Case Study: Optical Distortion Incorporation

1674 WordsApr 12, 20137 Pages
Optical Distortion, Inc. HBS Case Study 9-575-072 Marketing Management MKT 6301.002 – Fall 2012 Team Members Young soo Han Kevin Yang Jay Chi Lenny Liao Brad Standridge As of 1974 the chicken population in the US is already in excess of 400 million birds, with slow but steady growth expected through 1980. Given that fact that a great many of these birds live in tight quarters on very large chicken farms, a means of combating the chicken’s natural instinct to peck other chickens is needed. Pecking can actually lead to high mortality rates in flocks (cannibalization), which in turn raises the costs of farming. Debeaking has been used for some time with good results, but it has its own set of…show more content…
The farmer’s future endorsement of the lens approach would then be invaluable in generating interest from potential customers. As a means of attracting the participation of the first one or two trial farms, ODI could offer free lenses for up to 1000 birds, including insertion labor. It should be noted that penetration of the market can only occur if ODI can supply product in sufficient quantities. Given that there are millions of chickens to be serviced, it is imperative that ODI’s supplier be prepared to likewise supply millions of lenses on a consistent basis. The fact that ODI is bound by contract to a single lens supplier is itself a risk which must be analyzed. From a business continuity perspective, it would be preferable if ODI could obtain its lenses from two different New World Plastics plants. This would then mitigate the risk somewhat should there be, for instance, a serious product quality issue at one of the facilities. As regards target segment, it would seem that the focus should be initially on farms with a flock size of 50,000 and over, since this would limit the overhead (fixed costs) needed to service these accounts (fewer sales and technical experts required). Also, by focusing on large farms, the sales team could interface with the farms directly, and

More about Case Study: Optical Distortion Incorporation

Open Document