Factors affecting sales decline of Fiat Chrysler Automobiles

This case study analyzes the various factors responsible for the decline in sales of Fiat Chrysler Automobiles and provides recommendations for improvement.

Case Study

Table of Contents
CHAPTER 1: INTRODUCTION....................................................................................................4
1.1 Title........................................................................................................................................4
1.2 Abstract..................................................................................................................................4
1.3 Rationale of the research .......................................................................................................4
1.4 Research problems from the case..........................................................................................4
1.5 Research Questions................................................................................................................5
1.6 Aim and objectives of the project..........................................................................................5
1.7 Background of the study........................................................................................................6
1.8 Structure of the work.............................................................................................................7
CHAPTER 2: LITERATURE REVIEW.........................................................................................8
2.1 Introduction............................................................................................................................8
2.2 Literature review on automobile industry..............................................................................8
2.3 Industry size.........................................................................................................................10
2.4 Growth rate..........................................................................................................................12
2.5 Major players or competitor’s analysis................................................................................13
2.6 Situation Analysis................................................................................................................14
2.7 Proposed plan for analysis...................................................................................................15
2.8 Literature review..................................................................................................................15
2.9 Conclusion...........................................................................................................................16
CHAPTER 3: METHODOLOGY FOR STUDY..........................................................................17
3.1 Introduction..........................................................................................................................17
3.2 Explanation to research philosophy, design, approach methods.........................................17
3.3 Secondary market research..................................................................................................19
3.4 Reliability.............................................................................................................................19
3.5 Validity................................................................................................................................20
3.6 Ethical issues........................................................................................................................20
3.7 Conclusion...........................................................................................................................21
CHAPTER 4: RESULTS AND DISCUSSIONS..........................................................................21
4.1 Introduction..........................................................................................................................21
4.2 Strategic analysis.................................................................................................................21

4.3 Assessment of current position ...........................................................................................24
4.4 Integrated assessment of analysis by generating ideas and giving alternative solutions.....25
4.5 Selection of strategies for success........................................................................................27
4.6 Findings from data collected ...............................................................................................28
4.7 Solutions to research problems............................................................................................29
4.8 Conclusion...........................................................................................................................30
CHAPTER 5: CONCLUSION AND RECOMMENDATIONS...................................................30
5.1 Introduction..........................................................................................................................30
5.2 Conclusion...........................................................................................................................30
5.3 Recommendations................................................................................................................31
5.4 Decision on action plan........................................................................................................31
5.5 Conclusion...........................................................................................................................32
REFERENCES..............................................................................................................................33

CHAPTER 1: INTRODUCTION
1.1 Title
“To study various factors due to which sales level get decline of Fiat Chrysler Auto-mobiles.”
1.2 Abstract
Sales is an important aspect of any organization and hence all appropriate steps are taken
by the management of the company to increase up to maximum possibility. The present research
is based upon a case study that has been chosen on Fiat Chrysler Automobiles. It is a company
which deals in automobiles. It has been able to compete with top organization of UK. A
secondary research has been conducted on the company where its success and growth factors
have been analysed. Rigorous literature review has been conducted with the aim to concentrate
on key factors of sales. In the end, it is recommended to the organization that it must improve the
quality of its products and services so as to be counted in top notch brands of UK. Moreover, it
has also been recommended that improvement in market research strategies can help the
company in tapping large number of customers towards it.
1.3 Rationale of the research
While conducting any research, it is important that the researcher understand its relevance.
The study must hold some worth so that specific purpose through it can be served. It is important
to understand its practical and academically aspect by diligently analysing its relevance. The
researcher does not hold adequate amount of knowledge regarding various factors that are
responsible for declination in sales level of Fiat Chrysler Auto mobiles. Further, increasing
fluctuations in the automobile industry have attracted the researcher to further study this topic in
detailed manner. The project will help in understanding various aspects whose direct dependence
can be assessed on company’s sales. The study will be helpful in improving the current
knowledge aspect that is being possessed by the researcher related to the stated subject matter.
1.4 Research problems from the case
The case that has been chosen for the research is related to the study of Fiat Chrysler
Automobiles. It is one of the most important section of the research where the problem related to
the organization will be identified.
The main objective of every company is to become successful and gain the highest amount
of market share. Moreover, attracting large number of customer towards it is the another aim of
the company as it can have strong and direct impact on success and growth of the organization.

Moreover, it also helps in dealing with the competitors present in the market as well. However,
there are various issues that are faced by the company. These issues will be discussed in the
research in detail.
The scenario of current drop down in sales of Fiat Crysler Automobiles have been
discussed in the case scenario being chosen to serve the purpose of the study. A decrease in sales
can have strong impact on the profitability of the company (Shao, Taisch and Ortega-Mier,
2016). Moreover, it is considered to be a loss situation as well. The main concern of every
organization is to maintain effective relationship with its customers. It is an easy approach to
satisfy the customer to its best. Hence, it is important for Fait Crysler Automobile to understand
the reason behind decreasing sales.
Another issue that has been addressed in the article is related to technological aspects and
innovation. Company is required to constantly upgrade its technological aspects as people
always prefer to get modern technology for their automobiles. Moreover, it certainly helps the
company to generate higher revenue and ultimately higher profits. The availability of
competitors is quite higher in case of automobiles in the market. Different tools and techniques
are used by Fiat so that the best product quality can be delivered to the customers. However, the
issue is due to its high-end products, customers are switching to other brand over Fiat Crysler
Automobiles.
1.5 Research Questions
Research questions for the present research are:
 What are the major factors that affect the sales of firm?
 Which kind of issues are faced by the Fiat Chrysler Auto-mobile in their strategic
management?
 How to analyse the market position of Fiat Chrysler Auto-mobile?
 What are the major recommendation for improving the growth and success of firm?
1.6 Aim and objectives of the project
The aim of present research is “To evaluate various factors which are responsible for
decline in the sales of organisation. A case study on Fiat Chrysler Auto-mobile.”
Based on above stated aim, following objectives for the research can be framed:
 To identify the various factors that affect the sales of company.

 To access the major issues that are faced by Fiat Chrysler auto-mobile in their strategic
management.
 To analyse the actual market position of Fiat Chrysler Auto-mobile.
 To recommended most appropriate strategies that helps in future growth of company.
1.7 Background of the study
Fiat Chrysler Automobiles is an Italian American company and is considered as eighth
largest auto maker in the world. The group was able to be established after merger of Fiat and
Chrysler in the late 2014. It has been headquartered in London. The holding company is listed
with New York Stock exchange and Borsa Italiana in Milan. Exor S.p.A. is an Italian investment
group that is controlled by Angelli family, is owning 29.19% of Fiat Chrysler and is controlling
44.31% with the help of loyalty voting mechanism (Hashmi and Biesebroeck, 2016). It is
involved in designing, engineering, manufacturing and selling vehicles and other parts related to
it. It has been able to provide 162 manufacturing sites worldwide with 87 research and
development centres. It has dealers and distributers in more than 150 countries worldwide. Other
services are also provided by its subsidiaries and financial partners. These services include,
leasing, rental services, dealer financing, retail financing etc.
The portfolio of the company includes different automotive brands such as, Abarth, Dodge,
Fiat, Jeep, Fiat professional, Lancia, Ferrari and Alfa Romeo etc. Ferrari came to this group in
2016. The company tends to own different industrial subsidiaries as well, which includes,
Magneti Marelli, Teksid, Mopar and Comau. The manufacturing design and facilities of
engineering are set up in United States, Italy, Turin, Michigan, Auburn hills and other location
situated at different parts of the world, including, Mexico, Brazil, Canada, Argentina, India,
China and Poland.
5 yean business plan was announced by Fiat Chrysler on May 2014 which has helped to
define the functioning of the company. Moreover, it also helped in giving an insight regarding
mission and vision of the company as well. As per the expectations of the company, there will an
increase in its sales up to 7 million units. It will help in increasing the revenue up to 132 billion
with the net income of 5 billion to the organization. The industrial debt of Fiat will peak at 11
billion in 2015. However, it will then reduce to 0.5 to 1 billion by the end of 2018 ( Booming
British car manufacturing helps drive economy and production could break records by 2017,
2017).

The company is currently focussing on the global growth of Jeep due to increase in its
visibility worldwide. Moreover, it is also focussing on the sales of SUV market in some of the
developing countries as well. Fiat has been repositioned as a main stream brand of North
America which is competing with top notch automobile brands such as Volkswagen, Toyota,
Ford and Chevrolet.
Currently, the company is mainly focussing on providing high quality products and
services to its customers with the aim to gain advantage over the other automobile companies in
the market. The objective is to constantly innovate its functions by changing with the dynamic
circumstances. It is involved in giving intense focus on creating better future for the company
with the help of their communities and stakeholders sitting inside or outside the company
(Booming British car manufacturing helps drive economy and production could break records by
2017, 2017).
However, it has been assessed that there is constant decline in the sales of the company
since last year. There can be various factors that can be related to decreasing sales. In the present
study of Fiat Chrysler Automobiles, the main motive is to evaluate various factors which are
responsible for decline in the sales of the company. The research will help in understanding
major strategic issues that are currently faced by Fiat Chrysler automobiles in its strategic
management. Further, the present research will also be responsible to understand different
aspects that can affect the sales revenue of the company. The scholar will also be analysing
current market position of Fiat Chrysler Automobiles. In the end, the research will be responsible
to give certain recommendations which can further help in future growth of the organization.
1.8 Structure of the work
It is important that a research work flows in a manner that can help a reader to understand its
various aspects in detailed manner. To serve this purpose, it is important to decide initially the
chapter wise distribution of the research. Hence, in the present research, the chapter will flow in
the following manner:
Chapter 1: Introduction: It is the first and foremost chapter of the research which helps in
giving overview to the topic. Moreover, it also helps in giving overall background of problem
statement based on which whole research will be prepared, the current introduction chapter deals
in assessing aim and objective of the research and stating quick brief to Fiat Chrysler
Automobiles.

Chapter 2: Literature review: It is another important chapter of the research. It helps in
collecting secondary data regarding the subject matter chosen by the research scholar. In the
present case scenario, the main aim of the research is to evaluate the various factors which are
responsible for decline the sales of Fiat Chrysler Automobiles. Hence, secondary data will be
collected related to the subject matter that is aligned to the framed objectives for the research.
Chapter 3: Research Methodology: It is another important aspect of the research where
methodologies regarding the research are decided by the scholar. The researcher states research
approach, philosophy and design used in the research. Moreover, method of data collection in
detail will also be discussed in the research.
Chapter 4: Results and discussion: It is results and discussed part of the research where results
are stated which have been derived by the researcher after extensive research. Moreover, it will
also be discussed that how the results can help the company in better delivery of services and
achieve its objectives to the core.
Chapter 5: Conclusion and recommendation: This is the last and most important chapter of
the research. Where all the research done is bound together so as to reach to a perfect and
meaningful conclusion. The section will also discuss recommendations that can be given to Fiat
Chrysler Automobiles.
CHAPTER 2: LITERATURE REVIEW
2.1 Introduction
In the present case study, literature review is the second chapter where the researcher will
set the theoretical framework. In this chapter the researcher will analyse the reviews of various
authors and scholars and provide a robust framework to the study. By doing that, the researcher
will able to accomplish the aim and objectives of the case study.
2.2 Literature review on automobile industry
According to Rawlinson and Wells (2016), automobile industry is considered to be ever
evolving industry which is able to experience rapid growth in the revenue and unforeseen decline
in the sales as well. The industry principally belongs to an oligopolistic market and hence the key
players in the industry are able to gain the advantage. Based on data being collected, the current
major players of automobile industry of UK are, General Motors, Toyota, Volkswagen and Ford.
Apart from these big four automotive companies, there are companies which belongs to

Germany, Japan and USA who dominates the UK market. The domination of these companies is
through various mergers and acquisitions and other equity based alliances. However, in
comparison to this, as per the views of Dhingra and et.al. (2016), automobile industry is largely
homogeneous and hence a minute change in common trends of the market can significantly
affect the other companies dealing in it as well. A potential of growth has been noticed in various
markets, such as, Brazil, India and China due to availability of cheap labour. There are various
macro-economic factors that can directly affect this industry. Common factors include,
bargaining power of supplier, integrations in economics, economical and political aspects etc. A
change in the attributes of supply chain can affect technical dependence on the suppliers.
According to Law (2017), there are variety of different models that is launched by different
car companies. Majority of the models belong to city, mini or supermini segment. However,
some other models belong to luxurious and super luxurious category as well. The trend of higher
sales in automotive industry is represented by high sales of super mini segment of cars. A growth
rate of 44% have been noticed in this category. It has stimulated the companies to invest and add
new and more sophisticated features in the cars of this segment. A struggle may be faced by new
entrant to maintain its upkeep in the market. However, technological advancements and new and
innovative design come to rescue the entrants in that case. However, in comparison to this, as per
the views of Hashmi and Biesebroeck (2016), companies who are already established in the
market also require to constantly innovate in their products and designs offered by them so that
large number of customers can be attracted towards it. It further helps in increasing the sales
revenues as well.

Figure : Output statistics of UK Automobile industry
(Source: Booming British car manufacturing helps drive economy and production could break
records by 2017. 2017)
The above graph shows that there is a constant increase in the output of automobile
industry in UK since 2007. Moreover, it is expected that the rise will also continue in the near
future as well. It shows that a significant amount of concentration on the strategic phase of the
company can help in generating higher profits. Moreover, companies in UK are investing in
technological advancements so that they can gain higher market shar in growing automobile
industry.
2.3 Industry size
According to Liu and Shankar (2015), Automobile industry in considered to be an
important part of UK economy. It has been accounted more than £77.5 billion turnover and £18.9
billion value added. There are more than 169000 people who are directly employed in
manufacturing units of cars. Other 8,14,000 people are employed in other units of the industry.
12% of the total exports of UK are dependent on this industry. Moreover, it invests around £4
billion each year in research and development department of automotive industry. Further, there
are around 30 manufacturers who build more than 70 models of vehicle in the country which

have constant support framing om 2500 component providers out of which, some are among the
most skilled engineers of the world.
According to Shao, Taisch and Ortega-Mier (2016), UK automotive manufacturers were able to
present the turnover of £77.5 billion in 2016 which have been the highest record in terms of
turnover till date. The productivity per workforce happens to be high where 11.8 vehicles has
been produced in a year by every employee. The industry of automobiles happens to have certain
success in near future due to its increasing trend in people. It has been seen that it is the
consecutively seventh year of growth of the industry. UK car and commercial vehicle production
have grown by 8.9% in total. Moreover, the new vehicle registration has grown up by 0.2% in
2016. An increase in turnover happens to be 9% in comparison to that of 201. It shows, an
investment in this industry can help the company in achieving greater heights at this period when
the market share of automobile industry is [increasing leaps and bounds. Moreover, adequate
amount of investment in research and development by the companies can help in satisfying the
requirements of the customers. In contrast to this, as per the views of Kale (2017), despite of
being involved in the period where the turnover of automotive companies is constantly

increasing, there are certain factors that is affecting the sales of Fiat Chrysler Automobiles. It can
be due to there less investment in research and development department due to which they are
not able to understand the requirement of their customer which is ultimately leaving them
unsatisfied. Other common factors that can affecting their sales can be inability to cope up with
the constant technological advancement in the sector. Improvisation in strategies is also required
with constant change in current market trends of the economy and the industry.
2.4 Growth rate
According to Kushwaha and Sharma (2016), it is important to make an assessment of
growth rate of the industry before making a heavy investment in it. There is a steady growth in
the sales of automotive companies that are functioning in UK. However, the sales of Fiat
Chrysler Automobiles happen to be at declining phase. A strong impact of organization’s image
in the eyes of the customers have been noticed on customer satisfaction level and their attraction
towards purchasing product or services. It helps in improving sales as majority of the customers
get attracted towards it. Hence, it is important for the organizations to opt for better marketing
strategies so as to perform this function. Hence, it can be ascertained that marketing function is
an important aspect while working towards achieving the goals and objectives of the
organization. Fiat have been noticed in failing to target a particular market due to availability of
high range of competition in the market. However, in comparison to this, as per the views of
Calabrese (2016), promotional strategy also plays an important role in determining the factors
that can further lead to increase in sales. Common platforms available for this aspect includes,
print media, visual media and digital platform. Adoption of appropriate measures while
promoting the company can help in improving sales which can further improve the market share
of the organization as well. As per Young, Hood and Hamill, (2017) Fiat is the most popular car
maker brand who deals in wide range of luxury cars and SUVs, before discussing about the
market position of Fiat Chrysler Auto mobile, it is required to focused on FCA'S market share
through the help of continent region. The sales of company in various countries are different
from each other, some are not profitable condition and some are on loss condition. In the region
of NEFTA the sales of Fiat got increase, in Brazil sales of Fiat were economical there were no
ups and down in sales ratio, China was achieving growth as their sales were constantly
increasing. According to Warter and Warter, (2017) it is essential for manufacture companies to

produce those types of products which can accomplish the needs and demands of people. Fiat has
to convert their fuel based cars in to electronic and hybrid concept because most of the car
customers’ demands efficient cars which a lesser cost per kilometre. This is an effective solution
for the company to improve their sales which can help to them to improve their profits as well.
They have to promote hybrid and electronic cars which can help to accomplish the needs of
customers and make more profits by them.
2.5 Major players or competitor’s analysis
Bruner and et.al., (2017) said that in the era of globalisation and dynamism, new organisations
are evolving rapidly and existing organisations are improving their technologies effectively thus
generating an environment of competition. As Fiat Chrysler has been merged recently, it has
surrounded with strong competition. According to Pardi, (2017) Fiat is one of the oldest
automotive organisation operating since 1899. It has various subsidiaries brands such as Abarth,
Chrysler, Dodge, Jeep, Alfa Romeo, Lanica, SRT, Ram and Maserati. The top competitors for
Fiat Chrysler are Ford Motor Company, General Motors, Volkswagen AG, Honda Motors and
Toyota.
Approximately 200000 cars of Fiat Chrysler were sold across United Kingdom in 2017
(Fiat Chrysler Automobiles sales in Europe in december and full year 2017, 2017). Whereas
Volkswagen was able to sale approximately 208462 units in United Kingdom in 2017. The total
sales of Toyota in Unites Kingdom market was recorded to 102045 units in 2017. Ford Motors
total units sold in 2017 was 287396 making them the leading car seller in United Kingdom.
McNabb, (2016) said that in order to gain the competitive advantage, the management of Fiat-
Chrysler needs to focus on generating more and more customer satisfaction by providing them
quality products and services. From the above figure it can be clearly understood that Fiat-
Chrysler has a long way to go in order to sustain in the competitive environment. Gifford,
(2014) enunciated that there are various tools and techniques through which the management of
the organisation will able to increase their sales and gain competitive advantages. As in the era of
digital technologies and social media marketing, marketing departments are constantly using
social media and digital ways of conducting marketing and promotional activities. This helps

them to deliver the information to the large audience and they were able to promulgates the sales
and profits of the organisation. In this way, if the management of Fiat-Chrysler promote their
goods and services using digital marketing methodologies, then they will able to increase their
sales and profitability. Thus, they can sustain in the competitive environment effectively and
efficiently.
2.6 Situation Analysis
According to McShane, (2017) situational analysis refers to the methods and approaches
which are used by the managers to analyse the internal position of the organisation. In
accordance with this context, to analyse the internal position of Fiat-Chrysler, SWOT analysis
will be made. As per Mordue, (2017) SWOT stands for analysing strengths, weaknesses,
opportunities and threats possess by the organisation while operating in the market economy.
Greer and Hauptmeier, (2016) enunciated that as one of the lading companies in automotive
industry, there are numerous strengths posses by the management of Fiat Chrysler Automobiles
N.V. That enables them to thrive in the market place. The management has successful track
record of developing new products. With the help of continuous innovations and development,
the management of organisations able to increase their market share and growth. Automation of
activities brought consistency of quality to Fiat Chrysler Automobiles N.V. products and has
enabled the company to scale up and scale down based on the demand conditions in the market.
Furthermore, the management got succeeded in developing strong brand portfolio. This brand
portfolio is extremely useful for the management to expand their products category. There is
high level of customer satisfaction which turns out to be the biggest strength of the company.
According to Campbell, Munce and Galea, (2017) company accomplice with certain weaknesses
that degrades their overall productivity and profitability. There is high employee turnover in the
organisation. The company focuses on producing more and meeting deadlines thus, puts stress
on the employees due to which employees tends to leave the organisation. There is less
investment in research and development contributed by the top management. This brings the
biggest disadvantage to the organisation. The financial planning is not done appropriately and
efficiently. The management does not able to plan budget effectively thus lead to disadvantage to
the organisation. There are various opportunities available for the management of Fiat Chrysler
such as stable free cash flow provides opportunities to invest in adjacent product segments. The
opportunities for international expansion is available for the management. They can open their

factories in different countries that will help them to increase sales and profits eventually.
Decreasing cost of transportation because of lower shipping prices can also bring down the cost
of Fiat Chrysler Automobiles N.V.’s products thus providing an opportunity to the company -
either to boost its profitability or pass on the benefits to the customers to gain market share.
Increasing amount of competitors is the biggest threat possess by the management of Fiat-
Chrysler Automobiles N.V. Further, shortage of skilled workforce and manpower creates
restriction towards growth and development of the organisation.
2.7 Proposed plan for analysis
In the case study, PESTLE model has been used by the researcher as a proposed plan for
analysis. As it is considered as the efficient tool for considering the external environmental
conditions of Fiat-Chrysler Automobile. The model helps in understanding the external factors
that impacts on the growth and development of the organisation. For analysing the external
situation PESTEL analysis is the most essential tool that higher authority can rely on the firms
factors in between the general environment and to measure how these factors impacted firms
overall performance. By using PESTLE model, investigator able to get deeper insights of how
the political, economical, social, technological, legal and environmental factors can affects the
company performance. In this way, researcher able to analyse the case and come to brief
conclusion effectively and efficiently.
2.8 Literature review
According to Mahamuni and Tambe, (2014) due to increase in globalisation and information
technologies, the organisations are expanding their business operations rapidly. Stiff competition
is generated in the market economy, and management of business organisations are
implementing various techniques that aid in promulgating their market share by maximising
customer base. With the help of advance technologies and systems, automotive industries are
developing constantly by launching attractive and hybrid commercial and non commercial
vehicles. De Silva and Wijenayake, (2017) enunciates that based on data being collected, the
current major players of automobile industry of UK are, General Motors, Toyota, Volkswagen
and Ford. Apart from these big four automotive companies, there are companies which belongs
to Germany, Japan and USA who dominates the UK market. The domination of these companies
is through various mergers and acquisitions and other equity based alliances. The industry of
automobiles happens to have certain success in near future due to its increasing trend in people.

It has been seen that it is the consecutively seventh year of growth of the industry. UK car and
commercial vehicle production have grown by 8.9% in total. Devi, (2015) argues that, in order to
expand the business, Ford Chrysler needs to innovate its marketing techniques. By using
marketing theories and consumer behaviour theories the management of the organisation will
able to increase their marketing activities effectively and efficiently. Marketing plays a major
role in growth and development of the organisation. With the help of marketing, the management
of organisation will able to delivers the precise information about the products and services to
the targeted customers. Shalender and Singh, (2015) said that social media marketing helps
today's organisations to promote and advertise about their products and services to the larger
customer base. Thus, in order to sustain in the tough marketing conditions and competitive
environment, the management of business organisation needs to formulate and implement
effective strategies so that business can leads in the right direction towards growth and
development. It is very essential and crucial for the organisations to focus on the quality of
products and services provided by them. In today's era customers prefer precise quality of
products at effective and affordable cost. Thus, management needs to consider the total quality
management approach in the organisation so that overall quality of company can be maintain
adequately and effectively.
2.9 Conclusion
Thus from by analysing the literature review, it can be concluded that automobile
industry is considered to be ever evolving industry which is able to experience rapid growth in
the revenue and unforeseen decline in the sales as well. The industry principally belongs to an
oligopolistic market and hence the key players in the industry are able to gain the advantage.
Authors believe that in order to sustain in the tough marketing conditions and competitive
environment, the management of business organisation needs to formulate and implement
effective strategies so that business can leads in the right direction towards growth and
development.

CHAPTER 3: METHODOLOGY FOR STUDY
3.1 Introduction
This is the third chapter of the case study in which the researcher will describe the specific
methods which are used by him or her in order to carry out the research project. This chapter will
help in defining the types of research methods used in order to achieve the aim and objective of
the case study. In the following chapter, the researcher will explain, research philosophy, design,
approach, strategies. The process of validity, secondary research and analysis will be describe in
this chapter along with ethical consideration.
3.2 Explanation to research philosophy, design, approach methods
Research Philosophy
Research philosophy aspect in methodology of a study is an important term as it helps in
enhancing knowledge and ideas about the entire research. It can become difficult for the
researcher to address different issues and reach to an effective conclusion based on the framed
aim and objectives for it. Common methods of research philosophies include, positivism,
interpretivism, etc. Positivism approach is followed by the researcher when hypothesis is framed.
The results through positivism approach states that the value and judgement of the scholar must
be rational and logical. Further, the approach states that, it is important to make a clear
distinction between facts and value judgements (Kumar, 2014). However, in contrast to this,
interpretivism philosophy, it is believed by the researchers that the reality is multiple and
relative. Due to the existence of multiple realities it becomes quite difficult to interpret the
objectivities in fixed realities. Hence, in this scenario, interpretivism philosophy help in socially
constructing the knowledge rather than determining it objectively. There is no rigid structure
which is followed as that of positivist approach and hence it is considered to be more flexible
and personal. It makes easy to ascertain, differentiate and manage various aspects of the
research. It also helps in giving suitable justification top the4 research after analysing all the facts
and figures that are associated to it. Other aspect covered in this philosophy is that it is specific,
unique and easy to be deviated. Moreover, the researcher can mould the study as per the
requirements and hence, it is considered to be interactive, cooperative and participative in nature
(Taylor, Bogdan and DeVault, 2015).

In the present research of Fiat Chrysler, interpretivism philosophy has been used due to
its flexible and adaptive nature. Further, the researcher will effectively be able to analyse various
factors which are responsible for decline in the sales in case of Fiat Chrysler Automobiles.
Moreover, another reason for applying this philosophy to this present research is that, the
research is secondary in nature and hence require adaptiveness in different fields (Vaioleti,
2016).
Research Design
Another important aspect of research methodology is research design. It helps in
delivering the right outcome to the readers at the right time. It is a strategy where one can aim to
investigate varied components that is directly or indirectly relates to it. It acts as a blueprint to
the research which helps in reaching to an appropriate conclusion. There are various types of
research design that can be used by the researcher. Some of them are, descriptive, exploratory
and explanatory. Exploratory research design is conducted when the problem associated to a
particular topic that has not been studied much by the scholars. It helps in setting the priorities
and develops operations which ultimately improves the overall design of the research
(Panneerselvam, 2014). It also helps in determining appropriate data collection method and
selection of the subject to which the research is to be conducted. Another type of research design
is explanatory research where the problem is studied in detail which has not been studied much
by other researchers. It does not help in giving any conclusive evidences in the end, rather it
studies the problems wisely. In this design, researcher is able to adapt a new data and an
altogether new insight to the subject matter. The main aim is not to conclude the study. However,
the objective is to explore the research and find its varying level of depth. It helps in increasing
the understanding to the subject matter and helps in assessing how the things takes place. On the
other hand, other important research design is descriptive research design which helps in
depicting the main participants of the research is well defined manner. It is further divided in
three parts (Neuman and Robson, 2014). These are, observational, survey and case study. In the
present research, descriptive design is used, where case study approach is taken into
consideration. It is re3lated to the depth study of a particular situation rather than conducting a
survey using statistics. It narrows down a very broad field and can help in delivering better
outcomes. Their nature of being flexible helps in analysing the pros and cons of the case study
that has been chosen for the research.

Research Approach
Research approach is considered to be one of the most important aspect of research
methodology as it helps in defining the base for the study. It helps in assessing the technique that
can be used to conduct the study and reach to an effective outcome. Deciding an appropriate
approach can prevent researcher from distracting from the path. Moreover, it also guides in
deciding data collection and analysis methodologies (Humphries, 2017). With the help of
research approach, all the important aspect of the study can be considered and appropriate
outcome can be achieved by the researcher. The two types of research approach can be inductive
and deductive. Inductive approach helps in moving the research direction from specific general.
However, in case of deductive approach, it moves from general to specific direction. It helps in
assisting the researcher in finalizing data collection and analysing aspects of the study. In the
present research, deductive approach has been used as the study is moving towards general to
specific. It helps in studying a specific subject matter in deep and generalizing to other
companies as well (Billig and Waterman, 2014).
3.3 Secondary market research
There are basically two types of data collection methods. These are primary and secondary.
Primary research when first hand data is collected by the researcher and survey is conducted to
collect the data. Statistical tools are applied by the researcher to analyse the data and research to
a specific conclusion. However, in comparison to this, secondary market research is related to
going through the subject matter and article in such a manner that it can effectively increase the
viability of the present research. To conduct secondary research, the scholar has used already
published articles, reports and data with respect to Fiat Chrysler Automobiles. Common
secondary sources used by the researcher are, books, journals, online material, websites etc. In
the present research, secondary market research has been used to collect adequate amount of data
for data collection. Hence, secondary data about Fiat Chrysler Automobiles has been collected
for conducting this research (Lushey and Munro, 2015).
3.4 Reliability
Validity refers to as the quality of collecting the information that that is logically correct
and factually sound. It is important that the research is reliable enough and can be used by the
other researcher as well for their further or future research outcomes. Further, it is necessary that

the data that has been chosen by the researcher is reliable enough. Since, in the present research,
the researcher is involved in conducting secondary research, it is important that the collected data
is reliable enough so that it can reach to an effective conclusion (Dumay and Cai, 2015). In the
absence of reliability and inclusion of unreliable data, in that case, the outcome is considered to
be of no use. Moreover, it also can not be used for conducting further research as well. Hence, all
the data that has been collected by the researcher for the present research is reliable enough and
hence the final outcome received is also effective enough to be considered and generalised as a
whole.
3.5 Validity
Another important aspect that is important for the researcher to be considered in its
research is validity. Gaining valid outcome from the research is considered to be an important
aspect from any research. Hence, the data that has been collected from the secondary sources by
the researcher is valid enough and hence one can easily rely on this aspect. This aspect has been
taken into utmost consideration by the researcher for conducting the present study. Hence,
authentic and appropriate outcome can help in bringing the best from the research. Therefore, the
present research can be considered as valid enough and has helped in bringing out the best from
the study (Mansell, 2015).
3.6 Ethical issues
It is important for the research that all the methods that have been used in it is ethically
correct. Ethical consideration helps in providing effectiveness and appropriateness to the study.
The overall research is based on secondary research. Hence, no individual has been interviewed
with the aim of collection data. In that case, no research participants have been harmed while
gathering adequate amount of data for the present study. Moreover, the respect and dignity of the
research participants that is the secondary source have been kept of priority and no data have
been altered as per the convenience. The data from restricted sites have not been obtained and
prior information regarding the same have been delivered to researcher who is the owner of the
site. Hence, prior information and permission has been taken from the owner before using any
information from the website.
Affirmation with respect to funding and conflict of interest with respect to the other
researcher have been effectively stated in the research (Wiek and Lang, 2016). All the
information is transparent enough and no alteration have been made in it. Proper citation

regarding the work has also been performed so as that law of plagiarism can be avoided. Any
misleading information is also not included in the research report after considering all the ethical
aspects.
3.7 Conclusion
The above chapter describes the research methods used by the researcher in the present case
study. The ways through which these methods helps in accomplishing the aim and objective of
research has been described. The secondary market research, validity and reliability has been
discussed in the following chapter of case study. Further, the ethical issues has been described
which aid in identifying the issues faced by the researcher.
CHAPTER 4: RESULTS AND DISCUSSIONS
4.1 Introduction
This is the fourth chapter of the case study where the researcher will anlayse the collected
information. This chapter aid in increasing the effectiveness in the quality of the case study and
is considered as the most crucial chapter of case study. In the following chapter, the researcher
will analyse the strategic plan of Ford Chrysler, assess its current strategies, generate ideas,
analyse the collected information and answer the research quesitons.
4.2 Strategic analysis
To analysis the strategic position of Ford Chrysler Automobile N.V. SWOT and PESTLE
approach will be used. Further, with the help of Asnoff Growth Matrix, the strategic position of
the organisation will be identified. Strategic analysis of the organisation is listed below:
SWOT analysis:
Strengths Weaknesses
 Innovative products
 Effective quality of services
 Strong Brand Portfolio
 Market share all around the world
 High employee turnover
 Lack of investment in research and
development
 Inefficient demand forecasting

 High Level of customer satisfaction
 Good returns on capital expenditure
 Improper financial planning
 Unable to work with diversified work
force
Opportunities Threats
 Increase investments in alternative
product segments.
 Open new opportunities for establish
players
 Increasing customer base from online
channels.
 Launching hybrid and eco-friendly
vehicles.
 Imitation of spare parts and low quality
products available in the markets.
 Currency fluctuations
 Threats from competitions and
substitutions
 Dynamic taste and preferences of
customers
Strengths
As one of the leading car manufacturing company incorporating in United Kingdom,
there are numerous strengths posses by the management of Fiat-Chrysler (Caputo, 2012). The
company believe in continuous innovations and development which helps them to sustain in the
competitive environment. With the help of huge fan following and customers, the organisation is
able to acquire the adequate market share in United Kingdom.
Weaknesses
The company accomplice with certain weaknesses that degrades their overall productivity
and profitability. There is high employee turnover in the organisation. The company focuses on
producing more and meeting deadlines thus, puts stress on the employees due to which
employees tends to leave the organisation (Balcet, Commisso and Calabrese, 2013). There is less
investment in research and development contributed by the top management. This brings the
biggest disadvantage to the organisation. The financial planning is not done appropriately and
efficiently.

Opportunities
There are immense opportunities available for the organisation. They can promulgate
their investment in alternative product segments to generate more revenue. The management can
increase their customer base from online channels by promoting and advertising on social media
websites (Clark, 2011). Further, launching hybrid and eco-friendly vehicles helps them to attract
those customers who tends to care about the environment. In this way, the management will
contribute towards environmental protection.
Threats
The organisation faced numerous threats while sustaining in the market economy of
United Kingdom. There are various small scale business who provides imitation of spare parts of
low quality to the customers (Rigotti and Palmieri, 2010). This impacts negatively on the sales of
the organisation. Currency fluctuations is another threat that affects the performance of the
organisation. There are various automobile organisation such as Volkswagen, Ford Motors, etc.
from whom the Fiat-Chrysler have to compete with. Moreover, the management faced constant
threats of changes in preferences of customers.
PESTLE analysis: The approach is used for analysing the external factors that impacts on
performance, growth and development of Fiat-Chrysler Automobile.
Political Factors: Political factors plays crucial role in determining the factors that affects Fiat
Chrysler long term profitability in United Kingdom (Pisano, Andrews and Di Fiore, 2011). The
political condition of the country has been greatly affected after BREXIT vote. There are certain
laws and regulations related with industrial legislations has been transformed by the government.
This negatively impacts on the organisation and thus, unable to achieve desired goals and targets.
Economic Factors: The macro environmental factors such as interest rates, inflation rate, saving
rate, foreign exchange rate and economic cycle determine the total demand and total investment
in an economy. The current inflation rate of United Kingdom is 2.9% and gross domestic product
value was £490,704 million in December 2017. From the analysis it was identified that it was
rose to 0.4% since last year's GDP. It implies that economic conditions of United Kingdom is
efficient but due to high inflation rates, customers tends to avoid heavy purchase (Ventoruzzo,
2015). Thus leads to decrease in total sale of Fiat-Chrysler Automobile.

Social Factors: The culture of societies and communities affects the culture of an organisation in
an environment. The taste and preferences of customers of United Kingdom is dynamic in nature
(Rymkevich, 2013). They always seek something new and unique which is different from others.
The management of Fiat-Chrysler automobile needs to formulate effective strategies in order to
meet the expectations of customers. Further, management of organisation needs to develop
different types of products for different customers.
Technological Factors: In automobile industry, technological factors impacts greatly on the
development of organisation. Technology is fast disrupting various industries across the board.
In order to increase the customer base, the management of Fiat-Chrysler needs to increase
investments in research and development department (Allahyari, Kochut and Janik, 2014).
Customers prefer high tech cars and it is very essential for the organisation to build the cars that
meets the expectations of consumer. Further, green technology plays vital role. By building
electronic cars, the management can help in protecting the environment efficiently.
Legal Factors: There are various laws mandates by the parliament of United Kingdom which the
organisation must needs to follow. These are employment rights, consumer protection, work
health and safety, etc (Hatton and van Genuchten, 2016). In order to conduct the business
activities efficiently and to avoid any legal consequences, the management needs to work
according to the laws and legislations.
Environmental Factors: It is related with the physical conditions where firms are operating
their activities in effective ways. There are various factors included under this aspect like
pollution level in economy, natural disaster conditions and changes in weather conditions.
4.3 Assessment of current position
Fiat Chrysler is a well known brand who deals in automotive goods and services, the
major purpose of this company is to provide high quality luxury products to their customers as
[per their requirements. They focused on adopting new marketing tools and techniques in order
to satisfying the needs and wants of customers. It is the worlds most popular car making
company and provide high range of luxury cars and SUVs with more advance features. Fiat
Chrysler Auto-mobile was founded by Walter Chrysler on June 6 1925, at the time when
Maxwell motor company was rearranged in to the Chrysler corporation (Krug, Wright and Kroll,
2014). The scenario of current drop down in sales of Fiat Crysler Automobiles have been

discussed in the case scenario being chosen to serve the purpose of the study. A decrease in sales
can have strong impact on the profitability of the company. There can be various factors that can
be related to decreasing sales. In the present study of Fiat Chrysler Automobiles, the main
motive is to evaluate various factors which are responsible for decline in the sales of the
company. Approximately 200000 cars were sold by Fiat-Chrysler across United Kingdom in
2017. The current share price of Fiat Chrysler Automobile NV is €19.13 (Al-Alawi and Bradley,
2014). The company is frequently growing by increasing the innovation in the products segments
and delivering quality cars and services to the customers. A strong impact of organization’s
image in the eyes of the customers have been noticed on customer satisfaction level and their
attraction towards purchasing product or services. It helps in improving sales as majority of the
customers get attracted towards it. Hence, it is important for the organization to opt for better
marketing strategies to perform this function. Hence, it can be ascertained that marketing
function is an important aspect while working towards achieving the goals and objectives of the
organization. Fiat have been noticed in failing to target a particular market due to availability of
high range of competition in the market (Biasi, 2015). Currently, the company is mainly
focussing on providing high quality products and services to its customers with the aim to gain
advantage over the other automobile companies in the market. The objective is to constantly
innovate its functions by changing with the dynamic circumstances. It is involved in giving
intense focus on creating better future for the company with the help of their communities and
stakeholders sitting inside or outside the company.
4.4 Integrated assessment of analysis by generating ideas and giving alternative solutions
From the analysis of articles and journals of various authors, it was identified that since the
inception of Fiat Chrysler automobile, the company was facing decrease in amount of sales and
profits constantly. As Fiat automobile is one of the oldest car manufacturing organisation who
have many subsidiaries and efficient brand reputation all around the world joined Chrysler in
order to increase their sales and profits (Jacobson, 2010). There are various ways through which
the management of Fiat Chrysler can manage their reducing sale in United Kingdom. Some of
which are listed below: Targeting customers needs and expectations: In order to increase the total sales and
revenue of the organisation, the management needs to focus on targeting the needs and
expectations of customers (Dias and Duzert, 2016). Customers needs are dynamic in

nature and to sustain in the tough market economy of United Kingdom the management
needs to focus on the expectations of the customers. Continuous Innovations: Continuous innovations leads the organisation towards growth
and development. The management needs to focus on improving the existing products
and invest more in developing new and high tech cars so that they can compete with big
brands such as Volkswagen, Ford, Toyota, etc. Cease dealership with less reputed dealers: To improve the image of brand and increase
the customer base, the management needs to provide dealership to the person who has
good image in the market (David, 2010). The management further needs to cease
dealership with dealers who have negative customer response in order to protect the
brand name and image. Attract New Car Buyers By Adding Standard Long Term Warranties: By adding long
term warranties on cars, the management of Fiat Chrysler will able to promulgate their
sales by attracting new customers (Jacobson, 2010). As per the analysis of customers of
United Kingdom, it was identified that customers prefers durable and long lasting
products. Thus, by providing long term warranty to the customer, the management will
able to fulfil the needs and expectations of the customers and able to attract them towards
the organisation. Increasing investment in marketing: In order to increase the customer base and
attraction, the management needs to increase the investments in marketing of company's
products and services (Bertoldi and et.al., 2015). Due to revolution in information
technologies and digital marketing, the management must utilise precise tools so that
efficient promotions of goods and services can be made.
 Staying ahead of competitors: In the market economy of United Kingdom, Fiat Chrysler
faced ample of competition with big car manufacturers like Toyota, Ford Motors,
Volkswagen AG, etc. In order to sustain in the competitive environment, the management
needs to think ahead of competitors (Caputo, 2012). Further, they need to formulate
effective strategies that maximise their production and customer attractions.

Thus, above mentioned are some of the ideas which can be implemented by the management of
Fiat Chrysler in order to increase their customer base, profits and sales in United Kingdom. As
the management was facing constant declination in sales in UK, it is important for them to focus
on the core ideas and increase their investments in research and development so that their
productivity and profitability can be increase efficiently.
4.5 Selection of strategies for success
After analysing the range of ideas, the best possible strategy that can be implemented in
the case of Fiat Chrysler automobile to increase their sales in United Kingdom are continuous
innovations, increasing marketing and promotional offers, extending the warranty of cars, and
staying ahead of competitors (Balcet, Commisso and Calabrese, 2013). As the management is
striving to capture major portion of market in United Kingdom, they need to concentrate on
improving their existing products and lay more emphasis on innovating new and efficient car
models. By investing more on research and development, the organisation will able to produce
more efficient cars that will help in increasing the attraction of customers. Further, management
of Fiat Chrysler Automobile can develop hybrid cars that will run on batteries to protect the
environment from pollutions. It will help in targeting those customers who are working for
protecting environment from pollutions (Clark, 2011). The sale of organisation decreasing
frequently in United Kingdom, thus management needs to improve their marketing tactics.
Marketing management needs to shift from using traditional modes of marketing to digital
marketing methods. In the present era, information technologies and internet usage has been
rising rapidly.
Approximately 90% of population of United Kingdom are registered on one or more
social media platforms like Facebook, Instagram, YouTube, etc. Thus, management needs to use
these platforms in order to promote and advertise about their products and services to the larger
audiences. Further it is also cost and time efficient and will assist the management of the
organisation to promulgates their sales and revenue effectively and adequately. Providing
extended warranties on different variants and models, the management will able to attract and
retain the customers adequately (Rigotti and Palmieri, 2010). By adding long term warranties on
cars, the management of Fiat Chrysler will able to promulgate their sales by attracting new
customers. As per the analysis of customers of United Kingdom, it was identified that customers
prefers durable and long lasting products. Thus, by providing long term warranty to the

customer, the management will able to fulfil the needs and expectations of the customers and
able to attract them towards the organisation. Fiat Chrysler has been surrounded with stiff
competition from giants like Volkswagen AG, Ford Motors, Toyota, Honda, Hyundai, etc. In
order to surpass them all, it is very essential for the management to formulate effective strategies
that will aid in maximising customer base and helps them to sustain in the competitive
environment.
4.6 Findings from data collected
From the analysis of literature review and articles of senior researchers it was identified
that UK automotive manufacturers were able to present the turnover of £77.5 billion in 2016
which have been the highest record in terms of turnover till date (Pisano, Andrews and Di Fiore,
2011). The productivity per workforce happens to be high where 11.8 vehicles has been
produced in a year by every employee. The industry of automobiles happens to have certain
success in near future due to its increasing trend in people. However, the sales of Fiat Chrysler
Automobile happen to be at declining phase. A strong impact of organization’s image in the eyes
of the customers have been noticed on customer satisfaction level and their attraction towards
purchasing product or services. Approximately 200000 cars of Fiat Chrysler were sold across
United Kingdom in 2017 behind giants like Volkswagen and Ford Motors. The reason identified
was lack of investment in innovation, lack of marketing approaches and high employee turnover.
Researchers contends that in order to gain the competitive advantage, the management of Fiat
Chrysler needs to focus on generating more and more customer satisfaction by providing them
quality products and services (Ventoruzzo, 2015). From the above figure it can be clearly
understood that Fiat Chrysler has a long way to go in order to sustain in the competitive
environment. As one of the leading car manufacturing company incorporating in United
Kingdom, there are several strengths posses by the management of Fiat-Chrysler. The company
believe in continuous improvements and development which helps them to sustain in the
competitive environment. With the help of huge fan following and customers, the organisation is
able to acquire the adequate market share in United Kingdom. Certain weaknesses like lack of
employee retention and attraction and improper management of budget impacts negatively in
growth and development of the organisation. There are immense opportunities available for the
organisation (Rymkevich, 2013). They can promulgate their investment in alternative product
segments to generate more revenue. The management can increase their customer base from

online channels by promoting and advertising on social media websites. There are various ways
discussed above that will help the organisation to increase their sales and revenue by maximising
customer base and satisfaction. In order to sustain in the competitive environment, managers of
Fiat Chrysler needs to think ahead of customer by conducting in depth market analysis to gather
the information about needs and expectations of customers. By using customer relationship
management systems and approaches, the managers will able to interact with customers and
gather real time data which helps them to increase customers and profits eventually.
4.7 Solutions to research problems
The scenario of current drop down in sales of Fiat Chrysler Automobiles have been
discussed in the case scenario being chosen to serve the purpose of the study. A decrease in sales
can have strong impact on the profitability of the company. To cope up with the continuously
declining sales, the managers at Fiat Chrysler automobile has been provided with ample of ideas
in above section of the case study. By following these strategies and approaches , they will able
to sustain the competitive environment and control their diminishing sale and profit graph
effectively and efficiently (Allahyari, Kochut and Janik, 2014). Automobile industry has been
greatly boon in recent years due to increase in technologies and impressive looks of cars. Thus,
by implementing the latest technologies in the premises, the management of Fiat Chrysler will
able to maximise their sales in the market environment of United Kingdom. It was identified that
political conditions of United Kingdom is not much stable after the BREXIT vote. Management
needs to make their decision while considering the political and economic factors of the country
so that obstructions in productivity can be obliterated. It is very crucial for the management to
consider the marketing tactics and implement digital methods of marketing to target large
audiences efficiently. Social media marketing is currently trending among organisations (Krug,
Wright and Kroll, 2014). It is cost effective, time saving and management can deliver the
information to the larger audiences.
As the marketing done by the managers of Fiat Chrysler is not precise and does not able
to generate more customers effectively. It is being advised to the management to shift their
perception from traditional marketing methodologies to digital marketing approaches so that
more and more customers can be generated effectively and efficiently (Hatton and van
Genuchten, 2016). Further, adequate amount of investment in research and development by the
companies can help in satisfying the requirements of the customers. In the following case study,

the research problem has been discussed by identifying and analysing the articles and journals
written by senior researchers and scholars. There are various ideas and alternatives have been
discussed by the researchers in the above sections. Some of the best alternative has been selected
which can be implemented in the organisation pragmatically. By implementing the following
techniques in the organisation, the management of Fiat Chrysler will able to increase their
customer base and profits simultaneously (Al-Alawi and Bradley, 2014). In this way, they will
be able to sustain in the competitive environment and leads towards growth and development.
4.8 Conclusion
Thus, from the above chapter, it can be concluded that ince the inception of Fiat Chrysler
automobile, the company was facing decrease in amount of sales and profits constantly. As Fiat
automobile is one of the oldest car manufacturing organisation who have many subsidiaries and
efficient brand reputation all around the world joined Chrysler in order to increase their sales and
profits. In this way, the chapter aid in discussing and analysing various aspects of this chapter.
CHAPTER 5: CONCLUSION AND RECOMMENDATIONS
5.1 Introduction
This is the last chapter of the case study where the researcher will provide the brief
synopsis of the case study. The recommendations will be followed by it. The decision action plan
will be prepared that will aid the organisation to increase their productivity and profitability.
5.2 Conclusion
The aim of case study was to analyse the various factors due to which sales level get
decline of Fiat Chrysler Auto-mobiles. In this context, the above case study presents the rationale
which leads to the diminishing in sales and revenues of Fiat Chrysler automobile in United
Kingdom. The organisation recently merged in order to increase their productivity and
profitability (Vamsi Krishna Jasti and Kodali, 2014). From the above case study, it is clear that
automobile industry is considered to be ever evolving industry which is able to experience rapid
growth in the revenue and unforeseen decline in the sales as well. The industry principally
belongs to an oligopolistic market and hence the key players in the industry are able to gain the
advantage. Based on data being collected, the current major players of automobile industry of
UK are, General Motors, Toyota, Volkswagen and Ford. The data has been collected from

analysing books, journals and articles jotted by senior researchers and scholars. Further, ways
through which the management of Fiat Chrysler can improve their sales and increase customer
base has been discussed. After analysing the range of ideas, the best possible strategy that can be
implemented in the case of Fiat Chrysler automobile to increase their sales in United Kingdom
are continuous innovations, increasing marketing and promotional offers, extending the warranty
of cars, and staying ahead of competitors
5.3 Recommendations
After analysing the case study, below are the recommendations to the management of Fiat-
Chrysler automobile to increase their sales and profits in United Kingdom: Market Research: To analyse the needs and expectations of customer, it is very crucial
for the management to conduct market research. After collecting the information they can
analyse and work on the needs of customers so that they can move ahead of their
competitors (Boons and et,al., 2015). Improving quality of products and services: In order to increase the customer base and
satisfaction, the management needs to concentrate on improving the quality of products
and services they offer to the customers. This will help them to increase their sales as
more and more customer will be attracted towards high quality products and services. Improving marketing techniques and methodologies: In order to increase the customer
base and attraction, the management needs to increase the investments in marketing of
company's products and services. It is recommended to the management to focus on their
marketing techniques so that customer attractions and retention can be gained (Jaggar,
2015).
 Increasing investment in research and development: It is recommended to the
management to focus on their budget planning and increase investment in the filed of
research and development. This will help to increase the sales and profits eventually.
5.4 Decision on action plan
It is important for every company to work according to the set plan. In case Fiat Chrysler
Automobiles, after analysing all the important aspects in the research, following is the action
plan can be prepared for increasing sales after making analysis of case study:

 Preparation of goals: It is important to set goals and then work on the same. Further,
appropriate division of roles and responsibilities can help in better contributing towards
the outcome of the organization. Identification of potential customers: It is important to assess who are the core and
potential customers for the company. Based on it, further steps can be prepared by the
management of the company (Wildemuth, 2016). Create a plan: The management must plan and analyse how they can approach the
customers in the best possible manner. Further, planning always help in delivering the
best and generating effective outcomes. Generate marketing strategies: It is important to appropriately decide marketing
strategies. It can be in the form of online publicity and offline publicity. Offline publicity
can be done by Fiat through setting up kiosk at events, advertising in local newspaper,
sponsoring events etc. However, Online publicity can be done by Fiat in the form of blog
writing, social media set up, sharing useful information with others etc. Networking: It is another important part of action plan, where networking can be build in
the business community. It helps in creating brand image and promoting the organization
with the help of word of mouth.
 Refining plan: It is important to brush up the planning goals with the changing dynamics
of the external and internal environment. It can help in always providing something new
to the customers and delivering the goals and objectives in the best possible manner.
5.5 Conclusion
In the above chapter, the researcher provide brief synopsis of the case study and give
recommendations as well. The action plan has been developed in this chapter.

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