In six pages a student submitted case study outlines a case in which a company must develop a coping strategy against threats with diversification, channel distribution development, the Internet, and competitive advantage maximization among the topics discussed. Two sources are listed in the bibliography.
Name of Research Paper File: TS14_TEestell.rtf
Unformatted Sample Text from the Research Paper:
company has fragmented the sales. The company has retained the contracts in Asia, where they market Paul Mason handles as well as Chant Productions, the new company that was formed
when the manufacturing side was sold to Mr Graham Chant. However, there are several threats to the current position, despite the opportunities that are afforded as a result of the
lower constraints that are placed on the company as it is no longer a manufacturer. The first is that in the company sale and split, Estelle Enterprises lost the contracts
for UK, USA, Germany and the Middle East, as these remained with Chant Productions. This means that that Estelle looses a percentage of the business. However, when we remember that
65% of the business comes from Asia, and 20% from New Zealand, the rest if the world only constitutes 15%. This will need replacing, and plans have been put into
place to increase markets where there is existing expertise, in countries such as Japan, Korea, China and Indonesia where it hopes to create new distributors and agents. The second threat
to business is the way in which Chant Productions has been effected by the split. Having retained only the smaller percentage of the contracts to supply the western countries, they
are now seeking to break the exclusivity that Estelle hold. This would mean that Chant would be able to bypass Estelle and market directly to agents in Asia if the
exclusivity is revoked. For Chant productions, this is a move that could be very profitable, however, for Estelle it could be very hard, especially Chant Production seek to undercut them
on the same products. In looking at the case there are several aspects that can be seen as relevant to the study. Estelle needs to protect its current position