Technological Impact Essay Research Paper Technological Impact
Technological Impact Essay, Research PaperTechnological Impact. + Changes in market demand+ Marketing scheme: & # 8211 ; As a company devpelopes and matures it will hold to alterations it & # 8217 ; s selling scheme to vie and turn with other companies that are disputing the present company. I will take the auto industry for an illustration. In the industry group there are many different rivals. Weather big or little they are all contending for a piece of the state and international market. The larger companies will hold merely every bit much problem seting to alter as a smaller company. This is because a little auto company that does non bring forth many autos will happen that to publicize a auto on a little graduated table will likely take the same per centum of net income as a big company that needs to publicize on a big graduated table to maintain the company going.
In the auto industry, manufactureres will be conveying out new theoretical accounts and assortments of autos all the clip due to the intense competition to be at the top. There are seasonal alterations in market demand ; these become apparent when looking at auto gross revenues figures. There are highest gross revenues of autos when the new enrollment home bases for autos used to come out in August. This big demand for new autos was due to people desiring to hold the newest autos available to them and they can demo them off as people tend to detect the new missive at the beginning of the enrollment.
The authorities has tried to halt this big demand for autos with new enrollments by altering the enrollment twice a twelvemonth, the missive besides changes in March of each twelvemonth every bit good as August. This may in theory have been a good thought but in pattern it does non seemed to hold paid of as most people that are purchasing a new auto will be given to hold it for a twelvemonth before altering it for a different auto. This is chiefly because of the big sums of money that is needed for route revenue enhancement and auto insurance and so people will non desire top fork out more money for a new auto every bit good as revenue enhancement and insurance.
As new theoretical accounts come out onto the market from other companies, this will do demand for the present theoretical accounts of autos to be reduced because of the involvement in the new theoretical account that non many other people have. A Company can cover with this kind of progress on the market in two different ways. The first is by re-advertising their present car/s or to better the bing advertisement. The 2nd is to get down to plan new theoretical accounts or to better the auto they have at the minute so that it is better and in more demand than the other company. The first manner of covering with this is the cheaper option but may non be every bit effectual as the option. Ad is non every bit expensive as bring forthing new theoretical accounts. If advertisement is to be the chosen method of contending back at the market so it will hold to be done efficaciously orit will merely be a waste of clip. In the advertisement it should be un-apparent that it is meant to be contending back against the new merchandise.
It should foreground all the points about the auto that are the same as the new theoretical account on the market and underscore any points that are better than the in the new theoretical account nevertheless little they are.If the company decides to bring forth new theoretical accounts of autos to vie with the market, they will hold to believe vary carefully about how they are traveling to near this. There are three major inquiries that they must inquire themselves, do we better the bodywork? Do we better the engine? Do we better both? The cheapest options to better the design and expression of the bodywork.
To make this is least expensive of the three. To get down with the company is traveling to hold to plan and prove the new expression bodywork. The expression is non merely traveling to hold to alter but besides its belongingss and why is it better than the new auto on the market.
If their present auto has been on the market for a few old ages so this will be given to be a better move on the their portion. The tooling on an automate organic structure work line will hold a life anticipation of 3-4 old ages before the wear is to great and needs to be replaced. If this is the instance and the line is coming to the terminal of its life clip so it may good be deserving puting the 2-3million needed to alter and replace the production line for the new theoretical account than carry on bring forthing the older theoretical account. The break-even point for auto organic structures is about one twelvemonth so for the following three the company will be doing net income if the autos sell. The 2nd option is to plan and better the engines for the autos and suit them into the already bing theoretical accounts, which may increase involvement and gross revenues. This option is more dearly-won than the first as a engine production line will last up to about 10 old ages and if a new line has been set up so it would be stupid to set in a new line as this will be 10-15 million an will merely interrupt even after about three old ages.
It may merely be deserving while planing new engines if the line is coming to an terminal and would necessitate money re-invested into it shortly. If your company had discovered a revolutionised engine that was so environmentally friendly, truly inexpensive to run, comparatively inexpensive to purchase and those kind of factors all in one engine ; so it may good be deserving get downing up a new production line as this kind of engine would be in great demand. The 3rd option is the most expensive and hazardous to a concern as if it all goes incorrect so a batch of money has been invested into this and may do sedate harm to the company. A combination of the two may be the best manner to travel as the company could better parts of the engine and organic structure and non wholly re-design them. This would likely give the best consequences if assorted with advertisement.