CASE STUDY AND

ANALYSIS OF PHILIPS
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 COMPANY OVERVIEW
 Philips was situated in the Eindhoven in the year 1891.
 The founder of the company is Gerard Philips and his father Fredrik.
 It is the largest companies for electronics goods in the world.
 In this company more than 105,000 people are working across more than
60 countries.
 Royal Philips id the Dutch technology company which has the
headquartered in the Amsterdam, Netherlands with the primary divisions.
 It focused in the areas of electronics, lighting and healthcare.
 By utilize the Philips chips, 80% cell phones are sold.
 Beside this, this Philips chips are utilized in other electronic things such as
computerized cameras, new autos and many more.
 SEGMENTATION OF MARKET
 To develop the Philips marketing strategy, it requires identification of the segmentation based on
the behaviour of the customers.
 The segmentation is generated according to the factors of the customers such as age, gender,
lifestyle, income and many more.
 By this process, it can obtain the customer specific information which could be used to generate
the groups that sharing the common characteristics.
 After gathering the information and behaviour of unique buying of the customers, Philips can divide
market into small homogeneous groups.
 It can be done by geographic, demographic, psychographic and behavioral characteristics of the
customers.
 Geographic segmentation divides market according to the geographic areas such as region,
country and many more.
 Demographic segmentation divides market according to the demographic characteristics such as
gender, ethnicity, age and income.
 Behavioral segmentation divides the customer according to the pattern of buying such as benefits
sought, brand loyalty, usage occasions and frequency.
 Psychographic segmentation divides the customer according to their interests, values, traits,
lifestyles and attitudes.
 MARKET RESEARCH
Philips undertook the study of market research of more than 180
companies and 1650 consumers.
The objectives of the market research were:

For identifying and testing the new routes to move the Philips
brand going forward.
Enable the Philips company to understand the current position in
market better.

It undertook the research among 26000 respondents to measure

the equity of the brand.
 SWOT ANALYSIS
 SWOT analysis of Philips analyses brand with its weaknesses, threats, strengths and
opportunities.
 The strength of Philips are this company operates facilities of production across the globe
and it has a strong R&D portfolio and maintained seven centre of R&D to meet the
requirements of the clients.
 This company maintained the strong market leadership and leads in the acute care, cardiac
care and home healthcare also energy lighting solutions and maintains the growth rate in
developing countries.
 The weaknesses of Philips are different types of legal actions are present against the
company that destroy the image of company. Also it has quotients of high price over its
products. business in the inorganic route
 The opportunities of the Philips are it has to develop its business in inorganic route also Philips
needs to meet the growing demand of sustainable products and green lighting also increase
the business in emerging economics.
 The threats of Philips are that the company maintained highly competitive environment of
business and consistent fluctuations in the rate of exchange.
 Philips also ensures availability of the cheaper technology in market. Know details in help with
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 PESTLE ANALYSIS
 PESTEL framework categorises environmental influences into six types which are economic,
technological, legal, social and environmental, political.
 Rules and the regulations which set by the government are major factors that can affect the
industry of electronics.
 Philips’s growth aim may affected unfavourably by the economic instability which have the huge
impact of changes in the macroeconomic circumstances on the growth economics.
 The values of cultural and social in the region plays a great role on operations of business. All the
main social factors such as age distribution fluctuate and growth of population, education,
emigration and lifestyles of consumer, have the mutual effect on the operation of Philips to
penetrate in the industry of electronics.
 The new manufacture methods also claim for the high profile technology as Philips offers the
electronic products according to market features.
 Many government controlled bodies are programming to force the organizations to work
permitting to law connected policies for the defense of both the customers and the corporations
in recent years. These factors are employee welfare, consumer protection, excise duties, waste
disposals, trading restrictions, banking organizations, quotas and insurance legal compliance.
 Philips needs to notice the revolution of the rate of demographics and urbanization to design their
all the products accordingly.
 CONCLUSION
 Philips is focused their development in the areas of electronics, lighting and
healthcare.
 The segmentation of the market of Philips is generated according to the factors
of the customers such as age, gender, lifestyle, income and many more.
 Philips can divide market into small homogeneous groups such as geographic,
demographic, psychographic and behavioral characteristics of the customers.
 Philips undertook the study of market research of more than 180 companies and
1650 consumers.
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 This company maintained the strong market leadership and leads in the acute
care, cardiac care and home healthcare also energy lighting solutions and
maintains the growth rate in developing countries.
 Philips’s growth aim may affected unfavourably by the economic instability
which have the huge impact of changes in the macroeconomic circumstances
on the growth economics.
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