Research on the Long Tail Global Market Service Strategy of Industrial PC – Case Study of Company A

• Main Authors: Wen-ChunPeng, 彭文駿
• Other Authors: Ming-Long Wang
• Format: Others
• Language: zh-TW
• Published: 2014
• Online Access: http://ndltd.ncl.edu.tw/handle/6b2644

碩士 === 國立成功大學 === 高階管理碩士在職專班(EMBA) === 102 === SUMMARY In the past, businesses used the 80/20 rule to take care customers: the most important business is those with the big customers, the top 20 percent. However, the long tail theory believes taking care of those eighty percent of the market, the small customers, could add together to be a big market; it is an important direction for future strategy thinking. This research is based on the long tail theory, and users the three forces described in the theory and nine basic principles as the research model. The service strategy of the leading IPC company A is analyzed in the three areas: technical, business, and marketing Keywords: long tail theory; the 80/20 rule; industrial computers. INTRODUCTION After the 2008 financial crisis, the global economy has been returning to normal in recent years. As the internet technology begins to mature, cloud Computing, 4G LTE smartphone base stations and other large-scale infrastructure construction has experienced a quick growth period. In addition, 3D printing technology, internet of things, and smart city developments are future trends, these factors have driven IPC groups to become the super star of electronics manufacturing. The following factors are research background : (1) After 2010, the industrial computer industry market scale growth beyond the commercial computer industry. (2) Labor costs rising accelerated industrial automation. (3) Industrial computers applied in many industries. MATERIAL AND METHODS This research is based on the long tail theory, and users the three forces described in the theory and nine basic principles as the research model. The service strategy of the leading IPC company A is analyzed in the three areas: technical, business, and marketing, Middle and top managers from the headquarters of company A were invited for an in-depth interview ; Respondent A is application engineering director, Respondent B is business manager and Respondent C is marketing project assistant manager. The three forces are following : Force 1 : Democratize production, Force 2 : Democratize distribution, Force 3 : Connect supply and demand. The nine basic principles are following : Principle 1 : Move inventory way in . . . or way out, Principle 2 : Let customers do the work, Principle 3 : One distribution method does not fit all, Principle 4 : One product does not fit all, Principle 5 : One price does not fit all, Principle 6 : Share information, Principle 7 : Think “and,” not “or.”, Principle 8 : Trust the market to do your job, Principle 9 : Understand the power of free. RESULTS AND DISCUSSION After interview with middle and top managers, the following are the summary for those analysis results and discussion (1) Provided technical ＆ human resource support for the long tail market (2) 24-Hour on line chat with online sales (3) Supply research and design the part of free application software or customized software service (4) Provided eStore with 8 languages for 24-Hours on line shopping (5) Sharing products news and activities to customers by e-letter (6) Building call center team ＆ toll free number service for the long tail customer CONCLUSION This research is based on the long tail theory, and users the three forces (Force 1 : democratize production, Forces 2 : democratize distribution and Force 3 : connect supply and demand.) described in the theory and nine basic principles as the research model. The service strategy of the leading IPC company A is analyzed in the three areas: technical, business, and marketing. After the interview the data was analyzed and the above results are summarized as the following: (1) Recommendations were made about building service team to focus on the long tail market. (2) Outside sales take care of key customers, inside and online sales takes care of general customers. (3) The long tail equation of company A for gaining profit is online consultation, plus network marketing, plus quick delivery. (4) In the niche market, where the sector (industry) is focused, sales-mostly correspond to the market and are Class A(Top) based. For example: IPC series, ARK series. (5) Countries and areas where there is no local branch office or channel partner are all long tail business opportunities. (6) The long tail theory can be verified in the industrial computer industry with the example of Company A. Finally, there are the limitations for this research as following. (1) Top managers are not easy to have a time for interview in company A (2) Number of samples are less and not enough due to receive interview rejection in company A (3) Top managers can not provide specific planning as business income, selling price and customers, because of unauthorized to share the data Therefore, subsequent research suggestions as following for further investigator reference (1) Increase the number of interviews with different level managers (2) Join group and be team member can get more information and long research