Trail Frames Chassis

Trail Frames Chassis (TFC) represents a case where the issue is fit between the market and the Operations Management capabilities. With TFC, the challenge to the fit comes not from the manufacturing process. Rather, it comes from the demands being placed on it by the introduction of a new, potentially attractive market segment. The bottom line with this case is simple the new market segment that TFC is now pursuing is one that demands skills, equipment, and processes that TFC currently does not possess.

Before beginning the analysis, it is important to recognize why TFC is pursuing this new market. The answer is a simple one and one that is not really adequate discussed in the case. TFC is faced by the need to grow sales so that it can grow profits. The management at TFC now feels that they have reached the limit of the growth offered by their current market and marketing strategy. Something new is needed and this something new is that of mass-produced RV chassis.

For this weeks assignment, please read the case study Trail Frames Chassis from Chapter 2 of the textbook and address the following questions:

1. Compare the order winners, order qualifiers, and order losers for the customized chassis and for the proposed TFC chassis. To what extent are these factors similar?

2. What type of strategic consistency would you expect to find in TFC for its existing customized chassis? Would this be the same type of consistency that you would find with the proposed chassis?

3. Evaluate the proposal for this new line of chassis. Is this a business that TFC should get into? If yes, why? If no, why not?

4. What would you recommend to John Stickley that TFC should do to increase its sales and to stimulate demand?