Cover final
Transcript of Cover final
MKT 3300 10:30am
TEAM 2
Ayala, Alejandro (800190285)
Escamilla, Jaime (800077363)
Faubion, Alyssa (800393993)
Garcia, Maria (800392313)
Secretary
Gonzalez, Zulma (880378926)
Hussein, Amro (800326388)
Rodriguez, Javier (800238786)
Saucedo, Jesus (800132743) Team
Leader
INDEX1) Executive Summary……………………………………………………………I
2) Background………………………………………………………………………...pg.1
3) Situational Analysis…..…………………………………………………………pg.3
A. Economic analysis
B. Political environment
C. Technological environment
D. Socio-cultural environment
E. Internal environment
F. Competitive environment.
4) The Competitors…………………………………………………………………pg.9
5) The Market Research…………………………………………………………..pg.7
6) Summary…………………………………………………………………………..pg.13
Appendix…………………………………………………………………………………….pg.14
Executive SummaryOur main goal for the Secoya group is to ask our customers what is
value to them in this industry. We planned to achieve this research by going
out to our clients and contacting them over the phone to ask them a series
of questions to get a better understanding of what they want and what are
their concerns and opinions. Our first step was to obtain a list of our
customers and then decided on a series of open-ended questions to ask
them to help us determine the main factors of concern that we need to work
with. Estela contacted our several clients including Juan Giesbrecht, Anna &
Enrique Neufeld Fher, Francisco Dyck Wiebe, and Isack Friessen. This
sample questionnaire was conducted to obtain feedback from our
customers.
We determined that we needed to come up with a set of questions
through our market research to create a questionnaire that would be
officially tool used to measure value for Secoya’s customers. We took the
time to listen to our customers concerns and what prompt them to keep
handling business with us. Most of our customers concerns were similar,
stating that the main priority is a safe, time saving and reliable, yet
economical process when importing their foreign goods. Most clients have
the goods ready, all they need is for Secoya to have all documentations and
petitions ready in order for them have a successful exportation.
After this we concluded as a group and determined 4 main factors of
concerns that we as a company needed to work with so we can create a
survey. These 4 main factors included time, service, communication, and
legal representation. The method of research we used was to conduct
primary data by creating questions necessary for the positive feedback that
we needed to come up with our conclusive development process. We were
adamant in making sure that the data we collected from our customers did
not include information concerning if what was being asked important or
unimportant? This way would provide biased answers that would not allow
us to fully understand our customers main concerns. Instead, the approach
was to ask general concerns that would allow them to elaborate and
therefore with our responses we can make comparisons and similarities to
develop these main focal attributes of quality
BACKGROUND Secoya International Trading Company was first formed in spring
2006 by Jesus T. Saucedo. Secoya started out very small but now they are
currently on a busy schedule with on average they export 16 to 25 times a
week. To assist with all of the work, Secoya developed a sister company
called Selcova, which is in Ciudad Juarez and is in charge of doing the
paperwork so that the American and Mexican papers matches in transition.
A majority of the company’s business has to do with agriculture and they
export Pinto bean seeds and corn seeds for planting. They also export
vehicles such as motorcycles, ATV’s, and tires for tractors as well as heavy
machinery and industrial forklifts. Secoya Trading Company outsources
with several different companies in business to business transactions in
Mexico. Some of them are Abraham Ham, Semillas Y Forrajes, Comercial
Teika, Llantas bandas y refaciones, and Fertifum.
Secoya does all the paperwork for its clients that want to export
different products internationally. They usually deal with clients who
purchase abroad in different countries such as China, Japan, India, Canada,
and Turkey and deal in transactions across our borders. Secoya, along with
its four competitors GT exporting, Cronos, Trankas, and ASA, control about
80 percent of agricultural exporting from US/Mexico in the El Paso port of
entry. They offer a fast and saver service than the rest and work on Global
and Domestic Freight Forwarding. Secoya specializes In Import and Export
Freight Transportation Arrangement.
The company is looking for new ways to innovate and improve the
business along with customer satisfaction. The company offers quality to its
customers with a fast and reliable service of paperwork and exportation
processes. Customers need our services to insure that they can get their
products to be exported into Mexico and sometimes certain material
imported. Secoyas’ clients expect a rapid and efficient service that will let
them transport their product and reach its destination in a timely manner,
the lower price then its key competitors, and the responsiveness to
customers needs and concerns. Secoya’s job is to take care of handing
paperwork only, but the company goes beyond the basic service customer’s
expectations. Secoya provides the customer an extra service by having an
in-house SAGARPA international inspector. This saves time and money for
our customers.
Situational AnalysisA) Economic analysis
Secoya principal customers are businesses principally agricultural,
industrial, and commercial companies. Some of its principal clients are:
Abraham Ham, who sell farm machinery. Comercial Teaika, sells all types of grains principally sunflower seeds. Anna Neufeld Fher/ Llantas Bandas y Refacciones. Semillas y Forrajes, establish in Mexico and that sell plants for
cultivating. Fertifum, that sells pesticides, fertilizers and other products for the
care of the planting in Mexico and U.S. Motocicletas del n Noreste, that sell equipment, parts and accessories
shop for motorcycles in all states of Mexico.
Most of the economy of this companies and businesses had to be with the
selling of agricultural material as machinery and farming products. Secoya
as a service provider only charges a fee per transaction that includes
services, and other taxes or tariffs, when dealing with high valuable assets
it is much easier to obtain a profitable margin that enables the opportunity
for growth. Lower prices and rising costs have reduced margins placing
significant financial pressure on agribusinesses. Because of this Secoya has
to take into consideration their price in order to stay in the competitive
environment.
B) Political Environment
Secoya may experience a lot of political issues because it is treating with
different countries and each of them must have different regulations.
Secoya is in charge of the paperwork, this means that need to handle with
some regulations like NAFTA regulations. In 1994, NAFTA implement an
agreement where all US-Mexico tariffs would be eliminated except for some
US agricultural exports to Mexico. That is why Secoya employees need to be
aware always of NAFTA changes. Some of the most important political and
legal issues that Secoya experiences are:
Problems with contracts. Failure to understand Property Rights. Lack of attention to paperwork preparation needs. Failure to consider legal aspects of going global (tariffs, duties, and
quotas) Failure to know some new rules of trade implemented actually.
C) Technological Environment
Secoya utilizes the basic forms of communication that are phone,
Internet, computer, fax, and radios. Communication is a fundamental key
for success in business. We communicate to our customers through these
various forms to provide our quality services. Secoya communicates mainly
by sending out emails and making multiple phone calls. Our main media
would be the use of radios between us and our associates in Mexico. It is
fast and efficient to be able to connect abroad in order to get work done. It
is essential to have a strong connection between our customers and
suppliers to make our functional business processes easier and it enables us
to maintain an understanding of our customers needs.
D) Socio-cultural Environment
Most of its customers are Mexican companies that do business by
selling products to other companies. SECOYA concentrates mainly in
exporting American agricultural products, machines, and other materials to
different states in Mexico. For this reason, SECOYA customers are mainly
Mexicans or with Mexican heritage. Most of the contacts and treaties are
made in Spanish and have to do with big industries like supermarkets as
well as with small companies and personal businesses like Mennonites.
Mennonites are the main foundation of our business. Mennonites hire
SECOYA for importing agricultural machines to their communities and also
to export their products to United States. Mennonites’ culture and economy
are based on working in their own land and making their own products to
sell. They are considered as long-term customers that will maintain their
agriculture structure and as consequence of this transporting their products
and acquiring machinery will keep benefiting Secoya. In the other hand,
Secoya also deals big corporations but not as much because they demand
high quantity of services at a low price as if it were a wholesale market as
they are accustomed to. The profit margin of these services are not as
beneficial as with our services with smaller companies.
E) Internal EnvironmentSecoya is formed by a small quantity of members that direct this
company. Jesus Saucedo and his son manage the company and they are part
of the United States Department of Agriculture (USDA) as official
associates. Both of them are in charge of giving control over all the
operations. Also, there is a person in charge of the documentation and a
forklift driver that is in charge of the transportations and warehouse. Estela
Saucedo, Selcova owner, is in charge of the accounting process of Secoya
and the bills of its services. Secoya as it was mentioned before is a small
company trying to grow. For this reason the amount of employees is enough
with the services of the company but with the growth of the market,
customer loyalty, and new customers that this project is attempted to obtain
it must be considered that Secoya will need to hire more workers. This type
of business is inconsistent due to the agricultural economic situation and
fluctuates dramatically from time to time; therefore there is not always a
need to hire more personnel.
THE COMPETITORS
Competitive Environment
Secoya has actually four main competitors in the El Paso-Juarez area.
All four of them are in the international trade business mainly dealing with
agricultural merchandise. GT Exporting, Cronos, Trankas, and Secoya
control 80% of the total agricultural exporting. Secoya’s most important
advantage, and difference in comparison with its competitors, is that it
mainly exports agricultural products and machines which is the target
market of Secoya. The next table shows a chart comparing Secoya’s
competitors in the business environment.
Table 1. The Competitors
Company Name Associations Uniqueness
GT Exporting (Formerly known
as PUMAS)
WALA international Commerce
Since this was the main company where all other competitors were born and it is the
oldest one around, it has more recognition among exporters.
CronosASAMex-us (Mexico)
and Felhaber F C & Co Inc. (US)
Have warehouses both in Ciudad Juarez, Mexico and El Paso, Texas. Multiple
Associations with several importing and exporting agencies.
TrankasASAMex-us (Mexico)
and Felhaber F C & Co Inc. (US)
F C Felhaber is one of the most powerful companies in the US, so it gives them a
competitive edge.
SECOYASelcova (Mexican
counterpart), Transportes Soto.
A “SAGARPA” (Secretaría de Agricultura, Ganadería, Desarrollo Rural, Pesca y
Alimentación de México) Office is located right next door, so permit negotiations take
less time.
Table 2 Comparative TableCompany Name
Services Unique Features
Price/ Sales
Owner Comments
GT ExportingOr Pumas Trading
Freight Transportation Arrangement, Other Management Consulting Svcs
Also do business with Industrial Buckets Of Mexico and International Trading Inc.J
Annual Revenue of $500,000 to $1 million with 9 staff employees
Rogelio Dominguez/Gerardo Trejo
Is the oldest one. All of the owners of the others trading companies in El Paso worked for.
Cronos Paper Work, Converted Paper Product Manufacturing.
Annual Revenue of $120,000
Cesar Jacobo
4 years in business.
Trankas Freight Transportation Arrangement
Work together with Boyd Logistics Inc. who helps Trankas consulting it shipments.
Annual Revenue of $360,000 and has only 4 employees controlling the business.
Tranquilino Rocha
ASA Import/Export, Freight Transportation Arrangement
Ocean Export, Air Export, & Trucking Domestic Heavyweight Air Freight.
Lowest prices than all competitors.Annual Revenue of $500,000 and staff of 9 employees.
Rafael Certucha
New business entering to the international trade competition. (20% of agricultural exportation)
SECOYA Import/Export*, Freight
Global & Domestic
$360,000 on the third
Jesus Saucedo
Maintain direct
Transportation Arrangement
Freight Forwarding. Fast and Safer service than competitors.
year as compared to less than $45,000 the first year
contact with it suppliers and customers, as well as with its important groups as Mennonites.
The Market Share
Figure A. Market Share
The Market Share for Secoya is shown in Figure A. below. The numbers required to calculate the Total Market Share amongst the competitors was estimated using current information given by insiders in SECOYA International Trading Co.
35%
25%
20%
20%
Total Market Share
GT ExportingSecoyaTrankasCronos
THE MARKET RESEARCHOur purpose is to obtain and analyze clients’ opinion and information
to acquire and ideal top of the line service to enhance the satisfaction of
customers with our service creating a stronger bond and increasing the
retention the contentment and approval of our current customers. Our
purpose for this project is to help Secoya figure out how to measure quality
by assessing a survey to get customer feedback that would provides us with
information that we can analyze and create a solution to solve our
customers concerns and improvements for the company.
The way we want to implement a design for this project is to collect
primary research data directly from our customers. We used a random
sampling method to provide us with a list of associates to contact out of the
many Secoya interacts with. We then used different media devices such as
calling our customers and sending emails. We gathered data through over
the phone interviews and then took those answers to create our final
product of how quality is perceived by them. The way we chose to go about
the random sampling method was to put all the names of our patrons in a
hat and we decided to choose eight different companies to collect data.
To start out with our research we went to Secoya company and spoke
to the owner to get a start on our project. He spoke to his secretary Estela
and decided that he wanted us to gather the questions we wanted to ask
and submit them to her. After we gave her what we had and she sat down
with Jesus as he listened in to the phone conversations with their clients
and took good notes of what was said.
After interviewing our customers, we saw that they shared a lot of the
same concerns and viewpoints and how our company could improve on
quality. Our clients shared major concerns about them being located in
Mexico which would require their orders to various producers to be fast and
reliable. As ABRAHAM PETERS THIESSEN stated “I buy my machinery and
I expected to be here with me as soon as possible, I send my driver and then
Chuy takes care of the rest and that’s why I pay him.” We figured out that
one of the main factors of concern was the time of delivery and service that
these businesses needed in order to be efficient. Isack Friessen Dyck from
Tracto Contes Friesen said, “ I select Secoya because it is a company that
works as fast as I want and just as I like. Everything is in place and arrives
at the time that was scheduled.” We determined from these customers that
it is essential to have their products shipped on time. This helped us
understand better that timely involvement is very crucial to business
success.
Some of the customers that we have contacted gave us information
that was relevant to customer service. The responses we got were straight
to the point and told us exactly what they liked and what they wanted. From
talking with our customers, we learned that not only paperwork is crucial to
their business but also picking up their goods and transporting them could
help save time and money by only dealing with one company. Peters
Neufeld from Motocicletas del Noroeste said, “ I like Secoya’s service
because they take care of not only the paperwork but also save me time and
money by picking up my ATV’s and arrive to me all in one cost.” Secoya only
does this type of service for this customer. From doing this service, we have
an idea of expanding the business by picking up and transporting the
product so everything can be cost-efficient. Our customers were able to
express to the secretary how they felt service should be done and gave
some insight on their recommendations for better quality. By expanding our
services, we are able to increase company value by further satisfying their
needs, which would create new prospects for Secoya. This could create new
opportunities because we would increase our number of clientele.
Communication is the first step in establishing business and through
our customers we have found that we have been lacking in this area and we
are looking to improve. Through them we have found that they are having to
be put on hold, to explain themselves in which adds to more time and a
decrease in customer service. Jacobo Fehr Friessen from Semillas
Productivas said, “ Although I like their business overall, many times I have
been placed on hold for a long period of time. During that time I could be
doing other work for my own business.” Abraham Ham Peters also said, “
The only complaint that I have is that I have to explain to Secoya several
times about the services that I needed.” We took these responses and
analyzed that Secoya needs to maximize its’ communication skills in order
be in better standings with our associates. From the customer’s viewpoints
they believe that we are shorthanded on employees and that our
communication is not up to par with our service.
Our group recognizes the value that our customers put towards the
documentation procedures that are used in the shipment of our products.
Secoya deals with the USDA and Jesus is a legal interaction as a
representative of the company. It is fundamental for any business to
understand how to document figures and processes correctly to get jobs
done. Artugo Gomez from Semillias Fertifum said, “ I hire Secoya because
they are legally registered with the USDA and that helps me export my
products to wherever I need to send them.” Anything that needs to be
exported and imported across the borders must have the proper
documentation to avoid mishaps and tardiness. The customers choose
Secoya because they take the initiative to deal with the import/export tariffs
and government regulations on the product quantity and specifications. This
information was concluded from another customers’ perspective, Enrique
Neufield from Llantas, Bandas y Refacciones. He said that, “ Since I export
goods from different countries, different tariffs apply to these products. I do
not worry about any of this because I know Secoya does a good job of taking
care of it.” This benefits the customer because it is a time saving process
that Secoya does for their patrons. They can focus their time in other areas
of the production process and other services of their companies. We felt
that this information was very beneficial to come to a conclusion that
Secoya can figure out ways to expand their legal services to other
businesses who deal with exportation.
ConclusionTo summarize our research processes we started out with an open
ended questionnaire to discover how our customers assessed quality in
Secoya. We then took the time to interview various consumers and gathered
the information we needed for our analysis of what they liked and disliked
about the business. Our main discoveries and findings lead us to believe
that there are four main factors of concern that Secoya should focus on for
improvement. We came to the decision that time, legal representation,
customer service, and communications are key to developing stronger
quality and value towards our customers. Now with this information we
developed a survey with questions regarding these key points that will be
used as a tool by the company to help them better understand what is
expected of them and to discover room for improvement and development.
Service
Communication
Legal Representation
Time
Quality
FACTORS OF QUALITY
SurveyDear Customer:In order to implement a marketing plan for SECOYA to help it in serve you better, please help us by taking a couple of minutes to tell us about the service that you have received so far. We appreciate your business and want to make sure we meet your expectations. Show your opinion by circling one of the five (5) numbers next to each statement. If you think the company does much worse than expected or doesn’t apply please select 1. If the company does much better than expected or it apply select 5. If your feelings are not strong, circle one of the numbers in the middle.
Service 1) How likely are you to recommend our service to others?
1 2 3 4 5
2) In evaluating your most recent customer service experience, how was the quality of service you received?
1 2 3 4 5
3) How likely do you think customer service influence you in your decision of selecting Secoya as your exporting service provided?
1 2 3 4 5
4) How likely will your overall satisfaction increase if Secoya takes care of the transportation of your goods as well?
1 2 3 4 5
5) How courteous and helpful was Secoya’s personnel with your concerns and needs?A) They solved all my questions and service was greatB) Personnel were very attentive with my needs C) Had some problems understanding my needs D) They did not understand my requestE) They were not helpful at all
Communications 1) What would best describe your experience, when you called? (Circle all that apply)
A) Kept me waiting on hold
B) Had to explain several times
C) Didn't know how to handle problem
D) Had to ask others
E) No improvement needed
2) How often do you have problems regarding communication between you and Secoya?1 2 3 4 5
3) The ability of our employees to answer your questions1 2 3 4 5
Legal Representation
1) The accuracy of our legal information regarding exporting and importing?1 2 3 4 5
2) How safe do you feel with the legal service (tariffs, NAFTA, and other rules) Secoya provided to you?
1 2 3 4 5
3) Have you experienced any legal problems in transporting your merchandise with Secoya?1 2 3 4 5
4) How trustful do you feel about Secoya’s legal knowledge?1 2 3 4 5
Time 1) How satisfied are you with the time required to complete your service/solution?
1 2 3 4 5
2) Receiving prompt service from our employees.1 2 3 4 5
3How often do you do business with Secoya?Less than 2 times a month 2-4 times a month 4-6 times a monthMore than 6 times a month
4) Considering the time, effort and money you spent with us, how would you rate the overall value provided?
1 2 3 4 5
Thank you for your feedback. We sincerely appreciate your honest opinion and will take your input into consideration while providing services in the future.