Question

Assignment Instructions and Approach:

1. Login to Saudi Digital Library (SDL).
2. Click on “Open Access” The search engine page will open
3. In search engine of SDL write the following title as keyword and click search button.

“PKC Laundries: a start-up business at the crossroads”

4. Open the research article, read it thoroughly and answer the assignment questions.
5. Besides this research paper use other relevant material also to support your answers.
6. Support your submission with further scientific references.
7. Use Saudi Electronic University academic writing standards and APA style guidelines

Assignment Questions:

1. Critically analyze the Problems faced by the young entrepreneurs and strategies to overcome those problems. (Marks 2)
2. Discuss the challenges of PKC as an aggregator business and the scope of what PKC can do in the future to strengthen its position. (Marks 2)
3. Discuss the various marketing management issues such as segmenting, targeting and positioning? (Marks 1)

Answer 1

1. PKC laundries was started as a technology driven laundry of service that provide the customers a quick and a satisfying cost effective solution to the laundry needs of the customers. The business was made as a start up which was mainly based upon the asset aggregation model which has used the existing vendors to provide the business service.The laundry service was being going on mainly for about two years and after that they had faced some difficult situations or some challenges mainly on vendor management and in generating a considerable amount of operating profits. Due to this the entrepreneurs were in a difficult situation regarding their strengths and the weakness and also the opportunities ad the threats they have to bother and face in the near future. The company was a small and medium enterprise (SME) which operates on a limited micro as well as macro environment The young entrepreneurs have to go through a situation where they have to face and identify the problems and to adopt those possible strategies inorder to overcome these problems. PKC had tried to adopt and apply on the strategies inorder to achieve a strengthened position in the market place.Thus, they also faced issues on analysing, formulating and implementing these strategies. Inorder to overcome these problems they have undergone a learning process relating to the understanding of macro and micro factors affecting the firm, to learn about the challenges which are being faced by a startup , study on the issues involved with implementing the strategies.

2. Challenges faced by the PKC as an aggregator business include challenges relating to strategic management on analysing , formulating and implementing the strategies, understanding the strategies which are needed to be adopted by the company for developing the business. Inorder to achieve a strengthened market position, PKC have to perform a thorough analysis of the current market conditions, promote a successful treatment to the micro and macro factors prevailing in the firm, adopt a well maintained and successful organizational strategies for getting successfully connected with the market in the future.

3. The PKC laundries have also under gone various marketing issues on the area of segmenting, targeting and positioning. The market management issues on segmentation includes production in a limited quantity, expensive form of marketing, investment in a heavy mode, problems related to stock and storage, expensive production, distribution difficulties, problems related to promotion. Issues relating to market targetting are such that it is expensive as small scale company have to spend a huge amount on market targeting, avoidance of non targetted customers, the process of targetting is time consuming, provide considerations. Issues relating to market positioning involves loss of existing sales, developmental costs, getting confused with positioning, promoting competitive actions and suffering brand risk.