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Mariwasa Siam Ceramics, Inc.

Case Study

Mariwasa Ceramics’ Marketing & Sales Team had always envisioned a brighter
path for their business. With its own subsidiaries and distributors, the firm always
wanted to do better, specifically in terms of having to increase market share, improved
sales and greater control in the business. However, the corporation still requires local
dealers for entrance and basic relationships are still looking for solutions to make the
changeover without fighting over the completion of project sales and performance
management.

This issue needs to be addressed before a certain amount of time to ensure that
the business can still go on. In addition, as part of the company's evolution, project
sales have become a rivalry between local distributors and with Mariwasa Siam
Ceramics, Inc. and the sales staff directly involved in the project—an enmity and
misunderstanding between local distributors on whether the manufacturer will be
serving the project directly or transmitting it to local distributors under the same
circumstances.

According to the presented data, Mariwasa Siam Ceramics, Inc. made a trade
agreement that capitalizes three worthwhile goals prior to the passage of the Retail
Trade Liberalization Act of 2000: (1) The desire to control their business development
strategically; (2) Facilitate partnerships with local distributors to benefit from distributors
resources and expertise for the first five years at least; and (3) The reduction of costs
and risks in pursuing such new business ventures.

Partnerships with local distributors make sense at the beginning of market entry,
wherein distributors usually know the features of their markets and most clients prefer
dealing with local partners. In addition, consumers had stronger negotiating power as a
result of the risk of substitutes for other competitive brands in the market. More so,
adjustments with local distribution partnerships in subsequent phases of market entry,
including the potential change to a directly managed distribution, are usually remedial.

Based on the Mariwasa Siam Ceramics, Inc.'s financial report review from the
years of 1988 up to 1996, it shows that the company has been gaining more revenue
through the 9-year report, except during 1992 where the business had a -4.28%
Increase/Decrease rate, followed by a net income (after tax) of PHP 9,404 and an
annual gross revenue of PHP 440,880, which has been the company's lowest year on
year revenue yet for the past 4 years, prior to 1992. Moreover, after four succeeding
years, it appears that Mariwasa Siam Ceramics, Inc. finally overcame the difficulties of
their business.
In order for the executives of Mariwasa Siam Ceramics, Inc. to anticipate and
correct potential certain problems when it comes to dealing with project sales, it is
important that they reflect on the many scenarios that the companies that they run can
develop and affect. With that being stated, the study and thorough analysis on the
possibilities is likewise essential to be wide-ranging. When considering the potential
outcomes, the corporation must be careful enough to not risk or jeopardize anything.

Furthermore, it would be wise if the entire company is actively engaged and


interactive when providing suggestions and looking for plausible errors. It is likely
important that they prepare for all kinds of outcomes for the business. As a matter of
fact, preparing for only a single possibility risks wasting work and effort on something
that could never occur. This mindset will help the executives to identify measures that
are helpful for many or all of the circumstances that may arise on the years to come.

To stay competitive in this field of business, it is advisable for Mariwasa Siam


Ceramics, Inc. to determine and concentrate solely on marketing the strengths of their
company that are clearly superior to other organizations in the region. They can focus
substantially on the creation of an ideal costumers experience if their competitor offers
really affordable prices but has a hard job with customer service. In addition, they can
also make some changes regarding their price ranges to attract more clients.

Another key factor in keeping a competitive advantage against other companies


and maintaining a successful business is being able to remain ahead of consumers. A
lot of clients tend to support businesses that can anticipate their demands and provide
them with exceptional products and services—especially those that they weren’t even
expecting to want or need. Through the means of regular analysis, appropriate
marketing to customers and potential business partners, and a creative way of
displaying advertisements, the company could overall build a more stable future for
itself.

Managing a mutually beneficial partnerships with distributors is also a great way


of proceeding with the business venture. Although, it must be ensured that the business
partners and distributors have respectable and reputable profiles to avoid unnecessary
complications. It may also be helpful to arrange the agreements in very specific terms,
such that it allows both partners to have an equal advantage. To assure a successful
project sales distribution channel, the contract between partners must fulfill all the
requisites of each party.
Finally, Mariwasa Siam Ceramics, Inc. must regard certain challenges in terms of
them expanding their distribution with project sales customers. For instance, they must
take into account the distributors and the growing amount of duties and responsibilities,
which could also require more workforce and thus, more budget to supply such
resources. Approaching new ways of dealing with the business is also another thing to
consider. Lastly, they must learn how to keep up with the ever-changing customer
needs and requirements in order to maintain their share in the market.

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