Menu

The Changes in the Way the Company Produces and Market Products and how they Address Customer Issues

0 Comment

Case StudyQuestion 4a Chuck Keown has proposed changes in the way the company produces and market products and how they address customer issues (Case study, N.d). The decision proposed is the use of direct interaction with customers instead of marketing products through decorating centers. The Loganville Window Treatments (LWT) president has also decided to reduce inventory cost by dealing with direct orders instead of producing large batches for storage. Another decision focuses on marketing the products and obtaining customer’s orders and feedback through the use internet (Case study, N.d).Question 4b The new approach proposed by the company will improve its competitive advantage over the Chinese rival firms due to the LWT’s proximity to the U.S. market. LWT is close to its consumers hence they will enjoy low transport cost than its competitors (Case study, N.d). The operation cost will decrease when they start dealing with customers directly instead of selling their products through decorating centers. The cost of holding inventory will also reduce and since they will use the internet and catalog to reach the customers that will result in the reduction of marketing expenses (McCormick amp.Duff,2011). Furthermore, the company will obtain a quick response from the clients and be able to offer a quick solution and increase customer satisfaction than its rivals in China (Case study, N.d). The effects of the proposed decision will result to reduced price of products due to a reduction in inventory and marketing expenditure hence increased customer satisfaction.ReferencesCase study, (N.d). Manufacturing and Service Processes: Loganville Window Treatments.McCormick, T. amp.Duff,D. (2011). Strategic Cost Reduction. New Zealand Institute of Chartered Accountants.