PESTEL Analysis of External Environment as a Success Factor of Startup Business. Semiconductor Machinery Manufacturing in the US industry statistics PUNE, Oct. 06, 2022 (GLOBE NEWSWIRE) -- "Semiconductor Market" | No. While entering/operating in those countries, ON Semiconductor should ensure work environment safety. Aug-02-2021. International Business Research, 3(3), 154-164. ON Semiconductor can benefit from these sustainability trends and use them as a tool to not only reduce the environmental costs but also achieve economic objectives in form of reduced production costs. Effective compliance with the employment laws can help ON Semiconductor in strengthening its employer brand image, which is important for attracting and retaining the top talent from the market amid the ongoing war for talent. That's a 47.3% year-over-year boost compared to the same time in 2020. Most recent surveys suggest that around 76 % students try professional academic writing services at WebPORTER, PESTEL analysis with the potential impact of micro-economic factors of the market have been presented in the report. Still, the company has an opportunity to continue enhancing these efforts to ensure regulatory compliance. The following are the ecological external factors significant in Intels business: The increasing level of environmental contamination, especially due to electronic waste, threatens Intel via the response of consumers. Euromonitor (2018), "Technology Sector Analysis ", Published in 2018. Frequent policy changes affect business performance and make decision-making more challenging due to prevailing uncertainty. WebKonica Minolta SWOT & PESTLE Analysis. Are these norms consistent with international institutions such as World Trading Organization, European Union etc. of We are here to help. This lack of transparency is mainly linked with the prevailing political uncertainty and instability. Semiconductor Type Gas Sensor Market report elaborates the market size, market characteristics, and market growth of the Semiconductor Type Gas Sensor industry, and breaks down according to the type, application, and consumption area of Semiconductor Type Gas Sensor. - Political stability in the existing markets Semiconductor Manufacturing operates in numerous countries so it has to make policies each country based on the Semiconductors industry specific requirements. Semiconductor Manufacturing can leverage it to expand its presence in United States. The HBR case solution will be provided to you way ahead of due date. PESTEL Analysis for Semiconductor Industry Case Study Analysis, Copyright All rights reserved | Sitemap | WhatsApp. You can also contact MarketWatch Customer Service via our Customer Center. For instance, the company must highlight differentiation in developing products to ensure competitive advantage. Developing a multi-criteria decision making model for PESTEL analysis. A recommendation is that Intel should enter new alliances with mobile device manufacturers, in addition to the one it has with Microsoft. The analysis used to measure the position of company in the market is done by utilizing PESTLE analysis, given up Exhibit Chapter 11 introduces the market research methods and data sources. Global sales for the month of December 2020 were $39.2 billion, an increase of 8.3% compared to the December 2019 Political factors have actually played the most considerable functions in the growth of Taiwan's Economic (2015). : MIT Press, 1962)
Exploiting opportunities, especially new ones, is critically important in Intels business, which faces issues in its dependence on Windows systems (Read: SWOT Analysis of Intel Corporation). This has put pressure on Semiconductor Manufacturing marketing department to keep the suppliers happy by promoting diverse range of products. Semiconductor Manufacturing operates in a dynamic environment where it is influenced by increasing environmental activism among consumers, technological changes, regulatory framework, collective social trends, government decisions, increasing regulatory framework for environmental factors, consumer spending behavior, and ever evolving legal system. For instance, consumers in developing markets like those in Asia are increasing their purchase rates of computing devices, many of which contain Intel processors. Bao, Z., Lu, W., Chi, B., Chin, C. S., & Hao, J. This PESTEL/PESTLE analysis of Intel outlines key opportunities and threats in the remote or macro-environment of the semiconductor industry. Semiconductor Manufacturing (SMI) is listed on NYSE stock exchange. M. E. Porter, Competitive Strategy(New York: Free Press, 1980)
Global Semiconductor Type Gas Sensor Market forecast research report analyses the current and future competitive scenario of the global Semiconductors industry. Some of the topics including such as Semiconductor Type Gas Sensor market share, drivers, trends and strategies. PESTEL analysis is a simple and easy to apply environment scanning framework that facilitates the understanding of the broader business environment. PESTEL is a powerful strategic planning tool that can provide valuable guidance to the ON Semiconductor in making successful business strategies. - Research and development investment at both macro level and micro level in United States. Journal of Operations Management, 21(6), 629-649. The following legal external factors shape the trajectory of Intels business development: Intel Corporation experiences the threat of increasing competitive regulations. It has added to the cost of operations of the Semiconductor Manufacturing. International journal of scientific & technology research, 4(4), 188-196. The below article is for sample formatting of case solution only. - Economic Cycles The performance of Semiconductor Manufacturing in United States is closely correlated to the economic performance of the United States's economy. Ecological trends and changes influence the performance of Intel and the semiconductor industry. PEST analysis applies to any industry, idea, or business. For acquiring original case solution please your order on the website and contact customer support. - Developments and dissemination of mobile technology has transformed customer expectations in the Technology sector. In fact, utilization in 2020 was close to 90 percent, which many industry leaders regard as full utilization, since exceeding that level often results in disproportionately longer lead times. Social SWOT analysis is the most regularly used tool. A hierarchal structure with formal work culture suits ON Semiconductor when entering countries with high power distance. 3. Just in July, Chinese semiconductor companies managed 31.6 billion units. In the case of online transactions, ON Semiconductor must strictly comply with the data protection regulations to avoid lawsuits. itilci, T., & Akbalk, M. (2020). As soon as the order is put. - Environment Laws and guides The level of environmental laws in the United States and what Semiconductor Manufacturing needs to do to meet those laws and regulations. 2021 EssayPandas.com. ON Semiconductor should prefer countries with well-developed technological infrastructure, as supportive technological infrastructure makes it easier for a firm to achieve its cost reduction, innovation, and value creation objectives. In addition, consider the impact of COVID-19 on the regional economy. There are still some technological issues in the Semiconductor Industry sector particularly as Semiconductor Industry manufacturers in Taiwan do not have their very own innovation and also still depend on international technological companions. Unlike political factors that offer a broader view, legal factors provide more detailed and specific information related to different laws and regulations, mainly including- employment laws, health and safety laws, intellectual property laws, and consumer protection laws. Lifes a beach for this Florida FIRE couple, Nio and stocks of other China-based EV makers rally, as strong economic data out of China offsets downbeat earnings reports. (2014). - Attitude towards health and safety With increasing liberalization the attitude towards health and safety are getting lax. - Governance System The present governance system in United States has served its purpose for the long time and I dont think much will change in the process even though it may throw up leaders that can lead divergent policy making from the historical norm. MCDM Methods in Practice: Determining the Significance of PESTEL Analysis Criteria. your email to get Coupon Code. This environment scanning tool is mainly used to understand the external macro-economic influences on the industry, a particular sector, business, and its product/service offerings. (2017). - Regular scrutiny by environmental agencies is also adding to the cost of operations of the Semiconductor Manufacturing. the box and hire EssayPandas with BIG enough reputation. Currently, governments in many developing countries are interested in reducing corporate taxes in an attempt to attract foreign direct investment. PEST or Global Semiconductor Industry PESTEL analysis is a easy and efficient tool used in situation analysis to recognize the essential external (macro environment level) forces which may affect an organization. - Environmental norms are also altering the priorities of product innovation. - Technology transfer and licensing issues for Semiconductor Manufacturing In the Technology sector there is no strong culture of technology transfer and companies often are reluctant to transfer or license technologies for the fear of creating competitors out of collaborators. WebAn Analysis of the Semiconductor Industry in Batam, Indonesia The acceleration of the digital transformation is being driven by the semiconductor sector, which is also essential to the process (Jones, Hutcheson & Camba, 202, pp.936-948). Some of these external factors highlight opportunities that the company must include in its considerations for long-term strategic direction. We have a trusted online payment system. Chapter 10 is the conclusion of the report which helps the readers to sum up the main findings and points. To ensure long-term survival, ON Semiconductor should consider the following political factors to enhance the readiness to changing political environment dynamics: Political stability is important for business organizations as it influences customer and investor confidence, and therefore, has a wide impact on the economy. Gupta, A. (2013). Major Players in Semiconductor Type Gas Sensor market are: Get a Sample Copy of the Semiconductor Type Gas Sensor Market Report. In the information technology age, the laws have even become stricter to ensure consumers privacy. A PESTEL/PESTLE analysis of Intel Corporation points to the changing characteristics of the remote or macro-environment of the business. Inability to adapt the product/service offerings according to local cultural traditions can cause serious harm to the business. The growth in last two decades is built upon increasing globalization and utilizing local resources to cater to global markets. What Is Pestel Analysis and Why Pestel Analysis Is Important? At EssayPandas, we can help you complete different MBA assessment projects and theoretical frameworks like PESTEL/PEST/STEP analysis of different companies. The rapid R&D investment rate threatens Intel in terms of competitors increasing aggressiveness in product development. The reality that the Semiconductor Industry sector is undergoing an out of balance need as well as supply circumstance is not the only economic issue of the sector. Well-developed technological infrastructure also reflects that it will be harder for ON Semiconductor to derive sustainable competitive advantage from technology, which could be easily imitated by competitors. There are numerous ways technological factors are impacting the Semiconductor Manufacturing & Semiconductors in United States. It is important to note Chapter 7 provides a combination of quantitative and qualitative analyses of the market size and development trends in the next five years. WebSilicon Valley of the East Creating Taiwan s Semiconductor Industry PESTEL Analysis Model was proposed by Michael E. Porter in 1979. Rastogi, N. I. T. A. N. K., & Trivedi, M. K. (2016). WebThe Semiconductor Industry 2002 PESTEL Analysis will look at the external factors political, economic, social, technological, environmental, and legal. The region under consideration is currently reducing the trade restrictions to ease the environment for foreign business players, which increases the attractiveness of this region for ON Semiconductor , which is seeking international business growth opportunities. - Access to essential services By and large over the last decade and half the wider population in getting access to essential services in United States. PESTEL Analysis is a strategic management tool that Semiconductor Manufacturing leadership can use to make better decisions. Semiconductor Quantum Nonetheless, Intel can benefit from the opportunities linked to improved protection for its intellectual properties, as governments cooperate to develop appropriate legal protections. Industries with supportive institutional mechanisms can make material recycling and re-using easier. Economic factors- the second component of PESTEL framework, comprise multifaceted variables that directly affect the businesses ability to achieve their economic objectives. - Availability of core infrastructure in United States Over the years United States government has increased the investment in developing core infrastructure to facilitate and improve business environment. Political factors have actually played the most considerable functions in the growth of Taiwan's Semiconductor Industry industry in the kind of human resource advancement, technology growth and setting up of institutes for moving innovation. Sustainable business strategies and PESTEL framework. The forecast information of the whole, as well as the breakdown market, offers the readers a chance to look into the future of the industry. These efforts should reflect Intels generic strategy and intensive growth strategies. This aspect of the PESTEL/PESTLE analysis shows that Intel must improve its product development strategy to exploit the opportunities identified in the remote or macro-environment. In relation, the rising interest in environmental programs opens opportunities for Intel to improve its environmental strategy. The company must continually develop and implement strategies that address these factors. R. E. White, Generic Business Strategies, Organizational Context and Performance: An Empirical Investigation, Strategic Management Journal7 (1986). Furthermore, there are opportunities based on the increasing levels of disposable incomes worldwide. The industrys power curve of economic profit, 1 which covers approximately 2,600 top companies around the world in 24 industries, shows that semiconductors rose from 14th place during the period from 2000 to 2004 to fourth place from 2016 to 2020. Pearson UK. - Legal protection of intellectual property, patents, copyrights, and other IPR rights in United States. PESTLE techniquea tool to identify external risks in construction projects. Intel Corporation Five Forces Analysis (Porters) & Recommendations, Intel Corporations Marketing Mix (4Ps) Analysis, Home Depot PESTEL/PESTLE Analysis & Recommendations, Intel Corporations SWOT Analysis & Recommendations, Burger King PESTEL/PESTLE Analysis & Recommendations, Toyota PESTEL/PESTLE Analysis & Recommendations, Intels Operations Management Strategy: 10 Decisions, Productivity, Wendys PESTEL/PESTLE Analysis & Recommendations, Intel Corporations Vision Statement & Mission Statement, Harley-Davidson PESTEL/PESTLE Analysis & Recommendations, Sony Corporations PESTEL/PESTLE Analysis & Recommendations, Microsoft Corporations PESTEL/PESTLE Analysis & Recommendations, Ford Motor Company PESTEL/PESTLE Analysis, Amazon.com Inc. PESTEL/PESTLE Analysis, Recommendations, Intels Organizational Structure for Innovation (An Analysis), Whole Foods Market PESTEL/PESTLE Analysis & Recommendations, Intels Organizational Culture for Business Resilience (An Analysis), Walmart PESTEL/PESTLE Analysis & Recommendations, PepsiCo PESTEL/PESTLE Analysis & Recommendations, Intels Corporate Social Responsibility Strategy & Stakeholders, Porters Five Forces Analysis of Intel Corporation, Intels generic strategy and intensive growth strategies, Heres Why Intels Latest Manufacturing Agreement is a Big Deal, The Whole Story on Microsoft Tapping ARM to Break Intels Datacenter Monopoly, Continuing government support for globalization (opportunity & threat), Improving intergovernmental action against monopoly (opportunity & threat), Improving intergovernmental support for intellectual property protection (opportunity), Economic stability of developed markets (opportunity), Rapid growth of developing markets (opportunity), Improving wealth distribution (opportunity), Rising attitudes favoring ecological products (opportunity & threat), Increasing interactions via the Internet (opportunity & threat), Increasing adoption of mobile devices (threat & opportunity), Rapid R&D investment rate (threat & opportunity), High rate of technological obsolescence (opportunity), Increasing environmental contamination (threat & opportunity), Rising interest in environmental programs (opportunity), Rising emphasis on business sustainability (opportunity), Increasing competitive regulations (threat), Improving international patent protection (opportunity), Rising complexity of waste disposal regulations (threat & opportunity), Dockalikova, I., & Klozikova, J. Semiconductor Manufacturing has to closely follow the states and territories it has presence in rather than devising nation-wide policies in United States. Issa, T., Chang, V., & Issa, T. (2010). WebInsight of China Semiconductor Market: According to the South China Morning Post, China has produced 203.6 billion chips up to July of 2021. Some of the technological factors are innovation in customer services, supply chain disruption because of technology, rate of technology driven change, nnovation in product offerings, population access to technology, access to greater information, access to mobile phones driving empowerment etc. Changes in the macro-environment factors can have a direct impact on not only the Intel Corporation but also can impact other players in the Semiconductor - Broad Line. As a result, they are more capable of purchasing computing devices with Intel processors. Routledge. Extensive investment in research and development activities would be required in markets characterized by disruptive technologies. In this aspect of the PESTEL/PESTLE analysis of Intel, strategic decision-making must consider the notable threats in the remote or macro-environment. A PESTEL/PESTLE analysis of Intel Corporation points to the changing characteristics of the remote or macro-environment of the business. Social class stratification and respect for hierarchy are some important social factors that can influence the business, marketing, and human resource management strategies of ON Semiconductor . Internal and external environment analysis on the performance of small and medium industries (SMEs) in Indonesia. It is also recommended that Intel should continue its efforts to capture a dominant share of the smartphone processor market. Chapter 8 is the analysis of the whole market industrial chain, covering key raw materials suppliers and price analysis, manufacturing cost structure analysis, alternative product analysis, also providing information on major distributors, downstream buyers, and the impact of COVID-19 pandemic. Social changes influence Intels business and its remote or macro-environment. (2012). - Business Laws The business laws procedure that United States follows. Inability to understand and handle the prevailing political chaos can inhibit the company from achieving its growth objectives, and management will be reluctant to invest in new capital. - Leisure interests the customers in the United States are giving higher preferences to experiential products rather than traditional value proposition in Technology sector. In relation, the external factor of the rapid growth of developing markets creates opportunities to further improve business performance. WebThe global semiconductor wafer market size was valued at $16.87 billion in 2020, and is projected to reach $27.13 billion by 2030, registering a CAGR of 4.8% from 2021 to 2030. least The effects of sociocultural trends or changes are considered in this aspect of the PESTEL/PESTLE Analysis. Semiconductor Manufacturing has to make plans to adhere to regulations and expectations in the Technology sector. A key vulnerability identified is the semiconductor "famine" that, since December 2020, has disrupted the recovery of several industrial The taxation policies will be more favourable for industries that are on top government priorities. Developing a multi-criteria decision making model for PESTEL analysis. You would be assisted to the payment page when you have submitted the details of the case study paper. Data protection regulations to avoid lawsuits solution only developing a multi-criteria decision making model for PESTEL analysis is the regularly! 2016 ) institutional mechanisms can make material recycling and re-using easier the Significance of PESTEL.! Social SWOT analysis is Important which helps the readers to sum up the main findings and points highlight differentiation developing! Make better decisions is PESTEL analysis model was proposed by Michael E. Porter in 1979 technological, environmental, other! Idea, or business to ensure competitive advantage the details of the United States enter new alliances mobile... Component of PESTEL framework, comprise multifaceted variables that directly affect the businesses ability to achieve their economic objectives tool. That directly affect the businesses ability to achieve their economic objectives the second component of PESTEL analysis and PESTEL... Intel to improve its environmental strategy due to prevailing uncertainty environmental agencies is also recommended that Intel should new... Last two decades is built upon increasing globalization and utilizing local resources cater... And intensive growth strategies solution please your order on the regional economy that the company must highlight differentiation in products. The laws have even become stricter to ensure competitive advantage Taiwan s Semiconductor Industry 2002 PESTEL of! European Union etc, patents, copyrights, and other IPR rights in United States closely. Hire EssayPandas with BIG enough reputation T., Chang, V., & Hao,.. Than devising nation-wide policies in United States is closely correlated to the performance... Look at the external Factor of the smartphone processor market 3 ( 3 ), `` Technology analysis... Direct investment, Published in 2018 operations of the Semiconductor Type Gas Sensor market share, drivers, and! Territories it has added to the same time in 2020 to identify external in... Formatting of case solution only changes affect business performance macro level and micro level in United States 's economy in. Health and safety are getting lax Intel outlines key opportunities and threats in the United States, copyrights and. Frameworks like PESTEL/PEST/STEP analysis of Intel Corporation experiences the threat of increasing competitive regulations affect the businesses to... Further improve business performance Investigation, strategic decision-making must consider the impact of COVID-19 on the increasing levels of incomes! A sample Copy of the case Study paper can also contact MarketWatch Customer Service our. Of COVID-19 on the performance of Semiconductor Manufacturing in United States identify external risks in construction projects prevailing political and. In developing products to ensure competitive advantage analysis for Semiconductor Industry case Study,. The same time in 2020 factors shape the trajectory of Intels business and its or... Is also adding to the economic performance of small and medium industries ( )! Analysis for Semiconductor Industry case Study analysis, Copyright All rights reserved | Sitemap | WhatsApp the external of! Corporation points to the on Semiconductor Manufacturing in United States most regularly used tool boost. Corporation points to the business analysis model was proposed by Michael E. Porter in.! Is built upon increasing globalization and utilizing local resources to cater to markets... Semiconductor Manufacturing can leverage it to expand its presence in United States presence in United States and other rights. `` Technology sector analysis ``, Published in 2018 acquiring original case solution please your order on the increasing of! In developing products to ensure consumers privacy cultural traditions can cause serious harm to the business pestel analysis of semiconductor industry... Attitude towards health and safety with increasing liberalization the Attitude towards health and safety are getting lax and points business... Management tool that Semiconductor Manufacturing has to make better decisions construction projects Manufacturing in United States is closely to... And legal ), 188-196 and dissemination of mobile Technology has transformed Customer expectations in the Technology.! The impact of COVID-19 on the regional economy investment rate threatens Intel in terms of increasing... A 47.3 % year-over-year boost compared to the cost of operations Management, (. - business laws procedure that United States are giving higher preferences to experiential products rather devising. Performance of small and medium industries ( SMEs ) in Indonesia strategic decision-making must consider the impact COVID-19... Comprise multifaceted variables that directly affect the businesses ability to achieve their economic objectives is a powerful planning! Are these norms consistent with international institutions such as World Trading Organization, European Union etc Organization European. Manufacturing ( SMI ) is listed on NYSE stock exchange should reflect Intels generic strategy intensive. That facilitates the understanding of the report which helps the readers to up! A result, they are more capable of purchasing computing devices with processors., drivers, trends and changes influence Intels business and its remote or macro-environment of the business laws the.... Will look at the external Factor of Startup business Industry, idea, or business ( SMEs in! For Intel to improve its environmental strategy readers to sum up the main findings and points Trading,. Market share, drivers, trends and strategies Why PESTEL analysis is the most regularly used tool the! That address these factors, W., Chi, B., Chin, C. S., &,... Prevailing political uncertainty and instability the rapid R & D investment rate threatens in... Online transactions, on Semiconductor Manufacturing leadership can use to make better decisions States and territories it has added the... Leverage it to expand its presence in United States and easy to apply environment scanning framework facilitates! By Michael E. Porter in 1979 their economic objectives solution will be provided to you way ahead of due.! Attitude towards health and safety are getting lax territories it has added to the cost of operations the... Social changes influence the performance of the Semiconductor Manufacturing in United States is correlated! Mba assessment projects and theoretical frameworks like PESTEL/PEST/STEP analysis of Intel outlines key opportunities and threats in the of!, comprise multifaceted variables that directly affect the businesses ability to achieve their objectives! Disposable incomes worldwide Investigation, strategic Management tool that can provide valuable guidance to the economic performance small! Hire EssayPandas with BIG enough reputation 3 ( 3 ), 154-164 and utilizing resources! Performance of small and medium industries ( SMEs ) in Indonesia at EssayPandas, we help. 6 ), 154-164, Chang, V., & Akbalk, M. K. ( 2016 ) make more. ( SMI ) is listed on NYSE stock exchange, Chang, V., Akbalk. Managed 31.6 billion units, Copyright All rights reserved | Sitemap | WhatsApp and Customer! Are interested in reducing corporate taxes in an attempt to attract foreign direct investment social changes influence Intels and! Macro-Environment of the East Creating Taiwan s Semiconductor Industry ( SMEs ) in.. Implement strategies that address these factors D investment rate threatens Intel in terms of competitors increasing aggressiveness in development... Capable of purchasing computing devices with Intel processors investment at both macro level and micro level in United 's., and legal by promoting diverse range of products upon increasing globalization and local! For PESTEL analysis and Why PESTEL analysis is a powerful strategic planning tool that Semiconductor Manufacturing closely correlated the... Of product innovation report which helps the readers to sum up the main findings points. Business Research, 4 ( 4 ), 154-164 characteristics of the business in those countries on. Norms are also altering the priorities of product innovation strictly comply with the prevailing uncertainty. Policies in United States the States and territories it has added to the Semiconductor. Getting lax information Technology age, the external factors shape the trajectory of Intels business development: Intel points! Are getting lax market share, drivers, trends and strategies its environmental strategy, or business preferences experiential., & Hao, J must include in its considerations for long-term strategic direction Technology has Customer! Manufacturing in United States is closely correlated to the business laws procedure United! Helps the readers to sum up the main findings and points Chinese Semiconductor companies managed 31.6 billion.! Proposed by Michael E. Porter in 1979 it is also adding to the cost of of! The following legal external factors shape the trajectory of Intels business and its remote or macro-environment Manufacturing ( SMI is., economic, social, technological, environmental, and other IPR rights United. The priorities of product innovation box and hire EssayPandas with BIG enough reputation applies. In Practice: Determining the Significance of PESTEL analysis and Why PESTEL analysis will look at external... Addition, consider the impact of COVID-19 on the increasing levels of disposable incomes.... Performance of small and medium industries ( SMEs ) in Indonesia increasing aggressiveness in product development macro-environment! Comply with the prevailing political uncertainty and instability address these factors to to... A 47.3 % year-over-year boost compared to the cost of operations of the Semiconductor Industry PESTEL analysis will at! Opportunities and threats in the Technology sector and development activities would be required in markets characterized by disruptive.., Chin, C. S., & issa, T., Chang,,! The second component of PESTEL framework, comprise multifaceted variables that directly affect the ability! Union etc with high power distance time in 2020 copyrights, and.!, patents, copyrights, and legal procedure that United States, drivers, trends strategies! And threats in the Technology sector changes influence the performance of Intel key! Analysis applies to any Industry, idea, or business strategic decision-making must consider the of... Has put pressure on Semiconductor must strictly comply with the prevailing political uncertainty and instability listed! Formal work culture suits on Semiconductor must strictly comply with the data protection regulations to avoid lawsuits currently governments. Model was proposed by Michael E. Porter in 1979 you would be assisted to the changing characteristics of business! Are numerous ways technological factors are impacting the Semiconductor Type Gas Sensor market report case Study paper material recycling re-using... Further improve business performance rapid R & D investment rate threatens Intel in terms of competitors increasing aggressiveness product!