Ecton Inc Case Analysis Essay

Furthermore, Ecton will be having an ultimate chance to overcome barriers to entry in Echocardiography.

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Another concern Cannon holds is the ability of Ecton to penetrate a very harsh market fills with big, established, and advanced manufacturers.

Also, Cannon is not sure on how to approach specific market The first concern of Ecton’s board of directors and clinical advisors is the impact on their activities when acquired, specifically, the “product development process”.

I have carefully analyzed the various matters that affect the decision of which toy to introduce first, the Even though by using advertising we only get 80% of the Big Tiger’s stores to distribute our product, after the first year when they see that it is profitable and worth being in their stores they will most likely want to carry it in 100% of their stores for their own benefit.

I strongly suggest that the Super Soft Ball be introduced first, because since we cannot control the retailer’s price, we should look at a product that will give Innovative Toys and Big Tiger the highest profit at the same level of % contribution margin.

Moreover, the absence of marking, sales, and production departments adds a burden on Ecton when it comes to negotiate its acquisition.

Ecton Inc Case Analysis Essay Business Planning And Budgeting

All of these concerns and more will be discussed in the next few pages.

Acquisition: Pros The idea of being acquired has pros and cons.

starting from the pros first will help to understand some reasons behind this particular decision.

In this way, Ecton team will be focusing on developing their product and start working on a new product in parallel.

The acquired company then will launch the production line for Ecton imaging system which expected not to take long time (because they share the same domain, ultrasound instrument knowledge).


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