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Citigroups Exchange Offer B Case Study Help Checklist

Citigroups Exchange Offer B Case Study Help Checklist

Citigroups Exchange Offer B Case Study Solution
Citigroups Exchange Offer B Case Study Help
Citigroups Exchange Offer B Case Study Analysis



Analyses for Evaluating Citigroups Exchange Offer B decision to launch Case Study Solution


The following area focuses on the of marketing for Citigroups Exchange Offer B where the business's customers, competitors and core competencies have actually assessed in order to validate whether the decision to launch Case Study Help under Citigroups Exchange Offer B brand would be a feasible option or not. We have first of all taken a look at the kind of clients that Citigroups Exchange Offer B deals in while an assessment of the competitive environment and the company's weak points and strengths follows. Embedded in the 3C analysis is the justification for not launching Case Study Help under Citigroups Exchange Offer B name.
Citigroups Exchange Offer B Case Study Solution

Customer Analysis

Citigroups Exchange Offer B customers can be segmented into two groups, final customers and industrial consumers. Both the groups utilize Citigroups Exchange Offer B high performance adhesives while the company is not just involved in the production of these adhesives but also markets them to these customer groups. There are 2 types of products that are being sold to these potential markets; anaerobic adhesives and immediate adhesives. We would be focusing on the consumers of immediate adhesives for this analysis given that the marketplace for the latter has a lower capacity for Citigroups Exchange Offer B compared to that of instantaneous adhesives.

The overall market for instant adhesives is roughly 890,000 in the US in 1978 which covers both client groups which have been determined earlier.If we look at a breakdown of Citigroups Exchange Offer B possible market or customer groups, we can see that the company sells to OEMs (Original Equipment Makers), Do-it-Yourself clients, repair work and upgrading companies (MRO) and manufacturers dealing in items made of leather, wood, plastic and metal. This variety in customers suggests that Citigroups Exchange Offer B can target has various choices in terms of segmenting the market for its new product especially as each of these groups would be needing the same type of item with particular changes in need, product packaging or quantity. The consumer is not rate delicate or brand name conscious so introducing a low priced dispenser under Citigroups Exchange Offer B name is not a suggested alternative.

Company Analysis

Citigroups Exchange Offer B is not simply a producer of adhesives but delights in market leadership in the instantaneous adhesive market. The company has its own competent and certified sales force which adds value to sales by training the company's network of 250 distributors for facilitating the sale of adhesives. Citigroups Exchange Offer B believes in unique circulation as indicated by the truth that it has actually selected to offer through 250 suppliers whereas there is t a network of 10000 suppliers that can be explored for expanding reach via suppliers. The business's reach is not limited to North America only as it also takes pleasure in worldwide sales. With 1400 outlets spread out all throughout North America, Citigroups Exchange Offer B has its in-house production plants instead of using out-sourcing as the preferred strategy.

Core competences are not restricted to adhesive manufacturing only as Citigroups Exchange Offer B likewise concentrates on making adhesive dispensing equipment to help with using its products. This double production method offers Citigroups Exchange Offer B an edge over competitors given that none of the rivals of dispensing equipment makes instantaneous adhesives. Furthermore, none of these rivals sells straight to the customer either and uses suppliers for connecting to consumers. While we are looking at the strengths of Citigroups Exchange Offer B, it is important to highlight the company's weaknesses.

The company's sales personnel is knowledgeable in training suppliers, the truth remains that the sales team is not trained in offering equipment so there is a possibility of relying greatly on suppliers when promoting adhesive devices. However, it must also be kept in mind that the distributors are revealing hesitation when it concerns selling equipment that requires maintenance which increases the challenges of selling devices under a particular brand.

If we look at Citigroups Exchange Offer B product line in adhesive equipment particularly, the company has actually products aimed at the luxury of the market. The possibility of sales cannibalization exists if Citigroups Exchange Offer B sells Case Study Help under the exact same portfolio. Provided the reality that Case Study Help is priced lower than Citigroups Exchange Offer B high-end line of product, sales cannibalization would absolutely be impacting Citigroups Exchange Offer B sales profits if the adhesive equipment is offered under the company's brand name.

We can see sales cannibalization affecting Citigroups Exchange Offer B 27A Pencil Applicator which is priced at $275. If Case Study Help is launched under the business's brand name, there is another possible hazard which might decrease Citigroups Exchange Offer B earnings. The fact that $175000 has been invested in promoting SuperBonder recommends that it is not a great time for introducing a dispenser which can highlight the fact that SuperBonder can get logged and Case Study Help is the anti-clogging solution for the instant adhesive.

Furthermore, if we look at the marketplace in general, the adhesives market does not show brand name orientation or rate awareness which provides us two extra reasons for not introducing a low priced product under the company's brand.

Competitor Analysis

The competitive environment of Citigroups Exchange Offer B would be studied through Porter's 5 forces analysis which would highlight the degree of rivalry in the market.


Degree of Rivalry:

Currently we can see that the adhesive market has a high growth capacity due to the existence of fragmented sectors with Citigroups Exchange Offer B delighting in management and a combined market share of 75% with two other industry gamers, Eastman and Permabond. While industry competition in between these players could be called 'intense' as the consumer is not brand name conscious and each of these gamers has prominence in terms of market share, the truth still stays that the market is not filled and still has several market segments which can be targeted as possible niche markets even when releasing an adhesive. We can even point out the reality that sales cannibalization might be leading to market rivalry in the adhesive dispenser market while the market for immediate adhesives uses development potential.


Bargaining Power of Buyer: The Bargaining power of the buyer in this market is low especially as the buyer has low knowledge about the item. While companies like Citigroups Exchange Offer B have managed to train suppliers relating to adhesives, the last consumer depends on distributors. Roughly 72% of sales are made directly by producers and suppliers for immediate adhesives so the buyer has a low bargaining power.

Bargaining Power of Supplier: Given the truth that the adhesive market is controlled by 3 players, it could be said that the provider delights in a greater bargaining power compared to the purchaser. The reality remains that the provider does not have much influence over the purchaser at this point particularly as the buyer does not reveal brand acknowledgment or rate level of sensitivity. When it comes to the adhesive market while the manufacturer and the purchaser do not have a major control over the real sales, this suggests that the distributor has the higher power.

Threat of new entrants: The competitive environment with its low brand commitment and the ease of entry shown by foreign Japanese competitors in the instant adhesive market indicates that the marketplace allows ease of entry. If we look at Citigroups Exchange Offer B in particular, the business has double capabilities in terms of being a producer of instant adhesives and adhesive dispensers. Prospective risks in devices giving industry are low which shows the possibility of creating brand name awareness in not just instantaneous adhesives but likewise in dispensing adhesives as none of the industry players has managed to place itself in dual abilities.

Danger of Substitutes: The danger of alternatives in the immediate adhesive industry is low while the dispenser market in particular has replacements like Glumetic suggestion applicators, in-built applicators, pencil applicators and advanced consoles. The truth stays that if Citigroups Exchange Offer B presented Case Study Help, it would be enjoying sales cannibalization for its own products. (see appendix 1 for structure).


4 P Analysis: A suggested Marketing Mix for Case Study Help

Citigroups Exchange Offer B Case Study Help


Despite the fact that our 3C analysis has actually offered different factors for not introducing Case Study Help under Citigroups Exchange Offer B name, we have actually a recommended marketing mix for Case Study Help given below if Citigroups Exchange Offer B decides to proceed with the launch.

Product & Target Market: The target market picked for Case Study Help is 'Motor car services' for a number of factors. This market has an extra growth capacity of 10.1% which may be an excellent sufficient niche market sector for Case Study Help. Not only would a portable dispenser deal benefit to this specific market, the fact that the Do-it-Yourself market can also be targeted if a potable low priced adhesive is being offered for use with SuperBonder.

Price: The suggested price of Case Study Help has been kept at $175 to the end user whether it is sold through suppliers or via direct selling. This cost would not include the expense of the 'vari idea' or the 'glumetic tip'. A price listed below $250 would not require approvals from the senior management in case a mechanic at an automobile upkeep shop needs to purchase the product on his own. This would increase the possibility of affecting mechanics to acquire the product for usage in their day-to-day maintenance tasks.

Citigroups Exchange Offer B would just be getting $157 per unit as displayed in appendix 2 which offers a breakdown of gross profitability and net success for Citigroups Exchange Offer B for launching Case Study Help.

Place: A distribution design where Citigroups Exchange Offer B straight sends the product to the regional distributor and keeps a 10% drop delivery allowance for the supplier would be used by Citigroups Exchange Offer B. Given that the sales group is already engaged in offering instantaneous adhesives and they do not have knowledge in selling dispensers, involving them in the selling process would be costly particularly as each sales call expenses roughly $120. The suppliers are already offering dispensers so offering Case Study Help through them would be a beneficial choice.

Promotion: Although a low advertising spending plan ought to have been appointed to Case Study Help but the reality that the dispenser is an innovation and it needs to be marketed well in order to cover the capital costs incurred for production, the suggested marketing plan costing $51816 is suggested for initially introducing the product in the market. The prepared ads in magazines would be targeted at mechanics in car maintenance shops. (Suggested text for the ad is displayed in appendix 3 while the 4Ps are summarized in appendix 4).


Limitations: Arguments for forgoing the launch Case Study Analysis
Citigroups Exchange Offer B Case Study Analysis

Although a recommended plan of action in the form of a marketing mix has actually been gone over for Case Study Help, the reality still remains that the item would not match Citigroups Exchange Offer B product line. We have a look at appendix 2, we can see how the total gross profitability for the two models is anticipated to be around $49377 if 250 units of each model are produced each year according to the plan. The preliminary prepared advertising is approximately $52000 per year which would be putting a pressure on the business's resources leaving Citigroups Exchange Offer B with an unfavorable net income if the expenses are designated to Case Study Help only.

The reality that Citigroups Exchange Offer B has currently incurred an initial financial investment of $48000 in the form of capital cost and prototype development indicates that the revenue from Case Study Help is insufficient to carry out the risk of sales cannibalization. Aside from that, we can see that a low priced dispenser for a market revealing low elasticity of demand is not a preferable option specifically of it is impacting the sale of the company's earnings creating designs.



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