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Pest Essay

406 words - 2 pages

3) Cultural and Social
Actually Italy has a population of 58.147.733 inhabitants. The 98.4% of them are literates, and the 66.4% of them are aged between 15 and 64 years. It must be highlighted the fact that in Italy are present 72.200.000 mobile telephones: Italians have a strong culture of always being locatable, and for this reason they in average hold 1,25 mobile phones ...view middle of the document...

1. Rivalry among competitors:
In this problem is about the competitors that face the company and this problem can be effective for the company through many ways that will ...view middle of the document...

Monopolistic buyers will use their power to extract better terms (higher profit margins or) at the expense of the market.
In a truly competitive market, no one buyer can set the prices. Instead they are set by supply and demand.
Prices are set by supply and demand and the market reaches the Pareto-optimal point where the highest possible number of buyers are satisfied at a price that still allow for the supplier to be profitable.
So you should know how to avoid that problem also.
4. communication with customers:
This is one of the great problems as there is lack of communication between the company and the customers so there is no good communication between them so there won’t be a good selling or good service as they won’t know what the customer need or want to be able to make for them their needs and wants.
So they have to know what is the most effective ways to communicate with the customers in order to sell or provide service better.

5. cost reduction:
The company faced a huge problem with the customers which concern about the cost there was a big problem that was about the cost that was set at high prices and the customer had a problem with these costs.
So they also should seek solutions to please both of the parties in this problem.
6. The value chain:

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