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Marketing Research of Office Max

Marketing Research of Office Max

Discuss Marketing Research of Office Max within the Marketing Research ( MR ) forums, part of the PUBLISH / UPLOAD PROJECT OR DOWNLOAD REFERENCE PROJECT category; OfficeMax (NYSE: OMX), is an office supplies retailer that was founded in 1988 and is headquartered in Naperville, Illinois. As ...



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Marketing Research of Office Max
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Netra Shetty
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Marketing Research of Office Max - April 8th, 2011

OfficeMax (NYSE: OMX), is an office supplies retailer that was founded in 1988 and is headquartered in Naperville, Illinois. As of 2011, it is the second largest office supplies retailer in the United States, behind Staples but ahead of Office Depot[1].

One such development is that more than half (54%) say that their household has been directly impacted by declining real estate valuations. Another could be that there is substantial concern about a potential job loss in their household—about one in three state they are worried that they or someone else may lose their job.

And about half say they are trying to make up for what they’ve lost in their retirement savings accounts.

“Retirement advice and planning is a big focus right now for high net worth individuals, even more so than what we saw in 2008,” states Susan Menke.

“Advisors might also want to focus on the women in this group, since this is much more important to the women in our survey than for men. The time is right to focus on adjustments to retirement portfolios for high net worth individuals, and women across all age groups would be an opportune place to start.”

Consolidation among major aerospace and defense companies has proceeded more rapidly in the United States than it has inother regions of the world, such as Europe. After numerous mergers and acquisitions, three very large companies—The Boeing Company, Lockheed Martin Corporation, and the Raytheon Company—have come to dominate the U.S. aerospace sector. This consolidation has placed enormous pressure on aerospace component suppliers. As those suppliers reposition themselves, they are being forced to improve economies of scale and reduce costs. Recent mergers among major suppliers include Honeywell–AlliedSignal and Hamilton–Sundstrand. Consolidation has been a two-edged sword. On the one hand, it has boosted the U.S. aerospace industry’s international competitiveness, better enabling U.S. companies to win contracts overseas. On the other hand, it has increased pressure to eliminate duplicative jobs. Several merged companies have announced layoffs.

Consolidation of the European aerospace industry is accelerating as national governments and aerospace manufacturers acknowledge the need to integrate their defense and commercial aerospace sectors to reduce operating costs and become more competitive with their U.S. counterparts. European aerospace companies are adopting strategies to streamline processes and increase their flexibility in outsourcing aircraft components. In 1997, the governments of France, Germany, and the United Kingdom agreed that there was an urgent need to restructure Europe’s aerospace and defense industries. In 1998, a plan was signed to transform the then four Airbus partners— British Aerospace PLC (BAe), Aerospatiale SA of France, DaimlerChrysler Aerospace AG of Germany (DASA), and Construcciones Aeronauticas SA (CASA) of Spain—into a single corporate entity (SCE) by 1999. This SCE is intended to enhance cycle times, productivity, profitability, and customer support by consolidating authority and responsibility for Airbus under a single corporate management. This transformation, which was set to take place on January 1, 1999, was postponed indefinitely because of the persistent challenges of accommodating the partners’ divergent cultural and political concerns, especially the French government’s resistance to privatizing Aerospatiale. Transport ministers from the United Kingdom, Germany, Spain, and France have called repeatedly for the four partners in Airbus to accelerate the transformation of the consortium into an SCE, noting that it would be easier for their governments to provide financial support for the development of the “super-jumbo” A3XX aircraft when the consortium is transformed into a single enterprise.

In response, a series of merger announcements were made in 1999. In October 1999, DASA and Aerospatiale-Matra agreed to merge to form European Aeronautic, Defense and Space (EADS). This followed earlier announcements of mergers between BAe and Marconi Electronic Systems from Britain’s General Electric Company, Aerospatiale and Matra Hautes Technologies, and DASA and CASA. These mergers may help facilitate Airbus’s transformation into an SCE. With the new makeup of Airbus as a German and French–controlled company as a result of the DASA– Aerospatiale-Matra merger, it is possible that BAe may seek to sever its partnership status in Airbus. Other European companies interested in joining Airbus are Alenia of Italy,Thomson-CSF and Dassault of France, and Saab of Sweden. The precise role of these possible new partners is unclear.

Industry Definitions
Jet-engined aircraft - use jet engines rather than older piston engines
Commercial aircraft - used for commercial purposes such as for carrying passengers or freight
Military aircraft - used for military role for national defense or to deploy airpower beyond a border
Reconnaissance aircraft - equipped with instruments for monitoring various optical and other kind of intelligence
Helicopters or rotocraft: can hover stationary over one place or rise vertically if required. Suitable for use in lower heights. Used in police work, rescue operations, transport roles etc.

Market Metrics
U.S. Domestic Trends

The industry was expected to have a moderate to strong increase in the value of shipments made in 1999 compared with 1998. The total value of shipments by the U.S. aerospace industry in 1998 was $145 billion, a 2.2 percent increase over 1997. In the first half of 1999, compared with the same period in 1998, shipments increased 1.8 percent and new orders grew 0.8 percent. Deliveries of complete civil aircraft and engines reached $48 billion in 1998, an increase of 34 percent over the 1997 level. U.S. aerospace exports increased 27 percent in 1998 compared with 1997. U.S. defense procurement in fiscal year (FY) 1998 (including new buys, modifications, and parts) totaled $14 billion for aircraft and $3.8 billion for missiles and space equipment.

Defense Industry

Reversing 15 years of decline, total procurement from all industry sectors by the U.S. Department of Defense (DOD) in FY 1998 rose slightly to $128.8 billion, in comparison to $128.4 billion in 1997. The total outlay was significantly lower than the peak of $163.7 billion reached in 1985. The largest prime contractors in the U.S. defense industry— Lockheed Martin and Boeing—were each awarded over $10 billion in prime contracts in FY 1998. The third largest, Raytheon, received $5.7 billion in prime contract awards. Rounding out the list of the top 10 prime contractors in 1998 were General Dynamics, Northrop Grumman, United Technologies, Textron, Litton Industries, Newport News Shipbuilding, and TRW (with $1.3 billion). The largest military aviation development program is the multirole Joint Strike Fighter (JSF), which will be produced for the U.S. Air Force and Marines and the U.S. and British navies. Three thousand JSFs are planned for manufacture over several years to replace aging F-16s and other aircraft. Competition for the role of primary contractor for the JSF has been narrowed to Boeing and Lockheed Martin as the program enters the prototype and testing stages.

With the United States accounting for 46 percent of the world’s inventory of tactical combat aircraft, the export potential of the JSF is envisioned to be high, although it may not be available for exportation before the year 2010. Foreign competition would come largely from the newly developed Eurofighter Typhoon, Dassault’s Rafale or Mirage, and Russia’s MiG and Sukhoi combat aircraft.

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