Engineering Services Industry

 

Engineering Services Industry

-          Coin Flipping

 

           This week’s module is interesting to learn about industry analysis. Engineering Services is a major firm in product industry and logistics businesses. It’s defined as any service, the adequate performance of which requires engineering experience in the application of special knowledge of skills. Its major ability in the economy as:

                                                                                    

                       Every year there will be challenge of treat of new entrants in the service industry and easy of  business coin flipping. New entrants bring innovation, new ways of doing services like lower pricing  strategy, reducing cost, and providing new value proposition to the customers. Service company has to manage all these challenges. It is very important to research and update on the market trends, keep researching of new and existing competitor’s weakness and strong points, it successfully gained popularity with brand name and relationship, huge investment of time to research and follow up of customer market forecast. Services company is important to build effective barriers to safeguard its competitive edge.

      As engineering service by building efficient services with customers and providing the best talent with relationship for its assignment process, which makes the attention of customers to stick to this company. As business fluctuate, it predicts the supply level so customer have high bargaining power in services.

      As the engineering service industry market is based on service and provide talent skills, and key play like relationship, brand and culture make the company to expand, and which add more customers because of word of mouth. Customer wants to have the best offering like minimum price and skills innovation.

      The threat of a substitution in service is high if it offers a value proposition that is uniquely different from present offerings of the industry. As substitution matters the most it has unique offering to customer, culture and relationship which makes the customer coin flipping. To prevent from treat of substitute, to give unique service and innovative way to customer like outsources servicing to reduce cost of the product rather than the only onsite service, by understand the core pain of customer rather than what customer is buying, by giving new ideas to perform the job and new technology.

       As above points if the rivalry among the existing service company in an industry is intense then it will drive down price and decrease overall profitability of the industry. Company operates in a very competitive service industry. This competition does take toll on the overall profitability of the organization. To prevent by building a sustainable differentiation and collaborating with competitors to increase the market size rather than just competing for small market.

Coming year’s engineering service is doubling the forecast because of demand fluctuation. Today’s world engineering service is playing key role in industry. Company future must be taken care of with emerging technologies and market trends, improve standard process, transparency and accountability in business to expand the market in the industry.