Course: Business Model Development and Innovation

Razer
About Razer:

Razer is a lifestyle brand offering gamer-focused

ecosystem of hardware, software related services for
gaming and esports communities. In 2005 Razer was
founded by Min-Liang Tan and Robert Krakoff. Razer
firstly launches the Razer Diamondback gaming
mouse. In collaboration with Microsoft, Razer
designs the Habu gaming mouse and Reclusa gaimg
keyboard, and markets them under the Microsoft/
Razer co-brand. The Razer DeathAdder gaming
mouse launches and becomes the bestselling gaming mouse in the world.

Business Innovation:

When the pandemic hits, numerous industries were effected badly. While the gaming industry
suffer the least. This industry was grown in the first half of 2020. Despite the growth in the
gaming industry, Razer which predominantly sold its gaming hardware and software through
retailers, faced challenges in growing their business such as closing down of retail stores.
Rather by the challenge, Razer saw this as an opportunity to grow their Direct-to-Consumer
business through its website.

To start its journey towards growth in its D2C business, the team uses different approaches to
their product offering.

1) New Product in existing Categories:-

To grow Razer fan base and leadership in the
gaming sector, it is the key to keep the existing
range of products up to date with new innovate
products. Company launches Kraken Kitty series
to cater the female customer segments. Razer
also created a series of Collab Products where
character inspired variants were created for
 some of the most popular peripherals as it gained popularity among the gamers.
While the company started it with gaming characters.
2) New products in new categories:-
Razer start production of the game controller and surgical mask and also Razer
started serving customers in the Pc gaming
sector. Company also started manufacturing
gaming laptops. Razer Blade 15 was the first
model developed by company. Kishi was the
mobile game controller that was created by the
company and it helps the company to get the
Best of CES award. When the covid hits Razer
ventured into the production of the surgical
masks. The biggest edge that this company gain
was manufacturing of Mouse just for the left handed gaming community and they
named the product left hand Naga.
3) New Service/digital products:-
All these new digital products were low cost and high margin items. Company
adds value to customer experience as they
allowed consumer to enjoy the products.
Company allows its customers to purchase
extended warranty directly from them to extend
the life of the product. This not only gave their
consumers the peace of mind also helps the
brand build its reputation for quality products.
Razer also sell premium audio software (THX
Spatial) that allows consumers to improve their
audio experience and special thing is that
consumer use that software on any device they are using.

Razer opened its regional warehouse to fulfilment of orders by themselves as a result Razer
was able to lower their operational cost. Also this creative approach helps the Razer to achieve
overall sales growth and increase the percentage of overall sales from its D2C business.
Master Group of Industries:
Master Group was established in 1963 as
a foam industry. They produced Master Thermo shield,
polyurethane and polystyrene to provide smart insulation and
sustainability. They also started manufacturing different types of
foams that were used for beds. In 1996 they introduced the master
celeste foam that was the best product and it gave a company
huge hype in profits and also it helps the company to create the
best brand image in the mindset of the customers.

With time to time company start expanding their business

model and adds Master Motors in their business. In year 2018,
many automobile companies start operating in the Pakistan.
Also people wants something new. At that time Master Group
make a decision to take the Chinese Car brand into the
Pakistan. They thought that it is the best time to give Pakistan
people something new and also it will help them to increase
their revenues.

Then Master Group first time introduced the

Changan Automobile Company in Pakistan. They build their
manufacturing plant in Karachi. They introduce “Changan
Alsvin” car model in the in the Automobile market of
Pakistan. They introduced its 3 variants. That model give
tough competition to Toyota and Honda. The launch of this
model was success for the company. Recently Changan
launched its new model and it was Oshan X7.