Janmar coatings
1. Problem Identification describes the current problem or opportunity facing the organization.
The current problem that is facing Janmar Coatings is how to cost effectively market the products and what area is the best place to market. Companies rely on the leadership to help make decisions regarding the market and after two senior executive meetings, there is no resolution.
2. Industry, Market, and Buyer Analysis provides an external analysis of the organization. Consider industry structure and performance; competitors’ strengths and weaknesses, and buyer behavior. Also consider whether the market can be segmented, and if so, whether the segments can be quantified. (15 points)
The US paint industry is an established industry. In 2004 it was just over a sixteen billion dollar industry. It is expected to grow steadily in line with the rate of inflation. The US paint coatings industry is divided into three parts or segments: architectural paint coatings, original equipment manufacturing coatings, and special purpose coatings. Forty-three percent of the market is held by architectural paint coatings. Architectural paint coatings are defined as general purpose paints, varnishes, and lacquers. It is used in the residential market, the commercial market and institutional structures. It is sold by wholesalers and retailers. Contractors, professional painters, and do-it yourself painters are the buyers. Thirty-five percent of the market is made up of original equipment manufacturing coatings. These are made specifically for an industrial buyer to use on products during manufacturing. These products include cars, trucks, appliances, furniture, and equipment. This would be used in the commercial market. It is sold by the manufacturer to a company manufacturing the product. The final segment of the market holds twenty-two percent, the special purpose coatings. The special purpose coatings are used for environmental applications. This
The current problem that is facing Janmar Coatings is how to cost effectively market the products and what area is the best place to market. Companies rely on the leadership to help make decisions regarding the market and after two senior executive meetings, there is no resolution.
2. Industry, Market, and Buyer Analysis provides an external analysis of the organization. Consider industry structure and performance; competitors’ strengths and weaknesses, and buyer behavior. Also consider whether the market can be segmented, and if so, whether the segments can be quantified. (15 points)
The US paint industry is an established industry. In 2004 it was just over a sixteen billion dollar industry. It is expected to grow steadily in line with the rate of inflation. The US paint coatings industry is divided into three parts or segments: architectural paint coatings, original equipment manufacturing coatings, and special purpose coatings. Forty-three percent of the market is held by architectural paint coatings. Architectural paint coatings are defined as general purpose paints, varnishes, and lacquers. It is used in the residential market, the commercial market and institutional structures. It is sold by wholesalers and retailers. Contractors, professional painters, and do-it yourself painters are the buyers. Thirty-five percent of the market is made up of original equipment manufacturing coatings. These are made specifically for an industrial buyer to use on products during manufacturing. These products include cars, trucks, appliances, furniture, and equipment. This would be used in the commercial market. It is sold by the manufacturer to a company manufacturing the product. The final segment of the market holds twenty-two percent, the special purpose coatings. The special purpose coatings are used for environmental applications. This