Jones Blair Case

Essay text:

paint industry since 1990 Economic ? The EPA proposed plan for 25% reduction of VOC in 1996, 35% in 2000, and 45% in 2003, furthering the low profit margins in the paint industry Social ? Do-it-yourself painters first choose a retail outlet for paint and paint sundries, then choose a paint brand ? 4 Step Buying decision process: decide on project/product, gather information (first from friend/relatives), decide on store, and then decide on product Technology ? New distribution strategy ? Lack of available technology and the difference in paint formulations for regional climatic needs, a small number of regional paint manufacturers can successfully compete against the nationally distributing paint manufacturers 3 C's: Consumers ? 200 independent paint stores, lumberyards, & hardware outlets ? 40% of outlets in the DFW area ? Markets paint & sundry items in over 50 states including Texas, Oklahoma, New Mexico, & Louisiana Competitors ? 60% of sale in architectural coating segment go to Sherwin-Williams, Benjamin Moore, the Glidden unit of Imperial Chemicals, PPG Industries, Valspar Corporation, Grow Group, and Pratt & Lambert ? 50% of sales in the architectural coatings are sold under private controlled, or store brands in Sears, Kmart, Wal-mart, and Home Deport ? Retail outlets outside the DFW area with paint and sundry purchases exceeding $50,000 annually carry only this product line...