Assignment: Strategy For Eco7

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The document discusses recommendations for Eco7's pricing, distribution, and partnership strategies for launching a new motor oil in India.

The document recommends going with a B2B model and channel strategy to ensure growth and directly reach consumers. It also suggests partnering with companies like TATA Motors.

The document outlines threats like intense competition, potential new entrants, and substitute products available at better prices due to technological advancements.

ASSIGNMENT

Eco7
Strategy for Eco7-
1) The best pricing strategy to ensure a successful launch.
2) As India is the 2nd largest lubricant consumer in the region, and
3rd in the world after US and China, so ECO7 can go with the
B2B model so that they can consult the growth and sales in
Indian Market.
3) For ECO7 to make strong relationship with Indian customer
they can go with channel strategy so that they can directly
reach out to the end consumer.
4) The consistencies of shifting in vehicles preference, from two to
four which is increasing demand for vehicles where their
already focusing on their “Green” factor, which create the
value for money. With this segment they can easily tap the
Indian Market.
5) Now a days consumer are interested in green automobile
technology such as hybrid or electric vehicles has increasing
slowly, for this ECO7 environment friendly option can focus of
mass volume.
6) Cars like Volkswagen, Volvo and Toyota needs a high
performance motor oil to reduce the ash contents. And keeping
in mind the extreme condition of city traffic they can run
campaign for go green for creating more awareness, how
Green oil can create advantages of lower fuel consumption.
7) To create the good synergy EOC7 need a good partner in Indian
market, so that both can has the financial growth and
distribution strength. Like if they become. The partners of TATA
Motors they can spend 50:50 to start with. Like TATA Motors
have good ranges of strong four wheeler truck etc. and blend in
behalf of good technology with EOC7.
ECO7 PORTERS 6 STRATEGY FOR INDIA :-
 Eco7 Launching a New Motor Oil Competitive rivalry:-

Here is an intense level of competition or competition in the media


and home industry, engaging organizations to strive in order to
maintain the existing consumers by means of providing services at
budget friendly or affordable costs. The competition among the firms
help in identifying the lucrativeness of an industry where companies
are competing hard in order to maintain their power within the
industry.
1. Exit barriers
2. Brand identity
3. Corporate stakes
4. Product differences

 Threat of new entrants:-

The entertainment industry requires a big capital amount as


the business which are taken part in offering home
entertainment service have larger start-up cost, which includes:
1. Legal cost.
2. Marketing expense.
3. Distribution cost.
4. Licensing cost.

The existing entertainment provider has been extensively


dealing with their targeted segments with the particular
expertise, which is why the hazard of brand-new entrants is
low.

 Threat of Eco7 Launching a New Motor Oil substitute


products:-
An alternatives that are available in the market at
comparatively better prices. Such products prevail due to the
technological and innovative advancement. Due to which the
products being produced by the companies that are already
existing in the market and is using the same technology are
than replaced by the other company’s products that are
comparatively better in terms of price and quality and are
being produced from sectors with significant profits.
The danger of replacements in the market pose moderate risk
level in media and the home entertainment market. The client
might also engage in other leisure activities and source of
information as compared to seeing media material and online
streaming.
1. Switching cost
2. Buyer inclation to substitute
3. Traditional media content provider
4. Customer engaged in leisure activities & source of
information

 Bargaining power of suppliers Eco7 Launching a New Motor


Oil:-
New Motor Oil more power to capture significant value for
themselves by demanding high prices while limiting the quality
and the quantity of the product or services or by transferring
the cost on the participant of the industry. Many condition
imposed by the suppliers generally include the increase in price
while compromising the quality and quantity.

The dynamics of media and home entertainment market


permits the customers to have high bargaining power. The low
cost of changing allows the clients to look for other media
service suppliers and cancel their Porter's 6 Forces of Eco7:
Launching A New Motor Oil Case Solution subscription, thus
increasing the business danger.
1. Credible forward integration threat by suppliers
2. Suppliers concentrated
3. Significant cost to switch suppliers

 Bargaining power of customers:-

To capture significant value for themselves by demanding high


prices while limiting the quality and the quantity of the product
or services or by transferring the cost on the participant of the
industry. Many condition imposed by the suppliers generally
include the increase in price while compromising the quality
and quantity.
1. It is more concentrated than the industry it is selling to.
2. It is not heavily relying on the industry for its profits
3. The product being offered by the suppliers are highly
differentiated.
4. And when there is no close substitute available for the
products being supplied by the suppliers.
New Motor Oil Case Analysis has been completing versus the
standard supplier of entertainment and media, it requires to
show higher flexibility in agreement as compared to the
conventional services. The items is technology based, the
dependency of the companies are increasing on constant
basis.
 Complementary products:-
There are many such brands in Indian market which have an
complementary service to provide for their customers. This can
be a very big threat for the Eco7 company in order to enter
India. They must have an better service and better quality of
service where customers feel satisfied.
The impact of complementary products can be good or bad for
industry profitability. If the complementary good is doing well
within its industry this can have a positive effect on the
profitability of company. If performance is bad or prices rise
within the complementary product's market it can negatively
impact upon the level of profit that the industry can obtain.

For example:- when petrol costs rise the public transport


industry may suffer reduced profits or be forced increase prices
which may cause customers to look for alternatives

Submitted by:-

Devijyoti Singha (061)

Ompriya Acharya (059)

Amrita Das (074)

Sambit Kumar Pradhan (085)

Rimon Roy (119)

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