Global Market Research Case Study Analysis
Sperry/MacLellan Architects and Planners is an architectural practice based out of Dartmouth, Nova Scotia, Canada, which specializes in recreational facilities. The company was originally founded in 1972 by Drew Sperry of which became an incorporated company known as H. Drew Sperry and Associates in 1973. The company was thriving in a positive direction resulting in the expansion of their personnel, including the addition of a new senior partner John MacLellan, and revenue growth throughout the 1970’s. In the early 1980’s the industry slowed down dramatically resulting in layoffs for all personnel except for the key partners. The company bounced back with a vengeance in the mid 80’s after gaining national media attention for their expertise win in the competition of the Canada games sports facility. It was during this industry rebound that the company acquired a junior partner, Mitch Brooks. Mitch is a perfect fit; compatible with the senior partners in focusing on staying within budget guidelines and his concentration on customer service. Aside of being a great production architect, Mitch is looking to take the company to the next level and keep it trending upwards by capturing a greater market share, greater than the company’s current regional reach.
Sperry/MacLellan Architect and Planners are facing another downturn in their industry, where the workload will be on a gradual decline. It is for this reason that Mitch is looking to present a report to the company counterparts, as an explanation of his market research. There are a few opportunities that require improvement and innovation.
The company is too comfortable dealing with only what it knows. It caters to it regional market and nothing beyond. Aakar, Kumar & Day (2007) define how Sheila Sperry, director and office manager at Sperry/MacLellan Architects and Planners, metaphorically explains the current state of the company, “you have to go wider than your own backyard; after all, you can only build so many pools in your own backyard” (p. 72). The company caters to its local and regional market and nothing beyond. Though the company is generating revenues in excess of $1.2 million in the 1987 fiscal year, the company is only earning a 4.5% return of profits after substantial payouts for employee salaries.
In a Brooks report titled, Precision, Planning, and Perseverance: Exporting Architectural Services to the United States clearly identifies that there is definite opportunity for the Canadian company. For the sake of survival, the company will need to capture a more premium target market. The report identifies eight niche markets of which include municipalities and educational institutions needing new, innovated, or renovated sports facilities.
The Canadian-based company is fully aware that they lack the ability to use more efficient systems, such as a CAAD, computer assisted design and drafting, program. This...