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Lawn Mowers Case Study

736 Words3 Pages

The Lawn Mower Business in the United States Lawn mowers are used in two out of four seasons of the year in the United States. The demand for lawn mowers is high for homeowners and businesses. However, businesses that sell lawn mowers have extended their product line to also provide all year round products for lawn and garden. Manufacturing businesses in the United States face many obstacles that can limit a business success.
Mr. Smith needs to identify the need for the product and also his potential customers by segmenting them. Not everyone likes the same type of lawn mowers therefore segmentation will come up with a group that will be interested in his product. Cost is one of the main issues that Jobe Smith with encounter. If …show more content…

The more competition there is, the greater the chances for consumers to obtain substitutes. As Mr. Smith builds his business he should keep track of the existing competitors to come up with a competitive product that will yield profitable revenue. Competitors in this same line of business also offer a variety of products to take care of the lawn. Homeowners as well as businesses like to keep the lawn and gardens looking great year around and must use certain product in order to do so.
Outsourcing
Mr. Smith should also consider outsourcing some of his material in order to keep manufacturing cost down. After all, the concept is lawn mowers in the U.S.A and there is no specification that they have to be made 100% in the U.S.A. By outsourcing some of the materials it will keep manufacturing cost low and the business will be able to offer a wide variety of product for he lawn and not just lawn mowers. This concept will allow the business to provide customers with a variety from low and high cost as well as quality. However, as much as this concept will provide the business assistance it will also be frown upon by some Americans. Outsourcing creates jobs overseas and limits those in the United States. The reality is that Americans want great quality of products but are not willing to pay top dollar. This is where outsourcing comes into play and it is considered a win-win

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