GROUP 3

NAME ID CONTRIBUTION RATE

Trần Kim Yến 2121009846 100%
Huỳnh Ngọc Anh 2121000379 100%
Nguyễn Thị Ái Vi 2121000486 100%
Nguyễn Ngọc Phương Uyên 2121009909 100%
Võ Nguyễn Tú Uyên 2121011932 100%

DISNEY
1. What does Disney do best to connect with its core consumers?
By the 1970s, the two brothers had established a well-known name that
represented reliability, enjoyment, and amusement, which appealed to both
kids and grown-ups alike. By the 1980s, Disney had thought of new ways to
target its core family-oriented consumers as well as expand into new areas
that would reach an older audience since they believe that adults used to be
kids at one point in their lives. The market now includes individuals of all age
groups and cultural backgrounds and is one of the leading diversified
international entertainment companies which comprises five segments:
● The Walt Disney Studios
● Parks and Resorts
● Disney Consumer Products
● Media Networks
● Interactive Media
This diversification provides sufficient chances for all kinds of customers
to select services.
In addition, Disney makes a connection to its primary consumers so that
the company can build a relationship with them. This enables Disney to offer
diverse products and services that cater to their specific tastes and
preferences, leading to their satisfaction. Disney's product strategy focuses on
pleasing its core consumers by continuously innovating and updating its
products and services across its multiple business segments. They aim to
provide better quality experiences to their target consumers, while also
attracting new customers. Ultimately, Disney's goal is to delight its customers
by meeting and exceeding their expectations. Effective marketing and
promotional strategies are also utilized to cultivate loyalty among its
consumers, employing both social media and traditional media platforms.
Moreover, to connect with its core consumers, Disney often looks to
expand its business into new segments, which allows it to broaden its market.
By constantly seeking out expansion opportunities, Disney is able to reach
more consumers and better cater to the needs and preferences of its existing
ones. In this way, expansion serves as a key strategy for Disney to deepen its
connection with its core consumers while also growing its overall customer
base.

2. What are the risks and benefits of expanding the Disney brand in
new ways?
Benefits of expanding the Disney brand in new ways:
+ Diversification of revenue streams: Disney can reduce its dependence
on a single business area or product by expanding into new markets or
segments, thereby diversifying its revenue streams.
+ Increased brand image and recognition: Expanding into new markets or
segments can enhance its brand recognition by introducing the brand
and the wide range of products and services it offers to new consumers.
+ Gaining competitive advantage: Disney can leverage its brand
recognition, resources, and expertise to offer unique and compelling
products or services that give Disney a competitive advantage over its
rivals.
Risks of expanding the Disney brand in new ways:
+ Damaging brand value: Disney faces the risk of striking a balance
between keeping a 90-year-old brand relevant and current to its core
audience while staying true to its heritage and core brand values.
+ Tough competition: When expanding its brand in new ways, Disney may
face competition from established players in the new market, who may
have advantages such as established customer bases, brand
recognition, or better economies of scale.
+ Operational and financial risks: Expanding into new markets or
segments can pose operational challenges for Disney including
regulatory obstacles, cultural disparities, and the necessity to adjust to
new technologies or business practices which carries the risk of a
financial loss if the venture is unsuccessful.
 IKEA
1. What are some of the things IKEA is doing right to reach consumers
in different markets? What else could it be doing?
Some of the things IKEA is doing right to reach consumers in different
markets:
+ Adapting products to local tastes and preferences: IKEA offers products
that are tailored to the needs and preferences of customers in different
markets. For example, when employees realized U.S. shoppers were
buying vases as drinking glasses because they considered IKEA’s
regular glasses too small, the company developed larger glasses for the
U.S. market; wardrobes for the U.S. market were designed with deeper
drawers after learning and realizing whereas Europeans generally hang
their clothes, U.S. shoppers prefer to store them folded.
+ Offering affordable pricing: IKEA has a reputation for offering affordable
pricing, which appeals to customers in different markets who are
price-sensitive. By providing leading-edge design, functional home
furnishings, and products of excellent quality at more affordable prices,
IKEA has succeeded in drawing in customers from diverse markets.
+ Building partnerships with local suppliers: To obtain locally relevant
materials and products, IKEA creates alliances with local suppliers. This
approach enables the company to reduce expenses and increase the
quality of its products.
+ Using sustainable materials and practices: IKEA's dedication to utilizing
sustainable materials and methods is attractive to environmentally
aware customers in diverse markets. This tactic has assisted IKEA in
distinguishing itself from rivals and creating a devoted customer
following in various markets.
IKEA could improve its market penetration by considering the following:
+ Offering more personalized customer experiences through targeted
marketing campaigns and localization efforts
+ Making use of social media to get customer feedback and to increase
awareness of products worldwide.
+ Adapting products to local tastes and preferences more thoroughly
+ Expanding the brand in South Asia or African countries since IKEA’s
low-price strategy might gain a competitive advantage in these
marketplaces.
2. IKEA has essentially changed the way people shop for furniture.
Discuss the pros and cons of this strategy.
Pros of this strategy:
+ Convenience for customers: IKEA has made its stores easily accessible
to customers by locating them in convenient areas, and they have
ample product showrooms where customers can try out furniture before
purchasing. Moreover, by introducing flat-pack furniture, IKEA has
transformed furniture packaging and transport, which has made it more
cost-effective and efficient to ship. This approach has enabled IKEA to
keep its prices low while maintaining a broad product range. The brand
also uses unconventional names for its products that people can easily
remember.
+ Affordability: IKEA's low-cost strategy maintains it ahead of its
competitors in the furniture retail industry and has made it accessible to
a wider range of consumers who may not have been able to afford
furniture from other retailers.
+ IKEA’s stores are also located a good distance from most city centers,
which helps keep land costs down and taxes low.
+ The brand displays a diverse range of products and designs the shop
layout in a one-way style so that buyers can see everything in one spot
and easily imagine their family living space.
Cons of this strategy:
+ In-store experience: While IKEA's large product showrooms can be
convenient for some customers, others may find the stores
overwhelming and difficult to navigate.
+ Customers may encounter difficulties as a result of self-assembly since
they might find it time-consuming and frustrating. By the same token,
with consumers who are not good at fixing or assembling, “flat-packing
furniture” could be problematic.
+ Lack of uniqueness: The fact that IKEA produces and sells its products
on a large scale worldwide could result in a lack of uniqueness and
individuality in its products, which may not be appealing to certain
customers.