NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
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Case Study SWOT Analysis Solution
Case Study Description of NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version
Spanish translation of "NASCAR: Leading a Marketing Transformation in a Time of Crisis." It is February 2011 and Brian France, CEO of NASCAR (the National Association for Stock Car Auto Racing), is facing a crisis. In the last five years, attendance at weekend NASCAR races has fallen 22 percent and television viewership has declined 30 percent. Key marketing sponsors have recently left the sport. At the same time, the U.S. economy was only beginning to recover from an economic recession that had an adverse impact on the sport of auto racing as a whole. Some leaders within NASCAR counseled Brian that these trends in attendance, viewership, and sponsorship stemmed from the recession and that NASCAR should continue with business as usual. But Brian sensed that the industry needed fundamental change and that he, as CEO of NASCAR, was the one that must lead this change. With Brian at the helm, NASCAR embarked on an unprecedented amount of qualitative and quantitative research to assess the strengths and weaknesses of the entire industry. At the center of this research was the NASCAR consumer. Highly engaged, enthusiastic consumers were at the heart of an industry business model that had been successful for decades. But in 2011, marketing within all of NASCAR needed to transform, as it was clear that consumers were disengaging with the sport. As the consumer research results unfold, Brian and leaders within NASCAR must make tough choices and set priorities. The case focuses on four key areas in which decisions need to be made by NASCAR leadership: digital marketing and social media, targeting the next-generation NASCAR consumer, enhancing the star power of NASCAR drivers, and enhancing the consumer experience at NASCAR events. Focus group videos offer students a customer-centric deep-dive into these challenges. At its heart, this is a case about great leadership and transforming marketing throughout an entire industry.
Swot Analysis of "NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version" written by Eric T. Anderson, Vasilia Kilibarda includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Nascar Brian facing as an external strategic factors. Some of the topics covered in NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version case study are - Strategic Management Strategies, Leadership, Market research, Social platforms, Strategic planning and Sales & Marketing.
Some of the macro environment factors that can be used to understand the NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version casestudy better are - – wage bills are increasing, there is backlash against globalization, central banks are concerned over increasing inflation, increasing commodity prices, increasing household debt because of falling income levels, supply chains are disrupted by pandemic , banking and financial system is disrupted by Bitcoin and other crypto currencies,
increasing energy prices, competitive advantages are harder to sustain because of technology dispersion, etc
Introduction to SWOT Analysis of NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version
SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Nascar Brian, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Nascar Brian operates in.
According to Harvard Business Review, 75% of the managers use SWOT analysis for various purposes such as – evaluating current scenario, strategic planning, new venture feasibility, personal growth goals, new market entry, Go To market strategies, portfolio management and strategic trade-off assessment, organizational restructuring, etc.
SWOT Objectives / Importance of SWOT Analysis and SWOT Matrix
SWOT analysis of NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version can be done for the following purposes –
1. Strategic planning using facts provided in NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version case study
2. Improving business portfolio management of Nascar Brian
3. Assessing feasibility of the new initiative in Sales & Marketing field.
4. Making a Sales & Marketing topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Nascar Brian
Strengths NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The strengths of Nascar Brian in NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version Harvard Business Review case study are -
Organizational Resilience of Nascar Brian
– The covid-19 pandemic has put organizational resilience at the centre of everthing that Nascar Brian does. Organizational resilience comprises - Financial Resilience, Operational Resilience, Technological Resilience, Organizational Resilience, Business Model Resilience, and Reputation Resilience.
High switching costs
– The high switching costs that Nascar Brian has built up over years in its products and services combo offer has resulted in high retention of customers, lower marketing costs, and greater ability of the firm to focus on its customers.
Diverse revenue streams
– Nascar Brian is present in almost all the verticals within the industry. This has provided firm in NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version case study a diverse revenue stream that has helped it to survive disruptions such as global pandemic in Covid-19, financial disruption of 2008, and supply chain disruption of 2021.
Learning organization
- Nascar Brian is a learning organization. It has inculcated three key characters of learning organization in its processes and operations – exploration, creativity, and expansiveness. The work place at Nascar Brian is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version Harvard Business Review case study emphasize – knowledge, initiative, and innovation.
Cross disciplinary teams
– Horizontal connected teams at the Nascar Brian are driving operational speed, building greater agility, and keeping the organization nimble to compete with new competitors. It helps are organization to ideate new ideas, and execute them swiftly in the marketplace.
Ability to lead change in Sales & Marketing field
– Nascar Brian is one of the leading players in its industry. Over the years it has not only transformed the business landscape in its segment but also across the whole industry. The ability to lead change has enabled Nascar Brian in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.
Highly skilled collaborators
– Nascar Brian has highly efficient outsourcing and offshoring strategy. It has resulted in greater operational flexibility and bringing down the costs in highly price sensitive segment. Secondly the value chain collaborators of the firm in NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.
Low bargaining power of suppliers
– Suppliers of Nascar Brian in the sector have low bargaining power. NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Nascar Brian to manage not only supply disruptions but also source products at highly competitive prices.
Effective Research and Development (R&D)
– Nascar Brian has innovation driven culture where significant part of the revenues are spent on the research and development activities. This has resulted in, as mentioned in case study NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.
Superior customer experience
– The customer experience strategy of Nascar Brian in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.
Successful track record of launching new products
– Nascar Brian has launched numerous new products in last few years, keeping in mind evolving customer preferences and competitive pressures. Nascar Brian has effective processes in place that helps in exploring new product needs, doing quick pilot testing, and then launching the products quickly using its extensive distribution network.
Analytics focus
– Nascar Brian is putting a lot of focus on utilizing the power of analytics in business decision making. This has put it among the leading players in the industry. The technology infrastructure suggested by Eric T. Anderson, Vasilia Kilibarda can also help it to harness the power of analytics for – marketing optimization, demand forecasting, customer relationship management, inventory management, information sharing across the value chain etc.
Weaknesses NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The weaknesses of NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version are -
Skills based hiring
– The stress on hiring functional specialists at Nascar Brian has created an environment where the organization is dominated by functional specialists rather than management generalist. This has resulted into product oriented approach rather than marketing oriented approach or consumers oriented approach.
Aligning sales with marketing
– It come across in the case study NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version that the firm needs to have more collaboration between its sales team and marketing team. Sales professionals in the industry have deep experience in developing customer relationships. Marketing department in the case NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version can leverage the sales team experience to cultivate customer relationships as Nascar Brian is planning to shift buying processes online.
Slow decision making process
– As mentioned earlier in the report, Nascar Brian has a very deliberative decision making approach. This approach has resulted in prudent decisions, but it has also resulted in missing opportunities in the industry over the last five years. Nascar Brian even though has strong showing on digital transformation primary two stages, it has struggled to capitalize the power of digital transformation in marketing efforts and new venture efforts.
Need for greater diversity
– Nascar Brian has taken concrete steps on diversity, equity, and inclusion. But the efforts so far has resulted in limited success. It needs to expand the recruitment and selection process to hire more people from the minorities and underprivileged background.
Workers concerns about automation
– As automation is fast increasing in the segment, Nascar Brian needs to come up with a strategy to reduce the workers concern regarding automation. Without a clear strategy, it could lead to disruption and uncertainty within the organization.
Low market penetration in new markets
– Outside its home market of Nascar Brian, firm in the HBR case study NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.
Slow to strategic competitive environment developments
– As NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version HBR case study mentions - Nascar Brian takes time to assess the upcoming competitions. This has led to missing out on atleast 2-3 big opportunities in the industry in last five years.
Compensation and incentives
– The revenue per employee as mentioned in the HBR case study NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version, is just above the industry average. Nascar Brian needs to redesign the compensation structure and incentives to increase the revenue per employees. Some of the steps that it can take are – hiring more specialists on project basis, etc.
Employees’ incomplete understanding of strategy
– From the instances in the HBR case study NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version, it seems that the employees of Nascar Brian don’t have comprehensive understanding of the firm’s strategy. This is reflected in number of promotional campaigns over the last few years that had mixed messaging and competing priorities. Some of the strategic activities and services promoted in the promotional campaigns were not consistent with the organization’s strategy.
High dependence on existing supply chain
– The disruption in the global supply chains because of the Covid-19 pandemic and blockage of the Suez Canal illustrated the fragile nature of Nascar Brian supply chain. Even after few cautionary changes mentioned in the HBR case study - NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version, it is still heavily dependent upon the existing supply chain. The existing supply chain though brings in cost efficiencies but it has left Nascar Brian vulnerable to further global disruptions in South East Asia.
Ability to respond to the competition
– As the decision making is very deliberative, highlighted in the case study NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version, in the dynamic environment Nascar Brian has struggled to respond to the nimble upstart competition. Nascar Brian has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.
Opportunities NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The opportunities highlighted in the Harvard Business Review case study NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version are -
Loyalty marketing
– Nascar Brian has focused on building a highly responsive customer relationship management platform. This platform is built on in-house data and driven by analytics and artificial intelligence. The customer analytics can help the organization to fine tune its loyalty marketing efforts, increase the wallet share of the organization, reduce wastage on mainstream advertising spending, build better pricing strategies using personalization, etc.
Creating value in data economy
– The success of analytics program of Nascar Brian has opened avenues for new revenue streams for the organization in the industry. This can help Nascar Brian to build a more holistic ecosystem as suggested in the NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version case study. Nascar Brian can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.
Reforming the budgeting process
- By establishing new metrics that will be used to evaluate both existing and potential projects Nascar Brian can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.
Lowering marketing communication costs
– 5G expansion will open new opportunities for Nascar Brian in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Sales & Marketing segment, and it will provide faster access to the consumers.
Using analytics as competitive advantage
– Nascar Brian has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in the sector. This continuous investment in analytics has enabled, as illustrated in the Harvard case study NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Nascar Brian to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.
Changes in consumer behavior post Covid-19
– Consumer behavior has changed in the Sales & Marketing industry because of Covid-19 restrictions. Some of this behavior will stay once things get back to normal. Nascar Brian can take advantage of these changes in consumer behavior to build a far more efficient business model. For example consumer regular ordering of products can reduce both last mile delivery costs and market penetration costs. Nascar Brian can further use this consumer data to build better customer loyalty, provide better products and service collection, and improve the value proposition in inflationary times.
Increase in government spending
– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Nascar Brian can use these opportunities to build new business models that can help the communities that Nascar Brian operates in. Secondly it can use opportunities from government spending in Sales & Marketing sector.
Harnessing reconfiguration of the global supply chains
– As the trade war between US and China heats up in the coming years, Nascar Brian can build a diversified supply chain model across various countries in - South East Asia, India, and other parts of the world. This reconfiguration of global supply chain can help, as suggested in case study, NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.
Learning at scale
– Online learning technologies has now opened space for Nascar Brian to conduct training and development for its employees across the world. This will result in not only reducing the cost of training but also help employees in different part of the world to integrate with the headquarter work culture, ethos, and standards.
Finding new ways to collaborate
– Covid-19 has not only transformed business models of companies in Sales & Marketing industry, but it has also influenced the consumer preferences. Nascar Brian can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.
Use of Bitcoin and other crypto currencies for transactions
– The popularity of Bitcoin and other crypto currencies as asset class and medium of transaction has opened new opportunities for Nascar Brian in the consumer business. Now Nascar Brian can target international markets with far fewer capital restrictions requirements than the existing system.
Remote work and new talent hiring opportunities
– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Nascar Brian to expand its talent hiring zone. According to McKinsey Global Institute, 20% of the high end workforce in fields such as finance, information technology, can continously work from remote local post Covid-19. This presents a really great opportunity for Nascar Brian to hire the very best people irrespective of their geographical location.
Developing new processes and practices
– Nascar Brian can develop new processes and procedures in Sales & Marketing industry using technology such as automation using artificial intelligence, real time transportation and products tracking, 3D modeling for concept development and new products pilot testing etc.
Threats NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis
The threats mentioned in the HBR case study NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version are -
Capital market disruption
– During the Covid-19, Dow Jones has touched record high. The valuations of a number of companies are way beyond their existing business model potential. This can lead to capital market correction which can put a number of suppliers, collaborators, value chain partners in great financial difficulty. It will directly impact the business of Nascar Brian.
Easy access to finance
– Easy access to finance in Sales & Marketing field will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Nascar Brian can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.
Increasing wage structure of Nascar Brian
– Post Covid-19 there is a sharp increase in the wages especially in the jobs that require interaction with people. The increasing wages can put downward pressure on the margins of Nascar Brian.
Barriers of entry lowering
– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Nascar Brian with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.
New competition
– After the dotcom bust of 2001, financial crisis of 2008-09, the business formation in US economy had declined. But in 2020 alone, there are more than 1.5 million new business applications in United States. This can lead to greater competition for Nascar Brian in the Sales & Marketing sector and impact the bottomline of the organization.
Aging population
– As the populations of most advanced economies are aging, it will lead to high social security costs, higher savings among population, and lower demand for goods and services in the economy. The household savings in US, France, UK, Germany, and Japan are growing faster than predicted because of uncertainty caused by pandemic.
Trade war between China and United States
– The trade war between two of the biggest economies can hugely impact the opportunities for Nascar Brian in the Sales & Marketing industry. The Sales & Marketing industry is already at various protected from local competition in China, with the rise of trade war the protection levels may go up. This presents a clear threat of current business model in Chinese market.
High dependence on third party suppliers
– Nascar Brian high dependence on third party suppliers can disrupt its processes and delivery mechanism. For example -the current troubles of car makers because of chip shortage is because the chip companies started producing chips for electronic companies rather than car manufacturers.
Regulatory challenges
– Nascar Brian needs to prepare for regulatory challenges as consumer protection groups and other pressure groups are vigorously advocating for more regulations on big business - to reduce inequality, to create a level playing field, to product data privacy and consumer privacy, to reduce the influence of big money on democratic institutions, etc. This can lead to significant changes in the Sales & Marketing industry regulations.
Stagnating economy with rate increase
– Nascar Brian can face lack of demand in the market place because of Fed actions to reduce inflation. This can lead to sluggish growth in the economy, lower demands, lower investments, higher borrowing costs, and consolidation in the field.
Shortening product life cycle
– it is one of the major threat that Nascar Brian is facing in Sales & Marketing sector. It can lead to higher research and development costs, higher marketing expenses, lower customer loyalty, etc.
Environmental challenges
– Nascar Brian needs to have a robust strategy against the disruptions arising from climate change and energy requirements. EU has identified it as key priority area and spending 30% of its 880 billion Euros European post Covid-19 recovery funds on green technology. Nascar Brian can take advantage of this fund but it will also bring new competitors in the Sales & Marketing industry.
High level of anxiety and lack of motivation
– the Great Resignation in United States is the sign of broader dissatisfaction among the workforce in United States. Nascar Brian needs to understand the core reasons impacting the Sales & Marketing industry. This will help it in building a better workplace.
Weighted SWOT Analysis of NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version Template, Example
Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers in the HBR case study NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version needs to zero down on the relative importance of each factor mentioned in the Strengths, Weakness, Opportunities, and Threats quadrants.
We can provide the relative importance to each factor by assigning relative weights. Weighted SWOT analysis process is a three stage process –
First stage for doing weighted SWOT analysis of the case study NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version is to rank the strengths and weaknesses of the organization. This will help you to assess the most important strengths and weaknesses of the firm and which one of the strengths and weaknesses mentioned in the initial lists are marginal and can be left out.
Second stage for conducting weighted SWOT analysis of the Harvard case study NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version is to give probabilities to the external strategic factors thus better understanding the opportunities and threats arising out of macro environment changes and developments.
Third stage of constructing weighted SWOT analysis of NASCAR: Leading a Marketing Transformation in a Time of Crisis - Spanish Translation, Spanish Version is to provide strategic recommendations includes – joining likelihood of external strategic factors such as opportunities and threats to the internal strategic factors – strengths and weaknesses. You should start with external factors as they will provide the direction of the overall industry. Secondly by joining probabilities with internal strategic factors can help the company not only strategic fit but also the most probably strategic trade-off that Nascar Brian needs to make to build a sustainable competitive advantage.
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