The paper "Success and International Strategy of Windmere Corporation" is a perfect example of a marketing assignment. Windmere has been successful in its operations and business strategies. Since 1984, the company has been registering to increase the total number of sales. It has also penetrated several international markets and has a presence in many European countries, Latin America and the Far East. Windmere uses a number of strategies to sell its products in international markets and penetrate new markets. Its international markets include Canada, Europe, Latin America, and the Far East.
Windmere uses its subsidiaries in Canada and Denmark to supply its products in foreign markets. It also uses a company-owned trading company based in Hong Kong to accomplish this objective. Windmere use established independent distributors to sell its products in the United Kingdom. Additionally, Windmere has chosen some distributors to market and sell the company’ s products in the Far East market, especially Chinese, Taiwanese, and Korean markets. In penetrating new markets such as Australia and Japan, Windmere international strategy entails the use of independent distributors. In order to deal with competition and drop in sales of products in international markets, Windmere has tried to develop new market segments by combining features of certain products to make one product that is directly marketed to some clients.
For example, it has attempted to combine its wall-mounted hairdryer and lighted makeup mirrors which are then marketed to certain hotel chains. Question 2: Value addition at Windmere Windmere has decided to upgrade mature products for purposes of adding value to its products. For instance, hairdryer has been added appliance leakage circuit interrupter (ALCI) that meets the new safety standards.
It also protects against electric shock. Value addition has also been carried out by Windmere through the introduction of products from the existing products. Two or more products from the same product line are combined to make one product that is sold to a particular market segment. Windmere has configured the value-added chain by concentrating on the development of brand identities for all its major product lines. This has been carried out to stimulate and increase sales. Moreover, this strategy has been adopted as a way of penetrating new international markets and creating new market segments. Question 3: Comparative and competitive advantage of Windmere Windmere has a vast number of product lines.
Its products are differentiated hence offering them a comparative and competitive advantage over its competitors. Since the company has been in business for very many decades, it possesses a comparative advantage over companies that are at the infant stage of development. Windmere has vast experienced in the manufacturing of various hair, beauty and personal care products hence providing it with a competitive advantage. Additionally, the establishment of brand identities for its major product lines is the source of both comparative and competitive advantage for Windmere.
However, this strategy is weak since other companies can also develop their own brand identities and use them to compete with Windmere. Differentiation of products is also a weak competitive advantage tool because there are many companies that have product differentiation in their main product line. Nonetheless, providing unique products is a source of competitive advantage to Windmere that has no apparent weaknesses. In fact, it is the main source of competitive and comparative advantage of the company.
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