Research Details

Abstract

One of the first local manufacturers of screw caps in Chile, INESA expanded rapidly in the region. By 2015, the company had achieved almost 55% market share in the domestic wine sector and 21% in South America, focusing on Chile, Argentina, and Brazil. After more than 40 years in screw cap manufacturing and technical customer support, INESA was acquired in 2017 by RMD Group, which forged a new path to consolidation in the international market.

Inspiral was established in 2018 to represent the company's strategy regarding innovation and internationalization. Along with Ramondin (an RMD Group capsule manufacturing brand), Inspiral was a specialist in designing, manufacturing, and packaging a complete portfolio of fastening products for wine, champagne, and spirits bottles.

By the end of that first year, two challenges confronted Inspiral: (1) Rapid expansion in the national wine market had seen a similar rising need for quality and low-cost screw caps. As a leading manufacturer of screw caps in Latin America, Inspiral had to create additional value through its strategic positioning and operational excellence. (2) Although Inspiral had the dominant market share, its position was threatened by the possible entry of the Polish company Zakretka, a major international player, into Chile, Inspiral's home market.

The case study asks students to compare the competitive and operating strategies of the company and its rivals. In addition, it requires a competitive trade-off analysis of the two companies and the specific operational changes Inspiral needs to remain competitive in the international market.

Type

Case

Author(s)

Alejandro Hernandez De La Lanza, Jan A. Van Mieghem

Date Published

11/22/2021

Citations

De La Lanza, Alejandro Hernandez, and Jan A. Van Mieghem. Inspiral: A Contrast in Operations Strategies. Case 5-420-755 (KE1199).

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