Calox Case

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Business Marketing

CALOX CASE
Section 1 Overview:
The main player is Mike Brown who is the international sales manager for Calox Machinery Corporation. Brown’s situation is to decide between staying with his current New Zealand distributer Glade Industries or to switch to Calox New Zealand, Ltd. The main player for the new company is Geoff Wiggins who created G.W Diggers which he then sold and is now called Glade. Mr. Wiggins is now in charge of the new company Brown is highly considering to switch to. * Decision on which company to go with. Glade has “gotten its act together” offers a new team of 3 sales executives opposed to Geoff Wiggins “one man show” * Legal risks

* If the new company fails than Calox is basically screwed.

Section 2:
Since both companies are battling for your business then a smart marketing ploy would be to try to get the best deal/package out of them. See what each company is willing to do so you keep them around. Alternating the prices to benefit your company and see which one is willing to accept. Give Glade a call and have them pitch to you how they’re new team is going to increase sales and how they plan to market. Wiggins on the other hand resume speaks for himself but you can call him and ask how can he market better than Glade’s 3 members. Lastly, another option would be favorable contract negotiation. Try to get a guarantee that the distributer will remain in business with Calox for x amount of years and see who’s most willing.

Section 3: facts
1. After Colax sent a letter that they were dropping Glade, Glade came back saying the restructured their sales staff with 3 new skilled employees and have already commenced targeting Wescot’s (major competitor) employees. On the other hand Mike Brown met face to face with Geoff Wiggins. What Brown got out of the interview was that Geoff is very affable, technically knowledgeable, and an excellent marketing person. Also Geoff founded what is now Glade and during...
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