Borg-Warner Company Case Study Essay

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A. The Problem
It is difficult to figure out the attitude of the two principal companies, since both have a few opposing traits in regards to their channel design and how they reach their target segments. Over the product life cycle, the Market Channel Design continues to change so we need to figure out a plan to proceed with this continuous movement. In addition, the different market segments that Borg-Warner Chemicals and General Electrics possess may need a different channel design in order to meet the needs of their individual customer’s form, time, place, and possession. Both competitors currently have two opposing channel designs that target contradicting markets, where Borg-Warner is primarily focused on a smaller audience and General
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Borg-Warner has also expanded into working on bigger armored car security transportation and other related services. Shortly after the time period of the case, investors wanted to work with Borg-Warner in a more private setting. Shortly after, Borg-Warner Chemicals was left for sale only to help raise cash for the leveraged buyout. Rumors have spread about bidding wars between their competitors like General Electric and DuPoint even though they denied such activity. Later on, General Electric ended up received Borg-Warner Chemicals. However, Borg-Warner Chemicals failed to exist at the time. General Electric decided to change the name of the Plastic Service Centers to “Polymerland” This began to eliminate any identification with their earlier organization, which created some interesting product line changes eventually. Borg-Warner was then taken public again, re-christened as Borg-Warner Automotive. Soon enough, social media began to reveal that the new Borg-Warner has no involvement with the plastics …show more content…
BW seemed similar, but better appreciated by smaller customers. However GE also wants to help in the long run by ultimately having the channels which are used to have direct communication in order to make a direct sales with the customers. By continuing to have General Electric Plastic to sell directly to customers, while understanding the importance of distributors, the direct sales will lead to the end user (the customer) to be satisfied with the sale. GE saw customers through its own needs and goals–growing the market. General Electric is a market share-driven company. Since General Electric was able to respond more quickly to the needs of the customers they would simply pass up companies like DuPont because the sales of engineering of plastics. General Electric Plastic would added-value to their product by their dynamic marketing development efforts This growth would ultimately stem from the contributions and actions of the FMD

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