Riordan Manufacturing is the famous plastic manufacturing company that deals in plastic beverage containers, plastic fan parts and custom plastic parts to fulfill demand of industrial customers from foods, beverages, appliances and other sectors. The company is owned by Riordan Industries that enjoys its reputation as a Fortune 1000 company. Riordan Manufacturing has strong presence across USA followed by expansions in China and other global countries. The core competitive strategy of Riordan to improve Innovation and sustainability across US is induction of state-of-the-art production plants and equipments to accomplish higher production targets and reduced usage of raw materials such as polymers to ensure both operational and environmental sustainability. Next, the company has adopted a six sigma approach as its Total Quality Management (TQM) principle to curb rejections and waste of resources, which will then facilitate accomplishing low production costs in USA despite high labor wages and salaries. Finally, the company has strong intentions to expand its product lines in related business to offer more intermediary products to existing and new customers for performance enhancement (Tavangaran, 2014).
As far as the global business is concerned, Riordan has already established a state-of-the-art manufacturing facility at China to meet both US and global demand of plastic products. Next, the competitive strategy for global business is to manufacture high quality products at substantially reduced costs in China to benefit from cheaper land, abundance of raw materials and low wages. This strategy also enables Riordan to meet not only domestic Chinese demand for plastic products but also export from China to other South Asian, GCC and European markets. In other words, the strategy enables plastic manufacturer to achieve high capacity utilization and business volumes coupled with low dependence on core US market.
Reference
Tavangaran, A. (2014). Information on Riordan Manufacturing. Ehow.com [Online] Available at http://www.ehow.com/about_5729395_information-riordan-manufacturing.html
