Marketing Saturn Corporation in 1998 Essay Example | Topics and Well Written Essays - 1000 words

Marketing Saturn Corporation in 1998 - Essay Example The Saturn Corporation had to be in complete contact with the GM, since the GM planned to launch the big cars and decided to have a shift from small to mid-size cars, Saturn Corporation should have planned the similar and should have quit the idea of manufacturing the same old small cars. The reason that the strategy was not hard to implement is that the Saturn Corporation had previously been spotted number one in manufacturing small cars and because of that it had made some reputation and capital to cope well with the GM and this is exactly what GM had thought about the company. But it was not the part of the company's mission statement and therefore the immediate job of the Saturn Corporation was to convince the GM that further launching of any such cars can make the market more competitive and already there are big leaders like Toyota and Honda performing well in the market, the scheme can be a flop. Whereas if the GM keeps on manufacturing such small sized cars which are having l esser costs and are already competing Toyota and Honda, the GM and Saturn could both be in greater profitability. Further, the Saturn Corporation could have stated to GM that the target audience should be the younger generation who is not capable of buying expensive cars and therefore would buy smaller cars already being manufactured, further more the traffic is increasing day by day and therefore the demand of small cars would be even higher in the future and thus the company should keep on manufacturing such cars perhaps with greater innovation to attract all the classes of society. Since Saturn is losing its quality despite of a tough competition, Saturn should concentrate on quality, which would ultimately yield experience particularly in the situation where there are other competitors in the market. Only this way the Saturn can provide the parent company with a useful knowledge and technology. As mentioned earlier, Saturn Corporation should not get distracted with what is being offered to them by GM as they are here for gaining experience with perfection and they should consistently keep on trying providing the up to date information on past sales to the CEO and President or even the upper management at GM, this could really make the GM feel to keep on making small cars without hassles. We all know about the outcome, the GM made the mid-sized cars incorporation with Saturn which provided the fair business but due to some rivalry with Japanese firms, the company had to get back to manufacture small cars and this time turning their mid-sized cars into small cars again, such as Sedan, a coupe and station wagon. This situation would have been a lot better if GM had just eliminated the plants and downsized the organization yet not eliminated the manufacturing of small cars. The disturbance was created in this part of 1990s where they thought of making mid-sized cars.