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Packaging and Pricing Strategy Report - Essay Example

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Packaging and Pricing Strategy Report

One firm that has successfully integrated into the Lowes paradigm is Green Fiber. I.-Introduction Lowe’s Home Improvement Warehouse is an American-based chain of retail home improvement and appliance stores. The Mooresville, North Carolina-based chain has grown from a tiny hardware store into the world’s second largest home improvement retailer.(Fortune, 2008) Lowe’s is ranked 48 in the 2008 Fortune 500 Largest Corporations in America. (Fortune, 2008) The company has grown nationwide and today, its stores offer around 40,000 products in stock and even more products are available through their Special Order Service.(Lowes, 2013) One of the most unique branding success stories within the Lowes family is Green Fiber. Green Fiber has developed the capacity to turn what has previously been an environmental "problem" into a major commodity in the building products industry. Green Fiber's natural fiber insulation offers a substantial environmental benefit: made from 85 percent recycled paper fiber, Green Fiber insulation products divert millions of tons of paper from landfill each year.(Green Fiber, 2013) As a natural fiber blow-in insulation made with no harmful chemicals, Green Fiber insulation products provide a safe option for builders and DIY home owners that wish to improve the efficiency of their home insulation without introducing chemically treated materials.(Green Fiber, 2013) Product Description: Green Fiber Cellulose Insulation provides a smart environmentally-friendly choice for home upgrades and new construction. Cellulose insulation is a cost effective alternative to conventional fiberglass insulation. It provides a green, efficient, non-toxic, affordable thermal solution that increases any homes efficiency and thermal qualities. Blow In Natural Fiber Insulation acts as a thermal blanket in the attic space of a home by increasing the insulation R-values and making homes more energy efficient.(Green Fiber, 2013) II. Current Product Analysis: Green Fiber Insulation is currently the only cellulose based insulation material offered by Lowes Home Improvement Warehouses.(Lowes, 2013) The main product competitor found on the shelves of Lowes is conventional pink fiber glass insulation that is sold in rolls and bundles. The established presentation of the product is adequate but not dazzling. The simple fact is that Green Fiber Insulation is treated just like its Fiber Glass insulation competitors. In Lowes Home Improvement Stores it is sold as a bulk basic material with limited product information beyond R-Value properties and quick installation guides. The Product Life Cycle of Green Fiber Insulation is at an intersection point. Since the product’s introduction in 2000 cellulose insulation product sales have grown by over 57%. (Green Fiber, 2013) Cost of Green Fiber Insulation is declining on a per unit basis because of increased sales. As profitability for Green Fiber has increased direct competitors (cellulose insulation manufacturers) and indirect competitors (fiberglass insulation manufacturer’s) have egressed into the market and are attempting to challenge Green Fibers position within the ...Show more


AR-Order ID 788223 Submitted too: TITLE: A PAPER SUBMITTED by: Author’s Note Abstract: Sometimes a distinction must be made between packing and packaging. Packing a product protects the product from the manufacturer to the market place. Packaging a product not only protects the product during handling and transit it actually helps promote the product in the market place…
Author : eusebio08
Packaging and Pricing Strategy Report essay example
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