Then, when the automobile replaced the horse and buggy, they had to change in order to remain competitive. This meant that they would build many of the bodies used in the automobile industry. To this day, any Cadillac that is manufactured has a body that was constructed by Fisher. (Glaser, 2001) Had managers and executives not realized this fact, the company would have changed to late. Those who embrace change will remain a dominate force in the industry well into the future. While, those who ignore change, will face the precarious position of: having no future market and being to late to adapt. This is the point that many business will often disappear, because they did not embrace changes. (Glaser, 2001)
From your experience, general knowledge and some research of your own, identify and explain how one other company used any aspect of marketing to sustain itself.
A good example as to how marketing changed a company fortunes for the better would be: the Chrysler Corporation during the early 1980s. At the time, the company was facing the possibility of going bankrupt, as they failed to recognize changes in the American automobile market. Where, consumers would no longer demand large vehicles that were not fuel efficient. Then, when you combine this with the fact that many American cars were more expensive and had the perception of poor quality, meant that sales would decline sharply. After the company received assistance, the new CEO Lee Iacocca worked aggressively with the companys marketing department to change its image and the cars that it was producing.
Two ways that this was accomplished was: through the extended warranty program on all Chrysler cars and to make Iacocca the face of the company. The extended warranty allowed consumers to see that Chrysler was attempting to provide them with a superior product. Unlike the traditional manufacturers, the warranty was the first of its kind and was aggressively marketed with all Chrysler automobiles. Then, when you combine this with the fact that Iacocca was personally appearing in the various advertising spots, helped improve the perceptions that Chrysler was willing to go the extra mile to satisfy the customer. This helped to be able to change the negative perceptions that Chrysler had gained during the 1970s. Once this took place, it meant that the company would repay the money that it borrowed from the federal government. It would also severe as a symbol of the revitalization of American industry, where a new principal would begin during that time (focusing on the quality of the product). During the 1980s and 1990s, this would help restore the confidence of consumers in the American automobile industry and Chrysler. (Iacocca, 1985)
Glaser, T. (2001, April 19). Marketing Makes the Cash Register Ring. St. Petersburg Times.
Gornoos, C. (1984). A Service Quality Model and its Marketing Implications. European Journal of Marketing, 18(4). 36 — 44..