Dow Chemical Essay -- GCSE Business Marketing Coursework

Dow chemicTopic Dow ChemicalsI inflexible to construct my essay on Dow Chemicals (DC) Company after reading an member in Business Week. Dow Chemical appears to be developing an aggressive martplace strategy that aligns with our class topics, and that I have found very interesting. Dow Chemical (DC) company, over the last seven years has built their strategy round and focused on their niche, which is core chemicals & plastics-manufacturing operations, while simultaneously decrease infrastructure debt, expanding its market share, and apparently building immature strategic alliances. consort to Dow Chemical CEO William Stavropoulos, The mission and goals of Dow Chemical company is to be a world leader in chemical and plastics manufacturing by developing new customer demand product lines and expanding long-term profitability through and through planetary market expansion in such global markets as atomic number 63 and Asia. If Dow Chemicals authenticly owned assets did not alig n with and support this mission strategy, they were divested. Dow Chemicals has demonstrate this by selling off more than $10 trillion in business assets, while at the same time adding $10 billion in new business that support their new strategy, and the strategic appurtenance of the Union Carbide Company.To develop Dow Chemicals new strategy, which is to say to develop a belligerent advantage within their selected market, Dow Chemical appears to have thoroughly examined their role in the macroenvironment, which also encompasses the political/legal, technological, demographic, social, and macroenvironments elements. In analyzing their macroenvironment they would have considered such items as the current economy interest rates, currency exchange rates, and inflation rates, which could shock the customer demand for their products, as well as acting on early(a) environmental factors such asa) Technology Through their advanced look for and development of unique and new innovative products, they easily heighten the of barriers to initiation for competitors.b) Social Performing research on current and future trends for healthy and safer products.c) Demographic Considered the age and education levels of surrounding manufacturing plants. Skilled workers directly impact production capacity.d) Political & legal What rules and regulations are in place, what is the state of the governm... ...a) electric potential competitors This area represents a threat to profitability, which can be combated by rearing the barriers to entry/exit costs, brand loyalty, absolute cost advantages, economies of scale, and possibly through the development of superior reputation influence and enjoy protection from local governments.b) Rivalry Monitor the competitive structure of the consolidated industry, which could affect market share, and even start price wars, which could be costly. Monitor demand trends, which could recall for market expansion or retra ction, and finally monitor exit barriers, which be a deterrent for potential entrants. c) Power of Buyers Monitor provider industries, when in that location are many suppliers, buyers can dominate a bargaining position, and thereby generate cost savings. Consolidate purchases with Union Carbide to maximize a feature buying power position.d) Power of Suppliers Monitor supplier markets for new supplier entrants or potential fit substitutes.e) Substitute products Monitor the market for suitable substitutes for your manufactured product, which could negatively impact your market share.