Summary
Randy Repass founded West Marine in 1968. Repass initially worked as a Computer Engineer, but after few years he left the job and retreat his hobby as his profession. Repass started selling nylon ropes by mail order out of his garage and later opened a small boating outlet in Palo Alto, California in 1975, where he sold different accessories to boats. Then gradually grown as a company for boaters where he had a friendly customer base and started obtaining and opening sculling supply stores along the west drift. By 2002, West Marine became the largest boating retail supply chain, annual sales of $6 billion of the total $25.6 billion boating industry. West Marine had 33,000 wholesale customers and more than 50,000 items in its product line which it sold through stores and websites.
Key Issues & Implications …show more content…
The company was not able to achieve its strategic objectives and totally lost its operational efficiency. The inheritance had created uncertainty and sales dropped by 8%. With the as similarities between two companies where one focuses on customer service and other on pure sales the merging had clash within its own customers and also lost the loyal customers of E&B. Indeed, even before the E&B marine procurement, West Marine’s production network was more intricate than the supply chains of most strength retailers. It confronted an item defers and different interruptions due to cross divisional administration challenges. Two way communications and relationship with suppliers was also unsatisfactory. West Marine is insufficient to strengthen an association to double its size. The E&B included more stores and new SKUs which further increased the crucial inventory network tests. The vendor population increased to 1,400 and the suppliers at E&B Marine are not so productive when compared to West
Randy Repass founded West Marine in 1968. Repass initially worked as a Computer Engineer, but after few years he left the job and retreat his hobby as his profession. Repass started selling nylon ropes by mail order out of his garage and later opened a small boating outlet in Palo Alto, California in 1975, where he sold different accessories to boats. Then gradually grown as a company for boaters where he had a friendly customer base and started obtaining and opening sculling supply stores along the west drift. By 2002, West Marine became the largest boating retail supply chain, annual sales of $6 billion of the total $25.6 billion boating industry. West Marine had 33,000 wholesale customers and more than 50,000 items in its product line which it sold through stores and websites.
Key Issues & Implications …show more content…
The company was not able to achieve its strategic objectives and totally lost its operational efficiency. The inheritance had created uncertainty and sales dropped by 8%. With the as similarities between two companies where one focuses on customer service and other on pure sales the merging had clash within its own customers and also lost the loyal customers of E&B. Indeed, even before the E&B marine procurement, West Marine’s production network was more intricate than the supply chains of most strength retailers. It confronted an item defers and different interruptions due to cross divisional administration challenges. Two way communications and relationship with suppliers was also unsatisfactory. West Marine is insufficient to strengthen an association to double its size. The E&B included more stores and new SKUs which further increased the crucial inventory network tests. The vendor population increased to 1,400 and the suppliers at E&B Marine are not so productive when compared to West