Mack Henley B Online Case Study Analysis

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Mack Henley B Case Study Solution & Analysis


Mack Henley B Case Study Solution (National Association for Stock Vehicle Auto Racing) is a company carrying out series of Stock Vehicle racing in United States and functioning as a sanctioning body for driving the rules for Stock Car Racing. The organization was founded in 1947, by "Big Bill" France. NASCAR set up Stock Automobile Racing occasions in United States with the existence of about 130000 audiences typically in 2005. It also transmitted its events in about 150 countries. Stock Vehicle Racing by NASCAR is the 2nd biggest spectator sport, with greatest number of sponsors. It has about 500 sponsors contributing billions of dollars in its income. The other sources of earnings for Mack Henley B Case Study Help consists of; 10% of the overall revenue from television rights, approving fees i.e. $1-2 million per race, and licencing NASCAR brand to business.

NASCAR has a closed corporate culture with the non-interventionist approach. The structure of Cars and truck of Tomorrow by NASCAR, with an intent of safety for the chauffeurs, brought various tensions amongst the stakeholders of the sport.
Executive Summary
The communication audit, carried out in 2010, revealed that in spite of the fact that the service extremely rely on the communications in between its stakeholders, there was no recognizable service interaction method. (

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

Mack Henley B Case Study Solution audiences was extremely faithful to the sport and the brand names connected with the NASCAR, making it appealing for sponsors and corporate marketers.

Issue Declaration.

The company is currently dealing with the problem of decreasing rates of attendance at racing tracks and rates of television audiences. This can put a considerable impact on its profits from sponsors, media rights, and from other sources of profits.

Situational Analysis.

Although the company was rather successful till 2005 with its conventional marketing strategies, but right after 2005 the company begins facing numerous problems including decline of its fan base. Several external along with internal factors are accountable for the decline. Internal factors consist of; insufficient financial investment in social networks and other digital medias of.

Fan base of NASCAR comprised of married males with a typical age of 47, which passes their fandom to their children and create generational loyalty. The family system in America was altering resulting in reduction of influence of married male fan base over their children. In addition to it understandings about cars and truck was likewise altering with viewing cars and truck an automobile to reach at point B from point A, instead of as an enjoyable task. Other obstacles for Mack Henley B Case Study Solution consists of 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. These all obstacles were tending the company to revise its marketing methods.

SWOT Analysis.


NASCAR core competencies includes it has rights of dictating guidelines as approving body. Rules and policies relating to expert stock automobile racing are dictated by NASCAR like if any team with needed skills and resources can enter into races by following guidelines and policies determined by NASCAR. All the occasions of NASCAR are sponsored by corporates since of biggest brand name commitment of fans towards brands marketed by Mack Henley B Case Study Solution.


Weak points of NASCAR includes its close culture which is non collective. Mack Henley B Case Study Analysis establishes Vehicle of Tomorrow without collaboration so result is that drivers did not like that idea. It was likewise discovered that NASCAR had no efficient strategy for organisation interaction.
Porter's 5 Forces Analysis

Opportunities in SWOT analysis are external aspects which can be favourable to business or the external aspects on which company is having competitive advantage. NASCAR generally used to rely on conventional media sources like local newspaper for promotion of its sports. Normally these standard media sources try to cover their home team and certain sort of occasions. NASCAR also came to know from these conventional media outlets that sport was challenging to cover. Media landscape likewise changed from standard to digital landscape. Newspapers failed. NASCAR can deal with its capabilities to get optimal possible gain from this new digital landscape. NASCAR have underinvestment in digital resources. It can capitalize in social and digital media to get its benefits. Digital rights of NASCAR were also sold to Turner Sports. NASCAR utilized to earn money check of around $15 million every year from Turner Sports. There are variety of cons behind this deal. NASCAR had to get approval from Turner Sport if it want to create its Facebook page, twitter account or even mobile application. Turner Sport likewise had rights of each and every single video which is shoot during race at track. Then they are required to pay licensing costs to Turner Sport, if media sources like papers, magazines and cable channels want to post videos of races on their respective pages. So NASCAR can work on conditions and terms and attempt to negotiate with Turner Sports to get optimal advantages of it. Star power plays really important function in creating earnings from every sport. It was kept in mind that NASCAR is lagging in this location i.e. star power. For example when sports fans were asked relating to popular celebrities and stars then NASCAR driver was not discovered even in top twenty actions. So NASCAR can put efforts in this area too for profits generation. They ought to assist their drivers that how they can become sport stars. 4 tactical focuses which are created by research study group can likewise be acted as opportunity for NESCAR. These four tactical focuses compares and analysis Mack Henley B Case Study Solution strategies.


Hazards in SWOT analysis are specified as external elements that can danger to business's success. Since if there is financial down turn then people would be having less return on investment, Economic down turn was experienced in late 2000 which can be hazard for NASCAR. Earning of individuals would be effected and they would be more conscious in spending their cash. Economic down turn also leads to increase fuel prices which likewise impacted NASCAR. Since fans of NASCAR utilized to attend its event from long distances. NESCAR had a rule of 65/25/10 for earnings circulation. 65 percent earnings from media rights would be distributed to race tracks, 25 percent earnings would be dispersed to contending team and staying 10 percent would be kept by NESCAR which is sanctioning body. Completing group wished to increase their portion of income from 25 percent since of increase in operating expense of a race team and also there is decline in the variety of full-season sponsorship. Because they are making massive financial investments to enhance experience of fans, nescar likewise faces hazards from other sponsors. For example that includes upgrading existing opportunities, constructing new avenues, offering Wi-Fi center and also providing other interactive mediums to interact sports on smart devices. 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. The obstacle is that the household system in America was altering resulting in reduction of impact of married male fan base over their children. Together with it perceptions about vehicle was also altering with perceiving automobile a car to reach at point B from point A, rather than as a fun task. Now if Mack Henley B Case Study Help make substantial financial investments in brand-new sections which are based on brand-new customers then it may deal with negative comments from its core fan base.

Porter's 5 Forces Analysis

It is crucial to understand market in which business is working since NASCAR's bottom line i.e. net earnings is heavily depends on this. There are 5 forces that are utilized to recognize success, intensity and appearance of NASCAR business.

Competitive Rivalry

These chauffeurs can go against NASCAR if they got better chance in terms of rewards and television exposure. If viewers take pleasure in other race automobiles and drivers more than NASCAR then viewers can move to those other interesting vehicles and motorists. NASCAR could be having risk from its two direct rivals that is Solution 1 and Moto GP.
Swot Analysis
Supplier Power

The supplier power suggests the variety of suppliers are readily available in industry and what is the expense associated with provider if business shifts from one supplier to another. Because drivers with needed skills and resources are restricted, in this market there is supply monopoly.

Buyer Power

This force is concerning to customers that is it simple for customers to move to other items. If there is more changing expense is associated then consumers are less likely to change. In the case of NASCAR customers are its audiences. Audiences can switch to other rivals easily since audiences will having low changing expense.

Threat of Replacement

Replacements are referred as options. The alternatives in this case can be other entertainment implies like audiences can shift to other sports. There are wide range of alternatives are readily available in this situation which suggests that risk of substitute is high.

Danger of New Entry

In the case of NASCAR risk of new entry is low. They require to develop cars and racing tracks and also requires to pay substantial quantity to drivers for switching.

PESTEL Analysis


As NASCAR is working in different markets so it needs to deal with various regulations. It is likewise kept in mind that NASCAR has actually dealt with increased analysis relating to regulative. Every government has different top priority so NASCAR has to be prepared for it as concern can be moved to other sector.


Financial factors includes tax rate, exchange rate, financial performance of that particular company, conditions of labour market, inflation rate etc. 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 abilities of staff members to create new chances and enhance existing opportunities.


Each has different social worths and norms. It helps in comprehending concerning society and preference of clients.


Technology has influence on nearly every organisation. It includes development in organisation technique. In this case of Mack Henley B Case Study Solution it can be noted that companies are greatly investing for research and advancement. NASCAR ought to likewise work on its media rights policy with Turner Broadcasting System.

Vrio Analysis
Legal plays an essential function in every country due to the fact that every nation has different legal terms and conditions. Mack Henley B Case Study Help needs to be ensure that they protect their legal rights in every county so any company does not hurt to its legal rights.


Ecological factors are likewise crucial for each company. Because normally governments do not enable those service which can damage to environment. These ecological aspects includes laws relating to pollution, climate modification, safe garbage disposal, policies relating to insurance and so on. NASCAR requires to make certain that its automobiles are not creating pollution more than acceptable level.

7 P's of Marketing


The products of Mack Henley B Case Study Solution in its product portfolio are; racing occasions tickets, racing tracks, sponsor's marketing, media rights, licencing NASCAR brand name, sanctioning rules for races and ad-space to corporate online marketers during broadcast of NASCAR races. (Hanlon, 2018).


Prices method of NASCAR for its race occasions tickets is based upon the place and importance of the racing occasions. In addition to race occasions tickets, NASCAR also charge various service charge to its stakeholders and earns profits. It charged approving costs of $1-2 million per race on average in 2005.


Marketing strategy of Mack Henley B Case Study Solution is extremely 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 completely relied upon its fan base for its promo and promote through local radio stations too. The business has also adopted the retailing media of promotion, in which the company sells merchandises with its logo.


NASCAR have its racing tracks in different cities in United States. The most essential tracks of NASCAR consists of Atlanta Motor Speedway in Georgia, Auto Club Speedway in California and Darlington Raceway in South Carolina. It tries to perform its races in the majority of the cities in United States to understand nationwide popularity.


Nestle people technique is consisted of offering much better experience to its audiences, its fan base and to all of its stakeholders. Individuals are an essential aspect of Mack Henley B Case Study Analysis A marketing method as its occasions are the source of home entertainment for crowd. Its people strategy includes efforts to offer much better experience to its Fans, Race Drivers, Team, Occasion Organizers and so on, all of which come under people strategy of NASCAR.


Numerous organisation procedures are needed to conduct racing events in an efficient method. These procedures include; proper schedule of time, arrangement for spectators, offering tickets, plan of area for sponsors, managing logistics etc. These all procedures contribute I constructing NASCAR image, enhancing viewers experience and increasing fan base.

Physical Evidence.

Most important physical proofs for the NASCAR consists of the presence of its racing tracks, stock vehicles and racing occasions. Together with it, its merchandising brand names including t-shirts, caps, goodies and so on, likewise act as a physical evidence for NASCAR.

Product Life Process Evaluation.

The racing occasions by NASCAR was introduced on June 19, 1949. At the very first phase competition for NASCAR was low, as the competitors drove the cars and trucks similar to the automobiles driven by ordinary 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 relaying its races on television in 1979.

In 1972, William France Jr., became the president of NASCAR and n about 3 decades, he transformed NASCAR from a local Sport popular organization into one with worldwide fan base. He initiated a new age of profitable sponsorships and television contracts for NASCAR.


The maturity duration for NASCAR began with the efforts of William France Jr., with the business having wide range of income sources. The business has about 500 sponsors with broadcasting its occasions in about 150 nations. The company has a great deal of tracks in most of the cities of United States.


The significant causes of decrease consist of the monetary crisis of 2008, which increased the expense of getting here at tracks for audiences due to increasing fuel costs, and the moving of its fan base towards other sports.

Market Division.

The marketplace segmentation of Mack Henley B Case Study Analysis can be divided into 4 segments; Geographic, Demographic, Psychographic and Behavioural. (Dutta, 2018).


The geographical division of Mack Henley B Case Analysis is based upon the geographical presence of its tracks in different states and cities in United States, and the tv 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 large geographical division offers the business regional as well as international fan base.


The demographic segmentation of NASCAR is also highlydiverse based upon the gender, earnings and age of the consumer. Its current fan base is majorly consisted of male married fans with an average age of 47 years and an earnings around $30-50 thousands. Currently NASCAR is trying to increase its target market to the young growing population and kinds. To increase the group section of its market NASCAR should modify its marketing methods to draw in more age and lower its prices to enter in the market sector with a low average earnings.( htt1).


NASCAR has a fan base with a commitment. NASCAR fans view it compulsive to acquire tickets and see the races when in a week. NASCAR has attempted to increase the quality of its racing by presenting phase racing, they also have attempted to lower rates and make the event more hassle-free by introducing live racing.


Behavioural division of NASCAR is based upon the behaviour of fans in terms of enjoying the race live on the tv or by going in the occasions. Presently, the fans preference is towards viewing the race at home on tv rather than going, as the consumer experience at NASCAR tracks is not favourable as well as costly.

Target Market.


One of the possible target market of NASCAR was Hispanics; the young and growing population of United States. The market segment has fantastic prospective 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 also one of the possible target market section for NASCAR, as they are more connected socially than other groups. Vehicle racing games established by Mack Henley B Case Study Analysis can be a potential source of getting attention of kids towards NASCAR track racing. NASCAR needs more attention towards customizing and enhancing its digital features to draw in the kids target market.

Generation Y.
Generation Y target market includes those who invested 5 times more resources on discretionary expenses i.e. acquiring tickets for racing occasions, than others. This huge expenditure makes the section potential for NASCAR marketing strategy of increasing its fan base. The market segment is likewise easy to approach as 81% of the Y Generation consumer utilizes Facebook the use and every day is two times of using television and radio. The marketplace segment views sports as a get-together, instead of adherence to sport. The marketplace section thinks about NASCAR as an organization doing not have in creating a multiculturalism environment. Mack Henley B Case Study Solution must take various steps to enhance the experience of Generation Y customers in its occasions.

5 C's of Marketing

5 C's of marketing assists in taking choices concerning marketing. These 5 C's requirements to be evaluated properly for taking any marketing choice. These 5 C's stands for Climate, Business, Collaborators, Consumers and Competitors.


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


Mack Henley B Case Study Analysis is an auto racing company with having USP of high quality car racing with a global structure. Its sector is sports group and events.


Collaborations consists of suppliers, suppliers and alliances of Mack Henley B Case Study Solution. It is worked together with different racing teams which are participating in racing. It also worked together with Turners Sport for digital rights. NASCAR utilized to make money check of around $15 million each year from Turner Sports. There are number of cons behind this offer. For instance NASCAR had to get approval from Turner Sport if it want to produce its Facebook page, twitter account and even mobile application. Turner Sport also had rights of every single video which is shoot throughout race at track.


The client of Mack Henley B Case Study Analysis are its viewers. They target clients with having age of 15-60 years. Fan base of NASCAR comprised of married males with a typical age of 47, which passes their fandom to their children and develop generational commitment.


Groups typically represents sponsors in NASCAR and the medium of marketing is motorists. These motorists can go versus NASCAR if they got much better chance in terms of rewards and television direct exposure.

Marketing Techniques.

1. Preserving and developing Facebook Page.
One of the potential target audience sectors for NASCAR is Hispanics which is the growing population segment of USA however sadly NASCAR had been not able to draw in the this targeted section. In order to attract the young growing generation the NASCAR need to market by using social networks like Facebook. It should establish a Facebook page including the information concerning the races and the areas of tracks to make the customer informative about the core operations of Mack Henley B Case Study Analysis. It ought to also update its Facebook page on everyday basis to offer info about its approaching occasions. This would make the target market segment more informative about the business and would result in attracting big fans base.
2. Establishing and Updating Accounts of Key Drivers.
Mack Henley B Case Study Help chauffeurs has a low star power as compare to gamers of other sports. The poor contacts with fans result in less attraction of viewers 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 enhancing existing video games for kids.
In order to draw in these kids, NASCARA ought to enhance its present racing games by presenting modification in the cars i.e. altering colours, choice of speed, presenting group racing in the video game, using better graphics related to the racing tracks and introducing various levels in the game. All these adjustments in the present video game would offer better experience to kids.
In addition to it, NASCAR needs to likewise build brand-new video games related to racing like kids racing with kids characters as drivers, cartoon racing with racing in between numerous animation characters with an option of selecting the favourite animation character for the kids. These techniques would allow the business to draw in among its possible target sections.
4. Introducing multiculturalism at events.
NASCAR events are made up of fans with very few cultural variety, due to expense of arrival in occasions, making it unattractive for the customers viewing sport occasions as social occasions i.e. Generation Y clients. As the Generation Y customers are a potential target market for NASCAR, for that reason the business must take particular steps to attract this potential target market.
5. Improving Consumer Experience at Tracks.
Because on the race day viewers got dissatisfied, NASCAR needs to work on facilities and features at tracks. Because in same industry other business are providing much better services than NASCAR, viewers have numerous expectations from Mack Henley B Case Study Analysis. IF NASCAR do not work on this problem then its fans might moved to its rivals. According to fans there were not adequate facilities were available as compare to other sports service providers. So NASCAR ought to ensure that it supply appropriate centers that includes cleaned restrooms, comfortable seating arrangement. They need to likewise provide WIFI services and accessibility of charge card throughout that track. It should be also ensure that there suffice jumbo turns placed at all needed places. There must be also food stalls that offer quality food to viewers. In this way audiences will be having pleasant experience at the day of occasion. (See Appendix B).

Marketing Budget

Marketing spending plan made on the basis of the above strategies for the period of 5 years from 2011 to 2015, reveals the expense associated information for the marketing methods. (See Appendix B). It can be seen that technique 5 of improving client experience at tracks would need greatest preliminary investment and cost and method 4 of presenting multiculturalism will need most affordable initial investment with most affordable even more annually cost. The company ought to focus on the resource allowance on these strategies on the basis of its available resources and the potential benefits which the technique would provide.
NOTE: The values about cost are assumed on logical basis due the lack of realities and figures related to cost in the case research study. Inflation rate of United States is assumed to be 10%.

On the basis of deep analysis of the internal and external aspects of Mack Henley B Case Study Help causing the decrease of television viewership rate and presence rate at tracks, the above marketing strategies are advised to NASCAR to increase its fan base in long term. These techniques would handle internal elements like bad client experience at tracks, inadequate social media marketing, incapable digital medias like video games, lack of culturalisms at tracks etc., in addition to with external elements like moving of fans towards other sports, demographical modifications in America and altering family life styles.