Swisher Mower Company

Swisher lawn mower Company Executive Summary: Wayne Swisher recently became the avower of Swisher lawn mower Company which his father, Max, founded 51 years ago in 1946. Swishers major revenue source is the riding mower and the parts grocery for their riding mowers, additionally, they also generate revenue from the Trail lawn mower as well as sell push lawn mower kits which do not add to the bottom line. In the run low 20 years sales for Swisher riding mowers have been constant while the industry has significantly grown. Mr. Swisher was recently approached by a national retail chain to sell his mowers under a tete-a-tete label which would nearly double sales. However, if Swisher does accept the private labeling offer it would be at a 5% discounted interchange price. Alternatively, or simultaneously, Swisher could more aggressively go after the titanic market share. Additionally, they are close to a new point of intersection launch for Trim-Max which is a mower, edger, and trimmer in one unit. trouble Statement: Swisher sales have been stagnant for the last 20 years even though they are still qualification an average annual profit of 10%. Mr. Swisher is deciding whether or not to double sales volume by evaluate a private label offer from a large retail chain.

By accepting the offer they would reduce their interchange price by 5% and potentially cannibalize near of their own sales. Additionally, Swisher Mower has always had a strong race with wholesalers and independent dealers and accepting the offer could potentially lead to a loss of some of their current sales base. If Mr. Swisher declines the offer past another manufacturer would probably accept the offer which would increase competition and potentially squeeze the profit out of Swisher Mower Company. By declining the offer Swisher Mower would have to aggressively go after increased market share on their own and try to encourage existing dealers to increase sales in order to maintain their margins. Industry Analysis The Lawn and Garden... If you want to get a full essay, order it on our website: Ordercustompaper.com

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