CUTCO Corporation is concentrating on growing its cutlery brand into a $500 million to $1 billion business. In order to reach its goal, CUTCO must expand various sales channels to reach the largest possible portion of its target market, as well as invest in public relations and targeted advertising to promote its products. CUTCO must also develop a long-term plan to establish a presence in international regions that are most likely to have a positive response to the unique positioning of CUTCO cutlery.
Problem Statement.
In order to achieve revenues in excess of $500 million per year in the next five years and ultimately achieve revenues of $1 billion annually, CUTCO Corporation must implement a long-range growth strategy by selecting and focusing on a growth driver as well as a strategic marketing channel for the next ten years. .
Executive Summary.
CUTCO Corporation sells top quality cutlery including kitchen knives, flatware block sets, kitchen tools, cookware, garden utensils and sporting knives. CUTCO merchandises are manufactured in America, present a full lifetime guarantee, and are marketed primarily by independent sales representatives through in-home demonstration. CUTCO's central location is in Olean, New York. The company employs over 800 individuals and has yearly revenues exceeding $250 million. CUTCO Corporation is the parent company of five associates: .
• CUTCO Cutlery – Manufactures products since 1949. .
• Vector Marketing – Markets products through sales representatives. .
• CUTCO International – Markets products internationally. .
• KA-BAR Knives – Manufactures sporting knives. .
• Schilling Forge – Manufactures forging for shears and other gadgets. .
Facts.
Product Line.
• The basis of the product line still consists of 10 basic knives that can be purchased individually or in various sets ranging from a two-item gift pack to the Signature Set, which consists of the 10 basic knives, hardy slicer, santuko-style knife, cheese knife, shears, and 10 table knives displayed in a wooden block.
