Uwb Problem Solution
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Running head: PROBLEM SOLUTION: USA World Bank
Problem Solution: USA World Bank
Problem Solution: USA World Bank
USA World Bank, “UWB” is a well established bank serving a large consumer base and small business customers throughout their several branches. While serving their customers domestically as well as in international locations UWB has not only a desire but a need to develop profitable new products. Their goal is to develop a new profitable product that will not only be a success in the United States but internationally as well. Due to a need to develop profitable new products that will continue to expand their market share, reduce economic pressure and competition UWB would like to introduce a product that will be developed and marketed appropriately. The development of this new product will allow for UWB to further expand internationally and spark some possible competition in the foreign market. Although there are currently two products on the table up for discussion UWB is only able to introduce one new product per year. UWB must analyze which market will bring in the most profit. Are they better off releasing a credit card for small business owners with a reward component or introducing and Instant Reward consumer credit card? By trying to show customers that they cared about their needs and wanted to offer more diverse services a marketing research firm conducted a survey but the results of the survey may not be accurate.
Situation Background (Step 1)
UWB is facing many issues amongst the management staff regarding the methods and procedures being used to collect data. The management team needs to be educated on the various market research methods available so that a decision can be made on which tool would be most effective. Currently a survey has taken place and many concerns are surfacing regarding discrepancies in the data collection and all while in the presence of the Board of Directors. Because of this problem the moral of the management team is decreasing and it appears as though one customer base is being ignored over the other. Step 1 of the 9-Step Model is to describe the situation (White, n.d.). The problem is that there was never a meeting of the minds on such an important project before the presentation needed to be made. Although there is a President and Vice President of New Product Development there seems to have been a communication gap amongst the rest of the team that have very positive attributes that could have lead to a successful launch of a new profitable product. None of the parties involved want to experience the potential loss of UWB customers but both segments must receive the attention needed to gain their customers loyalty. There is too much competition amongst banks to have dissention amongst the team that holds the power to make a difference within its own organization.
UWB has to decide which of two products they should invest in and launch in order to expand their market share, benefit the bank, its employees, its employees and any stakeholders. In addition, because UWB is attempting to grow in the international market research must be conducted so that the other cultures understand the benefit of the product. The two products that are being considered are a rewards card for UWBs consumer base or a rewards card for their small business customer base. The Market Research firm hired to conduct the survey believes that with the right incentive plan that UWBs customer base will grow. The thought process behind the reward program is that like many credit cards that reward the user with frequent flier miles. UWBs customers can earn rewards based on purchases made with their UWB card to make purchases from different partners that the bank will align itself with. The management team needs to align themselves first before moving forward with this project.
Issue Identification
The first issue that exists is the presentation that will be made to the board and by whom the presenting will be done. If there are any feelings of favoritism towards any one individual then the situation should be addressed prior to the meeting and quite frankly upper management may choose to not have the product presented by the person. There is already a lot of pressure regarding the effectiveness of the new product and once introduced to the field it must be fully supported by all. A solid presentation for each idea would ideal in this situation where even those working on the opposite project can see the necessity for such a product. Those involved in the project should know the progress of it each step of the way and any flaws that may arise during data collection. It does not sit well with upper management that all of the people presenting the specific product dont have the specifics. Each product needs to be bullet proofed before its presentation so that the idea can be taken seriously by upper management.
Opportunity Identification
There is a great growth opportunity here for UWB. There are two strong products available that would catch the eye of their customers. Based on the research done and presented the Board would have the opportunity to possibly see the potential in both products and may choose to find a way to launch both for the benefit of the company and the customer. Those working on the product have the opportunity to learn how outsourced marketing companies work and how data is collected and analyzed for any internal studies that may want to be done within the bank. Knowing that the board is going to scrutinize the data each team can develop themselves by covering all the bases and putting up a real fight for their product. Based on the new product the customer base will grow. Customers will feel cared about and look forward to using their cards for the additional rewards which in turn benefits UWB. Increasing the small business segment and creating a span into the consumer market will allow UWB to not only gain market share but remain competitive within the banking industry. Retaining customers is hard not only in the consumer arena but amongst commercial businesses. While trying to increase profitability UWB needs to remember that it is a “dog eat dog world” and whatever ideas they do not come up with some other bank will. Cease the opportunity!
Stakeholder Perspectives/Ethical Dilemmas
There are different perspectives and ethical dilemmas that can be seen while attempting to expand the