CASE 2.2 ILLINOIS OFFICE MACHINES, INC How Should You Handle Competition? You ar
ID: 392634 • Letter: C
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CASE 2.2 ILLINOIS OFFICE MACHINES, INC How Should You Handle Competition? You are in the very competitive business of selling office chine, but it says nothing about longer lifetime. You re- machines. You and one of your salespeople have an ap- ply carefully: "That's the first time I have ever seen a let pointment with the senior partner of a large medical ter praising a brand X machine." center. This potential buyer already has studied severalNext, she shows you another piece of paper, a chart competitive products. Her "hot buttons" are low operat- that graphically illustrates the operating costs of five dif ing costs and low maintenance. You know that four com- ferent brands.The chart says on the bottom "Marketing petitors have demonstrated their product to your Research-Brand X, 2000. It shows your machine with prospect. After you have shown her the benefits of your the highest operating costs over a five-year period, and product, she asks you: "Tell me, what makes your ma- it shows brand X in the leading position with 50 percent chine better than brand X?" You restate some of your lower operating costs. You are stunned by this unfair obvious product benefits, and she comes back with "The competitive comparison. You try to control your temper salesman with company X told me that they use a spe- and think about saying "They always are much better cial kind of toner that is far superior to what you are than we are on paper, but when it comes to reality, we using for your machine and that it will increase the life outperform them every time." time of their machine by 20 percent." You know that this is an obvious lie, so you ask: "What evidence did this salesperson give you to prove . Is an ethical conflict occurring here? Why or why not? his claim? She shows you a customer testimonial letter 2. Would you try to reverse your prospect's decision? Why or that talks about how satisfied thcy were with their ma why not? QUESTIONSExplanation / Answer
1- Definitely there is unethical condition in this is specific situation as the brand X is providing false information by using modified statistics and implementing such a specific type of structure where competitors are being influenced negatively by available information.
Each and every organisation has a responsibility of correctly depicting there product but in this is specific condition exaggerating is happening with the specific product which is quite usually in operating environment.
2- No, reversing the prospect's decision is not required as explaining the functionality of the specific brand as well as explanation of the statistics provided by the other company would be the most appropriate approach in this is weather condition. By saying that statistics produced by the other companies are forced on the basis of the marketing research is carried out by their own company for benefit. This would provide adequate information to the recipient and increase the world adaptability of information regarding your product.3
P.S.- please leave a comment if any explanation is needed.
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