• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

What is the best way forward for HMV?

Extracts from this document...

Introduction

What is the best way forward for HMV? Introduction It is an uncertain world for business in the 21st century as they have to constantly assess their situation in an ever-changing global community. Now, it is not simply enough to sell a successful product, companies now have to evaluate their position in the market and constantly re-evaluate if they hope to keep up and still be successful - not only in terms of profits, but also in terms of reputation and brand image. In my project I am going to focus in on one particular company - HMV and I intend to investigate what is the current position of HMV and what is the best way forward for the company if it is to remain successful. With over 75 years of trading history, and more than 160 stores around the country, HMV is one of the UK's premier retailer of music, dvd, videos and computer games. The HMV brand, made famous by the instantly recognisable dog and trumpet trademark, has also been successfully exported around the rest of the world, with a further 200 stores trading across the U.S.A, Canada, Australia, Japan, Hong Kong, Singapore, Germany and Ireland. The first HMV shop was opened in 1921 at 363 Oxford street, one of London's most prominent shopping streets and HMV has developed into the UK's leading music specialist retailer. ...read more.

Middle

If the local smaller-town HMV does not have what you want in stock, it can rapidly find an HMV store that has the item and will arrange for you to receive it as soon as possible. The brand image is thereby sustained. Part of a brand's image relates to store design and operation; an HMV store needs to look, feel and sound just how its loyal customers have come to expect. Consistency brings with it recognition and reassurance, the kinds of feeling that cause many people who are 'out shopping' to drift into music stores rather than walk on by. Buying music, DVD's or games is often a shared experience. It is something to be enjoyed and then talked about with friends. Like other enlightened retailers, HMV seeks to make the purchasing experience as intimate and enjoyable as possible. That is all part of the brand. HMV is committed to the retail experience and believes that record stores will remain central to the way the majority of buyers will seek to purchase their music and home entertainment products for the foreseeable future. However, HMV has also embraced new technologies and other shopping channels, such as the Internet in order to broaden the choice available to its customers. Indeed, in 1997 HMV was one of the first music retailers to launch a website - www.hmv.co.uk. ...read more.

Conclusion

Vertical integration refers to the development of activities which involve the preceding or succeeding stages in the organisation's production process. Backward or upstream vertical integration takes place when the organisation engages in an activity related to the proceeding stage in it's production process. Forward or downstream vertical integration takes place when the organisation engages in an activity related to a succeeding stage its production process. Obvious examples of vertical diversification include the brewers' control of public houses and the oil industry's combination of exploration, refining and distribution. Conglomerate diversification refers to the situation where at face value the new activity of the organisation seems to bear little or no relation to it's existing products or markets. For example, Hanson Trust's interests include engineering, batteries, building products and cigarettes. Diversification is the most risky of the four growth strategies since it requires both product and Market development and may be outside the core competences of the firm. In fact, this quadrant of the matrix has been referred to by some as the 'suicide cell'. However, diversification may be a reasonable choice if the high risk is compensated by the chance of a high rate of return. Other advantages of diversification include the potential to gain a foothold in an attractive industry and the reduction of overall business portfolio risk. Analysis Using the Ansoff matrix Kajal Patel 1 ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our University Degree Marketing section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related University Degree Marketing essays

  1. Kit Kat Case Study - 'Kit Kat: Have a break…'

    Time Out is a mixture of both chocolate bar snacks, like Twix and wafer based snacks, like Kit Kat. This could be very dangerous for Kit Kat as Time Out's sales in the countline market steadily increase from 18 million in 1992 to 39 million in 1994 (Kotler pg137).

  2. Marketing Environments - Chocolate Confectionary Market

    Volume sales rose by 33.5% over the same period, making China the second most dynamic market in volume terms after India (36% increase) * The maturity of the US and UK market is reflected in the declines registered in both countries over the survey period.

  1. Free essay

    Marketing Strategies

    Informatii privind cheltuielile de personal sunt furnizate de contul de profit si pierdere sub forma sumelor privind cheltuielile cu remuneratiile brute acordate personalului si a cheltuielilor cu asigurarile si protectia sociala suportate de intreprindere, fara nici o delimitare a lor pe categorii de personal (de ex: aferente conducerii, personalului operativ etc).

  2. Cartier (Hong Kong) Limited - case study.

    such as titanium and platinum into the glasses frames; * New lens materials could be developed providing Cartier with an avenue to market specific models and designs to specific age groups; * The advances made in optical science could be reflected in modernised shopfittings, tailored to the 'expectations' of the

  1. Get the best out of B2C.

    If they are looking for a price range of an item, they can easily find the brand that provides the best overall quality of that item. In consumer surveys, respondents have cited additional reasons for shopping online, including the ability to buy from non-local merchants and shopping without sales pressure.O5" Company Brief TigerDirect Inc (a subsidiary of Systemax Inc.

  2. What is the best advertising technique for Andy Metcalfe Master Kitchen and Cabinets to ...

    Andy Metcalfe also builds kitchens and cabinets from scratch, and fits them. Giving the customer the option to have a hand built kitchen and cabinets or buy them from a high street company and Andy will fit them, or Andy has a catalogue from his suppliers for which a customer

  1. Strategies for the twenty-first century A period of uncertainty.

    The accelerating switch to e-commerce and online ticket sales will also create market instability. The Internet will give customers instantaneous and easy access to airline price and service data thereby enhancing consumers' market power. This will aggravate the downward pressure on tariffs and fares.

  2. Cadburys has many famous chocolate products which it has a variety of advertising campaigns ...

    For example in 1989 Cadbury acquired bassets adding an extensive range of products to Cadburys line such as the famous jelly babies. In 1960 Cadbury bought Pascalls who produced the famous Chocolate �clairs now one of Cadburys major assets. From starting as a single grocery shop Cadbury has expanded greatly

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work