The marketing director of a new minor-league baseball team must design, conduct, and then interpret survey research to determine optimal ticket pricing that will yield large attendance figures and contribute to the owner's goal of breaking even in the first year of play. The pricing assignment becomes more challenging when other variables like concessions revenue are considered. Students are asked to complete a quantitative assignment as part of case analysis, but they must grapple with less quantifiable factors as well.
Describes key events in the start-up of Federal Express. Outlines the company's value proposition and provides an overview of key competitors in the air freight industry. This case is used with Teledesic (Abridged), HBS No. 9-804-096, which describes a failed project with a value proposition similar to Federal Express'. A revised version of an earlier case.
The leading company in express airfreight shipments is seeking to maintain its superiority in an increasingly competitive global market place. The case describes how FedEx has used information technology to enhance the reliability of its service and add extra features for customers. It also describes the company's efforts to improve service quality in the U.S.A., including new measurement techniques, training, and "internal marketing". With the company facing a profit crunch following its merger with Flying Tigers, the senior vice president customer service seeks to maintain investment in the ongoing quality improvement program.
First Direct has become the model of tele-banking worldwide, despite similar initiatives undertaken by large international banks. The case describes the history of First Direct and the various components of its operations, especially around the central issue of relationship marketing at a distance.
Provides a framework for developing global strategies for service businesses. Integrates existing, separate frameworks on globilization and on service businesses, analyzes how the distinctive characteristics of service businesses affect globalization and the use of global strategy, and diagnoses which aspects favor globalization and which do not. Applies the new framework to numerous industry and company examples, with particular emphasis on the role of information technology.
A state college seeks to boost enrollment in its extension courses and continuing education programs. Competition from other educational institutions is strong. Satellite campuses, developed to offer students greater convenience, have not proved popular. The college president has authorized an enlarged communication budget for the coming year in a last attempt to improve the situation. The dean of extension studies must develop a plan for 1983-87. Exhibits (nine pages) include market research data, a competitive profile, a regional map, and costs and availability of different advertising media. An updated version of an earlier case.
In response to being challenged in its home market by a smaller rival, Kirin Brewery, Japan's leading brewer, rejuvenated its lager beer and launched three new products, including a dry beer to compete with Asahi Breweries' enormously successful Super Dry. Shortly after launch of Kirin Dry, two other major Japanese brewers also introduced dry beers. Kirin executives must now develop a strategy for the 1989 beer season.
Describes the marketing planning process adopted by the corporate headquarters of a chain of 22 diverse hotels. Raises the question of whether it is possible to standardize the planning process so that individually tailored marketing strategies are developed for each hotel unit. This company's approach contrasts with the standardized product/market strategy found in some other hotel chains.
Management of a resort hotel near Palm Springs is reviewing the hotel's performance nine months after opening and planning a marketing strategy for 1980. Of particular concern is the strategy to adopt during the shoulder and off-seasons when demand for the product is lower. Should the hotel even remain open in the summer when other major hotels in the area are closed? Will attempts to stimulate summer demand negate the hotel's efforts to win a five-star rating? Twelve pages of exhibits include data on hotel usage in the area, and operating costs and revenues for Rancho Las Palmas.
The management of Boston's historic Parker House, owned by Dunfey Hotels, has received a request from a tour wholesaler to book a large number of rooms at the hotel during summer and fall 1980. This booking is tied to bookings at two other Dunfey hotels that need this business. Parker House management would prefer to cultivate more lucrative individual and corporate business, which they see as more in tune with the hotel's carefully developed market position. What should they do? Dunfey's detailed segmentation strategy is central to discussion of this case. Five pages of exhibits include financial data on the Parker House and details of requested reservations and space availability.
The hospital is reviewing its obstetrical services and trying to decide on future strategy relative to communications, pricing and service characteristics. Important environmental trends include increasing government health regulation, a declining birth rate, more intensive competition, and changing expectations of maternity care by women. Nine pages of exhibits include market trends, competitive profiles, and cost and occupancy data.
The Marketing Director for Federal Express, a fast growing freight airline specializing in small packages, must select a strategy to achieve a big sales increase for one of the company's services. First he must decide on the relative emphasis to place between advertising and personal selling, then he must formulate specific plans to reach the new sales target within six months. Nine pages of exhibits show examples of previous advertising by Federal Express and its competitors, and provide data on print and broadcast advertising costs and audiences.
Federal Express is a small-package airline operating throughout the United States. After initial heavy losses, it is now profitable. Management is examining the services offered by the firm and believes that there is great potential for "Courier Pak," an overnight document delivery service with presently limited sales. Emphasizes product line policy and market analysis.
Federal Express is a small-package airline operating throughout the United States. After initial heavy losses it is now profitable. Management is examining the services offered by the firm and believes that there is great potential for "Courier Pak", an overnight delivery service with presently limited sales. Is it appropriate to devote special emphasis to Courier Pak? If so, what is the appropriate role of advertising and personal selling?
Describes the nature and purposes of market analysis. Among topics briefly discussed are primary and selective demand, determinants of demand, market segmentation, the product life cycle, and temporal or cyclical demand variations. Intended as background reading in an introductory marketing course using case materials.
After 18 months of deficit operations, Southwest Airlines stands on the brink of profitability. Selective application of discount fares has contributed to a rapid growth in market share. Then, in February 1973, its major competitor halves all fares on Southwest's principal route. Management must decide how to respond. Exhibits detail Southwest's cost structure plus passenger and flight statistics for Southwest and competitors.
Southwest Airlines, a small intrastate carrier, has just completed its first year of operations in June 1972 and management is debating what advertising and promotional strategy to adopt for the future. Southwest has successfully broken into a market dominated by two larger airlines and gained a significant market share through improved quality service, lower prices and other innovations, supported by heavy advertising and other promotions. However, it is still not making money. Illustrates development and introduction of a new consumer service and advertising and promotional strategy. Exhibits emphasize advertising copy, including a centerfold. Another version of this case, Southwest Airlines (A), takes the action up through February 1973, includes more details on pricing, and is designed for teaching marketing programs.
Describes Southwest's response to a competitive fare cut and the results, bringing the action up to late March 1973, when management must make additional decisions on marketing strategy with both short- and long-range implications. Southwest Airlines (C) should not be used with this case.
Southwest Airlines, a small intrastate carrier serving Dallas, Houston and San Antonio, begins service in 1971 in the face of competition by two larger, entrenched airlines. Improved quality service, lower prices, and innovative advertising and promotional strategy bring Southwest to the brink of profitability in early 1973, when its major competitor halves fares on Southwest's major route. Management wonders what response to make. Exhibits include cost and revenue data. Southwest Airlines (C), which may be used as an alternative to the (A) case, focuses on advertising and promotional strategy through June 1971.