SPAZE INTERNATIONAL CASE SOLUTION

By-
Name:- Sailesh Kumar Chaudhary
There are various strategic inputs that company needs to be apply in order to achieve its stated
goals all these inputs are from the R&D portion of the company, Sales and Marketing overview
and from Revenue & Market Share.

1:- It is shown in the Business Overview that Mr Larry and Dr. Grant had a passionate vision
for the setup of R&D of the company but after the death of Dr. Grant, the new appointed R&D
head was Dr. Robert who was a great scientist but the problem was he never been travelled
outside USA. As the R&D specifies as the main important aspects for the company future
growth but he has visited India only twice where the one of the major R&D centre established.
So the 1st thing is they should be take more preferred to the R&D established in India.

Even from the Operations Overview it has mentioned that the company is following centralized
strategy which bears them to fall in high operation cost and which cause them to keep the high
price of their product, so if the company could follow a good R&D they can bear to make less
operation cost and can tackle their competitor well.

2:- From the Revenue and Market share table it is shown that USA has highest revenue with
market share of 77% with 2nd is followed by China and 3rd is followed by Europe so the
company should majorly focused on the highest market share only. Infact, the projected is
highest in India but as on the Sales and Marketing Overview it is been mentioned that there
wasn’t enough clarity on what the Government will do and even analysts believe that the
coming 2-3 years would be a free run for Drone manufacturing and marketing companies with
no clear regulations from the government.

Even in the Indian market the largest customers for the Spaze is only the E-Commerce
companies and the last mile food delivery companies. But when we compare this all with USA
and Europe market they have the use of drones for various purpose like postal services, military
use, e-commerce, food delivery.

 So the solution for these can be they should keep remained focused on the market where
they have highest market shares.

3:- Now about the Chinese market it is a tricky market but when we talk about the Chinese
Government they have suspicious on the use of drones and Chinese market is best for
assembling unit so if the company used start a assembly unit in China with collaboration with
Chinese company it would will be a great benefit because China has the 2 nd highest market
share for the company.

And it can also help to solve the problem of consignment delays for the company which was
already happening of around 4-6 weeks.

4:- Company can introduce two product in different brand name. As people love choices e.g.
Luxottica owns Ray Ban and Oakley, so people have options to buy, but majority don’t know
it is owned by same company. By this they can capture more market and can give more
competition to their competitors.