However, whilst Brompton has its strengths, it also has its weaknesses. A standout weakness for me is that the companys headquarters are in London, UK. The cost for both the land and the production are extremely high and Brompton would benefit far greater if they were to have their production line based in another country, perhaps in Asia or Africa. Also, One of Brompton Bicycles main strengths is also one of its main weaknesses as with their almost single-minded approach to the biking industry they have risked being left behind by its competitors. They are now losing market share – some competitors are making upwards of 350,000 bikes each year.
Currently, Thorr is experiencing a decline in sales because of changes in its target market and competitor’s gain in market share. Thorr’s marketing management has options to maintain, enhance, or create a new marketing strategy. Management can use a different positioning strategy for Cruiser Thorr or launch a new product (University of Phoenix, 2008). Phase One: The Situation The first phase of the problem indicates that Thorr sales are decreasing, “The motorcycle industry is growing annually, but sales of Thorr Motorcycle’s existing product CruiserThorr (a 1500cc power cruiser priced at $25,800) are deceasing” (University of Phoenix, 2008). The marketing manager must ascertain present market position to create a new marketing plan that will reverse the current downward trend.
In 1973, the business was just about breaking even, but production was too labour intensive to allow the business to be profitable. Andrew had already then realised that his business lacked the capital to automate production, and in 1995, after raising enough money through profits, decided to invest £400,000 into automated, computer-controlled machinery. This is turn meant that the bikes had stronger bike frames and also made operations far more capital intensive. There are also many more benefits to switching to a more capital intensive system; there is a substantial reduction in human error, there is greater speed and uniformity in the production of bikes, meaning Andrew can produce a gargantuan amount of bikes, an extra ease of workforce
BACKGROUND: Harley-Davidson motor company was founded in 1903 by William Harley and Arthur Davidson. They have been successfully “taking the work out of bicycling” better than any other motorcycle manufacturing company. But due to strong competition and quality problems the company went to near bankruptcy in 1980s. After 1986 successful IPO, they again experienced great success recently with growing numbers in their percentage of motorcycles shipped, up 14 percent from 1997, and their target market size, up 13.8 percent from 1997. The problems that Harley Davison faced with are how to improve their existing purchasing process, how to integrate their existing procurement methods together, and how to develop longer term relationships with suppliers.
2010) is provided below. 1167872 4 Despite the leading position and the good business results, SWOT shows several sources of potential risks for UST. The company is losing market share against new price-value competitors because of slow innovation and late product introduction and extensions. Historically, UST relied on his leading market position boosting earnings with annual prices increases. But in the meanwhile smaller competitors started to quickly erode market share with prices cut.
Critical issues * A123 employs currently a small sales team of twenty members and four marketing sales individuals. Despite this team currently being sufficient and the company is expected to increase in the near future, it is important that this potential issue to be addressed as early as possible. * Gasoline price -this has been a critical issue to A123 Company for the last decade because, if the price of gasoline decreases, the demand for lithium-ion for hybrid electric cars will as well decrease. * Entry of potential and cheaper technologies that are better than lithium ion batteries are greatest threats to this business market system because, they will lure the public hence deviating demand for lithium ion batteries into their product supply. * Macroeconomic and potential climate of china - since this business system is based in china, any critical condition affecting china as a nation is directly proportional to adversely affecting the intent functioning of the A123 system.
TEXAS A&M UNIVERSITY CORPUS CHRISTI MARKETING 5320 CASE NO. 10 GOODYEAR TIRE AND RUBBER PRESENTED BY STUDENT CORPUS CHRISTI, TEXAS. Definition of the problem Goodyear the worldwide renowned brad for tires has been considering a new strategy or proposal to enhance profit margins and market share since the timeline between 1987 and 1991 represented a market share loss of 3.2 percent. Mainly as consequence of not being available on mass merchandisers like Sears losing approximately 2 million tires units sold in the replacement market, the strongest in the tire and rubber industry. Now, the main concern rests upon the decision of open this new market channel that actually was once active in 1920 but since then Goodyear has worked all the way independently.
Harley focused solely on sales, while competitors were continuously improving the quality of their motorcycles. This resulted in a downturn of the company with weak profits. In 1981, a new management team joins to buyout the company. Harley-Davidson Inc. acquired the Buell Motorcycle Company during 1993. This investment offers Harley-Davidson the possibility of gradual entry into the sport and performance motorcycles market.
BACKGROUND OF THE STUDY: In the summer of 1996 Frederico Minoli was appointed as the CEO of Ducati in order to lead the company into a new era of profitability and to establish Ducati as a brand to contend with in the sports motorcycle segment. In the years preceding the revolutionary turnaround, the company changed hands a number of time which resulted in a lack of overall strategic direction. Ducati’s turnaround focused on brand building which was supported by the reconfiguration of a number of activities ranging from increased efficiency in the production process to broadening its customer base. Having almost doubled its market share in 2001, Minoli wanted to find new sources of growth. Among others he considered the cruiser market, currently dominated by Harley Davidson.
* Two competitors planned to launch new tires with 80,000-mile warranties in 1992 backed by heavy advertising. * Should Goodyear expand its distribution channels? * This could boost sales * Selling tires in lower-service outlets could erode the value of the Goodyear brand * It could also cannibalize sales of existing outlets * It might cause independent dealers to take on additional lines of tires Background: The Tire Industry: The U.S. tire industry was dominated by five companies from early 1900 – 1970s: Goodyear, Firestone, Uniroyal, BF Goodrich, and General Tire All five companies were based in Akron, Ohio and were run by executives who socialized together at the same country club. The U.S. tire market saw consistent revenue growth and profit and a complete absence of foreign competition. In the 1970s and 1980s, the U.S. tire industry experienced three important changes: * Emergence of the radial tire to replace the older ‘bias’ and ‘bias-belted’ tire constructions.