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Financial and Non-Financial Perspectives on a Marketing Idea

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You are a marketing manager interviewing for a new job at a large automotive company. You know that being well prepared for an interview gives you a better chance of being offered the job, so you decide to study the company as well as some of the company's future marketing ideas.

One of the company's ideas is to phase out its large, profitable SUV line of automobiles to focus on smaller, more fuel-efficient cars.

Describe the pros and cons of this marketing idea proposed by the company from the both a financial and non-financial perspective.

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Solution Summary

The Solution provides a short analysis of the marketing idea to phase out large SUVs in favor of smaller cars from a financial and non-financial perspective.

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Non-Financial Perspective

Marketing SUVs adopts single-segment strategies to sell high end automobiles to affluent customers. This segmentation has a pitfall that dependence on a single segment may place pressure on revenues and profit margin. Marketing for smaller car targets multiple customer segments-which are conscious on price, ...

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