1.

Apart from product considerations, what other considerations can be

seen in this case? Elucidate 

Apart from product considerations which include the horse power,

starting torque, NEMA specifications, etc., following are the
considerations that can be seen in the case of

1. Price considerations
Dominion’s executives were also considering competitive pricing,
manufacturing costs, cost of installations and costs of promotions.
All these factors have major implications on final list price.

2. Market leader’s decisions and moves

Hamilton is the market leader in the customer segment of
Dominion Motors and Controls Ltd. Their executive’s decisions
(Bridge’s) holds major weight in the purchase decision of other
firms in the industry too. Their reports can create new trends in
the industry. These are also the considerations in the case.
Also, Dominion itself being a market leader, there’s a possibility
that their decisions can start torque-war in the motor industry and
can create imbalance.

3. Consumer behaviour regarding standards and specifications

DMC’s major consumers which are oil field users, have different
responses towards conformance to different NEMA standards.
This type of consumer behaviour is also taken into consideration
by DMC while planning for new product.

4. External environmental/legal/technological factors

Environmental factors like winter temperatures, legal factors like
power rates and overmotoring regulations and other external
factors are also considered by DMC for planning new product.

5. Promotion programs (brochures, catalogue and advertisements)

Advertising communication strategy, content and cost of
catalogue and pamphlets are also the considerations in the case.
Their usefulness to the salesforce is considered.

6. Time of new launch

 New product launch whether it is re-engineered 7 1/2 hp motor or
new design of definite-purpose motor, the time required for
launching these products is considered by executives of DMC.

7. Reputation of the company

In B2B marketing, relations with customers become more
significant and harm to reputation can cause detrimental impact
on relations with existing customers and create threat in loss of
Market share. While deliberating on alternative of persuading
Bridge about Hamilton’s test’s results, executives of DMC
considered its effect on reputation of the company.

2. How would you have tracked NEMA changes if you were an executive of
Dominion Motors & Controls Ltd? Analyse with respect to the case facts 

 NEMA (National Electrical Manufacturers Association) developed and

promulgated standard specifications for electrical equipment.
Adherence to the standards was entirely voluntary. Majority of the
electrical manufacturers in U.S. and Canada were member of NEMA.
 It had long been DMC’s policy to support industry standards by not
publicizing or claiming operating characteristics in excess of NEMA
standards. This also gave them cost benefits.
 However, some of the NEMA standards can be seen as “hygiene
factor” during the purchase decision by customers of motors and
controls. Hence conformance to the NEMA standards and tracking
changes in them becomes significant.

As an executive of Dominion Motors and Controls Ltd., we would take

into consideration consumer behaviour with respect to different
NEMA standards and the response (acceptance/denial) of target
consumers to the nonconformance or exceeding.

Based on the case facts, following changes in NEMA standards or

specifications should be tracked while developing new product. The
strategy for tracking these changes is given as follows-
1. Temperature rise - Insulation would ensure safety or operational
characteristics of motor. However, the consumer might not
 respond well to temperature rise. Thus, this type of change should
be avoided while developing new product.
2. Change in NEMA mounting dimensions for rating - Change in
frame size can lead to change in NEMA mounting dimensions.
However, this is not important for oil well applications and
consumer can overlook this nonconformance and would respond
positively to the new product. Thus, this change can be accepted.
3. Exceeding minimum NEMA specifications (starting torque for
particular hp). - This type of change can give DMC a greater
competitive advantage in the industry and very well acceptance
by the consumers. Thus, this change is desired as long as cost
implications are not very significant.

Summary
NEMA changes tracked Strategy
Temperature rise Avoided
Change in NEMA mounting Accepted
dimensions
Exceeding NEMA specifications Desired
for design