The Gril-kleen Corporation’ S CASE

8/10/2019 The Gril-kleen Corporation S CASE

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THE GRIL-KLEEN

CORPORATION S CAS

Desika Andriani 2013002051

Helena Winata 2013002047Maria Dwi Ardiana2013002073

Robby 2013002061


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OUTL


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THE GRIL-KLEENS BACKGROUND

Two brothers whothe owner smallbusy restaurant

The restaurantsgrill needed

cleaning severaltimes

Problem :effort to

orders whgrill was

Owner dthe me

clean

Owner decide todevelop their own

grill cleaner

Ask the advice fromone customer in the

chemical business danbegan the experiment


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Product work on both hot

grills Grill operator could grill in

five minutes by simply pur

solution on, allowing it to d

rising the grill with water. A

light seasoning with cooki

grill was ready for use aga

Clean grills quickly, easily,

and at normal operating

temperature

Economical, easy to mix, andhave no discernible odor or

taste

Pass safety requirements

(nontoxic & noncaustic)

Leave the grill seasoned so

that food wouldnt stick to thegrill after it had been cleaned

After experimenting &modifying the solution for

couple of years

THE


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START TO GROWTH

Friend inrestaurantbusinessheard aboutproduct andasking thesamples

Demand increase,started to sellproduct bygalloon, charging

whatever they feltthe market wouldbear

Product appeared tobe successful, beganto think aboutmarketing in largerscale, join with onecustomer fromBoston Eddy

Company

Early 1997, three ofthem formed Gril-Kleen Corporation,working in thebasementrestaurant, usedtheir spare time &days off to makeproduct

Orders began toincrease , needlarger facilities, sothey move to new &larger places

Saleincremandisor

Hiredambto ruand

Comdeclithreebougpaid returbusin


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Meet Warren Ryan , amanagement consultan,an MBA with extensive

experience in

marketing, advertising,& insutrial management

Learned about thesituation , suggested tohire his consulting firm

to do market study, map

out operating, &marketing plan

Thask

take

Ry

conanre

pro

Ryan impressed by theapparent success in

company despite of thelack of good planningthat the product could

be develop successfully

Ryan decided toaccept the offer, and inapril 2001, he becamethe new president of

Gril-Kleen Corporation


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Situation Analysis

Background of Venture

Strengths and Weaknesses ofVenture

Market Opportunities and threats

Competitor Analysis

Marketing Objectives and Goals Marketing Strategy and Action

programs

Budgets

Controls

8

OUMARK

P


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STRENGHT & WEAKNESSANALYSIS

GRILL KLEEN PRODUCT


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STRENGHT


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Gril-Kleen was a very effective

chemical solution, which could clean

grills at very high operating

temperatures of around

3500, without producing

objectionable odors.


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Gril-Kleen = cost-effective,

easy to mix, did not havenoticeable flavor and ithad also passed all safetyrequirements.


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It could clean hot as well as cold grillswithout changing the working temperaturthe grill.

It took lesser time to clean the gill compato other grill cleaner available in the mark

place.


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Most of end-users who had tried Gril-Kleen cont

order it, showed competitive advantage and

performance superiority over other products availab

market.


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Product had added usage benefit of cleanistainless steel, ceramic tiles, clothing,formica, plastic, chrome, machine tools anfiber glass.


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Gril-Kleen Corporation had a large plant

with 1,500 square foot cinderblock

building and enough equipment that was

able to produce 450 gallons of Gril-Kleen

per day.

Company could increase the capacity of

production at any point of time by

putting more equipment and labour to

produce Gril-Kleen, as they had surplusspace available in the building.


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Gril-Kleen Corporation had set up finerelationship with good number of distribut

and cleaning suppliers in New England.


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Weaknesses

k f d l


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Lack of good planning.

Two brothers of Gril-Kleen Corporation wmore concentrate on their existing restau

businesses than The Gril-Kleen.


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Gril-Kleen Corporations existing

facilities was not goodenoughto produce Gril-Kleenat larger scale and it could alsonot be used as distributioncenter for increasing

demand in themarket place.


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Gril-Kleen corporation plants capacity was to

produce 450 gallons of Gril-Kleen per day.

But,

Company had hired only

one part time employee

who could mix and bottle

up to 200 gallons a day.


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Corporation was not able to

retain their sales

employee, who had madegood reputation with new

distributors and customers.

In the long run, it finally

converted into future loss

of the sale.


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Sales channel and sales force

were not being aligned properly

and they were onlyconcentrating restaurant

businesses as their target

market, but product usabilitywas far more than just cleaning

the kitchen grills.


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Pricing was not rationale and was based on

the paying capacity of the individuals,

which did not include the cost of the

production, its future cash flows and the

breakeven point.


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The Gril-Kleen just had few records, little

financial data, and no regular flow of

paperwork. It was very difficult to monitor,

whom they sold the product and who had to

pay balance money.


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The whole business process of Gril-Kleen Corporation

became so complicated and unorganized that

management didnt know, what was there current

inventory position, how much they had to manufactur

to keep balance between demand and supply.


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opportunity

Thre


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OPPORTUNITY

National restaurant cleaning market is $ 80

million a year and no single companydominate player in the market.

The product had additional use that couldgiving a huge opportunity to enter into new

market

Demand of gril-kleen is increasing not onlyin restaurant industry but also in other

industries and households.

l t ti i th l f G il l f $3 000 t


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.

Fluctuations in the sales of Gril-Kleen from $35,000 to a

little less, was an indication of declining the sales

Competition was growing within the major players

of the same business.

Big industrialist who had potential to start a business also

interest to launch their product in the same industry

One of those competitors might have taken the patent of t

Corporationsproduct formula and take legal action

Corporation.


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Group Solutions About The Gril K

Case


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DECISIONS CRITE

MARKET DEVELO

Formation of Products with New or

Changed Features

that Propose New

or Added

Benefits

to the Customer.

PRODUCT DEVELOPMENT

Competitive Analysis

and Do Marke


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ALTERNATIVE SOLUTIONS

Look at The Product Cost and Competitors Pricing

Make New Price of The Product

Establish Relationship With Distributors andWholesalers by Compromising on Price at CertainLimit

Give Some Attractive Promotional Schemes WhichCan Be Helpful to Attract More Customers


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RECOMMENDA

Gril-Kleen Corporation should increase their production

capacity

Gril-Kleen Corporation has to understand that selling is

most important part for any organization

Gril-Kleen Corporation may go for product development

or market development process


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Cont(recommendation)

Gril-Kleen Corporation should fixed their m

system , make financial statement

Gril-Kleen Corporation should hire more em

Gril-Kleen Corporation should take the pat

formula


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The Gril-kleen Corporation’ S CASE

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