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  • Essay / Duncan Industries - 1829

    Summary Duncan Industries is a company that prides itself on quality, innovation, safety and customer service. They offer a wide selection of high-quality lifts that include the features needed so many different automotive tasks can be completed. Each elevator is created with this particular purpose in mind and comes with an exclusive 5-year warranty. Duncan Industries' commitment to their elevators has allowed the company to grow at an extremely rapid rate in the Canadian and American markets. This strong growth is a key element of the company's commercial strategy and must be maintained. There are currently three possible options to resolve this issue. First, the company could focus its attentions on improving its relationship with its wholesaler in the United States, which would lead the latter to promote the Duncan Lift more aggressively. Another option would be to increase personal sales attempts made by Duncan employees in key states near their Lancaster plant. The third option is to expand into the European market. Due to the limited information and underexploited potential of the North American market, Duncan Industries should devote its resources to increasing and consolidating its share of the North American market. Mission StatementDuncan Industries is a growing company committed to maintaining rapid volume and profit growth and continuing to be a leader in product innovation, quality and support in the aftermarket industry of the automobile. Problem Statement • Assess the feasibility of expanding into Europe through direct investment, licensing or joint venture or intensifying efforts to expand into the existing North American market in the middle of the document......mendationsAfter reviewing the three alternatives, it appears that, based on current information, the best course of action would be to work more closely with the US wholesaler to "push" Duncan Lift and increase its sales and enter into an agreement for Duncan to sell to the Eastern States of the United States directly from its factory in Lancaster. This is the best alternative because although it does not have the size of the European market, Duncan has already established relationships with major manufacturers and distributors (which turned out to be a long process) and already has facilities in North America. It will not have the capital expenditure it will have in Europe if it opts for the direct investment approach, it will not have the uncertainty of establishing new relationships or trusting the expertise and to the efforts of a third party company..