The Research Of Pentair Group For Brand Competitiveness

It is reported on the first quarter this year that Pentair Technical Products group had reached 0.253 billion US dollar sales revenue which is almost equal to last year 0.254 billion US dollar. But considering the exchange rate factor, the actual sales revenue dropped down 3% compare to last year.If you take a look of Pentair US Hoffman brand business, you will find Hoffman brand had reached its 6th year continuous sales increase. The great successful comes from Pentair US'long term brand development strategy and strong brand competitiveness in N.A market. Up to now, Hoffman has more than 8,700 kinds of products and its industrial market share reached 62% this year.Pentair China also keeps growing in these years but the business qualities are not as good as before. The sales revenue mainly comes from OEM business while at the same time the total margin of company has not grew at the same rate as sales revenue grew. The limited resources were occupied more and more by OEM business which makes the brand business development into hard situation.Company needs to aware of the importance of the brand competitiveness and realized how it will hurt or help the core competency of the company. The improvement of brand competitiveness requests company has a clear long term strategy and right method to handle brand business model. The article has given a new brand payoff model and pricing model which are different from OEM business. It also introduced the ideas of the business procedure and R&D development principle reformation. In the same time, the article stresses the sales channel importance to brand product sales and differentiation in marketing strategy for brand business. Except those topics, the writer also thought from a global company view to analysis the market re-segmentation and supplier chain re-construction opportunities during the globalization of business. At the end of the article, it claims the importance to have a brand crisis management system and how to protect I.P. in China market from a long-term development point of view.It starts from introduce the theory of brand competitiveness and describe the origin, effectiveness of the brand competitiveness and how it related to company core competency. Later on, it has analysis the advantage and disadvantage of OEM business and brand business, based on that the article reviewed current business situation of Pentair China, finally provided practicable brand development countermeasures and setup payoff and pricing model of brand business.