Question

CASE STUDY Tata Motors-owned Jaguar Land Rover on Friday reported a 4.9 per cent declinein retail sales at 88,121 units in the second quarter ended on September 30, 2020. The company had posted retail sales of 92,710 units in the same quarter previous fiscal year, Sales of the Jaguar brand were at 17,340 units in the second quarter as against 19248 units in the year-ago period, down 9.9 per cent. Similarly, sales of Land Rover brand were down 3.63 per cent at 70,781 units as compared to 73,462 units in the same quarter a year ago. While there was improvement in sales in the second quarter, it remained constrained by semiconductor shortages, the company said in a statement. "The company continues to see strong demand for its products, with global retail orders again setting new records in the quarter,” it said adding, as on September 30, 2022, the total order book has grown to 2.05 lakh units, up around 5,000 orders from June 30, 2022. Demand for the new Range Rover, new Range Rover Sport and Defender remained strong, accounting for over 1.45 lakh of the 2.05 lakh orders, it added.

With reference to above case study, answer the following questions:

1. Explain the advantages of training Tata motor employees.
2. Analyse and advise on any two suitable promotional mix for Tata motors.
3. In the context of above case study, Analyze any five advantages of advertising to manufacturers.

Answer 1

1. The advantages of training Tata Motor employees are as follows:
   1. Trained employees can get employment more easily and quickly.
   2. Training helps employees to do the job more efficiently. They can earn more through higher productivity.
   3. Training increases the adaptability of employees to new methods and new technology.
   4. Training helps to improve the motivation and morale of employees.
   5. Training increases the chances of promotion of employees.
   6. Training improves the mobility of employees from one organisation and place to another.
2. Two suitable promotion Mix for Tata Motors are:
   1. Publicity: It is an inexpensive, timely, and credible method of promotion. However, the organisation has no control over publicity. Good publicity can enhance an organisation's image, while bad publicity can spoil it. News releases, feature articles, letters to the editor, press conferences, and audiovisual material are the main techniques of publicity.
   2. Sales Promotion: It encompasses any actions other than advertising and personal selling that promote customer purchases and dealer effectiveness. The primary goal of sales promotion is to encourage on-the-spot purchases via short-term incentives.
3. Advantages to Manufacturers:
   1. Advertising generates demand for new items by educating consumers about their availability and applications.
   2. It boosts sales and profits by increasing demand and expanding markets. Large sales allow for larger-scale production, resulting in lower unit costs.
   3. Advertising promotes public awareness of producers and their products, leading to increased goodwill.
   4. It stabilises demand by reducing seasonal variations.
   5. It facilitates the establishment of direct contact between manufacturers and consumers. Direct interaction helps reduce distribution expenses.
   6. Advertising helps businesses compete in the market.