Competitive Strategy in Lighthouse Article Example | Topics and Well Written Essays - 4000 words

Competitive Strategy in Lighthouse - Article Example The analyses highlighted that the hybrid competitive strategy was the most appropriate strategy to follow, and recommendations were made to work closely with other key players in the industry if it was to become a dominant force. Lighthouse is a mobile phone marketing company that seeks to address the needs of advertisers seeking to increase their response rates in the ever more lucrative yet increasingly more competitive task of customer acquisition and retention. Lighthouse will enable subscribers in the region to access government services, maps, directions, tourist attractions and tips, restaurants, museums, entertainment events, news and stock prices from their wireless devices. This enables the local population and tourists alike to utilize technology to enhance the service needs. This technology is also particularly beneficial to the local population, as ownership of devices such as personal computers is low but that of mobile devices is high. This means that the services which the internet offers to other parts of the world are not easily accessible or widely available in the UAE. By providing this service on a mobile device, Lighthouse is making the internet available in the first instance, and it i s removing the need to go to a fixed location to access this information. Lighthouse's target market is primarily based in the United Arab Emirates (UAE) which is considered to have a customer base of 10-15% of the 4.5 million local mobile users. In addition to this, the UAE is a popular tourist destination with approximately 7 million tourists annually, who represent a potential market, especially for tourist related services (Business Plan - appendix I). Therefore the objectives of Lighthouse are to build a platform that enables better response rates to their marketing campaigns, to create a management system and secure funding to expand the business. It is clear that Lighthouse intend to be a dominant force in the market, but in order to do this, it is necessary to conduct a full environmental analysis, so as to determine their options for growth and expansion. External Analysis of Lighthouse An analysis of the external environment helps an organization to understand the environment they currently operate in and how it can change (Johnson and Scholes 1993). An understanding of the environment enables an organization to develop strategies that will ensure their survival within the market place. For instance, Lighthouse is going to clearly take advantage of the tourist numbers; however they also need to consider current external factors that will contribute to the reduction of tourist numbers and subscribers. Likewise, Lighthouse is also capitalizing on the low distribution of personal computers for internet access, another factor which could change in the near future. An analysis of the external environmental is known as a PESTLE analysis and this involves analyzing the political, economic and competitive, social and cultural, technological, legal and environmental/institutional factors that affect an organization (Johnson and Scho