A detailed examination of a product’s characteristics and market conditions is a necessary part of any decision-making process. In the case presented, the vice president of Pintura Corporation’s Industrial Finishes Group, Maria Lopez, is required to make several difficult choices. The demand to provide multiple customers with environmentally friendly industrial coatings forced the Pintura organization to create new solutions for the clients in the United States to satisfy the ecological requirements and the country’s regulations. A complex dilemma that Lopez encountered during her investigation was the choice of a customer group to be addressed by Lena’s marketing campaign. Given the broad range of Pintura’s clientele, their needs and expectations from the distributed materials varied significantly, making it incredibly challenging to adhere to all the projections.
Although the case presented summarizes in detail the leading points of the situation, there are several complications in need of discussion. First of all, it is essential to address the forecasting estimates regarding the clientele’s willingness to switch to powder-based coatings. As the company’s target groups are incredibly large, it is demanding to use additional information collection methods, for example, the customers’ reactions to other environmentally friendly materials recently released by other competitors (Kotler & Keller, 2011). Relying only on telephone investigations and prior product launches might be insufficient. Secondly, it is unclear how the increased charges for Lena powder-based coatings would benefit the clientele in the long term, as the savings connected to reduced pollution are too complex to approximate (Kotler & Keller, 2011). While some buyers might be interested in using more ecologically favorable materials for a higher cost, others might be opposed to increasing their expenses.
Another predicament evident in the case is the lack of a thorough product branding examination. Although the potential market shares are presented in detail, it is still unclear how specifically Lena’s brand is expected to appeal to its customers (Kotler & Keller, 2011). In my experience, the imagery and the observable attributes that distinguish the product from its competing analogs can drastically enhance the merchandise’s value. Therefore, emphasizing the package’s design elements could considerably benefit Lena’s profitability.
Based on the case elements mentioned, Maria Lopez had to decide upon several conflicting issues. The first choice concerns the selection of a leading customer group, with the options of supplying the floor and cabinetry clients or furniture and other wood products’ distributors. After that, an important decision regarding the level of emphasis on Pintura’s brand name is to be made. Furthermore, it is vital to establish the initial price for the unit, settling on availability or production costs coverage. Another solution to be found is the distribution strategy, the options being selling through a hybrid channel or nationwide.
The advantages and the disadvantages of the choices examined play a vital role in the final decision made. Although catering to furniture and other wood products customers is more beneficial from a financial standpoint, negating the expectations of the floor and cabinetry clientele might be detrimental to the corporation’s recognition. As for the brand name, while focusing on the Pintura trademark could increase the potential appeal, the consequences of a failure could drastically impact its future profits. Securing a higher cost could alleviate the possible loss of funds, but it also bears adverse ramifications in terms of the product’s availability. Finally, although distributing through a hybrid channel is a safer route, an extensive network could yield more benefits in the long term.
In my opinion, it is more effective to adhere to the furniture and other wood products customers given their increased interest in comparison with the other groups. Emphasizing Pintura’s name is highly important, as the clients appear to expect an environmentally friendly product from the corporation. Higher charges could be more efficient for the company’s needs, but it is necessary to justify the expenses to the clients. I believe an extensive network is more productive due to the primary customer groups’ allocation and desires.
Reference
Kotler, P. T., & Keller, K. L. (2011). Marketing management (14th ed.). Pearson.