Environmental scanning analysis of Ciba Vision's market position

CIBA VISION: Environmental scanning

Political

CIBA VISION is part of Alcon, a healthcare organization with an international outreach. CIBA's specific focus is contact lenses, and it has a longstanding reputation of providing a diverse range of products to suit the needs of consumers living all over the globe. As more consumers in developing regions have the buying power to purchase contacts in the 180 nations served by Alcon, more consumers will shift to buying the diverse products offered by CIBA VISION (Chavers & Mota 2010). CIBA VISION has specifically undertaken research to suit the unique needs of Asian contact lens wearers' eyes (Research and development, 2010, CIBA VISION).

Given the expanding market for eye care products in China and elsewhere in the Far East, CIBA stands poised to acquire a potentially large consumer base. CIBA VISION is one of the most innovative producers of contacts on the market today, and recently won a lawsuit against Bausch & Lomb, a competitor organization, that violated its patent (Bausch & Lomb: Limited voluntary recall, 2007, Bausch & Lomb Official Website).

Socio-cultural

Given the recent economic downturn, more people feel a need to look younger and more marketable as potential employees. Wearing contact lenses can improve one's appearance and make the wearer seem more youthful. There is also a greater emphasis upon appearance globally, as more consumers in the developing world are exposed to Westernized images of beauty.

Economic

As the economy remains shaky, there may be fewer funds available for consumers to buy the types of high-tech lenses that CIBA VISION has produced in the past, if consumers do not have access to full, comprehensive health and vision plans through their health insurance providers. CIBA's more budget-friendly lines may become more attractive, and it may be forced into more stringent competition with its rivals for consumer dollars.

Legal

CIBA's success as a company is at least partially dependent upon its ability to patent new and innovative products. Although it has shown itself to be an innovative company by pioneering some of the developments within the contact lens industry, including as soft lenses, disposable lenses, and lenses for hard-to-fit clients, most of its competitors have produced similar products, and thus consumers have a wide range of products to choose from. CIBA must continue to be innovative and patent new products.

There continues to be a great deal of contentious legal dispute between CIBA and one of its main rivals, Bausch & Lomb. Recently, CIBA was forced to terminate an advertising campaign that claimed its contact lens solutions were better than Bausch & Lomb's at battling eye infections, causing Bausch & Lomb to sue CIBA for false advertising (Bausch & Lomb CIBA rival forced to halt ad campaign, 2011, Democrat and Chronicle). Although CIBA agreed to drop the campaign voluntarily, the similarity between the products of competitors will be the source of continued wrangling regarding patents for new products, as well as the question of what a 'better' contact lens is, in the minds of consumers.