University of Phoenix
March 29, 2010
Ames is a leader in North America and is known for its quality non-powered garden and lawn products. Ames was founded in 1774 by Captain John Ames. During most of the company’s past 230 years of service the company produced only shovels and controlled 60% of the U.S. market share (n.d.). Over the past three decades Ames has purchased several companies to widen its market share to include quality non-powered lawn and garden products. In 1991 Ames acquired the Garant Company a Canadian company and in 1997 purchased Woodings-Verona and IXL. Over the next decade the shovel giant continued to purchase various companies in the garden and lawn business. The shovel giant is again looking for ways to expand its product line; Ames will introduce a new daughter company called Safety Step. Ames is a leader in quality products and customer satisfaction, Safety Step will keep the same quality and workmanship and focus on the customer. The Mission Statement is to develop and deliver the most reliable non-powered lawn and garden products including tools and decorative accessories that provide quality to our customers, maximize sustainable profitability, and drive shareholder value. We believe that our global manufacturing strategy, based primarily upon a blend of domestic manufacturing and sourced product, makes us cost-competitive while allowing us to provide a high level of customer service ("Ames true temper,"). Safety Steps is in the heart of the snow and ice to ensure quality product development is continued. The main headquarters is in Mount Washington New Hampshire. The average snowfall in Mount Washington is 260.6 inches (NCDC, 2010), with an annual low mean temperature of 19 degrees. Mount Washington is noted for its extreme weather conditions, one of the world's highest wind velocities (231 miles [372 kilometer] per hour) has been recorded there in 1934 (Britannica, 2010). The production plant is in Marquette, Michigan. The city has an annual snowfall of 141 inches (NCDC, 2010) and an annual mean temperature of 38.7 (Current Results, 2010). Safety Step is introducing a heated floor mat to allow both homeowners and commercial businesses a safe, snow and ice-free walkway into and out of their homes and businesses. The mat will have multiple attachments and color options to fit the demand of the customer. New Product Description
The following paragraphs below take in consideration a new product that our parent company will amplify a tangible product for a household consumer and commercial customer. The difference between the consumer products market and the business product market is derived demand – the demand for business products derives from the demand for final consumer products (Kerin, Berkowitz, Hartley, & Rudelius, 2006).This product provides safety steps while walking through and on increment weather, snow, ice, or wet surfaces. The technology and design of the durable nonslip diamond-top surface has ½ in diameter holes for excellent drainage and safe passage as pedestrians walk on surface. A mat that covers a walkway or porch that prevents snow and ice from forming called Safety Step. The mat can be purchased in different lengths and widths and has additional attachments for steps. The mat is plugged into an outlet that keeps the snow and ice from forming on it. The mat uses low wattage technology minimizing the amount of electricity used during operation. The product contains a circuit that will turn itself off in case of any power interruption or surge. It has a non-skid, non-slip proof surface that even when wet will prevent a person from slipping on it. The mat dimensions are two feet wide by five feet long.
The external and internal factors of a business forces their company and management to come up with solutions to potential threats. A SWOT analysis aids...