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Marketing Research of Gibson Guitar Corporation

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Netra Shetty
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Marketing Research of Gibson Guitar Corporation - April 7th, 2011

The Gibson Guitar Corporation,[2] of Nashville, Tennessee, manufactures guitars and other instruments which sell under a variety of brand names.[1]

With George Osborne’s Budget statement to the House of Commons on Wednesday hoping to bring growth to the UK economy, the news that Britons are among the most negative about the economy in the world – ranking alongside Italy, France and Japan – will come as a blow to the Chancellor.
According to new research from Ipsos MORI’s Global @advisor online research conducted in 24 countries, just one in ten (12%) Britons rate the economy as “good” the same proportion (11%) expect the economy to strengthen in the next six months. Only France and Japan are less optimistic about their economic prospects.

By comparison to Great Britain, two thirds of Germans and Canadians (64% and 66% respectively) rate their economy as good as do one in five Americans (20%).

The most optimistic citizens are those in some of the fast developing nations. Three quarters (73%) of Brazilians expect their economy to get stronger in the next six months as do three in five (61%) Indians.

The attitudes of citizens in the two economic powerhouses of China and the USA are very different.

While half (49%) of Chinese citizens are optimistic that their economy will strengthen in the next six months, just a quarter (27%) of Americans say the same.

Consolidation among major aerospace and defense companies has proceeded more rapidly in the United States than it has in other regions of the world, such as Europe. After numerous mergers and acquisitions, three very large companies — the Boeing Company, Lockheed Martin Corporation, and the Raytheon Company — have come to dominate the U.S. aerospace sector. This consolidation has placed enormous pressure on aerospace component suppliers. As those suppliers reposition themselves, they are being forced to improve economies of scale and reduce costs. Recent mergers among major suppliers include Honeywell–AlliedSignal and Hamilton–Sundstrand. Consolidation has been a two-edged sword. On the one hand, it has boosted the U.S. aerospace industry’s international competitiveness, better enabling U.S. companies to win contracts overseas. On the other hand, it has increased pressure to eliminate duplicative jobs. Several merged companies have announced layoffs.


Consolidation of the European aerospace industry is accelerating as national governments and aerospace manufacturers acknowledge the need to integrate their defense and commercial aerospace sectors to reduce operating costs and become more competitive with their U.S. counterparts. European aerospace companies are adopting strategies to streamline processes and increase their flexibility in outsourcing aircraft components.


The number of aerospace manufacturing establishments decreased during the period 1997 to 2002. This was a consolidation period for industry players and occurred during the slump after the events of 9/11.



__________________________________________________ ____________________

Employment rates also suffered during this time as manufacturers refrained from adding new workers during this period. By 2002, aerospace employment had dropped below 400,000, but has since increased as aircraft orders increased mid-decade.




As indicated above, this is a highly concentrated industry. The business is not only capital intensive from a production standpoint, but requires significant investment in research and development to bring new aircraft types to market.


Concentration of Revenue by number of firms in the industry is as follows:


Total Number of firms Revenue as % of all firms in the industry

4 largest 62.0%
8 largest 77.5%
20 largest 89.4%
50 largest 93.8%

Industry Definitions
Airframe: Assembled structure of an aircraft, together with the system
components that form an integral part of the structure and influence strength, integrity, or shape.

Avionics: Aeronautical electronics, including communications and
navigation equipment.

Big LEO system: Satellites working together as a system in low earth
orbit that will provide all the services of Little LEO systems as well as mobile voice and fax capabilities.

Block buys: A strategy used by satellite manufacturers in which they
purchase numerous launches at one time to reserve access to space and receive a price discount based on the volume of launches purchased. FAA Stage 3 regulations: Requirements that aircraft meet more stringent (lower) noise levels than Stage 2 aircraft as they approach and take off from airports; similar to Chapter 3 of the European Union’s regulations.

General aviation aircraft: Fixed-wing aircraft used for regional airline
service, business transportation, recreation, specialized uses (such as ambulances and agricultural spraying), and pilot training.

Geo-stationary earth orbit (GEO): The altitude (22,230 miles) at
which a satellite appears to be fixed at a specific spot above the earth.

Global Positioning System (GPS): A system using 24 satellites, all of
which report precise time signals, along with location keys. Eight satellites are in each of three 63 degrees-incline-plane circular orbits at 11,000 nautical miles of altitude; the system is used for navigation and to determine positions exactly.

Little LEO system: A system of low earth orbit satellites that will
provide mobile data messaging and position determination services on a global level.

Low earth orbit (LEO): For the purposes of this chapter, any orbit
lower than geostationary earth orbit.

Payload: The satellite, instrument package, or equipment carried into
space by a launch vehicle.

Rotary-wing aircraft or rotorcraft: An aircraft that delivers lift from
a system of rotating airfoils; includes helicopters and the tiltrotor aircraft in the vertical mode.

Unmanned aerial vehicle (UAV): An aircraft, whether fixed-wing
or rotary-wing, that is directly controlled [remotely piloted vehicle (RPV)] or programmed to do certain operations and return to base.

Market Metrics
The aerospace industry has recently recovered. As airlines returned to profitability after 2001, they placed significant new orders with manufacturers. Boeing has also been recently boosted by new orders for the 787 Dreamliner which will start deliveries in coming years. Other aerospace manufacturers have been assisted by continuing high defense expenditures.
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Jitendra Mazee
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Re: Marketing Research of Gibson Guitar Corporation - May 21st, 2016

Quote:
Originally Posted by netrashetty View Post
The Gibson Guitar Corporation,[2] of Nashville, Tennessee, manufactures guitars and other instruments which sell under a variety of brand names.[1]

With George Osborne’s Budget statement to the House of Commons on Wednesday hoping to bring growth to the UK economy, the news that Britons are among the most negative about the economy in the world – ranking alongside Italy, France and Japan – will come as a blow to the Chancellor.
According to new research from Ipsos MORI’s Global @advisor online research conducted in 24 countries, just one in ten (12%) Britons rate the economy as “good” the same proportion (11%) expect the economy to strengthen in the next six months. Only France and Japan are less optimistic about their economic prospects.

By comparison to Great Britain, two thirds of Germans and Canadians (64% and 66% respectively) rate their economy as good as do one in five Americans (20%).

The most optimistic citizens are those in some of the fast developing nations. Three quarters (73%) of Brazilians expect their economy to get stronger in the next six months as do three in five (61%) Indians.

The attitudes of citizens in the two economic powerhouses of China and the USA are very different.

While half (49%) of Chinese citizens are optimistic that their economy will strengthen in the next six months, just a quarter (27%) of Americans say the same.

Consolidation among major aerospace and defense companies has proceeded more rapidly in the United States than it has in other regions of the world, such as Europe. After numerous mergers and acquisitions, three very large companies — the Boeing Company, Lockheed Martin Corporation, and the Raytheon Company — have come to dominate the U.S. aerospace sector. This consolidation has placed enormous pressure on aerospace component suppliers. As those suppliers reposition themselves, they are being forced to improve economies of scale and reduce costs. Recent mergers among major suppliers include Honeywell–AlliedSignal and Hamilton–Sundstrand. Consolidation has been a two-edged sword. On the one hand, it has boosted the U.S. aerospace industry’s international competitiveness, better enabling U.S. companies to win contracts overseas. On the other hand, it has increased pressure to eliminate duplicative jobs. Several merged companies have announced layoffs.


Consolidation of the European aerospace industry is accelerating as national governments and aerospace manufacturers acknowledge the need to integrate their defense and commercial aerospace sectors to reduce operating costs and become more competitive with their U.S. counterparts. European aerospace companies are adopting strategies to streamline processes and increase their flexibility in outsourcing aircraft components.


The number of aerospace manufacturing establishments decreased during the period 1997 to 2002. This was a consolidation period for industry players and occurred during the slump after the events of 9/11.



__________________________________________________ ____________________

Employment rates also suffered during this time as manufacturers refrained from adding new workers during this period. By 2002, aerospace employment had dropped below 400,000, but has since increased as aircraft orders increased mid-decade.




As indicated above, this is a highly concentrated industry. The business is not only capital intensive from a production standpoint, but requires significant investment in research and development to bring new aircraft types to market.


Concentration of Revenue by number of firms in the industry is as follows:


Total Number of firms Revenue as % of all firms in the industry

4 largest 62.0%
8 largest 77.5%
20 largest 89.4%
50 largest 93.8%

Industry Definitions
Airframe: Assembled structure of an aircraft, together with the system
components that form an integral part of the structure and influence strength, integrity, or shape.

Avionics: Aeronautical electronics, including communications and
navigation equipment.

Big LEO system: Satellites working together as a system in low earth
orbit that will provide all the services of Little LEO systems as well as mobile voice and fax capabilities.

Block buys: A strategy used by satellite manufacturers in which they
purchase numerous launches at one time to reserve access to space and receive a price discount based on the volume of launches purchased. FAA Stage 3 regulations: Requirements that aircraft meet more stringent (lower) noise levels than Stage 2 aircraft as they approach and take off from airports; similar to Chapter 3 of the European Union’s regulations.

General aviation aircraft: Fixed-wing aircraft used for regional airline
service, business transportation, recreation, specialized uses (such as ambulances and agricultural spraying), and pilot training.

Geo-stationary earth orbit (GEO): The altitude (22,230 miles) at
which a satellite appears to be fixed at a specific spot above the earth.

Global Positioning System (GPS): A system using 24 satellites, all of
which report precise time signals, along with location keys. Eight satellites are in each of three 63 degrees-incline-plane circular orbits at 11,000 nautical miles of altitude; the system is used for navigation and to determine positions exactly.

Little LEO system: A system of low earth orbit satellites that will
provide mobile data messaging and position determination services on a global level.

Low earth orbit (LEO): For the purposes of this chapter, any orbit
lower than geostationary earth orbit.

Payload: The satellite, instrument package, or equipment carried into
space by a launch vehicle.

Rotary-wing aircraft or rotorcraft: An aircraft that delivers lift from
a system of rotating airfoils; includes helicopters and the tiltrotor aircraft in the vertical mode.

Unmanned aerial vehicle (UAV): An aircraft, whether fixed-wing
or rotary-wing, that is directly controlled [remotely piloted vehicle (RPV)] or programmed to do certain operations and return to base.

Market Metrics
The aerospace industry has recently recovered. As airlines returned to profitability after 2001, they placed significant new orders with manufacturers. Boeing has also been recently boosted by new orders for the 787 Dreamliner which will start deliveries in coming years. Other aerospace manufacturers have been assisted by continuing high defense expenditures.
Hey netra, thanks for sahring the marketing research report on Gibson Guitar Corporation and i am sure it is going to be useful for many people. Well, i have also got some important information and would like to share it with you.
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Re: Marketing Research of Gibson Guitar Corporation - May 10th, 2017

Definition of Gibson Guitar Corporation %u2013 Our online dictionary has Gibson Guitar ... The recently energized Epiphone brand of lowand middle-market guitars make .... One Gibson strategy that failed miserably in the early years of Juszkiewicz's ...
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