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Building Systems Manufacturer Explores Strategies for Growth in China

The Challenge: Blue Canyon’s client was a major participant in China’s building control market, but felt it was missing significant growth opportunities.

Assessment: Blue Canyon undertook a comprehensive study of China’s market for building control systems, and specifically our client’s market position, in order to evaluate potential growth opportunities. It was critical that the client understands in the segments of the market. Blue Canyon discovered a high-end market that only buys foreign products, like those sold by our client. Blue Canyon also sought to identify influential purchase decision makers and determine what differentiated products in the market.

Strategic Solution: After identifying three keys to better sales in China, Blue Canyon crafted solutions for each  problem.  First, in order to compete with lower level competition, our client would need a second product line at a lower price point with less functionality.  Second, Blue Canyon realized the importance of  those with a specific job function, and how influential these individuals can be in purchasing decisions.  Blue Canyon therefore stressed the importance of better relationships with these individuals.  Lastly, because skilled systems operators are difficult to find, reducing the complexity and functionality of products will actually increase their value, as will training.

Results: At the end of this project, all elements of growth strategy were defined and accepted by the client as part of their plan. The client successfully implemented the strategy and their Chinese business quickly increased.

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