Amatech/Polycel Inc.
SITUATIONAL ANALYSIS
Industry Overview: Plastic & Rubber Product Manufacturing
The US plastic and rubber products manufacturing industry includes about 10,000 companies with
combined annual revenue of about $190 billion. Major companies include Berry Plastics, Cooper Tire &
Rubber, Goodyear, Newell Rubbermaid, and Pactiv. There are over 2,400 companies that specifically
deal with packaging and related materials. Paper/Cardboard products are still widely utilized for their
low prices; however, reusable plastic has seen a growing presence within the last decade.
About Amatech/Polycel, Inc
Amatech/Polycel offers over two decades of experience in the design and fabrication of durable,
reusable, high-quality packaging to suit the needs of a wide range of industries. They have two state-ofthe-art manufacturing facilities that allow them to quickly and efficiently be able to handle projects from
anywhere in North America, from producing quotations and prototypes to on-time shipping of product
to meet the customer’s needs. Virtually every product the manufacture is a custom piece, therefore
they rely on their ability to communicate with clients to establish what they need, as well as their
expertise in design to meet and exceed their customers’ expectations. They offer a wide variety of
products, many of which are unique within the local packaging market. They have a large competitive
advantage in terms of the quality of the product, uniqueness of the product, variety of products that
they provide, their customer base, and reputation for customer service.
Locations
Original facility located in Erie, PA – features specialized equipment and engineers
Second facility located in Columbus, Oh – centrally located to diversified industries, specializes in
research, innovation, and on-time shipping
Customers & Industries Served
Amatech serves mainly businesses and corporations, and they place their focus on returning and longterm customers. Also, has a network of distributors that resell the returned packaging materials. Many
of their competitors also service small businesses and individual shipping needs, but do not have a
strong or loyal customer base. The main industries they serve are as follows:








Automotive
Appliance
Agricultural
Cabinetry
Electronics
Emergency/Disaster Relief
Gen. Industry/Material Handling
Government/Military


Medical/Pharmaceutical
Retail/Food Distribution
Products









Plastic Corrugated boxes, totes, cartons, dividers, pads, and sleeves.
Foam Packaging like rails, diecuts, pads in materials like XLPE, PE, and Urethane foams
Laminates for PP Corr like Spunbond, XLPE, Evolon, and Brush Nylon.
Accessories like printing, labels, handles, channels, curtains, and steel supports.
Steel Racks and Carts custom designed with or without dunnage or bags.
Bag and Pouch Packaging made from soft fabrics to fit totes, containers and steel racks.
Paper Corrugated products such as cartons and gaylords.
Export Wood Packaging for domestic and international shipping.
In-Stock Products like Bulk Containers, PP Corr Sheets, and Material Handling Shelves.
Competitors
CorruPak, Inc - Corrupak is located in Erie, PA. Corrupak prides itself in its ability to be operationally
versatile, making internal changes to accommodate customer needs. Their vendor managed inventory
program is just one example of how Corrupak reaches out to its customers to enhance their business
environment. CORRUPAK specializes in high performance plastic containers which are both returnable
and recyclable; helping manufacturers increase productivity while reducing waste and costs. They also
guarantee the delivery of orders within 24 hours. The products they offer include:
o
o
o
o
Corrugated & Packaging Materials
Warehousing & JIT Distribution
Contract Packaging
Subassembly
Paragon Packaging Products, Inc –manufacturer of corrugated boxes and packaging distributor located
near Erie, Pa. They claim to offer the best in customer service and experience. Throughout their plant
they collectively have a numerous amount of experience from the operators, drivers, designers, office
and sales staff, you will find people who know boxes. They also claim that their packaging will be safe,
economical, and shipped on time. They also are a packing distributor in that they sell the equipment
companies may need for taping and sealing product containers. They offer:
o
o
o
o
o
Corrugated cardboard
Chipboard
Angle pads
Packaging design service
Packaging equipment
AmeriPAC Industries - Distributor of packaging products, packaging machinery, and package design
services. The customers they serve range from fortune 500 companies to Ebay entrepreneurs. Their
product applications range from industrial packaging solutions to shipping room supplies. The products
they offer are very generic and are not very customizable. They also do not openly offer any specific
services aside from selling packaging products. They are a family owned and operated business located
in Erie, PA and has been in business for 28 years.

Sell the following materials:
o 3M Products
o Bin Boxes & Storage Containers,
Boxes & Corrugated
o Bubble, Foam & Cushioning,
Chipboard Cartons & Pads
o Corrugated Mailers &
Specialties
o Edge Protectors
o Foodservice
o Janitorial
o Labels, Mailing Bags &
Envelopes, Packing List
Envelopes
o
o
o
o
o
o
o
o
o
o
o
o
o
Paper & Wraps
Poly Bags and Films
Safety & Industrial Products
Shipping Room Supplies
Shrink Film, Skin Packaging
Staplers & Staples
Static & Moisture Control
Strapping
Stretch Film
Tags
Tape
Ties, Fasteners & Adhesives
Tubes
KIVA Plastics, Inc – Kiva services their clients as consultants, drawing from over 50 years of experience.
Their goal is to suggest alternatives to traditional methods to solve packaging and materials handling
problems. A Kiva representative will contact the client to analyze their current system and evaluate its
cost- effectiveness. After information is gathered, the Kiva team will suggest a packaging and materials
handling system with emphasis on recyclable or reusable packaging when appropriate. Service area
covers the entire nation with three locations across the East coast and two locations on the West coast.
They appear to suffer from the same problem as Amatech in terms of lack of advertising and brand
awareness; however, they do have a stronger presence across the nation and also have an impression
customer base. The products they offer include:
o
o
o
Custom Packaging and Containers
Point of purchase display and signage
Optimization of shipping methods
SWOT Analysis
Strengths
Weaknesses
•Varied business product
compared to local competitors
•Large and reputable customer
base
•Product line is vast and
customizable
•Accept returned containers
• Customer service from R&D
through maintenance
• Lack of advertising
• Not utilizing social media
• Lack of brand recognition
• Need a more consistent or
more defined positioning
(speed?)
Opportunities
Threats
•Warehouse Mgmt/ Packaging
Consulting
•Increase advertising to raise
awareness
•Larger service area-West Coast
•Green Movement: Focus on
recycle/reuse and sustainability
•If speed is an advantage,
highlight it
• Larger, more established
consulting based companies
taking over business i.e. KIVA
• Companies reducing costs
and not utilizing shipping
services
• Getting lost within the
industry--not standing out
Other potential niche markets to enter to gain new customers:









Pharmaceutical Companies
Hospitals
Retail Stores (Best Buy, Office Max, Verizon, Lowes, Home Depot)
Brewing Companies
Weaponry (Guns, hunting equipment)
Auto repair shops
Speedways (racecars)
Bikes (motorcycle, motocross)
Manufacturers (GE, Erie Forge and Steel, Snap-Tite, Pepsi, Hershey)
Perhaps a cost-analysis should be provided somehow showing the average cost of a standard cardboard
box and its life span versus that of a comparable reusable box. Customers will want to see concrete
evidence of what their money is getting them if they are to pay the extra expense. Also, you could
highlight the fact that by using these reusable products, not only are your products better protected, but
the containers also can be reused longer because they do not get as easily destroyed in transit
compared to that of a cardboard box.