Marketing Business Plan Paper on SMS Equipment & Weldco-Beales Manufacturing Industry Case

SMS Equipment & Weldco-Beales Manufacturing Industry Case

Introduction

            SMS is one of the primary providers of equipment in Canada, which provides solution services for the construction, forestry, mining, and utility industry. The company has established alliances with suppliers all over the world to assist meeting the needs of their customers. The company came into existence through the merging of three Canadian equipment dealers; federal equipment, coneco equipment, and transwest mining system. It has turn out to be a full-line distributor of heavy industrial equipment and provides a variety of services through different locations located across Canada. In forming a partnership with WBM manufacturing company, which specializes in designing and manufacturing of heavy equipment; SMS dedicates itself to servicing the construction, resource, forestry, mining, scrap recycling, and road maintenance industries. This partnership will aim at providing solutions that will improve product quality and performance in serving their customers’ needs and creating profound change in their communities(The Blue Book of Canadian Business 283).

Problem Statement

            SMS Company looks to leverage WBM as an investment partner as it pursues the forestry sector. SMS is not well familiar with the strategies and feasibility that is required in the forestry industry to enable them to attract subsequent revenue. The company can manage to provide all the equipment that may be needed in harvesting and transportation but will encounter difficulties when it comes to manufacturing and servicing the product. Furthermore, the company aims at filling the market gap and creating a large market base with the help and expertise of the WBM Company. Through this, the SMS Company looks forward to provide improved and quality services and products to its consumers. Together, the two companies lack proper channels of creating awareness and are looking for strategies in which they can tap into this new market, attract consumers, manage and supply their products.

            In order for the partnership to be successful, the companies need to build their confidence during the sales process and determine whether the prospect will be a good fit for their products. The two companies should strategize by matching up their internal resource capabilities and their external environment. If this is done, it will help in promoting understanding and it will influence the company’s position in its actual and potential marketplace. Additionally, the joint venture will prove to be a strategic alliance that will seek to share the risks and rewards by the formation of a new entity under shared control. The alliance will also enable the two companies to gain competitive advantage through access to their partners’ markets, technologies, capital and people. This will be a venue, which will enable them to grow and expand more rapidly and efficiently by saving time and boost productivity independently yet in a partnership (Aylen 629).

Alternatives and Recommendations

            The partnership of two biggest and successful companies in Canada should come up with both long and short term goals; that will see them prosper in the market. The two companies should also come up with specific great goals that aim at identifying their market place and focusing all their energy and company resources in achieving them. This will require effective approaches that will identify the strengths and weaknesses of its competitors by reaching out and targeting to satisfy the needs and services of their consumers(Canadian Forest Industries 29). They will carry out demographic surveys to identify with the consumers, the distribution channel that can be through either wholesalers or retailers and analyze both the end of consumer and the intermediaries. These will help in determining the measurable outcome of the laid out goals of the business plan and help the company in comparing and contrasting on the targeted results or numbers aimed to attain. The payback of the investment should be fair to the cost of investment and give benefits according to the resources of the company to keep the profits of the company.

            The company should come up with goals and objectives that are in line with realistic growth of the industry. The objectives of the business should be reachable and attainable according to the amount of time and resources put in. To remain relevant in the trends of the market, the services and products offered should be based on the current conditions and realities of the nature of business. With current recession and changes on the economy around the globe, the goals of the business should be set in a dynamic and more flexible way to remain relevant in the market place. A period should be put in place to enable the companies accomplish their goals and objectives in a given period. There should be a time frame tied to the goal setting process that will guide the sales and management team of the company to meet its objectives.

            Together, WBM and SMS should know their responsibilities, rights and obligations in running the business. With their independent accredited success, they are bound to create new synergic connections that will boost the performance of the combination to a higher level than that of the sum of the individual businesses. The joint venture will be able to achieve more with less in that 80% of the results will be an outcome of 20% effort put in and make continuous improvements by directing their individual resources and capabilities to the forestry investment.

Implementation

            This process will help the partnership to pursue a different line of business and expand their market and consumer horizons globally. In understanding and implementing the market patterns and strategies, the sales team will have to carry out a market research and consider various factors which include features and benefits of the product to its consumer, targeted consumer group, competition, product promotion, pricing, distribution channels and sales forecast. The team should also come up with a clear detailed plan that will help in identifying the location with a large number of consumers and for each customer group come up with a demographic profile that seeks in guiding them with the pricing and distribution channel of the product. The sales team will face risks that involve lack of proper technique and outsourcing ways in which to attract consumers that are already well acquainted with other competitors in the market. The challenges will come in identifying their competitors. They will have to establish which areas are very competitive. These aspects of the market will help in identifying the strengths, weaknesses, opportunities and threats of a business and enable the team to deal with them effectively(Pulp and Paper Manual of Canada 336).

            Short plans and programs should or rather need to be implemented. The plans should include providing resources and knowledge to the sales and management team to break out of their normal comfort zone in dealing with particular products and to adjust to the forestry industry. This should be accompanied by a training camp that will enable the team to do field work activities that will assist them to introduce the product to the market and give them an opportunity to identify themselves with it. The proper assessment of the product will translate to the prosperity and success of the product according to the response and feedback collected through the fieldwork. On long-term basis, the team should come up with a system that will identify networking ways to promote their products such as trade shows, catalogs, dealer incentives and network of friends and professionals. This will be a way of advertising that will create an image for both the company and product. The ways of advertising will also help determine what image the consumer is expected to have about the company. In addition to advertising, they should come up with a plan of a graphic image that will be used as clear definition and presentation of their product. This will include cards and letterheads, brochures, logo designs and signage. At the end of having considered all these, the team will be needed to prepare a systematic budget, which will incorporate the startup financial aid that will be required to run this process, time and resources that are needed. The use of forecast sales will be a projection of the sales based on historical sales, the marketing strategies, market research and industry data. They should be prepared in two different forecasts, that will display the best sales case scenario and the worst estimates that considered according to the research and survey (Block and Natalie 118).

SMART Goals

            Setting of goals is very important to several institutions. This is because goals enable or rather make an institution to work or operate towards a certain vision. To begin with, for the SMS and WBM companies, when they came into partnership, they had to set specific goals. These goals had to be clear and easily understandable. They directed the teams to what is expected of them, why the partnership is important, who is involved in the development of the two companies, and which requirements are needed to push the two companies ahead. The specific goals also enabled the two companies to identify possible constraints that could hinder their expansion and development. Moreover, the two companies came up with measurable goals that determined how much, how many, and when the dreams or targets of the companies will be accomplished. The partnership of the two companies also set achievable goals. That is to say, they are goals that explain or determine how the aims of the two companies can be accomplished. Relevance of goals should also be considered when coming up with goals. Thus, the two companies came up with goals that determined whether their partnership was worthwhile, whether it was the right time for it, whether they had the right people to spearhead the partnership, and whether the partnership would have an influence on the social and economic society. It is also worth to note that when the SMS and WBM companies came into partnership, they had to set goals that were time-bound. These goals enhanced commitment among the members of the two companies and they worked with the aim of achieving something at the end of a given period or sue date. Besides, the time-bound goals set in the company helped establish a sense of urgency.

Works Cited

Aylen, John. Starting & Running a Small Business for Canadians All-in-One for Dummies. Etobicoke, Ont: J. Wiley, 2012, pp 629. Internet resource.

Block, Tristan, and Natalie Hosmer. The Canadian Hidden Job Market Directory: Canada’s Best Directory for Finding the Unadvertised Jobs. Toronto, ON: Sentor Media, 2006, pp 118. Print.

Canadian Forest Industries. Don Mills, Ont: Southam Business Publications, 1964, pp 29. Print

Pulp and Paper Manual of Canada. Gardenvale, Que: National Business Publications, 1930, pp 336. Print.

The Blue Book of Canadian Business. Toronto: Canadian Newspaper Services International, 1976, pp 283. Print.