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  • In the 1970's, the manufacturing company was one of the smaller players in a business that included several national giants.

  • KXZ chose a strategy of staying close to its customers and identifying unique customized products by conducting continuous research.

  • The company conducts regular customer and employee feedback surveys in order to provide excellent customer service.

  • By using surveys, the company was able to sustain low volume customers and compete with their high profile competitors.

  • The company saw a 228% increase from 1992 to 2006 in revenue per employee after instituting the surveys.

In the 1970's KXZ Manufacturing was one of the smaller players in a business that included several national giants. Compared to their competitors, KXZ's production capacity was much smaller.

It was physically impossible for KXZ to contend with their competitors on prize and volume, so they decided to take a different approach. KXZ chose a strategy of staying close to its customers and identifying unique customized products by conducting continuous research.

KXZ's strategy was to beat their opponents by identifying market niches, which went ignored by their competition.

For the past 20 years the market research strategy helped KXZ Manufacturing overshadow their market in revenue and profitability growth. By using this approach they were not only able to sustain low volume customers, but KXZ was also able to compete with their high profile competitors.

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Satisfied employees = a competitive advantage


A significant part of KXZ's strategy is to provide excellent customer service. KXZ Manufacturing contracted with Diagnostics Plus to conduct regular customer and employee surveys.

The CEO of KXZ Manufacturing reported, "Almost all of the improvements that we have made over the past 15 years have been based on employee and customer feedback that we have received."

This case study clearly depicts that the customers and employee's feedback is the core of their strategy, which helped them to maintain customer loyalty, employee loyalty and revenue growth.

KXZ Manufacturing's dramatic growth in revenue per employee is depicted in the chart, which shows a 228% increase from 1992 to 2006.


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