Fleet Sales Pricing at Fjord Motor

As an automobile manufacturer examines its fleet sales, what bidding strategies should it incorporate to maximize its profit?
Robert Phillips  | Spring 2010
Operations
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While Fjord Motor Company has been successful in fleet sales, winning almost 70 of its 4,000 bids each year, the company has become concerned about inconsistent and inaccurate bidding. Worried that its fleet sales staff hasn't maximized profits on its Coronet Elizabeth, the model favored by police departments and corporate fleets, Fjord hires a consultant to examine its pricing data. In this case students are asked to develop pricing strategies by creating a two-parameter logistic model and to consider how additional factors, such as the size of an order, affects pricing.

Case ID: 100202
Supplemental Materials: Solutions Spreadsheets , Fjord Motor Student Dataset

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