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Packaging division
1. Steel Strapping
3 grades:
Packaging division
2. Plastic Strapping
Market share of $90 million (53%)
Industry growing @ CAGR of 4%
Replacement for low end steel
strapping i.e. Apex & BBM
By Industry
Primary
Metals
Forest
Products
Paper
Metal
Services
Synthetic
Fiber
Cotton
Brick and
Transportatio
n
By Price and
Services
Relative Price
Paid
Service
Consumed
Competitor analysis
Factor
s
Signod Alpha
e
Sanfor
d
Bentley
Market
Share
40%
21%
9%
10%
5%
4%
2.9%
Book
Price
100%
95%
93%
95%
90%
93%
90%
Tools
Inhoused
Service Yes
Yes but No
Outsourc No
low Alpha, Stanford
ed & Bentley
s Major Competitors:
No
No
No
Major Challenge
Alternative 1 - Increase the price to counter the raw material price increase
Pros
Cons
Pros
Cons
Pros
Cons
GO FOR FLEXI-PRICING
Recommendation
Customized equipment
segment still not profitable.
Simultaneously eating most of
the time and scarce resources
of management.
Recommendation
Commoditization of steel
strapping business