Firm 4: Thirty Five Firm 4: Thirty Five Question MarksQuestion Marks

Approach to Approach to Managing LINKSManaging LINKS

• Weekly Meetings

o All team members present

o Reviewed prior weeks’ material before meeting

o Reach consensus before making decisions

Team StrategyTeam StrategyProduct Differentiation

• Primary Focus: o Region Threeo Channel Two

• Expand After Successful

• Postponement o Avoid Duties and Tariffs

• Reliance on Research Studies

Product DesignProduct Design

Distribution/Transportation/Distribution/Transportation/

Manufacturing/ProcurementManufacturing/Procurement

Research ReportsResearch Reports

Marketing Mix (4P’s)Marketing Mix (4P’s)

Marketing Mix (4P’s) Marketing Mix (4P’s) AnalysisAnalysis

PRICE MARKETING PRODUCT CHANNEL

LEVEL OF FIRM

INTENSITYHIGH MODERATE HIGH LOW

COMPETITOR PREDICTABIL

ITYHIGH LOW MODERATE HIGH

CONSUMER PREDICTABIL

ITYHIGH LOW LOW MODERATE

Marketing Mix

Predictor

Forecasting approachForecasting approach Estimate demand based on trailing average

Adjust average demand based on:

o Industry demand and trend from research #12• Demand per product/ region/ channel

• Trend

• Unfilled demand

o Market share • Current and target market share

o Marketing strategy• Prices and marketing spending

• Competitors pricing strategy

• Product and service quality

Competitor observationsCompetitor observations

Factors to consider:

•Market share & coverage

•Price & Margin

•Product and service quality

•Stock market performance

Competitor Competitor observationsobservations

• Firm 1, 3 and 4 are more aggressive in gaining market share

• Several firms withdrew or reduced sales for region 2 due to

lower margin/ sales

• Firm 2 focused on Hyperware only

• In the last 4 months, firm 2, 5, 6 withdrew or reduced sales in

region 3, resulting in higher sales and margin for the remaining

firms

ResultsResults

What we did well & What we What we did well & What we

didn’t:didn’t:Strengths Weaknesses

• Product Quality – Region 3

• Margins – Region 3o Qualityo Postponemento Single sourcing

• Product Availability/Fill Rate

• Demand Forecasting• Failure Rate• Region 2

If we did it all again…If we did it all again…• Product Concept tests and Price Sensitivity tests

earliero Costly reconfigurationso Metaware demand drop after reconfiguration

• Reduce costs in marketing, recycling, service• Work on improving forecast accuracy

o 55,000 leftover Epsilon

• Re-evaluate transportation methods

Thank you!Thank you!