Cretors Case Study
CRETORS VIDEO CASE STUDY
STRATEGIC MANAGEMENT
SUMMER SEMESTER 2011
PROFESSOR STEPHEN COURTER
Santiago Ennis
Exporting has become a very important business strategy nowadays. In order for firms to expand to the international market, and also to maintain and grow their share of market in whatever industry they are in, depending on their goals and objectives, any company must at least explore this possibility. A few and important advantages might come into place, in that they can extend their sales potential of their existing products, increasing margins through a larger customer base. Also, these small to large businesses can consolidate by gaining global share of market, they can reduce their dependence on their existing markets, enhancing competitiveness, making their business models, from production of consumer goods, to offering services, a lot more efficient.
Entering a foreign market forces these companies to modify their current products, developing a whole new set of promoting these products, as well as the package and presentation they come in. By enhancing in this strategy, sometimes these businesses come up into subordinating short term profits to the potential of long term gains, if managed effectively. Compared to large firms, small / medium firms are relative, in that they wait for new markets to come to them, even if they sometimes are not prepared to respond to these opportunities. Throughout the following analysis, we will talk about a small family business, which chose and waited for the market to come to them, and managed the exporting business effectively: Cretors & Company.
Cretors & Company was founded in 1885, when their founder, Charles Cretors, patented a popcorn machine, exporting it right from the beginning. Throughout the years, this company has grown to be a leader in the $10 billion U.S. concession business. With over 10 product lines, including industrial level equipment, small and large concession poppers, all up
STRATEGIC MANAGEMENT
SUMMER SEMESTER 2011
PROFESSOR STEPHEN COURTER
Santiago Ennis
Exporting has become a very important business strategy nowadays. In order for firms to expand to the international market, and also to maintain and grow their share of market in whatever industry they are in, depending on their goals and objectives, any company must at least explore this possibility. A few and important advantages might come into place, in that they can extend their sales potential of their existing products, increasing margins through a larger customer base. Also, these small to large businesses can consolidate by gaining global share of market, they can reduce their dependence on their existing markets, enhancing competitiveness, making their business models, from production of consumer goods, to offering services, a lot more efficient.
Entering a foreign market forces these companies to modify their current products, developing a whole new set of promoting these products, as well as the package and presentation they come in. By enhancing in this strategy, sometimes these businesses come up into subordinating short term profits to the potential of long term gains, if managed effectively. Compared to large firms, small / medium firms are relative, in that they wait for new markets to come to them, even if they sometimes are not prepared to respond to these opportunities. Throughout the following analysis, we will talk about a small family business, which chose and waited for the market to come to them, and managed the exporting business effectively: Cretors & Company.
Cretors & Company was founded in 1885, when their founder, Charles Cretors, patented a popcorn machine, exporting it right from the beginning. Throughout the years, this company has grown to be a leader in the $10 billion U.S. concession business. With over 10 product lines, including industrial level equipment, small and large concession poppers, all up