The purpose of this case is to get students thinking about the nature of organization that an effect after-sales service organization would take in an industrial company servicing a world-wide market. An organization already exists, but it has been one that has changed in the past so it is likely to change in the future. Both the expectations and communication patterns of users should (must) be factored into any conclusions students reach. The case is intended for upper level courses in which organizations, particularly marketing organizations, are considered. It would seem best suited for a master’s level course in which ramifications could be thoroughly discussed and debated. In Sweden, which is where it was written, it was used in an "Integration" course positioned between B.S. and M.S. levels. That course "integrates" the business functions for students and thus probably comes closet to being like a U.S. policy course. The enclosure of some "theory" in the case and with the teaching notes reflects Swedish practice – educators like to teach and use theory in their courses. The case could also be used at the third or fourth year level undergraduate industrial, or international, marketing course, which is where the U.S. author has used the case.

Alimak AB is a mid-sized, Swedish firm that tends to dominate the international capital goods niche in which it competes. Its production/distribution system has evolved to include centralized production and a world-wide distribution system comprised of subsidiaries and independent distributors. Somewhat atypical of Swedish firms, which tend to be European Union and North American oriented, Alimak has a strong position in the Far East, which accounts for about 35 percent of its sales. Previously, the firm’s strong position was associated with the strength of its product design. More recently, the company has come to depend upon its after-sales service to sustain its position. The after-sales service system that has evolved and is described in the case is one that is culturally sensitive and utilizes shared company/distributor input and cooperation. It is evident, however, that this system has changed and is likely to change further in the future. Students are expected to rationalize this change and project a system that is both market oriented and advantage-sustaining.
 

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Contact: Timothy L. Wilson, Marketing Department, Clarion University, Clarion, PA 16214. Telephone: (814) 226-1894, (FAX) (814) 226-1910, (email) twilson@mail.clarion.edu.

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This case explores the concept of entrepreneurship. It shows the role entrepreneurial leadership plays in establishing direction in a given corporate culture. It illustrates the application of the marketing concept and shows how it is interpreted in a direct sales organization. It examines how a corporate strategy based on direct selling is intended to adapt to a dynamic external environment. It also shows how management identifies a target niche in a market characterized by diversity and then designs a marketing mix to meet consumer needs and wants of that market.

The case could be used in a principles course in either management or marketing. It could also be used in a course in entrepreneurship or channels of distribution.

Artistic Impressions, Inc. was a rapidly growing direct seller of affordable art works for the home and office. The firm had a plan to achieve sales of $25 million in 1998. It was ranked in the top 500 fastest growing private companies in the United States twice according to INC. Magazine. The company’s sales had increased more than 962% in a five-year period. Founded in 1985 by entrepreneur, Bart Breighner, the Lombard, Illinois-based company defined itself as bring in the "home enhancement" business. It sold painting and other art works through over 2,700 sales people in over 40 states to primarily African Americans via a home art show. Bart Breighner, a Caucasian, had more than 25 years of highly successful experience in sales, sales management, and management training. He believed he had a corporate survival strategy in place that fulfilled a legitimate market need and that he had positioned the firm for growth in the future by expanding to cultivate the Caucasian market.
 

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Contact: James W. Camerius, Professor of Marketing, Walker L. Cisler College of Business, Northern Michigan University 49855. Telephone (906) 227-1245 (FAX) (906) 227-2930 (email) jcameriu@nmu.edu

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This case can be used to help attain several learning objectives. It can be used to stimulate class discussion on what constitutes good customer service and the impact of poor customer service on both the organization and the customer. It can also be used to stimulate discussion of what actions a company can take to improve customer service.

This case works well in service operations courses, service marketing courses or any course dealing with total quality management. This case can also be effectively used in management information system classes to help MIS majors better understand the customer’s perspectives. This case can also be used in business policy and strategic management classes to highlight problems in strategy implementation.

This case outlines the experiences of two customers (a husband and wife) with a large, profitable, computer manufacturer that sells PCs through direct sales. Each of the events depicted in the case actually happened. The real name of the company is not used. The company is a leader in its field and is ranked well above many of its competitors for both its products and its customer service. The case is written from the customer’s perspective and details the experience customers can go through when they encounter quality/service problems. The case provides a detailed log of various events that happened to the customers during their dealings with DCG. At first, the customers are very pleased with the products and the service they receive from DCG. After a CD-Rom drive malfunctions, however, the customers experience numerous problems including hours spent on hold with customer support, an inability to contact appropriate company representatives, parts ordered but not shipped, and un-ordered parts being sent to the customers. After 6 weeks, the company is still unable to fix the customers’ computer. In the end, the company refunds the customers’ money. The final result of the episode is that both the company and the customers devote a significant amount of time and resources to the issue and it is never truly resolved.
 

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Contact: David J. Flanagan, Western Michigan University, Kalamazoo, MI 49008-3806. Telephone (616) 387-5860, (FAX) (616) 387-5710.

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The primary focus of this case is to: introduce the student to a new telecommunications tool-remote call forwarding; understand the interaction between consumer and expectations and retailing practices; explore he impact of this technology on traditional retailing practices; discuss the ethical implications of the use of this technology in the floral industry.

This case is appropriate for use in Business Ethics and Marketing Electives: Retailing and Social Issues in Marketing.

High Technology and the Floral Industry involves the introduction of remote call forwarding as a competitive threat in the traditional retail floral industry. A new telecommunications method, remote call forwarding, allows businesses physically located in one part of the country to have "local" phone numbers in distant cities. When a person calls what seems to be a local number, their call is forwarded hundreds of miles away. Remote call forwarding allows a business to maintain a local presence in a number of communities without actually maintaining an office.

Recently, this telecommunications service has been introduced into the retail floral industry. Across the country, there are listings for floral shops appearing in a community’s Yellow Pages which, given the name and the telephone number, would have the consumer believe that the shop is local. In reality, it may be thousands of miles away.

The case provides an opportunity for students to examine the impact of technology on retailing practices, and the ethical issues associated.
 

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Contact: Marian M. Extejt, Boler School of Business, John Carroll University, University Heights, OH 4118. Telephone (216) 397-4618 (FAX) (217) 397-1728 (email) extejt@jcu.edu

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This case demonstrates that traditional marketing tools can be combined in innovative ways which result in synergistic effects. Ideation, with a staff of just 20 people, generates over $6 million in annual sales. Students should develop an understanding of how Ideation works and an appreciation of the ways in which Skip and Tom Ungrodt have packaged some very common marketing practices and tools to create a successful company.

The case also enables students to determine the limiting factors to company growth, recognizing that many barriers can be overcome while some barriers are truly limiting.

The teaching notes are structured for a capstone course in marketing or policy. The authors, however, also believe that it can be used in an introductory course in entrepreneurship (where emphasis is being placed on marketing issues).

Skip Ungrodt was in the gift business and decided he needed a hook to get more people to visit his store. He realized that color promotional pieces like Sunday supplements in newspapers worked, but did not have the resources to afford such inserts. By combining the buying power of many stores, however, he gained economies of scale and had success in the process. In addition to scale, vast knowledge of the gift business, careful selection of retailers, and attention to detail resulted in a successful color retail catalog which increased member retail sales 20 to 40 percent.

Students are faced with the question of where Ideation goes from here. They have a very successful business, and need to determine how big they should be and still not lose sight of the company motto – providing an umbrella of service for the successful independent gift retailer.
 

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Contact: Brian G. Gnauck, Dean, Walker L. Cisler College of Business, Northern Michigan University, Marquette, MI 49855. Telephone (906) 227-2947 (FAX) (906) 227-2930 (email) bgnauck@nmu.edu.

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The purpose of this case is to expose students to issues of supply chain management and vertical integration; to provide students the opportunity to perform industry analysis; to cause students to consider the role of a company’s mission or strategy in decision making; to force students to deal with incomplete information when making financial decisions; to expose students to the tradeoffs between tactical advantage and long-term financial obligation.

This case is appropriate for use in undergraduate and graduate level classes in; Marketing Management, Supply Chain Management, Marketing Strategy, Management Strategy, Finance, and Managerial Accounting. In accounting and finance courses the emphasis can be on trying to create pro-forma income statements, break-even points, payback periods or simple cash flow analysis.

Dave Henkel is faced with a difficult decision. Johnson & Quin (JQ) has the opportunity to vertically integrate by acquiring one of its suppliers, Carling Printing & Graphics (CPG). CPG has presses that would give J&Q capabilities leading to a number of strategic advantages with their target markets, however, CPG also suffers a number of operational problems that would have to be solved to make the acquisition work financially. Additionally, the decision is made more difficult by a number of factors, including the necessity of a higher offer than J&Q has already made in good faith and the necessity of a quick decision because of Henkel’s upcoming travel.

The situation requires students to weigh the pros and cons of acquiring CPG. On the one hand, acquiring CPG will provide advantages related to quality and control in the supply chain as well as other competitive advantages. On the other hand, J&Q will face difficult financial burdens and logistical problems if they acquire CPG. Part of the difficulty of this situation is that the pros and cons of the decision are in very different areas of the firm, making it difficult to weigh them against one another.
 

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Contact: David W. Rosenthal, Marketing Department, Miami University, 200 Upham Hall, Oxford, OH 45056. Telephone (513) 529-1203 (FAX) (513) 529-1290 (email) rosentdw@muohio.edu.

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The primary focus of this case is to illustrate the difficulties of implementing a standardized marketing strategy outside the U.S.; to illustrate the need to adapt the product and service to the local market’s needs, desires and ways of doing business; to focus student’s attention on design issues of the product of a service business; to demonstrate the importance of the corporate culture in affecting the conduct of business and the firm’s image; and, to illustrate the impact that trading blocks (such as the European Union may have on a firm’s decisions.)

This case is most appropriate for an international marketing course. It can be used at both the undergraduate and graduate levels. It should be used as a decision case. It might also be used in a course on cross-cultural issues if the focus is on training telephone operators about how to deal with German customers rather than on the marketing issues in the case. In a cross cultural class, it should be used for illustration of a cross-cultural issue rather than as a decision case.

In the past decade, Lands’ End, a premier U.S. catalog firm, expanded its marketing activities around the globe by sending catalogs to many countries and by successfully setting up operations in two foreign countries, the United Kingdom and Japan. In this case, Lands’ End is contemplating entering the German market. If it does so, it would use its U.K. location to warehouse and ship goods, and would set up a telephone order center in Mettlach, Germany.
 

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Contact: Martha R. McEnally, Associate Professor of Marketing, Bryan School of Business, Univ. of North Carolina at Greensboro, Greensboro, NC 27402-6165. Telephone (336) 334-4529, (FAX) (336) 334-4141, (email) Martha_McEnally@UNCG.EDU.

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The primary focus of this case is the management of the marketing mix, as it related to segmentation, targeting and positioning strategies for a small business. It fosters an understanding some of the fundamental marketing decisions facing the small business owner in sustaining a viable business. It takes the students through the process of identifying potential segments of consumers, assessing the attractiveness of these segments and developing the marketing mix for each segment to be targeted. Particularly important are marketing mix decisions relating to the product and channels of distribution.

This case is appropriate for use in an introductory principles of marketing class, where discussion questions would be provided to students. It can also be used in an upper level marketing management course, for a less structured approach. The case can also be integrated into a small business/entrepreneurial management course after coverage of fundamental marketing principles.

In January 1991, during her senior year at the University of Massachusetts, Amherst, Gabrielle F. Melchionda began the initial research to develop an all-natural lip balm product. An avid consumer of both all natural and environmentally safe products, Gabrielle discovered she could not find natural lip balm products on the market. Sick of "greasy, waxy, and stinky" lip balms, she started making her own lip balm as a hobby. After several months of product development, Gabrielle launched LIP LUBE, and it became an instant success in the local market.

In the years that followed, Gabrielle expanded domestically. In 1997 LIP LUBE gained national recognition when it was featured on QVC home shopping network. Gabrielle is now questioning her decision to offer her products on QVC. Although it presents sales opportunity, it is a departure from the product image and position the company holds in the marketplace. Gabrielle now faces decisions around targeting, segmentation, positioning strategies, and the management of the marketing mix.
 

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Contact: Jeanne Munger, University of Southern Maine, Portland, ME 04104. Mail: School of Business, 96 Falmouth St, Box 9300, Portland, ME 04104-9300. Voice: (207)780-4925 (FAX) (207)780-4662 (email) jmunger@usm.maine.edu.
 

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This case discusses the possible ramifications of ‘emotional equity’ or lack thereof, that sports fans invest in their respective sporting teams. The case highlights the unpredictable nature of the sports industry. Specifically this case refers to a football team. Particularly the case addresses the need to ensure customers feel connected to the club, that they are ‘retained’ in order to maintain membership revenues in the face of poor on-field performance. Hence the notion of customer service and retention are key objectives of this case. Additionally, the interesting geographic context of the case demonstrates that not all sports clubs are automatically endowed with devoted fans. This case discusses the need to develop a market for the sports code in a city that is not traditionally affiliated with that code. Hence, the familiar concept of market development is a strong objective of this case.

The teaching note was written for undergraduate courses of Services Marketing. It is expected to be useful to 1. Illustrate the difficulties in implementing strategy, and 2. Enable students to use the case for a study of customer retention strategies and tactics. The case would no doubt be useful in Sports Marketing courses also.

Kelvin Templeton, CEO of The Sydney Australian Rules Football Club, presides over a club that has become the ‘darling’ of Sydney, yet 12 months earlier had been the ‘wooden spooners’ of the competition drawing no interest from local Sydneysiders. This rollercoaster ride of support was in part due to the lack of historical interest in the football code. Sydney did not follow Australian Rules football, where the southern and western Australian states treated the code akin to religion. Templeton was aware that the fickle Sydney market had been drawn to the team due to their sudden increase in on-field performance. Therefore, he knew that a lapse in on-field performance could also potentially loose the team favor in the city; certainly the first 15 years as a club in sydney had not been met with support from the city, nor on-field success.

Templeton considers a range of issues that may impact the ongoing viability of the club in Sydney and is aware that customer retention and market development of the code are critical issues that must be addressed.
 

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Contact: Kerry Daniel, Lecturer, School of Marketing, University of Technology, Sydney, PO Box 123 Haymarket, 2007, Australia. Telephone 61-2-9514 3533 (FAX) 61 – 2 – 9514 3535 (email) kerry.daniel@uts.edu.au.

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The purpose of this case is to illustrate the "marketing concept", particularly in the consumer application of military technology; to provide a vehicle for the discussion of issues relating to new product introduction; to enable an application of "diffusion of innovation" theory; to apply the concepts of segmentation and target marketing; to provide practice in financial analysis, including break-even; to point out the differences between industrial/government markets and consumer markets; to point out the importance of a clear product/market definition.

This case is appropriate for use in undergraduate, graduate, and executive level classes in; Marketing Strategy, Marketing Management, Business Policy/Strategy, Public Policy, New Product Development, Entrepreneurship, Industrial Marketing, Buyer Behavior.

The HeaterMeal Company produces and distributes a packaged food product which has as part of its package the unique ability to heat itself. The product is an outgrowth of military technology and application which has been successfully used in the field to heat Meal(s) Read to Eat (MREs). Military spending has been on a downward trend, and the company has sought to replace military sales with the consumer equivalent. While the company has been successful in attracting a great deal of attention, often in the form of free publicity, distribution has been difficult to achieve, and sales have not met the expectations of management. Drew McLandrich, Director, Sales and Marketing, is attempting to determine the marketing strategy for the HeaterMeal product.
 

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Contact: Dr. David W. Rosenthal, Marketing Dept., Miami University, Oxford, OH 45056 Office: (513)529-1203 (FAX) (513) 529-1290 (email) rosentdw@muohio.edu .

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This case provides an opportunity for students to conduct an in-depth situation analysis and to develop an understanding of the external environmental factors impacting on a market. It also can be used to highlight differences between global and local marketing strategies, particularly for the different marketing challenges facing a mass market leader when it (re) enters another (smaller) market as a niche player. It can also be used as a basis for the development of a marketing plan emphasizing the reintroduction of a brand to a market and the alternative repositioning strategies that may be employed.

The teaching note was written for introductory courses in Marketing where marketing planning and the development of marketing mix strategies are emphasized. It is also expected that the case would be useful for courses in International Marketing and Marketing Management.

The Volkswagen in Australia case describes a situation facing the management of the Volkswagen Division of Inchcape Australia in March 1998. Inchcape Australia was a subsidiary of the British company, Inchcape Plc, the largest independent motor vehicle distributor and retailer in the world. At the time of the case senior managers of the Volkswagen Division Australia were pondering the future of Volkswagen in the Australian market. After an absence of about 14 years Volkswagen had re-entered the Australian market in the early 1990s and up to the time of the case had recorded strong sales growth. Both Ewan Ramsay, managing director, and Oliver Mann, marketing manager, were optimistic that this trend would continue. A new car, the Passat, had just been launched to compete in the prestige segment of the market and plans were underway to introduce the new Beetle, which had become a sales sensation in the USA. In addition to this, the 4^th generation Golf had been launched in Europe and was expected to be available in Australia within the next 12 months.

Volkswagen was the fourth largest motor car manufacturer in the world and in Europe the Golf had been the number one seller for almost two decades. However, in Australia Volkswagen was a niche player marketed by a distributor, not a subsidiary of the parent company. The challenges were formidable and the case therefore provides a vehicle for considering a number of marketing issues both on a domestic and on a global basis.

Contact: Peter W. Reed, Monash Mt Eliza Business School, Melbourne, Victoria. P.O. Box 2224 Caulfield Junction, Victoria 3161, AUSTRALIA. Telephone (613) 9215.1807 (FAX) (613) 9215.1815, (email) peter.reed@buseco.monash.edu.au

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Case Objectives And Use

The purpose of this case is to examine the issues and complexities inherent in syndicated programming distribution and related television programming decisions; to illustrate the connection between ratings/share and advertising rates; to illustrate the concept and usefulness of audience profiling and demographics; to highlight the types of decisions which face program directors, sales managers, and general managers and to point out the interplay among the various offices and functions.

This case is appropriate for use in undergraduate classes in Advertising, Mass Communications, Marketing Communications, Broadcast Management, Marketing Management.

The management of ABC television affiliate, WTVQ, in Lexington, Ky., is faced with a decision to make. It has been airing the very popular Rosie O’Donnell Show weekday mornings at 10 am. The show has done very well in the ratings at that time of day, although it also faces little competition in that time slot. But the producers of the show have asked that affiliates around the country strongly consider moving "Rosie" to the 4 PM time slot, where it might do even better. WTVQ management had some additional considerations to factor into the decision. Moving "Rosie" to 4 PM might boost the viewership of the 5 PM News broadcast on their station, which was third behind the other two network affiliates. The move could also improve revenues, as advertisers pay more per spot late in the day. However, the move to a 4 PM slot would put the "Rosie" show in direct competition with the "Oprah Winfrey show," also a highly successful and very popular program. The audience profiles for the two shows are very similar. Should management make the move and risk the current revenues and share ratings that "Rosie" held at 10 AM, for the potentially greater revenues and audience share at the 4 PM slot?
 

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Contact: Dr. David W. Rosenthal, Marketing Dept., Miami University, Oxford, OH 45056. Office: (513) 529-1203, (FAX) (513) 529-1290,(email) rosentdw@muohio.edu .