Professional Documents
Culture Documents
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.