Chiquita Brands International B Online Case Study Solution

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Chiquita Brands International B Case Study Solution & Analysis


Chiquita Brands International B Case Study Help (National Association for Stock Cars And Truck Car Racing) is an organization conducting series of Stock Vehicle racing in United States and functioning as a sanctioning body for driving the rules for Stock Cars and truck Racing. The organization was founded in 1947, by "Huge Bill" France. NASCAR set up Stock Cars and truck Racing occasions in United States with the presence of about 130000 audiences usually in 2005. It also relayed its occasions in about 150 countries. Stock Cars And Truck Racing by NASCAR is the second largest spectator sport, with highest variety of sponsors. It has about 500 sponsors contributing billions of dollars in its income. The other sources of revenue for Chiquita Brands International B Case Study Analysis consists of; 10% of the total profits from television rights, sanctioning charges i.e. $1-2 million per race, and licencing NASCAR brand to companies.

NASCAR has a closed corporate culture with the non-interventionist approach. This non collaborative technique brings tensions in the sport. The structure of Car of Tomorrow by Chiquita Brands International B Case Study Help, with an intent of safety for the drivers, brought different stress amongst the stakeholders of the sport.
Executive Summary
The interaction audit, conducted in 2010, revealed that regardless of the reality that the business highly rely on the interactions in between its stakeholders, there was no identifiable organisation interaction technique. (

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

Chiquita Brands International B Case Study Analysis viewers was highly loyal to the sport and the brand names related to the NASCAR, making it appealing for sponsors and business marketers.

Issue Statement.

The business is presently facing the issue of declining rates of presence at racing tracks and rates of tv viewers. This can put a substantial influence on its revenues from sponsors, media rights, and from other sources of earnings.

Situational Analysis.

The business was quite successful till 2005 with its conventional marketing techniques, but quickly after 2005 the business begins facing different problems consisting of decline of its fan base. A number of external along with internal aspects are responsible for the decrease. Internal elements include; insufficient investment in social networks 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 children and produce generational commitment. Other difficulties for NASCAR includes the shift of its fans to other sports as they were enhancing their fan's experience allowing access to their broadcasts out of the homes through jumbo turns, Wi-Fi access, etc.

SWOT Analysis.


In SWOT analysis, strengths specified as business's qualities which are various from its competitors. These are company's core proficiencies on which company efficiency or company success based upon. Chiquita Brands International B Case Study Help core proficiencies includes it has rights of dictating rules as approving body. Regulations and rules relating to professional stock car racing are determined by NASCAR like if any team with needed skills and resources can enter into races by following guidelines and policies dictated by NASCAR. So NASCAR has monopoly it this aspect. Its strengths likewise includes that it has title of second largest spectator sport in the United States with having more fortune 500 sponsors based in US. Its races were used to relay in more than 150 countries around the globe with more than $56 million profits. The primary sources of their incomes come from television rights, sanctioning costs, sponsorship and licensing. It has longest season of 10 months and having ownership of three nationwide series i.e. Outdoor camping World Truck Series, the Sprint Cup Series and the Nationwide Series. It has likewise big resource of fans and corporate sponsors. Because of most significant brand name commitment of fans towards brands promoted by NASCAR, all the events of NASCAR are sponsored by corporates. (See Appendix A).

Weak points.

Weaknesses in SWOT Analysis are thought about as external factors. Weak points includes the aspects that stops company to perform at needed level of effectiveness. Weaknesses of NASCAR includes its close culture which is non collective. They have non-interventionist technique. They usually used to form guidelines and other required procedures without intervention of others which leads to bad collaboration. For example NASCAR establishes Cars and truck of Tomorrow without partnership so result is that chauffeurs did not like that idea. As this is racing sport so covering of sports by media is also difficult. It was likewise discovered that NASCAR had no reliable strategy for business interaction. If it happened off track, they don't know how to manage concern. Inefficient business interaction leads to that they do not have clear instructions for their long term objectives. They don't understand that where they want to see this sport in future.
Porter's 5 Forces Analysis

Opportunities in SWOT analysis are external elements which can be beneficial to company or the external elements on which company is having competitive benefit. NASCAR generally used to depend on conventional media sources like local newspaper for publicity of its sports. Typically these traditional media sources attempt to cover their house group and particular sort of events. NASCAR likewise familiarized from these standard media outlets that sport was hard to cover. Media landscape likewise altered from standard to digital landscape. Newspapers went out of business. NASCAR can deal with its abilities to get optimal possible gain from this new digital landscape. NASCAR have underinvestment in digital resources. So it can capitalize in digital and social media to get its advantages. Digital rights of NASCAR were also sold to Turner Sports. NASCAR utilized to get pay check of around $15 million each year from Turner Sports. There are variety of cons behind this offer. For instance Chiquita Brands International B Case Study Solution needed to get approval from Turner Sport if it wish to create its Facebook page, twitter account or even mobile application. Turner Sport also had rights of every single video which is shoot throughout race at track. If media sources like papers, publications and cable channels wish to publish videos of races on their particular pages then they are required to pay licensing fees to Turner Sport. NASCAR can work on conditions and terms and try to negotiate with Turner Sports to get optimal benefits of it. Star power plays very essential function in producing incomes from every sport. Nevertheless it was kept in mind that Chiquita Brands International B Case Study Analysis is lagging in this location i.e. star power. For instance when sports fans were asked regarding popular celebrities and stars then NASCAR motorist was not found even in leading twenty actions. NASCAR can put efforts in this area too for earnings generation. They need to direct their chauffeurs that how they can end up being sport stars. Four strategic focuses which are produced by research team can also be worked as opportunity for NESCAR. These 4 tactical focuses compares and analysis Chiquita Brands International B Case Study Help strategies.


Threats in SWOT analysis are specified as external elements that can danger to business's success. Economic down turn was experienced in late 2000 which can be risk for NASCAR because if there is financial down turn then individuals would be having less return on investment. Earning of people would be effected and they would be more mindful in investing their loan. Economic down turn also results in boost fuel costs which also affected NASCAR. Due to the fact that fans of NASCAR used to attend its event from long distances. NESCAR had a guideline of 65/25/10 for profits circulation. 65 percent earnings from media rights would be dispersed to race course, 25 percent earnings would be dispersed to competing group and staying 10 percent would be retained by NESCAR which is approving body. Completing team wished to increase their portion of earnings from 25 percent due to the fact that of boost in running expense of a race team and also there is decline in the number of full-season sponsorship. NESCAR likewise deals with risks from other sponsors due to the fact that they are making enormous financial investments to enhance experience of fans. For instance which includes updating existing avenues, developing brand-new opportunities, supplying Wi-Fi center and also offering other interactive mediums to interact sports on smart devices. Fan base of NASCAR consisted of married males with an average age of 47, which passes their fandom to their youngsters and create generational commitment. The challenge is that the household system in America was changing resulting in decrease of influence of married male fan base over their youngsters. Along with it perceptions about automobile was also altering with viewing vehicle an automobile to reach at point B from point A, instead of as an enjoyable project. If NASCAR make significant investments in brand-new sectors which are based on brand-new customers then it may deal with unfavorable remarks from its core fan base, now.

Porter's Five Forces Analysis

Porter's 5 forces is a model that is used to evaluate market in which company is working. It assists in identifying what are strengths and weak point of any particular industry. It recommend that every market is various from one another. Since NASCAR's bottom line i.e. net profit is heavily depends on this, it is important to comprehend industry in which business is working. There are 5 forces that are used to recognize profitability, strength and appearance of Chiquita Brands International B Case Study Help organisation.

Competitive Rivalry

This force suggests capability of competitors. Groups normally represents sponsors in NASCAR and the medium of advertising is motorists. It can be said that drivers and race vehicles are rivals. These chauffeurs can break NASCAR if they got better chance in regards to prizes and tv exposure. Then viewers can move to those other intriguing cars and chauffeurs, if viewers enjoy other race cars and trucks and drivers more than NASCAR. NASCAR might be having hazard from its 2 direct competitors that is Solution 1 and Moto GP. They need to produce competitive advantages for chauffeurs so they don't shift to other rivals.
Swot Analysis
Provider Power

If company shifts from one supplier to another, the supplier power shows the number of suppliers are available in industry and what is the expense associated with supplier. In this market there is supply monopoly due to the fact that chauffeurs with needed resources and skills are restricted.

Buyer Power

In the case of NASCAR consumers are its audiences. Viewers can change to other competitors easily due to the fact that audiences will having low switching expense.

Threat of Alternative

Replacements are referred as options. The alternatives in this case can be other home entertainment means like audiences can shift to other sports. There are broad variety of substitutes are readily available in this scenario which suggests that danger of substitute is high.

Threat of New Entry

It is specified as how it is easy for any business to go into in that specific market. When it comes to Chiquita Brands International B Case Study Help danger of new entry is low. If any company requires to enter in this business than they have to make heavy investments, since. They need to construct cars and racing tracks and likewise requires to pay significant total up to drivers for switching.

PESTEL Analysis


It can not be concluded from case research study that there would be modification in resource allotments. NASCAR had actually got gain from lower taxation policies which leads to increasing in earnings. They made heavy financial investments in the research study and advancement. As NASCAR is working in various markets so it requires to deal with different policies. It is also kept in mind that Chiquita Brands International B Case Study Analysis has actually dealt with increased scrutiny relating to regulative. Every government has different priority so NASCAR needs to be gotten ready for it as top priority can be shifted to other sector.


Economic factors consists of tax rate, currency exchange rate, financial 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 employees to create brand-new chances and improve existing chances.


Each has various social worths and standards. It helps in comprehending regarding society and preference of clients.


In this case of NASCAR it can be kept in mind that business are greatly spending for research study and advancement. NASCAR needs to also work on its media rights policy with Turner Broadcasting System.

Vrio Analysis
Legal plays an essential role in every nation since every nation has various legal terms and conditions. Chiquita Brands International B Case Study Analysis needs to be ensure that they safeguard their legal rights in every county so any business does not hurt to its legal rights.


Environmental aspects are likewise essential for every service. NASCAR requires to make sure that its cars and trucks are not producing pollution more than acceptable level.

7 P's of Marketing


The products of Chiquita Brands International B Case Study Analysis in its product portfolio are; racing occasions tickets, racing tracks, sponsor's marketing, media rights, licencing NASCAR brand name, approving guidelines for races and ad-space to business online marketers during broadcast of NASCAR races. (Hanlon, 2018).


Pricing technique of NASCAR for its race occasions tickets is based upon the place and value of the racing occasions. Along with race events tickets, NASCAR likewise charge various service fees to its stakeholders and makes income. It charged sanctioning costs of $1-2 million per race on average in 2005.


Advertising method of Chiquita Brands International B Case Study Analysis is highly based upon its fan base. A strong fan base share its fandom with others and increase the number of viewers for NASCAR races. The business is not totally relied upon its fan base for its promo and promote through regional radio stations too. The business has actually also adopted the merchandising media of promo, in which the company sells products with its logo design.


NASCAR have its racing tracks in numerous cities in United States. The most crucial tracks of NASCAR includes Atlanta Motor Speedway in Georgia, Automobile Club Speedway in California and Darlington Raceway in South Carolina. It tries to perform its races in most of the cities in United States to comprehend across the country popularity.


Nestle individuals technique is comprised of offering much better experience to its audiences, its fan base and to all of its stakeholders. Individuals are a crucial aspect of Chiquita Brands International B Case Study Analysis A marketing technique as its events are the source of home entertainment for crowd. Its people technique includes efforts to supply much better experience to its Fans, Race Drivers, Team, Occasion Organizers and so on, all of which come under people technique of NASCAR.


A number of business procedures are required to perform racing occasions in an effective method. These processes include; correct schedule of time, arrangement for viewers, selling tickets, arrangement of area for sponsors, handling logistics and so on. These all procedures contribute I developing NASCAR image, enhancing viewers experience and increasing fan base.

Physical Evidence.

Most important physical evidences for the NASCAR includes the existence of its racing tracks, stock vehicles and racing occasions. In addition to it, its merchandising brands including t-shirts, caps, goodies etc., also serve as a physical proof for NASCAR.

Product Life Cycle Assessment.

The racing occasions by NASCAR was presented on June 19, 1949. At the first phase competition for NASCAR was low, as the rivals drove the cars and trucks comparable to the cars driven by normal individuals.


The very first NASCAR based track, particularly the Darlington Raceway track, was started in 1950 in South Carolina. After the development of racing tracks the company 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 changed NASCAR from a regional Sport popular company into one with international fan base. He initiated a new age of lucrative sponsorships and television contracts for NASCAR.


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


The decrease in the business's offerings began after 2005 with average presence rate per race decreased by 22% from 2005 to 2010 and tv viewership rate decreased by 30% from 2005 to 2010. The significant reasons for decline consist of the financial crisis of 2008, which increased the expense of getting to tracks for audiences due to increasing fuel prices, and the moving of its fan base towards other sports.

Market Segmentation.

The market division of Chiquita Brands International B Case Study Solution can be divided into 4 sectors; Geographic, Demographic, Psychographic and Behavioural. (Dutta, 2018).


The geographical division of Chiquita Brands International B Case Help is based upon the geographical existence of its tracks in different states and cities in United States, and the television broadcasting of its events in numerous countries. The company has 23 tracks in about 20 states of America and has television broadcast through various Medias i.e. TNT, ESPN, ABC and Fox, in about 150 countries.This vast geographical division offers the company local as well as international fan base.


The demographic segmentation of Chiquita Brands International B Case Study Solution is likewise highlydiverse based upon the gender, income and age of the customer. To increase the market sector of its market NASCAR need to modify its marketing strategies to bring in more age groups and lower its costs to enter in the market section with a low typical income.


NASCAR has a fan base with a loyalty. NASCAR fans view it compulsive to purchase tickets and see the races once in a week. NASCAR has actually attempted to increase the quality of its racing by presenting stage racing, they likewise have tried to lower costs and make the event more convenient by presenting live racing.


Behavioural division of Chiquita Brands International B Case Study Help is based upon the behaviour of fans in terms of watching the race reside on the tv or by going in the events. Currently, the fans preference is towards enjoying the race in your home on television rather than going, as the consumer experience at NASCAR tracks is not beneficial in addition to pricey. This choice makes the rates for presence lower than the rates for television viewers. NASCAR needs to alter the behaviour of its fan base by presenting qualitative services at its tracks.

Target audience.


One of the possible target market of NASCAR was Hispanics; the young and growing population of United States. The market segment has fantastic possible for NASCAR as the population was growing at a higher rate and it was expected to become thrice after forty years and the segment has increasing wealth rate with about $1 trillion of wealth in 2014.


Kids are likewise one of the prospective target market section for NASCAR, as they are more linked socially than other groups. Vehicle racing games established by Chiquita Brands International B Case Study Help can be a prospective source of acquiring attention of kids towards NASCAR track racing. NASCAR requires more attention towards personalizing and improving its digital features to bring in the kids target market.

This huge expenditure makes the section potential for NASCAR marketing method of increasing its fan base. The market sector thinks about NASCAR as an organization lacking in creating a multiculturalism atmosphere. NASCAR ought to take different actions to enhance the experience of Generation Y consumers in its events.

5 C's of Marketing

5 C's of marketing assists in taking decisions concerning marketing. These 5 C's requirements to be evaluated correctly for taking any marketing choice. These 5 C's stands for Environment, Company, Collaborators, Consumers and Rivals.


It needs to make PESTLE analysis in order to comprehend climate or context in which NASCAR is working. PESTLE stands for political, economic, social, technical, legal and environmental and is stated above.


Chiquita Brands International B Case Study Analysis is an automobile racing business with having USP of high quality auto racing with an international structure. Its sector is sports group and occasions.


Collaborations consists of suppliers, suppliers and alliances of NASCAR. NASCAR utilized to get pay check of around $15 million yearly from Turner Sports. NASCAR had to get approval from Turner Sport if it want to develop its Facebook page, twitter account or even mobile application.


The customer of Chiquita Brands International B Case Study Help are its audiences. They target customers with having age of 15-60 years. Fan base of NASCAR comprised of married males with an average age of 47, which passes their fandom to their youngsters and create generational loyalty.


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

Marketing Techniques.

1. Preserving and developing Facebook Page.
Among the potential target audience sections for NASCAR is Hispanics which is the growing population sector of USA however sadly NASCAR had been unable to attract the this targeted segment. In order to draw in the young growing generation the NASCAR ought to market by utilizing social media like Facebook. It ought to develop a Facebook page including the info regarding the races and the locations of tracks to make the customer informative about the core operations of Chiquita Brands International B Case Study Solution. It needs to also update its Facebook page on everyday basis to supply information about its upcoming events. This would make the target audience sector more useful about the business and would lead to attracting big fans base.
2. Developing and Upgrading Accounts of Secret Drivers.
Chiquita Brands International B Case Study Analysis motorists has a low star power as compare to gamers of other sports. The poor contacts with fans result in less destination of audiences towards the racers and a low star power. Star power is a crucial aspect for attracting viewers towards tracks and towards tv.
3. Establishing New Games and improving present games for kids.
Kids spent the majority of their time on playing video games and using mobile phones. Sadly, kids playing NASCARA have a worst experience of playing its games. As a result, they are less drawn in towards the sport. In order to bring in these kids, NASCARA ought to improve its current racing video games by introducing customization in the vehicles i.e. altering colours, selection of speed, presenting group racing in the game, utilizing much better graphics related to the racing tracks and presenting numerous levels in the video game. All these adjustments in the current video game would provide much better experience to kids.
In addition to it, NASCAR needs to also build new games associated with racing like kids racing with kids characters as motorists, animation racing with racing in between various animation characters with a choice of selecting the favourite cartoon character for the kids. These techniques would make it possible for the business to draw in one of its potential target sections.
4. Introducing multiculturalism at occasions.
NASCAR events are made up of fans with really few cultural variety, due to cost of arrival in events, making it unappealing for the customers perceiving sport events as social celebrations i.e. Generation Y clients. As the Generation Y clients are a prospective target market for NASCAR, therefore the company must take certain procedures to attract this possible target market.
5. Improving Customer Experience at Tracks.
NASCAR must work on infrastructure and amenities at tracks since on the race day audiences got disappointed. Audiences have many expectations from Chiquita Brands International B Case Study Help since in exact same industry other companies are offering better services than NASCAR. IF NASCAR do not work on this problem then its fans might moved to its rivals.

Marketing Budget plan

Marketing budget plan made on the basis of the above strategies for the period of 5 years from 2011 to 2015, shows the expense related data for the marketing strategies. (See Appendix B). It can be seen that technique 5 of improving consumer experience at tracks would require highest initial financial investment and expense and technique 4 of introducing multiculturalism will require least expensive initial investment with lowest even more each year cost. The company needs to focus on the resource allocation on these strategies on the basis of its offered resources and the possible advantages which the method would offer.
NOTE: The values about expense are assumed on logical basis due the absence of realities and figures associated with cost in the event research study. Inflation rate of United States is assumed to be 10%.

On the basis of deep analysis of the internal and external elements of Chiquita Brands International B Case Study Help triggering the decrease of television viewership rate and participation rate at tracks, the above marketing techniques are recommended to NASCAR to increase its fan base in long run. These methods would manage internal elements like bad client experience at tracks, insufficient social networks marketing, incapable digital medias like games, lack of culturalisms at tracks and so on, along with with external elements like shifting of fans towards other sports, demographical modifications in America and altering family life styles.