Innovation

One way to do this is through differentiating itself from other companies. Differentiation strategy ensures that a company has one principle or rule by which it is identified in the market. The differentiation strategy that is used in this project is the promotion of gender equality in the company. This will help to improve the brand image of the company. Gender equality involves showing the customers that the company shows responsibility for its employees as much as it is looking to make profits. Employee perception can be a strategy to improve the brand image. Additionally, gender consideration concerning equality in the workplace employment is outlined in the civil rights acts. Starting this trend would differentiate Jiekai from other companies.

The company will also employ the low-cost provider strategy. With the company’s major headquarters in China, the company can look to expand in other countries, especially in the developing regions. In such an environment, it can be easy to introduce competition, as the products will be offered at a slightly lower price than the locally produced zippers. This will create a competitive advantage for the company.

Inspiration

The main inspiration for the leader was to create growth for the company. After running the company for almost two decades, he felt a need to move the company to the next level. This was only possible by engaging in innovative practices to help the company move from one position to another. The leader was ready to contribute to the improvement and growth of sales for the company in all ways.

The leader was also motivated by the need to create a difference in the industry. For a long time, the industry was stagnant with only a few key players recognized at the top. There was a lack of competition, which meant that the companies at the top had gotten comfortable. This also means that a lack of competition for the top could lead to low-quality products or even counterfeit goods as the market sales, profits, and trends are already predetermined. There was a need to shake up the market and create competition, which would improve both the quality of the company’s products and also other companies. Competition is healthy in maintaining a good market economy.

Overall impact

The innovation brought different effects for the company. The short-term effect of the innovation was the inclusion of a more equalized employment system for the company. The company emphasized the need to ensure equality in its hiring, which led to freshly hired employees creating an equal number of male and female employees. This, however, did not mean that they fired some of the previous staff. The only thing they did was hire more female employees for equal gender representation. Additionally, there were random campaigns selling the idea for the people to identify with their strategy and encourage other employers to take on this approach.

The long-term effect would be felt with the introduction of new branches in developing countries using the cost leadership strategy. While this was not a small innovation, the company would enjoy a long-term effect of the profitability this would bring. The cost of establishment would be high, which is why it would take some time. However, after its establishment, the company would flourish by providing products at lower prices and cover all the costs incurred.

The evidence for this occurrence comes from the case studies and research conducted for both strategies. The research shows that consumers are likely to consider the employment ethics of a company when they are purchasing their goods. The cost leadership strategy was also one of the leading strategies in the profitability of a business.

Business benefit

With the proposed differentiation and cost leadership strategies, there are various benefits for the company. For one, the differentiation strategy will lead to the hiring of new employees. It will not only be the hiring of new employees, but the hiring of female employees who help to contribute towards the gender equality rule in the civil rights acts. However, there will be no employee layoff to facilitate this and therefore, other employees will be retained despite the addition.

For the cost leadership strategy, new markets will be opened. The idea is to expand the services of the company to a global level where they will tap markets in developing countries. There are limited choices of such companies in developing countries. Therefore, introducing another brand would increase the choices that the customers in these countries have. It would also save on some of their spending, since the company will be a cost leader, which means it will provide its goods at slightly lower prices and win more customers.

The introduction of new branches in developing countries will also increase competitiveness in these countries. This will prompt other brands to improve their quality or lower their costs of production to accommodate the low-price set by the Jiekai company. This will be an advantage for the consumer.

Social and environmental benefit

There are many benefits to this innovation. One advantage is that the innovation creates job opportunities for the unemployed. This is, therefore, a solution for unemployment. Also, considering that the initiative is focused on the employment of women, it solves the problem of inequalities in the workplace. Many workplaces, especially in this century, do not consider the place of women in these companies and the diversity they would bring by being in the company. This is, therefore, a beneficial step for community activists towards equality in the workplace.

Another benefit is that the introduction of a new brand with a cost-leadership strategy can reduce the cases of consumer exploitation. In some developed countries, research shows that some brands tend to operate in a monopoly. Monopoly businesses are known to exploit the consumer since they are the only provider of their service in the area. The introduction of a new brand would mean that competition is introduced, allowing the market forces to be reformed. The price of the products will be determined by the demand and supply in the market.

The differentiation strategy also encourages other companies to respect the equality of employment in the workplace. Therefore, this campaign can help in the adoption of equality in many workplaces. The employment of equal numbers of male and female employees in the companies would gradually lead to equal pays, which is still a problem in today’s workplaces. This process would eventually bring benefits to the entire business environment and society.

Interview

Yuejie Huang, CEO