Preliminary Findings and Limitations
Preliminary Findings and Limitations
First, review Critical Element III in the Final Project Guidelines and Rubric (Concluding Findings and Limitations). Considering your own proposed new product
concept, your chosen organization, and the marketing brief you will be submitting as your final project, address the following: · How does the market research you have so far done support your chosen organization’s objectives?
· What industry trends (and possible future trends) have you identified regarding your product proposal, and what are some possible implications of these
trends on your organization?
· How does your proposed marketing strategy align to legal, ethical, and industry standards?
· What limitations have you encountered in creating a market proposal for your product? Was this due to gaps in the market research you conducted?
|Subject||Writing a proposal||Pages||7||Style||APA|
Ford Motors’ Market Proposal
Market Research and the Chosen Organization’s Objectives
According to the market research conducted, Ford Motors’ objective is to launch a new product, Ford water-powered self-driving car. The research done so far supports Ford’s objectives in that it has demonstrated that there is an increasing market for self-driving cars globally. Du et al. (2021) indicate that self-driving car marketplace share contributed to about $41.20 billion in 2019 and this is predicted to reach $442.01 billion by 2027. Among the factors that the research established to be associated with the increasing marketplace share is the rising concerns about safety, investments in digital infrastructure, increase acceptance of self-driving vehicles in major economies (like Germany, Japan, China, and the U.S.), as well as technological advancements in the automotive sector (Tahir & Alexander, 2020). Government funding and development of supportive regulatory frameworks are also bolstering the growth of the industry (Sell et al., 2018). Nonetheless, the research established that low acceptance ratio is a limiting factor for the market’s expansion. Similarly, the market research supports Ford Motors’ objective of launching the self-driving since it shows that the industry has high potentials of expanding and that the self-driving cars are acting as catalysts in technological advancements of automobiles, with an estimated at 63% CAGR between 2021 and 2030 (Anderson, 2020), as shown in Figure 1 below.
Figure 1. Self-driving trucks and cars by application, market size between 2020 and 2030 (‘000 units) (Sell et al., 2018).
Industry Trends and Possible Implications
The market research indicates that the U.S. is predicated to exhibit high acceptance of self-driving technology in defense and transportation to increase the country’s government support in solving transportation rules (Rassõlkin et al., 2018). Similarly, Europe is predicted to emerge as a lucrative marketplace for self-driving cars with increasing customer preferences for technologically advanced products (Zhao et al., 2018). Technological advancements and increasing acceptance of self-driving cars by various economies are anticipated to enhance the expansion of industrial applications of self-driving automobiles over the predicted period (Moraes et al., 2017).
Regionally, the rise of MaaS (mobility as a service) industry is predicted to offer impetus to the self-driving cars marketplace. North America is predicted to exhibit substantial growth owing to the traffic regulation amendments to incorporate self-driving cars on roads. The regulations are slowly being implemented across all American States to fully autotomize transportation. In 2013, the U.S. national Highway Traffic safety Association (NHTSA) allowed for the testing of self-driving cars in a number of states, like Michigan, California, Washington DC, Florida, and Nevada, implying a growing acceptance of the technology across the country (Rassõlkin et al., 2018). Furthermore, in 2018, the U.K.’s Department for Transport initiated a jurisdiction aimed at operating self-driving automobiles on public roads without any additional permits or insurance and also instituted the Centre for Connected and Autonomous Vehicles (Moraes et al., 2017). A summary of various aspects of market is given in Figure 2 below.
Figure 2. Prospects of the self-driving car market (Anderson, 2020)
Proposed Marketing Strategy and Its Alignment with Legal, Ethical, and Industry Standards
The marketing strategy that was chosen for this market research is luxury luxury product promotional strategy. The strategy aligns to legal standards since it takes into consideration each and every aspect of promotional initiatives in the market, like software transparency (Tahir & Alexander, 2020). Ethically, the strategy targets particular market segments, implying that the company will be sensitive to the socioeconomic statuses of its customers and will appropriately be meeting their needs and desires (Du et al., 2021). The industry is fast moving to promotional techniques that resonate with clients. Therefore, the luxury strategy will serve to maintain the class that already exists in the automobile industry (Du et al., 2021).
Limitations in Creating the Market Proposal
During the creation of the market proposal, various limitations were encountered. First, there were insufficient resources. Due to time limitations, it was difficult to comb the available literature, surveys, and studies. Therefore, insufficient resources like time and information source due to gaps in the market made it difficult to create the proposal. Similarly, it was hard gathering primary data because of the global COVID-19 pandemic that inhibited public gatherings of whatever forms to curb down the spread of the illness. Additionally, there are significant shifts in trends in the self-driving car technology and marketing strategies, among other factors. The focus of the study was also comparatively broad. This made it hard to achieve balance with regard to editorial focus.
Anderson, M. (2020). The road ahead for self-driving cars: The AV industry has had to reset expectations, as it shifts its focus to level 4 autonomy – [News]. IEEE Spectrum, 57, 8-9. DOI:10.1109/mspec.2020.9078402
Du, H., Zhu, G., & Zheng, J. (2021). Why travelers trust and accept self-driving cars: An empirical study. Travel behaviour and society, 22, 1-9. DOI:10.1016/j.tbs.2020.06.012
Moraes, C., Carrigan, M., Bosangit, C. et al. (2017). Understanding Ethical Luxury Consumption through Practice Theories: A Study of Fine Jewellery Purchases. J Bus Ethics, 145, 525–543. https://doi.org/10.1007/s10551-015-2893-9
Rassõlkin, A., Sell, R., & Leier, M. (2018). Development case study of the first estonian self-driving car, iseauto. Electrical, Control and Communication Engineering, 14, 81 – 88. DOI:10.2478/ecce-2018-0009
Sell, R., Leier, M., Rassõlkin, A., & Ernits, J. (2018). Self-driving car ISEAUTO for research and education. 2018 19th International Conference on Research and Education in Mechatronics (REM), 111-116. DOI:10.1109/REM.2018.8421793
Tahir, Z., & Alexander, R. (2020). Coverage based testing for V&V and Safety Assurance of Self-driving Autonomous Vehicles: A Systematic Literature Review. 2020 IEEE International Conference On Artificial Intelligence Testing (AITest), 23-30. DOI:10.1109/AITEST49225.2020.00011
Zhao, J., Liang, B., &Chen, Q. (2018). The key technology toward the self-driving car. International Journal of Intelligent Unmanned Systems, 6 (1), 2-20. https://doi.org/10.1108/IJIUS-08-2017-0008