Grentech Technologies Case

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As outlined in the Case Study Omni has been on top of its game for over 40 years by providing state of the art electronic assembly systems and has successfully maintained a competitive advantage by keeping up with innovation and technology. In 2005 Omni captured a 30 percent market share on more than 1.5 million sales. It has corporate headquarters in San Jose and California with regional offices throughout the United States, Europe and Japan. Bob waters joined the team in 2000 after working for their competitor for 8 years. He came with great recommendations, he was quick to close sales with several major clients and stayed in the top 10 percent of Omni’s sale force. So when Gentech decide to modernize and automate their manufacturing Omni saw great opportunity, seemings how Gentech was a huge client for them with annual purchases totaling $800,000.…show more content…
In 2005, they were recognized as work leader in the office equipment industry with sales exceeding $4.2 million dollars. However, in recent years they have experienced market share and profit margin loss due to foreign competitors. Which lead to the decision of modernization. They figured the new system would cost between $45-$60 million dollars. Bob Waters has been close friends with Steven Anderson for several years while keeping their friendship separate from work unless Waters called about Gentech. Since Grentech was such a big client for Omni, Bob made sure to check in at least once a month so when he heard they were upgrading their systems he was excited. When he lost the account he was shocked. II. Problems

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