Parker Pen Company
Background:
Parker Pen Company it’s an expert, traditional and well known fine writing instruments manufacturer based in Janesville, Wisconsin. Its founder, George Safford Parker, initiated the company’s history back in 1889 with the fountain pen patent, which would enable him three years later (1892) officially give birth to Parker Pen Company. In the earlier years of its existence, the company worried to reinforce its expertise in fine writing instruments manufacture, so that in 1920’s it was clear enough its product will be recognized as a high-quality/stylish/innovative/status symbol/ high-priced pen, thus demonstrating the company had a differentiated product that if well matched with a correspondent customer profile, it would translate in great benefits for both company and customer.
The business then began to expand its market presence so that by 1980’s Parker Pen Company had extended up to 154 countries, from where we can clearly see that the long road the company had walked during the twentieth century, had already given it experience in handling international operations and a multi-national market service.
By 1982, Parker Pen would embrace a new president and CEO, James R. Peterson, who would be responsible to face the challenges the environment was setting on the company: on one hand, the company felt content with the weakened dollar, given that most of the company’s sales were abroad (about 80 per cent), the profits derived from those sales represented even big profits when translated to local currency; but on the other hand, shift in the company’s market was putting some trouble to it: Japanese’s mass market, cheaper, and disposable pens were stealing attention from Parker Pen, as well as other brands as Paper Mate, Bic, Pilot, and Pentel, which cost market share to the company. Likewise front-line competition as A.T. Cross and Montblanc was becoming fiercer against Parker Pen. The latter, conjugated with the struggle of the company to maintain
Parker Pen Company it’s an expert, traditional and well known fine writing instruments manufacturer based in Janesville, Wisconsin. Its founder, George Safford Parker, initiated the company’s history back in 1889 with the fountain pen patent, which would enable him three years later (1892) officially give birth to Parker Pen Company. In the earlier years of its existence, the company worried to reinforce its expertise in fine writing instruments manufacture, so that in 1920’s it was clear enough its product will be recognized as a high-quality/stylish/innovative/status symbol/ high-priced pen, thus demonstrating the company had a differentiated product that if well matched with a correspondent customer profile, it would translate in great benefits for both company and customer.
The business then began to expand its market presence so that by 1980’s Parker Pen Company had extended up to 154 countries, from where we can clearly see that the long road the company had walked during the twentieth century, had already given it experience in handling international operations and a multi-national market service.
By 1982, Parker Pen would embrace a new president and CEO, James R. Peterson, who would be responsible to face the challenges the environment was setting on the company: on one hand, the company felt content with the weakened dollar, given that most of the company’s sales were abroad (about 80 per cent), the profits derived from those sales represented even big profits when translated to local currency; but on the other hand, shift in the company’s market was putting some trouble to it: Japanese’s mass market, cheaper, and disposable pens were stealing attention from Parker Pen, as well as other brands as Paper Mate, Bic, Pilot, and Pentel, which cost market share to the company. Likewise front-line competition as A.T. Cross and Montblanc was becoming fiercer against Parker Pen. The latter, conjugated with the struggle of the company to maintain
Bibliography: • CZINKOTA, Michael R., RONKAINEN, Ilkka A. “International Marketing”, 8th edition. THOMSON SOUTH-WESTERN (a part of The Thomson Corporation), United States, 2008. P.313