個案資料

In January 2019, the sole proprietor and the general manager of Farm Electronics met to discuss critical options for the possible growth path of their company. Farm Electronics was a 42-year-old, small-scale electrical and electronic industrial equipment manufacturer based in Indore, India. The company’s product portfolio consisted of various transformers, relay coils, power supplies, and direct-current motors, which were designed according to its customers’ specifications. Farm Electronics’ customers consisted of small-, medium-, and large-scale businesses from both the organized and unorganized sectors. Significant aspects of the company’s value proposition included quality, timely delivery, and after-sales service. However, most of Farm Electronics’ revenue came from only a few big accounts. The proprietor and the general manager wanted to expand their company’s reach and were thus contemplating targeting a new set of customers.

This case is suitable for graduate- and postgraduate-level marketing courses on business-to-business buying, segmentation, and targeting at graduate and executive levels. The case presents the challenges faced by the manager of a small-scale enterprise in a business-to-business context. It develops an understanding of business markets and the organizational buying process. It also deals with segmentation and targeting issues in the business-to business sector.<br><br>After working through the case and assignment questions, students will be able to<ul><li>understand the challenges of designing value propositions in a small-scale industry;</li><li>evaluate the business-to business buying process and the role of a decision-making unit;</li><li>assess the procurement processes adopted by different types of industrial customers;</li><li>compare different organizational buying situations;</li><li>assess the segmentation variables used to identify segments in business-to-business markets;</li><li>understand how the customer lifetime value calculation can be used to assess the value of potential target customer groups, as well as an existing customer base; and</li><li>learn about the issues faced by firms in dealing with public sector businesses.</li></ul>

• B2B, Buying Center, Segmentation, CLV