Niche dominance and product/service differentiation.

Niche dominance and product/service differentiation are marketing strategies that help company achieve a competitive advantages. Differentiation might be in terms of price, customers, distribution, location, something unique, different from others and special. There are so many companies that become a very successful, because they develop and follow this type of strategies. For example, Whole Foods Market,Inc. is a largest organic food store in the U.S. that target health-conscious customers. This supermarket is a different from others, because sells natural products. Who knew in 1980 when this store opened that would be a such success? But because of the product differentiation the store is so popular and always busy. Another example in terms of price and service differentiation is the Ritz-Carlton Hotel Company which known as a luxury hotel all over the world. This is a five star hotel offers to wealthy customers the best hotel accommodations and unforgettable experience. Customers are willing to pay top money for exclusive service and royal treatment.

In terms of niche dominance there is an example of Williams-Sonoma store which carries a different home items like furnishing, cooking and operates through retail stores, catalogs and Internet. This store achieve niche dominance by being a specialty home retailer in the U.S. and by giving customers a shopping experience that they can't get somewhere else. Another example of a clothing retailer BEBE stores, Inc. which also have a niche dominanance by targeting fit young females (16-35) years old.

Porter's five forces model:

It's important to understand structure of any businesses before entering the market. Five forces model , in my opinion, an important factor in analyzing industry in strategic processes. I want to determine how attractive or not the boat and watercraft's industry is. First I have to look at barriers to entry: to enter this type of business is going to be a difficult for a new company because of a couple reasons, 1)there are so many establishing businesses for a long time, 2) there is a high initial investment cost involve because of an inventory, service, tools, overhead and 3) there is a selling commitment, company have to sell a certain amount of boats, jet ski and other things in order to be profitable and to keep their dealership. Second factor is a degree of rivalry among existing firms: this is a competitive business and prices can be a very different from one dealership to another, sometimes a company have to sell below normal margin in order to get rid of inventory. Third, bargaining power of suppliers are high, because the market is dominated by a few large suppliers and they have a total control of the cost, how many units and to whom to sell . Forth factor is a bargaining power of buyers. I would say that buyers have a medium power; when customers, for example, want to purchase a boat it is more convenient for them to go to the nearest dealership because of the territorial restrictions , however, when customers need jet ski or other things they are not loyal and they like to shop around. Fifth, closeness of substitute products : there is no substitute for a particular products, so threat of substitutes is low. Based on my analyses, I can say that this type of industry is unattractive .

"Our Mission:The mission of our sales staff is to be different. Unlike other dealerships, our sales agenda is designed to build relationships first and sell product second.Our qualified staff is trained to work with each and every customer with the same, passive, demeanor and ensure that they are properly informed of all options before making the right purchase.To Jet Ski of Miami, a purchase is more then a sale, it is the start of a relationship.
The mission of our service staff is to not only meet, but to exceed all of your boating expectations. Our staff is schooled to utilize a combination of efficiency, customer concern, and attention to detail in order to keep our top priority at the forefront of our service agenda, keeping your vessel safely on the water and not in our service bays.This is the goal of Jet Ski of Miami and Fisherman’s Boat Group." In my opinion this is a good example of a clear and meaningful mission statement. The company shows concern more for customers rather than for products, their sales people want first to establish relationship with customers by helping them to make a right purchase . It also states that the company top priority is a safety of their customers on the water. The mission statement tells us that this company provides the best service for their customers in efficient way.

I am a senior at Baruch College. My major is finance. I have been in United States for almost ten years. I am originally from Estonia. I like ocean, sun and warm weather. It is nice to get away from cold days in New York to Florida or San Juan in Puerto Rico. I also enjoy spending some time with my family, back in my country, because I don't have chance to see them often. My favorite cuisine is Japanese, I like sushi very much.