Amanda Tremblay at Citrine Software Solutions Harvard Case Solution & Analysis

Amanda Tremblay at Citrine Software Solutions Case Study Solution

In contradiction to benefit; the customization would make the software maintenance cycle more complicated and complex and the support provision would become more costly and complicated, due to which the company would have to carefully implement modification to reduce the disruption of current installation. It would also disrupt the smooth business operation as it would lead towards support problems, low margins and time delay, hence contributing to the customers’ dissatisfaction.

Alternative 2: Standardized products with low-pricing strategy

The standardization of the SaaS product is the core expertise and capability of the company. It would guarantees quality, boost productivity and helps the company to attract the customers. Additionally, the product standardization would lead towards cost reduction, production efficiency, establishment and strengthening of brand, standard of quality and convenience for customers. It would simplify the complex installation, sales and servicing process.

On the other hand, the standardization of product would reduce the flexibility of the company to cater for diverse needs of the customers. Another drawback of the product standardization would be the loss of responsiveness.

Set of recommendation

After evaluation and assessment of the current situation, Trembley is advised to go with the standardization product offering at low pricing due to the buggy and lengthy process of customized products offering. Referring to the proforma financials of the company; the company would gain $12 million revenues within 5 year by appealing to price-sensitive midsize companies. Even though, the customized product offering would bring prestige to the company; it is costly and lengthy process. Being the new entrant in Vietnam market, charging low price for standardized product would help the company to reach a wider customer base. Additionally, the product standardization would not harm the production efficiency and it would be less-costly than customized products. It is one of the best way of accessing to small and medium sized companies in developingcountry i.e. Vietnam.Since the company is contemplating to first time enter into the new market, it needs to strengthen its position by leveraging its core capabilities to attract maximum number of customers. After establishing and strengthening its foothold in the market, the company could also offer its customer with customized products as the company would have generated enough revenue from standardization process and in-depth knowledge and understanding of the market dynamics and customer requirement; it would not be challenging for the customer to offer the customized product. Also, the company should outsource the data storage to local data centers to reduce the cost and comply with the regulatory law prevailing in Vietnam.

Trembley is recommended to promote Diversity and inclusion in its workplace because Diversity of thoughts would bringcreativity and drive innovation, meet the needs of customers in new and exciting ways & help to solve problem. Also, Trembley should provide training to internal consultants and fill the technical consultant’sposition to make them productive and to avoidproblems of customer frustration with installation in the near future. It is because the company would be a new entrant in Vietnam and it can’t afford any customer complaint as it is in the phase of establishing its position in the market.(Carucci, 2018).

Action plan

The company should figure out the ways by which it would most likely provide productsat relatively lower cost, thus undercutting their market competitors on price throughproduction efficiency. Trembley should define its target market and go with an extensive market research, including: competitor’s offering, their value proposition and trends in cloud computing industry etc.  It could also conduct PEST analysis & use the CAGE distance framework to identify threats and opportunities in the market..................................

 

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