Marketing Recommendation Paper Harvard Case Solution & Analysis

Marketing Recommendation Paper Case Study Solution


The metrics that would be used to assess the success of the new product in the market includes; improved customer satisfaction, positive customer response, adoption of new feature or product usage and increased customer loyalty, seized market share and increased product demand. Also, the company could assess the feasibility of the new product in the market through financial metrics such as; profit margin, operating margin, churn rate, return on sales and return on investment. The metrics allows the company to measure the product success and links every individual within an organization to the overall goals of company. Not only this, these metrics provides better insights into the key improvement areas and make changes in accordance with the customer requirements and demands.

Target segmentation

The company should target affluent, economy-oriented and conscious customers who place a significance on the environment and prefer to purchase an environmentally friendly and sustainable products. Due to the significant shift in the consumer buying, as they are ready to pay extra for the environmentally friendly products, the company has contemplated to increase its commitment to sustainable and responsible business practices. The product would be best fit to the lifestyle needs of the affluent or high end customers and would exceed up to their high expectations.

Customer propositions

The value proposition of General Motors is to offer a capable and environmentally-friendly vehicle at competitive price with top-notch reliability. The company is at forefront of the efforts to develop greener and cleaner vehicle which are considerably gentle on environment.The vehicle is also meant to make life full of thrilling and exciting journeys.The new vehicle would put customers in spotlight. Also, the company should infused durability and reliability in each and every stage of design process.

Value exchanges

General Motors should promise the delivery of the better consumer experience through offering a high quality product at affordable price. The company should engage in improving the ownership experience of customers. The company should lead in innovation and technology and experience the love of people. The company should involve in serving and improving the communities.

Strategic vs tactical

General motors should use market penetration strategy as it is the primary growth strategy that may help the company to become notable in the marketplace. The growth of the company should be ensured by using this strategy because the sales would increase. Another growth strategy should be to ensure the sales of the new product. The company should try to focus on the designs, uniqueness and features of the product in order to make it different and to gain the competitive advantage. The strategic objective of the company should gain a high rate of innovation while designing new product.The ultimate strategic objective of this strategy is to improve the efficiencies of production process through automation in order to support the competitive advantage of general motors.

In addition to this, to achieve the desirable objectives, the company should use various tactics such as; the company should have environmental and sustainability policies. General motors should globally expand its operations in international markets in order to gain the market share and to strengthen its position. It should also utilizes ‘just in time’ manufacturing system and make heavy investment in research and development in order to become more productive, innovative and competent in the competitive business world.

VRIO Analysis

VRIO Analysis:

In VRIO analysis, the resources are determined in order to ensure performance of the firm. The resources are capable of bringing the desired profit for the company.

Financial resources:

The financial resources of General Motors include; cash, equity holder, bond holder, and financing. All these resources are valuable for the firm. Other than financing, all resources are rare as well. Not only this, the financing (GMAC) is costly to imitate.

Human resources:

Apart from financial resources, the human resources are valuable for the firm. They are rare and costly to duplicate. The leadership is a strength for the firm because the firm needs a direction which can only be possible by leadership. The organization can easily capture the value of the leadership resources.

Organizational resources:

The relationship between General Motors and suppliers is very valuable and beneficial for the firm because the raw material supplies by the suppliers is very crucial to complete the production of vehicles. Although it is rare and a weakness for the business, it is a valuable resource for the General Motors. The strengths of General Motors is the environmental strategies that are made to improve the communities. It’s valuable for the firm and it is not costly to imitate so the General Motors must try to work intensely for the betterment of society. Due to this strategy, General Motors can achieve a competitive advantage against its competitors. The benefits that the company is providing to its employees are valuable for the firm and it is important to motivate the employees time to time in order to extract the best out of them, but it is a weakness of the company and it is costly for the firm.

Technological resources:

Information Technology and Logistics are the technological resources of the General Motors. They are rare but valuable as well. Both resources are strengths for the company because these resources help the company to adopt the technological change. Due to adaption of technological changes, the company can modify its products and make it attractive for its customers.

Intangible resources:

The intangible resources include; corporate value, brand name and patents. All these resources are valuable for the company. The brand name is rare and costly to imitate because the General Motors is a renowned brand not only in the United States, but all around the world. It is an international brand with a distinguished and positive brand image.

Balanced scorecard

Financial perspectiveInternal Business Process
§  Increase sales


§  Increase market share

§  Reduce cost of production


§  New design


§  New product innovation

§  Improve process quality

§  Increase purchase part’s quality


Learning and growthCustomer Perspective
§  Training and development


§  Expand line of production

§  Increase employee capabilities

§  Improve information system capabilities

§  Increase customer satisfaction


§  Improve reputation & image

§  Longer distance coverage

Positioning and Marketing of New Product

Within 1 month

Initially, GM should follow a product strategy for entering to premium markets. In initial year, the company would have to reduce the advertising cost to enjoy the healthy profit margin due to which GM should follow the media coverage marketing strategy, which is one of the powerful tool, conversely used to overcome the advertising cost. Not only this, it would position GM in a favorable light by projecting expertise, credibility, image and passion that the company wants to convey to its audience. Best of all, this sort of advertising technique tends to come from independent source and the cost require time to be organized.

Within 1 year

The company should engaged in the strategic joint venture to manufacture vehicle. The company should expand its manufacturing capacity, and it should also utilize the R&D, for the purpose of manufacturing ultra-high efficiency passenger Sedan. The company should initiate the marketing campaigns, in order to put a major emphasis on providing the ultra-high efficiency passenger lineup.

Within 3 years

After assessing the success and acceptance of the product in the market, the company should move towards targeting mass market. For the purpose of improving competitiveness, the company must ponder to increase the innovation rate. Brand awareness must be created through advertisement activities to gather a larger market and gain a larger market share. The company should prefer various activities such as event marketing in which elite buyers would or can meet the designers and test a car.The company should also focuses on visual content and video which features the pop-culture celebrities. The technology change should also adopted by general motors in order to prevent itself from customer switch risk because customers are more likely and willing to buy the innovative product that may reflect their personality…………..


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