Situation Analysis Elyse Perry

4986129

Real Groovy is known for its extensive music emporium

And has become a near monopoly in second hand retail.

Selling:New and used CDs, DVDs, games,

books and clothing

However it faces threats from the rise in digital downloads and piracy

Which are cheaper and easier to obtain

As well as competition from big retail companies with discount power

That can set prices low

Real Groovy is unable to have a deep catalogue AND compete in price

As CD sales are becoming a challenge Real Groovy has to adapt

So they are changing to suit the digital environment

Offering different services and merchandise

By creating a website,

two magazines,

a ticket box operation,

and an e-commerce strategy that it now sells to other retailers.

Which differentiates Real Groovy from its competition.

And provides other areas for them to expand on.

This is a crucial key for...

Continued company growth and

NotesAll images from Google images search:• http://www.twistingthrottle.com/images/real-groovy.gif• http://decker.typepad.com/photos/uncategorized/growth.jpg• http://technabob.com/blog/wp-content/uploads/2007/06/man_lifts_cds.jpg• http://media.nickhodge.com/legacy/1673.jpg• http://images.apple.com/ipod/images/itunes_hero20070905.png• http://farm1.static.flickr.com/34/117093841_6b05bec8f4.jpg• http://rcd.typepad.com/rcd/Whg_2DLogo_2DLarge.png• http://www.iyp.oxfam.org/common/images/library/xsupporters_JB-Hifi-Logo%5B2%5D.tiff• http://www.smh.com.au/ffximage/2006/07/12/jbhifi_wideweb__470x286,0.jpg• http://www.digitalpaint.co.uk/images/pg-E-Commerce.jpg• http://www.stuff.co.nz/images/332910.jpg• http://images.usatoday.com/life/_photos/2006/04/24/monopoly.jpg• http://www.spectronics.co.nz/images/activity/NZ-currencycollage.jpg• http://www.batucadasoundmachine.com/images/news/real_groovy_chart.gif• http://trak.in/wp-content/uploads/2007/10/growing-ecommerce-in-india.jpg• http://www.mindtraining.net/images/key_success.jpg• http://www.amplifier.co.nz/assets/img/Real_Groove_200.jpg• http://www.mrvintage.co.nz/images/gigcoverbig.jpg• http://s3.amazonaws.com/timsstuff/istock/low_price_iStock_000003774322XSmall.jpg• http://www.branders.com/img/logoed_Stress_Reliever_Dollar_Sign/Assorted_Shapes/Stress_Reliever_Dollar_Sign-

30182_zo.jpg• http://www.christchurchmusic.org.nz/files/u761/Real_Groovy_logo.jpg