What do you recommend that Windmere do over the next two or three years?
In my opinion, Windmere must continue to expand its U.S. sales to continue using its factories in China effectively in 2-3 years time. It has focused on a developing a family of brand names in addition to private branding and OEM business , as well as developing additional product lines to push through its distribution channels. These brand names can be easily marketed through these channels which will in return provide reasonable profit to the company. Focusing on brand identities for each of its major product lines is an important issue for this company.
Its professional saloon products from the Belson Products Division are marketed under saloon designs, Pro Star and Premier brand names. This enables Windmere to gain large national retain chain clients such as Wal-Mart, Eckerd Drug, Kmart, Target, Caldor, etc. These huge retail clients will be Windmere s strategic partners. Windmere has to adapt itself incase of huge demand to its product through these retail channels. In the future, Windmere has to provide high-quality goods in case of this unexpected situation of excess demand. Another fact is that, new products of Windmere has to be competitive in the environment. Before presenting these products Windmere has to make some Market Research Appraisals in order to understand products market position and segmentation.
On international scale , three big subsidiaries Hong Kong, Canadian and Dutch provide supply to its international markets, these subsidiaries need to be improved with new subsidiaries in order to provide more integrated distribution networks.