The company you work for has merely woken up. smelled the java. and realized the possible impact of riotous invention on its scheme and its ultimate endurance. In peculiar. your company wishes to avoid Research in Motion ( RIM ) ’s destiny in the smartphone devices and nomadic operating package systems markets. As portion of your company’s reappraisal of its current state of affairs. you have been tasked with supplying an overview and drumhead analysis of RIM’s organisational scheme during those critical old ages when RIM went from dominant market leader to little more than an inconsequential participant in the smartphone devices and nomadic operating package systems markets. Your analysis should concentrate on the constructs from Chapter 5—e. g. . competitory advantage. strategy-making procedure. SWOT analysis. corporate. industry and firm-level schemes. Porter’s five industry forces. etc. Your analysis besides should include.
An rating of RIM’s direction ( or miss thereof ) of technological invention. including whether. and how. Clayton Christensen’s construct of “disruptive innovation” impacted RIM ( Ch. 6 ) ; A comparing to other companies who either unsuccessfully managed a potentially riotous invention ( e. g. . Blockbuster ) . or successfully managed a potentially riotous invention ( e. g. . Netflix ) .
Mr. Thorsten Heins.
As portion of Research In Motion’s corporate squad. I have been reexamining our company history to supply an overview and analysis of our current state of affairs and explicate why we have stoping up on the low terminal of the market place. Looking a spot deeper into our yesteryear as a company. it is without a uncertainty we began strong. Right off the chiropteran we obtained a competitory advantage by offering a valuable resource to consumers to better efficiency and effectivity sing their nomadic communicating demands. Our first invention of the RIM 900 [ electronic mail protected ]Pager win in the market to a pleasing extent and showed us ways to better on our failings with new merchandises. We used the advanced thought to give people a manner to take their electronic mail on the spell by presenting the BlackBerry. We so gained adequate power to put us apart from the remainder of our rivals. The job here was. while we momently obtained a competitory advantage. our product’s resources were non rare. they were imitable and they were substitutable.
This gave our rivals the opportunity to double and better upon our merchandise. Our scheme devising determinations besides lacked strength to keep our function as a market leader. We lacked competitory inactiveness. After the debut of the BlackBerry to the market. we didn’t better upon our competitory patterns. Portfolio diverseness and alternate designs would hold been cardinal. We merely believed our one merchandise would maintain us as the favorite of the nomadic market. Leading us to a situational SWOT analysis. we have a few strengths and failings. Our strengths included developing newer versions of our BlackBerry device. but we lacked environmental scanning of our external environment. While we were busy basking our dominant design. our strategic group dwelling of Apple. Microsoft. and Google were going menaces. In the hereafter this allowed us to fall behind and lose our typical competency. It is possible we should hold taken on a hazard seeking scheme to make and widen our competitory advantage. Alternatively we avoided hazard and relied on our individual wining merchandise. Looking at our corporate degree schemes. we lacked variegation as antecedently stated.
RIM merely relied on the BlackBerry for success while companies like Apple relied on multiple merchandises like the IPhone. IMac and IPod. Acquisition of another company could hold made us stronger comparable to the manner Google acquired Android doing them the market portion leader. We besides lacked the usage of expansive schemes while our rivals used growing schemes to better their overall success. In respects to our industry schemes. we underestimated the character of the competition our rivals possessed. the menace to new entrants. the menace to replacements and the bargaining power they could derive with providers. While our rivals adopted cost leading and distinction schemes. we remained the same in our placement schemes. We remained guardians of our patterns and our competitory prospectors overtook us in the market. On a steadfast degree. strong market commonalty and resource similarity put us in a topographic point for direct competition that we distinctively overlooked.
Because we started out strong with originative and advanced designs in the nomadic market. there was a opportunity we could hold kept our dominant design. However. we lacked direction of technological invention because we did non maintain up with the technological rhythm by “birthing” new engineering. We needed an invention watercourse to protect our company from rivals. Alternatively. technological discontinuity came into drama ; discontinuous alteration overtook us with design competition and our dominant design fell behind. We fell into a technological lockout when companies like apple advanced their engineering to touch screens and Google used speech-to-text characteristics. We kept utilizing our trackballs and keyboards. Incremental alteration merely kept feeding our rivals betterment while we lagged.
Last. in respects to riotous invention. we produced a merchandise that was excessively sophisticated excessively fast. Peoples weren’t ready for the BlackBerry when it foremost came out doing it to be excessively complicated for many consumers in the market. Yes. we win at first because we got sophisticated consumers at the top of the market on board. i. e. big houses and medical professionals. However. this opened the door for riotous inventions because we did non run into the demands of the lower part of the market and new rivals emerged to carry through them. In bend. we lost our interest in the market. This is similar to what happened to Blockbuster when Netflix entered the market. Blockbuster sustained a competitory advantage in the film rental industry maintaining other film shops from come ining the market.
However. they failed to market to the niche that didn’t enjoy driving to and from the film shop for leases merely as RIM failed to market to the less technologically sophisticated consumers. This is when Netflix took over. They made it easy for people to lease films at any clip with the easiness of Internet lease. Blockbuster was caught off guard by this invention merely as RIM’s rivals caught us off guard. With Netflix’s acceptance of the bing resource of film lease. but with greater invention they became the market leaders and created a new barrier to come in the film rental industry. While Blockbuster once had a barrier to entry. merely as RIM did with the BlackBerry. invention that exceeded their ain crush them to failure with riotous invention.
After this thorough analysis. I suggest we find a new manner to travel frontward. Adopting more advanced designs with a consistent advanced steam will assist RIM maintain up with the technological rhythm. We should make this all while keeping competitory inactiveness. carry oning environmental scanning. diversifying our company and taking more of a prospector strategic attack.