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Custom Company's History and Growth essay paper
D7 Displays was established in 1990. Initially, it was an ATM provider. The company has experienced rapid growth as it currently dominates self service kiosk businesses. It has about 1,500 checks in stations that are located in about 75 airports. It covers about 60% of the air carrier market as well as the fact it is making inroads into a number of hotels and in various car rental agencies. Shannon MacDonald, the Sponsor seeks to improve the performance of the company through whatever means. He saw Tom as having the potential to improve the company’s performance. Thus, he decides to offer him a job. Shannon seeks to use Tom to come up with the best strategies for winning the various client opportunities.
Strengths and Weaknesses
The major strengths of the company have been experienced since Tom joined the company. The company has been able to secure contract with a major airline. This was with the aim of increasing the kiosk rollout in about 20 airports. Moreover, it was able to buy some of the soft-wares that were to be used in these locations. The company has been able to gear up soft ware development. Tom’s ideas also enabled the company to provide new service offerings. The management has been able to attentively utilize these ideas that have taken the company to greater heights. It has been able to increase penetration. This has been facilitated by the fact that the kiosk had to offer unique advantages. This is especially to customers and clients. Some of the product advantages included digital advertising that is usually displayed on screens. This is mostly done when the kiosks are not being used and when cross selling is in force. Remarkably, this has given the company wide opportunities to link with various travel partners and more specifically those who fit the check in passenger’s profile.
One major weakness of the company is that the two managers; Tom and Frank seem to be having differences on which marketing strategy the company should use. Due to the increased competition of web based services, Tom observes that it is important for the company to target hotel and car rental markets. The company had been performing poorly due to failure to use the best marketing strategy. He argues that the Kiosks have the potential to give services that web based services can’t. Thus, the company will be able to avoid the increasing competition and expenses involved in web based marketing.
Tom and Frank seems to have a different perception on what the company should do to improve its performance. They seem to be having different view points. For example, according to Frank, the company should highly invest on hardware and infrastructure to provide their clients with web based services. However, Tom argues that web services have been faced by extreme competition. Moreover, few passengers check the web based sales. He continues to argue that only hotel and car rental markets can only help to improve the performance of the company in the near future. Moreover, hotels tend to have high tough services. Tom notes that customers want human relationships not only web based services (Noveck, 2003). Notably, Tom should execute his strategies and ignore Frank’s dubious projections. As Tom stipulates, it was found out that, passengers have reduced the rate in which they check into web based services. Rather, they prefer hotel and car rental services. This implies that they like dealing with their clients as it is said to have a human touch.
Business and Corporate Level Strategy
The company’s corporate level strategy is to increase the performance of the company. According to Shannon, Tom should do more than his best to ensure that the corporate level of performance of the company rises. The business level strategy is not only to increase penetration but also to offer other product advantages. This will begin by establishment of hotel and car rental Kiosk markets. The business will be able to secure a certain share in the market hence be in a position to cope with the increasing competition in the web-based check in services.
The company seeks to implement the best strategy that will improve its performance. Some of the implementation that has been brought up by Tom has seen the company prosper. Thus, one major implementation has helped to create customer touch developing relationships with the clients of the company (Noveck, 2003). This has been achieved through implementation of Tom’s idea of using hotels and car rental kiosks as their markets.
According to Tom, it was recommended that the company should not only create soft wares to aid web based services but they should also create penetration through marketing their products in hotels and by the use of car rental kiosk services. Through the use of an alternative means such as Kiosk based services, the company will be ale to offer services that web based services can’t. Moreover, kiosks are recommendable as what is needed is just few kiosks even in case of high volume airports. The major advantage is that they will be able to create customer loyalty as well as raise their total revenue with reduced expenditures.
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