Sultan Trucks Limited are the manufacturers of commercial trucks for the last 20 years. The company had been doing good business, but recently due to irregular supply of parts by its suppliers, the company could not make timely delivery of trucks to the parties, who had booked their trucks. The customers cancelled their bookings and there were very few new bookings. The sales of the company started declining that resulted into losses. The management of the company analysed the problem and decided to takeover those two firms because of whom the problem arose, one of them was supplying tyres for its trucks and another axles to the company. The company also extended credit facilities to the customers and started booking the trucks without charging any booking amount. It also decided to employ 100 unemployed youth, with 50% reservation for females to take up the cleaning operations, using the imported machines, inside the factories as well as the surrounding areas. Identify and state the concepts of enterprise marketing and growth strategies discussed in the above paragraph.

Question

Accepted Answer

Several concepts of enterprise marketing and growth strategies are discussed in the Sultan Trucks Limited case:

**Vendor Management:** The irregular supply of parts by suppliers caused the company to face delivery problems. To address this, the management decided to takeover the two supplier firms — one supplying tyres and another supplying axles. This is an example of backward integration where a company acquires its suppliers to ensure reliable input supply and control over the supply chain.

**Sales Strategy:** The company extended credit facilities to customers and started booking trucks without charging any booking amount. This is a sales promotion strategy aimed at retaining existing customers and attracting new bookings by reducing the financial burden on customers.

**Employee Management:** The company decided to employ 100 unemployed youth with 50% reservation for females for cleaning operations using imported machines. This demonstrates the company's commitment to social responsibility while also ensuring operational efficiency through proper employee management.

**Marketing Mix — Distribution (Place):** By taking over the supplier firms and ensuring timely delivery, the company is strengthening its distribution and supply chain, which is a key component of the marketing mix.

**Growth through Backward Integration:** The takeover of suppliers is a vertical integration strategy that helps the company achieve growth by securing its supply chain, reducing dependency on external parties, and controlling quality and costs of raw materials.