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Misaki Capital And Sangetsu Corporation Case Study Solution
Misaki Capital And Sangetsu Corporation Case Study Help
Misaki Capital And Sangetsu Corporation Case Study Analysis
The following section concentrates on the of marketing for Misaki Capital And Sangetsu Corporation where the business's customers, competitors and core competencies have actually examined in order to validate whether the decision to release Case Study Help under Misaki Capital And Sangetsu Corporation brand would be a possible alternative or not. We have to start with taken a look at the kind of clients that Misaki Capital And Sangetsu Corporation handle while an evaluation of the competitive environment and the company's strengths and weak points follows. Embedded in the 3C analysis is the justification for not launching Case Study Help under Misaki Capital And Sangetsu Corporation name.
Both the groups utilize Misaki Capital And Sangetsu Corporation high performance adhesives while the company is not only included in the production of these adhesives but likewise markets them to these consumer groups. We would be focusing on the consumers of immediate adhesives for this analysis considering that the market for the latter has a lower potential for Misaki Capital And Sangetsu Corporation compared to that of instantaneous adhesives.
The total market for immediate adhesives is approximately 890,000 in the United States in 1978 which covers both consumer groups which have been determined earlier.If we look at a breakdown of Misaki Capital And Sangetsu Corporation possible market or customer groups, we can see that the company offers to OEMs (Original Equipment Makers), Do-it-Yourself customers, repair and overhauling companies (MRO) and makers dealing in items made from leather, metal, wood and plastic. This variety in customers suggests that Misaki Capital And Sangetsu Corporation can target has different alternatives in terms of segmenting the marketplace for its new product specifically as each of these groups would be needing the same kind of product with particular modifications in need, amount or packaging. The consumer is not cost delicate or brand conscious so releasing a low priced dispenser under Misaki Capital And Sangetsu Corporation name is not a suggested option.
Misaki Capital And Sangetsu Corporation is not simply a manufacturer of adhesives but delights in market leadership in the instantaneous adhesive industry. The business has its own skilled and qualified sales force which adds worth to sales by training the company's network of 250 suppliers for helping with the sale of adhesives.
Core skills are not limited to adhesive production just as Misaki Capital And Sangetsu Corporation likewise focuses on making adhesive dispensing equipment to facilitate making use of its products. This dual production strategy offers Misaki Capital And Sangetsu Corporation an edge over competitors given that none of the competitors of giving devices makes immediate adhesives. Additionally, none of these rivals sells directly to the consumer either and utilizes distributors for connecting to consumers. While we are looking at the strengths of Misaki Capital And Sangetsu Corporation, it is essential to highlight the company's weaknesses also.
Although the company's sales staff is skilled in training suppliers, the fact remains that the sales group is not trained in offering equipment so there is a possibility of relying heavily on suppliers when promoting adhesive devices. It should likewise be kept in mind that the suppliers are showing unwillingness when it comes to selling devices that needs servicing which increases the challenges of selling devices under a particular brand name.
If we take a look at Misaki Capital And Sangetsu Corporation product line in adhesive devices particularly, the company has actually products aimed at the luxury of the market. The possibility of sales cannibalization exists if Misaki Capital And Sangetsu Corporation offers Case Study Help under the exact same portfolio. Given the truth that Case Study Help is priced lower than Misaki Capital And Sangetsu Corporation high-end line of product, sales cannibalization would certainly be impacting Misaki Capital And Sangetsu Corporation sales earnings if the adhesive equipment is offered under the business's trademark name.
We can see sales cannibalization affecting Misaki Capital And Sangetsu Corporation 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 lower Misaki Capital And Sangetsu Corporation income. The reality that $175000 has actually been spent in promoting SuperBonder recommends that it is not a good 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 immediate adhesive.
Additionally, if we take a look at the marketplace in general, the adhesives market does disappoint brand orientation or rate awareness which provides us two additional reasons for not launching a low priced product under the company's brand name.
The competitive environment of Misaki Capital And Sangetsu Corporation would be studied via Porter's five forces analysis which would highlight the degree of rivalry in the market.
Bargaining Power of Buyer: The Bargaining power of the buyer in this market is low particularly as the buyer has low knowledge about the item. While companies like Misaki Capital And Sangetsu Corporation have actually handled to train suppliers regarding adhesives, the last customer depends on distributors. Approximately 72% of sales are made straight by makers 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 dominated by three players, it could be stated that the supplier enjoys a higher bargaining power compared to the buyer. Nevertheless, the reality remains that the supplier does not have much influence over the buyer at this point especially as the purchaser does disappoint brand acknowledgment or cost level of sensitivity. This suggests that the distributor has the greater power when it pertains to the adhesive market while the producer and the buyer 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 immediate adhesive market indicates that the market enables ease of entry. If we look at Misaki Capital And Sangetsu Corporation in particular, the company has double capabilities in terms of being a producer of instantaneous adhesives and adhesive dispensers. Potential threats in equipment dispensing industry are low which shows the possibility of producing brand awareness in not just immediate adhesives but also in dispensing adhesives as none of the industry players has managed to position itself in double abilities.
Risk of Substitutes: The hazard of replacements in the instant adhesive market is low while the dispenser market in particular has replacements like Glumetic tip applicators, in-built applicators, pencil applicators and sophisticated consoles. The fact remains that if Misaki Capital And Sangetsu Corporation introduced Case Study Help, it would be indulging in sales cannibalization for its own items. (see appendix 1 for framework).
Despite the fact that our 3C analysis has given various factors for not introducing Case Study Help under Misaki Capital And Sangetsu Corporation name, we have actually a recommended marketing mix for Case Study Help offered below if Misaki Capital And Sangetsu Corporation decides to go on with the launch.
Product & Target Market: The target audience chosen for Case Study Help is 'Motor vehicle services' for a variety of reasons. There are presently 89257 establishments in this section and a high usage of roughly 58900 lbs. is being utilized by 36.1 % of the marketplace. This market has an additional growth capacity of 10.1% which may be a good enough niche market segment for Case Study Help. Not only would a portable dispenser offer convenience to this specific market, the fact that the Do-it-Yourself market can likewise be targeted if a safe and clean low priced adhesive is being sold for use with SuperBonder. The item would be sold without the 'glumetic suggestion' and 'vari-drop' so that the consumer can choose whether he wishes to opt for either of the two accessories or not.
Price: The suggested price 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. A cost listed below $250 would not require approvals from the senior management in case a mechanic at a motor vehicle maintenance shop requires to acquire the product on his own.
Misaki Capital And Sangetsu Corporation would just be getting $157 per unit as shown in appendix 2 which gives a breakdown of gross success and net success for Misaki Capital And Sangetsu Corporation for launching Case Study Help.
Place: A distribution model where Misaki Capital And Sangetsu Corporation straight sends the item to the local supplier and keeps a 10% drop delivery allowance for the supplier would be used by Misaki Capital And Sangetsu Corporation. Given that the sales group is already taken part in offering immediate adhesives and they do not have proficiency in offering dispensers, involving them in the selling procedure would be costly especially as each sales call expenses approximately $120. The suppliers are currently selling dispensers so selling Case Study Help through them would be a favorable choice.
Promotion: Although a low marketing budget plan needs to have been appointed to Case Study Help however the fact that the dispenser is an innovation and it needs to be marketed well in order to cover the capital expenses sustained for production, the suggested marketing strategy costing $51816 is recommended for initially presenting the product in the market. The planned advertisements in publications would be targeted at mechanics in car upkeep stores. (Suggested text for the advertisement is shown in appendix 3 while the 4Ps are summed up in appendix 4).
