1.0 INTRODUCTION The Sealed Air corporation is committed to market leadership through technological innovation. Ten years ago‚ the company was first to market with a highly successful coated air-bubble packaging protection product‚ AirCap. However‚ market trends indicate a rapid displacement of coated bubble by a technologically inferior yet inexpensive uncoated product. Burgeoning demand for uncoated bubble poses a direct threat to the long-term viability of the technologically superior‚ premium
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Sealed Air Corporation Case Study Sealed Air Corporation Case Study Industry Manufacturing Overview Sealed Air is a leading global innovator and manufacturer of a wide range of protective packaging.With widely recognized brands such as Bubble Wrap cushioning‚ Jiffy protective mailers‚ Instapak foamin-place systems and Cryovac packaging technology. Sealed Air continues to identify new trends‚ and deliver innovative solutions to its customers in 51 countries. In the fast paced technology
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Case Writeups : Sealed Air Corporation 1) What has been happening in this market? How has Sealed Air (SA) been doing? To what do you attribute SA’s success? Sealed Air had achieved 25% annual growth in net sales and net earnings from 1971 to 1980. The company has been keeping a technical leadership position in the market. During 10 years‚ the company built on its development of the first-cell‚ lightweight cushioning material‚ introduced the first foam-in-place packaging system‚ and engineered the
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1. Describe the corporate culture at Sealed Air. What is its business model? How do they make money? Since its start Sealed Air’s goal has been a position as a market leader and as a constant technology developer. Doing things first was always the main idea. This strong idea of being market leader was also inspired by greater and sustainable profits which have always been assured for the market leader. Continuing analysis of customer needs was based on this corporate behavior which always took
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Sealed Air Case Study Date:11/14/2011 Section:Monday Ziyu(Vivien) Gong A20269093 Wenxin (Chloe) Liu A20267862 Xinyun (Amy) Qiu A20275778 Yingqiu (Chris) Zhu A20272743 Chongliang (Leo) Zhuge A20266231 Ⅰ EXECUTIVE SUMMARY Sealed Air Corporation is the market leader in coated air bubble products in North America and even Europe. In 1981‚ the case outlined the most difficult business challenge: the rapid displacement of coated bubble by a technologically inferior yet inexpensive uncoated
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To the question of whether Sealed Air should enter the uncoated bubble market‚ there are two possible results: If Sealed Air was to put uncoated bubble products into production‚ the sales might not be very satisfying because of the already crowded market of uncoated bubble products. The competition is fierce‚ and the many the consumers cannot tell the differences on quality‚ nor do they actually do the cost-savings mathematics. Price is their priority‚ so if Sealed Air’s uncoated bubble products
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Sealed Air Corp. Leveraged Recapitalization (1989) Case Study Abstract The following report outlines the basics of a leveraged recapitalization‚ the benefits and consequences of a leveraged recapitalization‚ and ultimately Gator Consulting’s recommendations for when and how to use leveraged recapitalization. Much of this discussion is explained by citing a case study involving Sealed Air Corporation as a way to demonstrate a specific positive instance in the use of leveraged recapitalization
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in Sealed Air Corporation’s best interest to introduce an uncoated bubble product in the packaging market. The company was built on pioneering and innovation‚ therefore replicating a competitor’s existing product runs contrary to the firm’s philosophy. Financially‚ the opportunity is small relative to global packaging sales‚ and the contribution margin in the uncoated product line will put pressure on the company-wide gross margin. Sealed Air Corporation With its product‚ AirCap‚ Sealed Air has
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Sealed Air Corporation’s Leveraged Recapitalization 1) Was it a good idea to undertake a leveraged recapitalization in the context of its changing environment? Sealed Air had traditionally neglected manufacturing in favour of marketing‚ they were able to do this because of a lack of competition‚ however mid-1980s increased competition and expiring patents on products. Sealed Air reacted to this increasing competition by introducing the WCM-World Class Manufacturing program which promoted manufacturing
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Sealed Air: Primary Problems: The primary problem for sealed air was their overzealous product focus with a lack of consumer focus. Sealed Air was practically the sole maker of air cap cushioning with virtually no competitors. Their competitors were selling uncoated bubbles at half the price and starting to grab market share in Europe and the U.S. Sealed Air was too concerned with their “saran barrier coating” which caused product myopia. Having the most innovative product in the industry is great
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