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Services Corporation International Free Essay, Term Paper and Book Report

Revenue generating Strategy Service Corporation International provides funeral services for the dead, namely, burial, embalming and cremation. SCI's main strategy of business in the death care industry was through Acquisitions, both domestic i.e. within the USA and internationally i.e. United Kingdom, Australia, France etc. Though the death care was a low-growth industry, SCI remained a high growth company owing to its meticulously planned acquisition strategy. The "cluster strategy" has been the most important reason for its success. SCI generated revenues by consolidating the fragmented death care industry. The basis of this methodology is to reduce the high fixed costs that single-location funeral homes had to incur. This strategy involved the sharing the costs of cremation, transportation, personnel and inventory as well the resources such as caskets and hearses through buying power. This way the fixed costs as well as variable costs were reduced to a great extent, at the same time increasing the revenues. The fixed costs reduced from 65% to 54% and the variable costs reduc......

Word Count: 1768
Page Count: 7  (250 words a page / double spaced)


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