{"id":63597,"date":"2026-01-30T10:12:18","date_gmt":"2026-01-30T10:12:18","guid":{"rendered":"https:\/\/www.elixirr.com\/en-us\/?post_type=case_study&#038;p=63597"},"modified":"2026-01-30T10:12:20","modified_gmt":"2026-01-30T10:12:20","slug":"leading-global-power-components-manufacturer-driving-margin-growth","status":"publish","type":"case_study","link":"https:\/\/www.elixirr.com\/en-us\/case-studies\/leading-global-power-components-manufacturer-driving-margin-growth\/","title":{"rendered":"Leading global power components manufacturer: Driving margin growth"},"content":{"rendered":"<section\n    class=\"wp-block-text-block edwp-block layout--spacing-y bg--none\"\n    >\n    <div class=\"wp-block-text-block__container container fade-in\">\n        <div class=\"wp-block-text-block__content wysiwyg\">\n            <p>Our client, a leading global power components manufacturer, was facing significant annual margin erosion driven by price pressure from large cost-focused customers. We designed and implemented new pricing disciplines, tools and negotiation frameworks to reduce leakage and strengthen commercial control. As a result, the client shifted from $20M in annual concessions to a forecasted $25M+ price gain.<\/p>\n<ul>\n<li>Outcome 1: Reversed $20M in annual price concessions and achieved a projected $25M+ price gain in the following year<\/li>\n<li>Outcome 2: Identified and mitigated critical leakage across both standard and custom products, strengthening pricing discipline<\/li>\n<li>Outcome 3: Enabled commercial teams with new tools and processes, including a \u2018courage meter\u2019 negotiation framework still used across the business today<\/li>\n<\/ul>\n        <\/div>\n            <\/div>\n<\/section>\n\n\n<section\n    class=\"wp-block-banner edwp-block layout--spacing-y bg--secondary wp-block-banner--content-right\"\n    >\n    <div class=\"container wp-block-banner__container\">\n        <div class=\"edwp-component edwp-fade-in wp-block-banner__content\">\n            <h2 class=\"wp-component-heading wp-component-content__title text--h1\">\n    The challenge<\/h2>                <div class=\"wp-component-content__content wp-component-content__content--cols-1 wysiwyg\">\n                            <div class=\"wp-component-content__column\">\n                    <p>The power components industry was facing mounting volatility, with rising material costs, supply chain instability and aggressive pricing tactics from global competitors. Large tier 1 customers had gained leverage, using their scale to demand deeper annual price cuts, while smaller customers were increasingly shopping on cost alone. For manufacturers like our client, this created a dangerous cycle of recurring margin erosion. At the same time, operational complexity and inconsistent pricing behaviors internally made it difficult to defend value. With competitive pressure accelerating and profits at risk, our client needed stronger pricing discipline to regain control of their commercial position.<\/p>\n<p>&nbsp;<\/p>\n<p>Our client was experiencing significant year-on-year margin erosion, driven by mounting price pressure from their largest customers and inconsistent pricing decisions across both standard and custom products. Without clear pricing guardrails or a structured negotiation framework, sales teams were repeatedly conceding value to defend key relationships. Pricing leakage had become widespread and unpredictable, and the organization lacked the commercial discipline needed to protect margin. Our client needed a more rigorous and consistent pricing approach to regain control and stop the erosion.<\/p>\n                <\/div>\n                    <\/div>\n                    <\/div>            <\/div>\n<\/section>\n\n\n<section\n    class=\"wp-block-banner edwp-block layout--none bg--secondary wp-block-banner--content-right\"\n    >\n    <div class=\"container wp-block-banner__container\">\n        <div class=\"edwp-component edwp-fade-in wp-block-banner__content\">\n            <h2 class=\"wp-component-heading wp-component-content__title text--h1\">\n    The approach<\/h2>                <div class=\"wp-component-content__content wp-component-content__content--cols-1 wysiwyg\">\n                            <div class=\"wp-component-content__column\">\n                    <p>We initially conducted a deep diagnostic to identify root causes of price leakage across product categories. From there, we introduced disciplined pricing processes designed to reduce unwarranted price variation in standard products and embed guardrails for custom product negotiations. Central to the solution was the \u2018courage meter\u2019: a structured tool that categorized customers based on leverage, enabling sales teams to confidently defend price and apply differentiated tactics for tier 1, tier 2 and tier 3 accounts. We also developed a suite of repeatable tools and commercial processes to reinforce long-term pricing discipline across the organization.<\/p>\n                <\/div>\n                    <\/div>\n                    <\/div>            <\/div>\n<\/section>\n\n\n<section\n    class=\"wp-block-banner edwp-block layout--spacing-y bg--secondary wp-block-banner--content-right\"\n    >\n    <div class=\"container wp-block-banner__container\">\n        <div class=\"edwp-component edwp-fade-in wp-block-banner__content\">\n            <h2 class=\"wp-component-heading wp-component-content__title text--h1\">\n    The impact<\/h2>                <div class=\"wp-component-content__content wp-component-content__content--cols-1 wysiwyg\">\n                            <div class=\"wp-component-content__column\">\n                    <p>By embedding new pricing processes and equipping teams with practical negotiation tools, the client shifted from reactive price concessions to proactive margin defense. The transformation led to a forecasted $25M+ price gain, reversing a historical trend of $20M in annual concessions. Sales teams now make more consistent, data-backed pricing decisions and continue to use the \u2018courage meter\u2019 to navigate complex customer discussions. The company strengthened its position across both large strategic accounts and smaller customers through maximizing margin, stabilizing revenue and building greater internal confidence in pricing strategy.<\/p>\n                <\/div>\n                    <\/div>\n                    <\/div>            <\/div>\n<\/section>\n\n\n    <section\n        class=\"wp-block-cards edwp-block layout--spacing-y bg--none wp-block-cards--columns-3  wp-block-cards--resources wp-block-cards--case_study\"\n        >\n        <div class=\"container wp-block-cards__container\">\n            <div class=\"edwp-component edwp-fade-in wp-block-cards__content\">\n            <h2 class=\"wp-component-heading wp-component-content__title text--h1\">\n    You may also like<\/h2>                        <\/div>                                        <div class=\"wp-block-cards__cards edwp-row-load\">\n                    <article class=\"wp-component-card edwp-component wp-component-card--content wp-component-card--case_study wp-block-cards__card            wp-component-card--link js-card-link\n        edwp-fade-in\">\n            <figure class=\"wp-component-card__image-wrapper\">\n                            <img decoding=\"async\" width=\"820\" height=\"461\" data-src=\"https:\/\/www.elixirr.com\/en-us\/wp-content\/uploads\/sites\/2\/2026\/01\/Unlocking-20M-in-OPEX-savings-819.52x460.98.jpg\" class=\"wp-component-card__image lazyload\" alt=\"\" data-srcset=\"https:\/\/www.elixirr.com\/en-us\/wp-content\/uploads\/sites\/2\/2026\/01\/Unlocking-20M-in-OPEX-savings-819.52x460.98.jpg 820w, https:\/\/www.elixirr.com\/en-us\/wp-content\/smush-webp\/sites\/2\/2026\/01\/Unlocking-20M-in-OPEX-savings-819.52x460.98-300x169.jpg.webp 300w, https:\/\/www.elixirr.com\/en-us\/wp-content\/smush-webp\/sites\/2\/2026\/01\/Unlocking-20M-in-OPEX-savings-819.52x460.98-768x432.jpg.webp 768w, https:\/\/www.elixirr.com\/en-us\/wp-content\/smush-webp\/sites\/2\/2026\/01\/Unlocking-20M-in-OPEX-savings-819.52x460.98-92x52.jpg.webp 92w, https:\/\/www.elixirr.com\/en-us\/wp-content\/smush-webp\/sites\/2\/2026\/01\/Unlocking-20M-in-OPEX-savings-819.52x460.98-319x179.jpg.webp 319w, https:\/\/www.elixirr.com\/en-us\/wp-content\/smush-webp\/sites\/2\/2026\/01\/Unlocking-20M-in-OPEX-savings-819.52x460.98-479x269.jpg.webp 479w, https:\/\/www.elixirr.com\/en-us\/wp-content\/smush-webp\/sites\/2\/2026\/01\/Unlocking-20M-in-OPEX-savings-819.52x460.98-567x319.jpg.webp 567w, https:\/\/www.elixirr.com\/en-us\/wp-content\/smush-webp\/sites\/2\/2026\/01\/Unlocking-20M-in-OPEX-savings-819.52x460.98-767x431.jpg.webp 767w\" data-sizes=\"auto\" src=\"data:image\/svg+xml;base64,PHN2ZyB3aWR0aD0iMSIgaGVpZ2h0PSIxIiB4bWxucz0iaHR0cDovL3d3dy53My5vcmcvMjAwMC9zdmciPjwvc3ZnPg==\" style=\"--smush-placeholder-width: 820px; 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Operating Models            <\/p>\n                <a href='https:\/\/www.elixirr.com\/en-us\/case-studies\/global-industrial-packaging-manufacturer-building-a-data-driven-growth-strategy\/' class='wp-component-card__title'>\n            <h2>\n                Global industrial packaging manufacturer: Building a data-driven growth strategy\n            <\/h2>\n        <\/a>                                                            <div class=\"wp-component-card__meta\">\n                                                                <div class=\"wp-component-card__terms\">\n                                                                                                                                                                                                                <div class=\"wp-component-tags edwp-component\">\n                        <div class=\"wp-component-tags__tag\">\n                Manufacturing            <\/div>\n                                <div class=\"wp-component-tags__tag\">\n                Business &amp; Operating Models            <\/div>\n                <\/div>\n                        <\/div>\n                                    <\/div>\n                                                    <div class=\"wp-component-card__button-wrapper\">\n                    <button class=\"btn btn--link arrow wp-component-card__button\">\n                                                                            Read more                                                                            <span class='edwp-svg '><svg width=\"20\" height=\"20\" viewBox=\"0 0 20 20\" fill=\"none\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\">\n<g id=\"Lg\">\n<path id=\"Vector\" d=\"M1.12509 9.50162H15.8648L9.43259 3.06941C9.374 3.0113 9.3275 2.94216 9.29576 2.86599C9.26403 2.78981 9.24769 2.70811 9.24769 2.62559C9.24769 2.54307 9.26403 2.46137 9.29576 2.38519C9.3275 2.30902 9.374 2.23988 9.43259 2.18177C9.54971 2.06535 9.70814 2 9.87328 2C10.0384 2 10.1969 2.06535 10.314 2.18177L17.8151 9.6829C17.8737 9.74101 17.9202 9.81014 17.9519 9.88632C17.9837 9.96249 18 10.0442 18 10.1267C18 10.2092 17.9837 10.2909 17.9519 10.3671C17.9202 10.4433 17.8737 10.5124 17.8151 10.5705L10.314 18.0717C10.1975 18.1871 10.0404 18.2522 9.87641 18.2529C9.79414 18.2534 9.71259 18.2376 9.63643 18.2065C9.56027 18.1754 9.491 18.1296 9.43259 18.0717C9.374 18.0135 9.3275 17.9444 9.29576 17.8682C9.26403 17.7921 9.24769 17.7104 9.24769 17.6278C9.24769 17.5453 9.26403 17.4636 9.29576 17.3874C9.3275 17.3113 9.374 17.2421 9.43259 17.184L15.8711 10.7518H1.12509C0.959309 10.7518 0.800312 10.686 0.683084 10.5687C0.565857 10.4515 0.5 10.2925 0.5 10.1267C0.5 9.96093 0.565857 9.80193 0.683084 9.68471C0.800312 9.56748 0.959309 9.50162 1.12509 9.50162Z\" fill=\"#1D0F25\"\/>\n<\/g>\n<\/svg>\n<\/span>                                            <\/button>\n                <\/div>\n                                            <\/div>\n<\/article>\n<article class=\"wp-component-card edwp-component wp-component-card--content wp-component-card--case_study wp-block-cards__card            wp-component-card--link js-card-link\n        edwp-fade-in\">\n            <figure class=\"wp-component-card__image-wrapper\">\n                            <img decoding=\"async\" width=\"820\" height=\"461\" data-src=\"https:\/\/www.elixirr.com\/en-us\/wp-content\/uploads\/sites\/2\/2026\/01\/Driving-margin-growth-819.52x460.98.jpg\" class=\"wp-component-card__image lazyload\" alt=\"\" data-srcset=\"https:\/\/www.elixirr.com\/en-us\/wp-content\/uploads\/sites\/2\/2026\/01\/Driving-margin-growth-819.52x460.98.jpg 820w, https:\/\/www.elixirr.com\/en-us\/wp-content\/smush-webp\/sites\/2\/2026\/01\/Driving-margin-growth-819.52x460.98-300x169.jpg.webp 300w, https:\/\/www.elixirr.com\/en-us\/wp-content\/smush-webp\/sites\/2\/2026\/01\/Driving-margin-growth-819.52x460.98-768x432.jpg.webp 768w, https:\/\/www.elixirr.com\/en-us\/wp-content\/smush-webp\/sites\/2\/2026\/01\/Driving-margin-growth-819.52x460.98-92x52.jpg.webp 92w, https:\/\/www.elixirr.com\/en-us\/wp-content\/smush-webp\/sites\/2\/2026\/01\/Driving-margin-growth-819.52x460.98-319x179.jpg.webp 319w, https:\/\/www.elixirr.com\/en-us\/wp-content\/smush-webp\/sites\/2\/2026\/01\/Driving-margin-growth-819.52x460.98-479x269.jpg.webp 479w, https:\/\/www.elixirr.com\/en-us\/wp-content\/smush-webp\/sites\/2\/2026\/01\/Driving-margin-growth-819.52x460.98-567x319.jpg.webp 567w, https:\/\/www.elixirr.com\/en-us\/wp-content\/smush-webp\/sites\/2\/2026\/01\/Driving-margin-growth-819.52x460.98-767x431.jpg.webp 767w\" data-sizes=\"auto\" src=\"data:image\/svg+xml;base64,PHN2ZyB3aWR0aD0iMSIgaGVpZ2h0PSIxIiB4bWxucz0iaHR0cDovL3d3dy53My5vcmcvMjAwMC9zdmciPjwvc3ZnPg==\" style=\"--smush-placeholder-width: 820px; --smush-placeholder-aspect-ratio: 820\/461;\" data-original-sizes=\"(max-width: 820px) 100vw, 820px\" \/>            <div class=\"wp-component-card__preview-icon\">\n                <span class='edwp-svg '><svg width=\"47\" height=\"47\" viewBox=\"0 0 47 47\" fill=\"none\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\">\n<g>\n<path d=\"M23.4141 0.539062C36.1232 0.539183 46.4258 10.8416 46.4258 23.5508C46.4257 36.2599 36.1231 46.5624 23.4141 46.5625C10.7049 46.5625 0.402465 36.2599 0.402344 23.5508C0.402344 10.8415 10.7048 0.539062 23.4141 0.539062ZM23.4141 1.68945C11.3606 1.68945 1.55273 11.4974 1.55273 23.5508C1.55286 35.6041 11.3607 45.4111 23.4141 45.4111C35.4673 45.411 45.2743 35.604 45.2744 23.5508C45.2744 11.4974 35.4674 1.68957 23.4141 1.68945Z\" fill=\"currentColor\"\/>\n<path d=\"M19.2841 33.6992C18.9579 33.6986 18.6374 33.6111 18.3543 33.4454C17.7167 33.0759 17.3203 32.3585 17.3203 31.5797V15.8189C17.3203 15.0379 17.7167 14.3227 18.3543 13.9531C18.6442 13.7827 18.9735 13.6951 19.3078 13.6994C19.6421 13.7037 19.9692 13.7998 20.2548 13.9776L33.4237 22.0406C33.6981 22.2166 33.9244 22.461 34.0812 22.751C34.238 23.0409 34.3203 23.3668 34.3203 23.6982C34.3203 24.0295 34.238 24.3555 34.0812 24.6454C33.9244 24.9353 33.6981 25.1798 33.4237 25.3558L20.2527 33.421C19.9604 33.6017 19.6256 33.6979 19.2841 33.6992Z\" fill=\"currentColor\"\/>\n<\/g>\n<\/svg>\n<\/span>            <\/div>\n                        <\/figure>\n        <div class=\"wp-component-card__content edwp-row-load\">\n                                    <p class=\"wp-component-card__eyebrow\">\n                Sourcing &amp; Commercial Office            <\/p>\n                <a href='https:\/\/www.elixirr.com\/en-us\/case-studies\/leading-global-power-components-manufacturer-driving-margin-growth\/' class='wp-component-card__title'>\n            <h2>\n                Leading global power components manufacturer: Driving margin growth\n            <\/h2>\n        <\/a>                                                            <div class=\"wp-component-card__meta\">\n                                                                <div class=\"wp-component-card__terms\">\n                                                                                                                                                                                                                <div class=\"wp-component-tags edwp-component\">\n                        <div class=\"wp-component-tags__tag\">\n                Manufacturing            <\/div>\n                                <div class=\"wp-component-tags__tag\">\n                Sourcing &amp; Commercial Office            <\/div>\n                <\/div>\n                        <\/div>\n                                    <\/div>\n                                                    <div class=\"wp-component-card__button-wrapper\">\n                    <button class=\"btn btn--link arrow wp-component-card__button\">\n                                                                            Read more                                                                            <span class='edwp-svg '><svg width=\"20\" height=\"20\" viewBox=\"0 0 20 20\" fill=\"none\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\">\n<g id=\"Lg\">\n<path id=\"Vector\" d=\"M1.12509 9.50162H15.8648L9.43259 3.06941C9.374 3.0113 9.3275 2.94216 9.29576 2.86599C9.26403 2.78981 9.24769 2.70811 9.24769 2.62559C9.24769 2.54307 9.26403 2.46137 9.29576 2.38519C9.3275 2.30902 9.374 2.23988 9.43259 2.18177C9.54971 2.06535 9.70814 2 9.87328 2C10.0384 2 10.1969 2.06535 10.314 2.18177L17.8151 9.6829C17.8737 9.74101 17.9202 9.81014 17.9519 9.88632C17.9837 9.96249 18 10.0442 18 10.1267C18 10.2092 17.9837 10.2909 17.9519 10.3671C17.9202 10.4433 17.8737 10.5124 17.8151 10.5705L10.314 18.0717C10.1975 18.1871 10.0404 18.2522 9.87641 18.2529C9.79414 18.2534 9.71259 18.2376 9.63643 18.2065C9.56027 18.1754 9.491 18.1296 9.43259 18.0717C9.374 18.0135 9.3275 17.9444 9.29576 17.8682C9.26403 17.7921 9.24769 17.7104 9.24769 17.6278C9.24769 17.5453 9.26403 17.4636 9.29576 17.3874C9.3275 17.3113 9.374 17.2421 9.43259 17.184L15.8711 10.7518H1.12509C0.959309 10.7518 0.800312 10.686 0.683084 10.5687C0.565857 10.4515 0.5 10.2925 0.5 10.1267C0.5 9.96093 0.565857 9.80193 0.683084 9.68471C0.800312 9.56748 0.959309 9.50162 1.12509 9.50162Z\" fill=\"#1D0F25\"\/>\n<\/g>\n<\/svg>\n<\/span>                                            <\/button>\n                <\/div>\n                                            <\/div>\n<\/article>\n                <\/div>\n                                            <\/div>\n    <\/section>\n\n\n<section\n    class=\"wp-block-form-block edwp-block layout--spacing-y bg--none wp-block-form-block--content\"\n    >\n    <div class=\"wp-block-form-block__container container\">\n        <div class=\"wp-block-form-block__content wp-block-form-block__content--content\">\n                            <div class=\"wp-block-form-block__content-text\">\n                    <div class=\"edwp-component edwp-fade-in\">\n            <h2 class=\"wp-component-heading wp-component-content__title text--h1\">\n    Get in touch<\/h2>    <h2 class=\"wp-component-heading wp-component-content__subtitle text--h2\">\n    Not sure where to start?<\/h2>            <div class=\"wp-component-content__content wp-component-content__content--cols-1 wysiwyg\">\n                            <div class=\"wp-component-content__column\">\n                    <p>Do you want to be the leader of your market? 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srcset=\"https:\/\/www.elixirr.com\/en-us\/wp-content\/uploads\/sites\/2\/2026\/01\/Driving-margin-growth-819.52x460.98.jpg 820w, https:\/\/www.elixirr.com\/en-us\/wp-content\/uploads\/sites\/2\/2026\/01\/Driving-margin-growth-819.52x460.98-300x169.jpg 300w, https:\/\/www.elixirr.com\/en-us\/wp-content\/uploads\/sites\/2\/2026\/01\/Driving-margin-growth-819.52x460.98-768x432.jpg 768w, https:\/\/www.elixirr.com\/en-us\/wp-content\/uploads\/sites\/2\/2026\/01\/Driving-margin-growth-819.52x460.98-92x52.jpg 92w, https:\/\/www.elixirr.com\/en-us\/wp-content\/uploads\/sites\/2\/2026\/01\/Driving-margin-growth-819.52x460.98-319x179.jpg 319w, https:\/\/www.elixirr.com\/en-us\/wp-content\/uploads\/sites\/2\/2026\/01\/Driving-margin-growth-819.52x460.98-479x269.jpg 479w, https:\/\/www.elixirr.com\/en-us\/wp-content\/uploads\/sites\/2\/2026\/01\/Driving-margin-growth-819.52x460.98-567x319.jpg 567w, https:\/\/www.elixirr.com\/en-us\/wp-content\/uploads\/sites\/2\/2026\/01\/Driving-margin-growth-819.52x460.98-767x431.jpg 767w\" sizes=\"(max-width: 820px) 100vw, 820px\" \/>            <div class=\"wp-component-card__preview-icon\">\n                <span class='edwp-svg '><svg width=\"47\" height=\"47\" viewBox=\"0 0 47 47\" fill=\"none\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\">\n<g>\n<path d=\"M23.4141 0.539062C36.1232 0.539183 46.4258 10.8416 46.4258 23.5508C46.4257 36.2599 36.1231 46.5624 23.4141 46.5625C10.7049 46.5625 0.402465 36.2599 0.402344 23.5508C0.402344 10.8415 10.7048 0.539062 23.4141 0.539062ZM23.4141 1.68945C11.3606 1.68945 1.55273 11.4974 1.55273 23.5508C1.55286 35.6041 11.3607 45.4111 23.4141 45.4111C35.4673 45.411 45.2743 35.604 45.2744 23.5508C45.2744 11.4974 35.4674 1.68957 23.4141 1.68945Z\" fill=\"currentColor\"\/>\n<path d=\"M19.2841 33.6992C18.9579 33.6986 18.6374 33.6111 18.3543 33.4454C17.7167 33.0759 17.3203 32.3585 17.3203 31.5797V15.8189C17.3203 15.0379 17.7167 14.3227 18.3543 13.9531C18.6442 13.7827 18.9735 13.6951 19.3078 13.6994C19.6421 13.7037 19.9692 13.7998 20.2548 13.9776L33.4237 22.0406C33.6981 22.2166 33.9244 22.461 34.0812 22.751C34.238 23.0409 34.3203 23.3668 34.3203 23.6982C34.3203 24.0295 34.238 24.3555 34.0812 24.6454C33.9244 24.9353 33.6981 25.1798 33.4237 25.3558L20.2527 33.421C19.9604 33.6017 19.6256 33.6979 19.2841 33.6992Z\" fill=\"currentColor\"\/>\n<\/g>\n<\/svg>\n<\/span>            <\/div>\n                        <\/figure>\n        <div class=\"wp-component-card__content edwp-row-load\">\n                                    <p class=\"wp-component-card__eyebrow\">\n                Sourcing &amp; Commercial Office            <\/p>\n                <a href='https:\/\/www.elixirr.com\/en-us\/case-studies\/leading-global-power-components-manufacturer-driving-margin-growth\/' class='wp-component-card__title'>\n            <h2>\n                Leading global power components manufacturer: Driving margin growth\n            <\/h2>\n        <\/a>                                                            <div class=\"wp-component-card__meta\">\n                                            <p class=\"wp-component-card__date\">\n                            30 January 2026                        <\/p>\n                                                                <div class=\"wp-component-card__terms\">\n                                                                                                                                                                                                                <div class=\"wp-component-tags edwp-component\">\n                        <div class=\"wp-component-tags__tag\">\n                Manufacturing            <\/div>\n                                <div class=\"wp-component-tags__tag\">\n                Sourcing &amp; Commercial Office            <\/div>\n                <\/div>\n                        <\/div>\n                                    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