Market segmentation process assists in identifying dissimilar segments for the LED company whereas target market segment approach is focused on the market segmentation to concentrate on certain segments. The concentration on certain segments of market instead of the entire market assists the management of the organization to efficiently realize marketing strategy to certain segments. A marketing team of the LED firm should concentrate on three major geographical segments of Asia, Europe and the USA (Moss, 2009).
The demand for LEDs is highest in these geographical spheres and it would be beneficial for the LED firm to market own products in these places. The role of experienced and competent marketing staff in the organization is one of the largest strengths. The two crucial aspects of the European market are parent organization and local market of Russia. A huge deal of LEDs produced should be purchased to the parent organization which will demand no marketing activity. The market of Russia is one more crucial sphere of the European segment. There are dissimilar automobile, electrical and electronic gadgets, manufacturing firms in Russia that specialize in areas of automobile, aircraft, ships advanced electronic components and communications equipment (Enderle, 2009). These organizations not merely cater to the local demand but posses the high volumes of export for applicable products. All these organizations have high demand of LEDs as parts of their own products. The LED company will have amazing potential in selling Light Emitting Diodes to the array of these firms.
Generally speaking, light-emitting, high-brightness, diodes work much more resourcefully than conventional light bulb products. They utilize the fraction of power required for bulb technology, have far longer operating lifetimes, and include substances, which will not damage the environment (Enderle, 2009). Dissimilar material structures are utilized to fabricate the high-brightness appliances, and the fabrication approaches are still exceptional.
LEDs should be of special interest to those in photonics sphere, manufacturers of solid-state gadgets; those involved with transportation and automotive lighting systems; microelectronic manufacturers; producers of the mobile gadgets; municipal administrators; traffic planners; and those involved with the general illumination in offices, homes and the industrial spots. The LEDs also will of special interest to builders, home designers and organizations engaged in the production of deposition tools (Myer & Goettel, 2010).
Additionally, two kinds of lighting clients comprise those who prefer low retail cost and put less significance on yearly cost savings; and people whose buying decisions are based mainly on the yearly cost or life-cycle of the lighting goods. Homeowners usually place more stress on the upfront cost, whilst commercial clients look at yearly or lifetime cost advantages. However, for the energy savings prediction to be realized, LED lighting goods will need to accomplish the substantial enhancements in efficacy, price, and operating life.
This paper has concentrated on the impacts of obsolescence that take place once the company has to struggle with the updated version of certain products. The extent of obsolescence is related to the size of the development in the novel product and the level of competitive interaction among goods. Many firms’ approaches utilized the durability as the proxy for obsolescence. Nevertheless, the obsolescence includes far more than merely durability: it is perhaps first and foremost about how usually the company will introduce the novel product, and how compatible it will be with the previous variations. This paper suggests far more complete view of obsolescence, as it models the introduction of the novel OLED product defined explicitly by its degree of improvement and its competitive interaction with the previous LED version.