If you were a chief executive of Southwest Airlines, in need of a new strategic vision, which course of action would you choose and why in terms of a "cost leadership" or a "differentiated" business strategy? Use table 5.1 in the text as a foundation for
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PrinceSports.docxChapter 9: Video Case: Prince Sports, Inc.: Tennis Racquets for Every Segment
1. a.
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Trends That Work for Prince |
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Social |
The 21st century has emphasized on the quality of health so that pushes sports to become more popular than ever. Recreational gyms and public courts have increased the availability of gathering family and friends to play tennis; helping to increase relationships with friends and/or families. Families are also able to send their children to practice tennis. Prince focuses a portion of their advertising towards younger consumers. |
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Economic |
Tennis equipment can be found with a starting price of $20 and then increases depending on brand. Many individuals can afford these products with an average income. There are many places to play tennis such as sports clubs, private courts, and parks. |
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Technological |
The changing of technology increases the quality of Prince products like O3 and EXO3, which increase “sweet spot” up to 83% and reduce vibration by 50%. Social media will be an opportunity for the marketing of Prince to advertise the products via Facebook and Twitters. |
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Competitive |
Prince has a strong marketing platform and company reputation. They have top ten tennis players to promote the products; as well as high technology and high standard. |
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Regulatory |
Prince’s copyright allows them to protect their products. |
b.
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Trends That Do Not Work for Prince |
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Social |
Tennis has very complicated rules and is difficult to play. Some people spend more than 2 months in order to control the ball when hitting. |
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Economic |
The price of renting a tennis court is roughly $15 - $30 per hour. If economy decreases or enters a crisis, it would negatively affect the company due to lost sales. |
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Technological |
The price of Prince product is high so that can cause the customers to buy with cheaper competitors. The producing processes of Prince products might be more expensive because the products have high quality. This could increase the risk of products not selling. |
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Competitive |
Competitors in tennis products have similar quality and have the strong reputations, such as Wilson, which is ranked in the first position in tennis market. |
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Regulatory |
Even if Prince has a copyright or is patented, there could be a potential risk for infringement. |
2. The marketing activities Prince could use in the United States would include, TV, radio, social media, such as Facebook, Twitter, and Instagram. Utilizing social media to market activities and to promote Prince Sports products in would allow the company to reach a larger group of consumers. Another activity would include promoting products with a popular tennis player or superstar; either on TV, radio, or during their games. For example, Linda Glassel is tournament tennis player and became a presenter for Prince; utilizing their products in her tournaments.
References
Kerin, R. A., Hartley, S. W., & Rudelius, W. (2015). Marketing. New York: McGraw-Hill
Education.
