Industry Talks
- Pretium Packaging announces completion of its Merger with Novapak Corporation
- Celanese Announces Emulsions Price Increases in North America
- Corr Plastik doubles production capacity
- AEP Industries Inc. Reports Fiscal 2010 First Quarter Results
- Lyondell Chemical announces private placement
- Farm plastic is now given second life through street furniture
| As Large Plastic Injection Molding Machine Company Fails, Smaller Companies Prevail |
| Monday, 08 February 2010 11:07 | |
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When HPM America LLC Shuttered its 400,000 square foot facility in Mount Gilead, OH this week, plastics industry experts characterized the company’s closure as more than another casualty of a still-faltering US Economy. The closure also symbolized what many regard as a trend in plastic injection molding and other US larger companies with large overhead are more likely to fail during economic times than their smaller competitors.February 7th, 2010, Carson City, NV – When HPM, a 130 year old company, went out of business this week, it became the latest plastic injection molding machine company to close its doors. Van Dorn and Reed Prentise, had previously failed, while another large manufacturer, Cincinnati Milacron, is just emerging from bankruptcy. “The mind set of our customers has changed along with the economy,” said Bill Boyer, CEO of Vistar Machinery International, a supplier of plastic injection molding machines based in Carson City, NV. “20 years ago, companies interested in injection molding machines told us we were too small to be their supplier so they went with larger companies, in part, because of the prestige. But we’re still in business and many of the larger companies are gone.” Boyer’s opinion is shared with the owners of other, smaller industrial companies who have lost bids to larger companies because customers made their decision on an emotional basis and not on a direct comparison of machines, service and price. Companies often bought the brand, regardless of the better deal they may have been offered by smaller companies competing for their business. They now realize that the money they can save on their investment drops straight to their button line. “What plastic molding business that has not gone to China, has been replaced in the US by companies looking for value. That’s why lean, nimble companies that provide that value at a great price are surviving,” Said Boyer. “We like to think that we are one of these suppliers of value and are still in business because of it.” It’s the value and lower overhead that keep companies like Vistar Machinery competitive while larger companies with larger overhead are going out of business. About us: Vistar Machinery International offers a full line of plastic injection molding equipment , as well as extruders for plastic pipes, profiles, and compounding. The company also sell a complete line of all auxiliaries that support the machines. Vistar's team has over 35 years of experience in the field, and a reliable, solid reputation you can trust.To learn more about Vistar Machinery.
Source : http://www.pressreleasepoint.com/large-plastic-injection-molding-machine-company-fails-smaller-companies-prevail |
