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Fremont Financial Corp A Case Study Help Checklist

Fremont Financial Corp A Case Study Help Checklist

Fremont Financial Corp A Case Study Solution
Fremont Financial Corp A Case Study Help
Fremont Financial Corp A Case Study Analysis



Analyses for Evaluating Fremont Financial Corp A decision to launch Case Study Solution


The following section concentrates on the of marketing for Fremont Financial Corp A where the company's clients, rivals and core competencies have evaluated in order to validate whether the decision to release Case Study Help under Fremont Financial Corp A brand name would be a feasible choice or not. We have first of all looked at the kind of consumers that Fremont Financial Corp A handle while an assessment of the competitive environment and the business's strengths and weaknesses follows. Embedded in the 3C analysis is the reason for not releasing Case Study Help under Fremont Financial Corp A name.
Fremont Financial Corp A Case Study Solution

Customer Analysis

Both the groups use Fremont Financial Corp A high efficiency adhesives while the company is not only included in the production of these adhesives but likewise markets them to these client groups. We would be focusing on the customers of immediate adhesives for this analysis since the market for the latter has a lower potential for Fremont Financial Corp A compared to that of instant adhesives.

The overall market for instantaneous adhesives is around 890,000 in the United States in 1978 which covers both client groups which have actually been identified earlier.If we look at a breakdown of Fremont Financial Corp A potential market or consumer groups, we can see that the company offers to OEMs (Original Equipment Manufacturers), Do-it-Yourself consumers, repair work and revamping companies (MRO) and makers handling items made of leather, metal, wood and plastic. This variety in clients recommends that Fremont Financial Corp A can target has various alternatives in terms of segmenting the marketplace for its new item particularly as each of these groups would be requiring the exact same type of product with particular modifications in need, quantity or packaging. The customer is not price sensitive or brand conscious so releasing a low priced dispenser under Fremont Financial Corp A name is not a recommended alternative.

Company Analysis

Fremont Financial Corp A is not simply a producer of adhesives but enjoys market management in the immediate adhesive industry. The business has its own skilled and qualified sales force which adds worth to sales by training the business's network of 250 suppliers for facilitating the sale of adhesives.

Core competences are not restricted to adhesive production only as Fremont Financial Corp A likewise specializes in making adhesive dispensing equipment to facilitate using its products. This dual production method gives Fremont Financial Corp A an edge over competitors given that none of the competitors of giving devices makes immediate adhesives. Furthermore, none of these competitors sells directly to the customer either and uses distributors for reaching out to clients. While we are looking at the strengths of Fremont Financial Corp A, it is very important to highlight the business's weaknesses also.

The business's sales personnel is knowledgeable in training distributors, the truth stays that the sales team is not trained in selling equipment so there is a possibility of relying heavily on distributors when promoting adhesive equipment. It needs to also be kept in mind that the suppliers are revealing reluctance when it comes to selling equipment that requires maintenance which increases the challenges of offering equipment under a specific brand name.

If we take a look at Fremont Financial Corp A line of product in adhesive equipment particularly, the company has actually products aimed at the high-end of the marketplace. If Fremont Financial Corp A offers Case Study Help under the very same portfolio, the possibility of sales cannibalization exists. Offered the reality that Case Study Help is priced lower than Fremont Financial Corp A high-end product line, sales cannibalization would certainly be impacting Fremont Financial Corp A sales income if the adhesive devices is sold under the company's trademark name.

We can see sales cannibalization impacting Fremont Financial Corp A 27A Pencil Applicator which is priced at $275. There is another possible risk which could reduce Fremont Financial Corp A earnings if Case Study Help is released under the company's trademark name. The truth that $175000 has actually been spent in promoting SuperBonder suggests that it is not a good time for releasing a dispenser which can highlight the truth that SuperBonder can get logged and Case Study Help is the anti-clogging solution for the immediate adhesive.

In addition, if we look at the market in general, the adhesives market does not show brand orientation or price awareness which offers us two extra factors for not releasing a low priced product under the company's brand.

Competitor Analysis

The competitive environment of Fremont Financial Corp A 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 potential due to the existence of fragmented segments with Fremont Financial Corp A taking pleasure in management and a combined market share of 75% with two other market gamers, Eastman and Permabond. While industry rivalry between these gamers could be called 'intense' as the consumer is not brand mindful and each of these gamers has prominence in terms of market share, the reality still stays that the market is not filled and still has a number of market sections which can be targeted as possible niche markets even when introducing an adhesive. Nevertheless, we can even mention the reality that sales cannibalization may be resulting in industry rivalry in the adhesive dispenser market while the marketplace for instantaneous adhesives uses growth potential.


Bargaining Power of Buyer: The Bargaining power of the buyer in this market is low particularly as the purchaser has low knowledge about the item. While companies like Fremont Financial Corp A have managed to train suppliers concerning adhesives, the last consumer is dependent on suppliers. Approximately 72% of sales are made directly by producers and distributors for immediate adhesives so the purchaser has a low bargaining power.

Bargaining Power of Supplier: Provided the fact that the adhesive market is dominated by 3 gamers, it could be said that the provider takes pleasure in a greater bargaining power compared to the buyer. The reality remains that the supplier does not have much influence over the purchaser at this point particularly as the buyer does not show brand name acknowledgment or price level of sensitivity. This shows that the distributor has the greater power when it comes to the adhesive market while the purchaser and the producer do not have a major control over the actual sales.

Threat of new entrants: The competitive environment with its low brand loyalty and the ease of entry revealed by foreign Japanese rivals in the instant adhesive market indicates that the market allows ease of entry. Nevertheless, if we look at Fremont Financial Corp A in particular, the business has dual abilities in regards to being a producer of instant adhesives and adhesive dispensers. Potential hazards in devices dispensing industry are low which reveals the possibility of developing brand name awareness in not just instantaneous adhesives but also in giving adhesives as none of the industry gamers has actually handled to position itself in double capabilities.

Risk of Substitutes: The threat of alternatives in the instantaneous adhesive market is low while the dispenser market in particular has alternatives like Glumetic tip applicators, inbuilt applicators, pencil applicators and advanced consoles. The reality remains that if Fremont Financial Corp A presented Case Study Help, it would be indulging in sales cannibalization for its own products. (see appendix 1 for framework).


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

Fremont Financial Corp A Case Study Help


Despite the fact that our 3C analysis has provided numerous reasons for not releasing Case Study Help under Fremont Financial Corp A name, we have a suggested marketing mix for Case Study Help provided listed below if Fremont Financial Corp A chooses to proceed with the launch.

Product & Target Market: The target audience picked for Case Study Help is 'Motor vehicle services' for a number of reasons. There are currently 89257 establishments in this section and a high usage of approximately 58900 pounds. is being used by 36.1 % of the market. This market has an extra development capacity of 10.1% which might be a good enough specific niche market segment for Case Study Help. Not just would a portable dispenser offer benefit to this particular market, the truth that the Do-it-Yourself market can likewise be targeted if a drinkable low priced adhesive is being sold for usage with SuperBonder. The item would be offered without the 'glumetic tip' and 'vari-drop' so that the consumer can choose whether he wishes to opt for either of the two devices or not.

Price: The suggested rate of Case Study Help has actually been kept at $175 to the end user whether it is sold through distributors or through direct selling. This cost would not include the cost of the 'vari suggestion' or the 'glumetic pointer'. A price listed below $250 would not require approvals from the senior management in case a mechanic at an automobile upkeep store requires to acquire the item on his own. This would increase the possibility of affecting mechanics to acquire the product for use in their day-to-day maintenance jobs.

Fremont Financial Corp A would only be getting $157 per unit as displayed in appendix 2 which provides a breakdown of gross profitability and net success for Fremont Financial Corp A for introducing Case Study Help.

Place: A distribution design where Fremont Financial Corp A directly sends out the item to the local supplier and keeps a 10% drop shipment allowance for the supplier would be utilized by Fremont Financial Corp A. Because the sales group is already participated in offering immediate adhesives and they do not have proficiency in offering dispensers, including them in the selling procedure would be pricey especially as each sales call expenses around $120. The distributors are currently selling dispensers so offering Case Study Help through them would be a beneficial choice.

Promotion: A low advertising spending plan needs to have been designated to Case Study Help however the truth that the dispenser is a development and it needs to be marketed well in order to cover the capital costs sustained for production, the suggested advertising strategy costing $51816 is suggested for initially introducing the product in the market. The planned ads in magazines would be targeted at mechanics in car upkeep stores. (Suggested text for the ad is shown in appendix 3 while the 4Ps are summed up in appendix 4).


Limitations: Arguments for forgoing the launch Case Study Analysis
Fremont Financial Corp A Case Study Analysis

Although a recommended plan of action in the form of a marketing mix has been gone over for Case Study Help, the fact still stays that the product would not complement Fremont Financial Corp A product line. We take a look at appendix 2, we can see how the overall gross profitability for the two models is anticipated to be around $49377 if 250 units of each design are made per year as per the plan. The initial planned marketing is roughly $52000 per year which would be putting a stress on the company's resources leaving Fremont Financial Corp A with an unfavorable net earnings if the costs are assigned to Case Study Help just.

The reality that Fremont Financial Corp A has already sustained a preliminary investment of $48000 in the form of capital cost and prototype development shows that the income from Case Study Help is inadequate to carry out the risk of sales cannibalization. Other than that, we can see that a low priced dispenser for a market showing low flexibility of demand is not a more suitable choice specifically of it is affecting the sale of the business's profits producing models.



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