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Product Development Strategy
Many companies are undertaking new research studies to perfect the idea of autonomous vehicles (AVs). Such AVs will be designed in such a way that they use advanced technological inputs and systems to transport human beings from one place to another (“Autonomous vehicles,” 2015). Although the mechanics of this new strategy are currently in place, several companies are in the decision-making process in order to perfect the technology. A new approach to product development is needed by every company in the automobile industry. As an employee working for one of these companies such as Chrysler, it will be appropriate to have the most appropriate product development strategy for AVs.
The first important step is analyzing the performance of modern vehicles. This knowledge will ensure the research and development (R&D) team identifies specific inputs that have the potential to support the proposed technology. After identifying the required inputs, the company will hire competent programmers and engineers to pursue the targeted goal. Software experts will be expected to identify the existing opportunities, challenges, and prospects that might dictate the future of the technology (Litman, 2016). The newly-created team will focus on the best ways to upgrade modern vehicles. Specialists in robotic science will be required to analyze the possibilities and issues associated with the development of AVs. Basically, the first approach will be to hire competent people who can support the company’s AV strategy.
Approach to a New Self-Driving Car
The individuals responsible for the new product development process should have a carefully-designed strategy. To begin with, the organizational leader should consider the major theoretical arguments associated with the technology. A team characterized by professionals from different fields in the sector should be formed. Members of the team will outline the required inputs, resources, and finances that can sustain the product development process (Blyth, Mladenovic, Nardi, Su, & Ekbia, 2015). The team will use a wide range of simulations in order to streamline the idea. Software and mechanical engineers will be encouraged to work together throughout the process (Wagner & Koopman, 2015). The approach will make it easier for them to focus on the current development and identify new measures that can make the AV technology a reality.
The team will focus on the most important features for the AVs. The first one is collision avoidance (Litman, 2016). This feature should be achieved through the use of effective breaking systems, radars, and cameras (Surden & Williams, 2016). These systems will be used to apply the required braking force to avoid collisions. The second critical feature will be the use of backup cameras. Such cameras have the potential to increase safety. Advanced cameras can detect various obstacles, blind spots, and objects. The team will also analyze the possibility of effective car-to-car communication. This means that the newly-designed vehicles should be able to detect nearby cars. Surden and Williams (2016) argue that this feature will increase the level of coordination. The AVs will be able to make relevant turns and maneuvers in an attempt to avoid accidents. The AVs are expected to have advanced lane detection capabilities. This feature can be realized through the use of sensors and cameras (Wagner & Koopman, 2015). With these features in place, the new AVs will be able to swerve, slow down, and change lanes depending on the existing situation.
The above features are important because they have the potential to minimize accidents. However, some skeptics argue that this new technology will be characterized by numerous challenges. One of the challenges is safety. Such disbelievers argue that the AV technology will result in unnecessary deaths (“Autonomous vehicles,” 2015). That being the case, the suggested features will play a positive role towards improving safety. The above features will avoid accidents (Blyth et al., 2015). Some proponents of this technology believe that such AVs will reduce the number of accidents recorded in different parts of the globe.
Target Consumer and Primary Competitors
The target consumer for this new technology is any person who wants to minimize transportation costs and travel without much human input. The nature of the modern-day economy is characterized by numerous activities that must be completed in a timely manner (Wagner & Koopman, 2015). This development explains why more people have to complete a wide range of tasks within a short period. These individuals can embrace the power of AV technology. For example, individuals can sleep in their cars while at the same time traveling to specific destinations. This is possible because the self-driving car will be programmed to transport people from point A to B (“Autonomous vehicles,” 2015). Parents can ensure their children are taken to school without incurring extra costs.
Companies and individuals who want to transport their goods will also find the technology more rewarding. The technology will transform the nature of logistics. That being the case, the technology will target more people in different corners of the world. Members of the upper-class will be targeted first because they are usually associated with luxury cars. The self-driving car will play a positive role towards supporting their professional and personal goals (Lamp, Hair, & McDaniel, 2014). It is notable that the self-driving car will attract more potential buyers after production.
This new technology will definitely encounter numerous challenges. The most important challenge is the issue of competition. The automobile industry is characterized by giant companies with huge financial assets. This fact shows clearly that such firms are embracing similar concepts in an attempt to produce their AV prototypes. Chrysler will face much competition for different rivals such as Mercedes-Benz, Ford, Volkswagen, and General Motors (GM). Toyota is known to transform the performance of the industry through its continued use of modem technologies. The company embraces the use of different technologies in an attempt to produce superior cars (Surden & Williams, 2016). Chrysler should therefore be aware of these companies in order to execute the idea in a professional manner.
The next step after producing the self-driving car is to launch it in the market. One of the outstanding issues to consider is that more people in the world are currently aware of this new idea. This means that such individuals will be willing to see the first self-driving car. This fact explains why the firm will find it easier to bring the self-driving car to the market. The first strategy is to advertise the car and inform more potential consumers about its superior features (Lamp et al., 2014). The advertisements will outline the features and benefits of the AV car. As well, more people will “be informed about the unique attributes of the self-driving cars and their role towards transforming the global economy” (Litman, 2016, p. 4).
A carefully-designed timeline for the product launch will be developed by the company. The product launch deadline will be considered in order to ensure the marketing strategy is successful. The company will use its showrooms to ensure more people have access to the self-driving cars (Lamp et al., 2014). New showrooms will be opens in different continents such as Europe, South America, and Asia. This strategy will attract more potential customers. Members of the public will be required to present their feedbacks and suggestions. Such feedbacks will be used by the company’s R&D team to improve its future AVs.
The other critical issue is to use the most desirable marketing tactics for the new product. Such tactics will ensure the targeted consumers are sensitized about this new technology. The approach will be characterized by the 4P marketing mix. The first attribute is product. The new AV will have unique features and applications. The self-driving will maximize safety and reduce chances of getting an accident. The features associated with this new product will encourage more people to purchase it. The second consideration will be the product’s price. A competitive price will be used to launch the new car. This price will be affordable while at the same time supporting the firm’s business model (Litman, 2016). The price should be attractive in order to tackle the problem of competition. The issue of place will also be taken seriously. Specific regions such as North America, China, Europe, and Australia will be targeted first. Finally, promotions will be executed in order to sensitize more people about this new technology. One of the major strategies will include the use of social media networks such as Facebook and Twitter (Litman, 2016). The company’s website will also inform more people about this revolutionary technology. Such measures will ensure the self-driving car is marketed successfully.
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Blyth, P., Mladenovic, M., Nardi, B., Su, N., & Ekbia, H. (2015). Driving self-driving vehicle. IEEE International Symposium of Technology in Society, 2(1), 1-7.
Lamp, C., Hair, J., & McDaniel, C. (2014). MKTG: Principles of Marketing. Independence, KY: Cengage Learning.
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Litman, T. (2016). Autonomous vehicle implementation predictions: implications for transport planning. Transport Policy, 1(1), 1-22.
Surden, H., & Williams, M. (2016). Technological opacity, predictability, and self-driving cars. SSRN, 1(1), 1-24.
Wagner, M., & Koopman, P. (2015). A philosophy for developing trust in self-driving cars. Web.