Vizio uses unprecedented technologies to ensure that their products are of the highest quality available. This approach has helped the company prosper and grow to great levels in the entertainment industry. Vizio now offers everything from multiple types of televisions (LCD, LED, 3-D) to home theatre products, tablets, and wireless routers. While their main product remains to be their televisions, the variety of products that they now offer are rapidly becoming popular amongst consumers in North America. Although Vizio’s newer products are a huge success, we believe that for now Vizio’s televisions would be the best product to offer in the Australian market.
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Their standard products have already outperformed the competitors in the North American market and we therefore are confident that offering the unaltered products in the similar Australian market will produce the same results.
Price is a factor that holds a large portion of Vizio’s executive’s visions for the company. They are strong believers in offering the greatest entertainment for a very affordable price. This is what creates the advantage they posses over competitors. There is a strategically effective approach the company takes in order to offer these products in the price range in which they do. The televisions themselves are designed in America, but manufactured in Taiwan by Amtrans Technology Ltd. They are then imported to America by Amtrans. Amtrans is widely known as being the best quality producer of HDTV’s and is the second largest producer of flat panel televisions. As for the screens on the televisions, Vizio’s LCD screens are made by LG and their plasma’s are made by Panasonic. This ensures that all of their televisions offer the same, if not better quality, than Vizio’s competitors. Using such a large manufacturer such as Amtrans also allows Vizio to import and sell their products for cheaper than other companies. Therefore, we believe using this process will allow Vizio to import their televisions to Australia for around the same cost as those companies that they will be competing with. More so, using this large manufacturer will ensure that Vizio can use a lower sales price than their competitors in Australia, just as they do in North America.
When dealing with importing and exporting, differing currencies is an obstacle that multinationals must confront. Vizio, being an American based company, uses the United States dollar (USD) in their operations. However, the national currency in our proposed destination does not use this currency but rather the Australian dollar (AUD). Luckily, these two currencies fluctuate similarly and are currently valued at very similar net worth. This is an advantage because product prices can be easier to determine based on what the products successfully sell for in their homeland’s currency.
With the ubiquity of televisions in Australia, along with their devotion to the consumption of television, using this as the main advertisement method is almost a no-brainer. Digital technologies in Australia have allowed for larger opportunities for the people to watch television. These technologies have allowed for companies to be able to target specific consumers for advertisements, which can be a huge advantage for the entertainment industry....