Williams-Sonoma Essay

If the Williams-Sonoma continues with its present strategies and objectives, where will it be in 5 years?
The William-Sonoma can succeed and improve its business performance even more, if the company maintains its current strategies. In this respect, it is important to place emphasis on the fact that the company should develop online business in particular because it opens larger prospects for the fast and extensive market expansion of the company. In fact, using e-commerce and online services, the William-Sonoma can enter new markets and reach a larger number of customers. Today, internet and modern telecommunication systems are extremely popular and many companies attempt to use the full advantage of the technologies available to them. In such a situation, companies that are capable to use the full potential of new technologies are in an advantageous position compared to their rivals, who cannot introduce new technologies or fail to use them to expand their markets. In this regard, the William-Sonoma has already proved to be successful and the company has already reached a tremendous success with its websites. At this point, it is worth mentioning the fact that the company should carry on developing its websites and online services because, in a long-run perspective, online business will challenge the conventional business. Even today, e-commerce has already started to challenge conventional business. Therefore, in five years, the William-Sonoma can expand its market even more and enter international markets successfully, if the company carries on using the full potential of new technologies and implementing its current marketing strategy.
2. If you were the CEO of William-Sonoma, what strategies would you recommend, and why?
In actuality, strategies used by the William-Sonoma are quite effective. Nevertheless, if I were the CEO of the William-Sonoma, I would focus on the international market expansion because, at the moment, the company is too focused on the US market, whereas the potential of other markets is still underestimated by the company. Therefore, I believe the company would benefit, if it started the strategy of the international market expansion. What is meant here is the fact that the William-Sonoma can use the full potential of internet and modern telecommunication systems to expand its business worldwide. In fact, the company should just develop the international network to ensure the delivery of goods and services to customers in time. At the same time, the company can use internet and telecommunication systems to maintain communication with customers worldwide and to deliver products internationally. In this regard, the company can develop its business internationally and supply products to different parts of the world. However, the company will need to develop facilities in strategically important regions of the world, including Europe, East Asia, West Asia, Latin America and others, where the products can be delivered from to customers. Naturally, the company will need substantial investments to expand its network internationally but the fast development of technologies, the process of globalization and the growing competition force the William-Sonoma to implement the strategy of international market expansion to maintain its competitive position and to expand its market. In fact, globalization eliminates fiscal boundaries between countries stimulates the close economic cooperation and free trade. In such a situation, the William-Sonoma can benefit from low fiscal barriers and use its full potential to expand its markets internationally fast, especially today in the time of economic recession, when major rivals of the company face substantial financial problems.
3. Describe the competitive strategies used by each of Williams-Sonoma’s competitors. Which of these strategies are the most effective? Support your answer.
The major rivals of the William-Sonoma use different strategies, which may be successful, but the company should be aware of these strategies and develop its own competitive strategy, which can put the company into an advantageous position in the market. In this respect, it is possible to refer to Crate & Barrel, the company operates successfully and emerged as the counterculture company. What is meant here is the fact that the company offers customers original, unique products, which are different from conventional products created and sold by other companies. The company attempts to create the original, unique style and to distinguish from the major rivals. However, the target customer group of the company is relatively limited because not all customers prefer counterculture to the mainstream culture. The Restoration Hardware focused on the fast market expansion and growth investing substantial funds in the expansion of its network. This strategy is costly but it brings positive results for the company grows fast. Pier 1 Imports is another rival of the William-Sonoma, which focuses on the variety of products the company offers to customers. In such a way, through diversity, Pier 1 Imports attempts to gain the competitive advantage but this strategy need substantial resources because the company may have difficulties with the identification of possible groups of products that will be successfully marketed. The Bombay Company focuses on sales of traditional furniture but the company faces a risk of losing the younger customer group, who is interested in new products, which are different from traditional ones. Door Store focuses on three regions only and the company is quite successful in this region but this strategy is ineffective taking into consideration the fast business development and globalization of the modern economy. In a long-run perspective, the company will be unable to compete with multinational corporations operating internationally. Rolling Pin Kitchen Emporium is another rival of the Williams-Sonoma, which uses the similar strategy and may be quite successful.
4. How is Williams-Sonoma using the Internet as a distribution channel now, and how would you recommend that they use the Internet in the future?
In actuality, the Williams-Sonoma is using internet successfully but the company should use internet more effectively. To put it more precisely, the company seems to have no clear concept and vision of the development of its online business. In this respect, the company should start with the elaboration of the clear concept of the online business development and develop websites in the context of its strategy of the development of e-business. The websites created by the company should reach the target customer group but, at the same time, preserve basic elements of the brand to make the brand recognizable by different customers. In other words, the Williams-Sonoma should promote and sell its products online but it should have the concept and vision of its online business development and create the recognizable brand image, which can be traced throughout different websites and online projects the company is involved in.