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RESEARCH IN MOTION: Managing Explosive Growth

INTEGRANTS:Mara Jos MoraVanessa MariscalMayra SanchezJos Luis ReyesSilvana Suarez

HISTORY OF THE COMPANY

Mike Lazaridis founded RIM in 1984 while a student at the University of Waterloo in Ontario, This industry is characterized by rapid change in technology, leading to shorter product lifecycle.

Lazaridis determined that the future of his company would be in wireless communications in 1987, when he was hired as a consultant for Ericsson to write software for a recently purchased wireless data system called Mobitex.

By 1997, RIM worked with RAM Mobile Data and Ericsson to turn Mobitex into a two-way paging and wireless email network.

RIM designed, manufactured the popular line BlackBerry product that had recently reached 14 million subscribers worldwide.

MISION Research In Motion (RIM) is a leading designer, manufacturer and marketer of innovative wireless solutions for the worldwide mobile communications market. RIM technology also enables a broad array of third party developers and manufacturers to enhance their products and services with wireless connectivity to data.

VISION To be recognized as the worlds best telecommunication and wireless devices company, by infinite the possibility of the innovation and creation to produce our product and software devices; to ensure and enhance product quality as well as to satisfy our customers unlimited demand in future.

KEY QUESTION

How to maintain and wide its market in front to the attack of their competitors?

GENERAL ENVIRONMENTRIM was a world leader in the mobile communications market. RIM had more than 100.000 enterprise customers and estimated 42 percent market share of converged devices and significantly higher market share of data only devices, in North America. INDUSTRY In an industry driven by engineering innovations and evaluated on technological advances.

RIM designed, manufactured and marketed the very popular line of BlackBerry products that had recently reached 14 million subscribers worldwide and had just over $6 billion in revenue.

In particular, organizations that relied on sensitive information, such as the U.S. government and large financial institutions, were early and loyal adopters of BlackBerry and RIMs largest customers.COMPETITION

ECONOMICALDepressed economic environment in the U.S. that made many smaller firms and technology starts up were hostile financially. LEGALSoftware piracy and product imitation were more common in developing countries where IP protection laws lagged the US or Canada.

STRENGHTSLeader in the mobile communication market.Were early and loyal of B.B. with organizations of government & financial institutions.Is a brand recognized in the market by the publicity with celebritiesProducts of good quality.Expansion geographic.WEAKNESSESShortage of physical space at RIMs Waterloo Campus.Human Resources is limited.Dont have a plan of contingence to the competitors.Is focus too few consumers like the government, organizations and professionalsRIM could no longer continue to grow locally.

7. SWOT

PORTER ANALYSISSWOT

SWOT

TOWS

IFE-MATRIXStrengthWeightRatioTotal- Leader communication market.0,1040,40- Pioneer in Software.0,0530,15- Advertising of celebrities0,1030,30- Products of good quality.0,2040,80- Expansion geographic.0,0530,15WeaknessWeightRatioTotal- Shortage of physical space.0,0520,10- Human Resources.0,1530,45- Contingence to the competitors.0,1530,45- Focus too few consumers.0,1020,20- RIM could no longer continue to grow locally.0,0520,10TOTAL1,00-3,10EFE-MATRIXOpportunityWeightRatioTotal- Technology market.0,2040,80- Diversification 0,1040,40- Alliances 0,0530,15- Acquisitions 0,0520,10- Popular handhelds. 0,1040,40ThreatWeightRatioTotal- Competence.0,1030,30- Government Regulation.0,1020,20- Change of Technology.0,1530,45- Software piracy and imitation.0,1020,20- Key competitors has global expansion.0,0530,15TOTAL1,00-3,15ANALYSIS

According To the box of strategies for the case, is chosen the first square that indicate that the RIMs Company should Grow and Built.SPACE-MATRIXYAXISFinancial (FS) (+6 best, +1 worst)(+5) Sales(+6) Income(+5)Earnings per Share(+4) Cash Flow(+4) Operations Margin Average = +4,80Environmental (ES) (-1 best, -6 worst)(-3) Technological Changes(-2) Laws(-5) Competitors(-3) Barriers to Entry(-3) Demand Variability Average = -3,20XAVISCompetence Advantage (CA) (-1 best, -6 worst)(-2) Technology(-4) Strategies Alliances(-2) Market Share(-3) Customer Loyalty(-2) Reputation Average = -2,60Industry Strength (IS) (+6 best, +1 worst)(+5) Growth Potential(+6) Financial Stability(+5) Position in the Market(+4) Technology(+2) New Alliances Average = +4,40

FINANCIAL RATIOSEARNINGS PER SHARE ALTERNATIVES

After the analysis presented above, we suggest the first strategy. Which is Investment in technology innovation to create new products. Because the technological innovation and market provided that it does not lose ground in this competitive market.RECOMENDATION