Question

Narrow your choice to one DIG by doing some research. Evaluate problems to solve or opportunities to capture in your chosen Domain. 1. Do research on this Domain. For example, How big is the market? Who are some of the key players in the industry, and what role do they play? Who are the buyers, suppliers, competitors, and how are these roles changing? Has the industry been disrupted by technology or other factors in the environment? Be sure to properly cite your sources and name fellow student contributors. 2. Draw a Value Chain of an organization/company in your chosen domain. This firm can be anything currently operating or now-defunct and existed in past. Examples include a large Fortune 500 company, a medium local non-profit, to a small lifestyle business venture and anything and everything in between. The choice is yours! What organization/company did you choose and why? That is, how does this firm relate to your interests and potential domain area? Illustrate which activities within the value chain are most likely to create and capture the most value. Why?

Answer 1

Let us take an example of ZODIO operating in the DIY section of the emergin market .The market for creative hobbies, from interior design to creative cooking, is constantly growing and attracting more customers. No longer restricted to children’s hobbies, more and more adults, both young and old, take up hobbies and other manual leisure activities in their free time.

How big is the market?

The DIY is the DIY in 2018.
The French industry is forecast to hit EUR 26 billion (DIYinternational, 2019), an annual expansion of 0,4 percent.
While this is a moderate rise, the overall segment progress remains a positive outcome. This is what we are talking about. is particularly the case in contrast with that of other sectors in the sector achieving those figures
In 2018, furniture (−2%), home equipment (−0%) and gardening were lower than in previous years.
(plus 0,2%).On average EUR 1,567 is dedicated to interior architecture and home design for every household in France today. Year (2017) (Capital). This increasingly growing demand would mean a larger range of companies, like Cultura, Phildar and Les Jardineries Truffaut, can represent and provide clients with numerous items. Largescale DIY stores account for a total of EUR 19.806 billion (DIYinternational) and occupy 76 percent of the French DIY sector. 2019 is followed by wholesale, which amounts to a development area of EUR 3.907 billion,
Market share of 15 percent (1 percent yearly increase).

Who are some of the key players in the industry, and what role do they play?

• IKEA DIY
• Collisimo
• Chronopost

Roles played

Strong face-to-face customer relationship by engaging in-store vendors in ‘high-touch’
experiences.

Sales representatives share in-depth product knowledge through in-store demos and
consultations.

It’s consultative approach also extends to their online store, where employees are encouraged
to create an online environment that reproduce the in-store experience.

Providing feedback

Publishing tutorials

Testing real products with visuals and providing step-by-step instructions.

Highlighting different décor styles & Curating assortment of products.

Providing employees with high-spec smartphones (e.g. with those of good camera) to
encourage an ‘always on’ communication with Zodio’s employees and its customers.

Who are the buyers, suppliers, competitors, and how are these roles changing?

Has the industry been disrupted by technology or other factors in the environment?

2. Draw a Value Chain of an organization/company in your chosen domain.

What organization/company did you choose and why?

We have selected Zodio a 'do it yourself' based co creation company because of the folloing criterias

Form: First is utility regarding the form of a product that is
acceptable to the customer.

The retailer does not supply raw material, but rather offers
finished goods and services in a form that the customers
want.

The retailer performs the function of sorting the goods and
providing us with an assortment of product in various
categories.

Place: By being available at a convenient location, he
creates place utility.

Ownership: Finally, when the product is sold, ownership
utility is created.

Illustrate which activities within the value chain are most likely to create and capture the most value. Why?

This process involves three steps :

Obtaining contributions by customers.

Selecting the best of these contributions.

Incorporating these selected contributions into products,
processes or services.

Customer co-creation, with its roots in social reciprocity, remains a niche service. It is a disruptive concept, one that removes the shackles of passive, reactive responses from your customers and empowers them to create with you.

To maximize the benefits of customer co-creation, such as reduced costs of innovation, a more diverse perspective, a more robust product concept, and a built-in branding and awareness platform will entice Millennials.