BU352 Lecture Notes - Lecture 1: Power Tool
Document Summary
Excelsior accounts for 59% of gordon chainsaw sales (15 yrs running) Gordon power tools sells 59% of product through excelsior. Implementing a marketing campaign would affect excelsior profit placing a strain on a critical relationship between to two firms. Kevin is basing his decision on a survey of power tools over 100$ Chainsaws retail for 500$, there exists a large gap between a table saw and a 500$ chainsaw. Consumers preferences may be different for a power tool over 300$ The ads in magazines should be targeted towards capturing a larger share of a growing market (homeowner) logger is already saturated. Since logger is also cyclical, ads should be timed to increase sales during slow periods. Excelsior relationship may be put in jeopardy. Find out more about consumer demands for chainsaws in particular.
