They use a number of our aerosol products to carry out non-destructive testing including: The principal products that they inspect are compressor valves. They also inspect cylinders, plungers and many other mechanical components associated with reciprocating compressors, engines, well-head compressors and turbo machinery.
Given the limited information in the following case, which product would you recommend that Apex commercialize? It is now trying to determine which of two new compounds it should bring to market. The two products were expected to have the same gross margin percentage. But, there is little agreement among Apex's executive regarding which product should be launched.
Given resource scarcity the company can only select one of the two products under consideration. Compound A Compound A is a new electrolysis agent. The A product precipitates a synergistic reaction in silver electrolysis and does so better than any other product on the market.
Apex believes A is a real technical breakthrough and would be perceived as a winner with customers in the electrolysis market. Currently, there is only one competitor in the field, Hamfield. It claims that over 95 percent of its customers are currently satisfied with its products.
Apex did a customer survey and confirmed that, indeed, most of Hamfield's customers were satisfied with the product they currently used. Still, Apex believes that customers would gravitate to the clearly superior A product offering.
However, even with its product superiority, Apex is not known in the electrolysis market and has no presence there. There is some question about battling a well-entrenched company like Hamfield.
Compound B Compound B is a plastic oxidizer. There are two types of products used in this market: Betas represent about 60 percent of the total market and stigones account for 40 percent. The company has a reputation in the oxidizer field but it only produces stigones.
B would be its first beta product. Apex believes it has the best stigones and it currently does dominate that segment is the plastic oxidizer market. However, betas are cutting into Apex's stigone sales with the company losing 10 percent of its sales per year.
It seems that many customers are insisting on betas.
The plastic oxidizer market is also very competitive. There are three strong competitors and at least 6 other companies selling off-brand or commodity-based betas. Still, the oxidizer market is very important to Apex since it represents 25 percent of its total sales and it does not wish to abandon this market.
Apex believes that the B provides an opportunity to compete in the beta segment while still producing stigones and retaining its customers who currently buy its stigones. Still, the company has prided itself in being innovative and has always avoided creating and marketing "me-too" products.
It is uncertain about the market reaction to its entry into the beta segment of the market. The chemical manufacturing company, Apex should commercialize with the Compound A product. This is because the product has fewer competitors in the market unlike the Compound B product. According to the information provided, the product Compound A has only one competitor that specializes with the manufacture and distribution of Compound A product.
The market of the product Compound B has three competitors and this poses a greater threat to Apex Company. The other reason why Apex Company should commercialize in the product Compound A is because this market has fewer Solution Summary Innovations for Apex two compounds case study are examined.Zychol Chemicals Case Study Answers - Outbreak Movie Questions Answers - The Calculus 7 Louis Leithold Solution - Somatic And Special Senses Mastery Test Answers - Similar Figures Answers Milliken Publishing.
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Specialty Chemicals Case Study #3 A major European customer supplying to the adhesive market have had numerous supply and quality problems from their European supplier. They also realized that single sourced from European supplier is a risk. Read the case “Zychol Chemicals Corporation” given below and concisely answer the questions that follow at the end of the case study.
As a general guideline, please try to limit your answers to a paragraph or two for each of the questions. May 16, · Free OSHA Training Tutorial - Portable Fire Extinguishers - Understanding Their Use and Limitations - Duration: OSHA Training Services , views. Read and Download Zychol Chemicals Case Study Answers Free Ebooks in PDF format - THE BOOK OF BARKLEY LOVE AND LIFE THROUGH EYES A LABRADOR RETRIEVER LB.