Final Report Presentation Team Red O

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Final Report Presentation Team Red O

  1. 1. Final Report Presentation Team: RED O MBA Oct. 2007 Markstrat Simulation Game Pro: Dr. Christian Michon, ESCP-EAP
  2. 2. Agenda <ul><li>Market and Performance </li></ul><ul><ul><li>Overview of market </li></ul></ul><ul><ul><li>Products </li></ul></ul><ul><ul><li>Customers </li></ul></ul><ul><ul><li>Distribution </li></ul></ul><ul><li>Performance </li></ul><ul><li>Global strategy </li></ul><ul><li>Keys learning </li></ul><ul><li>Recommendations </li></ul>
  3. 3. Market & Performance - Overview <ul><li>P1-P8:Total market increased 5 times </li></ul><ul><ul><li>Sonite: 12% in 8 periods </li></ul></ul><ul><ul><li>Vodite: 1000% in 4 periods </li></ul></ul><ul><li>P9-P14: Total market will increase 103% </li></ul><ul><ul><li>Sonite: will decrease 7% </li></ul></ul><ul><ul><li>Vodite: will increase 159% </li></ul></ul>
  4. 4. Market & Performance- Sonite Products Mature & competitive market
  5. 5. Market & Performance- Vodite Products New product - less brands
  6. 6. Market & Performance- Sonite Customers Focus on Pros - Others
  7. 7. Market & Performance- Vodite Customers Focus on Innos – Followers
  8. 8. Market & Performance- Sonite Dis. Good performance – High coverage
  9. 9. Market & Performance- Vodite Dis. Need to be focused on Mass.
  10. 10. Performance – Contribution Margin No. 2 of market Main competitor: RED U Potential competitor: RED Y
  11. 11. Performance – General Precise forecast in comparison with plan
  12. 12. Performance - Learning
  13. 13. Global strategy -Budget Good condition for investing MKT, R&D in few next years but high competition from other firms
  14. 14. Global strategy - Sonite Maintain the current position and focus on “Others” and “Pro” segment Others: big market size with highest growth
  15. 15. Global strategy -Vodite Followers: big market size R&D to reach the followers segment
  16. 16. Mistakes <ul><ul><li>Sonite </li></ul></ul><ul><ul><ul><li>Run many brands </li></ul></ul></ul><ul><ul><ul><li>High advertising expenditure </li></ul></ul></ul><ul><ul><ul><li>Lack of sales force </li></ul></ul></ul><ul><ul><li>Vodite </li></ul></ul><ul><ul><ul><li>Forecast wrong  out of stock in first year launch </li></ul></ul></ul><ul><ul><ul><li>Not focus on Followers segments ( biggest market) </li></ul></ul></ul>
  17. 17. Recommendations <ul><ul><li>Sonite </li></ul></ul><ul><ul><ul><li>Upgrade SONO to reach the satisfaction of Pro segments </li></ul></ul></ul><ul><ul><ul><li>Decrease sales force </li></ul></ul></ul><ul><ul><li>Vodite </li></ul></ul><ul><ul><ul><li>Launch new products which is focused on followers segment </li></ul></ul></ul><ul><ul><ul><li>Invest more on AD </li></ul></ul></ul><ul><ul><ul><li>Continue R&D to modify the current brands </li></ul></ul></ul><ul><ul><ul><li>Focus on distribution channels, especial: Mass. </li></ul></ul></ul>

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