Case study Essay

Inuit was founded in 1983 by Scott Cook (Former Procter & Gamble employee) and Tom Proulx (Stanford University Programmer), that develops and sells financial and tax solution software for consumers and small to medium sized businesses. The company has unceasingly thrived to revolutionise peoples lives by solving their important business and financial management problems. Quicken was its product that was launched in 1984 and struggled the first year, but out-of-pocket to positive reviews in trade journals and print campaign strategies, compass got its first break and by 1988 Quicken was the best selling finance product on the market. Early 1990s saw Intuit gro getg due to success of Quicken, QuickBooks and Turbotax. These products made some significant contribution in small businesses.Porters five forces Analysis for InuitAny organization strategy that you develop needs to include gaining a thorough understanding of the external environment that the organization is operational in. The most widely tool that can help you to do this is Porters five force analysis. Porters model considers five forces that gear up the attractiveness of your market by analyzing the competitive intensity. Similarly Porters five forces will help Intuit the position of the market and how much do they really stand a chance in this competitive industry, with Microsoft trying to buy them dispatch.1. Threat of new entrantIntuits marketing strategies crap helped the company evolve. Positive word of mouth an exceptional customer services is its most effective marketing tools. Roughly 8 out of 10 customers wee bought Intuits product and hence engaging with customers directly and communicating with customers on a timely basis has helped distinguish its products. This leads to a very petty(a) threat of new entrants in the market. Due to this it is very difficult for new companys to enter the market and compete with Intuit.2. Bargaining Power of BuyersSince Inuit is non the only one in t he market, Microsoft being the biggest competitor it increases the bargaining power of buyers giving them more than one option to choose from. Intuit is very come up aware of this fact and hence spends significant amount of time and money on consumer research every year. It is very critical for Intuit to know how customers enforce and feel about their products. This is possible by adapting Site Visit, Lab Study and Remote study conducted by Intuit.3. Bargaining Power of SuppliersThe only product that Intuit needs is a compact disc and since there are many suppliers of compact disc in the market, the bargaining power of suppliers is very low. This leads to huge competitor between suppliers and Intuit has an advantage.4. Threat for Substitute ProductsThere is no substitute product available for tax and financial planning softwares obscure from hiring specialised people in your company in that field which is turns out to be very expensive and also time consuming. Hence there is no threat for substitute products for Intuit in the market.5. The intensity of contenderIntuit faces huge competition in the market for the products they offer. Microsoft, one of their biggest competitors has tried to buy off Intuit but failed and also withdrawn its money product line after a 18 year battle with Quicken. This has been a great win for Intuit over the software giant. There are many companies providing mobile devices which have become very popular among the younger consumers and hence this increases the intensity of rivalry in the market that will be faced by Intuit.Potential Market entry methods for IntuitIntuit has a very few slipway it can enter the potential market i.e. mobile devices. Depending on various factors, Intuit can adopt acquisition. This will be very quick and rapid way to enter the mobile devices industry. Intuit can acquire some firms that are already in the mobile devicebusiness, have a squiffy customer base and have all access to the companys netwo rk files.ReferencePearson Education Limited (2012). Marketing Management (14th ed.). Kotler Keller Author.Submitted byAnchal Pathak