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Black & Decker Corp. (A): Power Tools Division Discussion Questions - Essay Example
Author : howejerald
Pages 2 (502 words)
However, this is not so in the Professional-Tradesman segment (P-T segment). The poor performance in this sector is because the brand name has been poorly positioned when it comes…
One of the overall strengths of Black & Decker (B & D) is that it is has a higher service rating than Makita and hence this puts it at an advantage. The power tools of B & D are of better quality and hence highly valued in that market which is a big strength on the part of the corporation. Even though B & D has poor performance in the P-T segment compared to Makita, the market share of the P-T is small and hence the loss is not so much.
On the weakness segment, due to the low quality of P-T segment of B & D, other tradesmen and other corporations do not respect and trust the tools being made by B & D and hence affecting the overall brand name of the company. B & D takes too long to act upon its weakness and poor performance and hence the company is continuing to lose market share to other companies like Makita (Black & Decker Corporations, 16).
I do not agree with this option because it is a bad business strategy. According to the 3 C’s business model, what B & D should focus on is corporation, customers and competitors. By not targeting the P-T segment of the corporation, then it is not considering the corporation’s image and the competitor’s strategies which make them better.
b) If Black & Decker decides to remain competitive in the Tradesman segment, would you recommend Option 2 or 3? Furthermore, how would you like to position the brand? Explain. (Hint: you might find perceptual maps and the POPs vs. PODs framework helpful in addressing this positioning problem.)
B & D should be focused and positioned according to its customer’s requirements, needs and demands. The best business framework that B & D should emulate is the Points of Difference (POD) because it positions the company in relation to their customer and not so much their competitor. The customers in a business are the ones who matter more than the competitor because if the customers are satisfied, then there will be little or no competition.
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