Zoëcon Corporation Case

I.INTRODUCTION

Roaches and insects multiply there number so fast that they can even invade our household and agricultural aspect and make our life miserable. We all know that they are capable of carrying bacteria, viruses, fungi causing cholera, leprosy, and tuberculosis. That's why the use of chemical toxins to control insect pests is common this day. People is concern at safer household insecticides be used where children might in contact with the residual chemical. The demand for safer compounds cause in the focus of research and development from new insect adulticide, which kill adult insects, to chemical compounds that disrupt insect reproduction. Zoecon Corporation offers solution to that problem, They introduce to pest control market a new innovation they call it "strike ROACH ENDER".

II. COMPANY

Zoëcon Corporation, a Palo Alto, California company, was founded by a group of prominent scientists. One of the scientists was Dr. Carl Djerassi, a pioneer in the synthesis and development of the first birth control pill for women.

Zoëcon was the first company to develop and use insect growth regulators (IGRs), ingredients that mimic juvenile insect growth hormones and disrupt immature insects' growth cycles. As a result, target insects cannot reach the adult stage, where they often cause health or economic problems. Just as important, insect pests cannot breed and create new generations.

III. Major and Minor Problem

A. Problem

The Problem is that the Zoëcon Corporation faces the following problems regarding their marketing strategy for their Strike ROACH ENDER product:

* Should the Zoëcon Corporation expand the distribution to a 19 city area where 80 percent of roach control products are sold?

* Should the Zoëcon Corporation focus their attention on the professional pest control market (Pest Control Operators (PCOs))?

* Should the Zoëcon Corporation contact the makers of Raid, d-Con, or Black Flag for the purpose of including the IGR chemical.

B. Possible Solution

IV. RECOMMENDATION

The Zoëcon Corporation expand the distribution to a 19 city area in the consumer market. The following justification is offered based on the decision factor below.

Market Characterization. The premise insecticide market consists of the consumer market and the professional pest control market. The estimated annual sales for insecticides in the consumer market in 1985 were $400 million with a forecasted growth rate of 10% per year through