The lack of working space was such a constraint that it controlled the work process. As Dowling Flexible Metals became more diversified, the need for expansion lead to the construction of a small factory which also required a larger workforce. The firm now employs Student 2 thirty full time journeymen and apprentice mechanics, a staff of four engineers and a full time office secretary subordinate to Eve Sullivan, the Office Manager. The rapid growth has created problems that have not yet been fixed. Bill states that although he has a lot of talent and experience in his staff,
Joe Dawson opened an auto parts and tire store attached to his service garage to cater to “tinkerers” who preferred to work on their own automotives. Today it competes with national brand competitors locally by affiliating itself to the National Automotive Parts Association (NAPA) to offer warranties and replacement. Dawson’s markets its history as a family owned company to gain the trust of consumers and sells both new parts and the installation and warranty services that accompany them. They also sell tires and wheels and accessories like sound systems. Their direct competitors consist of other auto parts stores that sell direct to consumers, big chain retailers that offer basic parts at discount prices and salvage yards that sell used parts direct to consumers.
The confidential market-demand information that Fonderia di Torino receives from the OEMs help increase the precision of production scheduling. In addition, the company receives relatively long-term supply contracts from these manufacturers. In November of 2000, Francesca Cerini was faced with the decision of investing in an automated molding machine called the Vulcan Mold-Maker. Purchasing this machine had a lot of implications not only on the quality of Fonderia’s products but also on its labor force. The sand molds currently used to make castings were prepared in a semi-automated process, which means it needs the extra labor force.
Customer service was not what it used to be, and customers were not happy. When they called to place an order they had to wait in a queue for their calls to be answered. The products were not the same due to the change in companies, and the quality was nothing compared to what the customers were used to. Over the next few months the vitamin lines decided to start processing their business with another company and new overhead. Today the vitamin line as well as the newsletters are up and thriving as a company under a different management
Indeed, intellectual capital and talent provided by acquisitions enables Symantec to staycompetitive despite the very rapid pace of change. Republic Industries has chosen to grow by acquisitions of auto dealerships and rental-car agencies in order to become a megastore in auto-retailing business. This industry was actually highly fragmented and inefficient and its customers were dissatisfied. By building a national branded retailer, Republic hoped to exploit economies of scale that would push it into a dominant position. U.S. Office Products was created in 1994 and sells office supplies.
There is lack of innovation coming out from these industries. By providing time and | |tested engineering solutions to customers the firms operating in this industry has matured and implemented efficient work processes to | |improve on quality and service. From my perspective, these firms must also form externally oriented teams who continuously interact with| |their customers and ‘live a day’ in their work to understand the needs and issues they run into. This approach using the concept of | |forming external teams will facilitate organizations to come out with innovative solutions for their customers and facilitate the | |process of innovation. | | | |Managers avoid implementing the ‘real’ concept of external teams as it increases costs in their operations and indulge in ‘eye wash’ | |approaches where people are encouraged to look beyond their organization or industry by following the Internet Search & Research
Risk Factors of Bloomingdales Risk factors play a major role in today’s economy. Since we are stuck in the stagnation period and do not seem to be recovering for quite some time, businesses have to come up with a proper marketing plan that will help sell their products. All businesses suffer from the same risk factors. Some common risk factors include: product quality, price, brand loyalty, competition, managerial skills, etc. Many customers are shopping at lower priced stores because the economy is not allowing them to spend extra money.
Many of the powder coating division’s customers are moving their plants to Asia in an attempt to expand their markets and lower their production costs. As well, all of ABC Chemical Company’s competitors are opening production facilities in Asia to meet their customer’s needs, to expand their markets and lower their costs. For Asian and some European manufactures, powder coatings are a commodity with no specific qualities or competitive advantages to differentiate one from another. ABC Chemical Company believes that in the future, many of these manufacturers will need more specialized products moving away from a commodity. Gaining a foothold in Asia at this time is critical to ABC Chemical Company’s future.
PWI is now faced with a competitor in their French market who is producing and selling plastic rings. The plastic rings have a longer life and costs less to produce. PWI needs to decide when to enter into the market with plastic rings, which markets the plastic rings should be introduced into, and what to do with the existing steel inventory they have purchased. Key Problems PWI will need to determine the risks and rewards associated with moving to plastic rings as quickly as possible. They will need to consider the sunk costs in their current inventory of both raw materials and finished gods.
Case Study 2 Hudson Shoe Company Hudson Shoe Company John Hudson, president of Hudson Shoe Company has been faced with a terrible dilemma. Hudson Shoe Company, started many years ago by John Hudson’s father was built on quality and intergrity and has had continual growth as so. However, after recent pursuit of entering the foreign market John Hudson has been pressured into sacrificing the integrity and loyalty towards smaller local customers who helped build the company from the beginning to meet the demands of the larger international business that has proved to be extremely profitable. However, after making many adjustments, changes, and sacrifices John has lost many of his smaller local business and is on the verge of losing his major domestic mail-in chain in the United States. You see, with the continual growth and sales within his foreign market John not had the man power, time, or financial means to satisfy his smaller local businesses.