Dakota Growers Pasta (case study)

oals. People here value, and consequently demonstrate, integrity and respect for each other, and these are the values that lead people to place safety for each other, coaching and developing each other, and satisfaction for the customer as simultaneous top priorities."
             The Strategic Group Map (see appendix) shows the situation within the industry and can indicate areas that are open to strategic maneuvering. Comparing the companies that produce private label versus branded dry indication of where current competitors are. The map shows that none of the competitors only in private label DGP and AIPC are acquiring brands with their private label production. Borden and New World Pasta are using brands and sticking to producing pasta without using vertical integration systems from wheat to table. DGP is completely vertically integrated and AIPC has a large percentage of its production integrated as well. DGP is starting branding and AIPC has more brands but both would find it difficult to compete in the established branded market on its own. This map indicated that DGP and AIPC would do well to try to corner the market they are currently competing in. DGP would have the power to launch moves against branded competition. They became a much bigger force in the industry together than apart given the slim margin of profit available.
             Traditionally, firms in this industry in the U.S. competed through five principle methods: 1. Degree of capacity utilization; 2. Product distribution capabilities; 3. Service capability; 4. Ability to provide consistent quality to customers specifications; and 5. Access to durum wheat. The five principles are how well capacity utilized, i.e., whether the company is efficient or not, product distribution capabilities, service capabilities, ability to provide consistent quality to customers and the access to durum wheat. DGP, along with AIPC, has all of these competitive advantages. Overall, DGP key success factors...

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