Fenix Del Sur Case Study

Market forces have turned, creating interesting circumstances for the company that started their small base of operations in Tucson, Arizona before headquartering in Phoenix and opening branches in Los Angels, Miami and Boston.

These changes in the market place have created a number of challenges for the company. Prior to delving into these specific challenges, it is first important to analyze Feint del Surd to formulate a case analysis. Kerri & Peterson (2010) detail the four analytical categories of a market case analysis, which can be clearly applied here: 1.

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Nature of the Industry, Market & Buyer Behavior: Fennel del Surd specializes In authentic artifacts sourced from tribal regions of South America and Africa. In addition, they also delve Into Hopi and Navajo pottery and jewelry.

They market these high-end exclusive items through a network of specialty dealers to consumers won are Interested In expensive Ana unlike relics. Competitively, the organization’s products are in finite supply and competition has developed from other vendors and even the existing distribution channels. 2.

Organization: The organization’s primary objective is to capitalize on its distinctive ore competency, carefully verified and authenticated relics, by selling them at high profit margin to discerning end-users. Recently, a market for replica artifacts has opened up for consumers interested in decorative and gift items. 3.

Plan of Action: Responding to increased retail competition, Feint del Surd is seeking to protect and expand their perennial supply of authenticated artifacts in addition to expanding into the replica market.

Distribution chain opportunities are being carefully considered for exclusivity and guaranteed contracts. 4. Potential Outcomes: Feint del Surd can strive to secure sourcing for authentic artifacts and work on exclusive and guaranteed distribution channels to protect existing margins and levels of growth. In addition, Feint del Surd can explore the replica markets to expand market share. Failure to protect current markets and proactively develop new markets will result in continued erosion of sales and margins.

With this cursory market analysis, several decision points are evident for the organization.

One of the primary decisions Feint del Surd has to contend with is the opportunity for a mass- researches department store’s offer to eliminate a competitor’s products from their store and go exclusive with Feint del Surd. Utilizing the DECIDE process to analyze this challenge, we can increase the likelihood of a better solution (Kerri & Peterson, 2010): D) Defining the Problem: Feint del Surd has the opportunity to contract with a mass-merchandise department store to market both authentic and replica items that could radically affect sales and how the company defines itself.

E) Enumerate the Decision Factors: A guaranteed initial purchase of $750,000 with n estimate of $4 million of annual sales, with replica artifact production increasing by 300%. C) Consider Relevant Information: Commitment to a large percent increase in replica sales is a departure from the mission, scope and objectives of Feint del Surd.

L) Identify the Best Alternative: From my perspective, the market appreciation for replica items and the associated margins dictate that the new opportunity should be accepted.

D) Develop a Plan for Implementation: Marketing the relics as direct replicas of Feint del Surd exclusives will continue to differentiate the company from their intention. The replica endeavor can serve to bring value and notoriety to the authentic market. E) Evaluate the Decision & Process: The immediate infusion of $750,000 and anticipated increases of $4 million can ease the pain of redefining the company. Periods of re-invention can serve to motivate and inspire organizations to new levels of achievement.

Understanding the segmentation of the market that Feint del Surd competes in is an important component of defining which direction the organization should go. As Stephan Liz (2014) posits, one-size-fits all approaches regarding segmentation are imply not relevant anymore. Leveraging the existing network to increase the value of Don ten replica Ana authentic lens snouts De carefully approaches Dye ten organization. Competition and legal issues for the sourcing of authentic is contributing to that particular market becoming increasingly segmented.

In addition, dilution of the replica market with low-quality knock-offs is a huge challenge to that market segment.

As Liz (20140 states, getting in front of the right customer with the right offering at the right price is paramount to success. This leads us to the necessary challenge of identifying potential target markets for Feint del Surd. As mentioned before, the markets are clearly segmented. For one, high-end clientele who have significant disposable income and a taste for authentic tribal artifacts are the primary market for the certified and verified relics.

The second target market, which is the one that is becoming diluted by low-priced and low- quality competitors is the replica market. People are using these replicas for gifts and decoration.

While not attempting to copy the competition, Feint del Surd could learn room their completion by analyzing what their marketing efforts are and what type of people they are targeting (Sherlock, 2014). It is not necessarily a case of “If you can’t beat ‘me, Join ‘me” but more a case of knowing what your competition is good at and then finding a way to do it better.

With all of that being said, regardless of the decision to dive completely into the deep end of the replica market, Feint del Surd should make all of the efforts necessary to protect their status as the pre-eminent supplier of authentic South American and African. In the end, the distinctive competency of being the most respected source or these types of artifacts is what put Feint del Surd on the map and has contributed to sustainable success.