This
graph inculcates three dimensions in it. One is Market segment, which ranges
from discount segment through premium segment; second is competitive
orientation, which varies from niche through global player; third is the combined
market size of the group, which is determined by the size of the circle.
According
to this graph, Whirlpool, GE, Electrolux are put in one strategic group, which
account for major chunk of the market. These firms pretend to be the closest
competitor of one another. As, all of these three firms are having global
presence and, overall, they are catering to discount through semi-premium
segments of the market.
Moreover,
Maytag makes up its own strategic group as it is catering from middle segment to super premium of the market but still owned a position of
strong regional contender in terms of competitive orientation. Despite having
its regional position, Maytag proved to be a strong contender in the market as
it has taken the global firms head-on and has given them really tough time
through its innovative products.
Haier
and Bosch-Siemens are shown in one strategic group as these are global
aspirants and tapping upscale markets in US industry (Average price of their
products is $ 250 whereas price range of other low scale products is $ 180 – $
230).
Vikings
and Sub-Zero are niche players, each producing one exclusive premium quality
product line, makes up another strategic group.
