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Group-2 Roll No- 1,5,12,42,44

Mission
Making watch available for general public

Vision
Volume is oxygen of our business

Achievement In 20 years

Sales

$ 200 million

Employee

17000

Guided By

Mr. Joakin Lehmkuhi

1942 - Waterbury Sales figure

During War

$ 70 million

After War

$ 0.3 million

Key Reason to Success


Diversification - Camera, Defense Broad-Cost Strategy to Enter Matket Product innovation Gyroscopes Product development Inventory Management - Sales Forecasting and Centralized Inventory Control

Strategy
Cost Promotion Positioning Supply Chain / Distribution

Cost Parameters
High degree of automation & Standardization through precision tool technology Experience in the field Centralized quality control R & D investment for improvements - $1 million Only 6 manufacturing Operation compared to 100 for an imported watch Mass Production with unskilled labor resulting in low cost

Promotion & Positioning


Watch for everybody not for gift only Timex is a watch designed for active people Advertisement Budget from 0.2 Million to 3 million by 1962 85% ad allocated to television 1954 showcase for point of purchase display Stress on Product Durability & Low Cost - Value for Money through advertisement (Torture Test)

Distribution / Supply Chain


No jeweler store - Profit margin only 30% Retain outlet, mostly Drug store - 20,000 250,000 retail accounts Tie-Up with Maruman Distributed Production Center 20 Factory Abroad

Turn Around Time


Retailers average turn around 6 times 1.5 times Jeweler watch

Product Trend
Year
1950 1954
1957 1958 1962 1964 1965 1972

Models
Men's Watch Shockproof, water proof, antimagnetic
Jewel watch Women's Watch 21 Jewel Watch Men's electrical watch Electrical Calender Watch Quartz Watch

Cost
$6.95 to $7.95 $12.95
$17.95 3 for $50 $21.95 $39.95 $45 $125

Segment

Low

Medium High

Competition
Swiss Watch: $30 to $300 Benrus : $99 Gruen : $150 Microma Universal : $79.5 Digital Solid State Watch : $149.5 to $200