Reverend Musical Instruments: Playing a Different Tune (C) Case Solution And Analysis, HBR Case Study Solution & Analysis of Harvard Case Studies

The electric guitar marketplace is both enticing and daunting for a small company - a multi-billion $US sector that has grown nearly continuously since the 1960s, but where competition is based as much on picture as on substance. The market is logically fragmented (similar to the market for several musical instrument), yet leading players make entrance and sustenance complicated. While branded imports or Asian manufacturers control the low and mid-priced market, players that are serious and collectors seek high-end branded or handcrafted instruments that can be resold with just minor loss. To augment collector value, high end guitar makers always alter components, making short run series with unique attributes (often defined by "name" musicians and sold under their signature). For instruments that are handcrafted, vintage instruments, and established brands, used guitars may sell for surprising multiples or their first purchase price thereof; the value of some pieces improves after just ten years.

From this point of view, seasoned buyers can make essentially risk-free purchases. The instance tells the story of Joe Naylor, the owner-manager of Reverend Guitars, a small firm that made a startling impact on the electric guitar market with an intelligent use of innovative products, advanced marketing and advanced use of the net to a) influence an existing community and b) build a fresh one.

Reverend Musical Instruments Playing a Different Tune (C) case study solution

PUBLICATION DATE: October 29, 2007 PRODUCT #: INS348-PDF-ENG

This is just an excerpt. This case is about SALES & MARKETING