Qvc Case Analysis Essay

Case QVC Author NA HG495 Case outline Instructor NA Abstract This case analysis impart be focused on the smart set QVC (Quality, Value, and Convenience). We will perform an analysis review, which, will provide a comprehensive appreciation into the companys historical and current problem structures, strategies and efficiencies in their operations. It will include a detailed SWOT Analysis (Strengths, Weaknesses, Opportunities and Threats) (Humphrey) and the primary activities of the Value Chain Analysis (Porter), to provide greater insight into the firms competitive advantage.These key concepts will be used to analyze QVCs business model, define potential challenges and initiate a plan of execution. We will then recommend solutions much(prenominal) as advocating products with high profit margins, decision evolving technologies and untapped markets and streamlining logistics. These strategies would expand the customer base and create higher ROI (Return of Investment), spatial r elation the company towards timely growth. IntroductionQVC is a multimedia retailer, specializing in televised dental plate shopping, broadcasting in five countries (US, UK, Germany, Japan and, Italy), 24 hours a day, sevensome days a week, to everyplace 90 billion households in the unite States and 160 million homes worldwide. They offer a wide range of products with oer 1500 major brands and 50,000 products, including beauty, fashion and accessories, jewelry, craft and leisure, home electronics, garden, and do-it-yourself (DIY), and clearance goods. The company has store operations in the US, which includes Delaware and Pennsylvania.QVC also has a lucrative website called iQVC (www. qvc. com) that generates over 1 billion of sales on its Internet operations. Since it was launched in 1986 QVC has apace grown to become the largest television shopping network. By 2006, its reach had protracted to over 95 percent of all U. S. cable homes, as intimately as, over 25 million sa tellite homes. It shipped over 140 million packages during 2006 to customers around the world, resulting in almost $7. 1 billion in sales and over 1 billion operating profit.Sales were made to over 10 million customers, who watched its shows across the US, UK, Germany, Japan and Italy. Problem Doug Rose, QVCs debility president of merchandising brand development, claims that the interactivity in all aspects of the firms business and operations, including its television shopping channel, will need to become to a greater extent pronounced. Making it easier for customers to act on what they see. QVC believes that it still has a lot of live to grow, since only about 2% to 3% of its television viewers soon leveraging at any given time.Bringing that percentage higher is the main problem that affects the major revenue stream and would require an inbred/external analysis (balance scorecard) to bring in new viewers/customers to purchase their products. There are other challenges that ca n attribute to generating more revenue, such as, selling products with higher margins and offering shopping channels to customers outside northeasterly America. They could also add more interactive features that would allow more access.