The target of OfficeMax’s products and services are the firms and individuals who need office supplies and equipment in the working corporate offices, situated in the Spanish urban centers. This working population in Spain is deemed huge compared to other European countries; its purchasing power is growing with the strengthening of the Euro against the dollar. Furthermore, the GDP has grown into a high $1. 4 trillion economy while keeping inflation at 2. 4% of consumer price.
Consumerism is expected to grow with a sound financial sector, which translates to more loans available for investments capital, more firms established, all needing new office equipment and supplies each year. With these indicators, the office procurement sector will increase in size, providing OfficeMax with excellent opportunities to serve the large Spanish Market. Despite the tax structure, the government encourages investment by offering economic incentives to foreign investors (http://www.officemax. com). The targeted market for OfficeMax in Spain is organizations both private and public who runs departmental offices and those that operate as single apartment offices. Thus, both large and small scale offices in the public or private sector, residing in urban centers in Spain will constitute the market for which OfficeMax stores would target. However, supplies would be made to offices residing in the countryside or rural areas when demands are made. Action Plan
With these conditions, OfficeMax will directly engage the growing market by establishing contacts with government procurement agencies in the public sector, and procurement clearinghouses in the private sector. The OfficeMax Company will package itself as the main procurement hub in every geographic business district in each Spanish City, thus effectively targeting the urban office sprawls. A geographically-structured strategy of market penetration enables OfficeMax to ensure that no urban office is left out in its offer of the widest range of office supplies and equipment.