The Market For Home Automation Is Still Small With Nest...

Introduction Nest is a technology company owned by Alphabet that specializes in the home automation industry. They initially created thermostats and smoke detectors and have recently been promoting products to unify all home devices to create a â€Å"smart home.† Customers have the option to purchase a single device or the whole system. Nest has made its technology compatible with competitors, which means that users can adopt parts of Nest even if they have already purchased devices from other companies. The market for home automation is still small with Nest selling 1.3m Devices in 2015, and the market as a whole are only worth about 3.6 billion. This is important considering Google purchased Nest for 3.2 billion. While the smart home market is predicted to face exponentially higher growth rates in the coming years, Nest must secure a position as a leader in the emerging industry. To do this, Nest must do the following: †¢ Clarify what they stand for as a company †¢ Segment the market to focus on a few segments at a time †¢ Secure †¢ Business Mission Nest’s mission statement is as follows: Nest is focused on making simple, human, delightful things. That’s how we’re creating the thoughtful home: A home that takes care of the people inside it and the world around it. This mission statement does a good job of remaining broad and open ended, but it does not do a good job of defining their business. The mission statement stresses major values such as maintaining simplicity,