Arvin Exhaust Thailand Building An Asian Supply Base Online Case Study Analysis

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Arvin Exhaust Thailand Building An Asian Supply Base Case Study Solution and Analysis


Arvin Exhaust Thailand Building An Asian Supply Base Case Study Solution (National Association for Stock Cars And Truck Auto Racing) is a company performing series of Stock Cars and truck racing in United States and serving as a sanctioning body for driving the rules for Stock Vehicle Racing. The organization was established in 1947, by "Huge Costs" France. NASCAR set up Stock Cars and truck Racing occasions in United States with the existence of about 130000 viewers on average in 2005. It also broadcast its events in about 150 countries. Stock Vehicle Racing by NASCAR is the second biggest viewer sport, with highest variety of sponsors. It has about 500 sponsors contributing billions of dollars in its profits. The other sources of revenue for Arvin Exhaust Thailand Building An Asian Supply Base Case Study Help includes; 10% of the total income from tv rights, sanctioning charges i.e. $1-2 million per race, and licencing NASCAR brand name to companies.

NASCAR has a closed corporate culture with the non-interventionist technique. The building of Automobile of Tomorrow by NASCAR, with an intent of safety for the chauffeurs, brought various stress amongst the stakeholders of the sport.
Executive Summary
The interaction audit, performed in 2010, revealed that despite the reality that the business highly rely on the interactions in between its stakeholders, there was no identifiable business communication technique. (

The audit pointed out numerous lacking of NASCAR in terms of absence of internal combination, absence of fan management technique and absence of social and digital media of marketing.

Arvin Exhaust Thailand Building An Asian Supply Base Case Study Analysis viewers was highly loyal to the sport and the brand names connected with the NASCAR, making it appealing for sponsors and business marketers.

Issue Statement.

The company is presently facing the problem of declining rates of attendance at racing tracks and rates of tv audiences. This can put a significant effect on its earnings from sponsors, media rights, and from other sources of earnings.

Situational Analysis.

Although the business was quite effective till 2005 with its conventional marketing strategies, but right after 2005 the company begins dealing with numerous issues consisting of decrease of its fan base. Numerous external in addition to internal factors are responsible for the decrease. Internal aspects consist of; insufficient investment in social media and other digital medias of.

Fan base of NASCAR comprised of married males with an average age of 47, which passes their fandom to their youngsters and create generational commitment. Other difficulties for NASCAR consists of the shift of its fans to other sports as they were improving their fan's experience enabling access to their broadcasts out of the houses through jumbo turns, Wi-Fi gain access to, and so on.

SWOT Analysis.


In SWOT analysis, strengths defined as company's qualities which are various from its competitors. These are business's core competencies on which company efficiency or business success based upon. Arvin Exhaust Thailand Building An Asian Supply Base Case Study Help core proficiencies includes it has rights of dictating guidelines as approving body. Guidelines and guidelines relating to expert stock vehicle racing are dictated by NASCAR like if any group with needed abilities and resources can enter into races by following rules and guidelines dictated by NASCAR. NASCAR has monopoly it this aspect. Its strengths also includes that it has title of second biggest viewer sport in the United States with having more fortune 500 sponsors based in United States. Its races were utilized to relay in more than 150 nations around the world with more than $56 million revenues. The primary sources of their incomes originate from tv rights, approving charges, sponsorship and licensing. It has longest season of 10 months and having ownership of 3 nationwide series i.e. Outdoor camping World Truck Series, the Sprint Cup Series and the Nationwide Series. It has likewise large resource of fans and business sponsors. All the events of NASCAR are sponsored by corporates because of biggest brand name loyalty of fans toward brand names marketed by Arvin Exhaust Thailand Building An Asian Supply Base Case Study Help. (See Appendix A).


Weaknesses of NASCAR includes its close culture which is non collective. Arvin Exhaust Thailand Building An Asian Supply Base Case Study Solution establishes Cars and truck of Tomorrow without cooperation so result is that chauffeurs did not like that concept. It was also found that NASCAR had no reliable method for business interaction.
Porter's 5 Forces Analysis

NASCAR generally utilized to rely on standard media sources like local paper for promotion of its sports. NASCAR likewise came to know from these standard media outlets that sport was challenging to cover. When sports fans were asked relating to popular celebs and stars then NASCAR driver was not found even in leading twenty responses.


Dangers in SWOT analysis are specified as external elements that can threat to business's success. Economic down turn was experienced in late 2000 which can be danger for NASCAR since if there is financial down turn then people would be having less roi. Earning of people would be effected and they would be more mindful in spending their loan. Economic down turn likewise leads to boost fuel costs which likewise impacted NASCAR. Since fans of NASCAR used to attend its occasion from cross countries. NESCAR had a guideline of 65/25/10 for income distribution. 65 percent incomes from media rights would be distributed to race tracks, 25 percent income would be dispersed to competing team and remaining 10 percent would be maintained by NESCAR which is sanctioning body. Competing group wished to increase their part of earnings from 25 percent due to the fact that of boost in operating expense of a race team and likewise there is decline in the number of full-season sponsorship. Because they are making massive investments to improve experience of fans, nescar likewise deals with hazards from other sponsors. For example that includes updating existing opportunities, constructing brand-new avenues, providing Wi-Fi facility and likewise providing other interactive mediums to communicate sports on smartphones. Fan base of NASCAR consisted of married males with an average age of 47, which passes their fandom to their children and produce generational loyalty. So the difficulty is that the household system in America was changing resulting in decrease of impact of married male fan base over their children. Along with it perceptions about vehicle was likewise altering with viewing cars and truck a vehicle to reach at point B from point A, instead of as a fun project. If NASCAR make considerable investments in brand-new sections which are based on brand-new consumers then it might deal with unfavorable comments from its core fan base, now.

Porter's Five Forces Analysis

Porter's 5 forces is a design that is used to evaluate market in which business is working. It assists in determining what are strengths and weak point of any specific industry. It recommend that every market is various from one another. It is important to understand market in which company is working since NASCAR's bottom line i.e. net revenue is heavily depends upon this. There are 5 forces that are used to recognize success, intensity and attractiveness of Arvin Exhaust Thailand Building An Asian Supply Base Case Study Analysis service.

Competitive Competition

These chauffeurs can go versus NASCAR if they got better chance in terms of prizes and television direct exposure. If audiences take pleasure in other race cars and drivers more than NASCAR then viewers can move to those other fascinating automobiles and drivers. NASCAR might be having threat from its two direct rivals that is Solution 1 and Moto GP.
Swot Analysis
Provider Power

If business shifts from one supplier to another, the provider power suggests the number of providers are readily available in market and what is the expense associated with supplier. Since motorists with needed resources and abilities are limited, in this market there is supply monopoly.

Purchaser Power

In the case of NASCAR clients are its audiences. Audiences can switch to other rivals quickly because audiences will having low changing cost.

Danger of Alternative

Replacements are referred as alternatives. The replacements in this case can be other home entertainment suggests like audiences can shift to other sports. There are broad variety of replacements are offered in this scenario which suggests that threat of alternative is high.

Threat of New Entry

In the case of NASCAR threat of new entry is low. They require to develop automobiles and racing tracks and also requires to pay significant amount to drivers for switching.

PESTEL Analysis


As NASCAR is working in various markets so it needs to face various regulations. It is likewise kept in mind that NASCAR has actually faced increased examination relating to regulative. Every government has various concern so NASCAR has actually to be prepared for it as concern can be moved to other sector.


Economic elements consists of taxation rate, currency exchange rate, economic performance of that particular business, conditions of labour market, inflation rate and so on. If there is federal government intervention in the marketing and sales sector, fortunes of the NASCAR and its competitors can be affected. NASCAR can leverage capabilities of staff members to create new opportunities and enhance existing opportunities.


Every society is different from each other. Each has various social worths and norms. It assists in comprehending regarding society and preference of clients. Social aspects includes customs, culture, mindsets towards specific services and products, demographics, norms, interests and so on. It can be concluded that marketing through other methods rather than conventional (i.e. paper) can be chosen in this society.


Technology has influence on practically every business. It consists of innovation in company strategy. In this case of Arvin Exhaust Thailand Building An Asian Supply Base Case Study Help it can be kept in mind that companies are heavily spending for research study and development. NASCAR needs to likewise deal with its media rights policy with Turner Broadcasting System.

Vrio Analysis
Due to the fact that every country has various legal terms and conditions, Legal plays a crucial function in every nation. Arvin Exhaust Thailand Building An Asian Supply Base Case Study Analysis needs to be ensure that they secure their legal rights in every county so any company does not damage to its legal rights.


Ecological aspects are likewise essential for each company. Since typically governments don't permit those company which can harm to environment. These environmental aspects includes laws relating to pollution, climate change, safe waste disposal, policies regarding insurance coverage and so on. NASCAR requires to make sure that its automobiles are not producing pollution more than acceptable level.

7 P's of Marketing


The products of Arvin Exhaust Thailand Building An Asian Supply Base Case Study Analysis in its item portfolio are; racing occasions tickets, racing tracks, sponsor's marketing, media rights, licencing NASCAR brand name, sanctioning guidelines for races and ad-space to business online marketers during broadcast of NASCAR races. (Hanlon, 2018).


Prices strategy of NASCAR for its race events tickets is based upon the venue and importance of the racing occasions. Together with race events tickets, NASCAR likewise charge various service charge to its stakeholders and makes earnings. It charged approving costs of $1-2 million per race on average in 2005.


Advertising method of NASCAR is extremely based upon its fan base. A strong fan base share its fandom with others and increase the number of audiences for NASCAR races.


NASCAR have its racing tracks in different cities in United States. The most crucial tracks of NASCAR consists of Atlanta Motor Speedway in Georgia, Automobile Club Speedway in California and Darlington Raceway in South Carolina. It attempts to perform its races in most of the cities in United States to grasp nationwide appeal.


Nestle individuals method is comprised of providing better experience to its viewers, its fan base and to all of its stakeholders. People are an essential element of Arvin Exhaust Thailand Building An Asian Supply Base Case Study Analysis A marketing method as its events are the source of entertainment for crowd. Its people strategy includes efforts to offer better experience to its Fans, Race Drivers, Team, Event Organizers and so on, all of which come under individuals technique of NASCAR.


A number of service processes are required to carry out racing events in an efficient method. These processes include; proper schedule of time, plan for viewers, offering tickets, plan of area for sponsors, handling logistics and so on. These all procedures contribute I developing NASCAR image, improving viewers experience and increasing fan base.

Physical Evidence.

Crucial physical evidences for the NASCAR includes the presence of its racing tracks, stock vehicles and racing events. Together with it, its merchandising brands consisting of tee shirts, caps, goodies and so on, likewise act as a physical evidence for NASCAR.

Item Life Process Evaluation.

The racing occasions by Arvin Exhaust Thailand Building An Asian Supply Base Case Study Analysis was introduced on June 19, 1949. The very first race was held at Charlotte Speedway in North Carolina. There had to do with 13000 fans present in the race. At the very first stage competitors for NASCAR was low, as the rivals drove the cars and trucks comparable to the cars and trucks driven by ordinary people.


The first NASCAR based track, particularly the Darlington Raceway track, was initiated in 1950 in South Carolina. After the growth of racing tracks the business moved towards broadcasting its races on television in 1979.

In 1972, William France Jr., ended up being the president of NASCAR and n about 3 decades, he transformed NASCAR from a regional Sport popular organization into one with global fan base. He started a new age of rewarding sponsorships and tv agreements for NASCAR.


The maturity period for NASCAR began with the efforts of William France Jr., with the business having wide range of profits sources. The business has about 500 sponsors with relaying its events in about 150 countries. The company has large number of tracks in most of the cities of United States.


The major causes of decline include the financial crisis of 2008, which increased the expense of showing up at tracks for audiences due to increasing fuel prices, and the moving of its fan base towards other sports.

Market Division.

The market segmentation of Arvin Exhaust Thailand Building An Asian Supply Base Case Study Solution can be divided into four sections; Geographic, Demographic, Psychographic and Behavioural. (Dutta, 2018).


The geographical segmentation of Arvin Exhaust Thailand Building An Asian Supply Base Case Help is based upon the geographical existence of its tracks in numerous states and cities in United States, and the television broadcasting of its occasions in different countries. The company has 23 tracks in about 20 states of America and has tv broadcast through various Medias i.e. TNT, ESPN, ABC and Fox, in about 150 countries.This vast geographical segmentation supplies the company regional as well as global fan base.


The demographic division of Arvin Exhaust Thailand Building An Asian Supply Base Case Study Solution is also highlydiverse based upon the gender, income and age of the customer. To increase the market sector of its market NASCAR must modify its marketing strategies to bring in more age groups and lower its rates to go into in the market sector with a low average earnings.


NASCAR has a fan base with a commitment. NASCAR fans perceive it compulsive to acquire tickets and see the races when in a week. NASCAR has attempted to increase the quality of its racing by introducing stage racing, they also have tried to lower costs and make the event more practical by introducing live racing.


Behavioural segmentation of Arvin Exhaust Thailand Building An Asian Supply Base Case Study Help is based upon the behaviour of fans in terms of viewing the race survive on the television or by going in the events. Presently, the fans choice is towards enjoying the race in your home on tv rather than going, as the consumer experience at NASCAR tracks is not beneficial as well as costly. This preference makes the rates for participation lower than the rates for tv viewers. NASCAR needs to alter the behaviour of its fan base by introducing qualitative services at its tracks.

Target audience.


One of the potential target audience of Arvin Exhaust Thailand Building An Asian Supply Base Case Study Help was Hispanics; the young and growing population of United States. The market section has excellent prospective for NASCAR as the population was growing at a greater rate and it was anticipated to end up being thrice after forty years and the segment has increasing wealth rate with about $1 trillion of wealth in 2014. The sector shows affinity with automobile culture, but need a more focused marketing towards inviting the sector towards racing.


Kids are likewise one of the potential target market section for NASCAR, as they are more connected socially than other groups. Car racing games developed by Arvin Exhaust Thailand Building An Asian Supply Base Case Study Solution can be a possible source of getting attention of kids towards NASCAR track racing. NASCAR requires more attention towards tailoring and improving its digital functions to draw in the kids target market.

This big expense makes the segment potential for NASCAR marketing technique of increasing its fan base. The market segment considers NASCAR as a company lacking in producing a multiculturalism atmosphere. NASCAR should take different actions to enhance the experience of Generation Y customers in its occasions.

5 C's of Marketing

5 C's of marketing assists in taking decisions relating to marketing. These 5 C's needs to be analysed properly for taking any marketing choice. These 5 C's represent Environment, Company, Collaborators, Customers and Competitors.


It requires to make PESTLE analysis in order to comprehend climate or context in which NASCAR is working. PESTLE means political, financial, social, technical, environmental and legal and is specified above.


NASCAR is an automobile racing business with having USP of high quality automobile racing with an international structure. Its sector is sports group and events. Its target audience is males in the age of 15-60 years. Company has actually closed corporate culture and having non-interventionist technique.


Collaborations consists of distributors, providers and alliances of Arvin Exhaust Thailand Building An Asian Supply Base Case Study Help. It is worked together with different racing groups which are participating in racing. It likewise collaborated with Turners Sport for digital rights. NASCAR utilized to get pay check of around $15 million every year from Turner Sports. There are number of cons behind this deal. NASCAR had to get approval from Turner Sport if it desire to create its Facebook page, twitter account or even mobile application. Turner Sport also had rights of each and every single video which is shoot during race at track.


The customer of Arvin Exhaust Thailand Building An Asian Supply Base Case Study Solution are its audiences. They target consumers with having age of 15-60 years. Fan base of NASCAR consisted of married males with an average age of 47, which passes their fandom to their youngsters and create generational loyalty.


Groups normally represents sponsors in NASCAR and the medium of marketing is drivers. These motorists can go against NASCAR if they got much better opportunity in terms of rewards and tv exposure.

Marketing Techniques.

1. Maintaining and establishing Facebook Page.
Among the possible target audience sectors for NASCAR is Hispanics which is the growing population section of USA however unfortunately NASCAR had been unable to attract the this targeted sector. In order to bring in the young growing generation the NASCAR need to market by utilizing social networks like Facebook. It needs to establish a Facebook page containing the details relating to the races and the areas of tracks to make the consumer useful about the core operations of Arvin Exhaust Thailand Building An Asian Supply Base Case Study Help. It should likewise upgrade its Facebook page on daily basis to supply info about its upcoming events. This would make the target market section more useful about business and would lead to bring in big fans base.
2. Developing and Updating Accounts of Key Drivers.
NASCAR chauffeurs has a low star power as compare to players of other sports. Its ranks 7th in terms of star power (see Case Exhibition). The major factor behind it is that, the racers mainly play in teams and are not able to develop an essential account and preserve a close contact with fans. The poor contacts with fans result in less attraction of viewers towards the racers and a low star power. Star power is an important factor for drawing in audiences towards tracks and towards tv. The star power for the chauffeurs at NASCARA might be enhanced by developing and upgrading accounts of key drivers by NASCARA itself. This would remove the requirement of requiring motorists to preserve their accounts and would lead to increasing fans attention towards NASCARA motorists.
3. Developing New Games and improving current video games for kids.
Kids spent most of their time on playing games and utilizing mobile phones. Sadly, kids playing NASCARA have a worst experience of playing its video games. As a result, they are less drawn in towards the sport. In order to bring in these kids, NASCARA should improve its existing racing video games by presenting customization in the automobiles i.e. altering colours, selection of speed, introducing group racing in the video game, using much better graphics connected to the racing tracks and presenting various levels in the game. All these modifications in the current video game would offer much better experience to kids.
Along with it, NASCAR ought to also build new games associated with racing like kids racing with kids characters as chauffeurs, cartoon racing with racing in between various animation characters with an option of selecting the favourite animation character for the kids. These strategies would allow the company to bring in among its prospective target sectors.
4. Presenting multiculturalism at occasions.
Arvin Exhaust Thailand Building An Asian Supply Base Case Study Help events are consisted of fans with really couple of multiculturalism, due to cost of arrival in events, making it unappealing for the clients viewing sport events as affairs i.e. Generation Y customers. As the Generation Y consumers are a potential target audience for NASCAR, therefore the company needs to take specific procedures to attract this possible target market. It should adopt techniques to bring in the consumers far from the tracks area with different culture. The strategy to do so might be supplying unique discount rates on tickets or totally free tickets to audiences originating from a specific distance or from another state. It would increase cultural diversity of the fans and would make Generation Y clients more satisfied.
5. Improving Consumer Experience at Tracks.
NASCAR must work on facilities and facilities at tracks because on the race day audiences got disappointed. Viewers have lots of expectations from Arvin Exhaust Thailand Building An Asian Supply Base Case Study Help because in exact same industry other business are providing much better services than NASCAR. IF NASCAR do not work on this concern then its fans might shifted to its rivals.

Marketing Budget

Marketing budget plan made on the basis of the above strategies for the duration of 5 years from 2011 to 2015, shows the cost associated information for the marketing strategies. (See Appendix B). It can be seen that strategy 5 of enhancing customer experience at tracks would require highest initial financial investment and cost and technique 4 of presenting multiculturalism will need least expensive initial investment with least expensive even more each year cost. The business needs to prioritize the resource allotment on these methods on the basis of its available resources and the possible benefits which the strategy would offer.
NOTE: The values about expense are presumed on rational basis due the absence of figures and facts connected to cost in the case study. Inflation rate of United States is presumed to be 10%.

On the basis of deep analysis of the external and internal factors of Arvin Exhaust Thailand Building An Asian Supply Base Case Study Solution triggering the decline of tv viewership rate and attendance rate at tracks, the above marketing strategies are advised to NASCAR to increase its fan base in long term. These techniques would deal with internal aspects like bad client experience at tracks, insufficient social media marketing, incapable digital medias like games, absence of culturalisms at tracks and so on, in addition to with external factors like moving of fans towards other sports, demographical changes in America and changing domesticity styles.