Business Strategy

Porters 5 Forces

Bargaining Power of Customers	Low	This force is low for a couple of reasons. First, other landscaping companies may not travel to the area where they want the work done. Also, many people may not have the proper resources and equipment to complete the work that they want done, so they have to hire a landscaping company.
Threat of Substitutions	Medium	A threat of substitution could be that customers will start doing the landscaping work themselves.
Bargaining Power of Suppliers	Medium	This force is medium because there are different suppliers that you can get materials from. Some of this material can even be shipped, which doesn’t limit the location of suppliers. However, some suppliers may have certain products as well as products that you cannot ship. Also the workers who operate the vehicles and equipment. They have clients who like their work and will follow them to the company that they are going to be at. This is an advantage because people will stay with their company due to the fact they trust their work.
Threats of New Entrants	Low	This force is low because of the cost, finding experienced employees, having to get licensed/certified, finding clients, acquiring expensive equipment. It is a long, tedious process in order to start in this industry.
Rivalry	Medium	Although there is some competition, there are not that many in the local area. Other Landscaping businesses  will only travel so far to provide services to its clients, so it limits competition.

    Bargaining power of customers is how much power the customer has that will affect the business. Threat of substitutions is if another product or service can replace your product or service. Bargaining power of suppliers is if your suppliers have the power to raise prices, limit quantities etc. because they may be the only place to get your materials from. Threats of new entrants is how easy or hard it is for a new business to start in the same industry you are in. Rivalry is competition that you have in the same industry you are in that can potentially steal customers. This industry is profitable because none of the forces are high, allowing the business to operate successfully.
 

Competitive Strategy

   
Our company Lawns Unlimited follows a Cost-Focus strategy because the prices are low compared to other competitors, but we are primarily focused in Morris county. The three competitive forces are competiton of substitute services, new competitors, and existing rivals. While the two bargaining forces are bargaining power of customers and suppliers. Our cost focus strategy addresses the five forces because our prices are cheaper, there are few rival because were are focused in a particular county, and we have a loyal customer base in the county so new entrants will have a difficult team taking customers. We address bargaining power of suppliers by letting them know there are a variety of different stores and manufacturers we can get our tools from. As for customers they have the option to do it there self, but as a landscaping company we can do a professional job on their property. Also all the other landscaping companies are further away from Morris county so it is a convenience to have use take care of their property.

   

                                                          Value Chain

Value Chain is a network of value-creating activities.  That generic chain consists of five primary activities and four support activities.  The primary activities in the company value chain are:

Inbound Logistics	Truck dealerships, power equipment retail stores. We do not make our own equipment, we purchased the equipment from a third party.
Operations/Manufacturing	We transform inputs into the final product by bringing our equipment to the customers houses or commercial properties while delivering what we promise to do such as a lawn maintenance and snow removal services.
Outbound Logistics	Garages and trailers is where the products are stored.  After the services is provided, the company gets paid by a check either by person or in the mail.  There is a weekly route that is completed every day to make sure that all customers are taken care of and this is their way of distributing the product to customers.
Sales and Marketing	Local Business Advertising, t-shirts, business cards, flyers, equipment, trucks, and trailers with company’s names on them.
Customer Service	e-Mail, Mail, and Cell Phones are the company's main forms of Customer services.  This allows the company to book lawn estimates as long as receive feedback.

     They could be social media IS, collaboration IS or any other IS. With social media it allows Lawns Unlimited to advertise to it existing and or new potential customers. We use Microsoft Excel which allows us to have a list of our existing customers with their addresses so that we can keep track of the services being provided weekly. We use company billing heads when a service is being provided to the customer. On that bill the amount is the balance due in which the customer has to pay. Each customer is kept track of by making handwritten notes and storing them.

    Lawns Unlimited always insists on enhancing its machinery as well as services. This is a huge competitive advantage in the landscaping industry because it allows the job to be completed in a shorter time while exceeding quality expectations. With saving time it allows Lawns Unlimited to reduce its cost with its payroll to its employees. Locking in buyers is also a process implementation that we use. Clients return to us to continually service their lawns and property, thus creating  a loyal customer base.

   
    Lawns Unlimited actually focuses on the two processes of  operations and customer service. Operations  involves taking care of inventory, planning, scheduling, and operations. While with customer service we take care of customer support, order and account tracking. It is important that we focus on operations and customer service because we need to plan so we don’t over schedule as well as keeping our inventory of tools up to date so our customer get the best experience possible with our landscaping services. Therefore I would say we have a structured process which follows standardized processes which requires being up to date with day to day processes such as accepting returns, placing orders, and purchasing raw materials. Our scope of process is wide because we have an inter-enterprise system involving 2 independent companies working together. We are inter-enterprise because of our dealing with TruGreen.