Question that I need to research
- Develop a comprehensive and feasible strategic plan that should restore Xerox to its position as an industry leader and
- Implementation plan, including organization redesign cultural and reward system modifications need to effectively implement your strategic plan
Xerox was not big enough for to meet market growth in expectations, and Xerox need to new position to expand into new markets to growth. Hence, Xerox brand should enter the digital age of the world to better leverage its strengths to growth in technology. At the same time, Xerox an ongoing-financially stable and their product and services in the marketplace are changes to the consumer.
The Xerox corporation maintains innovation and enter to global presence as a global enterprise that developed as manufactured, marketed serviced designed to make offices around the world more productive. It became known as market copiers, duplicators, digital production publishers, electronic printer, facsimile products, scanners, workstations, networks, computer software, and supplies in more than 130 countries using a direct sales force and a network of dealer’s agents and distributors. (Lynda M. Applegate) Moving forward formally-Xerox was the leader in documentation services through the world. The leading documentation company is powerful in the marketing agenda through Xerox expansion objectives in management precis, leadership in terms of technology, global entrants across the world, while adding into vertical integration investing-that reduces costs all together (BBC, 2002).
Xerox brand changing the world innovative solution of cult brand of popularity for copy machines. Xerox brand idealistically & company with many revolutionary products. The company invented and created the importance of technological advancement & product become a part of daily life. XEROX corporation is an iconic company that gives important of brand had an opportunity of changing the world.
Contrast that XEROX company brand extension failures more than copiers. The most successful as product and service in the United States as verbally used when people are copying paper. Indeed, such is Xerox’s achievement that its brand name has become a part of everyday speech. However, they word spread about this amazing product, and very soon it was becoming an office essential. The company, rechristened the Xerox Corporation in 1961, was now listed on the New York Stock Exchange. By 1968, company sales rose to the US $1 billion mark. In 1969, Xerox became a majority shareholder of the European operation, Rank Xerox, and the Xerox name was now a truly global brand. They lunching a new product called Xerox Data Systems, which had been researched at Xerox PARC. It failed disastrously and Xerox lost US $85 million. Four years later, though, the company was still determined to extend its brand beyond the copier market, this time with an early version of a fax machine called a Telecopier.
The problem wasn’t that Xerox’s brand name was too weak. On the contrary, the problem was that Xerox was a very strong brand name, but one associated almost exclusively with copier machines. Xerox wasn’t just a company that made photocopiers – it was photocopiers. It didn’t matter if the machine was made by Canon or Kodak, people still referred to it as a Xerox machine. Indeed, this event was an impression enforced through Xerox’s own marketing efforts. Through much of the 1970s and 1980s, Xerox ads used to pose the question: ‘How to tell the real Xerox from a Xerox copy?’ The implication was that if it wasn’t Xerox, it wasn’t the real thing. While this strategy helped to sell copiers, it meant that it was tied to that product category. After all, no one brand can claim to be the only genuine article in more than one category. (http://brandfailures.blogspot.com/2006/12/brand-extension-failures-xerox-data.html)
The perception of copier products is about copier’s technology, and it gives impressions that the difference between brands is not in the products, but in the product names. Or rather the perception of the names’ and product failed. Analogous failures occurred when Xerox tried to launch office networks such as the XTEN network and the Ethernet office network, which were designed to compete with IBM’s Satellite Business network. Both the Xerox networks failed to make an impression.
Brands are bigger than products. ‘The most valuable asset of the US $19.5 billion Xerox Corporation is the Xerox name itself,’ says Al Ries. That name, however, is exclusively and historically associated with copier machines. It doesn’t matter that Xerox PARC has come up with some of the most significant technological developments in computing, such as the invention of the mouse. All that matters are the association of the brand name in the consumer’s mind.
They are significant long history of 13 years and of history was not only a company that manufactures a photocopy machine it’s much more. In Xerox’s company global presence of recognized internationally in standards as the company and product. They scientific Achievement brand itself to managed services’ solutions to the organizations throughout the state. Hence, delivers printing systems to multi-brands such as laser resources, multifunction devices. Mailing solutions, professional service, managed print service, publishing company, copiers, printers, scanners, fax machines and document management software, along with related products and services and document management services.
According to Michael Pietrunti, senior president said, “As a leading multi-brand dealer, Laser Resources expands our network of locally based companies who successfully provide end-users with industry leading technology and innovative services,” they’re strategic is the most important of understanding market environment and anticipating the actions of economic agents, and they’re competitors. Thus, competitive advantages are actually barriers to entry and all intents and purpose of indistinguishable. But, Xeros company firms operating in markets without the barriers. The competitive advantages do not exist, then it can’t be established that there is no choice but to forget about a strategy and run their businesses as efficiently as possible. (https://hbr.org/2005/09/all-strategy-is-local).
However, only method of competing available to a company that is separated from the conditions in which strategy can make difference. Xerox brand retained as Document Technology company, and they retain as Xerox brand name. However, according to Burns, “With unparalleled brand equity in printing and imaging, there is no better name for our document technology and document outsourcing businesses than Xerox. Xerox is worldwide reputed organization for official products and various technologies that is Document Management Systems. But Xerox has further imposed foot print in other sectors also, information technology, business process outsourcing.
Based on Information Technology XEROX has developed following products and services for its Information Technology business segment Design and development of complex IT solutions, Infrastructure development in cloud services, Network solutions in telecommunication and Mainframe services for IT operations. At the same time, XEROX has developed following products and services for its Business Process Outsourcing business. Healthcare program management, overall financial and accounting services for various industries, human Resource consulting provide a solution of complex human resource issues, provide customer care services to various other industries and provide e-commerce solutions to retail, travel, insurance sectors. Building on its deep understanding of how the world works, communicates and shares content, the new Xerox will continue to help clients improve their workflow, productivity, and business performance, no matter where they are on their digital journey.”
Xerox wants to step up for as the leader they to take advantages of strategy of digital marketing and better implementing it effectively. Perhaps, “What is Strategy?”, Xerox defined strategy as the deliberate act of positioning a company for the competitive advantage by focusing on unique ways to create value for customers. Information technology outsourcing can be one of the terms that they can be successful integration will determine whether or not this resulting combination of skills, processes, and knowledge truly results in a strategic competency. Ideally, this combination of capabilities will give it a sustainable competitive advantage can be taken.
According to Xerox, “Our strategic intent is to help people find better ways to do great work — by constantly leading in document technologies, products and services that improve our customers’ work processes and business results.” (Xerox, 2015) they’re vision statement of Xerox focuses on the purpose of the business i.e., to help businesses in order to share knowledge with the help of people and technology. However, it is suggested that the statement should have incorporated a future aspect, which may help to clarify the goal that in the future the company wants to be at a certain point.
Based on Xerox’ analysis of Core Competencies, the research study has focused on the evaluate the core competencies and examine the sustainable. Growth of the organization. However, Xerox were strength is the brand in copiers, printers, and document equipment. This idea gives the advantage for having a strong brand name in the market. Xerox has a large geographical position, covering more than 160 countries that give the company a very strong position in order to evaluate the needs of different regions accordingly. Even today in different parts of the world, Xerox is known as the synonym for the photo copy. The company believes in innovation and that’s the reason of its high investment in research and development. Xerox was the first firm to introduce laser and color printer in the market. This high funding in the research is a strong factor for the organization to compete in today’s competitive environment. The expertise of Xerox were high then compared to others as they are in the market for a long time. The workforce of Xerox is very diverse which gives the company an edge for having the different set of ideas and transforming those ideas into action.
On the other hand, they’re weaknesses are although Xerox has a global presence but still one of the weaknesses of the company is the limited budget for advertising and marketing. This event gives the advantage to the competitors to market their product in a more effortless way. The company failed to estimate the arrival of new competitors like canon and other Japanese firms in the market and they didn’t change or improve their strategy. Today the company is mostly dependent on the US and European market whereas in other parts of the world, the competitors are gaining the market share which leads to fall in revenues of Xerox. What’s more, there was no check and balance as to financial and accounting practices in the organization, which leads to fraudulent reporting and the company has to pay USD 10 million as penalty (Bandler & Maremont, 2002). Another major weakness is that the company could not cope with the fast and ever changing business aspects in the market like advance technological features for products. The company mostly focused on the traditional approach for product development and ignore the latest trends in the market. This event cost the company to lose their market share and also decline in the stock value.
Pivotal of they’re brand successful and change customer’s perception is to be recognized by marketing. Xerox has always been neglecting the need of marketing to develop and market their products in the market. In the beginning, Xerox was successful, and it was considered as a synonym for photocopying but after the arrival of competitors in the market, Xerox gradually lost that fame and was unable to attract customers. The brand name was perceived as only photocopying machines, despite the fact that Xerox tried to enter into information systems, which led to the failure of that product line by Xerox. The research and development division of Xerox played an important role in their early success but due to the lack of proper marketing, the company was not able to transform those developments into profits (Bianco & Moore, 2001). The markets are much more saturated now and there are several brands offering solutions coupled with aggressive marketing approaches. Owing to these circumstances, in congestion with minimum marketing by Xerox influence customers to shift from Xerox to other brands and eventually forgot the existence of Xerox. So, Xerox should learn from their competitors and implement the holistic marketing approach to revive the brand image and enhance the perceived brand value in the minds of customers.
“Branding is…rooted in establishing trust with your customers through a promise,” said John Watton on Adobe’s blog. Or, as Al Ries put it in AdAge, “Everything in life is ‘perceptions.’ There are no superior products. There are only superior perceptions in consumers’ minds.” Xerox is operating on a world scale level and now one of the major players in the industry but due to many competitors and tough competition based on several factors like, pricing, reachability and easy to use, the competitors are ahead in the market. In order to achieve the significant position in the market, Xerox needs to develop certain strategies like stretching the brand and diversify to more consumer electronic products, proper and clear communication with the stakeholders and to market the brand efficiently, which can ensure that the company is going in the right direction.
References
https://www.xerox.com/en-us/about/history-timeline
https://www.xerox.com/
https://hbr.org/2005/07/strategic-intent
https://hbr.org/2005/09/all-strategy-is-local
https://investors.xerox.com/node/10026/html
https://www.xerox.com/en-us/small-business/insights/mobile-workflow
https://cio.economictimes.indiatimes.com/news/strategy-and-management/xerox-reinvents-itself-for-the-digital-age-with-ai/65351665
https://xeroxbusinesssolutions.com/2017/03/02/xeroxs-global-imaging-systems-acquires-laser-resources-expands-presence-central-iowa/
http://brandfailures.blogspot.com/2006/12/brand-extension-failures-xerox-data.html
Applegate, Lynda M., and Kevin Davis. “Xerox: Outsourcing Global Information Technology Resources.” Harvard Business School, Case 195-158, April 1995. (Revised June 2002.)
Avery, G. C., 2010. The power of vision: Statements that resonate. Journal of Business Strategy, 31(1), pp. 37-45.
Bandler, J. & Maremont, M., 2002. Xerox to Pay $10 Million in SEC Case. Wall Street Journal.
Bart Baetz, M. C. & Kenneth, C., 1998. The Relationship Between Mission Statements and Firm Performance: An Exploratory Study. Journal of Management Studies, 35(6), p. 823–853.
Bianco, A. & Moore, P., 2001. Bloomberg: Xerox: The Downfall: The inside story of a management fiasco. [Online] Available at: https://www.bloomberg.com/politics/ articles/2017-06-13/schaeuble-says-u-k-welcome-back-if-brexit-were-to-be-overturned [accessed June 2017].
Bill Chappel, 2011. All Tech Considered. [Online] Available at: http://www.npr.org/ sections/alltechconsidered/2011/11/16/142373973/steve-jobs-dishes-on-the-tech-business-in-lost-interview-from-1995 [Accessed July 2017
