The Kane Company Competition
Now Viewing The Kane Company's competition in: Business Services Sector
Call Preparation Questions
Customers, Marketing, Pricing, Competition
What type of customers does the staffing agency serve? - Major end-use customers include businesses from a wide range of industries.
How does the company determine prices for janitorial services? - Janitorial service companies bid on contracts usually based on an annual fixed-price.
Do the company's landscaping services typically involve contracts? - Contracts usually cover basic landscaping services, while additional work is covered by one-time work orders.
How does the company market its office administrative services? - Office administrative services are often marketed through a direct marketing sales force.
What is the average length of commercial waste collection contracts? - Commercial contracts are often annual, individual contracts monthly, and municipal contracts for one to five years.
How does the company market its security services? - Commercial systems are sold through direct sales.
How do corporate customers learn about the agencies travel services? - Travel management companies sell their services through a sales force and at industry conventions.
Competitive Landscape
Demand ultimately depends on the level of business spending, which is determined by the health of the overall economy. The profitability of individual companies depends on efficient operations and effective marketing. Large companies often enjoy economies of scale and can compete for large, national accounts. Small companies can compete by offering highly specialized services, or through superior customer service. The sector is labor-intensive: annual revenue per employee averages only about $60,000. Business support activities are often undertaken in-house by establishments in many sectors of the economy.
Business Challenges
CRITICAL ISSUES
Growth Tied to Corporate Spending - Most providers of business services are dependent on corporate spending. Some business services suppliers can experience dramatic drops in demand during economic recessions when many businesses are struggling. Because businesses can cut back on personnel staffing and travel services fairly easily, providers of those services may be more susceptible to cyclical downturns than companies offering more critical services such as security, facilities services, and waste management.
Low Barrier to Entry Increases Competition - For many types of business services the amount of capital investment required for startup is relatively low, resulting in intense competition among small companies. With a small investment, an individual can offer landscaping, pest control, travel, staffing, or landscaping services. These small businesses not only compete with each other, they compete with much larger, established companies with more resources.
Industries Where The Kane Company Competes
- Transportation Services
- Trucking
- Moving & Storage Services
- Logistics Services
- Trucking
- Business Services
- Information & Records Management Services
