infomgmt 191- assig 1

An analysis of the PRESENT

& FUTURE

© Sneha Mahajan4930547

Present Situation Analysis

1) Illegal Music Downloading

= Reduction in music retail sales

= BIG financial LOSS for Real Groovy in the long run

“The music industry estimates that [in 2004] piracy was to blame for a $45

MILLION downturn in the last 12 months”

2) Technological Advancements

Introduction of portable music players that support digital music formats

Increased demand for…

Mobile Music Concept- Music

available Anytime, Anywhere, in the

palm of your hands!

Music CD’s are slowly becoming a thing of the past…

In other words, sales are diminishing for core selling product of Real Groovy

A recipe for…

3) Competition

Between…

Large companies

such as The

Warehouse

Small retailers such as Real

Groovy

Big

More power = ability to sell goods for cheaper

“Where everyone gets a Bargain”

CD’s sold at below cost price!

Small

Less power = trade off between range and product pricing

Efficient Website usage and Network Computing Software

Knowledgeable staff

Quick Summary Comparison

Real Groovy needs a Real

Plan

Future

1) Updating current network computing software for efficient inventory tracking

This will ensure effective management of

inventory so that online purchase orders are dealt with efficiently with minimal errors.

We are in the age of technology so…

2) - Focus on maximising core music sales through online website

- No need for more physical stores

Create an innovative database of various music genres in digital format

Improved access to shared database at low cost

3) Offer discounts and package deals to loyal customers