Friday, February 21, 2020

Case Study Example | Topics and Well Written Essays - 500 words - 11

Case Study Example Since India’s GDP was low, the vast majority of the population could only afford two wheeler vehicles. The strategies employed in ensuring that the Nano met all demands by the non-four-wheeler customers included ensuring that it was affordable for this portion of the population. It was priced at only 1 Lakh making it the cheapest car. In addition, it met high fuel efficiency standards and met all safety standards that the two wheelers could not meet. For these reasons, people placed orders before they had even seen the car. There were several hurdles that the Nano had to address in the market. First, the Nano had to ensure that it offered better services than the two-wheeler by becoming a safe, all-weather vehicle. In addition, it had to be affordable. Second, the car had to be designed in a way that it promised an upward social mobility. Third, the designers could not compromise the buyers so as to ensure low cost car. For instance, they could not design it being a two door vehicle since this would reduce accessibility to rear seats. In spite of the huge initial orders, there were obstacles which resulted in poor sales. First, Tata did not have its own distribution channels; therefore, it resorted to using the traditional dealerships, which had limited space. Although this was a main issue Tata resulted to using other outlets so as to make the showrooms available in many cities in India. For instance, the company tied up with Big Bazaar to display the vehicles in smaller cities. Additionally, two wheeler customers who were the main target were turned off by the perception of the Nano being the cheapest car as people wanted to upgrade their social status. Second, Tata also had a production problem since the interim facilities’ production was low. Third, the company had issues with local communities who protested the use of arable land for industrial uses. This is one of the main obstacles that affected the progress of the Nano

Wednesday, February 5, 2020

Amazons Company Strategies and Customer Acquisition Research Paper - 1

Amazons Company Strategies and Customer Acquisition - Research Paper Example The present paper has identified that despite Jeffrey Preston Bezos having a degree in computer science, he had a vision to build a network for international trade. In lights of this, Preston founded Amazon.com in 1994 as a website for international trading. Online Retailers and wholesalers as well as buyers and sellers met online globally. Amazon founders had a vision to become one of the world’s leading companies dealing with online trading. The management in Amazon.com sought to reduce negative environmental impacts as there was no physical contact between the traders. Amazon has operating earnings close to $52 million yearly. Amazon Company normally projects to make approximately $22 million to $2.2 billion within five years. Examining the business model they use, Amazon primarily switched to Linux as primary architecture. In addition, Amazon has lowered technology expenses by about 20%. However, the decision to lower technology expenses has not profited Amazon as projecte d. Considering the pricing, the strategies have changed over time. Amazon has regulated the prices through several policies, for example, an introduction of frustration-free packaging. This policy is an initiative that is designed to simply motivate the customers who purchase goods online at different times of the year. The customers feel motivated when they buy two products for the price of one. Another policy is the free packaging certification initiative for manufactures. Their products undergo free laboratory testing to acquire certification. As a result, the certifications on their products increase the value and enable sales at high prices. However, the pricing of products sold at Amazon.com tend to be high hence attracts the upper class society and several middle class persons.