Details Black & Decker's performance compared to a Japanese rival and other players in the electric instruments industry. Black & Decker is concerned about getting back its market share leadership in specific segments of the industry.
Why is Makita outselling Black & Decker 8 to 1 in an account which gives them equal shelf space? (opening paragraph)
Why are Black & Decker‟s shares of the two professional segments – Industrial and Tradesmen – so different? Wouldn‟t you expect them to be similar?
What if anything, do you learn from B&D‟s consumer research?
Joe Galli‟s objective is “to develop and gain corporate support for a viable program to challenge Makita for leadership” in the Tradesmen segment. (pg 1) To gain support, the minimal share objective would have to be “nearly 20% within three years, with major share „takeaway‟ from Makita.” How realistic is this?
If you think Galli should pursue a “build share” strategy, what actions do you recommend? Does the DeWalt idea have any merit? How about the sub-branding option?
Be specific about what you would do and remember you have at least three audiences to please: The end consumer, i.e. the Tradesmen The retailer Nolan Archibald and Gary DiCamillo