MVN Methven

[winner69]

Admired MVN for quite a while now for recognising a few years ago that just making ordinary old taps and things wasn't a sustainable model ..... so they started designing and making some decent stuff .... a bit of style and some eco stuff ...... put a nice story around it ..... good innovation


But like many similar companies are finding out today that is not enough to survive .... esp if you design and make stuff but rely upon others to sell them for you. MVN, like others, need distribution (others shops etc) and architects and the like to specify their stuff for building projects ..... and that is not always a good place to be in ..... and they have to compete with all the other suppliers .... and at the end of the day no matter how good the stuff is price is a key driver

Does MVN have anything special ..... one that competitors don't have .... answer is NO. I don't see them offering anything that gives consumers real added value, something that players in mature markets need to do if they want to create for themselves a new market segment .... just for themselves to play in.

If I was to invest in MVN for the long term I would be looking for them to create one's own competitor-free market as blue ocean strategists say ..... otherwise the question is will they survive in the blood-streaked oceans of competitive markets (another blue ocean strategy phrase)

No doubt they will survive and still be making taps and showerheads and other stuff in 50 years time .... and no doubt make a few bob .... and no doubt give most of that back in divies .... and no doubt want to buy something but will need to go to shareholders to do that .... so in summary at best a solid little company at the mercy of the ups and downs of the building cycle. If thats what you want to invest in wait until the shareprice offers a bit more value ... buy heaps .... and get you divies every years .... and if lucky enough might get a bit of capital gain

The plumber took the wife down to Plumbing World the other day to pick out some new taps and shower heads for the bathroom ..... she said she got some Italian ones (cheaper than Methven she said) .... plumber said they are Ok ..... just have to wait for him to come back and install the buggers now .... but gee whizz taps and things are not cheap are they