Global Motors
Case 1.2 introduced Global Motors, a division of ZEN Motors. You may want to review that case before proceeding here. Nick Thomas, CEO of Global Motors, must try to revitalize the company. After acquainting himself with relevant information from both the ZEN MIS and outside secondary data sources such as trade association and government data about the auto industry, Nick realizes he needs more information. ZEN has a large R&D and engineering staff. A couple of years ago, several initiatives were launched within these groups to explore innovations in auto design and propulsion. Thomas has spent a great deal of time with these scientists and engineers. He regards them to be experts and on the cutting edge of what is capable of being produced. Nick's meetings with the R&D and engineering divisions have revealed some key facts. First, the engineering and production capabilities exist for all electric vehicles as well as hybrids.
While a hydrogen engine may be feasible, it is still in the future. Also, though the country has stockpiled vast quantities of compressed natural gas (CNG), the existing infrastructure is just not ready for CNG-powered vehicles in the quantity that would make them profitable. Based on this information, Nick and the staff agree that there are choices to be made among five basic models. Millions of dollars invested in engineering would go into these models. Even the general description such as "all electric" or "hybrid" has been kept top secret in all of ZEN Motors.
Satisfied that he has the engineering and production know-how to produce any one or a combination of these car models, Nick now has an information need: What are car buyers' desires? And who are the car buyers who will want, say, an all-electric model? Can they be described in a way that will allow Global Motors to target them with promotional materials? Nick has several other questions: What are consumer attitudes toward global warming? Are consumers' motives being driven purely by gas prices? Or, are they truly worried about gas emissions and global warming? Global Motors needs help in tracking down information about consumers and their car-buying goals and motivations.
1. Should Nick Thomas use his own internal supplier, ZEN's existing marketing research department, to answer his questions? Are there reasons why he should not use them?
2. If Nick decides to bring in an outside marketing research firm, he will have to reveal proprietary information that is valued at millions of dollars. A competitor would love to know what ZEN is planning through their new Global Motors division.
Do the MRA's Code of Marketing Research Standards address this issue?