Curled Metal Inc.

By: Sheetal Gwoala

Jisun Hong
Jacquiline Njiraine
Gabriela Silva
Betel Solomon
 Problem

Deciding the price of the

CMI cushioning pads
Pricing Analysis
Alternative Pricing
 Assumptions
Such sophisticated product has never been sold
in pile driving industry therefore the price will be
based on perceived value
Industry leader, will give us competitive
advantage
Projected cost data based on the manufacture of
only one pad size and assumed these numbers
would not vary dramatically with a mix of sizes.
 Strategy
Product differentiation

The CMI cushion pads eliminate downtime making

them a work-saving tool

The CMI cushion pads contain no hazardous

materials

Significant cost savings while using CMI pads

Conventional pads Vs CMI
pads
 S.W.O.T analysis
Strength
Able to manufacture high performance
cushion pads that will last longer
CMI posses great processing technology
It will help companies to save a significant
amount of time and lower costs
Weakness
The ambiguity of pricing and distributing the
pads
 S.W.O.T analysis(cont.)
Opportunity
Little attention to pads give advantage to CMI cushion pad
no dominant firm has emerged
Approval from professor McCormack will create an
awareness and recognition from the pile driving industry
Threats
Hesitation from Pile hammer distributing/renting companies
since the pads enable a constructor to return the equipment
faster.
Need industry acceptance for the pads

 The VRIO Framework

Costly to Exploited by Competitive

Valuable? Rare? Imitate? Organization? Implications

Yes Yes Yes Yes Sustaine

d
Advantag
e
 Pricing Solutions
Price CMI cushion pad higher than regular cushion
pads because it is a work-saving tool and lasts
longer
CMI should use existing equipment to manufacture
cushion pads
Using existing equipment to produce cushion pads
brings higher profit margin
Target contractors who have bigger complex
projects and can purchase the pads in a large scale
 Recommendations
Built a brand name for the CMI cushion pad with the
focus on a work saving cushion pad

Use construction-oriented manufacturer

representatives to sell the product to
engineering/construction contractors.

Advertise the product in the Oklahoma Contractor

magazine

Feature the cushion pad in the Piletalk seminar

Use Professor McCormack approval to boost the brand
name