Ivey Publishing
Farm Electronics: The Business-to-Business Marketing Dilemma
Product Number:
9B20A005
Publication Date:
01/17/2020
Revised Date:
01/16/2020
Length:
12 pages (8 pages of text)
Product Type:
Case (Field)
Source:
Ivey
In January 2019, the sole proprietor and the general manager of Farm Electronics met to discuss critical options for the possible growth path of their company. Farm Electronics was a 42-year-old, small-scale electrical and electronic industrial equipment manufacturer based in Indore, India. The company’s product portfolio consisted of various transformers, relay coils, power supplies, and direct-current motors, which were designed according to its customers’ specifications. Farm Electronics’ customers consisted of small-, medium-, and large-scale businesses from both the organized and unorganized sectors. Significant aspects of the company’s value proposition included quality, timely delivery, and after-sales service. However, most of Farm Electronics’ revenue came from only a few big accounts. The proprietor and the general manager wanted to expand their company’s reach and were thus contemplating targeting a new set of customers.
Learning Objective:
This case is suitable for graduate- and postgraduate-level marketing courses on business-to-business buying, segmentation, and targeting at graduate and executive levels. The case presents the challenges faced by the manager of a small-scale enterprise in a business-to-business context. It develops an understanding of business markets and the organizational buying process. It also deals with segmentation and targeting issues in the business-to business sector.

After working through the case and assignment questions, students will be able to
  • understand the challenges of designing value propositions in a small-scale industry;
  • evaluate the business-to business buying process and the role of a decision-making unit;
  • assess the procurement processes adopted by different types of industrial customers;
  • compare different organizational buying situations;
  • assess the segmentation variables used to identify segments in business-to-business markets;
  • understand how the customer lifetime value calculation can be used to assess the value of potential target customer groups, as well as an existing customer base; and
  • learn about the issues faced by firms in dealing with public sector businesses.
Issues:
Disciplines:
Marketing,  Entrepreneurship,  International
Industries:
Manufacturing
Setting:
India, Small, 2019
Intended Audience:
MBA/Postgraduate
Price:
$5.30 CAD / $5.00 USD Printed Copy
$4.50 CAD / $4.25 USD Permissions
$4.50 CAD / $4.25 USD Digital Download
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