Strategic Marketing

BBA-6

Submitted to: Qaiser Janjua

Submitted by: Muhammad Rizwan Mushtaq
Roll No.: 150091
Topic: Otoyol Corporate Strategy.

Assignment#2
 Strategic Marketing
 Market Anticipation: If a company wants to stay ahead of their competitors and
sustain their competitive advantages, they must be responsive to the market changes and
anticipate that how they are going to affect them in future. In case of Otoyol Motor
Company, the technological factor changed the market conditions and OMC wasn’t even
aware of what people wanted, which made them keep offering products with 1970’s
technology platforms. They got to know more about the market, when Isuzu and Mitsubishi
entered the market. So, for a time being, if we just consider that OMC has got the
technology what it rivals have, and they are competing head-to-head, even with all this,
Japanese rival can get ahead of them, if OMC doesn’t forecast the changes in the market.
Changes in the market environment shapes the competition in industry and becoming
responsive to those changes makes a company competitor for others.

 1996: In post 1990, the entrance of Isuzu and Mitsubishi wasn’t a big threat for OMC, as
they were having a first mover advantage, in terms of making a mass production and
establishing an efficient supply chain. A consumer would obviously prefer to have a nearby
location for the service and relevant works of vehicle to get done and One of biggest
advantage they had was the geographical coverage with their 3S network(sales, service and
spare parts) that lesson the threat for OMC, as Japanese rivals weren’t completing the
requirements for the sale, service and spare parts that were necessary for managing the
commercial vehicles and make it sure that the down time that is minimum . Consumers
would always give preference to those products that actually provide the convenience so,
Isuzu and Mitsubishi couldn’t fulfill those requirements, through competitive intelligence
they were having more aesthetic appeal and ergonomically designs that made their products
easy to drive, with high quality and performance.

 2006: The trade-off conditions prevailed well into the early years of 2000’s for Otoyol,
Isuzu and Mitsubishi. Now when the consumer is satisfied with the products, features, price
etc, now obviously for that 3S services they would want the company to create more
easiness and the Japanese competitors had by this time achieved full geographic coverage
which was once a competitive edge of Otoyol for other companies. Through Japanese rivals
geographical coverage for sales, service and spare parts networks; they had achieved
substantial market penetration. As a result of localization, the price of the Japanese spare-
parts were now became more competitive. The reason of downfall for OMC, was the poor
response to the market, as the consumer thinking, views regarding a product changes with
time. A person who drives truck/midibus/minibus would rather prefer its performance
more than its color and aesthetics.

Assignment#2