Jun 25, 2018 in Marketing

The Company's Marketing Ideas Lower Division Capstone DB

Pros and Cons of the SUVs and Small Fuel – Efficient Cars

A marketing manager plays a number of roles and one of the major roles is to have a good knowledge of the customer. It is important therefore for a marketing manager to take personal opinion out of as many decisions as possible. In this case, information can be got from questionnaires, internet, interviews, focus groups, buying habits, among other sources.

SUV stands for Sport Utility Vehicle. It combines the capacity of a pickup truck with the passenger-carrying space of a minivan. Sport Utility Vehicles are usually large, profitable vehicles unlike the smaller, more fuel-efficient cars.

The Pros Of The Marketing Idea To Phase Out Large, Profitable SUVs and Focus On Smaller, More Fuel-Efficient Cars

The idea of focusing on smaller, more fuel-efficient cars is viable because there are more customers for these small cars as compared to the SUVs. Considering the variation in the market sizes therefore, it is good for the company to take up this idea because even the customers find it cheaper to buy the small cars as compared to the SUVs.

In relation to the above, the users also find it cheaper to maintain the smaller cars because of their low consumption rate of fuel. This is due to the fact that the consumers usually want to get their satisfaction at a minimal cost as possible. Therefore, the demand for such cars is more likely to be higher than the demand for the SUVs .

The SUVs are usually more durable as compared to the smaller cars and hence, because they last longer, not many customers will frequently need to purchase them in addition to their limited nature of use unlike the smaller cars which are flexible for many daily businesses.

The Cons Of The Marketing Idea To Phase Out Large, Profitable SUVs and Focus On Smaller, More Fuel-Efficient Cars

The SUV deal is a profitable one and therefore, phasing it out to focus on smaller, more fuel-efficient cars may make the company lose such big profits from dealing in Sport Utility Vehicles and yet, for the company to grow and develop, it needs to maximize profits.

There are customers who need the large, SUVs and so by phasing them out, it means this company dealing in automobiles will lose such customers yet they may play a big  role for the company to grow. These are mainly customers with capital investments in their businesses .

In conclusion therefore, the company should note that dealing in SUV is profitable but with less sales whereas dealing in the smaller cars maximizes sales, consequently leading to high profits. This means that, the company should not phase out the current business but if resources allow, both deals are viable.

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