1.0 INTRODUCTIONSealed Air Corporation is committed to becoming a market leader through technological innovation. Ten years ago, the company was the first to market with a successful air bubble coated packaging protection product, AirCap. However, market trends indicate a rapid replacement of coated bubbles with a technologically inferior but inexpensive uncoated product. The growing demand for uncoated bubbles poses a direct threat to the long-term viability of the technologically superior and premium-priced AirCap. So, Sealed Air is at a critical point. It can either continue to focus exclusively on manufacturing high-end coated bubbles with a focus on performance over price, or segment the market by introducing a lower quality, inexpensive uncoated bubble. To this end, this report will analyze the industry, competition and internal company environment to assess the viability of targeting this low-end market segment. A strategic marketing plan for the launch of an uncoated product will follow.2.0 SITUATION ANALYSIS2.1 Industry Analysis --- growing market status. The protective packaging industry can be segmented in three ways by usage: positioning, block and reinforcement; flexible envelopes; and filling the void. Coated (e.g. AirCap) and uncoated air bubble products are aimed at the flexible packaging and void fill markets (see glossary). The flexible packaging market, which dwarfs void fill as measured by annual sales, is Sealed Air's primary concern and will therefore be the focus of this report. Protective packaging is sold to organizational customers through selected distributor networks via personal selling. AirCap sales commissions are set at 2%. Often, manufacturers must have a regional presence to be successful...... middle of paper ...... at 4% net to reflect its lower retail price. This will provide equal commissions to AirCap. In particular, promotions should target consumers who use paper products and foams. Leveraging the company's highly trained sales staff, it is worth emphasizing the relative benefits and long-term savings afforded by a premium quality bubble product. Additional promotional efforts should include direct mailings to potential customers in the United States and Europe. It is important to note that all promotional efforts should target packaging engineers. 6.0 CONCLUSION Apparent market trends cannot be ignored. Sealed Air must enter the uncoated market to maintain its leadership position. By using a frontal attack, it can achieve its objective and minimize associated problems by differentiating its product, leveraging its international ties, lowering prices and improving its promotional efforts..