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Weekf 2f Discussion
Date:f Aprilf 1,f 2022f
To:f Joanf Smithfield
From:f Alexisf Jenkinsf
f Subject:f Analysisf off af Newf Productf Linef
A.f Porter’sf Competitivef Advantagef modelf wouldf applyf tof Smithfield’sf Boardf off Directorsf issuef
whenf tryingf tof figuref outf whatf tof dof whenf itf comesf downf tof beingf differentf fromf competitorsf andf
cost.f Thef Directorsf aref stuckf betweenf decidingf whetherf tof producef anf exclusivef furnituref linef orf
mass-producing/marketingf af furnituref line.f If,f Smithfieldf wasf tof producef anf exclusivef furnituref linef
itf wouldf bef onlyf marketedf tof certainf customers,f withf highf pricing,f andf limitedf quantitiesf off
furnituref inf thisf line.f But,f onf thef positivef side,f thisf wouldf allowf forf thef companyf tof havef anf
advantagef becausef thef exclusivef linef wouldf producef productsf differentf fromf itsf everydayf productsf
allowingf forf anf expansionf off varietyf andf differentf stylesf andf choicesf tof choosef from.f Thisf isf anf
advantagef thef companyf wouldf havef inf thef industryf becausef theref aref af lotf off competitorsf whof aref
producingf thef samef itemsf butf atf differentf costf points.f Thisf wouldf allowf thef companyf tof seef howf
thef exclusivef linef doesf withf customersf andf possiblyf providef projectionsf forf thef futuref onf whatf tof
producef andf howf tof gof aboutf producingf it.f Mass-producing/marketingf af furnituref linef isf thef nextf
optionf thatf thef companyf wasf lookingf tof dof so.f Doingf thisf isf moref off anf integratedf strategyf whenf
comparingf itf tof Porter’sf Competitivef Advantagef Model.f Thisf wouldf allowf forf thef companyf tof
producef massf amountsf off furnituref usingf newf modernizedf productionf plantsf andf producingf af
varietyf off differentf typesf off furniture.f Thef onlyf downfallf tof thisf strategyf wouldf bef thatf itf wouldf bef
veryf costlyf onf thef productionf sidef off things;f thef companyf wouldf havef tof pricef productsf atf variousf
pricef pointsf whichf couldf causef af lossf inf profitsf forf thef company.f Thef problemf withf massf
productionf canf bef furnituref notf selling,f reducingf pricesf tof getf ridf off inventory,f andf sellingf tof third-
partyf companiesf forf discountedf rates.f Also,f mass-marketingf costsf af lotf off moneyf asf wellf so,f inf thef
end,f thef companyf wantsf tof makef suref theyf aref gettingf backf whatf theyf aref doingf tof marketf thef
products.
B.f Thef Differentiationf Leadershipf Strategyf isf thef bestf strategyf forf Smithfieldf companyf tof pursue.f
Differentiationf Leadershipf Strategyf isf af strategyf thatf allowsf forf productsf andf servicesf tof havef
specialf featuresf andf hasf highf valuef forf theirf targetf customersf (Lumenf Learning,f n.d.,f “Stagesf andf
Typesf off Strategy”f para.f 12).f Andf thesef featuresf mustf bef observedf byf thef buyersf tof bef betterf thanf
whatf thef competitionf offersf andf itf isf worthf thef additionalf moneyf (Lumenf Learning,f n.d.,f “Stagesf
andf Typesf off Strategy”f para.f 12).f Thef differentiationf strategyf isf bestf forf thisf companyf becausef itf
reducesf thef amountf off competitionf inf thef industry,f hardf forf newf companiesf tof enterf thef industry,f
andf copiesf products.f Comparedf tof thef low-pricef leadershipf strategyf whichf isf af strategyf usedf tof
providef low-costf optionsf tof itsf customersf (Lumenf Learning,f n.d.,f “Stagesf andf Typesf off Strategy”f
para.f 12).f Af lotf off timesf thisf strategyf isf usedf tof makef similarf goodsf orf servicesf atf af lowerf costf thanf
competitorsf (Lumenf Learning,f n.d.,f “Stagesf andf Typesf off Strategy”f para.f 12).f Thisf isf notf af strategyf
Smithfieldf companyf shouldf usef becausef itf doesf notf linef upf withf thef plansf thatf thef companyf hasf forf
thef business.f Smithfieldf isf lookingf tof eitherf createf anf exclusivef productf linef orf massf
produce/marketf productsf andf af lowerf pricef strategyf wouldf onlyf causef thef companyf tof losef moneyf
becausef itf wouldf takef moref material/equipmentf tof producef thosef productsf forf consumers.f Itf wouldf
bef bestf thatf Smithfieldf utilizesf itsf newf manufacturef andf equipmentf itf mustf havef tof createf differentf
productsf forf consumersf tof purchase.f Whichf expandsf itsf productf linef asf wellf asf providesf qualityf
productsf tof itsf consumers.
C.f Thef nextf stepf forf thef Smithfieldf companyf wouldf bef tof gatherf everythingf theyf needf tof producef
thef furnituref linef suchf asf materials,f fabrics,f designs,f drawings,f andf quantity.f Thisf isf sof thatf thef
companyf knowsf howf muchf itf willf havef tof spendf onf producingf thef line.f From,f theref thef designsf
willf needf tof bef approvedf andf thenf headedf tof manufacturingf centersf tof startf thef productionf process,f
whilef thef furnituref isf gettingf readyf forf productionf itf willf bef bestf tof startf marketingf thef furnituref
lettingf customersf knowf whatf isf soonf tof comef fromf thef company.f Af wayf thef companyf marketf canf
bef tof dof af pre-salef allowingf customersf tof buyf thef furnituref beforef itf isf producedf thatf way,f theyf aref
ablef tof getf itf beforef itf sellsf out.f Anotherf goodf marketingf strategyf wouldf bef socialf mediaf marketingf
thisf isf bigf becausef everyonef usesf socialf media,f andf itf isf convenientf forf shoppersf becausef theyf aref
ablef tof purchasef whatf theyf wantf rightf online.f Thef bestf wayf tof dof socialf mediaf marketingf wouldf bef
tof incorporatef socialf advertising,f showingf thef content,f andf usingf visualsf (Socialf Mediaf Marketingf
forf Furnituref Stores,f 2021,f paraf 8-10).f Socialf advertisingf wouldf bef usingf majorf socialf mediaf
platformsf tof createf advertisementsf tof attractf customers'f attention.f Creatingf adsf willf catchf thef
customer'sf eyef andf allowf themf tof clickf thef linkf tof gof tof thef productf pagef andf possiblyf purchasef
somethingf (Socialf Mediaf Marketingf forf Furnituref Stores,f 2021,f para.f 8).f Anotherf wayf isf makingf
suref tof engagef withf users,f makingf suref tof commentf backf whenf usersf leavef commentsf andf answerf
anyf questionsf aboutf productsf usersf mightf have.f Lastly,f makingf suref tof incorporatef visualsf off allf
products,f providingf clearf andf accuratef productf picturesf forf customersf tof seef willf alsof helpf withf
marketingf becausef usersf likef tof seef whatf theyf aref buyingf andf makef suref whatf theyf seef isf whatf theyf
aref goingf tof getf (Socialf Mediaf Marketingf forf Furnituref Stores,f 2021,f para.f 10).f Overallf Smithfield,f
shouldf startf marketingf thef linef tof getf buyersf excitedf forf whatf isf coming,f offerf pre-salef tof buyersf tof
notf onlyf givef buyersf af chancef tof getf thef productf firstf butf tof seef iff thef productsf aref goingf tof sell,f
andf lastlyf marketf throughf socialf mediaf tof helpf gainf exposure.f
References:
f Lumenf Learning.f (n.d.).f Principlesf off management.f https://courses.lumenlearning.com/wmopen-
principlesofmanagement/
Socialf Mediaf Marketingf forf Furnituref Stores.f SocialGeeks.f (2021,f Januaryf 4).f Retrievedf Aprilf 1,f
2022,f fromf https://www.socialgeeks.in/social-media-marketing-furniture-stores-2/f
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