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BUSINESS PORTFOLIO, BUSINESS STRATEGY, INNOVATION STRATEGY, ALLIANCES

Developing new strategies

Example : A supplier of building materials


THE CLIENT

One of four companies in the industry, the company had reported a loss for three years (US$ 7 million on sales of US $ 200 million) and was unable to take on the heavy investments needed to compete effectively in this field.

Initially called in to help cut costs, Solving recommended a new strategy: leveraging strengths with a competitor through a merger.



RESULT

A new company was set up, which 30 months after the start of the assignment was generating earnings equal to 5% of sales.
Shareholders now have a company with a strong market share and an excellent competitive position.