Cah Case Analysis

Problem statement: Should Camar enter the European market or should Camar concentrate on increasing sales in the United States to keep the company on the fast growth track.

Camar company info:
? Manufactures surface automotive hoists, a product used by garages, service stations and other repair shops to lift cars for servicing
? Canadian based company
? Owner is Mark Camar, worked in the industry as a designer for 8 years, left that company in 1990.
? For three years, starting in 1990, Camar opened a plant in Lachine, Quebec and manufacturing and marketing the Camar Lift.
? Competes in the speciality shop segment and shops dealing with wheel alignments
? As of early 2000, Camar had developed a reputation for a quality product backed by good service in the hoist lift market, primarily wheel alignment segment
? Considered setting up an office in NY but was concerned about the wholesaler getting mad about giving up their territory ? wholesalers objective is to sell hoists, not necessarily Camars

Camar Lift
? Camar Lift considered a leader in automotive lift safety ? safety is considered an important factor in auto hoist market
? Cadillac of hoists, judged superior to competitors because of
- design
- quality for workmanship
- safety features
- ease of installation
- 5 year warranty
? Mark held 4 patents on the life including the lifting mechanisim on the scissor design and the safety locking mechanism.
? Sales, costs and earning have all increased from 1997 ? 1999
? In 1999, 60% sales were in the US, 40% sales in Canada
? 85% of sales were to the wheel alignment market in service centers like Firestone, Goodyear and independent garages that specialized in wheel alignment
? 15% ...
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