SOUTHERN NEW HAMPSHIRE UNIVERSITY

Graduate School of Business Program: Course Title : Instructor: Due Date: Submission Date: SNHU School of Business Graduate Program Marketing Strategies MKT 500 Jeannemarie Thorpe Monday, February 2, 2004 Monday, February 2, 2004

Type of Assignment: Case Analysis Title of Assignment: Goodyear Tire and Rubber Company 5th Case Study Student Name: Cevdet KIZIL Student Phone #s: (603) 626 9302 Student E-mail: cevdetkizil@yahoo.com CERTIFICATION OF AUTHORSHIP: I certify that I am the author of this assignment. Any assistance I received in its preparation is fully acknowledged and disclosed within this document. For Mid-Term and/or Final Exams, I certify that I have not received any help from others. I have cited any and all sources, both print and electronic, from which I have used data, ideas, or words, either quoted or paraphrased. My cited sources are indicated within this document. I also certify that this assignment was prepared by me specifically for the course as listed above.

Monday, February 2, 2004 Student Signature Date:

Assignment Grade: ______ Instructor Comments:

Goodyear Tire and Rubber Company

The problem for Goodyear Tire and Rubber Co. is that they cant decide whether they should accept Sear Companys offer about selling Goodyear brand tires or not. Goodyear Tire and Rubber Company has some constraints to solve the problem. First of all, selling the tires will decrease the sales of Goodyear Auto Service Centers and franchised Goodyear Tire Dealers. Then, Goodyear will have to change its distribution policy. After that; if the tires will be sold, this will create a conflict with Goodyear franchised dealers. Next; the condition is so complicated that many questions are waiting to be answered like which Goodyear brands will be included to the arrangement, should Sears carry one or more brands exclusively and have its own dealers carry certain brands on an exclusive basisetc. Following this, low customer loyalty in tires industry is another constraint. Plus; department stores and the major retail chains are usually marketing their own private label brands. Additionally; local dealers have strong influence on customer buying decisions. Of course; the loss recorded by Goodyear in 1990 & decreasing market share between 1987 and 1991 are other important limitations. Finally; if I were the CEO of Goodyear, I would not sell my companys tires. Because; the situation will be very complicated after the arrangement. Also; it seems like Goodyear will create many enemies. Especially; if we look at the table on page 428 of case, we can see that Eagle tires have high quality, so selling them will be very risky. If thinking sales; they must start from other tires to minimize the risk. Also, the company must continue to produce innovative products (e.g.Aquatred) and should implement more creative advertisements (like Pirellis Ronaldo ad. which is very popular in Europe).