Name:____________ _______________________ Student #:_________
MRKT 413 (Fall 21). Case 3
Dr. Mohsen Bagnied
Case 3: KRMI
Kuwait Royal Marina Incorporated is an international trading company established in 2011 in Kuwait to import luxury private planes, helicopters, yachts, and custom cars to Kuwait. The company had showrooms in 5 different locations in Kuwait including one in Kuwait Airport. They are specialized in one-of-a-kind planes, yachts, and cars. Their target market is millionaires and large businesses in Kuwait and the Gulf region. The company had 100 million Dinars as an initiation capital that grew at an average annual rate of 30% from profits. Several of their suppliers were very impressed with their services and sales record that made them exclusive dealers of their products in the Arab Region. In 2017, they had about 400 highly qualified employees. The management and workers were multi-cultural and worked together well. All employees had shares of ownership in the company. They were all part owners, which made them work very hard. The company promoted their products on exclusive media, millionaire clubs, and social media. They also used sales promotion methods and personal selling. Their Public Relations campaign was very successful. The company also started a frequent buyers club for loyal customers that awarded them financial and social privileges. KRMI offered 10 years extended warranties for all their sales. This gave them a competitive advantage over their competitors. The company owned a state of the arts repair shops in 5 different locations in Kuwait for customers’ convenience. Any customer complaints were dealt with promptly to satisfy customers. Customers gave the highest rating for KRMI services. About 40% of their customers were non-Kuwaitis, mostly from other Gulf States. The company donated 5% of their profits to charity and to hospitals. All employees had full health care coverage for them and their families. The Government of Kuwait was very impressed with KRMI social responsibility and awarded them the medal of Best Company Award during the past 5 years. The demand for KRMI products continued to grow at a very fast rate. KRMI board met last week to decide new strategies for improvements, expansion, and growth.
KRMI hired you to conduct the following analyses:
Identify all the symptoms, and problems that exist in KRMI.
Propose 3 alternative solutions to these problems.
Propose 3 alternative expansion policies.
Given what you know about KRMI, propose a winning pricing policy for them.
Propose a new promotion policy that will expand their sales further.
Name:____________ _______________________ Student #:_________
Name:____________ _______________________ Student #:_________
Name:____________ _______________________ Student #:_________