Case Study

Han’s Laser (C): Redefine the business (2009 and beyond)

3 pages
December 2010
Reference: IMD-3-2176

After redefining its growth strategy and repositioning itself as a light sourcing company, Han’s Laser diversified into providing industrial solutions (rather than just products and services) for other industries. This led it into the fast-growing LED and solar industries. It also entered the real estate industry and made a small foray globally with a small stake in an Italian company. The company also implemented a new service policy, whereby the company would provide service free of charge for the first year after which it would offer the possibility of purchasing a VIP worry-free plan with an annual fee equal to 3% to 5% of the value of the machine. However, there was some severe resistance to this from some of the company’s biggest customers.

Learning Objective

This case leads to a discussion centered on the options of redefining and repositioning a company for growth and profit. The change in service policy that the company implemented also leads to a discussion about how sales can deal with resistance from key customers.

Laser Equipment
© 2010
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