Husky

beefy, a Canadian maker of pellet molding systems, has conventional an enviable position in the market for plastics processing equipment. The gild builds the high schoolest performance systems in the business and charges a hefty support for them. Husky is enjoying robust growth and record profits in 1996 when competitors attack its core markets. As financial results deteriorate rapidly, forefather and CEO Robert Schad must decide how to defend Huskys traditional markets and whether to expand beyond Question #1: What is Huskys dodging? Why has the company been so successful prior to the fresh problems? resolving #1: The primary reason for Huskys success, since the end of the 1970s until 1995, is the polyethylene terephthalate (PET) industry niche to which the company focus itself at that time. The focus on the PET technology was accompany with a shift of the soft drink makers to the plastic bottles usage. Husky positions itself as a company providing its plastic industry customers with the complete and countrywide manufacturing solutions.

This strategy is implemented by producing machines based upon technological innovation, dur magnate, dependability and competency on one hand and by providing its customers with a professional, reliable and quick service, based on highly trained technician on the other hand. The delivery of high technologic machines with both characters of speed and efficiency positioned Husky as the leader of this niche. This was actually achieved by placing high obstacle for competitors to get into this niche with compatible products and by eliminating the bargaining ability of the customers, due to the top performance of its products relatively to the competitive ones and the cosmopolitan professional service. Question #2: Are Husky injection molding systems worth the premium price the company charges? Answer #2: According to the information in this case (exhibit #6), Husky charges for its product 200,000$ higher relatively to... If you want to get a full essay, order it on our website: Orderessay

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