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Brainard Bennis Farrell A Case Solution
Posted by Freddie Murphy on Feb-27-2023
The Harvard Business Review published a case study that primarily focuses on Brainard Bennis Farrell A. The following case solution has been designed to give the reader an overview about the business world along with a clear understanding of its growth dynamics. Recently, Brainard Bennis Farrell A has been subjected to strategic as well as managerial problems that require immediate attention so that they can be resolved to allow future growth, expansion, and competitive edge within the marketplace. This case study solution is being written to provide a strategic solution to Brainard Bennis Farrell A using various appropriate tools and frameworks. Harvard Business Review’s case studies involve a central problem that is faced by a particular company. The problem identified involves strategic and managerial implications for the company. Therefore, it is important for readers to critically identify the problem Brainard Bennis Farrell A faces. Moreover, it is also essential to highlight the key stakeholders that are impacted and influenced by the problem identified.
External Environmental Analysis
The external environment holds significant importance for Brainard Bennis Farrell A to ensure that the company is able to respond to all the changes in the macro-environment. This is because Brainard Bennis Farrell A cannot control the factors and thus can directly influence the company's operations (Indris & Primiana, 2015). The external environment of Brainard Bennis Farrell A will be assessed using PESTLE Analysis.
Political
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A stable political environment provides a favorable market growth trend for Brainard Bennis Farrell A.
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It is important for Brainard Bennis Farrell A to analyze the pressure groups, and social environment activists. The company can make close collaborations with these groups to achieve company goals (Wang, Wang, & Shi, 2022).
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High restrictions on trade and high levels of taxes can contribute to the complex business environment for Brainard Bennis Farrell A by impacting imports and exports.
Economic
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Brainard Bennis Farrell A can benefit from wide-range opportunities in business growth by operating in developing economies (Munro, 2017).
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High GDP can determine the long-term growth strategies of Brainard Bennis Farrell A, signaling the ability of consumers to spend on more products.
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Higher rates of interests can provide Brainard Bennis Farrell A with more investment opportunities.
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The flexibility in the labor market allows Brainard Bennis Farrell A to take advantage of higher workforce productivity.
Social
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The selection of appropriate demographic segments has allowed Brainard Bennis Farrell A to select the right segments of the market that have high growth potential.
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The research on gender roles has helped Brainard Bennis Farrell A to develop and align communication as well as marketing strategies accordingly.
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Brainard Bennis Farrell A has been successful in understanding the norms and cultures of different countries by developing local teams and partnerships (Hueske, Endrikat, & Guenther, 2015).
Technological
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The adoption of innovative marketing techniques that involves communication technologies has allowed Brainard Bennis Farrell A to collaborate successfully with consumers.
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The company has stayed ahead in the market, and can significantly increase its market share by placing its major focus on emerging technologies (Akpoviroro & Owotutu, 2018).
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Brainard Bennis Farrell A should maximize its profits by investing in disruptive technologies.
Environmental
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It is crucial for Brainard Bennis Farrell A to adopt effective waste management practices to reduce environmental pollution (J. K, W. J, & D., 2016).
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Brainard Bennis Farrell A should adopt eco-friendly products to establish better relationships with the stakeholders.
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Brainard Bennis Farrell A can take advantage of subsidies offered in renewable technologies to achieve the long-term goal of sustainability.
Legal
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Brainard Bennis Farrell A should follow proper laws concerning employee health and safety, and anti-discrimination laws to effectively develop HRM.
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Consumer protection laws are also important for Brainard Bennis Farrell A as it involves the consumer protection from fraudulent marketing (S. Samusenko, S. Plaskova, & A. Prodanova, 2020).
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Brainard Bennis Farrell A can gain a competitive advantage, and can position itself strongly in the market by protecting intellectual property laws.
Porter’s Five Forces Analysis
Threat of New Entrants
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It is difficult to achieve economies of scale in Brainard Bennis Farrell A’s industry, making it a weaker force for new entrants.
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There are high capital requirements in the industry. This makes it difficult for new businesses to set up their companies, and compete against Brainard Bennis Farrell A.
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The industry has a strong product differentiation, and heavy investment is needed for customer acquisition. Thus, Brainard Bennis Farrell A can focus on innovation to differentiate itself from its competitors (H. Th. Bruijl, 2018).
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There are strict legal requirements to join the industry in which Brainard Bennis Farrell A operates, making it difficult for new entrants to enter the market.
Bargaining Power of Suppliers
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The bargaining power of suppliers in the industry is weak.
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Brainard Bennis Farrell A operates in an industry with a higher number of suppliers. This means that suppliers do not have much control over their prices.
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Standardized products that have low switching costs are provided by suppliers allowing buyers like Brainard Bennis Farrell A to easily switch their suppliers (Fabbri & F.Klapper, 2016).
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Raw materials can be purchased at lower prices by Brainard Bennis Farrell A. The company can also switch suppliers for more reasonable pricing.
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Brainard Bennis Farrell A can benefit from a variety of suppliers as it can have multiple suppliers for its various geographical areas (Cho, Ke, & Han, 2019).
Bargaining Power of Buyers
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The bargaining power of buyers in the Brainard Bennis Farrell A industry is weak.
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There is a high product differentiation in the industry, making it difficult for buyers to switch to alternative firms.
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Brainard Bennis Farrell A can come with differentiated and innovative products to attract more buyers of the industry (Zhao, Zuo, & Wu, 2016).
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Buyers of this industry has low incomes. This means they prefer to purchase items at lower prices, making them more price sensitive. Organizations like Brainard Bennis Farrell A can offer lower prices to attract customers.
Threat of Substitute Products or Services
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There are few substitute products available in the industry in which Brainard Bennis Farrell A operates.
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Expensive substitutes are available in the industry of Brainard Bennis Farrell A, making it difficult for buyers to switch to those substitutes (Aithal, 2016).
Rivalry Among Existing Firms
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The rivalry among existing firms is moderate to weak.
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There are few competitors in the industry in which Brainard Bennis Farrell A operates.
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A large market share is enjoyed by fewer firms in the industry. This means that more competitive actions will be made to become leaders in the market (Seema, 2016).
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The industry in which Brainard Bennis Farrell A operates has highly differentiated products, making it difficult for companies to win each other customers.
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Brainard Bennis Farrell A can focus on making more differentiated products to gain a strong competitive edge in the market (Zhao, Zuo, & Wu, 2016).
Internal Environmental Analysis
Brainard Bennis Farrell A can use internal environmental analysis to identify and evaluate the competitive positioning of a company in the business environment. This involves conducting a SWOT Analysis that can help Brainard Bennis Farrell A to identify the company’s internal strengths, weaknesses, opportunities, and threats (Halmaghi, Iancue, & Băcilă, 2017).
SWOT Analysis
Strengths
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Brainard Bennis Farrell A has a strong distribution network that has allowed it to make its products available to large customers within the given timeframe.
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A strong presence on social media platforms has allowed Brainard Bennis Farrell A to have a high level of customer engagement (Rizaldi, 2015).
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Brainard Bennis Farrell A has been successful in building a large product portfolio, so unique and distinctive products can be offered to consumers.
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Brainard Bennis Farrell A has a strong brand image in the market.
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A low-cost structure of Brainard Bennis Farrell A has allowed it to manufacture products at lower costs, so they become affordable for consumers to purchase.
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The financial position of Brainard Bennis Farrell A is strong as the company has generated higher profits over the past years (Phadermrod, M.Crowder, & B.Wills, 2019).
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Brainard Bennis Farrell A has invested in the training and development of its employees to keep them motivates, leading to higher efficiency and productivity.
Weaknesses
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The expenditure of Brainard Bennis Farrell A on its research and development is comparatively less to other competitors of the market.
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Brainard Bennis Farrell A uses a centralized decision-making process that takes time and reduces operational efficiency (Ahmadi, Dileepan, & K. Wheatley, 2016).
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There are high rental costs because Brainard Bennis Farrell A operates on more of the rental properties rather than purchasing them.
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There is no workforce diversification in Brainard Bennis Farrell A. This makes it difficult for the employees to adjust with the different workers who belong to different backgrounds.
Opportunities
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Since the online shopping has increased significantly, Brainard Bennis Farrell A can take it as an opportunity to expand its online presence.
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Brainard Bennis Farrell A can make use of social media platforms to market its products, with more customers interactions.
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Due to more technological developments, Brainard Bennis Farrell A can make its operations more automated so that overall company costs can be reduced (Ahmadi, Dileepan, & K. Wheatley, 2016).
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Globalization provides an opportunity to Brainard Bennis Farrell A to expand its operations in multiple countries.
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Brainard Bennis Farrell A can enter in a niche market and sell distinctive products to gain a competitive advantage.
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The increase in the demand of environmentally friendly goods, Brainard Bennis Farrell A, can place its major focus on making such products (E.Quezada, A.Reinao, & I.Palominos, 2019).
Threats
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In recent times, there has been an increase in the bargaining power of suppliers, making it difficult for Brainard Bennis Farrell A to buy raw materials at lower costs.
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Numerous players are entering the industry, posing a major threat to Brainard Bennis Farrell A.
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There has been constant pressure on Brainard Bennis Farrell A to conduct frequent research to understand the changing customer tastes and preferences (Kolbina, 2015).
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Technological advancements require workforce training. This adds to the costs of Brainard Bennis Farrell A.
VRIO Analysis
Brainard Bennis Farrell A uses VRIO Analysis to assess and evaluate the company resources to determine the competitiveness, and strategic advantage.
Valuable
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Brainard Bennis Farrell A has a strong brand image and engages in corporate social responsibility.
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Brainard Bennis Farrell A has a high brand recognition because of the quality of products it offers to its customers (Ariyani & Daryanto, 2018).
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The distribution system of Brainard Bennis Farrell A is valued all round the world. The company has been able to successfully establish strong relationships with its suppliers.
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Brainard Bennis Farrell A focuses on continuous innovation in its business. The company has expanded this innovation in its multiple functional areas.
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There are potential growth opportunities in the market, and Brainard Bennis Farrell A has been able to penetrate the market through its ability to raise large funds.
Rare
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Brainard Bennis Farrell A operates globally. This global presence has allowed the company to increase its customer base (Miethlich & G. Oldenburg, 2019).
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Brainard Bennis Farrell A has an organizational culture that promotes more teamwork, innovation, and creativity among its employees, that leads to a competitive advantage.
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Since Brainard Bennis Farrell A has a global presence, it allows the company to easily adapt to different cultures, norms and values.
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The risk-taking ability of Brainard Bennis Farrell A is strong. This provides more opportunities to the company to penetrate different markets.
Inimitable
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The inimitable resource for Brainard Bennis Farrell A is its high-quality products. These products have allowed consumers to make repeat purchases.
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Brainard Bennis Farrell A operates through multiple locations of stores in different companies, allowing easy access to products.
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Strong marketing communications have been used by Brainard Bennis Farrell A to attract more customers.
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Brainard Bennis Farrell A has been using integrated technology that has allowed it to offer competitive pricing to its customers (Ariwibowo, Saputro, & Haryanto, 2021).
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Brainard Bennis Farrell A maintains an excellent customer service that has enabled it to have a high brand engagement.
Organization
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Strong financial position has allowed Brainard Bennis Farrell A to explore more product development opportunities.
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Brainard Bennis Farrell A is successfully maintaining the efficiency and effectiveness of its business operations with the help of more integrated and advanced technology.
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Employees are given both in-house and off-the-job training opportunities by Brainard Bennis Farrell A that allow more skills development (Adnan, Abdulhamid, & Sohail, 2018).
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The strong value chain and distribution network has enabled Brainard Bennis Farrell A to increase its revenue through the sale of its products.
Marketing Mix
Marketing Mix is needed by Brainard Bennis Farrell A to formulate effective strategies to achieve the company objectives.
Product
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Brainard Bennis Farrell A has five product categories. Each of these categories has a product line that involves more variety of products (Išoraitė, 2016).
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Highly differentiated products are offered by Brainard Bennis Farrell A to its customers. These distinctive products are not easily available at competitors.
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The products of Brainard Bennis Farrell A are of higher quality, and thus, customers pay more prices for these products.
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Brainard Bennis Farrell A designs products with traditional designs giving customers more product variety.
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Brainard Bennis Farrell A offers multiple sizes for its every product to make it easy for its customers to select the right product.
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Warranty and same-day delivery option if also provided by Brainard Bennis Farrell A to its customers.
Price
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Brainard Bennis Farrell A follows a competitive pricing strategy.
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To attract more customers, bundle pricing has also been used by the company.
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Little higher prices are charged for products that are sold online because of the delivery costs (Thabit & Raewf, 2018).
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Optional product pricing strategy is also adopted by Brainard Bennis Farrell A for some of its products, such as a base product is offered for a certain price, and there are separate prices for its accessories.
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Regular promotional prices are also offered by Brainard Bennis Farrell A to its customers.
Place
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Brainard Bennis Farrell A uses two channels for its product distribution. This includes online selling and through own stores.
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There are more than multiple stores owned by Brainard Bennis Farrell A globally. This ensures easy product availability to customers (Pogorelova, Yakhneeva, & Agafonova, 2016).
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Brainard Bennis Farrell A has partnered with delivery service companies to distribute its products effectively to consumers.
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Brainard Bennis Farrell A has also adopted an omni-channel distribution system.
Promotion
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Brainard Bennis Farrell A uses a traditional promotional strategy that involves TV advertisements (Fan, Y.K.Lau, & Zhao, 2015).
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Social media advertisements are also adopted by Brainard Bennis Farrell A to increase brand awareness.
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Brainard Bennis Farrell A takes part in various events and exhibitions as a way of promoting its products.
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Large sales force is used to provide the customers with a more personal experience.
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Brainard Bennis Farrell A also makes use of influencer marketing to increase the demand for its products.
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Regular content and deals are posted on the social media pages of Brainard Bennis Farrell A to attract and retain customers.
Value Chain Analysis
Brainard Bennis Farrell A can use Value Chain Analysis to identify and assess inter-relationships as well as interdependencies.
Primary Activities
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Brainard Bennis Farrell A’s primary activities involves the production and selling of products to the final consumers (Mintz, J.Gilbride, & Lenk, 2021).
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Brainard Bennis Farrell A has a strong relationship with the suppliers. This ensures that the product is received, stored, and distributed in a timely manner.
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Operational activities of Brainard Bennis Farrell A are effectively aligned.
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For inbound logistics, after the arrival of raw material, the company processes it to manufacture the final product (Hasan, Nekmahmud, & Yajuan, 2019).
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In terms of outbound logistics, Brainard Bennis Farrell A has been able to set up optimal costs as well as efficient delivery processes to deliver the product on time.
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Brainard Bennis Farrell A invests in its sales and marketing activities to build relationships with customers.
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Marketing funnel approach is used by Brainard Bennis Farrell A to effectively devise and build sales and marketing activities.
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Brainard Bennis Farrell A offers both pre-sale and post-sales services to its customers.
Secondary Activities
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Brainard Bennis Farrell A has an effective infrastructure that has allowed the company to successfully optimize its value chain.
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The competitive pressure in terms of employee skill development, motivation, and commitment is reduced as Brainard Bennis Farrell A has developed a strong HRM (Linkov, Carluccio, Pritchard, & Bhreasail, 2020).
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Brainard Bennis Farrell A uses a cost minimization approach to reduce its costs by analyzing the costs associated with training and hiring the employees.
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Brainard Bennis Farrell A has been using integrated technology in its value chain activities. This includes technological customer support, research and data analytics concerning product design, and automated software.
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The procurement activities of Brainard Bennis Farrell A are effectively optimized with its inbound, outbound, and operational activities (Maheswari, Yudoko, & Adhiutama, 2019).
Market Penetration Strategies
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Brainard Bennis Farrell A can increase the capacity of its production so it can reach more of the customers in its existing market.
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Brainard Bennis Farrell A can focus on controlling the overhead costs so that it can offer competitive pricing that can attract customers of the market (Dawes, 2018).
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Investments can be made by Brainard Bennis Farrell A in marketing and sales activities to increase the chances of successful market penetration.
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Brainard Bennis Farrell A can design and develop a content that increases customer engagement within a particular marketplace.
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Brainard Bennis Farrell A can assess and identify more enhanced distribution networks (Radpour, Mondal, & Kumar, 2017).
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Improved distribution systems and supply chains can improve the product accessibility for the customers, making it easier for Brainard Bennis Farrell A to penetrate the market.
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Brainard Bennis Farrell A can adopt price cuts in its products to compete in the market. This will give a company a competitive edge over its competitors.
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Brainard Bennis Farrell A can plan strategies where it can focus on acquiring the leading players of the market. Such acquisitions will give the company an opportunity to reach more customer segments.
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Strategic partnerships and joint ventures agreements can be signed by Brainard Bennis Farrell A to mitigate the risk factors, and to gain customer groups of the market.
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Brainard Bennis Farrell A can come up with new and innovative features in its already existing product for the market (Daouda, Barth, & T. M. Ingenbleek, 2019).
Market Development Strategies
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It is important for Brainard Bennis Farrell A to invest in the research and development department so potential markets can be identified (Hilman, Bohari, & Abdullah, 2018).
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Regional expansion strategy can be used by Brainard Bennis Farrell A for growth purposes. This will also take into consideration the cultural differences.
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Brainard Bennis Farrell A should also consider to expand its business operations in the international market. This will allow access to a larger customer base.
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New customer groups and segments should be explored by Brainard Bennis Farrell A.
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Brainard Bennis Farrell A should also invest in brand-building activities as it will give an opportunity to reach more potential customers (C. Koks & M. Kilika, 2016).
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Brainard Bennis Farrell A should consider the market education in terms of its product. The company can significantly increase its sales by giving product awareness to new segments.
Product Development Strategies
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Brainard Bennis Farrell A can come up with new improvements and modifications in the existing products to attract the market.
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Brainard Bennis Farrell A should undergo the NPD process, so the company is able to assess and identify new points for its customers.
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Regular investments in the research and development will help Brainard Bennis Farrell A to develop something new and innovative that can give a competitive advantage (Kalogiannidis & Mavratzas, 2020).
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Brainard Bennis Farrell A can develop new products by getting into more strategic partnerships.
Diversification Strategies
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Brainard Bennis Farrell A can adopt vertical diversification to develop business. This can be done by adding more products to the existing portfolio (Kalogiannidis & Mavratzas, 2020).
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Horizontal integration can also be adopted by Brainard Bennis Farrell A, where the company can enter into a completely new product development phase that does not exist in the current product line.
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Brainard Bennis Farrell A can also consider to conglomerate by starting a different business.
Conclusion
Based on all the models and frameworks discussed above, it is concluded that Brainard Bennis Farrell A should focus on widening the existing product portfolio. Moreover, the psychological pricing strategy can be adopted. Brainard Bennis Farrell A should also maintain close relationships with its suppliers to benefit from lower prices. Similarly, Brainard Bennis Farrell A should develop more integrated outbound logistics for its perishable items. It is also important to continue producing quality and innovative products, so Brainard Bennis Farrell A is less affected by the new emerging competition in the industry.
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