Introduction
Magellan Boatworks is a manufacturer of power and customized cruising yachts. In the political and economic uncertainty in late 2016, the vice president of marketing and sales of Magellan, Walt Robinson is considering to take a decision whether to increase the budget for next year or not. He had to answer of several related questions. However, Magellan Boatworks must allocate the budget for promotion and advertisement. Even though, the environment of the market and condition of the economy is aggressive and unfavorable, the decision making regarding the budget allocation might ease the company. Since the products were unable to generate high profit returns in the earlier years, the company needs to take strategic decisions that might generate profits in the forthcoming years,especially in 2017.Magellan Boat works does not incline to have a higher budget due to the unfavorable and adverse circumstances.
Current Buying Process and Buying Criteria for the Customers
The cruising yachts manufactured by Magellan comprise of several benefits.The benefits include;
- The ability to be powered by motor or sail and to travel long distances.
- The amenities and equipment that have been offered by Magellan make the customers feel at home, such as air conditioning, hot shower, appliances and pull down beds.
The customers have an inclination towards purchasing high quality and luxurious products. Customers who are successful and prosperous in life tend to buy luxurious items such as mansions, exotic cars, jets and yachts. They wants to purchase products that might reflect their state of life and social class.
When the customers are in the market, searching for a lavish and magnificent yacht, they most likely don’tsearch it online and prefer to get recommendations and suggestions from coworkers or friends.
The buying process of Magellan’s customers includes a series of steps that they follow in order to make purchases to avoid repentance in the later years. The customers of Magellan tend to purchase luxurious and exceptional quality boats that might satisfythem because the customers have to spend more on thepurchase of yachts or owing a yacht requires a decision process in order to reach acertain decision.
Magellan Boat works Harvard Case Solution & Analysis
Buying Process
The searching process gives them a clear and distinct picture of what they might have an interest for and it gives them a thorough realization of their needs and choices. Additionally, after completing all the steps of the searching process throughdifferent sites or looking at suggestions and recommendations, the customers speak with the salesperson in order to make purchases. A salesperson tries to make the customers eager to contact them so that they could offer various incentives. The salesperson offers them a tour of the yacht or takes them on a test drive. This action allows the customers to purchase the product based on its performance.
The decision making process of Magellan’s customers is based on different aspects; such as age- the people older than 55 years tend to purchase the product. As well as the wealthy and successful individuals and those who have moved to coastal areasto retire or have a second home near the coastal area..................
This is just a sample partical work. Please place the order on the website to get your own originally done case solution.
