Filter Innovations Inc Case Essay example

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2008 → John Dragasevich (president), small water filtration company based out of Toronto, Ontario, considering expansion, increasingly strict regulations on wastewater management implemented by government, invest in new technology (membrane biological reactors)?

→ increased demand for water and water treatment, trend expected to continue
→ market projections reaching $348 billion
→ demand growing for safe drinking water in developing countries
→ sustainability challenges and advancements in environmental regulation result in growth of demand for higher water treatment standards
→ 2008, 1.2 billion without drinking water, 2.4 billion not connected to wastewater systems
→ 40% projected increase in water consumption by
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ronmental companies that were leading suppliers of its specific products)
→ membership with Calco allowed companies to share resources, networks, and knowledge
→ MLE (groundwater remediation) offers similar products as FII; MLE benefit from sales expertise; FII able to capitalize on MLE strong manufacturing focus

→ high focus on sales/technical knowledge; high customer-centric outlook; flexibility in meeting needs of customer key to success; unique/comprehensive business structure (engineering, manufacturing, and distributing of various filtration products and systems
→ commodity products in inventory for quick sale (filter media, off-the-shelf filtration units), other products ordered from suppliers as needed (keep inventory investments and storage costs low)
→ advantageous membership with CEG and strong supplier networks
→ customized systems – engage in collaborative design efforts with clients and engineers; once designed, system built by manufacturing alliances then installed and supported by FII
→ offers rental and leasing option; three types interested in this – those who want to test a system before purchase, those who need it for a specific time period only, and those who want to finance system through regular instalment payments

→ about 65% of revenues from sale of individual products; customized products represent 35% of sales

→ 2 reason for demand – companies pollute above regulated level obligated to avoid
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