Although Elecdyne made success initially in the price competition, it failed to promote its sales and thus underwent great losses because of the need to defray licences, declined sales and soaring wage rates. The reason underlying this disaster is originated from the weakening competitive power of the Japanese manufacturers and the increasing of the costs for processing products. For example, Japanese corporations find it difficult to compete with lower-priced counterparts of China and India and the Korea within the electronic field.
As Elecdyne is a company without any previous contact with foreign markets, its management group are now on the fast track to speculate the likelihood of internationalization and the debates with other countries to allow for their requirements for easy access to cheaper workforce, novel innovation and technology, and competitive markets. Among the three countries Elecdyne inspire to make internationalised, Germany is suitable to offer competitive markets, Korea new innovation and then China cheaper workforce.
For the purpose of this kind, the report to appear is mainly devoted to the collection of information about the aforesaid issues that may impact Elecdyne and even the plan to internationalise this company. Subsequent to this is the analysis and conclusion part of the country that Elecdyne choose to enter. 2. 0Findings 2. 1Steep In analyzing the current situation of Elecdyne, an inexpensive yet adequate STEEP table has been formulated at the first stage so as to enable Elecdyne to know about the trends of the outside competitive surroundings within which it may compete
Social networks like all the online matter such as Youtube, Twitter and Facebook are so important that relevant companies should not defer their efforts to create the public image and enhance their both market and products’ effectiveness” Population: most of the people became old, they do not prefer to purchase eletronic product frequently. (Johnson, G. , Scholes, K. & Whitting, R. 2005) 2. 1. 2 Economical Global Crisis: Though with many effects, are escaped by most countries, economy turns to slow down globally, many people rather saving than spending.
Unemployment Rate: most of the companies can not afford to suffer from fixed cost like employees’ salary, this is caused by the truth that full-time workers are forced to become part-time, Inflation, inflation rate keeps increaing, daily necessties became more expensive year by year. 2. 1. 3 Technological Hybrid devices: The current electronic devices are rather smaller, portable, quicker and smarter nowadays such as ipad, notebook. Movie players: Those with 3D and HD technology are the new scene recently Tablets: Those with touch-screen innovation become so noteworthy that companies begin to compete for the dominance of this new field.
Internet Clouds: more gaint companies prefer to adapt internet clouds in order to decrease the storage of their data. 2. 1. 4 Environmental Sustainability: With getting smaller of the world, everybody should be responsible for their own actions, company also can not purely chase for profit, but understand the importance of environment for future generation. Pollution: Saving the earth, saving the cash becomes the new topic for which companies should be environmentally responsible (Fred R. David. 2005) Recycling: public and government now requires company selling and producing something could recycle rather than one time dispose.