The History Of Integration Strategies Marketing Essay

The History Of Integration Strategies Marketing EssayToyota employees a diversified communication channel since it has spread its business operations all around the orchis. The corporation tends to work in developed countries comparable America and developing countries like Pakistan. in that respectfore Toyota can deploy a number of techniques which could enhance the synergism created by diversification. The technique suggested here is that Toyota should make headway integrate think diversification by manufacturing motor-bikes, Scooties, bi-cycles since these are kindle efficient and eco-friendly transportation means. They can also emphasis on niche markets like manufacturing metropolitan buses. building on the topic above, determine how diversified the caller you research could become before it created a negative impact on the companys bottom line. Explain your rationale.According to researches it is found that related diversification is more economic than unrelated dive rsification and that there exists a non-linear relationship between diversification and the value created since after an optimum point diversification tends to become value-destroying (Galvan, 2007). Looking at the perspective of Toyota if the company diversifies on the markets it penetrates along with the related product line diversification it will tend to thrive. For example Toyota right now is focusing on diverse automobiles like hybrid, electric, SUVs and so forth However if Toyota tends to start manufacturing totally unrelated products like leather shoes, bags etc. it would be a disaster since the corporation does not have sufficient competitive knowledge and competencies for competing in this market.Galvan, A. (2007). Diversification Value-Creating or Value-Destroying Strategy? Evidence from Using Panel Data. Retrieved from http//gredos.usal.es/jspui/bitstream/10366/17425/1/DAEE_04_07_Diversification.pdfVictory MotorcyclesFrom the case deliberate, estimate the business-leve l strategy of Victory Motorcycles to determine whether you believe the strategy is appropriate to offset forces in the industry. Provide special examples to support your response.The business level strategy which has made Victory Motorcycles so famous around the globe is its diversification strategy. The business is highly diversified with a wide multifariousness of products manufactured like motorcycles, snowmobiles and watercrafts. This makes the agreement a highly diversified one. Furthermore the company also fair games a diverse market crosswise the globe. Their target market ranges from America all the way to China, Russia, Brazil and Australia. They tend to target customers through a variety of innovative designs and high quality motorbikes.Make recommendations for improving this strategy as well as describing any challenges you foresee in executing those recommendations. Provide specific examples to support your response.Since there are several(prenominal) other automotiv e firms in the market who have the tendency, capacity and technology to manufacture even go against and highly efficient motorbikes the company need to take potential competition in check. What the company necessitate to do is formulate strategic plans for new automotive design and improve the efficiency. Along with that the company of necessity to manufacture environment friendly motorbikes like electric cars so that this challenge can also be met.Integration StrategiesExplicate how the first company you researched was either helped or harmed by the integration strategy it chose.There are several ways in which companies can integrate for example mergers, forward/ backward upright piano integration and horizontal integration etc. The company we researched is Dell.com. Dell has integrated the concept of forward steep integration in its business model by selling to the consumers directly through its web vena portae thus calling for a virtual forward integration. This strategy has helped Dell in a variety of ways like increased consumer satisfaction by providing them with customized product right at their doorsteps and an approach to study consumer patterns.Magretta, J. (1998). The power of virtual integration an interview with Dell Computers Michael Dell.Harvard Business Review. Retrieved from http//autodesarrollate.vitro.com/PORTAL/cdh/thunderbird/files/Power%20Virtual.pdfRecommend at least one way this strategy could have been improved.This strategy could be further improved by reducing the price of the products since due to forward integration the distribution and placement cost decreases thus the company should also benefit its consumers with the reduced prices.Justify how the first company you researched could benefit from the vertical integration strategies it has not implemented. Include at least one advantage and one disadvantage of each strategy.The company could further take advantage from backward vertical integration strategy in which Dell can f ocus on manufacturing its own operating system, application software and chips. In this way the company can target a broader market segment along with providing customization in the personal computer internal environment as well. However this strategy might increase the cost of manufacturing along with complexity since there might be bugs in the newly developed programs due to incompetent software developers and company might lose its customers.