Strategic Outsourcing
Amazon outsources some of its value chain activity to outside companies. Amazon is an online retailer and does not manufacturing the entire product it sells on its websites, outsourcing delivery service as well. Also, increasing number of B&M companies start its own online retail service after Amazon start the business, but they realize the high operating cost. When Interne
Integration)
★ Vertical Integration
대한통운 인수 : 상호보완적인 물류사업 포트폴리오 구성
- 포트폴리오를 기반으로 글로벌 종합물류그룹으로의 발전
- 사업간 시너지 극대화
★ Horizontal Integration
- 대우건설 인수 : 금호산업 등 기존 계열사와 시너지 효과
- 기존 인프라를 통해 대우건설의 해
integrated process. ZARA designs all its products itself. Concurrent method design could be an adjective to the of product design process which involve the whole commercial team , designers, market specialist, procurement team as well as continuous feedback from store managers.
Young Designers (26 average) draw the design sketches then discuss it with market specials and planning & procurement
SEC’s “Open Architecture” stands for Being able to access more software through Samsung Devices
That is Opposite way of General thinking
products life cycle is getting short and software business is more profitable.
And strong Contents can appeal to youth market more like Sony as well.
Despite all the concerns Samsung Passed over their competitors by various technology, by Making diver
vertical integration pursued by Zara, H&M outsources all of its production and operates a single format which increases operating expenses. Such choice of outsourcing all production is reflected in a relatively low PPE to sales ratio of 15.5% which contributes to higher capital turnover, and thereby, higher ROIC. On the other hand, Inditex which sticks to vertical integration needs its own produc
Profile & History
Company : CJ entertainment
CEO : Lee Gang-bok
Business propensity : The core of strategy is stable growth
Vision : Asia’s most valued Entertainment Group
Set up Business portfolio
Production of Korean movies
Alliance with major movie production company
Distribution of DreamWorks’ movies
Opening of CJ CGV
Enhance Vertical integration
Major distrib
strategies of Nike (Securing the global supply chain)
3). Promotion
▷ Advertising
A way that the most easily accessible to the public. Nike invested heavily in TV advertising particularly. Nike linked their image with Jordon in a lot of ads in the past. At that time Michael Jordan was a superstar for many people. Thus, Nike’s TV ads focused on Jordan in a basketball. But when Jordan re
Vertical integration
Typical SPA company
Specialty retailer of Private label Apparel
High product diversification
Mass customized clothes
Quick and frequent delivery of new products
Operational innovation
Just In Time system introduction
Intensively centralized warehouse
Electronic transformation
High similarity
Almost same business model (SPA)
Same market
Similar resourc
vertical communication.
4.3 Systems
SAJO has a systemized structure of managing the employees. Their works and results are evaluated and has a complementary facility. The executive board meetings are held twice a month, discussing the record of performances and formulating plans for the futures. The directors of the groups also hold meetings. The factory managers share the cases, benchmarking t
of scale
Acquiring the bargaining power
With cable TV company, IPTV
Short-term strategies
CO-production strategy
Industrial economic benefits
Cost variance
Economies of scale
ex)
CJ Entertainment
Total movie solution
Investment – Production – Distribution – Screening
2. Targeting to global movie market
3. Good downloader campaign