Strategies And Tactics (CONT’D FROM PAGE26)
Board Converting NEWS INTERNET DIRECTORY
transactions would no longer trigger price moves, nego- tiations between containerboard buyers and mills could become more amicable and transparent.” Chris Widera, President and CEO of CalBox Group, be- lieves, “The single most important factor in better quoting
ARC INTERNATIONAL www.ARCInternational.com
management is to listen to chang- ing market demands and put more resources behind the winners.” This fast-learning journey is always under construction. For example, a respected and ex- perienced east coast entrepreneurial company last year closed the doors
ARC International is a world leader in the manufacturing of roller products for flexography. The latest nano-technology laser engraving in our NC and NV manufacturing facilities ensures superior quality and consistency in anilox rollers.
AES (ADVANCED EQUIPMENT SALES) www.aesales.net
AES is a leading full-service provider of integrated convey- ance systems specializing in scrap, trim, and dust. AES en- gineers custom scrap systems and works as a partner in process improvement to help businesses achieve greater profitability, productivity, and sustainability. Products include balers, shredders/hoggers, core shredders, filters, fans, and specialized dust control and collection systems. AES is the ex- clusive distributor for the AirShark Rotary Material Separator. For a wide variety of new and used equipment on to- day’s market, visit our website at www.acm-corp.com. BAUMER HHS CORPORATION www.baumerhhs.com hhs is a global leader in advanced gluing, camera verifica- tion and quality assurance systems for the packaging indus- try. Zero-defect quality and elevated production speeds are key parameters in the manufacturing of corrugated boxes. With hhs Xcam Box Monitoring and non-contact flap gluing of corrugated board, hhs offers every option for quality as- surance in the production of boxes with flexo folder gluers. AMERICAN CORRUGATED MACHINE www.acm-corp.com BLOWER APPLICATION COMPANY (BLOAPCO) www.BloApCo.com BloApCo has served the corrugated industry since 1933 with a variety of scrap handling solutions, including Hori- zontal Floor Shredders, Trim Cutters, and Material Handling Fans and Conveying Systems. BloApCo Shredders allow for continuous shredding and pneumatic removal of sheet waste stacks of all sizes, roll slab, cores, and carton scrap.
Chris Widera
of their new value-added box making plant in SoCal. Why? Their leaders benchmarked competitors, but did not have the right talent and marketing to adapt to be different. What will increase profitable sales in one market may not be successful in another. Consider in August 2024, Veritiv, owned by Clayton, Dublier & Rice, a $30 billion-dollar private equity compa- ny, acquired diversified Orora (OPS) for $1.2 billion. This asset expansion strategy included SoCal corrugators, sheet plants, distributors – Corrocraft, MPP sheet plants, Landsberg. The deal will take Orora private with little pub- lic transparency. My key takeaway: a gradual operational slowdown offers cyclical returns. Searching For New Capacity In Arizona, box makers are again facing “predator ver- sus prey”, “eat or be eaten” strategies and tactics. The lat- est announcement is a U.S. midsize integrated mill adding “impressive assets and capabilities with better service and care.” We have heard these optimistic strategies before in Europe and the U.S. First, the start-up has to convince a large loyal Arizona prospect customer with lots of volume that their strategy is to build the new box plant next to the would-be customer’s manufacturing factory, a mutually beneficial venture that may save costs. The next tactic is to open a sales office near the largest market and recruit (AKA, “take”) several experienced sales reps. Then, pay them a top salary, say $90,000 plus ben- efits for one year. What the new employees do not realize is that the vast majority hired will be terminated due to low sales, high overhead costs, etc. Still, the new competitor has acquired missionary sales leads for the next batch of reps, who may be qualified but not fit. Here, it is all about timing, adaptability, and location to survive change. The sub-strategy focuses on price setting and price getting. Instead of selling on price, the website or customer service can quote and deliver low prices. One way to evaluate the strength of your business model is to assess how difficult it is for your customers to leave you. What business development executives fre- CONTINUED ON PAGE 30
CORRUGATED MACHINERY SPECIALISTS www.cmsretrofits.com
Leading manufacturer and installer of quality retrofits, up- grades and replacement parts for S&S and Prime Flexo Folder Gluers. Specialists in reconditioning of S&S Flexo Folder Gluers, including ink, air and electrical systems.
CORRUGATOR BELT SERVICE LLC www.corrugator.com
Serving the corrugated box industry since 1991, Chicago- based Corrugator Belt Service LLC maintains corru- gator belts for peak board quality and performance.
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October 7, 2024
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