aml1205 16 | 1
Jun 21, 2011 | #1
After another month of delayed payment, I have decided to display a sample of my masterpiece....hey! bear with me, I need an out.....
Celmacch to take emerging markets by storm!
Paper ID 8426145654, ORDERED AND NOT ORIGINALLY WRITTEN BY Luca Celotti
1. RECOGNISE THE OPPORTUNITY:
A. DEVELOP AN IDEA:
The concept of developing an idea includes detailing the steps towards which an initial idea will move towards. It also includes exploring the potential of the initial idea. In this case, the initial idea is doing business in China.
Celmacch is eyeing China for the production of their new flexo printing machine. While the rest of the world is plagued by the financial crisis, total packaging output in China was given a ballpark figure of US$125 billion (RMB860 billion). The country's lower costs have been a luring force for manufacturing and production activities from across many industries. Global manufacturing is expected to continue migrating towards China, and the rest of Asia, over the next few years (Wong, P).
China has 3 key production regions which contribute greatly to corrugated packaging production: The Pearl River Delta region (Guangdong, Fujian) produces a total of 550-600 million tons of corrugated carton annually; Yangtze River Delta, (Jiangsu, Zhejiang, and Anhui) has an annual corrugated production contribution of 550 million tons; and Bohai Sea Area (Beijing, Tianjin, Hebei, and Shandong) has an annual production capacity that reaches 500 million tons (Wong, P).
B. TRIGGER EVENTS:
Trigger events refers to the concept that there are prevailing circumstances in the market which serves as the basis to move towards a certain direction. In this case, towards the direction of China as the following paragraphs will reflect.
The increased demand for accuracy and customization in the carton packaging market has led to the popularity of die-cutting equipment. The development in the packaging and printing industries led to the need for automatic stitchers and gluers as a response to rising labour costs.
Chinese carton factories look for high speed, wide width, and high performance coupled with the latest technological advances when purchasing corrugated packaging production lines.
Corrugated boxes need to compete against reusable plastic shipping crates and other types of plastic packaging. This, however, is a minor threat. First, corrugated boxes have an environmentally friendly reputation. Second, old corrugated boxes may be disposed off to recycling companies, instead of the cleaning and returning costs that plastic crates are subjected to (World Corrugated Boxes Market).
Some players in the industry like Boix, Serra, Insun, Tangcheng Machinery, Godswill Paper Machinery, Shanghai Eterna, Shenyang Jinchuan, Shanghai Jiayi and Shanghai Hongjing are promoting energy-saving products to promote environment friendly production options (Overview of Latest Technologies and Manufacturers in Corrugated Cardboard Manufacturing Industry 2011).
C. PRE-START PLANNING AND PREPARATION:
Pre-start planning and preparation is the concept of defining the steps which need to be taken before business can commence. These include the behind the scenes ideas which a company is considering for the business. In this case, the main plan is to partner with a Chinese company for the production of a new flexo printing machine.
As a small company, Celmacch does not have the resources to build a factory. The solution is to partner with another company - this is where China comes into the picture.
Celmacch's plan is to partner with a Chinese company for the production of their new flexo printing machine. They also plan to give their Chinese partner the opportunity to sell this product in Asia in exchange for a royalty commission.
D. ENTRY AND LAUNCH
The concept of entry and launch includes the actual implementation of the ideas formed and plans detailed for the business to start. This is where the entrepreneurial team comes into the picture to carry out the marketing plan for the company.
As Celmacch translates it's plans into action, the company's entrepreneurial team will begin the process of exploring the available resources in China (see MARSHAL RESOURCES for more details) .
The entrepreneurial team will aim to address the issues that the global corrugated carton industry is currently facing. The global corrugated carton industry needs to address production costs and the supply of comprehensive services. There is also the need to address safety issues and reconcile globalization with standardization (Wong, P). Lightweight, quantification, resource saving and cost reduction - this is the expected future of corrugated carton as a result of scientific and technological development (Overview of Latest Technologies and Manufacturers in Corrugated Cardboard Manufacturing Industry 2011).
E. ESTABLISH AND GROW AN ENTERPRISE:
The concept of establishing and growing an enterprise refers to the next step after launching the business. It answers the questions of what the company has to offer and how it can use the resources of it's partners to further expand the business.
Celmacch's plan has the following key strengths:
1. The new flexo printing machine will satisfy the need for cost reduction without sacrificing quality;
2. Celmacch is subject to the rules of an organization which not only aims to protect the environment but also upholds consumer health and safety;
3. Celmacch is providing China with the opportunity for business expansion with it's Asian neighbours while also imparting technical knowledge.
The launch of this planned partnership will allow Celmacch to grow it's enterprise beyond it's European comfort zone and into the emerging market of Asia.
2. MARSHAL RESOURCES
Celmacch, though it is a small company, has its own marshal resources allotted for this partnership. The company has invested in a lawyer who will pave the way for the negotiations and eventually create the agreement for the concerned parties. Celmacch also has a highly developed level of technology which it is in a position to impart to the future Chinese staff via training. Lastly, Celmacch has allotted resources for advertising in order to make the company and it's products known to the Chinese market.
While Celmacch is obliged to manage their limited resources very carefully, it also has a team of different members who have the capacity to bring in different resources and other forms of entrepreneurial capital.
REFERENCES
Marketing or safety driven, traceability has key role to play in the future. [online].
Overview of Latest Technologies and Manufacturers in Corrugated Cardboard Manufacturing Industry. [online].
Wong, Philip. Asian Corrugated Case Association: Industry Profile.
World Corrugated Boxes Market. [online].
Celmacch Company - Strategy Paper
Celmacch to take emerging markets by storm!
Paper ID 8426145654, ORDERED AND NOT ORIGINALLY WRITTEN BY Luca Celotti
1. RECOGNISE THE OPPORTUNITY:
A. DEVELOP AN IDEA:
The concept of developing an idea includes detailing the steps towards which an initial idea will move towards. It also includes exploring the potential of the initial idea. In this case, the initial idea is doing business in China.
Celmacch is eyeing China for the production of their new flexo printing machine. While the rest of the world is plagued by the financial crisis, total packaging output in China was given a ballpark figure of US$125 billion (RMB860 billion). The country's lower costs have been a luring force for manufacturing and production activities from across many industries. Global manufacturing is expected to continue migrating towards China, and the rest of Asia, over the next few years (Wong, P).China has 3 key production regions which contribute greatly to corrugated packaging production: The Pearl River Delta region (Guangdong, Fujian) produces a total of 550-600 million tons of corrugated carton annually; Yangtze River Delta, (Jiangsu, Zhejiang, and Anhui) has an annual corrugated production contribution of 550 million tons; and Bohai Sea Area (Beijing, Tianjin, Hebei, and Shandong) has an annual production capacity that reaches 500 million tons (Wong, P).
B. TRIGGER EVENTS:
Trigger events refers to the concept that there are prevailing circumstances in the market which serves as the basis to move towards a certain direction. In this case, towards the direction of China as the following paragraphs will reflect.
The increased demand for accuracy and customization in the carton packaging market has led to the popularity of die-cutting equipment. The development in the packaging and printing industries led to the need for automatic stitchers and gluers as a response to rising labour costs.
Chinese carton factories look for high speed, wide width, and high performance coupled with the latest technological advances when purchasing corrugated packaging production lines.
Corrugated boxes need to compete against reusable plastic shipping crates and other types of plastic packaging. This, however, is a minor threat. First, corrugated boxes have an environmentally friendly reputation. Second, old corrugated boxes may be disposed off to recycling companies, instead of the cleaning and returning costs that plastic crates are subjected to (World Corrugated Boxes Market).
Some players in the industry like Boix, Serra, Insun, Tangcheng Machinery, Godswill Paper Machinery, Shanghai Eterna, Shenyang Jinchuan, Shanghai Jiayi and Shanghai Hongjing are promoting energy-saving products to promote environment friendly production options (Overview of Latest Technologies and Manufacturers in Corrugated Cardboard Manufacturing Industry 2011).
C. PRE-START PLANNING AND PREPARATION:
Pre-start planning and preparation is the concept of defining the steps which need to be taken before business can commence. These include the behind the scenes ideas which a company is considering for the business. In this case, the main plan is to partner with a Chinese company for the production of a new flexo printing machine.
As a small company, Celmacch does not have the resources to build a factory. The solution is to partner with another company - this is where China comes into the picture.
Celmacch's plan is to partner with a Chinese company for the production of their new flexo printing machine. They also plan to give their Chinese partner the opportunity to sell this product in Asia in exchange for a royalty commission.
D. ENTRY AND LAUNCH
The concept of entry and launch includes the actual implementation of the ideas formed and plans detailed for the business to start. This is where the entrepreneurial team comes into the picture to carry out the marketing plan for the company.
As Celmacch translates it's plans into action, the company's entrepreneurial team will begin the process of exploring the available resources in China (see MARSHAL RESOURCES for more details) .
The entrepreneurial team will aim to address the issues that the global corrugated carton industry is currently facing. The global corrugated carton industry needs to address production costs and the supply of comprehensive services. There is also the need to address safety issues and reconcile globalization with standardization (Wong, P). Lightweight, quantification, resource saving and cost reduction - this is the expected future of corrugated carton as a result of scientific and technological development (Overview of Latest Technologies and Manufacturers in Corrugated Cardboard Manufacturing Industry 2011).
E. ESTABLISH AND GROW AN ENTERPRISE:
The concept of establishing and growing an enterprise refers to the next step after launching the business. It answers the questions of what the company has to offer and how it can use the resources of it's partners to further expand the business.
Celmacch's plan has the following key strengths:
1. The new flexo printing machine will satisfy the need for cost reduction without sacrificing quality;
2. Celmacch is subject to the rules of an organization which not only aims to protect the environment but also upholds consumer health and safety;
3. Celmacch is providing China with the opportunity for business expansion with it's Asian neighbours while also imparting technical knowledge.
The launch of this planned partnership will allow Celmacch to grow it's enterprise beyond it's European comfort zone and into the emerging market of Asia.
2. MARSHAL RESOURCES
Celmacch, though it is a small company, has its own marshal resources allotted for this partnership. The company has invested in a lawyer who will pave the way for the negotiations and eventually create the agreement for the concerned parties. Celmacch also has a highly developed level of technology which it is in a position to impart to the future Chinese staff via training. Lastly, Celmacch has allotted resources for advertising in order to make the company and it's products known to the Chinese market.
While Celmacch is obliged to manage their limited resources very carefully, it also has a team of different members who have the capacity to bring in different resources and other forms of entrepreneurial capital.
REFERENCES
Marketing or safety driven, traceability has key role to play in the future. [online].
Overview of Latest Technologies and Manufacturers in Corrugated Cardboard Manufacturing Industry. [online].
Wong, Philip. Asian Corrugated Case Association: Industry Profile.
World Corrugated Boxes Market. [online].