Strudel team

706 views

Published on

Published in: Business
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
706
On SlideShare
0
From Embeds
0
Number of Embeds
376
Actions
Shares
0
Downloads
0
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

Strudel team

  1. 1. WARNING<br />All the information contained in this presentation is protected neither under the copyright laws of the United States nor under the laws of any other country. Any copying or public performance of such materials is not strictly forbidden. However, ‘Team Strudel’ will not hold any responsibility for the epic fail or dramatic success, caused to your business as a result of unauthorized reproduction or exploitation of the mentioned managerial solutions.<br />A disclaimer <br />
  2. 2. ‘3M Russia’ electrics business<br />development strategy<br />
  3. 3. Our team comes from a wide range of regions of the Russian Federation and Belarus: Orsha…<br />Mariya Tugina<br />(Orsha, Belarus)<br />Moscow State University, Faculty of Global Studies, International Relations Department. 3rd year<br />Our team<br />Key directioins<br />Strategy<br />Risks & potential ROI<br />Implementation<br />
  4. 4. Our team comes from a wide range of regions of the Russian Federation and Belarus: Kirovo-Chepetsk…<br />Ekaterina Gorokhova<br />(Kirovo-Chepetsk, Russia)<br />Moscow State University, Faculty of Global Studies, International Relations Department. 3rd year<br />Our team<br />Key directioins<br />Strategy<br />Risks & potential ROI<br />Implementation<br />
  5. 5. Our team comes from a wide range of regions of the Russian Federation and Belarus: Kislovodsk…<br />Dmitri Kondrashov<br />(Kislovodsk, Russia)<br />The Russian Presidential Academy of National Economy and Public Administration. Faculty of Real Estate Management. Department of Marketing. 3rd year.<br />Our team<br />Key directioins<br />Strategy<br />Risks & potential ROI<br />Implementation<br />
  6. 6. Our team comes from a wide range of regions of the Russian Federation and Belarus: Yuzhno-Sakhalinsk…<br />Andrey Tugin<br />(Yuzhno-Sakhalinsk)<br />The Russian Presidential Academy of National Economy and Public Administration. Faculty of Real Estate Management. Department of Marketing. 3rd year.<br />Our team<br />Key directioins<br />Strategy<br />Risks & potential ROI<br />Implementation<br />
  7. 7. Having analyzed strengths, weaknesses, opportunities and threats, we have identified key directions for development of 3M’s electrics business <br />The goal for the team – to develop a set of measures that would increase brand awareness and sales of electrical products for ‘3M Russia’ by 50% over the next 2 and more than 25% over the next 3 years.<br />Deepen penetration of the business in central Regions.<br />Increase 3M brand awareness through a complex of marketing communications.<br />Capitalize on building long term mutually beneficial relationships with the ultimate consumers, including retail customers. <br />Become more ‘Russified’ and ‘closer’ to the ultimate consumers.<br />Extend production lines.<br />Our team<br />Key directions<br />Strategy<br />Risks & potential ROI<br />Implementation<br />
  8. 8. The strategy for 3M’s electric business development should effectively combine both marketing and sales activities<br />Handout pp. 5-8<br />Sales strategy<br />Marketing strategy & brand communications<br />Private <br />Housing<br />Commercial Construction<br />Industrial Enterprises<br />Our team<br />Key directions<br />Strategy<br />Risks & potential ROI<br />Implementation<br />
  9. 9. Most of the measures on B2B segment are of a relatively low risk but at the same time bring high return on investment <br />Handout pp. 5-8<br />Investment<br />Risks<br />ROI<br />Description<br />Commercial Construction<br />Industrial Enterprises<br />low<br />medium<br />high<br />Our team<br />Key directions<br />Strategy<br />Risks & potential ROI<br />Implementation<br />
  10. 10. However, the core point of the strategy is concentrating on the development of the unrealized potential of B2C market <br />PrivateHousing<br />At present time, B2C segment makes up only 10% of ‘3M Russia’s’ electrics business (the chart above).<br />Most of the population of the country consumes less than $1000 worth of goods per capita per month (the graph above). However, there is clearly a high demand for consumer goods, pertaining to the residential construction in the regions other than Central (e.g. Volga, South and Siberian).<br />This is why we believe there is high unrealized potential in the economy segment of electrics business.<br />Source of the graphs: case data, Troika Dialog<br />Our team<br />Key directions<br />Strategy<br />Risks & potential ROI<br />Implementation<br />
  11. 11. Developing client relationships on B2B market implicates positioning of 3M merchandize on lower than usual segments (middle-low and economy)<br />Targeted positioning<br />3M Positioning now<br />Х<br />Х<br />Х<br />Price<br />Price<br />Quality<br />Quality<br />The current positioning of 3M’s products implicates operating on the high and middle-high segments. <br />We recommend that 3M enters middle-low and economy price segments.<br />Our team<br />Key directions<br />Strategy<br />Risks & potential ROI<br />Implementation<br />
  12. 12. 3M might take into consideration three strategic alternatives for positioning on a new segment <br />Our team<br />Key directions<br />Strategy<br />Risks & potential ROI<br />Implementation<br />
  13. 13. However, the first two options are not beneficial for the company<br />Our team<br />Key directions<br />Strategy<br />Risks & potential ROI<br />Implementation<br />
  14. 14. However, the first two options are not beneficial for the company<br />Our team<br />Key directions<br />Strategy<br />Risks & potential ROI<br />Implementation<br />
  15. 15. We recommend that 3M enters low segment of Russian electrics market by acquiring a local wholesaler<br />Our team<br />Key directions<br />Strategy<br />Risks & potential ROI<br />Implementation<br />
  16. 16. Acquiring a wholesaler should bring certain benefits for 3M<br />x<br />x<br />We recommend that 3M enters regional middle-low and economy electrics markets through acquisition of a local wholesaler.<br />This will:<br /><ul><li> Get 3M closer to the ultimate consumer
  17. 17. Increase 3M’s presence in the regions of the country
  18. 18. Eliminate intermediary expenses
  19. 19. Integrate two businesses (production and distribution) vertically, which will let reduce costs and, thereby, cut prices to position the products on a lower segment
  20. 20. Let 3M control the merchandizing and the shelf life of its electrical products</li></ul>Our team<br />Key directions<br />Strategy<br />Risks & potential ROI<br />Implementation<br />
  21. 21. The choice of ElektroMIR is defined by its beneficial location and opportunities of growth<br />x<br />x<br />x<br />Acquisition of ElektroMIR is a better option for 3M due to the following reasons:<br />- ElektroMIR is based in one of the main transportation HUBs of the Russian Federation – Yekaterinburg<br /><ul><li>3M acquires a distribution channel in the Ural region, the presence in which is lower than in the other key regions
  22. 22. An opportunity to penetrate further into the regions</li></ul>Nizhniy Novgorod<br />Kazan<br />Yekaterinburg<br />Novosibirsk<br />St. Petersburg<br />Krasnoyarsk<br />Khabarovsk<br />Our team<br />Key directions<br />Strategy<br />Risks & potential ROI<br />Implementation<br />
  23. 23. The overall strategy implicates accepting a number of risks<br />Level<br />Description of the risk<br />Measure<br />Commercial Construction & Industrial enterprises<br />Handout, pp.9-10<br />Private housing<br />low<br />medium<br />high<br />Our team<br />Key directions<br />Strategy<br />Risks & potential ROI<br />Implementation<br />
  24. 24. Successful mitigation of the risks promises relatively high return on investment for the company<br />Potential ROI<br />Ways of mitigating the risk<br />Measure<br />Commercial Construction & Industrial enterprises<br />Handout, pp.9-10<br />Private housing<br />low<br />medium<br />high<br />Our team<br />Key directions<br />Strategy<br />Risks & potential ROI<br />Implementation<br />
  25. 25. January 2012<br />February<br />2012<br />March <br />2012<br />June 2011<br />July 2011<br />August<br />2011<br />September<br />2011<br />October<br />2011<br />November<br />2011<br />December<br />2011<br />Today<br />DesigningaprojectСб 09.04.11 - Чт 05.05.11<br />Negotiating<br />Delegatinglogistics<br />Magazinesadvertizing. POS Displays<br />Landing contracts for state-funded infrastructural projectsПт 06.05.11 - Вт 02.08.11<br />Start of the project<br />Client Technological centre in Novosibirsk launched<br />Industrial Automation Russia<br />Electric Mains of Russia<br />End<br />DIT Market<br />Client technological centre in St. Petersburg launched<br />Buyout of ElektroMIR<br />The active phase of the implementation of the strategy is expected to take around 10 months and will, in the most probable scenario, accumulatively bring the targeted profits by the year of 2014 <br />Our team<br />Key directions<br />Strategy<br />Risks & potential ROI<br />Implementation<br />
  26. 26. Ekaterina Gorokhova<br />(Kirovo-Chepetsk)<br />Moscow State University, Faculty of Global Studies, International Relations Department. 3rd year<br />Mariya Tugina<br />(Orsha, Belarus)<br />Moscow State University, Faculty of Global Studies, International Relations Department. 3rd year<br />Dmitri Kondrashov<br />(Kislovodsk)<br />The Russian Presidential Academy of National Economy and Public Administration. Faculty of Real Estate Management. Department of Marketing. 3rd year.<br />Andrey Tugin<br />(Yuzhno-Sakhalinsk)<br />The Russian Presidential Academy of National Economy and Public Administration. Faculty of Real Estate Management. Department of Marketing. 3rd year.<br />THANK YOU FOR YOUR ATTENTION. QUESTIONS?<br />
  27. 27. Appx. <br />

×