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Jones Blair Companyby group 3Pst. Joseph SianiparBernie Dambo[April 8, 2011]
Jones Blair CompanyI. Background/SynopsisIn U. S. paint industry is one of maturing industry and in 1997 the total sales recorded over $13 billion. The industry has three broad segments, architectural coatings (43 percent total industry dollar sales), and original equipment manufacturing (OEM)-(35 percent), and special-purpose coatings (22 percent). Architectural coatings are considered as mature market, high demand with long term sales and expected to be growth 1 to 2 percent per year with sales was $10 billion-plus in 1997.Jones Blair Company is a privately held corporation that produces and markets architectural paints under the Jones-Blair brand name. The company sells also paint sundries (brushers, rollers, thinners, etc.) under Jones-Blair brand name as well. The company markets its paint and sundry in over 50 countries in Texas, Oklahoma, New Mexico, and Louisiana. The sales area are divided in two areas which is Dallas-Fort Worth (DFW)metropolitan area is the major business, about 600 outlets were situated and Non-DFW area. The sales were recorded $12 million, average annual rate of 4 percent per year, and cost of good sold 60 percent of net sales.II.Statement of the ProblemAmong the various architectural competitors, what should Jones Blair Company do to compete with these competitors in the DFW and the non-DFW area?III.Alternative Courses of Actions1. Market Penetration programPenetratetheproductstodo-it-yourselfand professionalpaintercustomer.Doingmore
advertisementandpromotionsespeciallyfor professional painter customer where there are still 400 outlets in DFW area and 200 outlets out of DFW area that have not been touch by competitor. Conduct as seminar about their product so then it will build strong brand awareness to customers.