McKinstry Advertising Agency
You are the president of the McKinstry Advertising Agency, a medium sized firm that specializes in preparing the marketing strategies, performing the market research studies, arranging the distribution channels, and designing the advertising and promotional materials for industrial companies that have developed ”off-shoot” consumer products. You obviously serve a very specific niche. Your clients are industrial companies- that is, they sell primarily to other manufacturing firms and government agencies- that have developed- as unintended outcomes of their R&D programs- products for the retail trade. Dow Chemical Company, while not a client of your agency, is an almost ideal example of this type of firm. They have developed and currently produce and market such consumer products as Dow Bathroom Cleaner and Ziploc Bags that in total amount to only 5.8% of Dow’s total sales. You clients tend not to be as large as Dow Chemical Company nor as well established in consumer marketing. Most have had very little experience in retail sales, and they generally are not very sophisticated in advertising methods. They tend, therefore, to rely heavily upon the advice of the account executives and advertising experts at your agency, and to develop relationships with those people that are far more permanent and personal than is common in the “ what have you done for me lately” culture of the consumer products advertising industry. The “permanent and personal” relationships that are typical of your company but not of industry in general seem to be the cause of a major problem that you have recently encountered. One of your large clients developed a new type of radar detector. Radar detectors, also known as “fuzzbusters” are simple but extremely sensitive radio receivers that are tuned to the wave length of the police radar. When a car equipped with a enabling the driver to slow down, if necessary, before the speed of the car can be calculated by...
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