The paper "Political and Economic Environment of Hendrix Foodservice Equipment" is a brilliant example of a case study on marketing. Hendrix Foodservice Equipment is a company that faces stiff competition from other players in the kitchen supplies industry. Although the company boasts of good infrastructure, reputation, and human resources, the company needs to increase its market share so as to increase its profitability. It is this concern that has prompted us to conduct a study on how the company can improve its marketing efforts. Currently, the organization has segmented its market based on the sizes of families and organizations that it targets. There are chances that by segmenting its market in a better way, the organization may achieve better results. This study will involve the collection of primary and secondary data. Secondary data will be collected from the company’s records, newspapers, and reputable websites. Secondary data will in part help in establishing the situation of the company as it is today. Primary data, on the other hand, will be collected by conducting interviews with the organization’s management and surveying members of the public with regard to their preferences for the company’s products. Based on a survey of 100 respondents (members of the public) and interviews with two managers of the company, data will be collected and statistically analyzed. The data will be analyzed to establish descriptive statistics as well as important qualitative information that could help in coming up with recommendations for the improvement of the company’s marketing efforts. It is anticipated that the project will take a period of three months.
Situational Analysis of Hendrix
Established in 1981, Hendrix Foodservice Equipment is headquartered in Brockville, Ontario (Hendrix, 2014). Ever since its establishment, the company has grown from the main branch to a total of nine branches spread across Canada. The organization has branches in London, Calgary, and Pickering among other places, a tenth branch being launched in Toronto being launched in a matter of months. The organization boasts of being a leader in the foodservice industry, producing a wide variety of products and equipment for use in the kitchen (Hendrix, 2014). Some of the products that the company makes include cutlery, refrigerators, sinks, fixtures, and pans, and cooking types of equipment such as grills. In total, the company claims to have more than 2,000 items in its portfolio (Hendrix, 2014).
The company is well endowed with human and non-human resources. The company has well over 200 employees - individuals having different specialties from human resource experts and accountants to marketers, management experts, and engineers. It has different machines and equipment with which it produces its products. Some of the machines that the company has include plastic molding, computer numerical control machines, and forming machines. The company is up-to-date technologically; it relies on modern information and communication as well as manufacturing equipment, which are very reliable and efficient. While the company has not made its financial records public, it is estimated that the company makes well over 5000,000 Canadian dollars annually.
The company markets its products to the general public in Canada and beyond. Through its brick and motor shops, the company targets locals living in the specific towns in which it has branches. The company targets different segments of the market including companies and large organizations, small organizations, large families, and small families. This is evident from the different sizes and sets of products that it makes. The company markets its products through its website, by posting online and print ads (posters and newspaper adverts mainly) as well as through television and radio adverts. The company relies on different suppliers to provide it with raw materials including plastic, steel, wood, and electronics. The company, on the other hand, uses its own means to transport products from its manufacturing plant to its different branches.
Generally, the kitchen supplies industry in Canada is well developed with product quality, product differentiation, brand strength, and quality of service being major factors that play in determining the success of a company. While Hendrix Foodservice Equipment claims to be a market leader, it faces stiff competition from several players within the borders of Canada. Some of the noteworthy competitors in this respect include Paderno, Kitchen Craft of Canada, Merit-Kitchens, and Golda’s Kitchen, all of which produce high-quality kitchenware and equipment. Compared to its compatriots, Hendrix is a relatively new player in the market, Paderno, for example, having been established in 1979 (Paderno, 2014).
The business environment in Canada is currently very conducive for players in the manufacturing sector. With a stable economy, peaceful people, and pro-development government, the company is politically stable with no hint of the situation changing in the near future (export.gov, 2014). Registered as a Limited liability company, Hendrix is keen on fulfilling its legal obligations. The company pays its taxes duly and has taken every measure to fulfill its legal obligations. With the country currently experiencing a boom, the disposable income of nationals is generally high enough to have good promise for businesses across virtually all sectors of the economy (export.gov, 2014).