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Strategic study of Dyson's innovative vacuum cleaner

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  1. Brief history and evolution of the company Dyson
  2. Introduction, defining the framework and the objectives of the study
  3. Analysis of the external market
    1. PESTEL
    2. Strategic Groups
    3. Porter's Five Forces
    4. Key success factors
    5. Barriers to entry
  4. Internal analysis of the market
    1. Value chain
    2. Strategic resources and distinctive competencies
  5. SWOT analysis
  6. Business strategy

James Dyson has been an inventor since 1970, and has invented an incredible array of products. These inventions have experienced several subsequent innovations. Indeed, the inventor has sold a dozen products that range from "Dyson" vacuum cleaners to washing machines. The vacuum cleaners have been innovatively design where it does not need a bag and have a striking design. The purpose of this study is to analyze the strategy of Dyson, who started from nothing, and has succeeded in positioning its line of vacuum cleaners as a market leader in this particular home appliance sector.

The Dyson Facility entered the Japanese market in the 80s, at a time when the country was encouraging entrepreneurship at a growth rate of 4% per annum.
The specialty retail sector was still growing at the time of the launch of the first Dyson vacuum cleaner in Japan during the 80s. Dyson believed that he would be able to bring about a revolution in the market with his bag-less vacuum cleaner.

However, he was disappointed in this ambition, as his invention did not count among the leaders in home appliances. The Dyson Dual Cyclone represented competition for the market of vacuum cleaners with bags. The challenge was to break into the distribution channels despite the pressure imposed by the market leaders. To do this, Dyson used funds that he had collected through his licenses, to relocate to the large distribution areas in Europe in the 90s.

To this end, we will examine the external environment of the market for vacuum cleaners. We will then propose an internal analysis of the strategy that James Dyson introduced in his company to become a market leader. Finally, we conclude with the observation that evolution is an ongoing process in the company.

Dyson had the foresight to protect his products from new entrants through patents. However, Hoover, a subsidiary of Whirlpool and a leader in the market for vacuum cleaners, was convicted in court for patent infringement, 18 months after it sold a product that was an imitation of Dyson. Meanwhile, the product range from Philips now includes a unit without a bag and a design similar to that of Dyson. This product cannot justifiably be called a copy, even though it was inspired by Dyson and poses a threat to it.

The reaction from the market leaders, however, seems the normal response to a business which is stealing a lot of the market shares. Dyson counterattacks imitations though the judicial route.
Tags: Dyson, bag-less vacuum cleaners,home appliances market.

[...] The purpose of this study is to analyze the strategy of Dyson, who started from nothing, and has succeeded in positioning its line of vacuum cleaners as a market leader. To this end, we will examine the external environment of the market for vacuum cleaners. We will then propose an internal analysis of the strategy that James Dyson has introduced in his company to become a market leader. Finally, we conclude with the observation that evolution is an ongoing process in the company. [...]


[...] Dyson entered the market with a good idea, that of a bagless vacuum cleaner and competitors were unable to retaliate with a similar product because it was protected by patents. It is undeniable that Dyson has inspired more than one product in the product range of Hoover, Philips, and Samsung. However, it is noteworthy that that no one offers the "Hurricane" technology for the dust collector. On the market for vacuum cleaners, an innovation that may well develop into a threat for Dyson is the "self vacuum" created by Roomba. [...]


[...] Strategic resources and distinctive competencies Jurisdiction Dyson has mastered and produced an innovative version of the vacuum cleaner on the market. The original strategy was to produce very avant- garde products. The emergence of the product caused an upheaval in the market and, and met one of the first expectations of a client from his vacuum cleaner - power. The challenge now, was to clear a path on the market for the cleaner to face the world leaders. Its flashy yellow color and futuristic form inevitably helped consumers identify the product. [...]

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