Tennant Company Case Analysis Essay

3294 Words Sep 26th, 2013 14 Pages
Executive Summary Tennant Company was founded in 1870 by George H. Tennant and initially produced wood products and flooring solutions. Tennant now produces floor-cleaning equipment and technologies, and prides itself on “creating a cleaner, safer, healthier world.” Tennant differentiates themselves from competitors by offering cleaner, safer and healthier products to their customers as well as through direct customer interaction. The Company drew popularity in the 1940s as a cleaning company that offered its services to the defense forces of nations especially those involved in war. The Tennant brand is strong and so is its positioning within the market. They currently hold approximately fifteen percent of the global market share, …show more content…
Tennant has strength in their discovery and early adoption of new technologies. It has allowed them to build relationships with various suppliers and service providers and has helped further build their brand name and recognition within the industry. This strength will be critical if Tennant chooses to venture in to new market segments or further expand their product line as they will always be a step ahead of their competition. This is rare as other companies have not been able to discover these same technologies, however it is not imitable. This strength has proved to be a key competitive advantage for Tennant. They have exploited this strength and achieved organization. Based on the previous financial year as shown in the case and the ratios for the financial statement, Tennant Company has stable financial performance with little change in its return of assets, return on stockholders’ equity, and profit margin. The company’s performance is improving, also use its resources more efficiency. The company has an ability to meet short-term obligations which the asses can be readily converted into cash, but less ability to pay off the claims of short-term creditors without relying on selling its inventories. Overall, the company was in a relatively healthy position.

Current Strategy
Business Strategy It has been identified that Tennant Company's business is strategy is

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