatepccure - Strategic Group Mapping
Ultimatepccure was able to develop its Competition Goal by understanding the current standing of
the competitors using Strategic Group Mapping Tool.
Ultimatepccure – Target Market Segmentation
Ultimatepccure will mainly target home users aged between the ages of 15years -21years and between
30 years-70years. Computer users between the age of 21yers-29 Years are intermediate level users
and most of them can troubleshot basic to intermediate level issues which comes under Tier 1.
Ultimatepccure sees its market comparatively larger the segmented group as it will also offer support
to small business users in any age group. Ultimatepccure has designed its service mix using a
customized support model which basic to advanced resolution ranging from Tier1 – Tier 2 issues under
100% customer satisfaction program. Ultimatepccure will support computers systems my any make
model and Operating System which defines broader market.
HighLow
High
Low
Market Share (Home, Home Office, Small Business)
S
e
r
v
i
c
e
Q
u
a
l
i
t
y
Geek Squad
(Current)
Ultimatepccure
(Projected 10
yearly)
Support.
com
(current)
Iyogi
(Current)
Advanced
Computers
(Current)
Strategic Group Mapping: Ultimatepccure, Support.com, Geek Squad and Iyogi
CHANDANDEEP SINGH | P a g e | 14
Ultimatepccure - Product Mix
Ultimatepccure will offer advanced software solutions coupled with advanced hardware installation
solutions and basic to advanced level computer training as well. It will offer customized resolution
programs over the remote access and telephonic communication based on the customer issues and
needs. Following is the list of services designed by Ultimatepccure for its customers:
Products & Services – “We Deliver What We Say”
We will deliver what we commit to our customers. The following Chart describes the support services
that we will provide for Operating system, Computer Security & Protection, Wireless & Networking, 3rd
Party Hardware & Software and Computer Training:
OPERATING
SYSTEM
(WINDOWS
7, VISTA &
XP)
SECURITY &
PROTECTION
WIRELESS &
NETWORKING
3RD
PARTY
HARDWARE
3RD
PARTY
SOFTWARE
COMPUTER
TRAINING
Upgrade or
Reinstall &
Set-up
Virus,
Malware &
Trojan
Removal *
Support
Browser
Issues*
Set Up &
Configure
Printer or AIO
Devices*
Set & Install
Microsoft
Office*
Basic
Computer
Training
(5 Hours)
Optimize
Corrupt
Registry
Entries*
Set Up &
Configure
Firewalls*
Set Up
Wireless
Security*
Memory &
Disk
Upgrades
Configure
Microsoft
Outlook for
Home or
Office Use*
Intermediate
Computer
Training
(10 Hours)
Recovery &
Restore
Set Up &
Configure
Antivirus *
Optimize
Wireless and
TCP/IP
Settings*
Add Graphics
Card or
Wireless Card
to Desktops
Support for
Social
Networking
Sites and
Chatting
Softwares*
Internet
Training
(10 Hours)
CHANDANDEEP SINGH | P a g e | 15
Boost Speed,
Start Up &
Performance
*
Adware &
Spyware
Removal*
Set Up
Wireless
Network at
Home or
Office*
Setup &
Configure
Smartphones
(Blackberry,
Android,
Iphone)
Configure
Email on
Smartphones
(Blackberry,
Android,
Iphone)
Advanced
Computer
Training
(60 Hours)
Configure
Audio &
Video
Codecs*
Release
Browser Hi-
Jacks*
Support for
Intermittent
Internet
Disconnection
Set Up
External
Drive for
Data Back Up
& Storage*
Data Back-Up
Storage &
Transfer
Internet & MS
Office Training
(25 Hours)
*Indicates Support Availability on Remote Access
Indicates Tier 1 Level 1Support
Indicates Tier 2 Level 2 Support
Indicates Tier 3 Level 3 Support
Ultimatepccure – Competitive Edge
Ultimatepccure sees its competitive advantage its next generational customized revolutionary direct
support model which does not includes any fixed pricing. It would use next generation support model
for all the software related issues. Next Generational support model includes instant support over
remote access with even calling Ultimatepccure. Customer would be able to sign up for next
generation support model where they can be instantly connected to remote technician by clicking on
the embedded link under their account for Logmein Remote Support Tool on its website
www.ultimatepccure.com.
Ultimatepccure - Value Proposition Tool: Offerings in the A Spot
 We offer first call/remote connect resolution
 We stand behind our work
 We provide expert support at price less than reasonable support charge
 We do our best to make it right first time for you
 We offer untiring & unmatched technical service via convenient channels
 We develop customized service plans as per customer needs
CHANDANDEEP SINGH | P a g e | 16
 We Maintain transparency in all our customer interactions
 We treasure your feedback at every level
 We train our technicians on latest equipment and updates frequently
 We follow 3D principle to deliver delight & devote
 We value your time and computing needs
 We are hungry for your satisfaction
 We are offer comprehensive solutions to your all technical hazards
 We use next generation tools to provide you convenient and prompt assistance
Conclusion: Ultimatepccure aims to target the above mentioned A SPOT in the Value Proposition Tool.
The values created and described above by Ultimatepccure will be its Key Success Factors to compete
in the computer support industry in the proposed counties
Advanced
Computer
s
Geek Squad
IyogiSupport.c
om
Ultimatepc
cure THE A SPOT
Value Proposition - Ultimatepccure
CHANDANDEEP SINGH | P a g e | 17
Ultimatepccure – Proposed Business Strategies & Action Plan
Ultimatepccure will follow the below mentioned strategies as its toot map to reach its proposed
milestones.
Market Entry Strategy
Ultimatepccure will enter Canadian and American Market using direct domestic and foreign
investment strategy in Canada and USA. In New Zealand’s market Ultimatepccure will enter as an
Canadian Online Technical Support Company under its global expansion goals.
Market Entry - Action Plan
1. Ultimatepccure will base its Global Headquarters in Mississauga, Canada and rent out a 1500 Sq. ft.
office space that belonged to one of its business partner Jeet Bansal for which monthly rent of
$2500 would be paid.
2. Ultimatepccure will buy a pack of 5 domains which are (.info, .net, .org ,.us and.ca).Please note that
.com domain is already purchased for $9.99 and will be added to the total cost summing up to
$40.95 annually.4
3. Ultimatepccure will currently develop and launch websites with three domains which would be
.com, .ca and .co.nz. Bikramjit Singh and Aman Singh would be the web developers and Search
Engine Optimizers for Ultimatepccure.com. They would be the business partners as well. The 3
website.
4. Ultimatepcure will buy a remote desktop tool access package from Logmein and embed it in its
website so as to give easy access to its customers to reach its skilled technicians costing $5940.5
5. Ultimatepccure will buy payment gateway from Pay pal to process the financial transactions for
Canadian, American and Kiwi Customers. Payment gateway will accept all major credit, debit cards
including American Express. Approximate cost is $35 monthly.6
6. Ultimatepccure will buy IVR Interactive Voice Response system from voip.ms for networking and
communication purposes. With a Monthly Fee: $1.49 of and Per minute inbound: $0.032 it is the
cheapest and trusted option available with variable cost so it cannot be added to financial summary
of expenses.7
7. Ultimatepccure will Assemble 10 customized Powerful Workstations and 2 System Server. The
single unit of PC will cost $400 with each Server unit costing at $1000. 0
CHANDANDEEP SINGH | P a g e | 18
Pricing & Refunds Strategy
The pricing strategy of Ultimatepccure will be based on Cost Based and Value Based.8
Action Plan
Cost Based Pricing: Cost based pricing would include services under tier 1, tier 2 and tier 3 mentioned
in the product mix section of this plan where the respective issues will be charged at $39.99, $79.99,
$99.99. Ultimatepccure will also offer Annual Subscriptions of its services to its customers for $149.99,
$229.99, $299.99 for 1 year, 2years and 3 Year Unlimited Remote Support.
Iyogi is offering its subscriptions for $169.99, $269.99, $369.99 for 1 year, 2years and 3 Year Unlimited
Remote Support.0,9
Value Based Pricing: Ultimatepccure have competitive advantage in value based pricing where it will
carefully diagnose the severity issue and offer a customized based valued pricing to its customers. It is
very important to bind the customers even if enough profit is not made as these customers will very
often buy annual support plans and can give good word of mouth advertising.
Refunds
Ultimatepccure will offer 100 % satisfaction program to its customers where if under any
circumstances, a permanent resolution is not provided to the customer, he will be given a complete
refund along with tier 1 free support incident. To be eligible for refunds customer would have to call
back and report within 7 calendar day time period.
Strategic Alliance Strategy
Ultimatepccure will thrive to achieve strategic partnerships with computer resellers in Canada, USA
and New Zealand under its global expansion short term business plan. Strategic Partnerships will help
in business development for Ultimatepccure as it will be able to offer its expert service to privileged
customers of resellers.
CHANDANDEEP SINGH | P a g e | 19
Action Plan
Ultimatepccure will approach computer and peripheral resellers like Tigerdirect in USA and Canada and
Elive in New Zealand strategic alliances.10,11
These resellers would sell Ultimatepccure Annual
Subscriptions under their store’s value based program and association with Ultimatepccure.
Ultimatepccure will also be listed on their websites and in store flyers and other direct promotion
marketing material.
Sales & Marketing Strategy
Marketing Strategy
Strategy 1
Ultimatepccure will market itself under Google Ad words Program. Under Google AD Word Program a
user enter a keyword such as tech support in google.com and it lists various companies offering tech
support.
Action Plan 1
Ultimatepccure will purchase “Microsoft Support” and “Virus” words as its ad words from google with
specific time slots on monthly basis running it under different times of the day. In weekdays the ad
word time slot would be 11am to 1 pm and 7 pm to 9 pm. During weekdays ad word time slot would
be from 11am to 6pm. Please note that ad words would not be purchased to run for the whole day as
it incurs significant cost to a new business. An estimate of google ad words cost was obtained from to
Mr.Johar, who works for Google Adwords. The monthly cost to run google adwords campaign for
selected ad words during the proposed time slots is approximately $1700.
CHANDANDEEP SINGH | P a g e | 20
Estimated cost and response statistics of running the ad word for complete day can be seen in the
image below12
:
Strategy 2
Search Engine Optimization (SEO)
Ultimatepccure will optimize its website for better ranking and visibility on search engines.
Action Plan 2
Aman Singh and Bikramjit Singh who are active partners and IT Programmers will work towards using
Google Analytics and SEO Tools to promote Ultimatepccure as a trusted technical support band with
higher visibility probability on search engines like Google, Yahoo, MSN, AOL search engines.
CHANDANDEEP SINGH | P a g e | 21
Strategy 3
Ultimatepccure will place online advertisement on different technical resource websites where users
log in to read tech support articles to help themselves.
Action Plan
1. Ultimatepccure will interchangeably place online banner ads on home pages and tech blog pages of
websites like pcworld.com and cnet.com containing keywords windows 7, Outlook, Virus, Blue
screen and Wireless Set up. Ultimatepccure will align a monthly budget of $2000 to run these
banner ads on these websites.
2. Ultimatepccure will take active participation in responding to tech blogs on different websites
offering resolutions and free incidents to users online under its ad promotion campaign on monthly
basis.
3. Ultimatepccure will create its own tech blog with latest articles and updates on windows, mac, ios
and other computer related devices.
Samples of mock banner ads designed by Ultimatepccure can be seen below:
Mock Ad 1
CHANDANDEEP SINGH | P a g e | 22
Mock Ad 2
Strategy 4
Ultimatepccure will take active participation in direct marketing to target its small business customers.
Action Plan
To target the small business owners, Ultimatepccure will distribute flyers inside the newspapers like
Toronto Star, Mississauga News, USA Today, The Wall Street Journal and The New Zealand Herald as
they have big circulation and readership. It will allocate a yearly Budget of $25000 to circulate these
flyers.
Operations Management Strategy
Ultimatepccure will ensure the smooth running of business operations in all the departments by
allocating right people for the right job by giving them the resources necessary to get the job done.
Action Plan
1. The operations will be shift based where a team of technicians will have 10-15 technicians along
with A Subject Matter Expert and a Team Manager.
2. CRM system from Karma CRM will be used costing $49/month which is the initial startup cost for 15
member access. Technicians and SME’s will record daily incidents to keep a track of customer
CHANDANDEEP SINGH | P a g e | 23
information. As the business progress Ultimatepccure will invest in developing its own CRM Tool
with embedded link to all other tools and Ultimatepccure website.13
3. When customers dial toll free number they will not have to wait in the long queues and will directly
reach the expert technicians who diagnose the system using remote access tool Logmein and offer
our value based and cost based pricing support plans.
4. Customers will be charged directly by the skilled technicians and immediately supported.
5. Once the issue is resolved SME will talk to the customers take their feedback and log it into the
CRM. Incident would only be closed after SME’s confirmation
6. Once an incident is created it have be closed within 4 business hours with certain exception where
customer cannot continue troubleshooting or customer does not have media or a goo known device
required to troubleshoot.
7. Currently Sales, Marketing and HR Operations will be developed and supervised by the Managing
Director and CEO.
8. IT department will be under the direct supervision of IT Director with CEO assisting him at every
level. A Programmer and Graphics designer will be hired to add value to IT Department.
Workflow Monitoring/Accountability Strategy – Management By Objectives (MBO)
Ultimatepccure will make sure that the workflow runs smoothly and efficiently in accordance to the
corporate goals and objectives.
Action Plan
1. Managing Director will use MBO Principles as guidelines to develop a tracking mechanism for
ensuring the achievement of defined corporate goals and objectives at every workflow quarter.
2. Quality control and Ethics department will be in control of its director. 2 Skilled workflow
technicians and an Auditor will be hired to listen to the technical calls and send surveys to the
customers and feedback to the all the employees.
3. Online surveys will be sent to the customers and their feedback will be discussed with the
concerned technicians
Management Plan & Organizational Structure
Every team of technicians Ultimatepccure will have 10-15 technicians along with A Subject Matter
Expert and a Team Manager. Each Team Manager will directly report to process director and Process
director will be in Close contact with Managing Director and IT Team. Managing Director will directly
report to the CEO. Every major decision making will take participation by SME’s, Team Managers, and
CHANDANDEEP SINGH | P a g e | 24
Directors from all the departments, Managing Director and CEO. Recommendations proposed would
be carefully analyzed.
Name Designation Education
Bikramjit Singh CEO & Partner MSC. In computer Science
Chandandeep
Singh
Managing Director & Partner Master of Global Management
Aman Singh IT Director & Partner MSC. In computer Science
Jeet Bansal Quality Control Director & Partner Master of Arts
Samom Meetei Technical Support Process Director &
Partner
Master in ICT
Annual Financial Plan
All the partners would contribute $5000 as the startup capital which would sum up to $25000. Monthly
cost excluding variable costs, employee salaries and miscellaneous expenses is $6584.
CEO
Managing Director
Technical Support Process
Director
Team Manager
SME
10-15 Skilled Techncians
IT Director
Programmers
Graphic Designers
Quality Control Director
Quality Control Engineers
Auditors
CHANDANDEEP SINGH | P a g e | 25
Top Management will not receive any salaries for the period of first 3 months in order to develop
business up to a profit earning level.
Monthly Salaries would be decided based on the skill level and education of the potential employees.
Annual financial cost to run the business globally in 3 countries at a time is approximately half million
dollar which does not include middle level management and low level management salaries and other
variable expenses which cannot be project at the moment.
Ultimatepccure will seek financial assistance from Business Development Bank of Canada in the form
of business loans for any financial need may arise.
Annual
Financial Plan
(in CAD$)
Business
Expense
Estimated Cost Monthly(in
CAD$) Annually
One Time
Expense
Grand
Total
Office Space $ 2,500.00
$
3,000.00
Website Domain
Cost
$
40.95
Logmein Access
$
5,940.00
Payment Gatway $ 35.00
$
420.00
10 Workstations $ 4,000.00
2 Servers $ 2,000.00
Google Ad Words $ 2,000.00
$
24,000.00
Online Banner Ads $ 2,000.00
$
24,000.00
Flyers Circulation
$
25,000.00
Karma CRM $ 49.00
$
588.00
Salaries (1st Year)
CEO 100000
Managing Director 80000
Process Director 70000
IT Director 80000
Quality Control
Director 60000
CHANDANDEEP SINGH | P a g e | 26
Total $ 6,584.00
$
472,988.95 $ 6,000.00
$
478,988.95
Grand Total
$
478,988.95
Decision Making Recommendation
Globalization is at upsurge and is creating huge demand for products and services that offers value and
can be accepted globally. Technology is one big Product and Service that completely drives
globalization. With advancements in technology, knowledge and training about using and learning the
technology is foreseen. Keeping up to date with technology is no simple process as it changes rapidly.
Computer Support is big segment of the advanced technology industry across the globe. With the
frequent updates, upgrades and invention of latest gadgets and devices a consistent demand for
skilled and innovative technology support consultancies like Ultimatepccure to ease the computing
of technology users is anticipated. Facts and trends presented in the plan are witness of the growth
potential of the computer support industry.
At this stage, Ultimatepccure aims at positioning next generation technical consultancy services by
offering ultimate solutions to advanced computer software and hardware problems. With its core
technical assets, next generation support model and service expertise it aims to revolutionize the
computer support industry thereby creating a market niche for its customers. Ultimatepccure will
target home, home office and small business users to build its customer base with a mantra of Deliver,
Delight and Devote.
The plan describes the best of strategies designed by Ultimatepccure based on the thorough analysis of
the market, industry, competition and core strengths of Ultimatepccure. A right mix of product, place,
price and promotion is the fundamental asset of Ultimatepccure with market conditions favorable for
survival and significant future growth. It is therefore highly recommended that Ultimatepccure must
pursue this business opportunity commencing year 2013 using its Deliver, Delight and Devote Mantra.
“Ultimatepccure
Add Ease, Add Life to Computing”
CHANDANDEEP SINGH | P a g e | 27
Notes
0. Please note that developer of this business plan has an extensive work experience working in the technical
support industry for companies like Dell, Iyogi, Vast Computers, Vtechsquad and Ultimatepccure. Knowledge
of Industry insights and customer behavior referenced with endnote symbol 0 is a reflection author’s
experience working in this industry serving American, Canadian, British, Australian and Indian Customers.
Author can produce the evidence of his work experience in these companies whenever asked.
1. http://www.windowsrenew.com/start-a-computer-repair-business/ 12/02/2012
2. http://www.goodreads.com/author/quotes/1771.Sun_Tzu 12/02/2012
3. http://www.scambook.com/report/view/150502/VTechSquad-Complaint-150502-for-$100.00 12/02/2012
4. http://www.godaddy.com/domains/searchresults.aspx?ci=54814# 12/02/2012
5. https://secure.logmeinrescue.com/purchase/plans.aspx 12/03/2012
6. https://merchant.paypal.com/ca/cgi-bin/marketingweb?cmd=_render-content&content_ID=merchant/home&nav=2
12/05/2012
7. http://voip.ms/tollfreecanus.php 12/05/2012
8. http://cripoll.wordpress.com/2010/03/01/price-value-and-cost/ 12/05/2012
9. https://services.iyogi.net/register/subscription/ 12/05/2012
10. http://www.tigerdirect.ca/indexca.asp?SRCCODE=CANWGOOCABRA&cm_mmc_o=mH4CjC7BBTkwCjCECjCE&gclid=CN-
k4_OQhbQCFYN_QgodnDgAKQ 12/05/2012
11. http://www.elive.co.nz/ 12/05/2012
12. https://adwords.google.ca/ko/TrafficEstimator/Home?__u=1511855625&__c=3583393665&__o=kt 12/05/2012
13. http://www.karmacrm.com/pricing 12/05/2012
CHANDANDEEP SINGH | P a g e | 28
APPENDIX - A
Porters Five Force Model: Michael Porter's famous Five Forces of Competitive Position model provides
a thorough platform for assessing and analyzing the forces in market that affects the position of and
business organization. This tool is being used to examine the forces behind the essential factors to the
entry, establishment, survival and success of business.
1. New Market Entrants - Force Effect: Low ( 5 on a scale of 0-10)
The computer repair industry is easy to enter as it does not involve complex business licensing
requirements. The financial cost to enter the market is very economical. A business can be started with
a user friendly website, trusted payment gateway and a Google ad word time slot. Since technical
support in this business requires access to remote access software freeware like Team Viewer can also
be used.0
Competition from established brands like Geek Squad can be a challenge as they are already
present in the market and capitalizing on the bigger share of the market.
1. Supplier Power - Force Effect: Low (5 on a scale of 0-10)
The major suppliers of the industry include companies that provide web hosting servers, domain name
providers for website, Google Ad Words Auctions Agency, Payment Gateway and Remote Access
Partners. They all include a startup cost to offer a virtual platform of tools and services in the form of
analytics or tools and later charge annual fee for their tool or server usage. It is important for them to
be consistent with their service and technical upkeep. Since the known companies offering these tools
also cater to bigger conglomerates so their efficiency is not questioned unless timely financial
constraints are being fulfilled by their customers. One major force in the supplier power is the benefits
and perks offered to the employees of the company as this industry is highly competitive and skilled
employees seek better opportunities and benefits.
2. Buyer Power - Force Effect: Extreme High(10 on a scale of 0-10)
Customers of the Industry seek support from trusted and trained professionals who can give them
quicker first call resolutions. Responsiveness in terms of accountability, empathy and resolution is very
important to customers. Competition makes buyers confused and suspicious and they make wrong
decision in selecting their personal technical support consultancy company that is unskilled or
incompetent. The purchasing currency of buyer is very alluring to the support provider and buyers
negotiate on the customized pricing based on their currency.
3. Competition - Force Effect : High (9 on Scale of 0-10)
Competition in the computer support industry is very critical to the growth and survival of a new
business in the industry. Established brands like Support.com, iyogi and Geek Squad and plum choice
already has their niche developed in the industry and they have financial strengths and strategic global
alliances with to support them in bad times. OEMs like dell, IBM, HP have their own technical support
which is also trusted for resolution. Threats from potential or emerging support firms cannot be
undermined.
CHANDANDEEP SINGH | P a g e | 29
4. Technology and Support Substitutes - Force Effect : Very Low (4 On a Scale of 0-10)
Upgrades in operating systems every 2-3 years force customers to buy new computers instead of
getting older device repaired. Handy tablets like Ipad, Nook and Kindle Etc. have also substituted
complex windows and mac based computers. Many customers have become tech aware and can
resolve basic technical issues by reading online blogs and using automated software like CCLEANER.
CHANDANDEEP SINGH | P a g e | 30
APPENDIX - B
Computer Repair Industry - SWOT Analysis0
(Reference 0 in this document reflects judgments made
from author’s solid work experience in the technical support industry)
STRENGTHS WEAKNESSES
 Every low or high end computer systems need
maintenance regularly
 Low entry barriers make this industry highly
competitive for existing businesses
 Every computer fail on regular basis with mostly
software issues mainly virus, internet browsing
and emails issues
 The increase in devices that can be connected
to computer brings challenges for many TPM
software support technicians
 Multiple software and devices are innovated to
be used with or on computers for fun,
education or business which demands for
software and hardware installation support
 Large computer repair services, such as Geek
Squad, grow to a large scale by opening
numerous outlets throughout the country with
support from big brand name of Best Buy
 During recession also, customers prefer to get
computers repaired instead of buying a new one
and that further demand
 People do not see computer repair service as a
professional occupation and try to bargain on
price that includes support from experienced
professional
 Development of Remote desktop Control
software had reduced the costs of expensive on-
site services as well as long and inefficient
telephonic support
 OEM's have started offering factory recovery
on the computer itself which is easy to use and
can fix any major software issue
 Installation and software maintenance,
including virus protection, Internet connectivity,
Email issues are very common support drivers
 Some OEM's and TPM service providers replace
the parts instead of diagnosing and repairing
for software issue which takes business away
from trusted TPM companies as well
 OEM's charge for software support services is
comparatively very high than TPM service
providers.
 Chargeback asked by customers even after
taking support is increasing and it is difficult for
TPM companies to maintain economies of scale
 Practically it is not possible for Computer repair
shops to serve area larger than local area
 Computer Repair Industry is still dominated by
original equipment manufacturers (OEM's)
OPPORTUNITIES THREATS
 New innovations in the computer technology
continue to provide new opportunities for TPM
companies
 OEM'S focused to develop sophisticated, user
friendly, reliable machines to compete with
each other
CHANDANDEEP SINGH | P a g e | 31
 The rise of tablet PCs and smartphones creates
the potential to serve new markets, increasing
the revenue that the TPM can cash upon
 Level of business ethics is dropping in the
computer repair industry as many companies
like V-Techsquad use unethical business
practices to boost sale by linking themselves to
Microsoft, Netgear etc.3
 TPM computer support companies can benefit
from the opportunity of developing strategic
partnerships with ISP's and generate more
business
 Because of the dropped prices, computers are
cheaper than ever and people replace their
computer even when the hardware is working
fine
 New editions of Windows every 2-3 years makes
consumers to demand more from this industry
demand
 Services of TPM computer companies are
undervalued because many people think that
their relatives, cousins, colleague or someone
they know can fix computers
 Online support can be made available to any
computer in any remote area with the
requirement of just an internet connection with
ease of payment as well
 The competition is forcing the companies to
raise the salaries of the support staff to
decrease attrition rate which is the main
operations cost of the TPM companies
 People are beginning to fear from new forms of
viruses, email hackers, Trojans and spywares
CHANDANDEEP SINGH | P a g e | 32
APPENDIX - C
Computer Repair Industry - Global Driving Factors and their Impacts
There are various factors that really benefit the globalization but below you will find very significant
factors that totally drive the globalization, relative to Computer repair industry.
1. Internet: World Wide Web has reached to almost every corner of this world. It has narrowed the
gap among the people via internet, email, instant messenger, remote sharing and VPN (Virtual Private
Network). Within no time anyone using the WWW can get any info on a topic, country, company,
product, service and person. Ebay, Amazon and Google have revolutionized the traditional business
models where physical reach of the seller was a requirement to create brand awareness.
2. Technology: Technology has been very flexible in terms of advancement. Every day, thousands of
new gadgets, software, tools, networking devices are innovated globally. The advances in technology
have directed this world to globalization. Globalization actually resulted from technology as it mended
the gap among countries of the world and gave rise to borderless trade.
3. Operating Systems: Availability of uniform operating systems like Windows, Macintosh, iOS (idevices
software e.g. ipad, ipod, iphone), Android and Linux is one major driving factor of globalization.
4. Brand Reach: Brand reach, awareness and recognition are very important from global business
perspective. Established brands like Coca Cola, Mcdonalds, Microsoft does not need any introduction
in any part of the world.
5. Remote Desktop Access: With the development of remote desktop access tools like Team Viewer,
Logmein and Gotoassist etc. users can now control computer systems in any part of the world to stay
tuned on stock exchanges, give and take technical assistance, share e-documents like images, logos,
files etc.
6. Language: English Language uniformity and acceptance across the global is key factor driving
globalization
7. Payment Gateways: Payment gateways like CC Avenue have brought the global financial aspect of
businesses very closer. Companies can charge and obtain payment from customers using various kinds
of debit and credit cards from any part of the world after automatically changing the currency.
8. Trade Blocs: Trade blocs like NAFTA, EU and ASEAN etc. have brought different countries of the
world one step closer as member countries involved in trade blocs can trade products and services
with lowest trade barriers among each other.
9. Google: Last but not the least, this Mr. Google is the biggest contributor in the success of
Globalization. It has the ability to make and destroy a brand globally. It has the power to make any
brand popular overnight in any part or the whole world.
CHANDANDEEP SINGH | P a g e | 33
APPENDIX - D
Target Countries: Canada, USA, UK, Australia, New Zealand
Factor Assessment Using Pest-C Analysis: Canada
PEST Analysis
Political-Legal Economic
Licensing Requirements
Federal Business Registration – Canada Revenue
Agency. Obtain GST/HST1
Business Licence 1
Employment Agency Licence 1
Temporary Foreign Workers Permit1
GDP & GDP(Per Capita)
GDP $1,181,000,000,000.0010
GDP Per Capita $36,275.4410
Taxation levels - GST/HST Percentage
Ontario: 13%2
British Coloumbia: 12%2
Alberta and Sasketchwan: 5%2
Income Distribution patterns
“In 2010, the average after-tax income in Canada
for the bottom 20% of family units (after-tax
income of $24,300 or less) was $14,600, and for
the top 20% (after-tax income of $89,300 or more)
was $135,500”11
CHANDANDEEP SINGH | P a g e | 34
Government Legislation on DNCL/Internet Usage
“In September 2008, the National DNCL was
launched to help Canadians reduce the number of
unsolicited telemarketing implying stringent rules. 6
CRTC (Canadian Radio-television and
Telecommunications Commission) ended unlimited
internet access plans offered in February 2011. But
it was opposed by federal government as it would
create issues for Canadian small businesses, job
seekers and innovators.7
Credit Availability
Canadian banks offer loan/ credit lines and
personalized services for businesses based on
needs.3,4,5
Government Supported Programs like:
Canada Small Business Financing Program are also
available.4,5
Government Support for Small Business &
Promotion
Government has helpful approach.
Federal Economic Development Agency assist new
entrepreneurs in support programs like:
 Eastern Ontario Development Program
 Community Futures Program
 Economic Development Initiative
 Business Development Bank of Canada
 Investing in Business Innovation8
Inflation
1.2% as of September, 201212
Political Stability
 Very strong democratic values with confident
voting system
 Three major Political Parties include Liberal Party
of Canada, New Democratic Party and the
Conservative Party of Canada
 The conservative party won the election again on
May 2nd
, 20119
 Various government agencies and departments to
support the smooth functioning of the political
system
Unemployment Rate
7.4% as of September 201213
CHANDANDEEP SINGH | P a g e | 35
Wage
Average wage for User Support Technician in
Canada depends upon cities and is in between
$16.92 -$23.52/hour14
Social-Cultural Technological
Population
34,880,491 as of July 201215
Rate of Computer Obsolescence
Average life of computer with maintenance is 5
Years24
Employment Patterns/Education level
In the Canadian Government’s NOC list, the
technical support technician is classified as User
Support Technician with Code 2282. 16
According
to Calgary’s economic development agency, the
total number of employees working as User
Support Technicians in 2010 were 55,22517
Average Annual Employment Income18
Average Annual Employment
Income
Unit Group
2282
Full-time, full-year 67.5%
Internet Usage Trends
“In 2010, 80% of individuals aged 16 years and older
used the Internet for personal use. Significant
differences in use rates exist based on age, income,
location and other factors. Residents of British
Columbia (86%) and Alberta (84%) reported the
highest use rates. Rates were lowest in
Newfoundland and Labrador (73%) and New
Brunswick (70%)25”
YEAR26
Population Users
2000 31,496,800 12,700,000
CHANDANDEEP SINGH | P a g e | 36
Average income 45,231
0-19999$ 7.1%
20000-49999$ 61.2%
50000$ and over 31.8%
Employment Distribution by Highest Level of
Schooling19
Employment Distribution by
Highest Level of Schooling
Unit Group 2282
Less than high-school 1.4%
High-school 14.4%
Post-secondary 65.4%
Bachelors 18.9%
2003 32,050,369 20,450,000
2005 32,440,970 21,900,000
2008 33,212,696 28,000,000
Computer Usage Lifestyle & Preferences
1. Facebook users in the Canada sum to 18573940
users which makes “Canada #13 in the ranking
of all Facebook statistics by Country.”20
Back to School Life21
Public elementary and secondary
enrolment
5,077,021
Post-secondary enrolment 1,905,516
Main OEM’ Brands
 Dell
 IBM
 TOSHIBA
 SONY VAIO
 HP
 ASUS
 SAMSUNG
 ACER
 MDG
 APPLE
CHANDANDEEP SINGH | P a g e | 37
Teachers and professors 773,300
Leisure Time22
Age Group - 15-24yrs 26.61353835 %
Age Group - 25-44yrs 18.38970252 %
Age Group - 45-64yrs 23.1658357 %
Operating System Usage
 Windows
 Mac
 Ios
 Android
 Blackeberry
Spending Patterns
“$15.3 billion — The total expenditure on
education (including school supplies, textbooks,
tuition fees, other courses and lessons and
educational services) by all households in Canada
in 2010”23
Technical Know How & Computer usage of
Average Canadian
 46 per cent of households who have income
below than $30,000 had no internet access27
 In the income category of $87,000 and above
only 3% were offline28
 “Among those who aren't online, the main
reason given was having no need or interest
(56 per cent)”29
 “12% of households said they lacked
confidence, knowledge or skills”30
CHANDANDEEP SINGH | P a g e | 38
Factor Assessment Using Pest-C Analysis: United States of America
PEST Analysis
Political-Legal Economic
Licensing Requirements
1. No specific license for the role of
user support technician
2. Federal Business Tax ID31
3. Register business as DBA “Doing
Business As” with US SBA(Small
Business Administration)32
GDP & GDP(Per Capita)
GDP $13,060,000,000,000.0038
GDP Per Capita $43,680.6738
Taxation levels - GST/HST Percentage
1. Tax in US varies according to
states and cities
2. Average sales tax rate is 9.60%33.
“Income Distribution Patterns39”
CHANDANDEEP SINGH | P a g e | 39
Government Legislation on DNCL
/Online Sales
Very Strict and detailed laws34.
Also
Telemarketers need to obtain state
telemarketing licenses. More details can
be found on the endnote35
Credit Availability
Banks are open to offering loans, line of credit and US SBA
financing40, 41
CHANDANDEEP SINGH | P a g e | 40
Government Support for Small
Business & Promotion
In order to ensure that small businesses
are self-confident to start, grow and create
jobs the President’s 2013 Budget will
have finance provisions for business
access to credit, decrease taxes, boost
investment and promote impact
investment etc. 36
Inflation
“The inflation rate in the United States was recorded at 2.00
percent in September of 201242”
Political Stability
135 years of political stability37
Unemployment Rate
7.8% as of September 201243
Wage
Average wage for User Support Technician in USA considering
10 biggest cities is $24/hour44
Social-Cultural Technological
Population
According to the U.S. Census Bureau, current US
population is 314,688,77745
Rate of Computer Obsolescence
5years
Employment Patterns/Education level46
“Computer Support Specialists “
Internet Usage Trends50
REGION
Population
2010 Est.
Internet
Users,
June,
2010
Internet
Penetratio
n
CHANDANDEEP SINGH | P a g e | 41
2010 Median Pay
$46,260 per year
$22.24 per hour
Entry-Level Education
Some college, no
degree
Work Experience in a
Related Occupation
None
On-the-job Training
Moderate-term on-
the-job training
Number of Jobs, 2010 607,100
Job Outlook, 2010-20
18% (About as fast
as average)
Employment Change, 2010-
20
110,000
Total
United
States
310,232,86
3
239,893,
600
77.3 %
Computer Usage Lifestyle & Preferences
1. Currently 167554700 Facebook users47
2. Back to School PC Shipments decreased in USA
for all major manufacturers except Lenovo in Q3
OF 201248
Main OEM’ Brands
 Dell
 IBM
 TOSHIBA
 SONY VAIO
 HP
 ASUS
 SAMSUNG
 ACER
 GATEWAY
 APPLE
CHANDANDEEP SINGH | P a g e | 42
Leisure Time49
Age Group 15-24years 27.09456181 %
Age Group 25-44years 19.53077921 %
Age Group 45-64years 22.68727407 %
Operating System Usage
 Windows
 Mac
 Ios
 Android
 Blackberry
Factor Assessment Using Pest-C Analysis: UK
PEST Analysis
Political-Legal Economic
Licensing Requirements
Licensing Requirements for New Business 51
 Register as self-employed with HM Revenue &
Customs (HMRC)
 Income Tax and Self-Assessment
 National Insurance contributions
 Value Added Tax (VAT)
 Self-employed record keeping
GDP & GDP(Per Capita Income)
GDP $2.2 trillion56
GDP Per Capita $34,920 per capita56
CHANDANDEEP SINGH | P a g e | 43
Taxation levels – VAT Percentage
3 Rates depending upon goods and services52
 Standard - 20 per cent
 Reduced - 5 per cent
 Zero - 0 per cent
“Income Distribution patterns”57
Average family income in the UK is
£2,066
Government Legislation on DNCL/Internet Usage
 Few governing regulation but very strict.
 Telephone Preference Service stop businesses to
make unsolicited telemarketing calls to its
customers53
Inflation
Inflation rate is 3.3%58
Government Support
Government has different support programs in
support for small businesses that include:
 Grants
 Subsidies
 Loans
 Tax Breaks
 Business advantages in the form of
Wage
“Average annual income for support technicians in
the UK in 2010 was $23/hour59
CHANDANDEEP SINGH | P a g e | 44
government insurance against risks54
Political Stability
Solid and stable Economic, Political and Financial
System55
Unemployment Rate
Unemployment rate is7.9%60
Social-Cultural Technological
Population
Population: 62.2 million61
Rate of Computer Obsolescence
5 Years
Employment Patterns/Education level
79,000 employees working as User Support
Technicians62
Internet Usage Trends
Internet Users66
51.44 million
Computer Usage Lifestyle & Preferences
Facebook Users63
33190940
Computer User64
35,890,000
Major OEM Brands
 Dell
 IBM
 TOSHIBA
 SONY VAIO
 HP
 ASUS
 SAMSUNG
 ACER
 APPLE
Leisure Time65
Age Group 15-24years 26.94444444 %
Age Group 25-44years 21.59722222 %
Age Group 45-64years 25.83333333 %
Operating System Usage
 Windows
 Mac
 Ios
 Android
 Blackberry
CHANDANDEEP SINGH | P a g e | 45
Factor Assessment Using Pest-C Analysis: Australia
PEST Analysis
Political-Legal Economic
Licensing Requirements for New Business67
 Register for an Australian Business Number
(ABN)
 Register for Goods & Services Tax (GST)
 Register for a Tax File Number (TFN)
 Register for Payroll Tax
GDP & GDP(Per Capita Income)
GDP72
1371.76 billion US$
GDP Per Capita73
27427.64 US$
Taxation levels - GST/HST Percentage
10% GST on all goods and services sold within
Australia68
Income Distribution Patterns74
Mean Income $848 per week
Median Income $715 per week
Government Legislation on DNCL
 The Do Not Call Register is monitored by the
Australian Communications and Media
Authority (ACMA)69
 Australian Consumer Law has strict
regulations against business who do not
abide and make unsolicited calls69
Inflation
2% as of 2012 Q375
Government Support for Small Business
Grants and funding programs are available from
Australian, state and territory governments70
Unemployment Rate
“Unemployment rate steady at 5.3%”76
CHANDANDEEP SINGH | P a g e | 46
Political Stability
Australia has better prospects for investment
opportunities as the nation’s political environment is
stable high degree of poise and certainty71
Wage77
Experience Salary
1-4 years AU$35,000 - AU$59,000
5-9 years AU$40,695 - AU$59,916
Social-Cultural Technological
Population
22,799,75878
Rate of Computer Obsolescence
5 Years
Computer Usage Lifestyle & Preferences
Facebook Users79
11718840
Used computers for
Internet Access80
12,036,000
“Internet Usage Trends”80
Dec 2011 Jun 2012
'000 '000
Access connection
Dial-up
connections
473 439
Broadband
connections
DSL 4 553 4 632
Cable 900 917
Fibre 37 52
Satellite 100 94
Fixed
wireless
35 30
Mobile
wireless
5 491 5 862
Other 8 10
All broadband
connections
11 123 11 597
Total number of
subscribers
11 596 12 036
CHANDANDEEP SINGH | P a g e | 47
Leisure Time81
Age Group 15-24years 26.50272761 %
Age Group 25-44years 17.20812179 %
Age Group 45-64years 22.68727407 %
Main OEM’ Brands
 Dell
 IBM
 TOSHIBA
 SONY VAIO
 HP
 ASUS
 SAMSUNG
 ACER
 APPLE
“Spending Patterns”72
Operating System Usage
 Windows
 Mac
 Ios
 Android
 Blackberry
CHANDANDEEP SINGH | P a g e | 48
Factor Assessment Using Pest-C Analysis: New Zealand
PEST Analysis
Political-Legal Economic
Licensing Requirements for New Business82
 Must register with Inland Revenue for tax
purposes

Must also register for GST (Goods & Services
Tax)
Income Distribution patterns
Mean Income87
US$18601
Median Income88
$560 (NZ$)
Taxation levels - GST/HST Percentage
GST : 15%83
GDP & GDP(Per Capita Income)89
GDP NZ$ 202,018
GDP Per Capita NZ$ 45,769
Government Legislation on DNCL/Internet Usage
The NZ Marketing Association regulates the "do not
mail" and "do not call" registrations to prevent
businesses for making unsolicited correspondence 84
Inflation
1% as of March 31st
, 201290
Government Support85
Government have many support initiatives like:
 Grants & incentives
 Capability Development funding
Unemployment Rate
6.8% as of 30 June 201191
CHANDANDEEP SINGH | P a g e | 49
 R&D Funding and Support
Political Stability
“Long-established democracy and a very stable
political environment”86
Wage
NZ$37,675-NZ$55,622 depending upon experience
of 1-4yrs92
Social-Cultural Technological
Population
4,444,48793
Rate of Computer Obsolescence
5 years
Computer Usage Lifestyle & Preferences
Facebook Users94
2267300
Used computers for
Internet Access95
Over a Million
“Internet Usage Trends”97
Mostly use Broadband but many still use dial up
because of the cost benefit
Leisure Time96
Age Group 15-24years 29.6564452 %
Age Group 25-44years 20.00551447 %
Main OEM’ Brands
 Dell
 IBM
 TOSHIBA
CHANDANDEEP SINGH | P a g e | 50
Age Group 45-64years 22.4168426 %  SONY VAIO
 HP
 ASUS
 SAMSUNG
 ACER
 APPLE
Operating System Usage
 Windows
 Mac
 Ios
 Android
 Blackberry
Appendix D Notes
1. http://www.canadabusiness.ca/eng/search/p-r/sgc-5917034/naics-
5416/&activity%5B%5D=8876&activity%5B%5D=8875&activity%5B%5D=8883&sgc=5917034&l
oc_name=Victoria%2C+British+Columbia&naics=5416&industry_name=Management%2C+scien
tific+and+technical+consulting+services&briefcase=&js=available&lang=eng
2. http://www.cra-arc.gc.ca/tx/bsnss/tpcs/gst-tps/rts-eng.html
3. http://www.theworkingbank.ca/cwb-services/business-lending/commercial-lending/
4. http://www.tdcanadatrust.com/products-services/small-business/credit/canada-small-
business-financing-loan/cred-csbfl.jsp
5. https://www.cibc.com/ca/small-business/gov-supported-progs.html
6. http://www.crtc.gc.ca/eng/info_sht/t1031.htm
7. http://www.cbc.ca/news/canada/story/2011/02/03/crtc-internet-clement.html
8. http://www.feddevontario.gc.ca/eic/site/723.nsf/eng/h_00278.html
9. http://www.fogartylaw.ca/2011/05/canada-begins-a-new-era-of-political-stability-2011-
election-aftermath/
10. http://www.nationmaster.com/compare/Canada/United-States/
11. http://www4.hrsdc.gc.ca/.3ndic.1t.4r@-eng.jsp?iid=22
12. http://www.statcan.gc.ca/daily-quotidien/121019/dq121019a-eng.htm
13. http://www.statcan.gc.ca/daily-quotidien/121005/dq121005a-eng.htm
14. http://www.calgaryeconomicdevelopment.com/sites/default/files/pdf/research/reports/whats
_new/global_demand_canada_us_uk/CED%20Labour%20Supply%20Study%202012%20-
%20Recruiting%20User%20Support%20Technicians%20in%20Canada_US_UK_Ireland.pdf
15. http://www.statcan.gc.ca/start-debut-eng.html
16. http://www.servicecanada.gc.ca/eng/qc/job_futures/statistics/2282.shtml
17. http://www.calgaryeconomicdevelopment.com/sites/default/files/pdf/research/reports/whats
_new/global_demand_canada_us_uk/CED%20Labour%20Supply%20Study%202012%20-
%20Recruiting%20User%20Support%20Technicians%20in%20Canada_US_UK_Ireland.pdf
CHANDANDEEP SINGH | P a g e | 51
18. Ibid
19. Ibid
20. http://www.socialbakers.com/facebook-statistics/canada
21. http://www42.statcan.ca/smr08/2012/smr08_167_2012-eng.htm
22. http://www.nationmaster.com/graph/lif_lei_lei_tim_lei_tim_acr_dem_gro_age_4564-
demographic-groups-ages-45-64
23. http://www42.statcan.ca/smr08/2012/smr08_167_2012-eng.htm
24. http://forums.cnet.com/7723-7586_102-316353/what-is-the-average-life-of-an-average-
desktop-computer/
25. http://www.statcan.gc.ca/daily-quotidien/111012/dq111012a-eng.htm
26. http://www.internetworldstats.com/am/ca.htm
27. http://www.internetworldstats.com/am/ca.htm
28. http://www.cbc.ca/news/technology/story/2011/05/30/f-home-internet-access-barriers.html
29. http://www.cbc.ca/news/technology/story/2011/05/30/f-home-internet-access-barriers.html
30. http://www.cbc.ca/news/technology/story/2011/05/30/f-home-internet-access-barriers.html
31. http://www.sba.gov/content/obtain-your-federal-business-tax-id-ein
32. http://www.sba.gov/content/register-your-fictitious-or-doing-business-dba-name
33. http://www.forbes.com/sites/williampbarrett/2012/02/02/average-u-s-sales-tax-rate-drops-a-
little/
34. http://www.sba.gov/content/telemarketing-laws
35. http://www.sba.gov/content/telemarketing-laws
36. http://www.whitehouse.gov/omb/factsheet/supporting-small-businesses-and-creating-jobs
37. http://www.ucg.org/news-and-prophecy/us-election-value-political-stability/
38. http://www.nationmaster.com/compare/United-Kingdom/United-States
39. http://www.paulvanslembrouck.com/2011/household-income-distribution-in-u-s/
40. https://www.usbank.com/small-business/credit-financing/sba-loans.html
41. https://www.bankofamerica.com/smallbusiness/
42. http://www.tradingeconomics.com/united-states/gdp-growth
43. http://www.bls.gov/cps/
44. http://www.calgaryeconomicdevelopment.com/sites/default/files/pdf/research/reports/whats
_new/global_demand_canada_us_uk/CED%20Labour%20Supply%20Study%202012%20-
%20Recruiting%20User%20Support%20Technicians%20in%20Canada_US_UK_Ireland.pdf
45. http://www.census.gov/population/www/popclockus.html
46. http://www.bls.gov/ooh/computer-and-information-technology/computer-support-
specialists.htm
47. http://www.socialbakers.com/facebook-statistics/united-states
48. http://www.gartner.com/it/page.jsp?id=2194017
49. http://www.nationmaster.com/graph/lif_lei_lei_tim_lei_tim_acr_dem_gro_age_1524-
demographic-groups-ages-15-24
50. http://www.internetworldstats.com/stats26.htm
51. http://www.hmrc.gov.uk/working/intro/selfemployed.htm
52. http://www.hmrc.gov.uk/vat/start/introduction.htm#2
53. http://www.quotebean.co.uk/buying-services/telemarketing-companies/help-to-buy-
guides/telemarketing-laws/
CHANDANDEEP SINGH | P a g e | 52
54. http://www.ukbusinessgrants.org/programs.php
55. http://www3.ambest.com/ratings/cr/reports/UnitedKingdom.pdf
56. http://www.heritage.org/index/country/unitedkingdom
57. http://www.aviva.com/data/report-library/Family_Finances_Report_5_Jan_2012.pdf
58. http://www.heritage.org/index/country/unitedkingdom
59. http://www.calgaryeconomicdevelopment.com/sites/default/files/pdf/research/reports/whats
_new/global_demand_canada_us_uk/CED%20Labour%20Supply%20Study%202012%20-
%20Recruiting%20User%20Support%20Technicians%20in%20Canada_US_UK_Ireland.pdf
60. http://www.heritage.org/index/country/unitedkingdom
61. http://www.heritage.org/index/country/unitedkingdom
62. http://www.calgaryeconomicdevelopment.com/sites/default/files/pdf/research/reports/whats
_new/global_demand_canada_us_uk/CED%20Labour%20Supply%20Study%202012%20-
%20Recruiting%20User%20Support%20Technicians%20in%20Canada_US_UK_Ireland.pdf
63. http://www.socialbakers.com/facebook-statistics/united-kingdom
64. http://www.mapsofworld.com/world-top-ten/world-top-ten-personal-computers-users-
map.html
65. http://www.nationmaster.com/graph/lif_lei_lei_tim_lei_tim_acr_dem_gro_age_4564-
demographic-groups-ages-45-64
66. http://www.mapsofworld.com/world-top-ten/world-top-ten-personal-computers-users-
map.html
67. http://www.business.gov.au/BusinessTopics/Registrationandlicences/Pages/default.aspx
68. http://www.taxrates.cc/html/australia-tax-rates.html
69. http://www.accc.gov.au/content/index.phtml/itemId/815462
70. http://www.business.gov.au/BusinessTopics/Grantsandassistance/Pages/default.aspx
71. http://www.austrade.gov.au/Invest/Why-Australia/Democratic-and-Politically-
Stable/default.aspx
72. http://www.tradingeconomics.com/australia/gdp
73. http://www.tradingeconomics.com/australia/gdp-per-capita
74. http://www.abs.gov.au/ausstats/abs@.nsf/Lookup/by%20Subject/1301.0~2012~Main%20Feat
ures~Household%20income,%20expenditure%20and%20wealth~193
75. http://www.tradingeconomics.com/australia/inflation-cpi
76. http://www.abs.gov.au/ausstats/abs@.nsf/mf/6202.0
77. http://www.payscale.com/research/AU/Job=Computer_Support_Technician/Salary#by_Years_
Experience
78. http://www.abs.gov.au/ausstats/abs@.nsf/94713ad445ff1425ca25682000192af2/1647509ef7e
25faaca2568a900154b63!OpenDocument
79. http://www.socialbakers.com/facebook-statistics/australia
80. http://www.abs.gov.au/ausstats/abs@.nsf/Latestproducts/8153.0Media%20Release1Jun%202
012?opendocument&tabname=Summary&prodno=8153.0&issue=Jun%202012&num=&view=
81. http://www.nationmaster.com/graph/lif_lei_lei_tim_lei_tim_acr_dem_gro_age_1524-
demographic-groups-ages-15-24
82. http://www.business.govt.nz/starting-and-stopping/entering-a-business/starting-a-
business#registrations
83. http://www.taxrates.cc/html/new-zealand-tax-rates.html
CHANDANDEEP SINGH | P a g e | 53
84. http://www.consumer.org.nz/reports/telemarketing/what-can-you-do
85. http://www.business.govt.nz/support-and-advice/grants-incentives
86. http://www.newzealandeducated.com/int/en/guide/on_arrival/government_services
87. http://www.oecdbetterlifeindex.org/countries/new-zealand/
88. http://www.stats.govt.nz/browse_for_stats/income-and-
work/Income/NZIncomeSurvey_HOTPJun12qtr.aspx
89. http://business.newzealand.com/northamerica/en/invest-in-new-zealand/new-zealand-
economy-facts-and-figures/
90. http://business.newzealand.com/northamerica/en/invest-in-new-zealand/new-zealand-
economy-facts-and-figures/
91. http://business.newzealand.com/northamerica/en/invest-in-new-zealand/new-zealand-
economy-facts-and-figures/
92. http://www.payscale.com/research/NZ/Job=Desktop_Support_Technician/Salary/by_Degree#b
y_Years_Experience
93. http://www.stats.govt.nz/tools_and_services/tools/population_clock.aspx
94. http://www.socialbakers.com/facebook-statistics/new-zealand
95. http://www.stats.govt.nz/browse_for_stats/industry_sectors/information_technology_and_co
mmunications/HouseholdUseofICT_HOTP2009.aspx
96. http://www.nationmaster.com/graph/lif_lei_lei_tim_lei_tim_acr_dem_gro_age_4564-
demographic-groups-ages-45-64
97. http://www.stats.govt.nz/browse_for_stats/industry_sectors/information_technology_and_co
mmunications/HouseholdUseofICT_HOTP2009.aspx
CHANDANDEEP SINGH | P a g e | 54
APPENDIX – E
Ultimatepccure - Competition Analysis
Support.com, Inc.
Company Profile : Support.com, Inc is a US based computer technology corporation incorporated in
Delaware in December 1997 under the name Replicase, Inc and later it changed name to Support.com,
Inc. in 2009. It offers online computer repair support to customers in US as well as Canada. It is a
public listed on the NASDAQ Market under the symbol SPRT.4
Market Entry Strategy: Support.com emerged in US and Canada as an online support company that
offered support online via remote access. For employees they have a work from home model in
Canada where again support.com is physically not present in Canada.30
Comparative Advantage: Support.com has technical support employees in USA and Canada only and
customers do not have to struggle with the language barrier where in with other support providers
language is a major support barrier.
Key Strengths5
 Public Listed Company. Listed on NASDAQ36
 Accepts all major credit cards and Pay Pal37
 24/7. 365 Days Remote Support with 100% Money back Guarantee38
 Customer base of over 800,000 served over the 1-800 number39
 Technology Experts 100% based in US and Canada40
 Employees get the option of work from home41
 Partnership and affiliate programs with ISP’s and other retailers42
 Offers Subscription plans and one time fixes
 Business Intelligence experience of 15 years
 Reviewed by BBB (Better Business Bureau)
 Solid annual revenue of $53 Million
 Higher customer satisfaction
 Supports Windows as well as Mac43
Weaknesses
 Services only in US and Canada
 Offers only Online Support
 Reliance on remote support which customers may find hard to connect
 Lesser margins as it employs employees in US and Canada only7
 Decreasing Gross Margin8
iYogi Technical Services Pvt. Ltd.
Company Profile: Iyogi is one of the fastest growing remote technical support companies in the world
and was founded in 2005. Iyogi has perfected the remote technical support model to successfully
overcome limitations like time and distance.35
The company’s database serves information on the
customer and his/her history of incidents, every time a contact is made to provide a personalized
service. The company has more than 100,000 annual subscribers across four continents and has a
customer satisfaction rating of 95%.9
Key areas of service include, USA, Canada, UK and Australia.
CHANDANDEEP SINGH | P a g e | 55
Market Entry Strategy: Iyogi initially emerged as an online remote support company but with its
excellence in online marketing and business strategy it is has expanded itself on the global level. It used
World Wide Web to enter US, Canada, Australia and UK when it purchased google ad words in these
countries which generated it business on a large scale.31
Later, in april 2010, Iyogi signed up an
agreement with IBM to enable and support its accelerated growth plans for expanding service delivery
capabilities across multiple countries.32
Comparative Advantage: Iyogi has comparative advantage in customer reach via google adwords and
strategic alliances with brands like IBM. Additionally, Iyogi is able to offer its services at comparatively
cheaper rate than the competition as it is based in India where the average salary of Sr. Technical
Support Executive is between $300-$400 monthly.33
Key Strengths
 Private Limited company with streamlined controls
 Accepts all major credit cards excluding American Express
 Customer Satisfaction rate of 95% and a Resolution rate of 87%10
 24/7. 365 Days Remote Support with 100% Money back Guarantee11
 Growing Customer base with more than 100,000 annual subscribers across four continents12
with currently over 2 Million users13
 Remote Technology Experts 100% based in India with lower operating cost
 Investment Partnerships with Sequoia Capital, Draper Fisher Jurvetson, Canaan Partners, SAP
Ventures, SVB India Capital Partners14
 A $30 million infusion of venture capital by Sequoia helped Iyogi to expand to 5,000
employees15
 Very competitive annual and incident based plans
 Business Intelligence experience of over 7 years
 Accredited by BBB (Better Business Bureau)
 Recently launched Business Non-stop Program to recruit and deploy 1000 on-site local
engineers across North America to support its 5000 offshore technicians
 Supports Windows as well as Mac
Weaknesses
 Main Services only in US, Canada, Australia and some parts of Europe
 Currently only Offers online remote support
 Reliance on remote support which customers may find hard to connect
 Rely on lower quality sound system16
 Concentration of higher volumes of employees on smaller floors which created disturbance
over the line
 Language barrier
 Inexperienced employees with no certification like A+
 Unhappy employees with high attrition rate17, 18, 19
 American Express and Pay Pal not accepted as a result of number of chargeback by customers
using American Express20
 Compact training programs
CHANDANDEEP SINGH | P a g e | 56
Geek Squad
Company Profile: Geek Squad is a technology support company that provides consumers with
technical and on-site technical support services for computers and electronics with over 20,000 Agents
supporting the customers around the globe. It was founded in 1994 and was captured by best buy in
2003.21
With the heavy advertising budget of brand recognition of Best Buy, Geek Squad has flourished
a long way to establish itself as challenging competitor in the technical support industry.
Market Entry Strategy: “After Best Buy captured Geek Squad in 2003, Geek Squad exists in all Best Buy
stores in the United States, Puerto Rico, Canada, China, Netherlands and the United Kingdom.44”
In UK,
Geek Squad opened up in 2008 in 50-50 joint venture with Carphone Warehouse.45
So Geek Squad was
an independent company until it got a recognized market entry when it gained momentum after its
acquisition by Best Buy.
Comparative Advantage: Geek squad has been able to build its brand very quickly by associating itself
with Best Buy. Best Buy’s strongest network and brand recognition have Geek Squad an edge where
ever it exists.
Key Strengths
 Well managed company with passionate employees
 Highly skilled engineers
 Financial support by Best Buy
 Geek Squad technicians can be accessed 24 hours a day, 365 days a year on 1800 number22
 Customers can schedule appointments according to their own timings23
 Get customers automatically as it is he support arm of Best Buy
 Offer wide array of services in computers and other electrical gadgets and devices as well as car
stereos
 Offer streamlined support in home as well as online that serviced over 1.5 million PCs24
 30 day Money back guarantee25
 Business Intelligence experience of over 18 years
 Accredited by BBB (Better Business Bureau)
 Very professional and niche attire and branding
 Geek Squad services business accounts for roughly 6 percent of Best Buy’s $50 billion in annual
sales - more than $3 billion worth of high-margin revenue26
 Today, working out of 700 Best Buy locations across North America, Geek Squad's 12,000
service agents clock nearly $1 billion in services and return some $280 million to the retailer's
bottom line27
Weaknesses
 Geek Squad is much more expensive than its rivals in online, onsite and in-store support.
 Competition from many online remote assistance companies
 Competition from local onsite technicians
 Most expensive in its class of computer support in North America
CHANDANDEEP SINGH | P a g e | 57
Appendix E Notes
0. http://www.windowsrenew.com/start-a-computer-repair-business/
1. http://www.itok.net/blog/index.php/2011/01/computer-tech-support-industry-stats/
2. Ibid
3. Ibid
4. http://www.support.com/about
5. http://www.support.com/faq
6. Ibid
7. http://www.hoovers.com/company-information/cs/competition.Supportcom_Inc.e32e934a0280995a.html
8. Ibid
9. http://financials.morningstar.com/ratios/r.html?t=SPRT&region=USA&culture=en-us
10. http://www.mustbein.com/corporate/311
11. http://www.iyogi.ca/tech-experts.html
12. http://www.iyogi.ca/factsheet.html
13. http://www.mustbein.com/corporate/311
14. http://www.freemium.org/2012/07/27/iyogi/
15. http://www.iyogi.ca/factsheet.html
16. http://money.cnn.com/galleries/2012/news/international/1204/gallery.asia-hottest-
businesspeople.fortune/19.html
17. http://www.iyogi.ca/customer-testimonial.html
18. http://www.glassdoor.com/Reviews/iYogi-Reviews-E368190.htm
19. http://www.glassdoor.com/Reviews/iYogi-New-Delhi-Reviews-EI_IE368190.0,5_IL.6,15_IM1083.htm
20. http://www.glassdoor.com/Reviews/Employee-Review-iYogi-RVW1784842.htm
21. https://services.iyogi.net/register/subscription/signupca.aspx
22. http://biz.yahoo.com/ic/140/140962.html
23. http://www.geeksquad.com/about-us/
24. http://www.geeksquad.com/scheduling/
25. http://www.bestbuy.ca/en-CA/whygeeksquad.aspx
26. http://www.geeksquad.com/why-choose-us/our-guarantee.aspx
27. http://www.msnbc.msn.com/id/46043895/ns/business-cnbc_tv/t/geek-squad-city-dead-pcs-come-back-
life/#.UIBfHcXR5Jk
28. http://www.businessweek.com/stories/2007-03-26/the-wiki-workplacebusinessweek-business-news-stock-
market-and-financial-advice
30. http://www.support.com/about/careers/locations/workfromhome visited on 10/29/2012
31. I have personally worked at iyogi as Senior Tech- Sales Executive
32. http://www-935.ibm.com/services/in/gts/bus/html/15_april_2010_iyogi_signs.html visited on 10/30/212
33. www.payscale.com/research/IN/Job=Call_Center_and_Customer_Service_Executive/Salary visited on 10/30/212
34. http://www.support.com/about visited on 10/30/212
35. http://www.slideshare.net/iYogi visited on 10/30/212
36. Ibid visited on 10/30/212
37. Ibid visited on 10/30/212
38. Ibid visited on 10/30/212
39. Ibid visited on 10/30/212
40. Ibid visited on 10/30/212
41. Ibid visited on 10/30/212
42. Ibid visited on 10/30/212
43. http://www.support.com/whatwedo visited on 10/30/212
44. http://tinyurl.com/qckch5
45. http://oft.gov.uk/OFTwork/mergers/decisions/2008/bestbuy

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International Business Strategy Plan for a new or an emerging Start Up

  • 1. MGMT562 - International Business Strategy MASTER OF GLOBAL MANAGEMENT Strategic Global Business Plan Deliverable 3 SUBMITTED BY CHANDANDEEP SINGH MGM PROGRAM ROYAL ROADS UNIVERSITY Professor: Terry Power Royal Roads University Wharton Fellow
  • 2. CHANDANDEEP SINGH | P a g e | 2 Ultimatepccure - Corporate Introduction & Executive Summary It is fair to say that technology changes every day and makes computing uneasy and stressful. The nature of technology has become advancement and extraordinary development. This creates a consistent demand for skilled and innovative technology support consultancies like Ultimatepccure to ease the computing of technology users. With the establishment of Ultimatepccure, requirement of expert technical assistance that makes computing stress-free, easy and lively will be just a call away. Ultimatepccure aims at positioning next generation technical consultancy services by offering ultimate solutions to advanced computer software and hardware problems. With its core technical assets, next generation support model and service expertise it aims to revolutionize the computer support industry thereby creating a market niche for its customers. Ultimatepccure will target home, home office and small business users to build its customer base with a mantra of Deliver, Delight and Devote. Ultimatepccure will propose highly sought after valued factors in order to offer value to the customers’ money thereby ensuring resolution and customer satisfaction at every level. With its long term business goals Ultimatepccure will not only establish its niche in market but also overpower its competitors in every aspect in the same industry. Headquarters will be based in Mississauga, Ontario, Canada. Ultimatepccure will place online advertisements take active participation in direct marketing programs and create strategic alliances with renowned computer resellers in USA, Canada and New Zealand to develop and promote its business and brand. Ultimatepccure aims to closely monitor its operations and workflow in order to achieve efficient operations and 100% customer satisfaction. Lastly, Ultimatepccure recommended that it would bring the Strategic Global Business Plan into implementation as the industry has a huge potential for growth and the factors like technology that drives globalization and success in Industry are in favor of Ultimatepccure. Computer Repair Industry – Industry Overview The number of computers in the world is expected to double to 2 billion units by 2014. Computer repair industry creates a $40 billion industry and it is continuously growing worldwide.1 With updates and upgrades to operating systems and other software the demand for technical support services is in huge upswing. Approximately 83% of PC owners start to face difficulties within the 12 month period. Only 25% of the PC owners felt that they were able to fix their computers when there were problems. Many TPM’S (Third Party Maintenance) companies have emerged as a result of quick advances in technology but most of them have failed the customer expectations on resolutions, user friendliness, quality and pricing. The industry has seen some huge successes in the names of Geek Squad, Support.com, Iyogi and Plum Choice. Below you find a thorough analysis of the Computer Repair Industry analyzed using Porter’s Five Forces Model and SWOT Tool.
  • 3. CHANDANDEEP SINGH | P a g e | 3 Computer Repair Industry – Industry Analysis It is very important to carefully analyze the industry where the business will be proposed. There are trends in the industry that result from industry driving forces and customer behavior. There are essential factors to the entry, establishment, survival and success of business and without detailed analysis of these factors a company cannot fight and survive a business war. The famous Chinese military general and strategist Sun Tzu once said “If you know the enemy and know yourself, you need not fear the result of a hundred battles. If you know yourself but not the enemy, for every victory gained you will also suffer a defeat. If you know neither the enemy nor yourself, you will succumb in every battle.”2 The computer Repair Industry is being analyzed using two different but important tools that list all the factors and trends in the industry. Through analysis of the tools can be found in the Appendices Sections whereas the crux of the tools is reflected in this document as a conclusion. Tool 1 Porters Five Force Model A : Michael Porter's famous Five Forces of Competitive Position model provides a thorough platform for assessing and analyzing the forces in market that affects the position of and business organization. This tool is being used to examine the forces behind the essential factors to the entry, establishment, survival and success of business. Through analysis of the tool is reflected in APPENDIX A.
  • 4. CHANDANDEEP SINGH | P a g e | 4 Porter’s Five Forces Model Supplier Power  High Remote Access Cost  Google Ad Word Auctions  Payment Gateway Inflexibility to Chargebacks  Competitive Employee Salaries Buyer Power  Trusted Support  Responsiveness  Demand for resolution  Competition  Purchase Currency Technology and Support Substitutes  Upgrades in windows resulting new system purchases  Handy Tablets  Support from Family and Friends  Self-support by reading tech blogs  Reliance on Automated software tools like CCLEANER New Market Entrants  Business Licensing  Trusted Payment Gateway  Google Ad words Time Slot  Financial Restraints  Competition Competitive Rivalry  Three major competitors (Support.com, iyogi and Geek Squad)  Established brands  Financial Strengths  Global Presence  Global Business Alliances  Potential Threats from new arrivals  OEM Support Services e Rivalry
  • 5. CHANDANDEEP SINGH | P a g e | 5 1. New Market Entrants - Force Effect: Low ( 5 on a scale of 0-10) 2. Supplier Power - Force Effect: Low (5 on a scale of 0-10) 3. Buyer Power - Force Effect: Extreme High(10 on a scale of 0-10) 4. Competition - Force Effect : High (9 on Scale of 0-10) 5. Technology and Support Substitutes - Force Effect : Very Low (4 On a Scale of 0-10) Conclusion of Porter’s Five Forces Model: It is very evident that the industry is easy to enter without huge capital requirements. However, focus on customer support delivery in the form of resolution, service promptness and easy is of utmost importance to satisfy the power the buyers acquire. Competition is stiff but the market is huge and growing and a niche can be established by Ultimatepccure. Suppliers are the mainly the service providers of the automated tools that Ultimatepccure will use to be technically advanced and work efficient and have lesser power. Company is offering service based on the skill level of its employees and can award its employees accordingly. Technology upgrades and innovation of more devices like tablets cause never ending requirement of a global and skilled support consultancy firm. All in all, the industry is easy to enter and has room for solid entry and huge potential for growth. Staying competent is the key to success Tool 2 SWOT ANALYSIS B : SWOT Analysis is an examination of micro and macro factors of a given industry or company. SWOT includes micro environment factors and trends that demonstrate the strengths, Weaknesses of the computer repair industry. It also gives an overview of the weaknesses and threats caused by the macro environment of the same industry. SWOT Analysis has been put in the APPENDIX B and its summary is highlighted in this document as conclusion. Computer Repair Industry - Conclusion of SWOT Analysis: Strengths of the computer repair industry indicate huge and growing demand for expert technical assistance and opportunity for any competitive and skilled company to establish quickly. Moreover the support charges of the OEMs and established support providers and extremely high. The weaknesses in the SWOT Analysis point towards the competition from the brands that are already established. Customer behavior and trust is hard to gain for new entrants. Chargeback by customers many times creates big hassles for the Third Part Maintenance companies as their payments are blocked. OEMs also pose big obstacles in the obtaining the market share of the industry as a result of trusted brand image. Opportunities conclude the ease of offering technical support in any global environment as entry barriers are not stringent. Multiple factors like internet, viruses, Facebook, computer peripherals from different global brands cause the need for support. Weaknesses point towards the potential risk caused by global competition, technology upgrades, customer behavior and dropped compute prices. So in a nutshell, the SWOT Analysis indicates huge market potential, easy entry, some challenges but a supporting global environment.
  • 6. CHANDANDEEP SINGH | P a g e | 6 Computer Repair Industry - Global Driving Factors and their Impacts C There are various factors that really benefit the globalization and get benefits from globalization. Below you will find very significant factors that totally drive the globalization, relative to Computer repair industry. Detailed description of the below mentioned factors can be found in APPENDIX C 1. Internet 2. Technology 3. Operating Systems 4. Brand Presence 5. Remote Desktop Access 6. Language 7. Payment Gateways 8. Trade Blocs 9. Google Conclusion of Global Driving Factors and their Impacts: Remote Desktop access has revolutionized the technical support industry as it has eliminated the boundaries among the countries so as to offer any software solution in the computer repair industry. Ease of payments through Credit/Debit/Discover/American Express cards and Pay Pal has given an equal shoulder for all sorts of global transactions. Furthermore, both, uniformity in Computer and Tablet Operating Systems (Windows, Mac, and ios) along with presence of World Wide Web throughout the world are major drivers that have led this industry to flourish with ease. The power of globally used search engines like Google, Yahoo and MSN and social networking sites today is the one big factor driving borderless reach as power can take any business global overnight by bringing it into limelight. Ultimatepccure – Market Factor Assessment & Market Selection (Foreign & Domestic) Now we know that entry in the industry in not tough and there is huge growth potential. But apart from the industry the factors present in the marketplace where business is to be proposed also play significant role. Ultimatepccure did extensive research in five countries and analyzed the qualitative and quantitative factors that concern the technical support industry in these countries. Market Factor Assessment - Factors Assessed: Political, Legal, Economic, Socio-Cultural & Technical The best way to do the factor assessment of the ecosystem of the countries where the business is planned is the PEST-C analysis. It is helpful in evaluating the facts and insights about forces (Political, Legal, Economic, Socio-Cultural and Technical) that drive the growth of a new computer support business in a particular country. Target Countries: Ultimatepccure considers Canada, USA, UK, Australia, New Zealand as viable markets to start the technical support business because of the Purchasing Power, uniform English language, bigger market size, presence of global brands and extensive usage of technology products in home and small businesses.
  • 7. CHANDANDEEP SINGH | P a g e | 7 PEST-C Analysis D – Through analysis of PEST –C can be read in APPENDIX D but summary of all the factors and conclusion is framed in this document below: The ecosystem of these 5 countries gives the following reasons for the viability of potential technical support business in the above mentioned countries:  Factors like the GDP, GDP Per Capita undoubtedly indicated the buying power of the economies of these countries.  The qualitative factors like government support and financing from bank reflects upon sound financial stability of the company whenever a need for financial assistance may arise.  The government is very protective for consumers and small businesses and has strict laws that prevent local or outside telemarketing companies to spoil the market with incompetent services.  With the big population, the presence of bigger brands like Dell, Lenovo, Sony, HP, Toshiba etc. also indicates the strength of market and potential for future support in these countries  Furthermore, it is very much evident from the data that the technical support industry employs significant number of people in each of these countries which reflect on the presence and availability of experienced and competitive employees.  Equal taxation levels on sale of services, as compared to other goods at services in these countries enables the cost of the service to stay at competitive prices not disengaging the customers.  Presence of bigger brands along with variety of operating systems and other peripherals makes the usage complicated and unfriendly calling huge demand for technical assistance.  Presence of Iyogi, Geek Squad and Support.com in most these countries make them fairly competitive with equal opportunity to create brand recognition in parallel to these bigger brands.  Also, both the internet usage patterns and the availability of high speed internet are very well suited for support over remote desktop access.  Due to their busy lifestyle and frequent updates and upgrades in computer programs, people of these economies are technically less capable of fixing their own computers which is other reason for the selection of these countries. Conclusion: Based on the PEST –C Analysis, the external factors clearly indicate the sound functioning of the business under challenging situations which make these potential countries to be very modest in practicing a technical support business efficiently. Overall, the Macro environment assessment of these countries advocates the feasibility of these countries for a new computer support business. Ultimatepccure: Market Selection using SMART ANALYSIS: This SMART analysis is to evaluate and weigh factors specific for a business to grow and survive in a market. Ultimatepccure will evaluate above mentioned five countries and select one country to base its headquarters at and 2 countries for global expansion of the business.
  • 8. CHANDANDEEP SINGH | P a g e | 8 Key Success Factors SMART Model- Market Selection Proposed Countries Weight age Canada United States UK Australia New Zealand Licensing Requirements 20 17 15 13 13 16 Headquarters Proposed 20 20 15 10 10 10 Government Support/Protection 20 15 15 15 15 15 Political Stability 10 10 7 8 7 8 GDP (Per Capita) 20 15 18 12 10 20 Internet Usage 20 15 16 16 12 13 Financial Assistance 10 7 8 7 7 7 Skilled Technicians 20 17 18 17 16 15 Competition 20 10 7 9 9 13 Wage Rate 10 8 7 6 7 7 Technology Awareness 20 18 18 17 16 16 OEM Presence 20 18 20 19 17 15 Total Weighted Values 210 170 164 149 139 155 Conclusion – SMART Model Analysis: The SMART Model indicated that Canada, USA and New Zealand are stronger markets due the specific factors that were weighted. Various factors like business licensing requirements, government support, political stability, per capita GDP, technology awareness, competition, internet usage, brand presence etc. With Scores of 170, 164 and 155 Canada, USA and New Zealand demonstrated that they favorable than UK and Australia. Canada is politically and economically stable whereas USA is a bigger economy that calls for more demand. New Zealand has the greater GDP than all other proposed countries and least competition among competing countries. Australia and UK are also somewhat equal opportunity countries and Ultimatepccure will target them in their long term business goals. Considering the weighted scores resulted from the SMART Model, Ultimatepccure propose its Headquarters in Canada further propose that it will enter in the Technical Support industry of USA and New Zealand under its global expansion goals.
  • 9. CHANDANDEEP SINGH | P a g e | 9 Ultimatepccure: Risk Assessment Analysis Ultimatepccure used Fish Bone Analysis to discover the factors that cause threat to the growth of new business in this industry. Fish Bone Analysis is an important tool as it highlights key factors significant to any situation. fddd Fishbone Analysis Risk Assessment Conclusion: Significant factors that cause immediate threat to growth of a new computer support business in the industry were discovered. The factors found are competition from OEMs, TPMs, poor work flow management, unskilled technicians, blockage of payment gateway due to chargebacks etc. inefficient operations, non-availability to Google ad word time slot cause and lower value proposed to customer in terms of responsiveness, resolution, price, incompetent service etc. It is very important to target these factors and convert them into business strengths so as to stay competent and efficient. Ultimatepccure - Corporate Global Roadmap BUSINESS OVERVIEW Ultimatepccure will be delivering next generation Computer Hardware & Software Support Solutions on Windows, Macintosh, iOS and Android platforms to home, home office and small business users. With its core technical assets, service expertise and technology awareness the company aims to develop a smarter next generation support model that will revolutionize the responsiveness, quality and consistency in technical support service delivery. By using simple but advanced and reliable tools the company proposes to deliver simple to advanced resolutions to its customers within minutes to make the journey of all its customers relaxed, user friendly and time efficient. Factors that cause risk for a new business in computer support industry Google Ad Words (Cost & Time Slot) Poor Workflow Management Payment Gateway/Chargeback s Competition (OEMs, TPMs) Operations CostUnskilled Technicians Low or Incompetent Value Proposition to the Consumers Risk Assessment Examination using FISH BONE ANALYSIS
  • 10. CHANDANDEEP SINGH | P a g e | 10 Corporate Global Mission Ultimatepccure aims at positioning next generation technical consultancy services by offering ultimate solutions to your all computer problems. With its core technical assets and service expertise it aims to be consistent on its tradition to understand technical issues of its customers to develop its support model accordingly. At Ultimatepccure, feedback will always be valued as its service process gets smarter with every single customer interaction. Our mission is to eliminate all technical hazards of its clients by its technical know-how, individual attention, customized support models & quality service. Mission Statement “Unmatched Service, Resolution 100% 24/7, Revolutionary Customized Support Model, Unbeatable Price & Easy Computing Life is what?” “Yes, one 100% Ultimatepccure” Brand Name A very through brainstorming was done by the management to decide upon the brand name that can be recognized quickly as a high quality computer tech support consultancy company. Brands names such as Ultimatepccure, Orbitgeek and i-techgeek were considered and proposed. A survey was conducted with the target audience from Canada and America to select the brand name from the 3 management suggested options. Approximately 40% users clicked with i-techgeek followed by 35% and 25% for Ultimatepccure and Orbitgeek. Please note that i-techgeek was not considered as brand name as itechgeek domain for website name was not available as it belonged to some other company. Important Note: Before finalizing upon any brand name it becomes very important that the domain name exactly matches the brand name and is available on the World Wide Web with the country specific domains like .ca for canada and .co.uk for UK. And .com that refers to "Top level domain for commerce." Business cannot be conducted on a global level without a brand presence on the internet. Matching brand can always cause confusion among customers, so selecting a unique brand name is equally important as equal is its availability on the World Wide Web in the form of Domain Name. A very trusted Domain selling site (www,godaddy.com) was looked upon. www.ultimatepccure.com and www.orbitgeek.com were available and immediately booked. And management decided upon finalizing Ultimatepccure as its brand name. Branding/Positioning Statement “Ultimatepccure Add Ease, Add Life to Computing”
  • 11. CHANDANDEEP SINGH | P a g e | 11 Ultimatepccure Logo Ultimatepccure Service Excellence Mantra – The 3D Model “Deliver, Delight and Devote” Ultimatepccure Goals & Objectives Long Term Goal 1. Ultimatepccure aims to establish and promote its brand and services on a global scale with offices in every major country of the world in next 10 years. 2. Ultimatepccure also aims to create its brands awareness and quick brand recognition in next 10 years on a global scale where it has its own image of ‘service excellence and superiority niche’ and can be easily recognized among other brands 3. Ultimatepccure intends to stay on the top of technology by investing in technology research and development in creating and offering advanced automated tools and solutions that can automate the process of software troubleshooting in next 10 years. Short Term Goals 1. Market entry in Canada, American and New Zealand with headquarters in Mississauga, Ontario, Canada. 2. A value proposition of timely and practical advanced software solutions, at a customized flexible pricing, service promptness, and compassion coupled with a 100% guarantee. 3. Establishing strategic alliance with computer resellers in Canada, USA and New Zealand so as to offer support services to their customers as privileged customers. 4. Exploiting our competitors and creating a market niche for the next generation customized support model 5. Quickly establishing a brand identity and developing a great reputation among customers to generate word of mouth advertising.
  • 12. CHANDANDEEP SINGH | P a g e | 12 Ultimatepccure - Competition Analysis Summary There are many third party companies competing for their chunk of business in the industry, however, the potential rivals of the industry include big players like Support.com, Iyogi and Geek Squad. The potential rivals are selected on the basis of number of customers they serve and the geographic regions they cover and with the wide variety of services they offer to their customers. Support.com started as an online support business over the phone but gradually it grew quickly and continues to expand its customer base. While Geek squad is a subsidiary of Best Buy stores and due to the presence of best buy stores in North America it gained market as it could reach the customer base due to its presence on physical basis. Iyogi emerged as one of the fastest growing companies in the history of technical support when it first started in 2007. Right now Iyogi and support.com offers online remote assistance and telephonic support whereas, Geek Squad offers services online as well as in store and at customer’s sites as well. Advanced Computers was established in 1998 in Auckland and currently offers support throughout New Zealand which is its biggest strength. Iyogi, support.com and Geek squad are established brand in USA and Canada whereas Advanced Computers is an established brand in New Zealand. Please see detailed Competition Analysis in APPENDIX E. Ultimatepccure - Projected Competition Target Goal Ultimatepccure aims at overpowering the key competitors in the industry in next 10 years. Strategic Group Mapping Tool was used to analyze the current position of the competitors considering 2 significant factors of the Competitors strength i.e Market Share and Service Quality and Reliability. Ultimatepccure - Strategic Group Mapping - Analysis Summary & Conclusion0 The below figure demonstrates the strategic group mapping of the competitors current position in market in relation to the quality and reliability of the technical services they offer. The vertical axis shows the Service Quality and Reliability in high and low quadrants as shown in the figure respectively, whereas, the horizontal axis shows the market share of the competitors in high and low quadrants respectively. Strategic Group Mapping Analysis is used to identify competitors with similar products and with similar or different characteristics, following strategies to target the same product/service giving competition in the industry. Strategic Group Mapping shows Advanced computers in High Service Quality quadrant where as it is only present is New Zealand and has a lesser reach globally so is shown in lower Market share quadrant. Support .com has better service quality but it caters to customers only in USA and Canada so it is placed in the respective quadrants. Whereas Iyogi has a poor service quality but an exceptionally high reach in USA, Canada, Europe, UK and Australia and is placed in low service quality quadrant and high market share quadrant. Geek Squad offers standardized service quality and has greater reach in North America and UK. However it is not present in New Zealand. Ultimatepccure aims to overpower the competitors in the next 10 years by offering reliable, prompt Service under its guaranteed resolution program to earn the largest share of the market projected in next 10 years and is placed in high quadrants.
  • 13. CHANDANDEEP SINGH | P a g e | 13 Ultimatepccure - Strategic Group Mapping Ultimatepccure was able to develop its Competition Goal by understanding the current standing of the competitors using Strategic Group Mapping Tool. Ultimatepccure – Target Market Segmentation Ultimatepccure will mainly target home users aged between the ages of 15years -21years and between 30 years-70years. Computer users between the age of 21yers-29 Years are intermediate level users and most of them can troubleshot basic to intermediate level issues which comes under Tier 1. Ultimatepccure sees its market comparatively larger the segmented group as it will also offer support to small business users in any age group. Ultimatepccure has designed its service mix using a customized support model which basic to advanced resolution ranging from Tier1 – Tier 2 issues under 100% customer satisfaction program. Ultimatepccure will support computers systems my any make model and Operating System which defines broader market. HighLow High Low Market Share (Home, Home Office, Small Business) S e r v i c e Q u a l i t y Geek Squad (Current) Ultimatepccure (Projected 10 yearly) Support. com (current) Iyogi (Current) Advanced Computers (Current) Strategic Group Mapping: Ultimatepccure, Support.com, Geek Squad and Iyogi
  • 14. CHANDANDEEP SINGH | P a g e | 14 Ultimatepccure - Product Mix Ultimatepccure will offer advanced software solutions coupled with advanced hardware installation solutions and basic to advanced level computer training as well. It will offer customized resolution programs over the remote access and telephonic communication based on the customer issues and needs. Following is the list of services designed by Ultimatepccure for its customers: Products & Services – “We Deliver What We Say” We will deliver what we commit to our customers. The following Chart describes the support services that we will provide for Operating system, Computer Security & Protection, Wireless & Networking, 3rd Party Hardware & Software and Computer Training: OPERATING SYSTEM (WINDOWS 7, VISTA & XP) SECURITY & PROTECTION WIRELESS & NETWORKING 3RD PARTY HARDWARE 3RD PARTY SOFTWARE COMPUTER TRAINING Upgrade or Reinstall & Set-up Virus, Malware & Trojan Removal * Support Browser Issues* Set Up & Configure Printer or AIO Devices* Set & Install Microsoft Office* Basic Computer Training (5 Hours) Optimize Corrupt Registry Entries* Set Up & Configure Firewalls* Set Up Wireless Security* Memory & Disk Upgrades Configure Microsoft Outlook for Home or Office Use* Intermediate Computer Training (10 Hours) Recovery & Restore Set Up & Configure Antivirus * Optimize Wireless and TCP/IP Settings* Add Graphics Card or Wireless Card to Desktops Support for Social Networking Sites and Chatting Softwares* Internet Training (10 Hours)
  • 15. CHANDANDEEP SINGH | P a g e | 15 Boost Speed, Start Up & Performance * Adware & Spyware Removal* Set Up Wireless Network at Home or Office* Setup & Configure Smartphones (Blackberry, Android, Iphone) Configure Email on Smartphones (Blackberry, Android, Iphone) Advanced Computer Training (60 Hours) Configure Audio & Video Codecs* Release Browser Hi- Jacks* Support for Intermittent Internet Disconnection Set Up External Drive for Data Back Up & Storage* Data Back-Up Storage & Transfer Internet & MS Office Training (25 Hours) *Indicates Support Availability on Remote Access Indicates Tier 1 Level 1Support Indicates Tier 2 Level 2 Support Indicates Tier 3 Level 3 Support Ultimatepccure – Competitive Edge Ultimatepccure sees its competitive advantage its next generational customized revolutionary direct support model which does not includes any fixed pricing. It would use next generation support model for all the software related issues. Next Generational support model includes instant support over remote access with even calling Ultimatepccure. Customer would be able to sign up for next generation support model where they can be instantly connected to remote technician by clicking on the embedded link under their account for Logmein Remote Support Tool on its website www.ultimatepccure.com. Ultimatepccure - Value Proposition Tool: Offerings in the A Spot  We offer first call/remote connect resolution  We stand behind our work  We provide expert support at price less than reasonable support charge  We do our best to make it right first time for you  We offer untiring & unmatched technical service via convenient channels  We develop customized service plans as per customer needs
  • 16. CHANDANDEEP SINGH | P a g e | 16  We Maintain transparency in all our customer interactions  We treasure your feedback at every level  We train our technicians on latest equipment and updates frequently  We follow 3D principle to deliver delight & devote  We value your time and computing needs  We are hungry for your satisfaction  We are offer comprehensive solutions to your all technical hazards  We use next generation tools to provide you convenient and prompt assistance Conclusion: Ultimatepccure aims to target the above mentioned A SPOT in the Value Proposition Tool. The values created and described above by Ultimatepccure will be its Key Success Factors to compete in the computer support industry in the proposed counties Advanced Computer s Geek Squad IyogiSupport.c om Ultimatepc cure THE A SPOT Value Proposition - Ultimatepccure
  • 17. CHANDANDEEP SINGH | P a g e | 17 Ultimatepccure – Proposed Business Strategies & Action Plan Ultimatepccure will follow the below mentioned strategies as its toot map to reach its proposed milestones. Market Entry Strategy Ultimatepccure will enter Canadian and American Market using direct domestic and foreign investment strategy in Canada and USA. In New Zealand’s market Ultimatepccure will enter as an Canadian Online Technical Support Company under its global expansion goals. Market Entry - Action Plan 1. Ultimatepccure will base its Global Headquarters in Mississauga, Canada and rent out a 1500 Sq. ft. office space that belonged to one of its business partner Jeet Bansal for which monthly rent of $2500 would be paid. 2. Ultimatepccure will buy a pack of 5 domains which are (.info, .net, .org ,.us and.ca).Please note that .com domain is already purchased for $9.99 and will be added to the total cost summing up to $40.95 annually.4 3. Ultimatepccure will currently develop and launch websites with three domains which would be .com, .ca and .co.nz. Bikramjit Singh and Aman Singh would be the web developers and Search Engine Optimizers for Ultimatepccure.com. They would be the business partners as well. The 3 website. 4. Ultimatepcure will buy a remote desktop tool access package from Logmein and embed it in its website so as to give easy access to its customers to reach its skilled technicians costing $5940.5 5. Ultimatepccure will buy payment gateway from Pay pal to process the financial transactions for Canadian, American and Kiwi Customers. Payment gateway will accept all major credit, debit cards including American Express. Approximate cost is $35 monthly.6 6. Ultimatepccure will buy IVR Interactive Voice Response system from voip.ms for networking and communication purposes. With a Monthly Fee: $1.49 of and Per minute inbound: $0.032 it is the cheapest and trusted option available with variable cost so it cannot be added to financial summary of expenses.7 7. Ultimatepccure will Assemble 10 customized Powerful Workstations and 2 System Server. The single unit of PC will cost $400 with each Server unit costing at $1000. 0
  • 18. CHANDANDEEP SINGH | P a g e | 18 Pricing & Refunds Strategy The pricing strategy of Ultimatepccure will be based on Cost Based and Value Based.8 Action Plan Cost Based Pricing: Cost based pricing would include services under tier 1, tier 2 and tier 3 mentioned in the product mix section of this plan where the respective issues will be charged at $39.99, $79.99, $99.99. Ultimatepccure will also offer Annual Subscriptions of its services to its customers for $149.99, $229.99, $299.99 for 1 year, 2years and 3 Year Unlimited Remote Support. Iyogi is offering its subscriptions for $169.99, $269.99, $369.99 for 1 year, 2years and 3 Year Unlimited Remote Support.0,9 Value Based Pricing: Ultimatepccure have competitive advantage in value based pricing where it will carefully diagnose the severity issue and offer a customized based valued pricing to its customers. It is very important to bind the customers even if enough profit is not made as these customers will very often buy annual support plans and can give good word of mouth advertising. Refunds Ultimatepccure will offer 100 % satisfaction program to its customers where if under any circumstances, a permanent resolution is not provided to the customer, he will be given a complete refund along with tier 1 free support incident. To be eligible for refunds customer would have to call back and report within 7 calendar day time period. Strategic Alliance Strategy Ultimatepccure will thrive to achieve strategic partnerships with computer resellers in Canada, USA and New Zealand under its global expansion short term business plan. Strategic Partnerships will help in business development for Ultimatepccure as it will be able to offer its expert service to privileged customers of resellers.
  • 19. CHANDANDEEP SINGH | P a g e | 19 Action Plan Ultimatepccure will approach computer and peripheral resellers like Tigerdirect in USA and Canada and Elive in New Zealand strategic alliances.10,11 These resellers would sell Ultimatepccure Annual Subscriptions under their store’s value based program and association with Ultimatepccure. Ultimatepccure will also be listed on their websites and in store flyers and other direct promotion marketing material. Sales & Marketing Strategy Marketing Strategy Strategy 1 Ultimatepccure will market itself under Google Ad words Program. Under Google AD Word Program a user enter a keyword such as tech support in google.com and it lists various companies offering tech support. Action Plan 1 Ultimatepccure will purchase “Microsoft Support” and “Virus” words as its ad words from google with specific time slots on monthly basis running it under different times of the day. In weekdays the ad word time slot would be 11am to 1 pm and 7 pm to 9 pm. During weekdays ad word time slot would be from 11am to 6pm. Please note that ad words would not be purchased to run for the whole day as it incurs significant cost to a new business. An estimate of google ad words cost was obtained from to Mr.Johar, who works for Google Adwords. The monthly cost to run google adwords campaign for selected ad words during the proposed time slots is approximately $1700.
  • 20. CHANDANDEEP SINGH | P a g e | 20 Estimated cost and response statistics of running the ad word for complete day can be seen in the image below12 : Strategy 2 Search Engine Optimization (SEO) Ultimatepccure will optimize its website for better ranking and visibility on search engines. Action Plan 2 Aman Singh and Bikramjit Singh who are active partners and IT Programmers will work towards using Google Analytics and SEO Tools to promote Ultimatepccure as a trusted technical support band with higher visibility probability on search engines like Google, Yahoo, MSN, AOL search engines.
  • 21. CHANDANDEEP SINGH | P a g e | 21 Strategy 3 Ultimatepccure will place online advertisement on different technical resource websites where users log in to read tech support articles to help themselves. Action Plan 1. Ultimatepccure will interchangeably place online banner ads on home pages and tech blog pages of websites like pcworld.com and cnet.com containing keywords windows 7, Outlook, Virus, Blue screen and Wireless Set up. Ultimatepccure will align a monthly budget of $2000 to run these banner ads on these websites. 2. Ultimatepccure will take active participation in responding to tech blogs on different websites offering resolutions and free incidents to users online under its ad promotion campaign on monthly basis. 3. Ultimatepccure will create its own tech blog with latest articles and updates on windows, mac, ios and other computer related devices. Samples of mock banner ads designed by Ultimatepccure can be seen below: Mock Ad 1
  • 22. CHANDANDEEP SINGH | P a g e | 22 Mock Ad 2 Strategy 4 Ultimatepccure will take active participation in direct marketing to target its small business customers. Action Plan To target the small business owners, Ultimatepccure will distribute flyers inside the newspapers like Toronto Star, Mississauga News, USA Today, The Wall Street Journal and The New Zealand Herald as they have big circulation and readership. It will allocate a yearly Budget of $25000 to circulate these flyers. Operations Management Strategy Ultimatepccure will ensure the smooth running of business operations in all the departments by allocating right people for the right job by giving them the resources necessary to get the job done. Action Plan 1. The operations will be shift based where a team of technicians will have 10-15 technicians along with A Subject Matter Expert and a Team Manager. 2. CRM system from Karma CRM will be used costing $49/month which is the initial startup cost for 15 member access. Technicians and SME’s will record daily incidents to keep a track of customer
  • 23. CHANDANDEEP SINGH | P a g e | 23 information. As the business progress Ultimatepccure will invest in developing its own CRM Tool with embedded link to all other tools and Ultimatepccure website.13 3. When customers dial toll free number they will not have to wait in the long queues and will directly reach the expert technicians who diagnose the system using remote access tool Logmein and offer our value based and cost based pricing support plans. 4. Customers will be charged directly by the skilled technicians and immediately supported. 5. Once the issue is resolved SME will talk to the customers take their feedback and log it into the CRM. Incident would only be closed after SME’s confirmation 6. Once an incident is created it have be closed within 4 business hours with certain exception where customer cannot continue troubleshooting or customer does not have media or a goo known device required to troubleshoot. 7. Currently Sales, Marketing and HR Operations will be developed and supervised by the Managing Director and CEO. 8. IT department will be under the direct supervision of IT Director with CEO assisting him at every level. A Programmer and Graphics designer will be hired to add value to IT Department. Workflow Monitoring/Accountability Strategy – Management By Objectives (MBO) Ultimatepccure will make sure that the workflow runs smoothly and efficiently in accordance to the corporate goals and objectives. Action Plan 1. Managing Director will use MBO Principles as guidelines to develop a tracking mechanism for ensuring the achievement of defined corporate goals and objectives at every workflow quarter. 2. Quality control and Ethics department will be in control of its director. 2 Skilled workflow technicians and an Auditor will be hired to listen to the technical calls and send surveys to the customers and feedback to the all the employees. 3. Online surveys will be sent to the customers and their feedback will be discussed with the concerned technicians Management Plan & Organizational Structure Every team of technicians Ultimatepccure will have 10-15 technicians along with A Subject Matter Expert and a Team Manager. Each Team Manager will directly report to process director and Process director will be in Close contact with Managing Director and IT Team. Managing Director will directly report to the CEO. Every major decision making will take participation by SME’s, Team Managers, and
  • 24. CHANDANDEEP SINGH | P a g e | 24 Directors from all the departments, Managing Director and CEO. Recommendations proposed would be carefully analyzed. Name Designation Education Bikramjit Singh CEO & Partner MSC. In computer Science Chandandeep Singh Managing Director & Partner Master of Global Management Aman Singh IT Director & Partner MSC. In computer Science Jeet Bansal Quality Control Director & Partner Master of Arts Samom Meetei Technical Support Process Director & Partner Master in ICT Annual Financial Plan All the partners would contribute $5000 as the startup capital which would sum up to $25000. Monthly cost excluding variable costs, employee salaries and miscellaneous expenses is $6584. CEO Managing Director Technical Support Process Director Team Manager SME 10-15 Skilled Techncians IT Director Programmers Graphic Designers Quality Control Director Quality Control Engineers Auditors
  • 25. CHANDANDEEP SINGH | P a g e | 25 Top Management will not receive any salaries for the period of first 3 months in order to develop business up to a profit earning level. Monthly Salaries would be decided based on the skill level and education of the potential employees. Annual financial cost to run the business globally in 3 countries at a time is approximately half million dollar which does not include middle level management and low level management salaries and other variable expenses which cannot be project at the moment. Ultimatepccure will seek financial assistance from Business Development Bank of Canada in the form of business loans for any financial need may arise. Annual Financial Plan (in CAD$) Business Expense Estimated Cost Monthly(in CAD$) Annually One Time Expense Grand Total Office Space $ 2,500.00 $ 3,000.00 Website Domain Cost $ 40.95 Logmein Access $ 5,940.00 Payment Gatway $ 35.00 $ 420.00 10 Workstations $ 4,000.00 2 Servers $ 2,000.00 Google Ad Words $ 2,000.00 $ 24,000.00 Online Banner Ads $ 2,000.00 $ 24,000.00 Flyers Circulation $ 25,000.00 Karma CRM $ 49.00 $ 588.00 Salaries (1st Year) CEO 100000 Managing Director 80000 Process Director 70000 IT Director 80000 Quality Control Director 60000
  • 26. CHANDANDEEP SINGH | P a g e | 26 Total $ 6,584.00 $ 472,988.95 $ 6,000.00 $ 478,988.95 Grand Total $ 478,988.95 Decision Making Recommendation Globalization is at upsurge and is creating huge demand for products and services that offers value and can be accepted globally. Technology is one big Product and Service that completely drives globalization. With advancements in technology, knowledge and training about using and learning the technology is foreseen. Keeping up to date with technology is no simple process as it changes rapidly. Computer Support is big segment of the advanced technology industry across the globe. With the frequent updates, upgrades and invention of latest gadgets and devices a consistent demand for skilled and innovative technology support consultancies like Ultimatepccure to ease the computing of technology users is anticipated. Facts and trends presented in the plan are witness of the growth potential of the computer support industry. At this stage, Ultimatepccure aims at positioning next generation technical consultancy services by offering ultimate solutions to advanced computer software and hardware problems. With its core technical assets, next generation support model and service expertise it aims to revolutionize the computer support industry thereby creating a market niche for its customers. Ultimatepccure will target home, home office and small business users to build its customer base with a mantra of Deliver, Delight and Devote. The plan describes the best of strategies designed by Ultimatepccure based on the thorough analysis of the market, industry, competition and core strengths of Ultimatepccure. A right mix of product, place, price and promotion is the fundamental asset of Ultimatepccure with market conditions favorable for survival and significant future growth. It is therefore highly recommended that Ultimatepccure must pursue this business opportunity commencing year 2013 using its Deliver, Delight and Devote Mantra. “Ultimatepccure Add Ease, Add Life to Computing”
  • 27. CHANDANDEEP SINGH | P a g e | 27 Notes 0. Please note that developer of this business plan has an extensive work experience working in the technical support industry for companies like Dell, Iyogi, Vast Computers, Vtechsquad and Ultimatepccure. Knowledge of Industry insights and customer behavior referenced with endnote symbol 0 is a reflection author’s experience working in this industry serving American, Canadian, British, Australian and Indian Customers. Author can produce the evidence of his work experience in these companies whenever asked. 1. http://www.windowsrenew.com/start-a-computer-repair-business/ 12/02/2012 2. http://www.goodreads.com/author/quotes/1771.Sun_Tzu 12/02/2012 3. http://www.scambook.com/report/view/150502/VTechSquad-Complaint-150502-for-$100.00 12/02/2012 4. http://www.godaddy.com/domains/searchresults.aspx?ci=54814# 12/02/2012 5. https://secure.logmeinrescue.com/purchase/plans.aspx 12/03/2012 6. https://merchant.paypal.com/ca/cgi-bin/marketingweb?cmd=_render-content&content_ID=merchant/home&nav=2 12/05/2012 7. http://voip.ms/tollfreecanus.php 12/05/2012 8. http://cripoll.wordpress.com/2010/03/01/price-value-and-cost/ 12/05/2012 9. https://services.iyogi.net/register/subscription/ 12/05/2012 10. http://www.tigerdirect.ca/indexca.asp?SRCCODE=CANWGOOCABRA&cm_mmc_o=mH4CjC7BBTkwCjCECjCE&gclid=CN- k4_OQhbQCFYN_QgodnDgAKQ 12/05/2012 11. http://www.elive.co.nz/ 12/05/2012 12. https://adwords.google.ca/ko/TrafficEstimator/Home?__u=1511855625&__c=3583393665&__o=kt 12/05/2012 13. http://www.karmacrm.com/pricing 12/05/2012
  • 28. CHANDANDEEP SINGH | P a g e | 28 APPENDIX - A Porters Five Force Model: Michael Porter's famous Five Forces of Competitive Position model provides a thorough platform for assessing and analyzing the forces in market that affects the position of and business organization. This tool is being used to examine the forces behind the essential factors to the entry, establishment, survival and success of business. 1. New Market Entrants - Force Effect: Low ( 5 on a scale of 0-10) The computer repair industry is easy to enter as it does not involve complex business licensing requirements. The financial cost to enter the market is very economical. A business can be started with a user friendly website, trusted payment gateway and a Google ad word time slot. Since technical support in this business requires access to remote access software freeware like Team Viewer can also be used.0 Competition from established brands like Geek Squad can be a challenge as they are already present in the market and capitalizing on the bigger share of the market. 1. Supplier Power - Force Effect: Low (5 on a scale of 0-10) The major suppliers of the industry include companies that provide web hosting servers, domain name providers for website, Google Ad Words Auctions Agency, Payment Gateway and Remote Access Partners. They all include a startup cost to offer a virtual platform of tools and services in the form of analytics or tools and later charge annual fee for their tool or server usage. It is important for them to be consistent with their service and technical upkeep. Since the known companies offering these tools also cater to bigger conglomerates so their efficiency is not questioned unless timely financial constraints are being fulfilled by their customers. One major force in the supplier power is the benefits and perks offered to the employees of the company as this industry is highly competitive and skilled employees seek better opportunities and benefits. 2. Buyer Power - Force Effect: Extreme High(10 on a scale of 0-10) Customers of the Industry seek support from trusted and trained professionals who can give them quicker first call resolutions. Responsiveness in terms of accountability, empathy and resolution is very important to customers. Competition makes buyers confused and suspicious and they make wrong decision in selecting their personal technical support consultancy company that is unskilled or incompetent. The purchasing currency of buyer is very alluring to the support provider and buyers negotiate on the customized pricing based on their currency. 3. Competition - Force Effect : High (9 on Scale of 0-10) Competition in the computer support industry is very critical to the growth and survival of a new business in the industry. Established brands like Support.com, iyogi and Geek Squad and plum choice already has their niche developed in the industry and they have financial strengths and strategic global alliances with to support them in bad times. OEMs like dell, IBM, HP have their own technical support which is also trusted for resolution. Threats from potential or emerging support firms cannot be undermined.
  • 29. CHANDANDEEP SINGH | P a g e | 29 4. Technology and Support Substitutes - Force Effect : Very Low (4 On a Scale of 0-10) Upgrades in operating systems every 2-3 years force customers to buy new computers instead of getting older device repaired. Handy tablets like Ipad, Nook and Kindle Etc. have also substituted complex windows and mac based computers. Many customers have become tech aware and can resolve basic technical issues by reading online blogs and using automated software like CCLEANER.
  • 30. CHANDANDEEP SINGH | P a g e | 30 APPENDIX - B Computer Repair Industry - SWOT Analysis0 (Reference 0 in this document reflects judgments made from author’s solid work experience in the technical support industry) STRENGTHS WEAKNESSES  Every low or high end computer systems need maintenance regularly  Low entry barriers make this industry highly competitive for existing businesses  Every computer fail on regular basis with mostly software issues mainly virus, internet browsing and emails issues  The increase in devices that can be connected to computer brings challenges for many TPM software support technicians  Multiple software and devices are innovated to be used with or on computers for fun, education or business which demands for software and hardware installation support  Large computer repair services, such as Geek Squad, grow to a large scale by opening numerous outlets throughout the country with support from big brand name of Best Buy  During recession also, customers prefer to get computers repaired instead of buying a new one and that further demand  People do not see computer repair service as a professional occupation and try to bargain on price that includes support from experienced professional  Development of Remote desktop Control software had reduced the costs of expensive on- site services as well as long and inefficient telephonic support  OEM's have started offering factory recovery on the computer itself which is easy to use and can fix any major software issue  Installation and software maintenance, including virus protection, Internet connectivity, Email issues are very common support drivers  Some OEM's and TPM service providers replace the parts instead of diagnosing and repairing for software issue which takes business away from trusted TPM companies as well  OEM's charge for software support services is comparatively very high than TPM service providers.  Chargeback asked by customers even after taking support is increasing and it is difficult for TPM companies to maintain economies of scale  Practically it is not possible for Computer repair shops to serve area larger than local area  Computer Repair Industry is still dominated by original equipment manufacturers (OEM's) OPPORTUNITIES THREATS  New innovations in the computer technology continue to provide new opportunities for TPM companies  OEM'S focused to develop sophisticated, user friendly, reliable machines to compete with each other
  • 31. CHANDANDEEP SINGH | P a g e | 31  The rise of tablet PCs and smartphones creates the potential to serve new markets, increasing the revenue that the TPM can cash upon  Level of business ethics is dropping in the computer repair industry as many companies like V-Techsquad use unethical business practices to boost sale by linking themselves to Microsoft, Netgear etc.3  TPM computer support companies can benefit from the opportunity of developing strategic partnerships with ISP's and generate more business  Because of the dropped prices, computers are cheaper than ever and people replace their computer even when the hardware is working fine  New editions of Windows every 2-3 years makes consumers to demand more from this industry demand  Services of TPM computer companies are undervalued because many people think that their relatives, cousins, colleague or someone they know can fix computers  Online support can be made available to any computer in any remote area with the requirement of just an internet connection with ease of payment as well  The competition is forcing the companies to raise the salaries of the support staff to decrease attrition rate which is the main operations cost of the TPM companies  People are beginning to fear from new forms of viruses, email hackers, Trojans and spywares
  • 32. CHANDANDEEP SINGH | P a g e | 32 APPENDIX - C Computer Repair Industry - Global Driving Factors and their Impacts There are various factors that really benefit the globalization but below you will find very significant factors that totally drive the globalization, relative to Computer repair industry. 1. Internet: World Wide Web has reached to almost every corner of this world. It has narrowed the gap among the people via internet, email, instant messenger, remote sharing and VPN (Virtual Private Network). Within no time anyone using the WWW can get any info on a topic, country, company, product, service and person. Ebay, Amazon and Google have revolutionized the traditional business models where physical reach of the seller was a requirement to create brand awareness. 2. Technology: Technology has been very flexible in terms of advancement. Every day, thousands of new gadgets, software, tools, networking devices are innovated globally. The advances in technology have directed this world to globalization. Globalization actually resulted from technology as it mended the gap among countries of the world and gave rise to borderless trade. 3. Operating Systems: Availability of uniform operating systems like Windows, Macintosh, iOS (idevices software e.g. ipad, ipod, iphone), Android and Linux is one major driving factor of globalization. 4. Brand Reach: Brand reach, awareness and recognition are very important from global business perspective. Established brands like Coca Cola, Mcdonalds, Microsoft does not need any introduction in any part of the world. 5. Remote Desktop Access: With the development of remote desktop access tools like Team Viewer, Logmein and Gotoassist etc. users can now control computer systems in any part of the world to stay tuned on stock exchanges, give and take technical assistance, share e-documents like images, logos, files etc. 6. Language: English Language uniformity and acceptance across the global is key factor driving globalization 7. Payment Gateways: Payment gateways like CC Avenue have brought the global financial aspect of businesses very closer. Companies can charge and obtain payment from customers using various kinds of debit and credit cards from any part of the world after automatically changing the currency. 8. Trade Blocs: Trade blocs like NAFTA, EU and ASEAN etc. have brought different countries of the world one step closer as member countries involved in trade blocs can trade products and services with lowest trade barriers among each other. 9. Google: Last but not the least, this Mr. Google is the biggest contributor in the success of Globalization. It has the ability to make and destroy a brand globally. It has the power to make any brand popular overnight in any part or the whole world.
  • 33. CHANDANDEEP SINGH | P a g e | 33 APPENDIX - D Target Countries: Canada, USA, UK, Australia, New Zealand Factor Assessment Using Pest-C Analysis: Canada PEST Analysis Political-Legal Economic Licensing Requirements Federal Business Registration – Canada Revenue Agency. Obtain GST/HST1 Business Licence 1 Employment Agency Licence 1 Temporary Foreign Workers Permit1 GDP & GDP(Per Capita) GDP $1,181,000,000,000.0010 GDP Per Capita $36,275.4410 Taxation levels - GST/HST Percentage Ontario: 13%2 British Coloumbia: 12%2 Alberta and Sasketchwan: 5%2 Income Distribution patterns “In 2010, the average after-tax income in Canada for the bottom 20% of family units (after-tax income of $24,300 or less) was $14,600, and for the top 20% (after-tax income of $89,300 or more) was $135,500”11
  • 34. CHANDANDEEP SINGH | P a g e | 34 Government Legislation on DNCL/Internet Usage “In September 2008, the National DNCL was launched to help Canadians reduce the number of unsolicited telemarketing implying stringent rules. 6 CRTC (Canadian Radio-television and Telecommunications Commission) ended unlimited internet access plans offered in February 2011. But it was opposed by federal government as it would create issues for Canadian small businesses, job seekers and innovators.7 Credit Availability Canadian banks offer loan/ credit lines and personalized services for businesses based on needs.3,4,5 Government Supported Programs like: Canada Small Business Financing Program are also available.4,5 Government Support for Small Business & Promotion Government has helpful approach. Federal Economic Development Agency assist new entrepreneurs in support programs like:  Eastern Ontario Development Program  Community Futures Program  Economic Development Initiative  Business Development Bank of Canada  Investing in Business Innovation8 Inflation 1.2% as of September, 201212 Political Stability  Very strong democratic values with confident voting system  Three major Political Parties include Liberal Party of Canada, New Democratic Party and the Conservative Party of Canada  The conservative party won the election again on May 2nd , 20119  Various government agencies and departments to support the smooth functioning of the political system Unemployment Rate 7.4% as of September 201213
  • 35. CHANDANDEEP SINGH | P a g e | 35 Wage Average wage for User Support Technician in Canada depends upon cities and is in between $16.92 -$23.52/hour14 Social-Cultural Technological Population 34,880,491 as of July 201215 Rate of Computer Obsolescence Average life of computer with maintenance is 5 Years24 Employment Patterns/Education level In the Canadian Government’s NOC list, the technical support technician is classified as User Support Technician with Code 2282. 16 According to Calgary’s economic development agency, the total number of employees working as User Support Technicians in 2010 were 55,22517 Average Annual Employment Income18 Average Annual Employment Income Unit Group 2282 Full-time, full-year 67.5% Internet Usage Trends “In 2010, 80% of individuals aged 16 years and older used the Internet for personal use. Significant differences in use rates exist based on age, income, location and other factors. Residents of British Columbia (86%) and Alberta (84%) reported the highest use rates. Rates were lowest in Newfoundland and Labrador (73%) and New Brunswick (70%)25” YEAR26 Population Users 2000 31,496,800 12,700,000
  • 36. CHANDANDEEP SINGH | P a g e | 36 Average income 45,231 0-19999$ 7.1% 20000-49999$ 61.2% 50000$ and over 31.8% Employment Distribution by Highest Level of Schooling19 Employment Distribution by Highest Level of Schooling Unit Group 2282 Less than high-school 1.4% High-school 14.4% Post-secondary 65.4% Bachelors 18.9% 2003 32,050,369 20,450,000 2005 32,440,970 21,900,000 2008 33,212,696 28,000,000 Computer Usage Lifestyle & Preferences 1. Facebook users in the Canada sum to 18573940 users which makes “Canada #13 in the ranking of all Facebook statistics by Country.”20 Back to School Life21 Public elementary and secondary enrolment 5,077,021 Post-secondary enrolment 1,905,516 Main OEM’ Brands  Dell  IBM  TOSHIBA  SONY VAIO  HP  ASUS  SAMSUNG  ACER  MDG  APPLE
  • 37. CHANDANDEEP SINGH | P a g e | 37 Teachers and professors 773,300 Leisure Time22 Age Group - 15-24yrs 26.61353835 % Age Group - 25-44yrs 18.38970252 % Age Group - 45-64yrs 23.1658357 % Operating System Usage  Windows  Mac  Ios  Android  Blackeberry Spending Patterns “$15.3 billion — The total expenditure on education (including school supplies, textbooks, tuition fees, other courses and lessons and educational services) by all households in Canada in 2010”23 Technical Know How & Computer usage of Average Canadian  46 per cent of households who have income below than $30,000 had no internet access27  In the income category of $87,000 and above only 3% were offline28  “Among those who aren't online, the main reason given was having no need or interest (56 per cent)”29  “12% of households said they lacked confidence, knowledge or skills”30
  • 38. CHANDANDEEP SINGH | P a g e | 38 Factor Assessment Using Pest-C Analysis: United States of America PEST Analysis Political-Legal Economic Licensing Requirements 1. No specific license for the role of user support technician 2. Federal Business Tax ID31 3. Register business as DBA “Doing Business As” with US SBA(Small Business Administration)32 GDP & GDP(Per Capita) GDP $13,060,000,000,000.0038 GDP Per Capita $43,680.6738 Taxation levels - GST/HST Percentage 1. Tax in US varies according to states and cities 2. Average sales tax rate is 9.60%33. “Income Distribution Patterns39”
  • 39. CHANDANDEEP SINGH | P a g e | 39 Government Legislation on DNCL /Online Sales Very Strict and detailed laws34. Also Telemarketers need to obtain state telemarketing licenses. More details can be found on the endnote35 Credit Availability Banks are open to offering loans, line of credit and US SBA financing40, 41
  • 40. CHANDANDEEP SINGH | P a g e | 40 Government Support for Small Business & Promotion In order to ensure that small businesses are self-confident to start, grow and create jobs the President’s 2013 Budget will have finance provisions for business access to credit, decrease taxes, boost investment and promote impact investment etc. 36 Inflation “The inflation rate in the United States was recorded at 2.00 percent in September of 201242” Political Stability 135 years of political stability37 Unemployment Rate 7.8% as of September 201243 Wage Average wage for User Support Technician in USA considering 10 biggest cities is $24/hour44 Social-Cultural Technological Population According to the U.S. Census Bureau, current US population is 314,688,77745 Rate of Computer Obsolescence 5years Employment Patterns/Education level46 “Computer Support Specialists “ Internet Usage Trends50 REGION Population 2010 Est. Internet Users, June, 2010 Internet Penetratio n
  • 41. CHANDANDEEP SINGH | P a g e | 41 2010 Median Pay $46,260 per year $22.24 per hour Entry-Level Education Some college, no degree Work Experience in a Related Occupation None On-the-job Training Moderate-term on- the-job training Number of Jobs, 2010 607,100 Job Outlook, 2010-20 18% (About as fast as average) Employment Change, 2010- 20 110,000 Total United States 310,232,86 3 239,893, 600 77.3 % Computer Usage Lifestyle & Preferences 1. Currently 167554700 Facebook users47 2. Back to School PC Shipments decreased in USA for all major manufacturers except Lenovo in Q3 OF 201248 Main OEM’ Brands  Dell  IBM  TOSHIBA  SONY VAIO  HP  ASUS  SAMSUNG  ACER  GATEWAY  APPLE
  • 42. CHANDANDEEP SINGH | P a g e | 42 Leisure Time49 Age Group 15-24years 27.09456181 % Age Group 25-44years 19.53077921 % Age Group 45-64years 22.68727407 % Operating System Usage  Windows  Mac  Ios  Android  Blackberry Factor Assessment Using Pest-C Analysis: UK PEST Analysis Political-Legal Economic Licensing Requirements Licensing Requirements for New Business 51  Register as self-employed with HM Revenue & Customs (HMRC)  Income Tax and Self-Assessment  National Insurance contributions  Value Added Tax (VAT)  Self-employed record keeping GDP & GDP(Per Capita Income) GDP $2.2 trillion56 GDP Per Capita $34,920 per capita56
  • 43. CHANDANDEEP SINGH | P a g e | 43 Taxation levels – VAT Percentage 3 Rates depending upon goods and services52  Standard - 20 per cent  Reduced - 5 per cent  Zero - 0 per cent “Income Distribution patterns”57 Average family income in the UK is £2,066 Government Legislation on DNCL/Internet Usage  Few governing regulation but very strict.  Telephone Preference Service stop businesses to make unsolicited telemarketing calls to its customers53 Inflation Inflation rate is 3.3%58 Government Support Government has different support programs in support for small businesses that include:  Grants  Subsidies  Loans  Tax Breaks  Business advantages in the form of Wage “Average annual income for support technicians in the UK in 2010 was $23/hour59
  • 44. CHANDANDEEP SINGH | P a g e | 44 government insurance against risks54 Political Stability Solid and stable Economic, Political and Financial System55 Unemployment Rate Unemployment rate is7.9%60 Social-Cultural Technological Population Population: 62.2 million61 Rate of Computer Obsolescence 5 Years Employment Patterns/Education level 79,000 employees working as User Support Technicians62 Internet Usage Trends Internet Users66 51.44 million Computer Usage Lifestyle & Preferences Facebook Users63 33190940 Computer User64 35,890,000 Major OEM Brands  Dell  IBM  TOSHIBA  SONY VAIO  HP  ASUS  SAMSUNG  ACER  APPLE Leisure Time65 Age Group 15-24years 26.94444444 % Age Group 25-44years 21.59722222 % Age Group 45-64years 25.83333333 % Operating System Usage  Windows  Mac  Ios  Android  Blackberry
  • 45. CHANDANDEEP SINGH | P a g e | 45 Factor Assessment Using Pest-C Analysis: Australia PEST Analysis Political-Legal Economic Licensing Requirements for New Business67  Register for an Australian Business Number (ABN)  Register for Goods & Services Tax (GST)  Register for a Tax File Number (TFN)  Register for Payroll Tax GDP & GDP(Per Capita Income) GDP72 1371.76 billion US$ GDP Per Capita73 27427.64 US$ Taxation levels - GST/HST Percentage 10% GST on all goods and services sold within Australia68 Income Distribution Patterns74 Mean Income $848 per week Median Income $715 per week Government Legislation on DNCL  The Do Not Call Register is monitored by the Australian Communications and Media Authority (ACMA)69  Australian Consumer Law has strict regulations against business who do not abide and make unsolicited calls69 Inflation 2% as of 2012 Q375 Government Support for Small Business Grants and funding programs are available from Australian, state and territory governments70 Unemployment Rate “Unemployment rate steady at 5.3%”76
  • 46. CHANDANDEEP SINGH | P a g e | 46 Political Stability Australia has better prospects for investment opportunities as the nation’s political environment is stable high degree of poise and certainty71 Wage77 Experience Salary 1-4 years AU$35,000 - AU$59,000 5-9 years AU$40,695 - AU$59,916 Social-Cultural Technological Population 22,799,75878 Rate of Computer Obsolescence 5 Years Computer Usage Lifestyle & Preferences Facebook Users79 11718840 Used computers for Internet Access80 12,036,000 “Internet Usage Trends”80 Dec 2011 Jun 2012 '000 '000 Access connection Dial-up connections 473 439 Broadband connections DSL 4 553 4 632 Cable 900 917 Fibre 37 52 Satellite 100 94 Fixed wireless 35 30 Mobile wireless 5 491 5 862 Other 8 10 All broadband connections 11 123 11 597 Total number of subscribers 11 596 12 036
  • 47. CHANDANDEEP SINGH | P a g e | 47 Leisure Time81 Age Group 15-24years 26.50272761 % Age Group 25-44years 17.20812179 % Age Group 45-64years 22.68727407 % Main OEM’ Brands  Dell  IBM  TOSHIBA  SONY VAIO  HP  ASUS  SAMSUNG  ACER  APPLE “Spending Patterns”72 Operating System Usage  Windows  Mac  Ios  Android  Blackberry
  • 48. CHANDANDEEP SINGH | P a g e | 48 Factor Assessment Using Pest-C Analysis: New Zealand PEST Analysis Political-Legal Economic Licensing Requirements for New Business82  Must register with Inland Revenue for tax purposes  Must also register for GST (Goods & Services Tax) Income Distribution patterns Mean Income87 US$18601 Median Income88 $560 (NZ$) Taxation levels - GST/HST Percentage GST : 15%83 GDP & GDP(Per Capita Income)89 GDP NZ$ 202,018 GDP Per Capita NZ$ 45,769 Government Legislation on DNCL/Internet Usage The NZ Marketing Association regulates the "do not mail" and "do not call" registrations to prevent businesses for making unsolicited correspondence 84 Inflation 1% as of March 31st , 201290 Government Support85 Government have many support initiatives like:  Grants & incentives  Capability Development funding Unemployment Rate 6.8% as of 30 June 201191
  • 49. CHANDANDEEP SINGH | P a g e | 49  R&D Funding and Support Political Stability “Long-established democracy and a very stable political environment”86 Wage NZ$37,675-NZ$55,622 depending upon experience of 1-4yrs92 Social-Cultural Technological Population 4,444,48793 Rate of Computer Obsolescence 5 years Computer Usage Lifestyle & Preferences Facebook Users94 2267300 Used computers for Internet Access95 Over a Million “Internet Usage Trends”97 Mostly use Broadband but many still use dial up because of the cost benefit Leisure Time96 Age Group 15-24years 29.6564452 % Age Group 25-44years 20.00551447 % Main OEM’ Brands  Dell  IBM  TOSHIBA
  • 50. CHANDANDEEP SINGH | P a g e | 50 Age Group 45-64years 22.4168426 %  SONY VAIO  HP  ASUS  SAMSUNG  ACER  APPLE Operating System Usage  Windows  Mac  Ios  Android  Blackberry Appendix D Notes 1. http://www.canadabusiness.ca/eng/search/p-r/sgc-5917034/naics- 5416/&activity%5B%5D=8876&activity%5B%5D=8875&activity%5B%5D=8883&sgc=5917034&l oc_name=Victoria%2C+British+Columbia&naics=5416&industry_name=Management%2C+scien tific+and+technical+consulting+services&briefcase=&js=available&lang=eng 2. http://www.cra-arc.gc.ca/tx/bsnss/tpcs/gst-tps/rts-eng.html 3. http://www.theworkingbank.ca/cwb-services/business-lending/commercial-lending/ 4. http://www.tdcanadatrust.com/products-services/small-business/credit/canada-small- business-financing-loan/cred-csbfl.jsp 5. https://www.cibc.com/ca/small-business/gov-supported-progs.html 6. http://www.crtc.gc.ca/eng/info_sht/t1031.htm 7. http://www.cbc.ca/news/canada/story/2011/02/03/crtc-internet-clement.html 8. http://www.feddevontario.gc.ca/eic/site/723.nsf/eng/h_00278.html 9. http://www.fogartylaw.ca/2011/05/canada-begins-a-new-era-of-political-stability-2011- election-aftermath/ 10. http://www.nationmaster.com/compare/Canada/United-States/ 11. http://www4.hrsdc.gc.ca/.3ndic.1t.4r@-eng.jsp?iid=22 12. http://www.statcan.gc.ca/daily-quotidien/121019/dq121019a-eng.htm 13. http://www.statcan.gc.ca/daily-quotidien/121005/dq121005a-eng.htm 14. http://www.calgaryeconomicdevelopment.com/sites/default/files/pdf/research/reports/whats _new/global_demand_canada_us_uk/CED%20Labour%20Supply%20Study%202012%20- %20Recruiting%20User%20Support%20Technicians%20in%20Canada_US_UK_Ireland.pdf 15. http://www.statcan.gc.ca/start-debut-eng.html 16. http://www.servicecanada.gc.ca/eng/qc/job_futures/statistics/2282.shtml 17. http://www.calgaryeconomicdevelopment.com/sites/default/files/pdf/research/reports/whats _new/global_demand_canada_us_uk/CED%20Labour%20Supply%20Study%202012%20- %20Recruiting%20User%20Support%20Technicians%20in%20Canada_US_UK_Ireland.pdf
  • 51. CHANDANDEEP SINGH | P a g e | 51 18. Ibid 19. Ibid 20. http://www.socialbakers.com/facebook-statistics/canada 21. http://www42.statcan.ca/smr08/2012/smr08_167_2012-eng.htm 22. http://www.nationmaster.com/graph/lif_lei_lei_tim_lei_tim_acr_dem_gro_age_4564- demographic-groups-ages-45-64 23. http://www42.statcan.ca/smr08/2012/smr08_167_2012-eng.htm 24. http://forums.cnet.com/7723-7586_102-316353/what-is-the-average-life-of-an-average- desktop-computer/ 25. http://www.statcan.gc.ca/daily-quotidien/111012/dq111012a-eng.htm 26. http://www.internetworldstats.com/am/ca.htm 27. http://www.internetworldstats.com/am/ca.htm 28. http://www.cbc.ca/news/technology/story/2011/05/30/f-home-internet-access-barriers.html 29. http://www.cbc.ca/news/technology/story/2011/05/30/f-home-internet-access-barriers.html 30. http://www.cbc.ca/news/technology/story/2011/05/30/f-home-internet-access-barriers.html 31. http://www.sba.gov/content/obtain-your-federal-business-tax-id-ein 32. http://www.sba.gov/content/register-your-fictitious-or-doing-business-dba-name 33. http://www.forbes.com/sites/williampbarrett/2012/02/02/average-u-s-sales-tax-rate-drops-a- little/ 34. http://www.sba.gov/content/telemarketing-laws 35. http://www.sba.gov/content/telemarketing-laws 36. http://www.whitehouse.gov/omb/factsheet/supporting-small-businesses-and-creating-jobs 37. http://www.ucg.org/news-and-prophecy/us-election-value-political-stability/ 38. http://www.nationmaster.com/compare/United-Kingdom/United-States 39. http://www.paulvanslembrouck.com/2011/household-income-distribution-in-u-s/ 40. https://www.usbank.com/small-business/credit-financing/sba-loans.html 41. https://www.bankofamerica.com/smallbusiness/ 42. http://www.tradingeconomics.com/united-states/gdp-growth 43. http://www.bls.gov/cps/ 44. http://www.calgaryeconomicdevelopment.com/sites/default/files/pdf/research/reports/whats _new/global_demand_canada_us_uk/CED%20Labour%20Supply%20Study%202012%20- %20Recruiting%20User%20Support%20Technicians%20in%20Canada_US_UK_Ireland.pdf 45. http://www.census.gov/population/www/popclockus.html 46. http://www.bls.gov/ooh/computer-and-information-technology/computer-support- specialists.htm 47. http://www.socialbakers.com/facebook-statistics/united-states 48. http://www.gartner.com/it/page.jsp?id=2194017 49. http://www.nationmaster.com/graph/lif_lei_lei_tim_lei_tim_acr_dem_gro_age_1524- demographic-groups-ages-15-24 50. http://www.internetworldstats.com/stats26.htm 51. http://www.hmrc.gov.uk/working/intro/selfemployed.htm 52. http://www.hmrc.gov.uk/vat/start/introduction.htm#2 53. http://www.quotebean.co.uk/buying-services/telemarketing-companies/help-to-buy- guides/telemarketing-laws/
  • 52. CHANDANDEEP SINGH | P a g e | 52 54. http://www.ukbusinessgrants.org/programs.php 55. http://www3.ambest.com/ratings/cr/reports/UnitedKingdom.pdf 56. http://www.heritage.org/index/country/unitedkingdom 57. http://www.aviva.com/data/report-library/Family_Finances_Report_5_Jan_2012.pdf 58. http://www.heritage.org/index/country/unitedkingdom 59. http://www.calgaryeconomicdevelopment.com/sites/default/files/pdf/research/reports/whats _new/global_demand_canada_us_uk/CED%20Labour%20Supply%20Study%202012%20- %20Recruiting%20User%20Support%20Technicians%20in%20Canada_US_UK_Ireland.pdf 60. http://www.heritage.org/index/country/unitedkingdom 61. http://www.heritage.org/index/country/unitedkingdom 62. http://www.calgaryeconomicdevelopment.com/sites/default/files/pdf/research/reports/whats _new/global_demand_canada_us_uk/CED%20Labour%20Supply%20Study%202012%20- %20Recruiting%20User%20Support%20Technicians%20in%20Canada_US_UK_Ireland.pdf 63. http://www.socialbakers.com/facebook-statistics/united-kingdom 64. http://www.mapsofworld.com/world-top-ten/world-top-ten-personal-computers-users- map.html 65. http://www.nationmaster.com/graph/lif_lei_lei_tim_lei_tim_acr_dem_gro_age_4564- demographic-groups-ages-45-64 66. http://www.mapsofworld.com/world-top-ten/world-top-ten-personal-computers-users- map.html 67. http://www.business.gov.au/BusinessTopics/Registrationandlicences/Pages/default.aspx 68. http://www.taxrates.cc/html/australia-tax-rates.html 69. http://www.accc.gov.au/content/index.phtml/itemId/815462 70. http://www.business.gov.au/BusinessTopics/Grantsandassistance/Pages/default.aspx 71. http://www.austrade.gov.au/Invest/Why-Australia/Democratic-and-Politically- Stable/default.aspx 72. http://www.tradingeconomics.com/australia/gdp 73. http://www.tradingeconomics.com/australia/gdp-per-capita 74. http://www.abs.gov.au/ausstats/abs@.nsf/Lookup/by%20Subject/1301.0~2012~Main%20Feat ures~Household%20income,%20expenditure%20and%20wealth~193 75. http://www.tradingeconomics.com/australia/inflation-cpi 76. http://www.abs.gov.au/ausstats/abs@.nsf/mf/6202.0 77. http://www.payscale.com/research/AU/Job=Computer_Support_Technician/Salary#by_Years_ Experience 78. http://www.abs.gov.au/ausstats/abs@.nsf/94713ad445ff1425ca25682000192af2/1647509ef7e 25faaca2568a900154b63!OpenDocument 79. http://www.socialbakers.com/facebook-statistics/australia 80. http://www.abs.gov.au/ausstats/abs@.nsf/Latestproducts/8153.0Media%20Release1Jun%202 012?opendocument&tabname=Summary&prodno=8153.0&issue=Jun%202012&num=&view= 81. http://www.nationmaster.com/graph/lif_lei_lei_tim_lei_tim_acr_dem_gro_age_1524- demographic-groups-ages-15-24 82. http://www.business.govt.nz/starting-and-stopping/entering-a-business/starting-a- business#registrations 83. http://www.taxrates.cc/html/new-zealand-tax-rates.html
  • 53. CHANDANDEEP SINGH | P a g e | 53 84. http://www.consumer.org.nz/reports/telemarketing/what-can-you-do 85. http://www.business.govt.nz/support-and-advice/grants-incentives 86. http://www.newzealandeducated.com/int/en/guide/on_arrival/government_services 87. http://www.oecdbetterlifeindex.org/countries/new-zealand/ 88. http://www.stats.govt.nz/browse_for_stats/income-and- work/Income/NZIncomeSurvey_HOTPJun12qtr.aspx 89. http://business.newzealand.com/northamerica/en/invest-in-new-zealand/new-zealand- economy-facts-and-figures/ 90. http://business.newzealand.com/northamerica/en/invest-in-new-zealand/new-zealand- economy-facts-and-figures/ 91. http://business.newzealand.com/northamerica/en/invest-in-new-zealand/new-zealand- economy-facts-and-figures/ 92. http://www.payscale.com/research/NZ/Job=Desktop_Support_Technician/Salary/by_Degree#b y_Years_Experience 93. http://www.stats.govt.nz/tools_and_services/tools/population_clock.aspx 94. http://www.socialbakers.com/facebook-statistics/new-zealand 95. http://www.stats.govt.nz/browse_for_stats/industry_sectors/information_technology_and_co mmunications/HouseholdUseofICT_HOTP2009.aspx 96. http://www.nationmaster.com/graph/lif_lei_lei_tim_lei_tim_acr_dem_gro_age_4564- demographic-groups-ages-45-64 97. http://www.stats.govt.nz/browse_for_stats/industry_sectors/information_technology_and_co mmunications/HouseholdUseofICT_HOTP2009.aspx
  • 54. CHANDANDEEP SINGH | P a g e | 54 APPENDIX – E Ultimatepccure - Competition Analysis Support.com, Inc. Company Profile : Support.com, Inc is a US based computer technology corporation incorporated in Delaware in December 1997 under the name Replicase, Inc and later it changed name to Support.com, Inc. in 2009. It offers online computer repair support to customers in US as well as Canada. It is a public listed on the NASDAQ Market under the symbol SPRT.4 Market Entry Strategy: Support.com emerged in US and Canada as an online support company that offered support online via remote access. For employees they have a work from home model in Canada where again support.com is physically not present in Canada.30 Comparative Advantage: Support.com has technical support employees in USA and Canada only and customers do not have to struggle with the language barrier where in with other support providers language is a major support barrier. Key Strengths5  Public Listed Company. Listed on NASDAQ36  Accepts all major credit cards and Pay Pal37  24/7. 365 Days Remote Support with 100% Money back Guarantee38  Customer base of over 800,000 served over the 1-800 number39  Technology Experts 100% based in US and Canada40  Employees get the option of work from home41  Partnership and affiliate programs with ISP’s and other retailers42  Offers Subscription plans and one time fixes  Business Intelligence experience of 15 years  Reviewed by BBB (Better Business Bureau)  Solid annual revenue of $53 Million  Higher customer satisfaction  Supports Windows as well as Mac43 Weaknesses  Services only in US and Canada  Offers only Online Support  Reliance on remote support which customers may find hard to connect  Lesser margins as it employs employees in US and Canada only7  Decreasing Gross Margin8 iYogi Technical Services Pvt. Ltd. Company Profile: Iyogi is one of the fastest growing remote technical support companies in the world and was founded in 2005. Iyogi has perfected the remote technical support model to successfully overcome limitations like time and distance.35 The company’s database serves information on the customer and his/her history of incidents, every time a contact is made to provide a personalized service. The company has more than 100,000 annual subscribers across four continents and has a customer satisfaction rating of 95%.9 Key areas of service include, USA, Canada, UK and Australia.
  • 55. CHANDANDEEP SINGH | P a g e | 55 Market Entry Strategy: Iyogi initially emerged as an online remote support company but with its excellence in online marketing and business strategy it is has expanded itself on the global level. It used World Wide Web to enter US, Canada, Australia and UK when it purchased google ad words in these countries which generated it business on a large scale.31 Later, in april 2010, Iyogi signed up an agreement with IBM to enable and support its accelerated growth plans for expanding service delivery capabilities across multiple countries.32 Comparative Advantage: Iyogi has comparative advantage in customer reach via google adwords and strategic alliances with brands like IBM. Additionally, Iyogi is able to offer its services at comparatively cheaper rate than the competition as it is based in India where the average salary of Sr. Technical Support Executive is between $300-$400 monthly.33 Key Strengths  Private Limited company with streamlined controls  Accepts all major credit cards excluding American Express  Customer Satisfaction rate of 95% and a Resolution rate of 87%10  24/7. 365 Days Remote Support with 100% Money back Guarantee11  Growing Customer base with more than 100,000 annual subscribers across four continents12 with currently over 2 Million users13  Remote Technology Experts 100% based in India with lower operating cost  Investment Partnerships with Sequoia Capital, Draper Fisher Jurvetson, Canaan Partners, SAP Ventures, SVB India Capital Partners14  A $30 million infusion of venture capital by Sequoia helped Iyogi to expand to 5,000 employees15  Very competitive annual and incident based plans  Business Intelligence experience of over 7 years  Accredited by BBB (Better Business Bureau)  Recently launched Business Non-stop Program to recruit and deploy 1000 on-site local engineers across North America to support its 5000 offshore technicians  Supports Windows as well as Mac Weaknesses  Main Services only in US, Canada, Australia and some parts of Europe  Currently only Offers online remote support  Reliance on remote support which customers may find hard to connect  Rely on lower quality sound system16  Concentration of higher volumes of employees on smaller floors which created disturbance over the line  Language barrier  Inexperienced employees with no certification like A+  Unhappy employees with high attrition rate17, 18, 19  American Express and Pay Pal not accepted as a result of number of chargeback by customers using American Express20  Compact training programs
  • 56. CHANDANDEEP SINGH | P a g e | 56 Geek Squad Company Profile: Geek Squad is a technology support company that provides consumers with technical and on-site technical support services for computers and electronics with over 20,000 Agents supporting the customers around the globe. It was founded in 1994 and was captured by best buy in 2003.21 With the heavy advertising budget of brand recognition of Best Buy, Geek Squad has flourished a long way to establish itself as challenging competitor in the technical support industry. Market Entry Strategy: “After Best Buy captured Geek Squad in 2003, Geek Squad exists in all Best Buy stores in the United States, Puerto Rico, Canada, China, Netherlands and the United Kingdom.44” In UK, Geek Squad opened up in 2008 in 50-50 joint venture with Carphone Warehouse.45 So Geek Squad was an independent company until it got a recognized market entry when it gained momentum after its acquisition by Best Buy. Comparative Advantage: Geek squad has been able to build its brand very quickly by associating itself with Best Buy. Best Buy’s strongest network and brand recognition have Geek Squad an edge where ever it exists. Key Strengths  Well managed company with passionate employees  Highly skilled engineers  Financial support by Best Buy  Geek Squad technicians can be accessed 24 hours a day, 365 days a year on 1800 number22  Customers can schedule appointments according to their own timings23  Get customers automatically as it is he support arm of Best Buy  Offer wide array of services in computers and other electrical gadgets and devices as well as car stereos  Offer streamlined support in home as well as online that serviced over 1.5 million PCs24  30 day Money back guarantee25  Business Intelligence experience of over 18 years  Accredited by BBB (Better Business Bureau)  Very professional and niche attire and branding  Geek Squad services business accounts for roughly 6 percent of Best Buy’s $50 billion in annual sales - more than $3 billion worth of high-margin revenue26  Today, working out of 700 Best Buy locations across North America, Geek Squad's 12,000 service agents clock nearly $1 billion in services and return some $280 million to the retailer's bottom line27 Weaknesses  Geek Squad is much more expensive than its rivals in online, onsite and in-store support.  Competition from many online remote assistance companies  Competition from local onsite technicians  Most expensive in its class of computer support in North America
  • 57. CHANDANDEEP SINGH | P a g e | 57 Appendix E Notes 0. http://www.windowsrenew.com/start-a-computer-repair-business/ 1. http://www.itok.net/blog/index.php/2011/01/computer-tech-support-industry-stats/ 2. Ibid 3. Ibid 4. http://www.support.com/about 5. http://www.support.com/faq 6. Ibid 7. http://www.hoovers.com/company-information/cs/competition.Supportcom_Inc.e32e934a0280995a.html 8. Ibid 9. http://financials.morningstar.com/ratios/r.html?t=SPRT&region=USA&culture=en-us 10. http://www.mustbein.com/corporate/311 11. http://www.iyogi.ca/tech-experts.html 12. http://www.iyogi.ca/factsheet.html 13. http://www.mustbein.com/corporate/311 14. http://www.freemium.org/2012/07/27/iyogi/ 15. http://www.iyogi.ca/factsheet.html 16. http://money.cnn.com/galleries/2012/news/international/1204/gallery.asia-hottest- businesspeople.fortune/19.html 17. http://www.iyogi.ca/customer-testimonial.html 18. http://www.glassdoor.com/Reviews/iYogi-Reviews-E368190.htm 19. http://www.glassdoor.com/Reviews/iYogi-New-Delhi-Reviews-EI_IE368190.0,5_IL.6,15_IM1083.htm 20. http://www.glassdoor.com/Reviews/Employee-Review-iYogi-RVW1784842.htm 21. https://services.iyogi.net/register/subscription/signupca.aspx 22. http://biz.yahoo.com/ic/140/140962.html 23. http://www.geeksquad.com/about-us/ 24. http://www.geeksquad.com/scheduling/ 25. http://www.bestbuy.ca/en-CA/whygeeksquad.aspx 26. http://www.geeksquad.com/why-choose-us/our-guarantee.aspx 27. http://www.msnbc.msn.com/id/46043895/ns/business-cnbc_tv/t/geek-squad-city-dead-pcs-come-back- life/#.UIBfHcXR5Jk 28. http://www.businessweek.com/stories/2007-03-26/the-wiki-workplacebusinessweek-business-news-stock- market-and-financial-advice 30. http://www.support.com/about/careers/locations/workfromhome visited on 10/29/2012 31. I have personally worked at iyogi as Senior Tech- Sales Executive 32. http://www-935.ibm.com/services/in/gts/bus/html/15_april_2010_iyogi_signs.html visited on 10/30/212 33. www.payscale.com/research/IN/Job=Call_Center_and_Customer_Service_Executive/Salary visited on 10/30/212 34. http://www.support.com/about visited on 10/30/212 35. http://www.slideshare.net/iYogi visited on 10/30/212 36. Ibid visited on 10/30/212 37. Ibid visited on 10/30/212 38. Ibid visited on 10/30/212 39. Ibid visited on 10/30/212 40. Ibid visited on 10/30/212 41. Ibid visited on 10/30/212 42. Ibid visited on 10/30/212 43. http://www.support.com/whatwedo visited on 10/30/212 44. http://tinyurl.com/qckch5 45. http://oft.gov.uk/OFTwork/mergers/decisions/2008/bestbuy