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Case Analysis: Tire Rack

Good Essays

1. Case Introduction

Somebody ought to stock a few of every tire, sell them over the phone, and ship

them, thought Mike Joines when he had trouble finding the right performance tires

for his sports coupe.

Joines approached his father-in-law, Peter Veldman and help him open a retail tire

store. After seven years, they were making so may phone orders; they closed the

store and added phone lines.

Veldman now is president and patriarch of Tire Rack, a family-owned Internet and

mail-order tire retailer. His wife, four of their six children and two son-in-law also

work for Tire Rack.

Tire Rack sells name-brand tires to consumers and to other retailers. For

consumers, Tire Rack ships to its network for recommended …show more content…

In

this case, Veldman family has so many people can chosen as the successor and

Mr. Peter Veldman has not had any succession planning yet although he is now

over 70 years old.

3. Recommendation

3.1 Human Resource Management

In my opinion, why not Veldman family looks for someone more capable than

them, to do the job for them, so that company can move forward in a more

professional way?

Even though they have experience, there is still a certain limit. If they carry on like

this, they will not move forward, they will stay where they are. An outside manager

can bring fresh ideas as well as external expertise to the company and make more

profits for it. (Lam, 2007)

3.2 Marketing Strategies

Edmonds – Veldman daughter and vice president in charge of customer service of

Tire Rack, says "word of mouth and references are still our biggest source of new

customers”.

Tire Rack not only operates well but also need a great development. Therefore,

they should develop marketing strategies to promote their product. The followings

are three steps that Tire Rack can use to develop a marketing strategy



Setting objectives

Marketing objectives should be tied in with the company’s competitive

edge and flow from its mission statement.



Choosing target market

This step can be done by using market segmentation to divide the market

into distinct groups of customer with

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