Preview

Galanz Case Study

Better Essays
Open Document
Open Document
3397 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Galanz Case Study
Operations Strategy at Galanz

---------------------------------------------

Operations Management

Introduction

The aim of this case study is to analyze the operation strategy of Galanz and asses the potential growth opportunities for Galanz in the future in a global environment. Galanz Gorup based in China was established in 1978 to offer microwave oven, air conditioners and other household appliances (Galanz, 2011).

It is a multinational company operating in more than 100 countries and regions in the world resulting in a well-known brand by being the largest professional microwave producer (Galanz, 2011). As a result they are expanding rapidly with a growth rate more than 100% each year and thus increasing their global market share (Galanz, 2011).
Through the years with the experience of manufacturing household products Galanz Group has also excelled in research of developing and improving the product features of their household appliances (Galanz, 2011).

They have through their achievements been awarded with numerous of honours on national as well on international level (Galanz, 2011).[1]

Q1.

Liang Senior saw a great business opportunity on a trip to Japan in 1991. He saw the potential increasing demand for microwaves in China. By that time microwaves was not affordable for most households in China but sooner or later the microwave will become popular in the modern cities for the Chinese households. Liang Senior exploited the business opportunity and after analyzing the Chinese market he decided to produce and sell microwaves at an affordable price.
Liang Seniors vision of producing and selling microwaves at an affordable price became a reality in few years due to the changing lifestyle in modern cities in China and new ways of cooking and preparation of food.
The low-cost strategy was the order winner for Galanz in the early stage of its development.
Galanz used the low price to enter and compete in the Chinese market

You May Also Find These Documents Helpful

  • Powerful Essays

    MKT1-Task 318 1.

    • 1685 Words
    • 7 Pages

    Company G is a reputable and well established firm in the electronics market. Company G has developed a brand new line of small appliances they believe will prosper in the small appliance market. The brand new line of toaster ovens are visually attractive to potential buyers, while the distinctive features provide the same quality and elegance associated with Company G’s products. Company G’s goal is to provide top quality products that will put the company in a position to reach the profit potential for small appliances.…

    • 1685 Words
    • 7 Pages
    Powerful Essays
  • Powerful Essays

    upload

    • 5417 Words
    • 15 Pages

    Company G is a well-established and highly regarded company within the electronics market. We have recently developed a line of small appliances that have done very well through concept and prototype testing. In-depth testing has shown Company G that our new products might turn out to be the most reliable line of products currently in the small-appliance industry. Company G prides itself on being able to say that we have designed an efficient production process that will allow us to waste very little raw materials while turning out a quality, dependable product. We also can confidently say that through market research, both our brand and logo are easily recognized by most electronics consumers in a positive regard.…

    • 5417 Words
    • 15 Pages
    Powerful Essays
  • Better Essays

    Opportunities 1. The enterprise expand with high growth rate in China (50%) 2. The increasing of Chinese purchasing power and brand awareness 3. The increasing needed of functional and personable products…

    • 1279 Words
    • 6 Pages
    Better Essays
  • Good Essays

    According to Grand Strategy Matrix (2010), companies that flourish in a quick growing marketplace and that out performs their competition, e.g. such as Chick-fil-A, are quadrant one firms on the Grand Strategy Matrix. These organizations are in excellent strategic position to focus efforts on current markets and products. They can afford to exploit external opportunities to increase revenue in numerous areas to include market development, product development, and innovation strategies.…

    • 683 Words
    • 3 Pages
    Good Essays
  • Better Essays

    The Samsung Corporation is a South Korean company that manufactures all different types of appliances and electronics. These products can range from television sets, kitchen appliances, computers, and mobile phones. Recently the company launched a new line of mobile phones that the company wants to appeal to the younger generation who are mainly concerned with text messaging and social networking. The company wants to communicate the new product to the wholesalers and the retailers and talk about the innovations, quality of the products, and the price. Also included…

    • 1514 Words
    • 7 Pages
    Better Essays
  • Satisfactory Essays

    Whirlpool is the world’s largest producer and marketer of small and large home appliances such as mixers, food processors, washing machines, refrigerators, air conditioners, etc. Whirlpool also has a long standing relationship with Sears, which sells Whirlpool products under the brand name Kenmore. In addition to its North American presence (both manufacturing and sales), Whirlpool also has a strong presence in Mexico, and Europe. Being the largest producer in the world has helped Whirlpool to compete on lower costs through economies of scale and through its Global Procurement Organization (GPO). In addition, its large networks also help in distribution, marketing, and ultimately in its sales. Another key factor how it competes is through its relationships with customers such as Sears.…

    • 305 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    Kitchen Best In China

    • 6613 Words
    • 38 Pages

    by Hong Kong businessman Chan Dong-hwa. In 2008, Chan handed the reins to his son…

    • 6613 Words
    • 38 Pages
    Good Essays
  • Good Essays

    16567 Chapter 2 1

    • 10012 Words
    • 34 Pages

    The microwave cooks up a new way of life. (1989, September 19). Wall Street Journal, p. B1.…

    • 10012 Words
    • 34 Pages
    Good Essays
  • Powerful Essays

    Le Petit Chef Case

    • 1170 Words
    • 5 Pages

    Le Petit Chef faces a usual challenge: how to keep on growing on a mature market when differentiation though innovation is more and more expensive and profit tends to drop because of increased competition. Microwave oven has been a disruptive technology. For a mature technology, it is more a matter of optimizing the innovation triangle and implementing the right processes to align R&D, Operations and Marketing. Le Petit Chef needs to use synchronous innovation, to make sure their strategic positioning matches their processes and therefore their cost structure. They also might want to push for a disruptive technology like introducing fuzzy logic to sustain their competitive advantage.…

    • 1170 Words
    • 5 Pages
    Powerful Essays
  • Powerful Essays

    Geelie Case Analysis

    • 1770 Words
    • 8 Pages

    Given the recent objective of Geeli becoming the world’s biggest air-conditioner manufacture within the next five years for which Geeli needs to raise $400 million (RMB 3.35 billion), I have looked into these areas based on the information available:…

    • 1770 Words
    • 8 Pages
    Powerful Essays
  • Satisfactory Essays

    Levendary Cafe Case

    • 382 Words
    • 2 Pages

    Levendary Café entered the Chinese market with on shop in a central location. This was crucial in its success and proved that Chen had great business insights on the local market. He then was able to utilize this case as both leverage to continue expanding into China we well as gaining credibility from headquarter.…

    • 382 Words
    • 2 Pages
    Satisfactory Essays
  • Better Essays

    Blaine Kitchenware

    • 1773 Words
    • 8 Pages

    Blaine Kitchenware was a mid-sized producer of small appliances primarily used in residential kitchens. By 2006, the company’s products consisted of a wide range of small kitchen appliances including deep fryers, griddles, toasters, ovens etc. Blaine had just under 10% of the $2.3 billion U.S. market for small kitchen appliances. For the period 2003 to 2006, the industry posted modest annual unit sales growth of 2%. In 2006, 65% of its revenue was generated from shipments to U.S. wholesalers and retailers. The company shipped approximately 14 million units a year. There were three major segments in the small kitchen appliance industry: food preparation appliances, cooking and beverage making appliances but Blaine’s maximum revenue came from cooking and food preparation appliances and its market share in beverage making appliances is only 2%. In 2006, Blaine had suppliers and contract manufacturers in China, Vietnam, Canada and Mexico. BKI’s market research consistently showed that the Blaine brand was well-known and well-regarded by consumers.…

    • 1773 Words
    • 8 Pages
    Better Essays
  • Powerful Essays

    Acer Case

    • 1039 Words
    • 5 Pages

    cer Inc. is a leading marketer of notebook and desktop PCs. The company, which posted sales of $21.3 billion in 2010, also produces other products such as the new Iconia tablet. As Taiwan gained a reputation as the “tech workshop of the world,” Acer became Taiwan’s number-one exporter. Stan Shih, the company’s founder, built Acer into one of Taiwan’s most successful companies. Despite Acer’s success, the company had trouble breaking into the American market. In the late 1990s, Shih noted, “In the United States and Europe, we are relatively weak. The local players there are very strong. The problem is that we don’t have good experience in marketing in those regions. It’s a people issue, not a product issue.” Shih discovered that building enterprise brands is easier than building brands in the business-to-consumer market. “Business-to-consumer brands have more value but also face more challenges. People involved in businessto-business are usually rational, but consumers in business-to-consumer are usually emotional in choosing their brands,” he said. In 2000, Shih refocused Acer’s distribution and marketing on the vast, fast-growing China market. He envisioned establishing a solid market base in greater China (mainland China, Taiwan, and Hong Kong) and expanding from there to the rest of the world. “The market in China is very critical for Taiwanese companies to become global companies,” Shih said. “Innovation is not necessarily related to whether you are smart or not. The reality is that if you don’t have a big market it’s not easy to innovate because the return on investment is too low. The potential of China is not just big markets and low-cost labor. Actually, it’s also for highly educated engineers or professionals.” Shih understood the need for Acer to develop a strong brand image in China. “The challenge for this region is really the poor image that is…

    • 1039 Words
    • 5 Pages
    Powerful Essays
  • Good Essays

    Microwave Oven Case Study

    • 486 Words
    • 2 Pages

    An efficient market strategy to market White Appliances in the Indian market would be to focus on marketing the foods they eat that can be easily made in a microwave oven. Indian culture is all about the fresh foods and traditional cultures. They need to find some way to incorporate the culture with the appliances. Some suggestions I have are:…

    • 486 Words
    • 2 Pages
    Good Essays
  • Powerful Essays

    Electrolux: a Case Study

    • 912 Words
    • 4 Pages

    They also change the way of people thinking that kitchen and home appliances are just a practical place into an emotional place. It is proven by the vanishing of the walls between the kitchen, dining room, and living room in Most American house today. In fact, most of the home appliance markets aresaturated; the consumers are looking for more sophisticated appliances, better design appliances. Therefore, these becomethe background and mission for Electrolux to develop new concepts and sophisticated products that can be distributed to the every target consumers. (Electrolux Course Content Video).…

    • 912 Words
    • 4 Pages
    Powerful Essays