A strategic analysis of the industrial dynamics of Car-Bo Garasjeporter AS

Abstract

The garage door industry is an attractive industry to enter and thereby it is experiencing a significant increase with respect to competition. By addressing this industry, one gets an improved image on the challenges within the industry, as well as the sensitiveness of economic cycles, which in turn will control the outcome of the garage door industry. However, as there is limited information and knowledge about this particular industry we will consider a single case company throughout this thesis – Car-Bo Garasjeporter. By considering the environment and identifying potential opportunities as well as exploring internal resources within Car-Bo Garasjeporter, different strategic options have been pinpointed in order for the company to survive and prosper in the industry.

The aim of this thesis was to provide grounds for strategic decision-making by considering the business environment and industry, which the case company Car-Bo Garasjeporter competes in, with the purpose of developing future strategic options. The research study has been conducted through industry analyses such as PESTEL and Porter´s Five Forces, in addition to an internal analysis. The findings from these analyses were welded together in a SWOT analysis. The data and information was mainly gathered from industry reports, database research and both internal and external interviews.

The garage door industry is a minor industry, which evidently is susceptible to price pressure. As the products are fairly homogenous and hard to differentiate, it respectively all comes down to price and delivery times. However, the industry is distinctly in an altering phase and in the recent years, Car-Bo Garasjeporter have had its main focus on design and functionality rather than price, which have enabled the firm to evolve. Based on the results from the analysis, we ultimately recommended two feasible options for Car-Bo Garasjeporter. Firstly, to best adapt to the current situation we recommended the company to keep the originated business plan, as the potential success of the expansion to Vestby, Oslo has not yet been identified. In addition, we recommended consolidation or procurement of firms for future development, as the environment is extremely competitive and the industry is expected to prosper, causing consolidation and procurement of firms to be more apparent.