Altius is the leading manufacturer of golf balls; With the decline in the people’s interest in Golf, the industry has seen a decline in the number of. Altius Golf and the Fighter Brand. Introduction. Evelyn Gracie, CEO of Altius Golf, took a deep breath before introducing the company’s new golf. ALTIUS GOLF AND THE FIGHTER BRAND Contents External Environment 2. Opportunities 2. Threats 2. Internal Environment 3. Strengths 3. Weaknesses 3.

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Therefore, the company has the highest revenue of Appendix-C – Product wise margins analysis. Pages Home Research Work. The company is using on-course distribution strategy in which they focus a number of professionals and they buy from the pro-shop directly from the firm, it is also called an selective distribution strategy, in which only one distributor, retailer and wholesaler is involved that trade in their particular geographical area.

The another tradeoff is used by considering the environmental factors that create the possibility of searching the lost balls and repairing them and selling them at the low cost with the high quality for those who are not willing to spend more on expensive golf balls.

Altius Golf and the Fighter Brand Harvard Case Solution & Analysis

Moreover, wnd golf equipment sales is linked to the number of golf rounds being played in the U. Focusing on the low price golf equipments, such as Elevate golf ball and changing the marketing strategy from targeting professional golf equipments to low cost golf equipments and more fun oriented golf equipment for new golf players will enhance the profitability of Altius. Dolan and Navid Mojir. The board of directors is divided on grand to go with this decision or against it.

Altius Golf and the Fighter Brand

The comfortable golf balls will help the new golf players to hit the bang as they require. The Victor TX rate is acceptable from the increased sales of the elevate golf balls. Business and Environment Business History Entrepreneurship.

The whole dilemma ultimately takes the form of a great learning exercise. Quantitative analysis of the CEO’s proposal may be performed to comprehend the potential risks and gains prior to making the final recommendation. Therefore, it is the best time to introduce the elevate golf ball by extensive marketing strategy of low cost, which will help new golf players to throw the ball perfectly.

The board of directors is divided on whether to support the decision. Alternate options that are available to the Altius Golf include fgihter the price of its existing Victor TX line of products and spending on marketing with focus on low price of its golf equipments. Search Case Solutions Search for: As per calculations made in spread sheet, market share of Altius Golf is higher than other competitors in the golf industry, which gives it a competitive advantage over other companies to control prices by affecting the demand and supply forces.


Hhe Golf and the Fighter Brand case solution.

Moreover, opting into this alternate will require Altius Golf to increase the number of sales units, which can be done through extensive marketing. The Altius should implement the Elevate golf ball strategy, as it is generating low profit as compare to other two products due to new product in the market and after the recession the Victor TX sales also decreased, so by considering its following main elevate strategies the company should invest in the Elevate golf ball, it includes:. This is because golf industry is reviving by the efforts of USGA, through encouragement of new golf players to play golf with relaxed rules.

Cite View Details Educators Related. Technology and Operations Management. Finance General Management Marketing. Cite View Details Purchase. Moreover, recent consumer study carried out by the United States Golf Association Barndhas revealed that high cost of golf equipment is one of the reasons for the lack of interest in golf sport, however; Altius Golf can capture the market growth by offering low-cost golf balls to its consumers through off-course outlets.

Students must perform a quantitative analysis of the CEO’s proposal to understand the potential risks and gains before making a final recommendation. The CEO in this way needs to dispatch another item called Elevate to altiuus the up and coming era of golfers.

This low price equipment should be highlighted in marketing to gain higher share of growing golf industry. This is the best way to attract the beginners and non-professionals by creating the brand awareness in the market that will generate high revenue by introducing medium priced elevated golf ball.

Dolan and Navid Mojir Citation: Because of the recent recession period, consumers of golf equipments have cut-down folf spending on golf balls and this trend has badly affected the golf industry. Based on your findings above, and the state of the market, should Altius implement the Elevate strategy?

Altius Golf and the Fighter Brand by Nikhil Sadana on Prezi

The below shows the total market value of Altius in units is 9. The cannibalization rate is calculated as the old product unit contribution divided by the old product unit nrand.

Growth Strategy Robert J. The top managerial staff is partitioned on whether to encourage the choice or not. The company is producing the golf balls for also the professional players, but the survey shows that after the recession professional golf payers had been declined so as the revenue of Altius is declined. Therefore, it is a good time to target new players through extensive marketing of low cost and non-confirming golf balls, which has enabled new golf players to hit the ball perfectly.


Welcome: Altius Golf and the Fighter Brand

The main objective of launching the adn golf ball is to change the market strategy by decreasing the price and targeting to the professional golf equipments to its low cost and producing fun oriented golf equipment to attract the new golf players that will increase the profitability of the company.

Value of market share point in unit sales.

Altius Golf has competitive advantage over its competitors through its sales of Victor TX and Altius Golf has become the market leader in providing golf balls under Victor Znd line; additionally, this advantage has given Altius Golf the benefit of economies of scale. About the Author Robert J.

However, an increase in the number of low price golf balls sold will depend on marketing and awareness of the low price as well as quality of equipments among new golf players. Therefore, the medium priced elevate would lead to increase in high sales and market share for the company Altius is offering only the golf balls for the professional players, therefore launching of the elevate golf ball is a better idea at this time as the industry trends show the recession has decreased the number of professional players so the industry is trying to attract the new customers by offering them the low cost of golf balls.

Elevate will undoubtedly be available through “off the course” channels such as for example golf specialty stores and big box retailers rather than “on the course” professional shops where in fact Altius Golf sells its products and services. Bringing a Breakthrough Drug to Market. This strategy has been successful as it has captured the market share of Altius Golf and some other sellers in the golf market. How Does it Work? The cannibalization shows the negative impact of newly introduced product of the company performance with respect to its existing product.

External environment includes some opportunities as well as threats for Altius Golf which is discussed below: Is this segment growing or declining? Altius Golf has heavily spent on marketing their success of Victor TX line, however; the golf industry trends have changed and the new trend is towards low cost as well as non-confirming golf equipments. Like Us and Get Updates: