​​​​Star Controls Engineering started out as a supplier of equipment in 1996. Since then, the Shanghai-based company has diversified and grown to become one of China's leading manufacturers of valves, instruments and other industrial equipment with offices in China and Singapore. The company has over 200 employees located in both countries, and is under the leadership of founder and president, Patrick Lim.  

Equipment produced by Star Controls is used by companies in several industries; these include power, metal and mining, pulp and paper, refinery, petrochemical and chemical, nuclear and food processing. With more than 20 years of experience in China, Mr Lim says that the company's major growth plans are still in China, but it is intending to diversify its country risk to other parts of Asia. 

Mr Lim attributes the company's success to two main ingredients - perseverance and people. "Perseverance because we believe in what we are doing and we always ensure we achieve our goals. The company values its staff and recognises their contributions to make the company successful. Many of the staff have been loyal to the company since its inception.

Besides the emphasis on its people, the company is also constantly identifying new business opportunities. The company walks the talk when it comes to innovation, as it constantly adds and improves products and services to meet the needs and wants of customers. As proof of the company's innovative drive, Star Controls has embarked on a new business venture to market lifestyle consumer products in Singapore. The company will launch a line of affordable water ionisers to create alkaline water for drinking. The company will start with Singapore and go regional into the China and Europe markets via distributors.

The company also focuses strongly on providing excellent customer service which Mr Lim believes is key to ensuring customer loyalty. It has invested in and developed a specialised salesforce and support structure with 24/7 after-sales service for its valve business. According to Mr Lim, highly-trained staff provide support to clients before, during and after they have signed on the dotted line. With 24-hour customer service, clients can be assured that they will be responded to quickly when it comes to urgent enquiries.

Mr Lim is also fully aware of the importance of branding; he believes that a strong brand is crucial in attracting customers to the company. This is because a company's brand demonstrates what values it stands for, such as reliability and trustworthiness. The company recently set up its own valve manufacturing plant in Shanghai and will produce its own brand of ball valves for customers. "We will be promoting our brand for the next few years. Brand development is difficult in the process industry, but with quality products and service, I believe that we will be able to make our brand known in time," Mr Lim says.

Although Star Controls' revenue has grown by "double digits", profit remains flat because of the expansion mode the company is in now. Mr Lim is confident and has set the goals for his company to further increase sales volume and achieve a growth in profitability within the next two years.

Case Study Questions

1. Star Controls plans to market its water ionisers to major distributors and retailers in Singapore. Analyse the key factors that may potentially influence the company's decision on the appropriate marketing communications mix to use.

2. Propose an effective advertising campaign that the company may use to market its own brand of ball valves to customers.

Answer rating: 100% (QA)

1 The key factors that may potentially influence Star Controls decisions on the appropriate marketing communications mix for marketing its water ionisers to major distributors and retailers in Singapo... View the full answer