WK4 Case Study

2600 WordsJul 28, 201511 Pages
Week Four The Gril-Kleen Corporation Case Study Karen Mueller Upper Iowa University Dr. Kristopher Blanchard 8/5/2015 The Gril-Kleen Corporation Nature and Characteristics of the Product and Corporation Gril-Kleen was invented by two brothers who owned a small, busy restaurant in Eastern Massachusetts. Early on there were two methods of cleaning grills used in this market which was carborundum stone or a wire mesh screen. Due to dissatisfaction with the products currently on the market, two brothers decide to develop their own grill cleaner which could be quickly and easily use at normal operating temperatures. The product is a chemical solution which can be applied directly to a working grill and would clean burnt on…show more content…
In addition, Gril-Kleen will have to hand over the distribution to the middlemen and risk letting go the ownership of the distribution channel. Therefore Gril-Kleen should concentrate on trying to establish a sales force. With being a fairly new venture, direct sales are the best strategy available to them in the restaurant business. Gril-Kleen would have to adopt a direct sales strategy for the industrial sector as that is the preferred method of selling in such markets. In the boating market however, the best method would be to use channels and middlemen so that the product gains more exposure and is available over a wider geographical area. The product will mainly be stocked at major hardware stores and supermarkets in the cleaning section. Pricing Strategy Pricing can play an important role in the success or disaster of any product. Too high a price and the product will fail; too low a price and not enough profits will be made to sustain business operations (Hisrich, Peters, & Shepherd, 2014). The key is to make the customer think that they are paying exactly the right price for the product. Anything else though in this regard means the product is not positioned well in the mind of the consumer. First of all, Gril-Kleen will have to decide on what sort of strategy it needs to pursue. This strategy is decided on three factors namely costs, margins and competition. There are a

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