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Abhijeet S
Pest Analysis On AGCO Corporation : AGCO Corporation (NYSE: AGCO) is an agricultural equipment manufacturer based in Duluth, Georgia, USA. As a leading global manufacturer of agricultural equipment, AGCO offers a full line of tractors, combines, hay tools, sprayers, forage and tillage equipment, which are distributed through more than 2,700 independent dealers and distributors in more than 140 countries worldwide.



With roots firmly established in the farm equipment industry, AGCO has a brand heritage reaching back to the mid-19th century. AGCO was established in 1990 when executives at Deutz-Allis bought out Deutz-Allis' North American operations from the parent corporation KHD, (Klöckner-Humboldt-Deutz), a German company that owned the Deutz-Fahr brand of agriculture equipment. KHD had purchased portions of the Allis-Chalmers agricultural equipment business five years earlier. Since that time, AGCO has become a worldwide farm machinery company through market growth, strategic acquisitions and cutting edge agricultural solutions.

The company was first called Gleaner-Allis Corporation, then rearranged to be Allis-Gleaner Corporation, or AGCO. The design for these tractors and combines were originally designed by Allis-Chalmers Corp. prior to the sellout to Deutz Allis. The Deutz-Allis line of tractors were renamed AGCO-Allis, and Gleaner became a brand of its own for combines. The Deutz-Allis brand continued in South America until 2001, when they were renamed AGCO-Allis. They continue in the lime-green livery. In 2001, AGCO Allis was renamed AGCO in North America.

In 1991, AGCO purchased the Hesston Corporation, gaining hay and forage equipment. Hesston had a 50 percent joint venture with Case International, now a part of CNH Global. AGCO purchased the White Tractor line from the Allied Corporation's White-New Idea company. In 1993, AGCO purchased the remainder of White-New Idea, gaining New Idea hay equipment and manure spreaders, and White planters. White New Idea had a large manufacturing plant which operated in Coldwater, Ohio, USA.




PEST ANALYSIS:

With Café de Coral Group’s proven business model, it can use the expanding scale of the business to further strengthen the central kitchen operating system and the bargaining positions with the company’s suppliers. All these will generate substantial cost efficiency that can pass on to its customers and ultimately, enhance the sales volume of the business. The Group also persisted to maintain a stable pricing level for the products. This is because the company believes that their customers are demanding good products with the right prices instead of inferior products with low prices. With the company’s 30 years of experience in managing a diversified customer base, it has cumulated years of experience in optimizing the price/value equation. It also launched over 20 new menu products, for instance Pumpkin & Chicken Burger Breakfast Set, Shanghai Vegetable Rice, Twin Baked Dishes and Lobster Soup & Sizzling Plate Dinner Set, all with satisfactory sales results achieved. We continue to stay tune with our advertising and promotional activities for generating the customer visits to our shops. In order to better serve the needs of our diverse customer segment, we introduced a “Two-pronged Product Launching” campaign with the intention of increasing repeated customer patronage on our core products and quick service restaurant developed attracting new customers with innovative premium products.

For customer service levels, to service the customer locally is the best service levels for OEM party. That is why they are thinking to reach the customers in the market side to do the Build-To-Order or one step further, the Configure-To-Order. The customer’s service level can be satisfied through the Value Chain. For channels of supply and distribution, to produce and in customer service level, it can be highly satisfied through the local assembling and supports. Build-To-Order or Configure-To-Order is the best service support from the global logistics management. In channels of supply and distribution, to produce and distribute products locally. For inventory, it t is the very important factor to determine the profit levels in the notebook industry. If you have less inventory levels, you can have profits in running the global logistics operation. These are the key issues to manage the demand and supply. For transportation, because of deregulation in the procurement in local branch offices, they do not need to concern about the transportation problem too much. Instead they should find out the best transportation decision to reduce the total inventory cost and reduce the total transportation cost. For information management, it can be adjusted through different organization structure and different company culture. The whole information linkage from suppliers to customers is determining the different information management. Information flow planning is very important to help the efficient global logistics operation.

Furthermore, as the company’s core competence, it recently launches the Club 100 = VIP, which benefits the customer by enjoying non-stop marvelous rewards provided by the “Bonus Point” Program, and with which provides new product information and activities update via e-mail. The launch of “Club 100” membership program for our valued customers is another innovative and powerful marketing tool of customer loyalty and relationship management. All these measures not only set new standards in leading the rest of the pack in the industry, but they also result in same store sales growth and margin improvement.
 
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