The Lockwood Group - Essay Example

Download file to see previous pages In the similar context, it can be stated that rather than paper and packing business, Lockwood had expanded its firm with the food industry. The company had gained long-term profitability in the market related to the food and packing industry. Further, they had expanded the business into other fields (The Lockwood Group, Inc, “New Strategies for the 21st Century”). The main purpose of this paper is to analyze the major situation faced by the Lockwood Group. Though the company had faced certain problems in the competitive market, it is essential to analyze their marketing situation and provide appropriate recommendations for the company. Therefore, it can be stated that the main motive of the paper is to provide recommendation for future by analyzing the Lockwood Group’s present as well as past marketing scenario (The Lockwood Group, Inc, “New Strategies for the 21st Century”). Major Situation Faced by the Lockwood Group Lockwood Group had faced major change in the competitive market, as the company had initially started the business with packing and paper section. During the second part of the 20th century, Lockwood Group was engaged in producing auto parts, electrical equipments, metal alloys, electric motors, communication equipments, furniture, appliances, power equipment, specialty equipments and consumer products. However, Lockwood could not succeed in the above mentioned businesses. All the segments were sold or liquidated at losses (The Lockwood Group, Inc, “New Strategies for the 21st Century”). Though the Lockwood was bearing a loss, the CEO of the company has taken various majors in the 21st century to set up long-term profitability in the competitive market. Their main business was financial services, energy, and packaging along with forest products. The company had reinvested the funds in vicinity promising the expansion of cost-effectiveness. In 2001, Lockwood had increased its sales from the four main businesses due to adoption of various strategies as it has been stated earlier that the company had expanded the business in the four sectors (The Lockwood Group, Inc, “New Strategies for the 21st Century”). Financial Services Lockwood had started financial services in 2000s. The company had appointed the investment banker to trade the unwanted business and had invested the capital in financial business. Lockwood insurance sector had good profitability in the market. Visualizing the profitable financial scenario, the company had extended to insurance operation. In 2002, Lockwood financial services had three broad categories i.e. life insurance, real estate and causality insurance. Though the company was strongly positioned in the financial sector, its competitors were high, because Lockwood financial division was petite by the national standards (The Lockwood Group, Inc, “New Strategies for the 21st Century”). Energy Lockwood had operated in the energy business since 2004. The company had entered into energy businesses through the acquisition of the EasyGas Energy. Previously, Lockwood had small businesses in the offshore and onshore oil industry but later on expanded the firm into Gulf of Mexico and Mississippi. Lockwood had gained long-term ...Download file to see next pagesRead More