business strategy

     

Porters Five Forces

Rivalry- High Forces

As a Manufacturing  company Emerson has a long list of competitors in the industry . Some of Emerson's biggest rivals are companies such as Honeywell, Roper Technologies, Eaton, ABB and Schneider electric are the biggest two out of all  competitors. Emerson does pretty well in the industry I would say they are one of the leaders in the industry. Emerson has purchased some of its small competitors in the recent years for financial gain and to become an even bigger of an organization such as companies named Dixell which is based in Belluno Italy and Cooper Atkins in Middlefield Ct.

Threat of Substitutions -Medium 

Emerson Deliver's a good product but with the change of technology always evolving some of the temperature products and climate products are a little behind the times. Emerson product called the E2 is climate based control system used by companies such as Dollar General , Walmart, and Publix grocery is a design they have used since about they early 2000's . The E3 is on the way a all touch screen based control. Something like this it seems like a little behind because touch screen tech has been in society for some years now. Emerson Customer service is one thing that keeps them from being substituted customer satisfaction is top tier with Emerson. Emerson Commercial and Residential side has a slogan from the farm to the fork which speaks to how the company values on delivery a quality product to its customers.

Bargaining Power of Supplier - High  

Emerson Supply chain is a vital part of the business, so the purchase of raw materials for its many products is crucial. No suppliers no raw materials means no business so maintaining that relationship with suppliers it has had for years plays a huge role. A lot of the items Emerson makes require these raw materials so the suppliers bargaining power is high. Building a strong supply chain with a few suppliers would give the power of supplier would lesson because it would create more competition between the ranks. 

Bargaining Power of Buyer -High

In a competitive industry the buyers needs is going to be very crucial and ever changing. Customer service and making sure the customer is getting the products it wants and getting the support and monitoring of that product. Emerson's biggest buyers are amazon and Walmart it has a lot of smaller buyers. For Emerson to remain successful it has to maintain the relationships of huge companies like amazon and Walmart and focus on the customer service factor and deliver quality products. Emerson needs to stay ahead of the game and keep innovating products and keep growing.  

Threat of New Entrants- Low to medium

 In a Industry in which technology is always changing there is always a chance of a entrants . Whose prices is going to be cheaper or they are going to always be competition. Emerson service based approach keeps them ahead of competitors. They really focus on what the customer wants and design each product for a customer specific need.

Competitive Strategy 

Emerson's Competitive Strategy is based on three factors Planning, Profit , Perfect Execution

using these three things keep the company ahead of the game all these things make up a successful company. Emerson takes pride in its business and performance that's why it's one of the industry's leaders in what it does. Emerson builds its success on a solid list of products and a even profit stream. Emerson is a well known name with some top products such as sensi and insinkerator. Engineering is key to Emerson success and they field some of the best. Even though Emerson has it's flaws its widely considered a monopoly they way it dominants and is starting to buy smaller companies and combining them into Emerson.