Essay About Lojack Systems And Lojack’S Products

Lo Jack Analysis
[pic 1]CASE ANALYSISCindy NwachukwuCompany BackgroundLoJack is a stolen vehicle recovery system that was founded in 1978. The corporation had a system that permitted vehicles to be tracked by the police force in hopes to recover them in cases of theft.The corporation was the global leader in the industry of tracking and recovering stolen vehicles. The LoJack systems were sold through automobile dealerships in 26 states in the United States and through independent (operators) in 31 countries throughout, South America, Europe and Africa including the United Kingdom, France, Trinidad & Tobago, and many more.[pic 2]Recently, the corporation has extended their service to not only vehicles, but also motorcycles, and even construction equipment. LoJack’s products include the following:LoJack Early Warning SystemLoJack Stolen Vehicle Recovery SystemLoJack System for ClassicsLoJack System for MotorcyclesRuggedized LoJack SystemSafetyNet by LoJackSince LoJack was established, the company has been looking for new ways to expand their market and make their business as diverse as possible. LoJack’s Executive Vice President and General Counsel, Tom Wooters, noted that although 85 percent of LoJack’s domestic revenue stemmed from their distribution network of automobile dealers, the corporation was needed to work on expanding their base. The mission of LoJack is “to be the preeminent global brand providing aftermarket safety, security and protection products and services for the “connected car.”Case OverviewThis case study examines and explains how LoJack Corporation merged to be the global leader in development and delivery of tracking and recovering stolen vehicles. As all companies, LoJack did face challenges being highly related to the volatile auto industry. Through their new venture, LoJack was able to manufacture four new units.The case begins with a summary of the tracking and recovery system and how it works. There is emphasis on how LoJack differentiated from their competitors in the industry by the procedures they took to find stolen vehicles.LoJack merged to be the leaders of their industry through expansion into different markets and their innovative ways of finding the stolen mobile assets.How has LoJack maintained leadership in its industry for 30 years? Is its current position sustainable? LoJack has maintained leadership in its industry due to the fact that they continue to merge into new markets. Unlike Global Positioning. LoJack technologies work in such a way that they go through buildings and containers to find the stolen vehicles that would usually be hidden from view. This put LoJack ahead of their competitors.LoJack’s current position would not be sustainable in times of a recession. LoJack would not be able to map out a large budget on venturing out to new markets and opportunities. Cutting down on their budget would be more wise. With a smaller budget, they would be able to successfully launch new projects, opportunities and into new markets.How much should LoJack invest in generating new sources of growth, given the current recessionary environment?A strategy used for generating new sources of growth during economic recession would be to use the advocate model. The company would assign ownership for the creation of new businesses while providing only simple budgets to the core group. LoJack would act as innovation experts, facilitating corporate entrepreneurship in conjunction with business units.LoJack would need to show their commitment to new business development. As LoJack is venturing into new markets, they should keep up with their new market ventures. Evaluate LoJack’s overall approach to generating new sources of growth. For a period of time, LoJack’s leadership motivated employees to explore different market opportunities that they could potentially venture into. Wooters would explain this process as follows: “We have a long-term commitment to invest an average of $12 million a year in new markets and opportunities. In the past, we would periodically assign someone to do market research in areas that looked interesting. Now our product development group looks at options for new opportunities, acquisitions, technologies, licensing, and opening new businesses.”