Evaluating the Business of Tecno Mobile Company (Essay Sample)

Tecno Mobile Company
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Institutional Affiliations
Date
Tecno Mobile Company
Introduction
Tecno is a premium Mobile manufacturing company brand under Transsion Holdings based in Shenzhen, China. It specializes in the manufacture of Android mobile phones, tablets, and mobile accessories. The company was established in 2006 as Tecno Telecom limited but later adopted the Tecno Mobile company title upon its initiation as a Transsion Holdings subsidiary. Additionally, Transsion holdings encompass other mobile and tech companies under its brand. As such, Tecno Mobile company exists as an independent entity under Transsion Holdings. Consequently, the company's nature prompted a global market analysis that would later change the Tecno mobile company. This paper deliberates Tecno's business model and expands on bases for segmenting markets. Additionally, the essay discusses Tecno's Choice of Segmentation, achievement, and subsequent promotional strategies.
Business model
Based on its technological nature and the target market, Tecno mobile company employs the Busines to Business model (B2B). This model embraces the supply chain; thus, features assembling and trickling products down the market. Tecno mobile has utilized this model by integrating the global value chain (GVC) in Ethiopia, thus, creating an assembling firm that first produced its maiden phone in 2017 (Bloomberg Businessweek, 2018). Further, Tecno mobile company embraces the B2B model through its retail-based approach across Africa and Indian Markets. Marketing and selling firms such as Amazon depict the retail nature that Tecno mobile utilizes in its Ecommerce B2B model (Gizbot, 2020). Other prominent online retail stores adopted by Tecno mobile include Jumia stores in Kenya and Alibaba stores renowned in North Africa. However, despite its dominance in African Markets on eCommerce platforms, Tecno Company also furthers its model with physical outlets. Its vast array of phones, tablets, and their corresponding spare parts necessitates a need for Business to Business-oriented business model.
Business Markets Segmentation
Business to business models embraces a five markets segmentation facet that encompasses; Demography, Geographical location, Geodemography, Psychographic, Behavioural.
Demographic Segmentation encompasses aspects such as Age, Income, Gender, Occupation, Education, Marital status, Family size, and Socio-economic statuses in its division of the target market. While all the aspects above may not necessarily influence the company's decision concurrently, Aspects such as Age, Education, and socio-economic status are prevalent in this Segmentation.
The age element is critical as it highlights the target population's preferences and needs based on their Age. Furthermore, Age is also essential in population estimation of the dominant group regarding the target population's Age. The education levels then depict the target markets' literacy levels and their protracted interest and subsequent use of the product in question. However, of the two aspects discussed above, Economic statuses are more critical of them all. Economic statuses depict the target population's ability to purchase and sustain the product.
Geographic Segmentation follows the determination of the target market based on their physical location. Physical location segmentation supplements geographic Segmentation by classifying the target population in consumer-based spreads of Nationality or continental (Haider et al.,.2017). Consequently, consumer-based space becomes vital in determining the volume of products needed and the number of retail stores required to satisfy the consumer market.
Next, Geodemographic Segmentation syndicates both geographical and demographic Segmentation aspects. Analysis resulting to this Classification considers the consumer market's geographical location and socio-cultural factors discussed in Demographic Segmentation above. Consequently, the recommendation of this type of Segmentation follows an analogy that individuals staying together, regardless of the geographical vastness, are bound to have a similar interest; thus, an extended consumer market.