Success story · Manufacturing (injection molding)
The commodity-to-proprietary pivot (plastics manufacturing)
An efficient factory with a dying business model. We changed what the company was for.
The challenge
A race to the bottom
A contract manufacturer of generic plastic components for the electronics industry was being crushed by cheaper competitors and constant underbidding. It sold parts near cost just to keep its machines running. The factory was efficient. The business model was not.
Our solution
Stop acting as a supplier, start acting as a product owner
The factory had high-precision machinery wasted on low-tech parts. A market gap analysis showed a shortage of durable, stackable, ventilated crates for the growing hydroponic farming and cold-chain logistics sectors in the region.
01
R&D sprint
The internal engineering team designed a proprietary crate with specialized polymer blends, lighter and stronger than existing options.
02
Production shift
We stopped the three lowest-margin components, freed 25% of capacity, retrofitted the molds and launched the new line.
03
Direct sales
A new B2B sales team sold directly to agricultural cooperatives and logistics firms, bypassing intermediaries.
The outcome
A brand owner with its own product
The transition was risky and it worked. The new line earned a 35% margin against 3% on the old components. The company now owns a proprietary product line and no longer depends on volatile contract bids.
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Read the proprietary pivot caseConfidential · Senior-led · Fixed fee to start
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