Introduction
Research In Motion is well known for its stiff competition in the market. The competition of RIM is widely based on the active collection of the competitor’s information, and making good use of that information to predict the possible competitor’s behavior. In their research, they spot the competitors to compete with, their strategies, and how they can benefit from influencing the behaviors of the competitors. This research paper will be focusing deeply on the competitive analysis of RIM on the basis of research and development, production, marketing, and finance.
The research in motion is currently facing stiff competition from several suppliers than any other time in its business operations. Some competitors have been small niche vendors, but RIM is competing with large global companies like Nokia and Motorola (Sweeny, 2009). Rim stands at a very competitive edge as it is a provider of hardware and software, this aspect affects its competitors a great deal especially Nokia and Motorola. The business model of RIM acts as its strong weapon against the competition. Instead of resellers charging an annual fee, they charge maintenance and support fees are included in the subscription.
Rim has software that is well designed and a very powerful brand. Nokias competitiveness is enhanced by its complexity with well-designed compatibility (Brett, 2007). Nokia has an opportunity for fast growth in several markets such as China. The technological expertise has placed Motorola Company in a competitive edge through the production of specialized and standard parts at a lowered cost. As well Motorola Company has a well-designed system for developing new applications. Motorola should aim at going beyond the capabilities of Nokia and RIM. For RIM to be placed well in competition, its competing strategies should be modified to maintain its position in the market, and venture into other new markets.
The third quarter of the 2009 business year or RIM has a report of a profit rise of $628.4 million which is the same as $1.10 per share (Brett, 2007). During the previous period, the profits were $396.3 million just as the same as 69 cents per share. Research In Motion has a market share of 44% currently.
Research in motion is the leading manufacturer globally for the mobile communications market especially the wireless solutions (Sweeny, 2009). Through this famous designer, RIM has managed to compete fully with the developed incorporated hardware and software that maintains network standards. Through the RIM technology, the accessibility of several solutions concerning email, phone conversation, SMS, and intranet are solved as quickly as possible in the BlackBerry company.
Research and development of BlackBerry Company
The marketing of BlackBerry products is done globally. The research in Motion Company has contributed much to marketing. This Canadian company has been launching its services through BlackBerry products like in 1999 which was done targeting professional users (Brett, 2007). This resulted in an increased sale by the year 2001 of almost 50000 units. During the 2000s information technology recession, the sales of BlackBerry products still stood high at a very competitive position. The positioning of the BlackBerry products in the market has been done very strategically by making the products available at the right place and time to the targeted customers. The distribution channels of the BlackBerry products have developed from the evangelistic early phase ways to more advanced methods which are financially driven programs.
Production in the company
The research on the production of the BlackBerry storm has revealed that it’s costly leading to the high price of these phones. These phones are demanded in large quantities leading to economies of scale in production (Keillor, 2007). This company has benefited from the economies of scale to reduce the production cost hence becoming more competitive in the market. The established strong financial base of the company has also done great in making the company more outstanding. Any manufacturing company with a weak financial base relies on the borrowed money which leads to the products being sold at a high price to cover up the interests on loans.
Conclusion
In conclusion, the BlackBerry products have been very competitive in the market as the company has already entered a market, and exploited the opportunities available (Keillor, 2007). For instance, the company has already had an opportunity of brand loyalty, and leading-edge radio technology. Once they entered the market their famous product BlackBerry served as their first product and gained the company much reputation. The company has an opportunity to serve its customers with its great products with advanced technology (Keillor, 2007). A lot of features in BlackBerry tend to fulfill the customer’s needs making this product to outstand among others. The major strength of RIM which has enabled it to stand competitively is the fact that RIM has been in a good relationship with other community software, industrial support, and discussion debates with its developer zone.
References
Keillor, D.B. (2007). Marketing in the 21st Century: Company and customer relations, ISBN 0275992756, 9780275992750. Greenwood Publishing Group.
Sweeny, A. (2009). BlackBerry Planet: The Story of Research in Motion and the Little Device That Took the World by Storm, ISBN0470159405, 9780470159408. John Wiley and Sons.
Brett, J.M. (2007). Negotiating globally: how to negotiate deals, resolve disputes, and make decisions across cultural boundaries, (2nd ed) ISBN0787988367, 9780787988364. John Wiley and Sons. Web.