The Global Water And Food Supply Problem Case Study Solution and Analysis
The Global Water And Food Supply Problem Case Study Solution (National Association for Stock Vehicle Automobile Racing) is a company conducting series of Stock Car racing in United States and acting as a sanctioning body for driving the guidelines for Stock Cars and truck Racing. The company was established in 1947, by "Huge Expense" France. NASCAR set up Stock Automobile Racing events in United States with the existence of about 130000 audiences on average in 2005. It likewise broadcast its events in about 150 nations. Stock Automobile Racing by NASCAR is the 2nd biggest spectator sport, with highest number of sponsors. It has about 500 sponsors contributing billions of dollars in its revenue. The other sources of revenue for The Global Water And Food Supply Problem Case Study Solution consists of; 10% of the total revenue from television rights, approving fees i.e. $1-2 million per race, and licencing NASCAR brand name to companies.
NASCAR has a closed business culture with the non-interventionist method. The building of Car of Tomorrow by NASCAR, with an intent of security for the chauffeurs, brought various tensions amongst the stakeholders of the sport.
The interaction audit, carried out in 2010, revealed that regardless of the reality that business extremely rely on the interactions between its stakeholders, there was no identifiable organisation communication method. The industry's target consumers, direction and objectives were all unknown.
The audit pointed out different lacking of NASCAR in regards to absence of internal combination, absence of fan management method and lack of digital and social media of marketing. The company has complex community with independent tracks, groups and drivers. This structure with closed corporate culture bring numerous obstacles in speeding up a modification. Other partners in ecosystem includes the media networks i.e. tv and radio, and corporate marketers.
The Global Water And Food Supply Problem Case Study Analysis viewers was extremely faithful to the sport and the brand names connected with the NASCAR, making it appealing for sponsors and business online marketers.
The business is currently facing the issue of decreasing rates of presence at racing tracks and rates of tv audiences. This can put a considerable impact on its earnings from sponsors, media rights, and from other sources of profits.
The company was quite successful till 2005 with its traditional marketing strategies, but quickly after 2005 the business begins dealing with numerous problems including decrease of its fan base. Numerous external in addition to internal elements are accountable for the decrease. Internal factors consist of; inadequate 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 includes the shift of its fans to other sports as they were enhancing their fan's experience enabling access to their broadcasts out of the houses through jumbo turns, Wi-Fi access, etc.
NASCAR core competencies includes it has rights of dictating rules as approving body. Policies and rules relating to expert stock automobile racing are dictated by NASCAR like if any team with required skills and resources can enter into races by following guidelines and policies determined by NASCAR. All the occasions of NASCAR are sponsored by corporates because of biggest brand name commitment of fans towards brands advertised by The Global Water And Food Supply Problem Case Study Solution.
Weak points of NASCAR includes its close culture which is non collaborative. The Global Water And Food Supply Problem Case Study Help develops Car of Tomorrow without collaboration so result is that motorists did not like that idea. It was also discovered that NASCAR had no effective method for organisation interaction.
NASCAR usually utilized to rely on conventional media sources like regional paper for publicity of its sports. NASCAR also came to understand from these conventional media outlets that sport was tough to cover. When sports fans were asked relating to popular stars and stars then NASCAR chauffeur was not discovered even in top twenty actions.
Economic down turn was experienced in late 2000 which can be hazard for NASCAR because if there is financial down turn then people would be having less return on financial investment. Economic down turn also results in boost fuel rates which likewise affected NASCAR. Now if NASCAR make considerable investments in new sectors which are based on new clients then it may deal with negative comments from its core fan base.
Porter's Five Forces Analysis
Porter's 5 forces is a model that is used to evaluate industry in which business is working. It helps in identifying what are strengths and weakness of any specific industry. It suggest that every market is different from one another. Due to the fact that NASCAR's bottom line i.e. net profit is greatly depends on this, it is essential to comprehend market in which company is working. There are 5 forces that are utilized to identify success, strength and attractiveness of The Global Water And Food Supply Problem Case Study Solution organisation.
This force suggests capability of competitors. Teams usually represents sponsors in NASCAR and the medium of marketing is drivers. It can be stated that chauffeurs and race vehicles are rivals. These motorists can go against NASCAR if they got better chance in regards to rewards and television exposure. Then viewers can move to those other intriguing cars and chauffeurs, if viewers take pleasure in other race vehicles and chauffeurs more than NASCAR. NASCAR could be having risk from its two direct rivals that is Solution 1 and Moto GP. They require to develop competitive benefits for drivers so they don't move to other competitors.
The provider power suggests the variety of suppliers are readily available in industry and what is the expense connected with provider if business shifts from one provider to another. In this industry there is supply monopoly since motorists with required abilities and resources are limited.
This force is regarding to consumers that is it easy for customers to shift to other products. If there is more changing cost is associated then customers are less likely to change. In the case of NASCAR customers are its viewers. Due to the fact that audiences will having low switching cost, audiences can change to other rivals easily.
Danger of Substitution
Substitutes are referred as options. The replacements in this case can be other home entertainment means like audiences can move to other sports. There are wide variety of replacements are readily available in this situation which recommends that danger of substitute is high.
Threat of New Entry
In the case of NASCAR risk of brand-new entry is low. They need to build cars and racing tracks and also requires to pay substantial amount to drivers for changing.
As NASCAR is working in numerous markets so it needs to face different guidelines. It is also kept in mind that NASCAR has actually dealt with increased examination relating to regulatory. Every government has different top priority so NASCAR has actually to be prepared for it as top priority can be shifted to other sector.
Economic factors includes tax rate, exchange rate, financial performance of that particular company, conditions of labour market, inflation rate and so on. If there is government intervention in the marketing and sales sector, fortunes of the NASCAR and its rivals can be impacted. NASCAR can take advantage of capabilities of workers to develop brand-new opportunities and improve existing chances.
Each has different social values and standards. It assists in understanding relating to society and preference of clients.
Technology has impact on almost every company. It includes development in service method. In this case of The Global Water And Food Supply Problem Case Study Solution it can be noted that business are greatly investing for research and development. NASCAR ought to also deal with its media rights policy with Turner Broadcasting System.
Legal plays an important function in every nation because every nation has different legal terms. The Global Water And Food Supply Problem Case Study Solution needs to be make certain that they protect their legal rights in every county so any company does not damage to its legal rights.
Ecological aspects are likewise essential for every company. NASCAR needs to make sure that its cars are not producing pollution more than acceptable level.
7 P's of Marketing
The items of The Global Water And Food Supply Problem Case Study Analysis in its item 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 marketers throughout broadcast of NASCAR races. (Hanlon, 2018).
Pricing strategy of NASCAR for its race occasions tickets is based upon the venue and importance of the racing events. Along with race events tickets, NASCAR likewise charge numerous service charge to its stakeholders and earns revenue. It charged sanctioning charges of $1-2 million per race on average in 2005.
Promotional technique of NASCAR 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.
NASCAR have its racing tracks in various cities in United States. The most essential tracks of NASCAR includes Atlanta Motor Speedway in Georgia, Automobile Club Speedway in California and Darlington Raceway in South Carolina. It attempts to conduct its races in the majority of the cities in United States to grasp across the country appeal.
Nestle individuals method is consisted of offering much better experience to its audiences, its fan base and to all of its stakeholders. Individuals are an important aspect of The Global Water And Food Supply Problem Case Study Analysis A marketing strategy as its events are the source of home entertainment for crowd. Its individuals technique includes efforts to provide much better experience to its Fans, Race Drivers, Crew, Occasion Organizers etc., all of which come under people method of NASCAR.
Numerous business procedures are required to perform racing events in an effective method. These procedures consist of; appropriate schedule of time, plan for spectators, selling tickets, arrangement of area for sponsors, managing logistics etc. These all procedures contribute I developing NASCAR image, enhancing spectators experience and increasing fan base.
Essential physical proofs for the NASCAR consists of the presence of its racing tracks, stock cars and trucks and racing occasions. Together with it, its merchandising brand names including tee shirts, caps, goodies etc., also act as a physical proof for NASCAR.
Item Life Process Assessment.
The racing events by NASCAR was introduced on June 19, 1949. At the first stage competition for NASCAR was low, as the competitors drove the vehicles similar to the cars and trucks driven by common people.
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 business moved towards transmitting its races on tv in 1979.
In 1972, William France Jr., ended up being the president of NASCAR and n about 3 years, he changed NASCAR from a local Sport popular organization into one with global fan base. He initiated a new period of profitable sponsorships and television contracts for NASCAR.
The maturity duration for NASCAR started with the efforts of William France Jr., with the business having vast array of earnings sources. The business has about 500 sponsors with transmitting its occasions in about 150 nations. The company has a great deal of tracks in most of the cities of United States.
The decline in the company's offerings started after 2005 with average presence rate per race decreased by 22% from 2005 to 2010 and tv viewership rate declined by 30% from 2005 to 2010. The significant causes of decrease include the monetary 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.
The market division of The Global Water And Food Supply Problem Case Study Help can be divided into four sectors; Geographic, Demographic, Psychographic and Behavioural. (Dutta, 2018).
The geographical division of The Global Water And Food Supply Problem Case Analysis is based upon the geographical existence of its tracks in various states and cities in United States, and the television broadcasting of its events in various nations. The company has 23 tracks in about 20 states of America and has tv broadcast through different Medias i.e. TNT, ESPN, ABC and Fox, in about 150 countries.This large geographical segmentation provides the company local in addition to worldwide fan base.
The market segmentation of NASCAR is also highlydiverse based upon the gender, earnings and age of the customer. Its current fan base is majorly comprised of male married fans with an average age of 47 years and an earnings around $30-50 thousands. Currently NASCAR is attempting to increase its target market to the young growing population and kinds. To increase the group section of its market NASCAR ought to modify its marketing strategies to bring in more age groups and lower its rates to go into in the market segment with a low average income.( htt1).
NASCAR has a fan base with a loyalty. NASCAR fans perceive it compulsive to buy tickets and see the races once in a week. NASCAR has attempted to increase the quality of its racing by introducing phase racing, they likewise have actually attempted to lower prices and make the event more hassle-free by presenting live racing.
Behavioural division of NASCAR is based upon the behaviour of fans in terms of watching the race live on the television or by going in the events. Currently, the fans preference is towards enjoying the race at home on television rather than going, as the consumer experience at NASCAR tracks is not favourable as well as expensive.
One of the possible target market of NASCAR was Hispanics; the young and growing population of United States. The market sector has terrific possible for NASCAR as the population was growing at a higher rate and it was anticipated to end up being thrice after forty years and the sector has increasing wealth rate with about $1 trillion of wealth in 2014.
Kids are also one of the potential target market section for NASCAR, as they are more connected socially than other groups. Automobile racing games developed by The Global Water And Food Supply Problem Case Study Solution can be a prospective source of getting attention of kids towards NASCAR track racing. NASCAR needs more attention towards customizing and enhancing its digital functions to draw in the kids target market.
This huge expense makes the section potential for NASCAR marketing technique of increasing its fan base. The market section thinks about NASCAR as an organization doing not have in producing a multiculturalism atmosphere. NASCAR must take different actions to improve the experience of Generation Y consumers in its events.
5 C's of Marketing
5 C's of marketing helps in taking decisions regarding marketing. These 5 C's requirements to be evaluated appropriately for taking any marketing decision. These 5 C's represent Environment, Company, Collaborators, Competitors and consumers.
It requires to make PESTLE analysis in order to understand environment or context in which NASCAR is working. PESTLE means political, economic, social, technical, legal and ecological and is specified above.
NASCAR is a car racing business with having USP of high quality vehicle racing with a worldwide 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 method.
Collaborations consists of suppliers, suppliers and alliances of The Global Water And Food Supply Problem Case Study Help. It is worked together with different racing groups which are participating in racing. It likewise teamed up with Turners Sport for digital rights. NASCAR used to get pay check of around $15 million each year from Turner Sports. There are variety of cons behind this offer. NASCAR had to get approval from Turner Sport if it want to develop its Facebook page, twitter account or even mobile application. Turner Sport also had rights of every single video which is shoot during race at track.
The consumer of The Global Water And Food Supply Problem Case Study Solution are its viewers. They target consumers with having age of 15-60 years. Fan base of NASCAR consisted of married males with a typical age of 47, which passes their fandom to their children and produce generational loyalty.
The direct rivals of NASCAR are Formula 1 and Moto GP. Groups usually represents sponsors in NASCAR and the medium of advertising is motorists. It can be stated that chauffeurs and race automobiles are competitors. If they got better chance in terms of prizes and tv direct exposure, these motorists can go against NASCAR.
1. Establishing and Keeping Facebook Page.
One of the possible target audience sections for NASCAR is Hispanics which is the growing population sector of USA but sadly NASCAR had been not able to bring in the this targeted section. In order to attract the young growing generation the NASCAR need to market by using social media like Facebook. It needs to develop a Facebook page containing the details concerning the races and the locations of tracks to make the customer helpful about the core operations of The Global Water And Food Supply Problem Case Study Help. It ought to likewise upgrade its Facebook page on day-to-day basis to supply information about its upcoming events. This would make the target market segment more helpful about the business and would result in attracting big fans base.
2. Developing and Updating Accounts of Key Drivers.
The Global Water And Food Supply Problem Case Study Solution motorists has a low star power as compare to players of other sports. The bad contacts with fans result in less destination of audiences towards the racers and a low star power. Star power is an important factor for bring in audiences towards tracks and towards television.
3. Establishing New Games and enhancing current games for kids.
Kids spent the majority of their time on playing games and using smart devices. Regrettably, kids playing NASCARA have a worst experience of playing its games. As a result, they are less attracted towards the sport. In order to draw in these kids, NASCARA needs to improve its current racing games by introducing modification in the vehicles i.e. changing colours, selection of speed, introducing group racing in the game, using better graphics associated with the racing tracks and introducing numerous levels in the game. All these modifications in the existing game would supply much better experience to kids.
In addition to it, NASCAR ought to also build new games connected to racing like kids racing with kids characters as drivers, animation racing with racing between various cartoon characters with a choice of selecting the preferred cartoon character for the kids. These methods would make it possible for the business to attract one of its possible target sections.
4. Introducing multiculturalism at events.
The Global Water And Food Supply Problem Case Study Analysis events are consisted of fans with really few cultural diversity, due to expense of arrival in events, making it unattractive for the consumers viewing sport occasions as social occasions i.e. Generation Y customers. As the Generation Y clients are a potential target market for NASCAR, for that reason the business should take particular steps to attract this prospective target market. It needs to embrace techniques to bring in the customers far from the tracks area with different culture. The method to do so might be supplying unique discount rates on tickets or free tickets to viewers originating from a particular distance or from another state. It would increase cultural diversity of the fans and would make Generation Y clients more satisfied.
5. Improving Client Experience at Tracks.
NASCAR must work on infrastructure and features at tracks due to the fact that on the race day audiences got disappointed. Viewers have many expectations from The Global Water And Food Supply Problem Case Study Help since in very same industry other companies are supplying much better services than NASCAR. IF NASCAR don't work on this problem then its fans may moved to its competitors.
Marketing Spending plan
Marketing spending plan made on the basis of the above methods for the duration of 5 years from 2011 to 2015, reveals the expense related data for the marketing techniques. (See Appendix B). It can be seen that technique 5 of improving consumer experience at tracks would need highest preliminary financial investment and expense and method 4 of presenting multiculturalism will need lowest initial financial investment with most affordable further annually expense. The business should focus on the resource allotment on these strategies on the basis of its readily available resources and the prospective benefits which the method would offer.
NOTE: The worths about expense are assumed on logical basis due the absence of truths and figures connected to cost in the event study. Inflation rate of United States is assumed to be 10%.
On the basis of deep analysis of the external and internal aspects of The Global Water And Food Supply Problem Case Study Solution triggering the decline of tv viewership rate and participation rate at tracks, the above marketing techniques are recommended to NASCAR to increase its fan base in long run. These techniques would handle internal elements like poor client experience at tracks, inadequate social networks marketing, incapable digital medias like video games, lack of culturalisms at tracks etc., along with with external aspects like moving of fans towards other sports, demographical modifications in America and changing family life styles.