Mini Case Study: Vunding The company VUNDING is competing in the business of commercializing Vending machines (offering coffee and tea) to SMEs (Small and Medium-sized Enterprises). VUNDING is using a direct channel deploying its own salesforce. The company currently offers one single subscription plan providing the machines and supply for a contract to be renewed each year at the beginning of the year; the customers have to pay a monthly fee, which includes the vending machine(s) and an unlimited consumption. The client of VUNDING, the specific SME, can charge its employees or customers. Then again, it's a choice of the client of VUNDING and VUNDING does not exercise any influence on this decision. The SMEs customers usually buy from this company or a competitor with the same or a different offering. The VUNDING company targets the medium-sized companies with at least 250 employees. A VUNDING customer has to pay E2.200/month. VUNDING offers this single pricing plan. Other companies offer different plans with different price points. The quality of the product varies greatly across the different competitors of VUNDING. The claim of VUNDING is that it offers a high quality product. Currently in geographic context of the reference market, there are 20% of SMEs willing to pay E2.200/month and more; on average, they pay E2.400/month. There are 30% of companies willing to pay between E500/month and E2.200/month; on average, they pay $1.000/month. Finally, there are 50% of SMEs willing to pay less than E500/month; they pay on average E200. The growth rate in Year 1 and in Year 2 will be the same for all three categories. In the geographic context of reference market, there are currently 5.000 SMEs at the beginning of Year 1; the number of SMEs is set to be 5% higher at the end of Year 1 and an additional 10% higher by the end of Year 2. The company has currently a 10% of the value market share of the total market. It aims to increase the value market share to 12% by the end of Year 1 and to 20% by the end of Year 2. Essay question Given its current offering, will the VUNDING company be able to increase its value market share by increasing penetration or by increasing coverage or by increasing both? Essay question Will the competitors be able to increase their value market share by increasing penetration or by increasing coverage or by increasing both