CASE REPORT DATE: 03/01/2015 GROUP 5: Oliver Principe, Jorge Colorado, Manwinder Singh, Amanpreet Mann SUBMITTED TO: Prof. Ting He CASE: Wilkerson Company Introduction Wilkerson Company is in the business of manufacturing valves, pumps and flow controllers. Wilkerson is currently faced with declining profit margins relative to industry competitors. Severe industry wise price cuts in the pump business, which is Wilkerson’s major product line, has badly affected the company’s margins (Gross
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by Wilkerson? There is a different competitive level in every Wilkerson product line. Pumps, the major commodity product line is facing a very stiff price competition, which is behind the decline in the company profits and actual gross margin to less than 20%, compared to 35% planned gross margin. Consequently, the Wilkerson company needs to reduce the price every month to maintain the market leader position. Wilkerson produces high quality products such as Valves, as well. Here Wilkerson gained
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WILKERSON COMPANY Executive Summary: The Wilkerson Company is not currently accounting correctly for their costs. They should be using an Activities Based Costing method and they will see that Flow Controllers are actually costing them significantly more than their other products and more than is reflected in their current accounting system. Actual gross margins will change noticeably with an Activities Based Costing system. Even operating at full capacity, Flow Controllers at the current price
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What is the competitive situation faced by Wilkerson? Wilkerson’s competitors have cut prices on their pumps, in order to maintain market share, Wilkerson also cut the price of their pumps. This dropped Wilkerson’s GM by about 15%. At the same time, Wilkerson was able to increase the price of their flow controllers by 10% without a drop in demand. The manufacturing manager now feels that the competitors’ valves are of equal quality as that of Wilkerson. Currently, the competitors have not
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money on purchasing school supplies by looking at discount retailers instead of the college bookstore. Misty has found two companies, Company A and Company B, with some great back to school deals on school supplies. Company A is offering ten percent off each dollar spent on school supplies with no minimum purchase required. While that sounds like a great deal, Company B is offering twenty-five percent off all school supplies purchased after spending an initial one hundred dollars. While both
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money on purchasing school supplies by looking at discount retailers instead of the college bookstore. Misty has found two companies, Company A and Company B, with some great back to school deals on school supplies. Company A is offering ten percent off each dollar spent on school supplies with no minimum purchase required. While that sounds like a great deal, Company B is offering twenty-five percent off all school supplies purchased after spending an initial one hundred dollars. While both
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into the company more than they love the company’s returns. A big airline is most likely to be the competitor. It is very likely that the corporation can introduce a system of short-haul, cheap flights via a standardized fleet with ease. The billions in revenue generated from other divisions can provide the capital required; they can even have the option to operate at a loss for a while. The question, then, turns to one of sustaining this division by attracting customers from companies like Southwest
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CORPORATE CULTURE SECRETS OF FIVE COMPANIES EMPLOYEES LOVE How innovative companies are creating ways to build company culture while seeing tangible benefits. INTRODUCTION Creating the right culture for your company could be the best investment you ever make – and often, it doesn’t cost a dime. The world’s most innovative companies find hidden value by operating outside of established business culture. Time and time again, competitors are left asking, “How did they do that?” CORPORATE CULTURE
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Although the imminent success in the last few years,some issues have brought the company down. The pending issues that are troubling the company are the employees conditions abroad, the buying of reebok and it's sales drop last year 2012. In the website oxfam, which analyses the conditions of workers abroad, it is stated:" we asked Adidas to implement worker's rights in Indonesia". (Oxfam 1). The complaints relate to the the ongoing problems of not matching wages with the rising prices of food
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LDR/531 February 12, 2013 Cherlyn Conner Small Business Examination Paper ESI Companies is a small company in Bartlett, Tennessee. ESI Companies is proud of their credit of providing tactical security specialist, and solutions to relieve threats to the environment. They install and build security systems in courthouse, detention facility, transportation hub, office building, and production plant. The company has partnered with private industry, law enforcement, military agencies, and correctional
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