Case Study: Caterpillar Inc.
i) Read Case Study Section VI Case 2 (Caterpillar, Inc.). Write a 750-1000 word paper in APA format analyzing the case study and answering the following questions. In addition, it is helpful to use the Internet to search for information on Caterpillar Inc. Finally, using the corporate website will provide great insight into the organization, its products, and marketing strategy.
(1) Why was Caterpillar able to meet Japanese competition and succeed where other major US manufacturers failed?
(2) What did Caterpillar do that the big three US automakers have not done?
(3) Using a SWOT analysis, summarize Caterpillar's marketing and management strengths and weaknesses.
(4) In the United States, Caterpillar is competing in a mature industry. This means that for Caterpillar to increase its US market share, it must take sales from competitors, rather than increase the size of the market.
(a) Are there other major growth opportunities in the domestic market which have not been identified by Caterpillar?
(b) If the US market is close to saturation, should Caterpillar maintain the majority of its manufacturing operations in the US?
(5) Identify the strengths and weaknesses of Komatsu and Caterpillar's other major competitors.
(6) Where are the major growth opportunities for Caterpillar, Inc. in the international market? Identify the risks of pursuing these growth opportunities and the risk reduction strategies which Caterpillar could pursue.
(7) Caterpillar has been a major corporate voice in the call for the reduction of trade barriers not only in the US but also worldwide. Explain the benefits to Caterpillar if trade barriers were eliminated.
(8) Caterpillar, Inc. has had severe labor difficulties during the past decade. What can the company do to establish a more cooperative environment in its US factories?