The concept of IoT (Internet of Things) are implemented everywhere. Devices are getting interconnected to be capable of more things. If we combine the big screen of the smart TV with the convenience of the smart phone, it would be promisingly popular.
There’s no smartphone synchronized smart TV in the market. Our TV will fill the gap.
That would be the idea of getting smartphone work with a smart TV and other smart features.
Yes. We make the TV work perfectly with the smartphone.
Yes. We’ll specify it in our business model.
We are new entrants with unique differentiation. This industry has got history. We are not planning to buy out a business.
Porter’s five forces：
Since smart TV is not a brand-new concept product, we are not the first to the market.
Our smart TV have its unique differentiation compared with the ones in the market. It has very user-friendly interactions especially when paired with smart phones. Using that advantage, we have unique selling point.
We are going to appeal our smart TV particularly in online and offline shops with its unique smart features to the potential users to let them know that it’s more than convenient to use our products.
Smart TVs in the market have some smart features but young users are using more of smartphones because it’s more convenient to the information source. For example, photos and videos taken by phone, smart phone games that can be played once they had time. They will have better experience to have a big screen to do these things. If they can easily put the images onto the big screen and operate on either screen, they would have much better experience.
It’s a trend to have traditional home appliances into smart and interconnected ones. IoT has been developing fast and leading the industry onto another level. Our smart TV get users better experience at home. Whatever you do on your smartphone can be done simultaneously on the smart TV.
We have market information about the existing TVs and our product have the chance to fill the blank part for its unique smart features.
Mission statement: Addition to traditional smart TV, we aim to help our uses get extremely convenient in using smart services with great experience.
Vision and value statement: We can have your images displayed and processed synchronized anywhere with your smart device.
Short term objective: To get our products into the market and cooperate with major distributors in 2 years.
Long term objective: To have competitive market share and continuously provide users with more convenient experience.
Tasks and action plans: Test the reliability and start the market investigation. Advertise through multiple ways. Establish cooperation with distributors. Make sure the products in mass production.
Every household or institution requires television, and with the steady advancement of technology, most of our tasks have been digitalized and are growing more expensive in the modern era. Our smart TV will not only have advanced capabilities, but we also want to equip the community and give environmentally friendly materials by offering durable and inexpensive everyday pricing to everyday people.
Well, Smart TVs are having the geographical scope of Mexico and the United States of America. We have decided on these areas because of the growing popularity of digital media and the introduction of improved recreational technologies. Moreover, the widespread adoption of the rising internet and the use of smart gadgets by customers are expected to accelerate market expansion throughout the region. So, that is why the TVs are demanded more in North America region.
Our smart TV will offer different types of features to the customers which are as under:
TV is watched by many age, lifestyle, and population groups such as:
To sell smart TV’s we would like to concentrate on medium and high-end income segments. We would sell them because by selling them we can have a good reputation in the region. Moreover, the chances of debt can be reduced. And there will be less bargaining power, as a result, the profits can be maximized.
A). Tech Savvy People: Tech people watch TV so as to have the latest knowledge regarding technology.
B). Early Adopters: Early Adopters watch TV so as to equip themselves with the latest knowledge.
C). Families: Families love to spend quality of time with their family members. They watch movies, comedy shows for their entertainment. They also get the latest news of the world.
For our product they are two types of innovators namely:
Consumers: It is said that consumers are the lifeline of businesses. The demands of consumers change rapidly from time to time. In order to meet their demands, the innovation of the product is done so as to maximize the profits.
Competitors: In the modern era competition is increasing in every field of life. In order to beat the competition, the product should have unique features as compared to the competitor. As our company is offering the TV in which the size of the screen can be altered according to the requirement.
There are different factors that affect the purchasing power of the buyer such as the age of the person, gender, profession, personality, socio-economic factors, and many more. So, these all are the factors which the person has to consider while purchasing the TV from us.
In the past it has been noticed that the trend of people watching the TV in the Mexico and U.S. was declining but due to covid-19 people were doing work from home as a result individuals are having sufficient time to spend quality time with their beloved ones. They love to watch movies, comedy scenes and so on. So, the percentage of watching TV has risen to 74%. Moreover, technology is increasing rapidly. People are advancing themselves with the latest technologies. So, it is expected that in the coming time the trend of smart TVs would rise rapidly.
UNITV is demanding high in Mexico and the U.S. Our main focus is on small businesses by penetrating. They are not focusing on big companies as they are ruling in their own way. So, our main target is to focus on small and medium-size businesses to make the life of individuals easier through our service.
The electronics industry is one of the more competitive industries with companies such as Samsung, TCL, LG, Hisense, and Sony. Many of these competitors produce various electronic products, with smart TVs being one of the most popular. The entities have, over time, provided the customer base with TV sets that feature different aspects of technology integrated into their functionality (PR Newswire, 2021). However, the market has experienced a decline in the utilization of smart TVs. There is a need for more innovative products to garner the interest of individuals in using smart TVs. Over time, the competitors have come up with various technological developments that have defined top-notch products’ status quo. The trend should continue to sustain the interests of customers.
The competitors are majorly multi-national corporations with establishments in numerous countries worldwide. Samsung has more than $500 billion as the second largest technology company and has north of $200 million in revenue, and Sony has approximately $85 billion, while LG Electronics has about $53 billion. These companies form the top cream of organizations that produce smart TVs, among other products. They employ thousands of people in multiple countries and control most of the market share. They are highly profitable, with Samsung boasting a $63 billion profit margin, and the industry as a whole is worth $970 billion. (PR Newswire, 2021). The operating procedure of the organizations generally features solid human resource management and supply chain management, which are integral in the success of the companies. The focus of the operation process is on quality production and cost competitiveness, appropriate delivery of the products and suitable response to market dynamics.
Among the companies’ strengths are technological advancements that have fueled the continuous production of regular products they deal with regularly. Innovation is, in many ways, the driving force behind a company’s success.
Entities such as LG have substantial design capabilities. The research and development branches of the companies are strong and instrumental in their success. They are significant entities with solid global brands, high levels of expertise in manufacturing, and various subsidiaries that support the leading organization (Omer, 2019). The weaknesses are majorly based on the competitiveness of the electronics industry as it is relatively easy to upstage a company’s products due to the growth of technology. Many of them are dependent on consumer markets with low growth potential. The majority of the organizations have these strengths and weaknesses, and they also factor in the business. They serve as the points of emphasis in evaluating the business (Omer, 2019).
Technology, innovation, and manufacturing capacity are essential components in a company’s success. These core features have allowed the companies to gain significant market share. They are constantly able to develop unique and advanced electronic products that are attractive and desirable to customers. Over time, the clientele base has invested in getting electronics with the latest technological developments, leading to the high demand that has characterized the industry for a long while. On the other hand, the companies have been able to meet the demand thanks to their manufacturing capabilities (Bloomberg, 2021).
The product should stand out amongst competitors as it puts together the functionality of a smartphone and smart TVs. Currently, no smart TVs are synchronized with smartphones, leaving a market gap that the company can fill. The integration of TV and smartphone functions should provide a different perspective to the current utilization of smart TVs.
This is a smart TV that can work with a smart phone and gives you great experience of both big display and user interaction. You can use the TV as the display of your smart phone and do whatever you do on the TV, because it’s a touch screen. Your operations on the smart TV will be simultaneously processed on the phone. You can browse whatever stored in your phone on the TV. So, you can enjoy the full high-definition photos, videos, and online games.
It’s a concept product. Not available in the market for the moment. The initial model will be displayed online and will be delivered to major distributors in 3 months. The cost of each smart TV would be around 1300 CAD. It would take 3 months to do that.
The patent will be registered to keep the advantage in the competition and prevent from other competitors to be the free rider of this innovation.
The smart TV is interconnected with the smart phone to be capable of whatever things were done on the smart phone. It has combined the big screen of the smart TV with the convenience of the smart phone. This is different with the TV in the market. And this display is a touch screen, users can operate on the TV as same as on a smart phone.
Yes. It will be following the mandate rules in line with other TV makers as well as the 2-year warranties. We will provide the same after-sales service and return policy with main competitors. The quality will be assured by the OEM factories.
Yes. A TV should have abundant video resources for the users to watch. We plan to cooperate with online streaming service providers to get a portal on the TV. Or our TV can get the admission to share the account with their phone to watch the same content wherever on a phone or on the TV.
Looking at the sale of the synchronized smartphone TV the fixed costs of the item will be around $10,000 on monthly basis while the variable cost per unit for each item will be $1000 per item. The variable costs include the costs of purchasing the materials, paying salaries and other direct overheads (Kravchyk et al., 2021). The fixed costs are the costs that do not change when the number of TV sets that are produced increases while the variable costs change when the number of TV sets that will be produced will change and are thus stated per item.
Looking at the variable and fixed costs, the smart TVs should be sold from $1300 and to cater for all the costs and still get a profit. The pricing of the smart TVs will be depended on the size of the TV and this is because the TVs come in different inches. This is the optimal price that will be charged for each TV set because for UNITV to make profits then the selling price of the TVs has to be higher when compared to the costs that are incurred when producing the TVs. The total costs of producing one tv set will be around $1100 if the fixed costs are distributed and that means that selling a TV set for $1300 will earn the business more profits.
4. What price do your competitors charge?
The price of smart TVs by other companies such as Samsung and LG range from $1000 to around $2000. The main competitors in the market right now are Samsung, LG, Sony and Phillips. The competitors in the market all have smart TVs whose prices are different depending on the specifications of the TV sets and the size of the screen. Most of the TVs sold by these companies go for around $1000 to $2000 but there are TV sets which are sold for a price that is above $2000 and even others sold below $1000 to make sure that they accommodate the entire market.
5. Compared with your product/service how much better/worse are those of your competitors?
The competitors have an advantage of being known in the market and some of the smart TVs such as those produced by Samsung have been reviewed by customers as being high quality and having a good resolution which means that people do not have to strain to see the images which are displayed on the screen. Samsung and other brands such as Sony and LG are known for durability where the customers know that buying TV sets from these companies will mean that they last longer than some other brands in the market. UNITV is however focusing on offering benefits that do not exist in the current brands such as eco friendliness. Most of the current TVs are made with materials that are not eco-friendly and contribute negatively to the environment.
6. Are any of your possible market segments less price-sensitive than others?
This market segment is less price sensitive and this is because we are targeting people whose major concern is quality and using products that incorporate the latest technology in the market (Deepak & Jeyakumar, 2019). The market segment has a good amount of income and since this is a luxury good then price is not the main factor for the market segment.
7. Does your answer to question 6 lead you to believe that there is an opportunity to sell at different prices in each market segment – and so enhancing profits?
Yes, the type of the market determines how price sensitive they are but when you are selling a product that is considered as a luxury good then most customers do not consider the price but how long a product will be able to last. There are different customer groups that have different income level and look for different features when they are purchasing a TV set and hence the pricing will differ from segment to the next depending on the quality of the TV sets. There are people who believe in buying expensive and buying quality which means that they will pay a high price as long as they are sure it is worth it.
If we could only say a little about our product, but we think we may understate the specification of the quality we bring to the market. Our technical manager will accurately handle that part. We are sure our new smartphone-controlled television will disrupt the market and above all solve the ever-recurring customer needs. The world has gone entirely tech and anything less than it is easily rejected by the consumer. The clients Infront of our television will no longer need to hold a remote again, instead, they will simply use their smartphones to control the television after efficient synchronization. This TV is a big thing, a big innovation, a big convenience, and the best cost-saving venture of the century in the entertainment world. We will be giving the television at 70% their retail process for our first 50 customers for the television.
Advertisement is vital in creating awareness of the project. As the marketing team, we project that proper marketing will send the product brand beyond the country’s borders and bring change in the predicted life cycle graph. Since it is a new technology, creating good awareness is vital for early adoption. Our main aim is to increase brand visibility of the product and that increases the sales turnout during the adoption phase.
The early adoption phase is so vital for the sale of household products. if the early adoption is well ensured, the product may not penetrate the market widely hence reduced sales potential. Hence marketing is important to the success of sending the product to the market.
the message to the clients will be, new, affordable, and efficient smart TVs. The message will stress the fact that the TV can be controlled from the comfort of using the phone. This message will outline the product differential attributes /specifications.
We will involve social media platforms and email to promote the products. These include Facebook, Twitter, and Instagram.
Through the social media platforms, the engagement and communication from the market segment. The result will be recorded in terms of the percentage engagement with the potential clients. It is not important whether they buy or not the engaged customers have a connection with the brand.
The marketing process will cost the company a lot. In marketing, the company will spend 82,000 monthly on advertising for the products. since the company seeks to sell more than 1 million devices within 4 months of the launch. The ads will be high, consuming ads which can cover areas 2 million people a day.
The promotional of the product is not done yet but it is wet to are bound to implement the idea in the next 2 months. the marketing will start 2 weeks before the product is launched to increase awareness from the segment of the market we want to tap. There is a lot to learn from this assignment and one of their prioritization of the expenses in the budgeting for marketing project.
The premises required will be an Industrial site with a size of 200,000 square feet.
The chosen location is Dryden, Ontario, which is the province’s least populous community. It has a lot of warehouse space and is close to key transportation routes (the Trans-Canada Highway). It’s also a good place to keep pollutants contained during the production process. Most of the goods and tools we’ll need are readily available in this area, and it’s less expensive than in other Ontario cities. It will be less expensive in various other parts of Canada.
This is a good location for us because we are just starting and require a less priced location that is yet friendly to our business. About 45 per cent of the raw materials we’ll need for production may be obtained with less risk and expense, allowing us to increase sales; there’s also skilled labour available. Because the population of this village is small, providing jobs will also aid in the development of the community’s vision.
– Value / mortgage outstanding / monthly repayments / mortgage with whom?
We have signed a lease agreement for five years and given the owner the advance payment. We are aiming to own our place for business within the lease period if all things are equal. If not, we can renew the lease after five years. The present rent payment is CAD$9,000 on 1st June 2022 and the date for the next rent review is 1st July 2022.
There are several insurances that we are covering: (“(Intact Insurance, 2022)
No, these premises are not adequate for your future needs as we are planning to set up our warehouse for manufacturing and distribution because for growth.
We have already found the premises as we have a lease contract with the owner for a period of five years.
The channels of distribution that are used in our field are direct selling, selling through intermediaries, dual selling, and reverse selling. We will focus on direct selling for now since it’s a small business and a new market; therefore, we will distribute directly to customers without intermediaries for the first two and half years.
Fire, health, safety, and environmental risks are all operational risks that must be addressed in our organisation. It’s a manufacturing firm with enormous machinery and a human presence on the job every day. As a result, the above-mentioned dangers are likely to occur. To minimise or eliminate these risk factors, we shall implement all required procedures and assure compliance.
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