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Sahil Nanda - 211128 Sanchit Aneja - 211130 Udit Anand - 211152 Vaibhav Jain - 211155
Situation Analysis
Situation Analysis
TerraCog has been a trusted brand specializing in quality hand held GPS products that have loyalty among sports enthusiasts
One of its competitors Posthaste , introduced a GPS prototype called BirdsI that is able to display satellite imagery
TerraCog did not see any threat until it started losing competitive edge and market share to Posthaste due the success of BirdsI
Problem Analysis
Short sightedness: TerraCog had started losing share to Posthaste, its rival in GPS devices
Inter group conflicts: Their project Aerial had serious issues regarding pricing of the product
Problem Analysis(Contd.)
Lack of Innovation: There was an inherent tradeoff between their value proposition and cost
Delayed market Responsiveness: They were already late to the market and were launching at a market premium
DECISION ANALYSIS
Decision 1
Launch Aerial with reduced margin(as suggested by Ed Pryor) at a price of $425
Gain consumer confidence and recapture lost market share Continue Redesigning and improve the manufacturing process of the product to reduce production cost
Decision 2
Cancel product launch for now Recreate and redesign a new product with major reconfiguration i.e. focus on innovation Launch the new product in the market with a ROAR
Decision 3
Cancel product launch completely Focus and capitalize on growth in untapped market
Decision 4
Emma Richardson works one on one with Team Leaders to address underlying agendas
PLAN OF ACTION
We would recommend decision one: Launch Aerial at a price of $425 and continue to redesign and innovate Companys differentiating factor is in the quality of its products and it should not compromise on the same
Why Option 1?
If decision 2 is chosen o Further loss of market share o Loss of holiday season sales If decision 3 is chosen o The project is cancelled o Terra Cog will completely lose the Satellite Imagery GPS Market o Affect companys image
If decision 4 is taken o Emma may not succeed at controlling all the domains of the company single handedly
THANK YOU!