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Proposal for a New Business Model for Nexans Pabu for the Brazilian Market

Proposal for a New Business Model for Nexans Pabu for the Brazilian Market

06.06.2024

Coordenação


Authors: Guilherme Peres Sunhog e Lilian Aparecida Pasquini Miguel

Abstract

The purpose of this work is to take advantage of an opportunity to improve the sales strategy and business model of the Nexans PABU business unit - European manufacturer of electrical connection accessories for cables to the Brazilian market, providing better integration between the supply chain and the market demand. Application: This opportunity involves a focus adjustment for the organization’s management, about how to increase the value recognized by the customer while reducing physical inventory costs and optimizing sales human resources adding a strategic alliance with distributors. Innovation: The innovation contained within this process is about the reduction of supply chain steps, optimizing product offer at the national market. Impact: Decisions to adapt an internal sales strategy switching partially to a more horizontal model is an economic impact that can increase the transaction value, reduce costs and financial risks for Nexans, including the participation of strategic alliances to growth sales and market share. Complexity: Organizational changes due to the pandemic COVID-19 are a reason that impacts the evolution in sales, causing a human resources and physical resources reduction. The currency exchange rate increasing in Brazil and the organizational decision to reduce complexity in the operations with no local stocks is a critical but decisive point for a new business model proposal. Methodology: This work was elaborated based on the methodological proposal of problem solving and exploration of opportunity, by Marcondes, Miguel, Franklin & Perez (2017). The analysis of the internal and external moment of the organization and the local market is supported by a customer recognized sales value survey, searching for a balance between the currency floating exchange rate risk to the imported products, and the present competition with established distribution channels.


Keywords: Power accessories; B2B market segment; business model