Canon Report
Essay Preview: Canon Report
Report this essay
MK 3006C – Advertising
Assignment 1 – 6,500 words
Table of Contents
Introduction:
Situational Analysis:
PEST Analysis:
Changes in the needs and want of the customers:
Analysis of the competitors:
Customer Analysis:
Internal Analysis:
SWOT Analysis:
Implementation of the advertising plan:
Goals And Objectives:
Segmentation and Targeting:
Advertising Strategy:
Media Solutions:
Creative Ideas:
Conclusion:
Bibliography:
Introduction:
In todays world, consumers or the market has known Canon for manufacturing electronic goods such as cameras, printers, photocopiers, camcorders, scanners, and lenses or optical products (Canon Inc., 2011 / 2012) (DataMonitor, 2010).
Canon is one of the leading organisations in the world operating in Japan, Australia, China, US, and Europe. However, Canon is a Japanese company and its main headquarters is located in Tokyo, and it has 169,879 employees working for it (DataMonitor, 2010).
The company was first named “Kwanon” after a Buddhist named Bodhisattva Guan Yin (the Buddhist Goddess of Mercy), which meant Kannon in Japanese (Cannon Inc., 2012). The company was established on 10th August 1937. As the organisation was going global, the company had changed its name from “Kanon” to what the world knows today “Canon” (Canon Inc , 2012).
According to research, Canon Incorporation had net sales in 2011 of ¥ 916.9 Billion, which is approximately $11,908 Million (Canon Inc., 2012). Canons main target markets are consumers, business and industries (DataMonitor, 2010).P such as printers, cameras, photocopiers, and optical products are mainly targeted at other businesses and industries. However, products such as cameras, camcorders, interchangeable lenses, domestic printers, and scanners are aimed at t individual consumers (DataMonitor, 2010).
Situational Analysis:
Situational analysis is a systematic assessment of the PEST (political, economic, social, and technological) and SWOT (strengths, weaknesses, opportunities and threats) of the organization. This analysis helps to identify internal and external forces that may affect the performance of the company and their strategic choices (Oxford Dictionary of Business and Mangement, 2006).
PEST Analysis:
The PEST analysis is used for all the events that happen outside the business, in which the firm has no control over (Oxford Dictionary of Business and Mangement, 2006). The term PEST stands for, Political, Economic, Social, Technological. When analysing these factors, it could help the organisation to identify the problems or threats that they may be facing. This would then allow them to plan consequently and enhance themselves in the situation which they are in.
Political:
Political factors have a major impact on an organisations performance. Political factors could affect the purchasing power of consumers and other organisations, as well as the company itself (Canon in this case). Organisations should consider issues such as the stability of the political environment, and what are the different government regulations in each country, which have major influence on the policies that regulate businesses or how much the tax is fluctuating, what are the governments protocols of marketing, what changes are taking place in the political sector or the government itself, data protection regulations, and health and safety regulation issues. The following can influence political conditions of a country:
Strong democratic setup with stable government
Effective microeconomic policies
Governmental laws on tax, ethics of marketing, data protection, health and safety.
Terrorism
Political conditions are quite stable in the UK. However, with economies still suffering from the after affects of the recession, people have lost confidence as government has increased VAT and therefore consumers are spending money very carefully. The EU provides favourable conditions for businesses to operate across EU nations (Mintel, 2012).
Economic:
The economic factors that could affect the firm economically mainly include interest rates and exchange rates. According to Morris, it is evident that Canon could be vulnerable to financial crisis. This is due to the weakening of the euro, which could result in fall of profits in Europe. However, the loss could be compensated from abroad due to strengthening of the dollar (Morris, 2011). Thus economic factors affecting businesses are:
Strong distribution channels
Euro crisis could lead to low consumer confidence
Interests rates and Exchange rates
Recognize the current economic climate and take advantage of it.
Thus UKs currency depreciating and the economy suffering from a budget deficit are not very healthy conditions for businesses. However, the UK market has a number of opportunities also. UK being the second largest nation in the EU, free trade and strong distribution channel network across the nation enables firms to expand their business rapidly (Mintel, 2012).
Social:
The Social factor is one of the most vital factors of the PEST analysis, as the consumer taste for a particular product (camera) may differ over a period of time. This is simply due to the fact that consumers want to take pictures with more of an ease, and would like cameras