DIVINEPIX Guy Gagné Marcus Schwab Derek-Lee Fridley
DIVINEPIX
Guy GagnéMarcus Schwab
Derek-Lee Fridley
Strategic Vision To build a loyal customer base in two strategic target
markets by providing a good-quality entry-level camera at a competitive price.
Provide an excellent-quality multi-feature camera for consumers who are looking for nothing but the best.
Our overriding goal is to maximize shareholder value. We believe that DivinePix will perform its best if its employees are highly valued and appreciated.
Generate sustained competitive advantage through long-term investments in above-average employee compensation, productivity increases, and research & development.
Global Operations Summary
North America
Retailer DemandEL: 77,000MF: 21,000
Market ShareEL: 28.3% MF: 31.8%Yr 5: 30%
Latin America
Retailer DemandEL: 86,000MF: 22,000
Market ShareEL: 32.1%MF: 34.9%Yr 5: 40%
Europe/Africa
Retailer DemandEL: 67,000MF: 16,000
Market ShareEL: 25.1%MF: 23.9%Yr 5: 20% Plant Assembly
Entry Level: 285,000Multi Level: 77,000
In-house: 100% Outsourced: 0%
Asia Pacific
Retailer DemandEL: 55,000MF: 18,000
Market ShareEL: 20.4%MF: 29%Yr 5: 10%
Net Revenues
Earnings Per Share (EPS)
Return On Equity (ROE)
Stock Price
Credit Rating
Image Rating
Entry-Level Strategy DivinePix has employed a global
differentiation strategy that sets our entry-level cameras apart from rival brands based on the following:Higher P/Q ratingMore models and stylesMarketing attributes (more advertising,
longer warranties, retailer support and technical support
Multi-Featured Strategy DivinePix has employed a global
differentiation strategy that sets our multi-featured cameras apart from rival brands based on the following:Higher P/Q ratingMore models and stylesMarketing attributes (more advertising,
longer warranties, retailer support and technical support
Production Strategy Labor & Workforce
We committed to assembling as many units as possible in-house
We maintained above-average workforce compensation for most of the simulation
Utilized temporary employees during the peak production season (Quarter 3)
Prioritized in-house production over outsourcing
Financial Strategy Utilized positive cash flows
Reinvest in the business Reward our shareholders
Short RunEarly years carried debt on books in order to
better invest in the company’s future Long Run
Pay down debt in order to better reward shareholders
Entry-Level Competition BCaptured was our strongest competitor
Kept their strategy constant to become a low-cost provider, placing themselves in fierce competition with DivinePix
Aperture was our next closest competitor Had a best cost strategy In certain years, Aperture threatened to steal
demand and market share Never threatened to surpass DivinePix
performance as a whole
Multi-Featured Competition Bcaptured was our strongest competitor DivinePix stayed ahead of the
competition Set the industry standard in Quality
Successfully reached strategic goalDesigning a camera for consumers who
were looking for “nothing but the best”
Actions to Take Stay the course Maintain a position as an industry leader
with high investment in research & development
Remain innovative and flexible
Lessons Learned Quality equals Value
Quality justifies the sales price Technical Support
Lower warranty costsSignal product quality to future customers
AdvertisingIt pays to spend
Lessons Learned The Human Factor
Above-average employee compensation resulted in a higher quality of work ○ Contributed to our profit margin by lowering the
warranty claim rates and production costs Improved employee dependability
○ Lowering absenteeism○ Delivered their best work on a consistent basis.
Human resource policies indirectly resulted in high customer loyalty and high company image
Questions?
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