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Concordia Electronic Systems Test Case Study Help Checklist

Concordia Electronic Systems Test Case Study Help Checklist

Concordia Electronic Systems Test Case Study Solution
Concordia Electronic Systems Test Case Study Help
Concordia Electronic Systems Test Case Study Analysis



Analyses for Evaluating Concordia Electronic Systems Test decision to launch Case Study Solution


The following area concentrates on the of marketing for Concordia Electronic Systems Test where the company's consumers, competitors and core competencies have evaluated in order to justify whether the choice to launch Case Study Help under Concordia Electronic Systems Test trademark name would be a possible choice or not. We have first of all looked at the type of consumers that Concordia Electronic Systems Test handle while an evaluation of the competitive environment and the company's weak points and strengths follows. Embedded in the 3C analysis is the justification for not releasing Case Study Help under Concordia Electronic Systems Test name.
Concordia Electronic Systems Test Case Study Solution

Customer Analysis

Both the groups use Concordia Electronic Systems Test high efficiency adhesives while the business is not only involved in the production of these adhesives but also markets them to these client groups. We would be focusing on the consumers of immediate adhesives for this analysis since the market for the latter has a lower capacity for Concordia Electronic Systems Test compared to that of instant adhesives.

The total market for immediate adhesives is roughly 890,000 in the United States in 1978 which covers both client groups which have been determined earlier.If we look at a breakdown of Concordia Electronic Systems Test possible market or client groups, we can see that the company sells to OEMs (Initial Devices Makers), Do-it-Yourself clients, repair work and upgrading business (MRO) and manufacturers dealing in products made of leather, wood, plastic and metal. This diversity in consumers recommends that Concordia Electronic Systems Test can target has various choices in regards to segmenting the marketplace for its brand-new item specifically as each of these groups would be needing the very same type of item with respective changes in packaging, quantity or demand. The consumer is not rate sensitive or brand name mindful so releasing a low priced dispenser under Concordia Electronic Systems Test name is not an advised choice.

Company Analysis

Concordia Electronic Systems Test is not just a producer of adhesives however takes pleasure in market management in the instant adhesive industry. The company has its own experienced and qualified sales force which includes value to sales by training the business's network of 250 distributors for helping with the sale of adhesives. Concordia Electronic Systems Test believes in exclusive circulation as suggested by the reality that it has picked to offer through 250 distributors whereas there is t a network of 10000 suppliers that can be checked out for expanding reach through suppliers. The business's reach is not restricted to North America only as it likewise takes pleasure in global sales. With 1400 outlets spread out all throughout North America, Concordia Electronic Systems Test has its internal production plants rather than using out-sourcing as the preferred technique.

Core skills are not limited to adhesive manufacturing just as Concordia Electronic Systems Test also specializes in making adhesive giving equipment to assist in making use of its items. This double production method offers Concordia Electronic Systems Test an edge over competitors considering that none of the competitors of giving devices makes instant adhesives. Furthermore, none of these competitors offers straight to the customer either and utilizes distributors for connecting to customers. While we are looking at the strengths of Concordia Electronic Systems Test, it is necessary to highlight the business's weaknesses as well.

The business's sales staff is experienced in training distributors, the reality remains that the sales group is not trained in offering devices so there is a possibility of relying greatly on suppliers when promoting adhesive devices. Nevertheless, it ought to also be kept in mind that the suppliers are showing unwillingness when it concerns selling equipment that needs servicing which increases the challenges of offering devices under a specific brand.

The business has actually products aimed at the high end of the market if we look at Concordia Electronic Systems Test product line in adhesive devices particularly. If Concordia Electronic Systems Test sells Case Study Help under the very same portfolio, the possibility of sales cannibalization exists. Offered the truth that Case Study Help is priced lower than Concordia Electronic Systems Test high-end line of product, sales cannibalization would definitely be impacting Concordia Electronic Systems Test sales income if the adhesive equipment is sold under the business's brand.

We can see sales cannibalization affecting Concordia Electronic Systems Test 27A Pencil Applicator which is priced at $275. If Case Study Help is introduced under the company's brand name, there is another possible risk which could decrease Concordia Electronic Systems Test earnings. The truth that $175000 has been invested in promoting SuperBonder recommends that it is not a good time for launching a dispenser which can highlight the reality that SuperBonder can get logged and Case Study Help is the anti-clogging solution for the instantaneous adhesive.

Additionally, if we take a look at the marketplace in general, the adhesives market does disappoint brand name orientation or price consciousness which provides us two additional factors for not launching a low priced product under the business's brand.

Competitor Analysis

The competitive environment of Concordia Electronic Systems Test would be studied through Porter's five forces analysis which would highlight the degree of competition in the market.


Degree of Rivalry:

Currently we can see that the adhesive market has a high development capacity due to the presence of fragmented sections with Concordia Electronic Systems Test enjoying management and a combined market share of 75% with 2 other market gamers, Eastman and Permabond. While industry competition in between these gamers could be called 'extreme' as the customer is not brand name mindful and each of these gamers has prominence in regards to market share, the fact still remains that the market is not saturated and still has numerous market sectors which can be targeted as possible niche markets even when releasing an adhesive. We can even point out the fact that sales cannibalization might be leading to industry competition in the adhesive dispenser market while the market for instant adhesives offers growth capacity.


Bargaining Power of Buyer: The Bargaining power of the purchaser in this industry is low particularly as the buyer has low understanding about the product. While companies like Concordia Electronic Systems Test have handled to train suppliers relating to adhesives, the final consumer depends on suppliers. Roughly 72% of sales are made directly by makers and distributors for instant adhesives so the purchaser has a low bargaining power.

Bargaining Power of Supplier: Provided the truth that the adhesive market is controlled by three gamers, it could be stated that the provider delights in a greater bargaining power compared to the purchaser. The fact stays that the provider does not have much influence over the purchaser at this point specifically as the buyer does not reveal brand name recognition or cost level of sensitivity. When it comes to the adhesive market while the maker and the purchaser do not have a significant control over the real sales, this suggests that the supplier has the greater power.

Threat of new entrants: The competitive environment with its low brand loyalty and the ease of entry revealed by foreign Japanese competitors in the instantaneous adhesive market indicates that the marketplace allows ease of entry. Nevertheless, if we take a look at Concordia Electronic Systems Test in particular, the company has double capabilities in terms of being a manufacturer of adhesive dispensers and instant adhesives. Potential dangers in equipment dispensing industry are low which reveals the possibility of creating brand name awareness in not only instantaneous adhesives but also in dispensing adhesives as none of the industry gamers has handled to place itself in dual abilities.

Threat of Substitutes: The hazard of replacements in the instantaneous adhesive market is low while the dispenser market in particular has replacements like Glumetic idea applicators, built-in applicators, pencil applicators and advanced consoles. The reality stays that if Concordia Electronic Systems Test presented Case Study Help, it would be delighting in sales cannibalization for its own items. (see appendix 1 for structure).


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

Concordia Electronic Systems Test Case Study Help


Despite the fact that our 3C analysis has actually provided various reasons for not launching Case Study Help under Concordia Electronic Systems Test name, we have actually a recommended marketing mix for Case Study Help provided below if Concordia Electronic Systems Test chooses to go ahead with the launch.

Product & Target Market: The target market chosen for Case Study Help is 'Motor automobile services' for a number of reasons. This market has an extra growth potential of 10.1% which may be a great enough specific niche market sector for Case Study Help. Not just would a portable dispenser deal benefit to this specific market, the fact that the Do-it-Yourself market can likewise be targeted if a drinkable low priced adhesive is being offered for use with SuperBonder.

Price: The suggested rate of Case Study Help has actually been kept at $175 to the end user whether it is sold through suppliers or by means of direct selling. This rate would not include the cost of the 'vari tip' or the 'glumetic pointer'. A price below $250 would not require approvals from the senior management in case a mechanic at a motor vehicle maintenance store needs to buy the item on his own. This would increase the possibility of affecting mechanics to buy the product for usage in their day-to-day maintenance jobs.

Concordia Electronic Systems Test would only be getting $157 per unit as shown in appendix 2 which gives a breakdown of gross profitability and net success for Concordia Electronic Systems Test for releasing Case Study Help.

Place: A distribution model where Concordia Electronic Systems Test directly sends the item to the regional supplier and keeps a 10% drop delivery allowance for the supplier would be utilized by Concordia Electronic Systems Test. Given that the sales team is already taken part in selling immediate adhesives and they do not have expertise in selling dispensers, involving them in the selling process would be costly especially as each sales call costs approximately $120. The suppliers are currently selling dispensers so selling Case Study Help through them would be a favorable choice.

Promotion: A low advertising budget plan should have been designated to Case Study Help however the reality that the dispenser is a development and it needs to be marketed well in order to cover the capital expenses sustained for production, the suggested marketing plan costing $51816 is advised for at first introducing the product in the market. The prepared ads in magazines would be targeted at mechanics in automobile upkeep stores. (Suggested text for the advertisement is displayed in appendix 3 while the 4Ps are summed up in appendix 4).


Limitations: Arguments for forgoing the launch Case Study Analysis
Concordia Electronic Systems Test Case Study Analysis

A suggested plan of action in the form of a marketing mix has actually been talked about for Case Study Help, the truth still stays that the product would not match Concordia Electronic Systems Test item line. We take a look at appendix 2, we can see how the overall gross success for the two designs is anticipated to be around $49377 if 250 units of each model are manufactured annually based on the plan. Nevertheless, the initial prepared advertising is roughly $52000 annually which would be putting a pressure on the business's resources leaving Concordia Electronic Systems Test with a negative net income if the expenses are allocated to Case Study Help only.

The fact that Concordia Electronic Systems Test has actually currently incurred an initial investment of $48000 in the form of capital expense and model development suggests that the profits from Case Study Help is inadequate to undertake the danger of sales cannibalization. Besides that, we can see that a low priced dispenser for a market showing low elasticity of need is not a more suitable choice especially of it is affecting the sale of the business's earnings generating models.



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