Cima Mountaineering, Inc.

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Anthony Vatterott/Cima Mountaineering/Marketing Strategies/Charles Reitter 1 Cima Mountaineering, Inc. 1. Problem Cima Mountaineering is a mature company that has undergone several major changes in the past 20+ years. As a specialty producer of hiking and mountaineering boots, this family owned business is built on craftsmanship and field-tested durability. The Cima product line has traditionally been sold in the Western region and sold directly at sporting stores that service the outdoorsman. However, the competitive environment over the past few years has steadily changed, with more foreign competition and lower priced lines of hiking and casual boots. Anthony Simon, Executive Vice President, and his sister, Margaret, find themselves once again in the position of redefinition. The problem to be solved is whether to market a new line of boots for the less experienced, weekend hiker, r expand the current product lines for mountaineers and hikers. 2. Company History Cima Mountaineering was founded as a Western boots maker by the name of the Hoback Company, based out of Jackson, Wyoming. In the 1960s, and into the 70s, as the demand for Western boots began to decline, the company’s profit share steadily declined until Anthony and Margaret took control of the company in 1975 and showed a profit on 1.5 million in sales of $45,000. It was after this stabilizing trend that Anthony Simon drew on his college experience in mountaineering and suggested the Hoback Company develop a line of hiking/mountaineering boots. After 12 months of extensive research of the market the product was tested and received high marks among instructors of the mountaineering school. Anthony Vatterott/Cima Mountaineering/Marketing Strategies/Charles Reitter The hiking/mountaineering product line consists of 2 styles of boot. One is for 2 the more serious outdoorsman, designed for

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