The year 2014 has not been a great year for many heavy equipment manufacturer and many have struggled hard to keep their business at bay. It is not that they see a possibility of shutting their business altogether, but they definitely see a hard time ahead. Few equipment manufacturing companies feel that the forthcoming year will bring joy and prosperity to their business. However, others do not support this view point. Some are also of the opinion to wrap up their businesses from the country they do not see much happening in the future and may focus in only those countries where they anticipate good business. This is the case with almost all the big companies. However, there are also some companies who keep a different perspective. They believe that it will make more sense to simply wait and watch how the overall market performs. Especially, for companies who are located in developing countries are more willing to sit tight and monitor the happenings. It is only after intensely pondering the situation that they might come to some conclusion. They just simply do not want to pull the trigger and later remorse on what they did.
Companies like Case sees this moment as a great opportunity. They feel that the year 2015 is the year of development for them and they have chalked out plans which suggest that they are determined to achieve growth consistently for the entire year. Having said that, they also assume that the forthcoming year will also be a year of immense challenges and it will not be easy for anyone to do business. They feel the reason for poor sales is because of falling demand. It does not have to do much with producing innovative machineries but has to do more with the fall of demand in the overall market.
Case has come with a not so unique way but definitely effective. They do not want any of their employees to do overtime and they feel that working for extra hours is not required in a market condition where the demand is low. For the time being, they do not intend to lay off any of their employees but are giving strong indication that they are certainly not hiring any additional labor force. They are also working on the plan to reduce higher weekend salaries for its workers and will also significantly reduce their dependence on outsourced sections that will help them a long way to keep the cost in tack.
In order to protect the segment margins, the company has already started to act on its cost structure by bringing it in line with its inventory positions. As far as the agricultural equipment are concerned, it is estimated that they will see a fall in its sale volume for the entire year. Farmers who require machine with higher horsepower will shy away from buying due to weak crop prices. Nevertheless, they also feel that the situation may turn good at the end of 2015 and they will pick it from there.