WhatsApp

Leland Obrien Rubinstein Associates Inc Portfolio Insurance Case Study Help Checklist

Leland Obrien Rubinstein Associates Inc Portfolio Insurance Case Study Help Checklist

Leland Obrien Rubinstein Associates Inc Portfolio Insurance Case Study Solution
Leland Obrien Rubinstein Associates Inc Portfolio Insurance Case Study Help
Leland Obrien Rubinstein Associates Inc Portfolio Insurance Case Study Analysis



Analyses for Evaluating Leland Obrien Rubinstein Associates Inc Portfolio Insurance decision to launch Case Study Solution


The following section focuses on the of marketing for Leland Obrien Rubinstein Associates Inc Portfolio Insurance where the business's clients, rivals and core competencies have assessed in order to validate whether the decision to release Case Study Help under Leland Obrien Rubinstein Associates Inc Portfolio Insurance trademark name would be a practical option or not. We have to start with looked at the kind of clients that Leland Obrien Rubinstein Associates Inc Portfolio Insurance deals in while an examination of the competitive environment and the company's strengths and weak points follows. Embedded in the 3C analysis is the validation for not introducing Case Study Help under Leland Obrien Rubinstein Associates Inc Portfolio Insurance name.
Leland Obrien Rubinstein Associates Inc Portfolio Insurance Case Study Solution

Customer Analysis

Both the groups use Leland Obrien Rubinstein Associates Inc Portfolio Insurance high efficiency adhesives while the company is not just involved in the production of these adhesives but also markets them to these customer groups. We would be focusing on the customers of immediate adhesives for this analysis considering that the market for the latter has a lower capacity for Leland Obrien Rubinstein Associates Inc Portfolio Insurance compared to that of immediate adhesives.

The overall market for immediate adhesives is roughly 890,000 in the US in 1978 which covers both consumer groups which have been identified earlier.If we look at a breakdown of Leland Obrien Rubinstein Associates Inc Portfolio Insurance possible market or consumer groups, we can see that the business offers to OEMs (Initial Equipment Producers), Do-it-Yourself customers, repair work and upgrading companies (MRO) and manufacturers dealing in items made of leather, metal, plastic and wood. This diversity in customers suggests that Leland Obrien Rubinstein Associates Inc Portfolio Insurance can target has various options in regards to segmenting the marketplace for its new product particularly as each of these groups would be requiring the very same kind of product with particular modifications in demand, packaging or amount. The client is not price sensitive or brand name conscious so releasing a low priced dispenser under Leland Obrien Rubinstein Associates Inc Portfolio Insurance name is not an advised alternative.

Company Analysis

Leland Obrien Rubinstein Associates Inc Portfolio Insurance is not just a maker of adhesives however takes pleasure in market leadership in the immediate adhesive market. The business has its own skilled and qualified sales force which adds value to sales by training the business's network of 250 distributors for assisting in the sale of adhesives. Leland Obrien Rubinstein Associates Inc Portfolio Insurance believes in exclusive distribution as indicated by the truth that it has selected to sell through 250 suppliers whereas there is t a network of 10000 distributors that can be explored for expanding reach via suppliers. The business's reach is not restricted to North America just as it also delights in global sales. With 1400 outlets spread out all across North America, Leland Obrien Rubinstein Associates Inc Portfolio Insurance has its internal production plants rather than utilizing out-sourcing as the favored method.

Core proficiencies are not limited to adhesive manufacturing only as Leland Obrien Rubinstein Associates Inc Portfolio Insurance also concentrates on making adhesive dispensing devices to assist in making use of its products. This dual production strategy gives Leland Obrien Rubinstein Associates Inc Portfolio Insurance an edge over rivals given that none of the competitors of giving equipment makes instantaneous adhesives. Furthermore, none of these rivals sells directly to the consumer either and uses suppliers for reaching out to clients. While we are looking at the strengths of Leland Obrien Rubinstein Associates Inc Portfolio Insurance, it is crucial to highlight the business's weaknesses.

Although the business's sales staff is proficient in training distributors, the truth stays that the sales group is not trained in offering equipment so there is a possibility of relying greatly on distributors when promoting adhesive equipment. However, it ought to also be noted that the distributors are revealing hesitation when it comes to selling equipment that needs maintenance which increases the difficulties of offering equipment under a specific trademark name.

If we look at Leland Obrien Rubinstein Associates Inc Portfolio Insurance line of product in adhesive devices particularly, the company has actually products targeted at the high end of the market. If Leland Obrien Rubinstein Associates Inc Portfolio Insurance offers Case Study Help under the same portfolio, the possibility of sales cannibalization exists. Provided the fact that Case Study Help is priced lower than Leland Obrien Rubinstein Associates Inc Portfolio Insurance high-end product line, sales cannibalization would absolutely be affecting Leland Obrien Rubinstein Associates Inc Portfolio Insurance sales income if the adhesive devices is offered under the company's brand.

We can see sales cannibalization impacting Leland Obrien Rubinstein Associates Inc Portfolio Insurance 27A Pencil Applicator which is priced at $275. If Case Study Help is released under the business's brand name, there is another possible threat which could decrease Leland Obrien Rubinstein Associates Inc Portfolio Insurance income. The truth that $175000 has been invested in promoting SuperBonder recommends that it is not a great time for releasing 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 cost awareness which provides us 2 additional reasons for not releasing a low priced item under the business's trademark name.

Competitor Analysis

The competitive environment of Leland Obrien Rubinstein Associates Inc Portfolio Insurance would be studied via 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 potential due to the existence of fragmented sectors with Leland Obrien Rubinstein Associates Inc Portfolio Insurance delighting in management and a combined market share of 75% with 2 other market players, Eastman and Permabond. While market competition between these players could be called 'intense' as the consumer is not brand name conscious and each of these players has prominence in terms of market share, the reality still remains that the market is not saturated and still has several market sections which can be targeted as prospective specific niche markets even when releasing an adhesive. However, we can even mention the truth that sales cannibalization may be leading to industry rivalry in the adhesive dispenser market while the market for instant adhesives offers development potential.


Bargaining Power of Buyer: The Bargaining power of the purchaser in this industry is low especially as the purchaser has low understanding about the product. While companies like Leland Obrien Rubinstein Associates Inc Portfolio Insurance have actually managed to train distributors regarding adhesives, the final customer depends on distributors. 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: Given the truth that the adhesive market is controlled by three gamers, it could be said that the provider enjoys a higher bargaining power compared to the buyer. Nevertheless, the reality stays that the supplier does not have much impact over the buyer at this moment particularly as the buyer does not show brand acknowledgment or cost level of sensitivity. This shows that the supplier has the higher power when it concerns the adhesive market while the purchaser and the manufacturer do not have a major control over the real sales.

Threat of new entrants: The competitive environment with its low brand name loyalty and the ease of entry shown by foreign Japanese competitors in the immediate adhesive market indicates that the market permits ease of entry. If we look at Leland Obrien Rubinstein Associates Inc Portfolio Insurance in particular, the business has double abilities in terms of being a maker of instantaneous adhesives and adhesive dispensers. Prospective dangers in devices giving industry are low which reveals the possibility of producing brand awareness in not just instantaneous adhesives however also in giving adhesives as none of the industry gamers has handled to place itself in double abilities.

Danger of Substitutes: The hazard of replacements in the immediate adhesive market is low while the dispenser market in particular has substitutes like Glumetic suggestion applicators, in-built applicators, pencil applicators and advanced consoles. The reality stays that if Leland Obrien Rubinstein Associates Inc Portfolio Insurance presented Case Study Help, it would be indulging in sales cannibalization for its own products. (see appendix 1 for structure).


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

Leland Obrien Rubinstein Associates Inc Portfolio Insurance Case Study Help


Despite the fact that our 3C analysis has actually provided numerous reasons for not introducing Case Study Help under Leland Obrien Rubinstein Associates Inc Portfolio Insurance name, we have actually a recommended marketing mix for Case Study Help offered listed below if Leland Obrien Rubinstein Associates Inc Portfolio Insurance chooses to go ahead with the launch.

Product & Target Market: The target market selected for Case Study Help is 'Motor vehicle services' for a number of reasons. There are currently 89257 facilities in this sector and a high usage of roughly 58900 pounds. is being utilized by 36.1 % of the market. This market has an extra development potential of 10.1% which might be a good enough niche market segment for Case Study Help. Not only would a portable dispenser offer convenience to this particular market, the truth that the Diy market can also be targeted if a potable low priced adhesive is being cost usage with SuperBonder. The product would be sold without the 'glumetic suggestion' and 'vari-drop' so that the consumer can decide whether he wants to go with 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 suppliers or through direct selling. This rate would not consist of the cost of the 'vari pointer' or the 'glumetic idea'. A cost below $250 would not require approvals from the senior management in case a mechanic at an automobile upkeep store requires to buy the item on his own. This would increase the possibility of affecting mechanics to acquire the item for usage in their daily maintenance jobs.

Leland Obrien Rubinstein Associates Inc Portfolio Insurance would just be getting $157 per unit as displayed in appendix 2 which provides a breakdown of gross profitability and net profitability for Leland Obrien Rubinstein Associates Inc Portfolio Insurance for introducing Case Study Help.

Place: A circulation model where Leland Obrien Rubinstein Associates Inc Portfolio Insurance directly sends out the item to the regional distributor and keeps a 10% drop shipment allowance for the distributor would be used by Leland Obrien Rubinstein Associates Inc Portfolio Insurance. Because the sales group is currently engaged in offering instantaneous adhesives and they do not have proficiency in offering dispensers, involving them in the selling process would be pricey especially as each sales call expenses approximately $120. The distributors are already offering dispensers so offering Case Study Help through them would be a beneficial choice.

Promotion: A low advertising budget should have been assigned to Case Study Help but the truth that the dispenser is a development and it requires to be marketed well in order to cover the capital costs sustained for production, the recommended advertising plan costing $51816 is suggested for initially presenting the product in the market. The planned ads in publications would be targeted at mechanics in car upkeep shops. (Suggested text for the ad is shown in appendix 3 while the 4Ps are summarized in appendix 4).


Limitations: Arguments for forgoing the launch Case Study Analysis
Leland Obrien Rubinstein Associates Inc Portfolio Insurance Case Study Analysis

Although a recommended strategy 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 complement Leland Obrien Rubinstein Associates Inc Portfolio Insurance product line. We take a look at appendix 2, we can see how the total gross profitability for the two designs is expected to be around $49377 if 250 systems of each model are made each year as per the strategy. However, the preliminary planned advertising is around $52000 annually which would be putting a strain on the company's resources leaving Leland Obrien Rubinstein Associates Inc Portfolio Insurance with a negative net income if the costs are allocated to Case Study Help only.

The reality that Leland Obrien Rubinstein Associates Inc Portfolio Insurance has actually already incurred an initial financial investment of $48000 in the form of capital expense and model development shows that the earnings from Case Study Help is insufficient to carry out the risk 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 effective alternative particularly of it is affecting the sale of the company's income producing models.



PREVIOUS PAGE
NEXT PAGE