Market Analysis and Manufacturing Plan Essay Example | Topics and Well Written Essays - 1000 words

Market Analysis and Manufacturing Plan - Essay Example 50% of the respondents were of the view that they consider it most important if they have the ability to track their cargos around the world. Similarly, 50% of the respondents also believe that they must also have the ability to know if their cargo has been taken off course during transit. Further, 15 respondents also showed their willingness to pay as much as $600 if a hardware unit is provided to them which can interface with their cargos to provide them real time location and other information (which has been sought in questionnaire). Further questions were asked as to what other services are required if hardware is provided and what cost. Most of the respondents agreed to avail a bundled package which offers hardware as well as other allied services to avail such facilities. Our analysis, based on the survey responses, suggest that at least 50% of the market is willing to have such a technological backing to help them to track their cargos during the different phases of its transit. Thus there is a great market need for at least the basic facility of providing hardware support to different potential buyers in the market who are willing to use better control over their cargo during its transit in order to minimize the losses. It has also been observed that a base price of $600 will be an acceptable proposition for our product for sale in the market. The price figure has been decided after respondents our survey showed their willingness to pay that much amount for basic services. The base price of $600 is also fair in nature because of the fact that it is just below the average price which industry buyers are willing to pay. Since our firm will be potentially engaged into B2B marketing therefore considering the higher bargaining power of customers, our market analysis suggest that a base price of $50 per month would be a fair quote for monthly subscription. This price is also below the mean therefore we consider it a fair price to charge. It is also important to note that we have accounted for the inherent risk in the survey method of conducting primary research therefore a +/- 5% or 95% confidence level is assumed while analyzing the data from questionnaire. Overall, we believe that there is enough demand for this type of product and considering the various uses of ATM, this market can offer better diversification opportunities also in order to control and minimize the overall external risk. Manufacturing Plan Our market need analysis suggest that there is an strong demand for ATM systems and market is willing to bet $ 600 for each unit to be sold to them therefore based on this healthy and positive assessment, following section will present the manufacturing plan for the product. It is however important to note

Low Cost Airlines Essay Example | Topics and Well Written Essays - 1750 words

Low Cost Airlines - Essay Example For more than a decade now, the potential of the low-cost airline business has been evident from the huge capitalization of these airlines at stock market spheres (Brock, 2000). For example, at the start of the current decade, in 2002, Ryanair realized a market capitalization of 4.9 billion Euros, which was 45 percent more, when compared to the levels realized by British Airways (Rhoades, 2008). The increased uptake of low-cost airlines was evident from its revenue levels, which were approximated at 20 times compared to that of the traditional competitor (Dempsey and Goetz, 1992). The huge success of starter low-cost airlines in the industry has led to the emergence of new airlines in the same category and using the same business, trying to mirror their strategies. The success of these airlines can also be traced from the fact that they have stimulated a new class of demand, which offers evidence that they are not getting their customers from traditional airlines; low-cost airlines a re attracting new demand and customers into the industry (Dresner, Lin and Windle, 1996). Due to the major impact of low-cost airlines, traditional airlines have acknowledged the threat of the growing competition; therefore, have reacted to the new business model, especially in the line of business travel (Meyer and Menzies, 2000). This paper will explore the success strategies of low-cost airlines; explore the factors behind their success, analyze their business model and prospect their growth. The deregulation of air transport Following the enactment of the Airline Deregulation Act of 1978, the control of airline business and services was, to some extent, moved from the political system to the market system (Dempsey and Goetz, 1992). Deregulation refers to the change of the control exercised over air travel from the Civil Aeronautics Board (CAB), which administrated the entry of airlines into the business, their exit and the pricing of airline services, to the partial control and administration of business systems and infrastructure. Deregulation also featured the abolishment of the CAB’s control of mergers, intercarrier agreements and customer affairs (Dempsey and Goetz, 1992). The complete shift of the control took place after the endorsement of the CAB sunset ACT of 1984, which gave way to the economic liberalization of the management of air travel, which was part of deregulation, which was started after the realization that the political control of the economy did not serve the best interests of the public (Dempsey and Goetz, 1992). The air freedoms that came after deregulation Following the deregulation of the management and the control of airline services, all airline operators were allowed the freedom to operate on any route that they chose to operate. The operators of air travel services were allowed the freedom to set the fares of their travel services like they deemed fit, which would be influenced by the forces of demand, and the supply of air travel services (Dempsey and Goetz, 1992). During the time before the deregulation, there were some carriers that were not allowed to operate out of specified states, but after deregulation, these carriers were allowed to fly and operate across the country, without any limitations. Following the deregulation of the air travel industry, the restrictions that had been set in the way of entry into the industry were abolished (Dempsey and Goet