1. STRATEGIES FOR LOW MARKET SHARE BUSINESS Group8 : Alicia, Awen Alexis, Ngoc Ha

2. Strategic Options Fight to increase share Withdraw from the industry Little inclination to either expand its share or withdraw from the fight

3. BCG Strategies High Maintain growth Increase share High level of abstraction Market growth Divested Milked or harvested Low Low High Market share

4. Indication of Performance Definition LMS: Less than half the industry leader’s share Success: Five-year average ROE surpasses the industry median Burroughs Crown Cork & Seal Union Camp

5. Elements of Strategy Segment carefully Use R&D efficiently Think small Ubiquitous chief executive

6. Segment Customers Products Customer service Plants location Segment Financial policies Stage of production Stage of production Channel of distribution Manufacturing equipment Prices

7. Segment

8. Use R&D Efficiently Lower process costs Concentrate on innovation

9. Think Small Limit growth Diversify cautiously

10. Ubiquitous chief executive Strong willed leader Deep involvement in almost all aspects of company operation Management succession problem

11. Some Obstacles Small research budgets Few economies of scale in manufacturing Little opportunity to distribute products directly Little public and customer recognition Difficulties in attracting capital and ambitious employees ROI: LMS is significantly less than HMS Examples may not suitable now Union camp are acquired by International paper Many factors may affect the financial reports

12. Conclusion Not all low share businesses are “dogs” First objective : earn the maximum return on invested capital

13. THANK YOU