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    Amaan Selling & Sales Management Assignment 2

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    Mian Husnain
    The document is a case study about Yee Wo Plastic Piping Components Ltd, which manufactures and sells plastic pumps, valves, fittings, pipes and gauges. Yee Wo and Shun Tak Fittings each have about 40% of the ASEAN market. Recently, some smaller distributors have begun only stocking fast moving lines from cheaper competitors. This has negatively impacted the sales commissions of Yee Wo's representatives, causing some to resign. The sales manager Johnny Tan is considering three courses of action to address the problem: 1) only supplying licensed distributors, 2) having representatives focus on larger customers, or 3) selling direct to cut out distributors.

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    Amaan Selling & Sales Management Assignment 2

    Uploaded by

    Mian Husnain
    59 views4 pages
    The document is a case study about Yee Wo Plastic Piping Components Ltd, which manufactures and sells plastic pumps, valves, fittings, pipes and gauges. Yee Wo and Shun Tak Fittings each have about 40% of the ASEAN market. Recently, some smaller distributors have begun only stocking fast moving lines from cheaper competitors. This has negatively impacted the sales commissions of Yee Wo's representatives, causing some to resign. The sales manager Johnny Tan is considering three courses of action to address the problem: 1) only supplying licensed distributors, 2) having representatives focus on larger customers, or 3) selling direct to cut out distributors.

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    Course for BBA

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    The document is a case study about Yee Wo Plastic Piping Components Ltd, which manufactures and sells plastic pumps, valves, fittings, pipes and gauges. Yee Wo and Shun Tak Fittings each have about 40% of the ASEAN market. Recently, some smaller distributors have begun only stocking fast moving lines from cheaper competitors. This has negatively impacted the sales commissions of Yee Wo's representatives, causing some to resign. The sales manager Johnny Tan is considering three courses of action to address the problem: 1) only supplying licensed distributors, 2) having representatives focus on larger customers, or 3) selling direct to cut out distributors.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    59 views4 pages

    Amaan Selling & Sales Management Assignment 2

    Uploaded by

    Mian Husnain
    The document is a case study about Yee Wo Plastic Piping Components Ltd, which manufactures and sells plastic pumps, valves, fittings, pipes and gauges. Yee Wo and Shun Tak Fittings each have about 40% of the ASEAN market. Recently, some smaller distributors have begun only stocking fast moving lines from cheaper competitors. This has negatively impacted the sales commissions of Yee Wo's representatives, causing some to resign. The sales manager Johnny Tan is considering three courses of action to address the problem: 1) only supplying licensed distributors, 2) having representatives focus on larger customers, or 3) selling direct to cut out distributors.

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    Course name

    Selling and Sales Management

    Program
    BBA-7

    Semester
    7th

    Topic
    Case Study

    Assignment No
    1

    Date
    Dec 4, 2021

    Instructor
    Prof. Sohail Ashraf

    Student Name:
    Amaan Bhatti
    Registration No:
    S2F18BBAM0003
    Topic
    Yee Wo Plastic Piping Components Ltd
    Johnny Tan is the sales manager for Yee Wo Plastic Piping Components Ltd, a
    subsidiary of a Taiwanese multinational that manufactures a large range of diverse
    products. Its markets are mainly in the civil and chemical engineering industries.
    Yee Wo Plastic Piping Components is solely involved in the manufacture and sale of
    plastic pumps, valves, fittings, pipes and gauges. Such products have applications in,
    for example, chemical plants, dye houses and swimming baths. Their growth in the
    marketplace is virtually assured because they are largely replacing steel and malleable
    cast iron products at less cost and with greater efficiency.
    In the ASEAN region, five manufacturers market similar products. The two largest are
    Yee Wo Plastic Piping Components and Shun Tak Fittings, each with about 40 per cent
    of the ASEAN market, with the remaining 20 per cent being shared among the other
    three. Each of the five manufacturers charges around the same price for its products,
    but the smaller companies are more prone to negotiation downwards on the factory
    price.
    Distribution is almost wholly through stockiest and the sales representatives’ tasks are
    twofold:
    1 To persuade stockiest to hold a full range of the company’s products to ensure a
    complete service to the end-user.
    2 To persuade end-users to specify the company’s products when purchasing from
    distributors.
    Only Yee Wo Plastic Piping Components and Shun Tak Fittings provide a complete
    product range and this probably accounts for their success. However, a disturbing trend
    has emerged among the smaller distributors, and this has been to stock only the fastest
    moving lines from marginally cheaper sources from smaller manufacturers. Yee Wo’s
    representatives are increasingly being called on to supply less popular lines at very
    short notice.
    Several of Yee Wo’s representatives have become disturbed by this trend and two have
    recently resigned because of the adverse effects on their sales commission. Replacing
    these with the right caliber of people will be difficult and Johnny Tan realizes that there
    are three courses of action to help solve this problem:
    ● restrict supplies to licensed distributors only;
    ● persuade representatives to concentrate more on the productive market sectors
    (e.g. large
    chemical plants);
    ● sell direct and cut out distributors.
    Question 1
    What can Johnny Tan do to revitalize his demoralized salesforce?
    Answer

    Question 2
    What are the implications of pursuing each of the three courses of action
    suggested by Johnny Tan?
    Answer

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