Janelle Si's Blog

“Walmart has rolled back its rollbacks”.

Walmart introduced this strategy that if they reduce their prices even less than its low price to overwhelm costumer, it will increase their revenue in the long-run because new and old customers will keep shopping in Walmart. However, their strategy seems to backfired at them. Customers will definitely shop in Walmart during the rollbacks but as soon as prices goes high, they run. Along with the rollbacks, the strategy also includes lessening the variety to make room in the Walmart. Apparently, customers like variety and this contributes to their problem.

Strategy or Tactic? Walmart may be thinking in long term but the outcome seems to be only short term.  It is wise of them to terminate this strategy before it could harm the business more. Market demand is almost always unpredictable. Their reaction to their failure and acting to correct it is what makes them successful in the end. They took a risk and ran a trial run – that doesn’t mean it is bad strategy if they fail. They learn lessons from their failures and from that acquired knowledge, they could develop another better strategy for their company.

http://news.yahoo.com/s/time/20101013/us_time/08599202385700#mwpphu-container

Rogers pays $425M for Atria Networks. Atria Network is known for having its own network and establishing an fibre-optic connectivity in a business building setting in Ontario. It delivers thousands of buildings wired up in one high-speed internet network. This isn’t the first time Rogers bought a fibre-optic network business. Earlier this year. Rogers bought Blink Communication in a smaller transaction.

These acquisitions may not be because of adding to  profitability considering that Rogers revenue is about $11.7B and Atria Network only has $70M. We can call this a Rogers business strategy in gradually acquiring this kinds of businesses whether they are small or medium-sized business. As the biggest wireless company (Toronto-based), this isn’t a surprise as a business expansion. Rogers already has service for high-speed internet for data and now, they are expanding to more of a business buildings especially in Ontario. I would believe that they have this strategy for future purposes. First in Ontario, but as businesses gets larger, internet network in buildings is much more a necessity. We can expect Rogers to plan to expand in this kind of business in the years to come.

http://www.bnn.ca/News/2010/10/6/Rogers-pays-425M-for-Atria-Networks.aspx

For more than three years, Apple only uses AT&T network for its iphone 4’s. Now because  of the growing momentum of the Android smartphones, Apple finally decides to offer iphones in Verizon. Android smartphones now have greater share in smartphone market than the Apple iphones. This will put a serious threat to the iphones which have the largest percent of Apple’s revenue. Although it will be a long process for this move to be successful because Verizon uses a different network technology, Verizon iphone 4 will still create an impact to the Apple’s share in the market. Surveys show that Verizon customers who bought an Android phone could have bought iphone 4 instead if they have one.

This is a great idea for Apple but they should have done it sooner. The current growing status of Android phones now will be difficult to slow down. Apple should have predict such changes in the market with this new technology. If they put iphone 4 in Verizon sooner, then more consumers will be using an iphone 4 today instead of Android phone. If less people are using Android phone, then it will be easier for Apple to dominate the market (excluding the Blackberry users).

http://www.nytimes.com/2010/10/09/technology/09phone.html?_r=1&ref=business

We all know that Toyota Prius is the best-selling hybrid in the United States and Canada. However, sales has been flat due to huge numbers of recalls. Now, Toyota is planning to roll out two new new cars under the Prius name by next year – one smaller and one larger.  Also, Toyota will introduce a plug-in version of Prius that can run 30 miles in one charge.

Now, Honda has their own hybrid, known as Honda Fit (Jazz), but it is only currently available in Japan. On the other hand, Nissan Leaf is a plug-in small car which is also new in the market.

I believe Toyota has a strategy here in introducing their Prius family name, first known to be hybrid, but will create a new plug-in version to keep up in the market. Because of the strong competition with other car  manufacturer, Toyota will still climb up the market with the same Prius name like the years before. Prius will have more variety for consumers to choose from. With the new entry of plug-in automobile in the market, we’ll see in the near future who wins the larger share.

Toyota Prius 2012

http://news.yahoo.com/s/ap/20101008/ap_on_bi_ge/us_toyota_prius;_ylt=Au2QF1A5k9EMFVpKaMldceKyBhIF;_ylu=X3oDMTJsdXBkODRxBGFzc2V0A2FwLzIwMTAxMDA4L3VzX3RveW90YV9wcml1cwRwb3MDMTQEc2VjA3luX2FydGljbGVfc3VtbWFyeV9saXN0BHNsawN0b3lvdGF0b3JvbGw-

READY? a handheld gaming device with 3D vision without even wearing a 3D glasses. Talk about positioning a new subcategory of a newish category. Not a long ago, we were introduced with a 3D gaming experience in a computer. Now, the 3DS comes with not just 3D gaming experience, it also includes:

– 2 screens ( 3D and  touch screen for stylus)

– 2 cameras which take 3D photos

– augmented reality games (fyi, soo cool! must see)

– charging cradle and metallic stylus

– some same features that comes with the previous DS

Moving on, the greatest competitor of Nintendo’s handheld devices is now the Apple with its iphone, itouch, and ipad. Because of the unbeatable touch screen technology of apple, games popularity are still increasing. More consumers are facing towards apple gaming, or to android powered smartphones.

On the other hand, Sony and Microsoft also have market share in gaming consoles or devices. They are also introducing motion-sensing controllers similar to wii.

Sony’s point of difference will be the perfect computer graphics and precision gamers love. As for Nintendo, they focus more on simplification of gaming controls and development of casual games like Brain Age.

ETA: March 2011

Price: ~$300

3DS blog: http://nintendo3dsblog.com/

http://www.cnbc.com/id/39420812

Surfing through the internet or instant messages popping up on your screen , you may have encountered the offers of free trial of acai berry supplements. YES, it is a scam!! The good news is an American company has been shut down after 3-years of scamming over 1 million internet users in buying their so-called “Free trial”  products. Unwanted monthly bill charges are soon appearing on their credit card bill after purchasing this product –  so much for “free trial”.

http://www.cbc.ca/consumer/story/2010/08/16/con-acai-internet-marketing.html

The company has been marketing their product through false results and fake endorsements by Oprah Winfrey and Rachel Ray. Moreover, the website includes some scientific babbles that apparently is not part of genuine scientific evidence. These kinds of marketing obviously violate the basis of ethics in business. In result, people who has no prior knowledge about the new scam will try to avail the company’s products especially since the word “free” is probably the biggest font in their checkout page. I believe that the way the company lie to the customers about their products is unjust and the only reason why they do it is because of the loopholes and the chances of not getting caught in cyber crimes nowadays.

They don't even look like the same person!

Therefore, people should gain awareness of these kinds of companies that don’t even respect the basic ethics in business.

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