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Cartwright Lumber Co Generic Strategy Case Study Help


Cartwright Lumber Co Generic Strategy Generic Strategy Case Study HelpIn this area we would be examining the generic strategies that have been utilized by Cartwright Lumber Co Generic Strategy to highlight locations which can be targeted for highlighting a competitive edge that can cause a sustainable growth strategy for Cartwright Lumber Co Generic Strategy.

Focus Strategy: Niche Marketing

We have discussed 3 possible options for Cartwright Lumber Co Generic Strategy which can be pursued in terms of niche marketing. Prior to we look at these alternatives, a conversation concerning why Cartwright Lumber Co Generic Strategy requires an alternative profits growth design is shared listed below.

We have currently discussed how Cartwright Lumber Co Generic Strategy has three profits sources including its theatre operations, movie distribution and system leasing. As we take a look at the earnings statements for 2004 to 2007, we can observe disparity in regards to success and growth in revenues. A fall in earnings especially in 2006 and 2007 recommends that the business requires to concentrate on locations of growth which can promise consistency in income development and profitability.

As we explore each of the revenue sources for Cartwright Lumber Co Generic Strategy, we can see how the system-leasing organisation of Cartwright Lumber Co Generic Strategy has reliance on the growth of theatres and even then there is a limitation in terms of the number of theatres that can be opened up.

As far as the theatre operations are worried, incomes from this source depend on the number of theatres that Cartwright Lumber Co Generic Strategy operates. In addition to that, broadening the variety of theatres might cause high capital expenses for Cartwright Lumber Co Generic Strategy where the possibility of further overheads in the form of interest payments on loans for capital expense may result in lower net profitability.

Franchises or Alliances:

We have actually currently talked about the financial obligation to properties, liquidity and profitability of the company in the ratio analysis done earlier to evaluate the internal monetary position of Cartwright Lumber Co Generic Strategy which would offer more clarity regarding the reality that increasing the long term liability is not a possible option for growth. One possible alternative that can be examined further is to offer franchises of Cartwright Lumber Co Generic Strategy or to have alliances with other business which can promote growth with very little capital expenditure.

Documentaries:

We can see how there is a higher orientation towards producing documentary films if we check out Cartwright Lumber Co Generic Strategy position in its movie circulation company. This does guarantee blood circulation Hollywood movies which might lose their effect after the initial launch period, the truth still remains that documentaries do not guarantee earnings development specifically as the market share for these documentaries is restricted to the same section. While Hollywood movies are made in various genre, they also offer the possibility of creating high profits within the preliminary days of screening. Focusing on documentaries in terms of expanding the movie circulation organisation suggests restricting the number of releases to a couple of documentaries that may not be drawing in more than the present audience. This highlights the fact that in order to bring in a greater number of audiences to Cartwright Lumber Co Generic Strategy theatres, it is necessary to increase the variety of movies that are launched under Cartwright Lumber Co Generic Strategy name.