Caterpillar

Caterpillar’s main industry of machinery has many barriers to entry which makes it difficult for new organisations to enter the market. It is a mature and highly competitive industry with few dominant competitors who have cemented their position over the decades. Furthermore, these corporations have sustained a competitive advantage over any new entrant that tries to enter into the industry.

Caterpillar is an American success story that produces iconic industrial machines but is also a member of the corporate profit sifting club. It has transferred billions of dollars offshore to avoid paying US taxes. Headquarter in Peoria, IL Caterpillar designs and builds a wide range of heavy construction equipment, power generators, and engines assembling most of them here in the US. On worksites around the world its bright yellow machines are symbols of US manufacturing excellences. Its revenues exceeded $120 billion dollars over the last hand full of years. In addition to manufacturing machines Caterpillar operates a lucrative replacement parts business selling Caterpillar branded parts to customers around the world. It is this aspect

“It is about alignment, leveraging our global power, R&D and broadening our solution set and product portfolio to the customer,” says Kärcher Executive Vice President, Jim Lombard. It is an analysis of the structure of demand in terms of product life phases of the market. The situation of the company is often judged on the basis of quantities of products that are currently in the launch phase, phase to generate the greatest benefits and at the stage of aging. Analysis of the product life cycle impact assessment of the sales and allows for a coordinated policy to ensure steady business for a long period of time. The disadvantage of this analysis is assessing of the situation of the company in isolation from the results of the competition. Despite its undisputed market leadership, Kärcher is also busy with charting business strategies to overcome challenges. For a market leader, sustaining the leadership is itself is a major challenge. Adding to this, the company still feels that enhancing customer awareness of environmental issues is another

While the economic downturn slowed business activities worldwide in 2009, Caterpillar Inc. and John Deere continued to deliver strong financial results in 2010. Caterpillar and John Deere stayed true to their mission and vision and business strategies to achieve solid results as they go through 2010. Sales, profit margin, and earnings per share have increased for both Caterpillar and John Deere in 2010.

Change is inevitable with dynamically advancing technologies and market trends. This paper proposes some evolutions for current business model of Best Buy Co. Inc.

“Consider your overall marketing goals, such as penetrating new markets with new products, or maintaining a higher market share with existing products compared to your closest competitors” (Paley, N. 2006). Since, technology is constantly developing and manufacturers are always

This report examines the Harley-Davidson phenomenon. From near bankruptcy to double-digit growth every year, Harley-Davidson has something working for them. That something is called ”strategic planning and development.” With the growing global economy, companies are looking for ways to improve their market share. Many excellent firms have learned how to beat their competitors through the implementation of new management, marketing, and/or manufacturing techniques. Harley-Davidson is one of those excellent companies whom has challenged traditional ideas. This report will identify those strategies that have worked and brought the company and its shareholders success each year.

For the last 90 years, Caterpillar Inc. continues making growth possible while promoting constructive change throughout the world. However, customers turn to Caterpillar for the assistance of expanding infrastructure, energy, and natural resources. Sales and revenues for 2014 were $55.184 billion netting $3.695 billion, which were just below 2013 numbers of $55.656 billion resulting in $3.789 billion. Caterpillar is the front-runner for the manufacturing of “construction and mining equipment, diesel and natural gas engines, industrial gas turbines and diesel-electric locomotives” (Caterpillar, n.d.). Caterpillar mainly functions through its three product divisions of construction industries, resource industries and energy, and transportation (Company, n.d.).

Caterpillar is a corporation that designs, manufactures and sells diesel and natural gas engines, construction, and mining equipment. Since the year 1905 Caterpillar has been a corporation that has evolved by making significant improvements to its machinery by taking advantage of the available technology, and it has had the ability to adapt to the dynamic changes and demands of the construction industry. Many significant events have occurred in this business to make this company what it is nowadays, a very prestigious and successful company around the world. In the year 1906 in San Francisco California, when one of the most significant earthquakes took place, the company made a remarkable use of its

The maturity phase is when growth tapers off from the dramatic levels that are seen in the growth phase (Porter, 1980). The market leader position becomes clearly defined and is often seen as the dominate name within the industry in the eyes of the consumer (Kolter, 2012). The focus of the firm in this phase is that of maximising profits that were forfeited in the growth phase in favour of market share and seeking to attain internal process efficiencies to secure the maximum possible profit margin (Hill, 2013).

The aim of this essay is to point out the reasons behind this decrease and to reflect on the future of the employment in the sector. First aspect is to analyze the impact of more competitive prices of labour in developing countries and social consequences of depending on this model. Moreover, to understand this shift in labour structure, it is important to look closely into governmental policies regulating relations, particularly concerning trade, with those emerging markets. The final aspect is to consider the future possibilites for the employees in the industry, especially concerning advantageous position of developed countries in matters like implementation of innovative policies or easier access to advanced technologies.

Product line expansion has been the historical business strategy behind market share attainment. Going forward, the company expects a 4% yearly market share growth. However, because MacKinnon’s product offerings are not differentiated and the market position of the industrial lift truck business is in a mature stage, growth in this business will have to come from taking market share away from the competition.

Caterpillar is an American company that manufactures construction and mining equipment. The company operates in a mature and cyclical product market and has underwent various restructuring plans. In the early 1980s and 1990s, Caterpillar was nearly put out of business due to the intense competition it faced. The entrance of Komatsu, a rival Japanese company, threatens Caterpillar’s position in the market. With Caterpillar refusing to lower its premium prices at that time while Komatsu offers relatively lower prices for similar products, the latter was slowly gaining the market

While analyzing this case, I was aware of Caterpillar expanding its network of foreign manufacturing operations. Looking at what is unethical about this is the jobs that are being taken away from the United States citizens and giving them to others in foreign countries. Major U.S. companies have been known to export their operations to foreign countries for their low labor costs. Caterpillar is an industry leader when it comes to construction and mining equipment. The demand for their product is booming right now due to the continued building of infrastructure and the success of the housing market. As the demand for their product continue, Caterpillar has to increase production in its manufacturing facilities to meet the needs of its customers. Caterpillar expanded 102 of its manufacturing facilities outside of North America (Hill.) That is a very large number when considering how many American citizens could have those job opportunities if those facilities were in the United States. It is Caterpillar’s social responsibility to consider the well-being of the communities throughout the United States in which it conducts operations. Exporting its operations to foreign lands gives the impression of not caring about the citizens of America. Caterpillar is following the trend of numerous U.S. companies that have that hire and invest more overseas than in the United States. General Electric, Apple Inc, and IBM are just a few of the hundreds of U.S. companies that export their

If after restructuring companies realize they have discounted more than required they may not be able to find suitable workers and so companies might be in a worse shape to meet the growing demands of the market condition – precisely the reason why they started the process.