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Master of Business Administration, Strategic Management and Time Constrained Assignment.

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With reference to the information in the LG’s Growth Strategy Against Arch- Rivals in the Indian Mobile Phone Industry case study (and other relevant sources) answer the following questions. 1. With reference to the Indian operating environment, describe, discuss and apply some appropriate analytical frameworks that a mobile phone manufacturer might use to evaluate the potential of a new market. In your answer, you should identify any limitations of the analysis methods you select. (40 marks) 2. Discuss the advantages and disadvantages of LG Group’s growth strategies in India. Wh...

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Question Preview:

With reference to the information in the LG’s Growth Strategy Against Arch- Rivals in the Indian Mobile Phone Industry case study (and other relevant sources) answer the following questions. 1. With reference to the Indian operating environment, describe, discuss and apply some appropriate analytical frameworks that a mobile phone manufacturer might use to evaluate the potential of a new market. In your answer, you should identify any limitations of the analysis methods you select. (40 marks) 2. Discuss the advantages and disadvantages of LG Group’s growth strategies in India. What do you conclude? (20 marks) 3. Identify LG Group’s core competences. Critically evaluate how the organisation can exploit these competences to achieve sustainable competitive advantage. (20 marks) 4. Describe and discuss how LG Group can manage the cultural issues that may result from being a multinational conglomerate.

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With reference to the Indian operating environment, describe, discuss and apply some appropriate analytical frameworks that a mobile phone manufacturer might use to evaluate the potential of a new market. In your answer, you should identify any limitations of the analysis methods you select.

India is quite an attractive market for mobile phones. The country already experiences high mobile phones penetration. This diffusion has shown an auxiliary increase with the triumph of smartphones in the industry. Various kinds of smartphones are obtainable ranging in a variety of price segments, thus enabling the majority faction of population possess it. Since India is a country that can be called as youth-centric, recently, there has been a heave in ownership of Android smartphones (Mobile Phones in India, 2013)

The sales in India of mobile handset demonstrated a growth of 20.8 per cent which represents 221.6 million handset units in the year 2012. A lot of credit for this exponential growth goes to the handsets in the smartphone category. The sale of handset in India was at 183.4 million in year 2011, as advised after a study by CyberMedia Research (CMR).

The sale of featured phones sales demonstrated a growth of 19.9 per cent which brought the total number of units to 206.4 million in 2012 from 172.2 million in 2011. Even though,there is a lot of hype created about the sale and market for the smartphones, the Indian market for  mobile handset still subjugated by feature phones shipments. Alternatively even the shipment of smartphones to India is showing rapid growth, as stated by CMR Lead Analyst (Telecoms Practice), Faisal Kawoosa.

All of this signifies that India, as of now is a 'new phone' market. In this type of market, the contribution of featured phones to the immensity of shipments is quite high as compared with the percentage of upgrades or replacements required.

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