Harrison Corporation Profile
Harrison Corporation, a U.S.-based corporation with business units in Europe and South America, has recently decided to create a business unit focusing on expansion into Central America. As a low-cost producer of discount office supply products, the company's products will continue to be produced at existing facilities, or purchased from existing suppliers. This unit primarily focuses on marketing and delivery of products to two groups of customers: corporate customers, retail, and consumers.
Currently, the organization markets primarily through the Internet and through catalogs mailed to businesses. To reach direct sales customers, such as retail and direct consumers, the company mails catalogs to homes and offers its products in discount stores. Although the company has a Spanish Web site and has translated its catalogs, it has not been able to penetrate the Central American market. As a result, the company has decided it needs a presence in Central America; therefore, they have created a business unit that will be located in Costa Rica, from where marketing and sales activities will take place.
The company began operations 20 years ago and quickly found a niche selling to midsized businesses. These businesses were often unable to negotiate strong discount programs with major office supply stores, but found that Harrison offered exactly what they needed: good quality office products at reasonable prices. The company currently holds 10% of the market share in the United States and hopes to duplicate this success in Central America within the next five years.
1) What rewards consideration should be included for the business unit.
2) How will candidates be attracted?