Use this Medtronic 6 path analysis to inform your development of a strategy canvas, where you will explore a reconstruction of market boundaries—looking to identify potential blue ocean spaces. In other words, explore and develop a strategy to enter new markets based on blue ocean? See 6 path analysis below, provide at least 1 reference in APA format
Six Paths Analysis
1. Industry and current state of competition
It is a Fast growth industry but still with less competition
Medtronic has a strong brand name and ability to leverage technology to products and processes
It has established a strong supply chain of channel partners and retailers
It has some economies of scales due to large scale operations
Current and new customer targets- Hospitals, health clinics, healthcare providers, and government agencies
current Product segment- healthcare Therapies and medical equipment’s
still need to look across complementary product and service offerings
It has worked so far on functional-emotional orientation of an industry, but must find new arenas to beat the current competition
2. Strategic Group
New products and new markets
Mergers and acquisitions to gain strategic advantage.
Focus on technology and improving research capabilities.
It has to Build more capacities and invest money on research and development to put a barrier to new players in industry and increase its profit margins.
New product designs using different materials need to be implemented
It still needs to follow new Purchasers who pay for the product or service, target those actual users who use the products, identify and work with those influencers who have a role to play in decisions.
3. Buyer Group
In most industries, competitors converge around a common definition of target buyer. However, there are chain of buyers who are directly or indirectly involved in buying decisions, such as:
Purchasers who pay for the product or service
Actual users who use the products
Influencers who have a role to play in decisions
Intermediate buyers who are traders
Regulators who influence the buying decisions
Thus, blue ocean strategy is formulated by finding out who are the chain of buyers in your industry and which buyer group does your industry typically focus on. Medtronic created Blue Ocean by focusing on stroke patients by launching The Solitaire™ 2 Revascularization Device instead of only focusing on diabetic patients.
4. Scope of Product or Service Offering
An organization must think about what happens before, during, and after your product/service is used by the consumers. In most industries, competitors converge within the boundary of their industry’s product and service offerings. By understanding the context in which your product or service is used and what happens before, during, and after, you can identify pain points of the consumers, and eliminate these pain points through a complementary product or service offering.
Medtronic’s complementary mission and leadership in treatments for structural heart disease represents the best possible opportunity for bringing ATS Medical’s innovative cardiac surgery technologies to more surgeons and patients.
5. Functional emotional orientation
This path delves into the functional and emotional appeal that the brand and its products have on its customers.
Its cutting edge innovative technology helps in enhancing its functional aspect of the different products.
The company has shown continual growth. This is the best example of its developing function aspect of business.
The Medtronic brand is a recognized global brand.
Many highly qualified doctors have its products, used in their diagnosis.
The brand has a deep emotional connect in the minds of the consumers. The consumers can trust the brand and consider it very dependable.
6. Time
Medtronic has proved time and again, that it has the capability to look across time and predict market trends
Its continual growth across the years portrays the effectiveness of this capability
The path-cutting technology and innovation has always kept this company, a step ahead in the market.