This document discusses the competitive advantages of Navistar that allow it to be sustainable in the automobile industry. Navistar has a long history and reputable brand name that is difficult for competitors to replicate. It focuses on product differentiation through unique designs and styles. Navistar also emphasizes excellent customer service and high quality, modern technology. To maintain its competitive advantages long term, Navistar focuses on serving niche market needs, developing valuable expertise, and making preemptive moves through superior technology. The document concludes that decisions around sustainability require managing high uncertainty, and first movers in sustainability will gain competitive advantages.
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Strategic Management - Navistar
1. Competitive Advantages
of Navistar and Argue
Why They are
Sustainable in the
Automobile Industries?
Post Graduate Diploma In Business
Management
Module : PDB10600- SM
Date : 23.03.2016
Guided By : Mr. Ken Chua
Presented By : Group No 04
PDB10600 Strategic Management Presentation
3. Introduction
• Navistar International Corporation is an American base
company establish in1902 in Chicago Illinois.
• First it was named as International Harvester Company (IH)
involve in diversified manufacturing of farming equipment,
construction equipment
• With the drop of agricultural economy they enter to a new
business and developed a series of reliable large-displacement
V8 diesel engines .
• In 1986 they chance the name as Navistar International
Cooperation and manufacturing trucks, buses, school buses,
diesel engines and chassis as their products. 3
4. • Navistar currently operating in 90 countries, with more
than 1,000 dealer outlets and 60 dealers around the
world. (www.navistar.com, 2015)
• Current head quarts is located at Lisle Illinois, United
States with around 16,500 employees.
• They have earned USD 10,140 million for total revenue in
2015. (www.financeyahoo.com, 2015)
• Main competitors of Navistar are
Introduction
4
5. Competitive Advantage of Navistar
• Old and trusted brand name
Long history and reputable brand sustainable over the long term
because competitors do not catch up with illustrations history that
Navistar process
• Nice and sleek design
Nice and sleek design may be sustainable if Navistar continue to
attract to designers to design truck that not only processes
aerodynamics.
• Brilliant engineering
Expertise, Responsiveness, courteousness 5
6. • Best customer service
Must add value to the customer and should create from the
customer perspective.
• On command system
High quality, Modern technology, Responsiveness, Expertise
• Product differentiation
Features, styles, designs
Competitive Advantage of Navistar
6
7. Long Term Sustainability of
Competitive Advantage
• Unique merchandise
Designs, perceived values
• Proper distribution channels
Strong relationships, develop reputation, ownership values
• Develop valuable expertise and competitive capabilities.
Which are the competitors can not copy
7
8. • Focus on better serving a niche market’s needs
(Efficiency and Effectiveness)
• Synergistic combination of distinctive and reproducible
capabilities.
Deliver superior quality products, developing long term sustainable
product ranges
• Implementing the preemptive move.
Introducing superior technology, respond to the changes in customer taste
and preference.
Long Term Sustainability
of Competitive Advantage
8
9. Conclusion
• Navistar is one of the stable brand in Automobile industry nearly
three decades.
• Competitive advantage and sustainability has the potential to affect
all aspects of a company.
• Decisions regarding sustainability have to be made against a
backdrop of high uncertainty.
• Governments’ agendas increasingly advocate for sustainability.
• Capital markets are paying more attention to sustainability
• First movers are likely to gain a commanding in competitive
advantage. 9
10. References
• Navistar (2015) who we are. Available at:
http://www.navistar.com/navistar/whoweare/ (Accessed: 17 March 2016)
• The Four key areas for increasing sales revenue (2014) Available at:
http://www.forbes.com/sites/jimkeenan/2014/06/02/the-four-key-areas-for-
increasing-sales-revenue/#3bd28d252664 ( Accessed: 18 March 2016)
• Wed, M.F. and 16,M. (2009) Navistar international corporate stock-Yahoo!
Finance. Available at: https://finance.yahoo.com/q/co?s=NAV+Competitors
(Accessed: 15 March 2016)
• Zwilling, M. (2010) The 6 keys to real sustainable competitive advantage:
Available at: http://www.businessinsider.com/the-6-keys-to-sustainable-
competitive-advantage-2010-6?IR=T&r=US&IR=T (Accessed: 18 March
2016)
10
, gas turbines, trucks, buses and related components.
Competitive advantage and sustainability has the potential to affect all aspects of a company’s operations, from development and manufacturing to sales and support functions.
Governments’ agendas increasingly advocate for sustainability. Companies that are proactively pursuing this goal will be less vulnerable to regulatory changes.
Capital markets are paying more attention to sustainability and are using it as a gauge to evaluate companies and make investment decisions.
First movers are likely to gain a commanding lead; it may be increasingly difficult for competitors to catch up.