rim timothy r solichin research in motion strategy analysis
DESCRIPTION
This is a strategy for Research In Motion to revive Blackberry from market declineTRANSCRIPT
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Mobile Technology Analyst from Citi
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RivalryThreat of Entry Threat of Substitutes Supplier Power Buyer Power
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RivalryThreat of Entry Threat of Substitutes Supplier Power Buyer Power
LOW Relatively High Concentration Factor Product Differentiation Fast Industry Growth
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RivalryThreat of Entry Threat of Substitutes Supplier Power Buyer Power
LOW High Capital Intensity Relationships with Distributors Strong Brand Equity Economies of Scale and Learning
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RivalryThreat of Entry Threat of Substitutes Supplier Power Buyer Power
LOW Laptops, Netbooks, tablets, or PDAs No Close Substitutes
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RivalryThreat of Entry Threat of Substitutes Supplier Power Buyer Power
Switching Cost
LOW TO MODERATE
Backward Integration is Becoming More Prominent No Threat of Forward Integration
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RivalryThreat of Entry Threat of Substitutes Supplier Power Buyer Power
LOW TO MODERATE 2 Main Customer Groups
Demand side externalities: Bandwagon effect
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RivalryThreat of Entry Threat of Substitutes Supplier Power Buyer Power
Low Low Low Low to Moderate Low to Moderate
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Chief Financial Officer from RIM
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Revenues by Year$20,000.00 $ in Millions $15,000.00 $10,000.00 $5,000.00 $2007 2008 2009 2010 Year 2011 201213
43.5 3 2.5 2
1.51 0.5 0 2007 2008 2009 2010 2011 2012
Current Ratio Quick Ratio
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No outstanding debt Times Interest Earned ratio is zero
Outstanding debt of acquired companies is subsequently paid off
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Fiscal Year 2011 2012
Q1 $769 $695
Q2 $797 $329
Q3 $911 $265
Q4 $934 ($125)
Less than desirable 2012 performance due to: R&D expenses Margins
Administrative costs
Fourth quarter loss due to goodwill impairment of $355 million16
CEO of RS Consulting
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International smartphone sales growth (full year 2011)
BlackBerry sales growth (full year 2011)
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Year2009
U. S.
Indonesia
2010
201119
Programs: Twitter customer service Mobile banking Promotion through BB
Results: Customer satisfaction Convenience rating Employee satisfaction20
Indonesia
India
Saudi Arabia
Lebanon
United Arab Emirates21
Chief Executive Officer from RIM
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Arenas
Staging & Placing
Economic Logic
Vehicles
Differentiators
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ArenasStaging & Placing Economic Logic
Vehicles
Mobile phone OS device design and manufacturing. Operate all over world.
Differentiators
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Arenas
Staging & Placing
Economic Logic Vehicles
Differentiators
Direct sales Third party sales Sell through wholesalers and retailers Brick and mortar Online direct sales network25
Arenas
Vehicles
Staging & Placing
Economic Logic
Proprietary OS Most secure system Professionalbased platform
Differentiators
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Arenas
Staging Economic & Logic PlacingDifferentiators Vehicles
Blackberry 10 OS debuting this year New Blackberry Bold and Torch platforms in the market
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Arenas
Staging & Placing
Economic LogicDifferentiators
Premium pricing Gain from network externalities
Vehicles
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Arenas
Staging & Placing
Economic Logic
Vehicles
Differentiators
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Blackberry Pro Mobile Platform Blackberry Bold Reinvention Focus on Operational Excellence
Targeted to enterprise buyers Security, functionality, Lower Price, middle market phone reliability, ease of use Consumer-oriented functionality including expanded app access, high megapixel Premium pricecamera, touchscreen On time product launches Reliable devices using proprietary software Strengthen RIM Emulator to expand application access30
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Blackberry Pro Mobile Platform Blackberry Bold Reinvention Focus on Operational Excellence
Targeted to enterprise buyers Security, functionality, reliability, ease of use Premium price
Lower Price, middle market phone Consumer-oriented functionality Quality over quantity app On time product launches strategy Reliable devices using proprietary software Strengthen RIM Emulator to expand application access
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Blackberry Pro Mobile Platform Blackberry Bold Reinvention Focus on Operational Excellence
Targeted to enterprise buyers Security, functionality, reliability, ease of use Premium price Lower Price, middle market phone Consumer-oriented functionality including expanded app access, high megapixel camera, touchscreen On time product launches
Annual device and software updates33
Blackberry Pro Mobile Platform Blackberry Bold Reinvention Focus on Operational Excellence
Targeted to enterprise buyers Security, functionality, reliability, ease of use Premium price Lower Price, middle market phone Consumer-oriented functionality including expanded app access, high megapixel camera, touchscreen Quality over quantity app strategy On time product launches Annual device and software updates34
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