Lafarge-Aget Case Study Essay

887 Words 4 Pages
Question 1: How can Lafarge-Aget differentiate its position in the eyes of customers?
Lafarge-Aget can differentiate its position using several ways:

- Product offering: cement could be delivered with a bundle package of services to provided helpful support to the customer. Before that, Lafarge- Aget should conduct a marketing research about its customers’ needs and their expectation to offer them only valuable services.

- Lafarge-Aget can also change its approach of dealing with its customers: most of deals are transactional and based essentially on the price. The company could also develop a partnership approach by training its salespeople to offer deals in longer periods with more services such as advices for choosing
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Question 3: Amidst a commodity product and a highly competitive market how can Aget escape the commodity trap?
Aget could offer specific products for specific uses: hydraulic cement, mortar cement, white cemented segment its offer, the company could differentiate its offer from competitors. Aget have to follow a simple basic rule, that’s giving one specific offer for one specific customer, because every business customers have different needs and uses of the product, all in all it’s important that they focus more on their customers’ needs, and the company can deeply know the different needs of those segments using the Customer satisfaction surveys.
Also, an improvement in the supply chain is beneficial as long as this improvement fits very well with the customer requirements. Moreover, they can create a CRM tool that informs the company about each customer’s value.
Another thing would be the standardization of their brand. This thing is crucial as long as they operate in different markets with different cultural backgrounds.
Aget can also focus on high-valuable cement with high margins such as cement for architecture and design, speciality cements (prices: +12% in 2002). There are fewer competitors, but they have to develop more skills and services in this area.
Finally the company can provide trainings and seminars for the marketing and sales staff.

Question 4: Which important aspects determine the decision-making units (DMU) of the customers of

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