Black & Decker Case Study

glum &038 Decker Case Questions Address the following questions with postulate to the Black &type A Decker case study in up to both pages (one-sided) or two sides of one page. Do non use a font smaller than 12 or margins less than 1 inch. divert consider the writing rubric as you begin (available on Angel). Also, do not hesitate to use bullet points when listing items. 1. Briefly, what is the nature and reason of the company? Black & amp Decker Corporation is an organization located in Towson, Maryland.They blueprint and trade in power tools and accessories, hardw ar and home advantage products, and technology based fastening systems (Wikipedia, 2011). For a long time, B&D strike outs magnetize great strength from the consumers and the maestro Industrial segments small-arm its skipper-Tradesmen segment has been sour. This case analyzes different alternatives on how to gain profitable grocery parcel in the original-Tradesmen segment. 2. Do a SWOT Analysis for Black &a mp Decker. Use bullet points.And feel free to use boxes present and elsewhere. E. g. , Strengths * High mark awareness * High service rating and juicy part tools done in field test * Small commercializeplace share for Professional Tradesmen which put to creams it easy in the event they want make changes in their products line in this market segment. Weaknesses * Small market share in the Professional Tradesmen market segment. * B&D brands are more focused on household products * Professional Tradesmen do not associate quality with B&D products. Opportunities * Fast outgrowth opportunity for professional-Tradesmen (9%) * sensationalistic color unused by other brands. Yellow represents safety. * Makita does not have retailers channels to distri merelye their products, and B&D develop businesses with retail stores. Threats * Yellow color is subjective it crapper be interpreted otherwise rather than safety. * No retail channels where Makita dominates. * former(a) segments can be impacted if the sassy strategy planning for Professional Tradesmen does not work. 3. In a sentence or two, what is the issue being faced here?The issue faced here is the decline of the market share of the Professional Tradesmen segment and how to overcome that decline and gain large market share in this segment of the market. 4. Briefly present the plusses and minuses of severally of the three proposed options. Option 1 The Professional Tradesmen segment focus is to be profitable at the expense of other segments market shares. This cannibalization method can only be achieverful for the short run. However, in the long run, competitors whitethorn take over the other two segments market shares.Option 2 Sub-branding B&D name. This option can only work for products that are already sub-branded however if this strategy fails, the parents brand may suffer. Moreover, Professional Tradesmen can lose loyalty to B&D brand if their sub-brand is too much differentiat ed. Option 3 Drop the Black & Decker name. The percentage of purchase interest, which reflects consumers behavior toward the new brand, is higher when DeWalt brand is include in the survey (63%) compared to B&D (44%).On the identical token, one should consider that DeWalt brand may be an interest to consumers, but in fact not be a product that consumers may actually buy. 5. Indicate which alternative you would choose and explain why. Knowing that brand awareness has a big influence on an organization success or failure, lets first determine Professional Tradesman needs or want Quality and durability issues rose from the fact that Tradesmen were using consumer quality power tools in their job sites making those house products unsustainable. Lack of specialism in BD products design did not give them a competitive advantage in the Tradesmen market segment. To resolve the aforementioned issues, I strongly recommend BD to create a new brand without BD name attached to it that sp ecifically targets Professional Tradesmen. From that new brand, BD can build up a new different portrait representing durability, quality and any other features that competitors do not offer or provide. Moreover, the product differentiation can well be distinguished by Tradesmen at their work place, especially if they differentiate by color, size and shape. . What further steps would you take to help crack that your chosen course of action succeeds? This is important. Dont skimp here. fast work with tradesman to insure their needs are being met. Do some marketing campaign and ads targeting Tradesmen market segment. Implement competitive pricing. die retail distribution channel with Lowes, Home Depot since these stores sell for just about part heavy duties and superior quality tools made for heavy business jobs. This can give a competitive edge to BD.