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Callaway

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Callaway
In the beginning Callaway Club Company (CGC) has had a long time standing of success until they lost sight of what their customers really wanted. CGC should shift their focus to retailer relationships and modify their campaign to promote the fun of the game, selling the idea of an easy round of golf with Callaway clubs. They should spend less time and effort on the science and more on developing the customer wants.

Addressing the needs and wants of CGC consumers, Callaway customers all need one thing in common, a tool to hit a little round ball into a small hole. Callaway customers want a more pleasurable way to do it. Callaway has spent a lot of time, energy and resources finding how. The professional golfer wants long irons where most other golfers prefer short irons because the short staff makes it easier to use (Callaway Golf Company Information). The research and development group cost increased from 6 million to 37 million in a matter of 10 years.

According to the Callaway website, their mission is "Putting the Joy of the Game in Your Hands." Callaway needs to follow this statement throughout the chain of distribution. The company may believe in their mission, however if the retailers do not feel as if they are a respected part of that chain, the consequences will result in decreased sales even though the product is of high quality. Callaway needs to strengthen the relationship with the retailers by making sure they know the product and feel the same way about the product that Callaway does. Callaway needs to address the issue of neglect by the company of the retailers; this is one of their SWOT analysis weaknesses.
Using the SWOT analysis tool and information obtained from Pearson Custom Business Resources text book, Callaway's threats include Taylor Made Golf and Ping Golf. Both companies saw an opportunity to create a better playing experience as did Callaway and entered the market with their premier products, reducing Callaway's market share.

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