Essay regarding Saurer


Saurer: The Cina Challenge

Question 1

Comparing with the China staple fiber twisting equipment, Saurer Turning Systems (STS) has a quantity of strengths. The STS are leading product and designed state-of-the-art architectural. The technology and R& D helped STS to formulate functional brand, the STS machines helped the customers to improve efficiency, top quality and productivity. Hence STS is a solid brand and highly regarded by many customers. Being the largest producer of fabric machinery, Saurer can offer total solutions to clients. According to indicate 4, there are Sauer's items in different measures of the linen value chain from spinning to standalone. Thus, Saurer has the capacity to penetrate in to textile sector in a superb depth simply by extensive product offering. Yet , STS you don't have the price edge comparing with local China competitors. STS had basic the features of the sophisticated machines into " good enough” devices so as to cater for the demands of Cina market, however , the charges is thirty-one. 6% a lot more than Muratec, and twice the buying price of Rifa my spouse and i. e. end of trading competitor. While Chinese customers tend to be price-sensitive, they would prefer low-priced manufacturers just like Rifa for the purpose of Smaller pay-back. Additionally , STS goods are copied and the features copied by Chinese rivals because of fragile protection of intellectual real estate in China and tiawan. This fragile the strength of STS in terms of product functionality. Most of the locally produced twisting devices were replications of those made by Saurer or possibly a Japanese competition. In some cases, the colors of the machines and the brochures – which includes printing problems – had been reproduce Saurer's usual position in the high-end market meant that identifying and reaching clients for low-end solutions will be challenging for its sales force. Since the company got historically aimed at customers with high-end demands, it salesforce had small contacts together with the low-end segment. Saurer as well...