Home Assignment 2: Dyson
Home Assignment 2: Dyson
Home Assignment 2: Dyson
Chaima Ghodbène
Strategic management
Question 1 : Using frameworks from the chapter, analyze the strategic capabilities
of Dyson.
The strategic capabilities of the company are about their resource-based view of this
strategy while focusing on engineering design. In fact, the company spends lots of time
and energy in order to develop and engineer prototypes for households’ products that
slightly differ from the typical device that is being commercialized. A good example
would be the vacuum cleaner that has a plus compared to traditional vacuum cleaners; it
provides smooth turning around the corners. The products offered by a company are
essentially dedicated to a niche market that is among a saturated one. The design of the
products, as well as their brightness and colorful exteriors are what attracts this niche
market.
In order to make their products cheaper, Dyson invests in the Chinese and Asian
manufacturing which allows them to maintain a profit margin benchmarks. Overall, their
strategic capability is high. Their products might not be dedicated to “normal” consumers,
Question 2 : to what extent do you think any of the capabilities can be imitated by
competitors ?
I think that it is quite difficult to imitate the strategic capabilities of the company because
of their well-established niche market that is mainly there because of the superior design
of the products that the company offers. Dyson is very flexible to change, and they are
focusing on innovation and they are not afraid to test new design of products. Their level
of specialization is what attracts their customers. For other companies, to imitate Dyson,
they will have to hire very well experienced engineering designers and train them to be
In addition to that, Dyson has placed preventive patents on their product to stop other
Today, what is allowing Dyson to position itself as a relatively high price company is the
high quality of its product translated in the design and engineering. This is what allow the
company to stand as a distinctive one in the market. However, as time goes on, the
existence of high value specialties will probably become a threshold capability for the
company.
It would certainly not be beneficial for the company to change its business model and go
for increasing volumes and standardize the products because it will probably affect its
reputation and brand image. For that reason, in order for the company to keep its
position , they will always have to invest in innovation and be the first mover in the
market.
Question 4: Bearing in mind your answers to questions 1 and 2 , how crucial is Sir
James Dyson to the future of company ? what might be the effect of his resignation
James Dyson is a big public figure and a well-known spokesperson for the Dyson
company. The company’s reputation is mainly based on him. The company would
certainly not be the same without him. His creative mindset and innovation seeking are
key elements for the success of the company. Him leaving would probably also mean lost
partnerships and affiliations. At some point, he will certainly leave the floor to others to
Home Assignment 2: Dyson
run out his company. The person in charge will have to maintain his level of creativity
and cherish his values and the values he wants its company to represent.