Stratigies used by Dixons to become market leader
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Choosing A Faster Way of Growth Stanley Kalms took trips to the Far East forging vital links with Japanese manufacturers who supplied Dixons directly with products often made to the company“s specifications and sold under the brand name of 'Prinz“, meeting UK standards. Importing products from as far a country as Japan costing Dixons quite a bit more than they expected but buying in bulk/ achieving economies of scale they were able to cover the costs and still maintain a lower price for their customers. Hard bargaining and bulk buying gave Dixons the competitive edge over its rivals. Achieving economies of scale led to a fall in their average total costs. So being able to lower their prices and still make a profit, Dixons thrashed their competitors Ascotts and Bennetts. Until 1962, Dixons were growing organically, through growth of sales, but then suddenly ...
