HSV Strategic Marketing Plan Analysis

This assignment analyzes the marketing strategy of HSV Special Vehicles, a highly rated Australian car manufacturer facing legal and competitive challenges. It examines the company's strengths and weaknesses, identifies opportunities for growth and potential threats, and proposes strategies to enhance its market position through innovation, technological advancements, and effective implementation plans.

Marketing Management on Holden Special Vehicles
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1Analysis of the Company
Executive summary
Holden Special Vehicles (HSV) is the formally assigned execution vehicle accomplice of
Australian automaker, Holden. Set up in 1987 and situated in Clayton, Victoria, the organisation,
adjusts Holden models, for example, the standard-wheelbase Commodore, long-wheelbase
Caprice and commercial business for domestic purpose and export sale to other countries. The
following report is about the business strategies that are being followed by the Holden Special
Vehicles (HSV). It consists of different factors that are taken into consideration by the Holden
Special Vehicles (HSV). The organisation devotes its human resources and technologies to
create superior products and services, thereby contributing to a better global society. This
commitment is guided by a set of values such as Management Philosophy, Core Values, and
Business Principles. Some analysis tools like SWOT, PESTLE and PORTER'S FIVE have been
used in this report to analyse the Holden Special Vehicles details.

2Analysis of the Company
Table of Contents
Introduction......................................................................................................................................5
Overview of the Company...............................................................................................................6
Methodology....................................................................................................................................6
Analysis of the Company.................................................................................................................7
SWOT analysis.................................................................................................................................7
PESTLE analysis...........................................................................................................................10
Porter’s Five Forces Model...........................................................................................................13
Conclusion.....................................................................................................................................18
Reference list.................................................................................................................................19

3Analysis of the Company
Introduction
Holden Special Vehicles is an Australian company which is popular among its customers
for two things - high performance and delightful cars. The company has been producing near
about 60000 cars since its launch at the first walk in the show at a motor vehicles show in
Sydney in 1987. Since its inception, the company has successfully incorporated the best-
advanced technologies over the years, which includes the innovative and advanced magnetic ride
control and exclusive HSV styling to manufactures cars, at the subsequent stages for Australians,
and progressively their peers surrounding the world. It has come a long way to become a highly
rated car manufacturer in Australia at present. The market share of the company is much higher
in comparison to the other car manufacturers or companies. This report aims at helping the
company gather knowledge about their marketing strategies, their positive and adverse points,
and weaknesses so that it may make its future decisions regarding new strategy, and marketing
plans with ease. Also, the company needs to take the responsibilities to maintain their marketing
environment. The company can also get the proper information about its competitors that may
constitute its threat or reduce its market value. A business depends on various factors which may
lead to either an increase or decrease in its market value in the global market. The report also
incorporates a brief analysis based on the thorough research on both the company's history and
present condition in the market, which may help it in future.

4Analysis of the Company
Overview of the Company
Holden Special Vehicles company established was in 1988 in Australia. The Australian
made muscle vehicles got a new maturity in the car manufacturing industry. The establishment
of the company was a joint presume operation between British TWR group and General Motors
Holden, which was a vital stunt not just for performance car experts but also the general or local
industry. After that, the new project began with a coherent set of goals, coupled with a well-
structured business plan. The aim of the company was straightforward - to take care of the
tradition of Holden based performance sedan cars that were originally founded by Peter Brock's
Holden dealer team headed by the marketing manager, John Crennan. The aim of the first project
was obvious to them; it was to bring the then launched TWR group A VL Commodore within the
product. Mr Crennan and Mr Harvey embarked on an assessment to sign up near about thirty
people with the capability to undertake the project work at Notting Hill facility in the eastern
suburbs of Melbourne (da Silva & Las Casas 2017). With seventy dealers across the country,
HSV is currently the most important part of the company's Holden projects. The company is
famous for its reputation for foresightedness and innovation.
Methodology
Holden Special Vehicles company makes use of the advanced technologies in
manufacturing the cars. One of the highlights of the company is that it makes business strategies
by taking all those factors into account that may lead to losses. In line with it, the company needs
to make changes in its policies promptly as per the requirements to uphold its market value and
position not just in the Australian market but also the global market. Some analyses have been
made keeping it in mind to help it build an understanding regarding its future course of action
regarding making decisions. In this respect, the pestle analysis will enable the company to know
their political, economic, technical, social, legal and environmental issues that are critical to
maintaining the market value and the growth of the enterprise. Here, SWOT analysis can make a
significant contribution to help the company identify the four key aspects - weakness, high
points, opportunities and threats. Besides, Porter's five forces analysis will help the company
know more about the competitors or threats to the company's existence in the market. In fine,
this analysis will not just assist the company in future planning but also in utilising the advanced
strategies related to it.

5Analysis of the Company
Analysis of the Company
SWOT analysis
Strength Brand name
 Holden Special Vehicles is one of the largest and most
famous companies in Australia.
 HSV exports many other cars to New Zealand and
Singapore along with retaining the other names like
Chevrolet and Vauxhall.
 HSV has many series and models of cars on the market - all
are different from one another like VN, VP, VX, Y, E, Gen-
F and more.
 HSV also has mid range vehicle
 features that are usually found in luxury cars
 HSV strives to blend innovation with comfort for its
customers to the customers. Therefore, it is a trusted brand
in Australia.
Technology
 HSV uses an advanced braking system, to minimise the
possibilities of accidents significantly.
 A majority of high-end cars have an advance shocker
suspensor and sitting arrangement.
 At present, it emphasises on efficient fuel saving engine and
glamorous design.
Customer loyalty
 Alongside making promises to the customers, the company
employs the best practices to ensure that they are kept. As a
result, it has become a trusted brand at present.
Weakness Tarnished reputation
 Sometimes higher price can tarnish the brand reputation.
 HSV has less advertising strategy.
 HSV has higher initiated cost.

6Analysis of the Company
Weak management
 The management of HSV does not coordinate well with the
other employees.
 Delay in delivering the cars to other places or customers.
Bad acquisitions
 Although HSV has tried its hand at different things in its
course, it has fallen short of expectations. So, the company
has not been able to achieve a higher position.
Opportunities New products
 HSV's 2018 vehicle lineup, past the finish of Holden's
Australian generation program, will be more varied and
focused on pulling in new clients.
 They launched the new model of cars in 2017 and an
upcoming flagship version in 2018 with the primary focus
on the advanced engine and braking system.
New markets
 HSV Company will try to move from the "Commodore Car
Company" to a position where it applies to the 'New
Australia'.
 Bernhard said that the strategy of the organisation should
have been "more applicable" to another range of buyers. He
expressed that HSV would find a way to better focus on its
cars at a more differing group of clients with regard to the
changing demographics of Australia.
International expansion
 Although HSV did not have a plan in place to expand its
business at the international level, they are thinking to move
beyond the boundary at present. With this thought in mind,
the company has started to build up new technologies and
new models of cars to give competition to other
international companies like AUDI, BMW and much more.

7Analysis of the Company
Emerging market
 Despite the fact that HSV has many Emerging markets in
Australia, the company is planning to extend its presence by
developing more markets to give support to address the
needs of its clients.
Loosening regulation
Threats Substitute Products
 In the Australian market, other small companies are also
trying their best to either offer better facilities and to copy
the company's technology and services.
Volatile revenue
 With numerous companies arriving and operating in the
market, there has been a sharp decline in the revenue of
HSV over the last few years.
Table 1: SWOT Analysis of HSV
(Source: Elenkov, 2014)

8Analysis of the Company
PESTLE analysis
Political  Political components assume an essential part and
directly affect the gainfulness of the HSV car
business.
 Governments around the globe are supporting low
emanation vehicles.
 The business sectors in Australia are giving an
administration sponsorship to the low outflow of
HSV vehicles.
 Accordingly, the administration tenets and
directions dynamically influence the incomes of the
HSV vehicle brands.
 A Change of the government or its political control
of the market can, from time to time, cause positive
or negative functions.
 The local laws passed by the government in
combination with local traffic rules play a vital role
to determine the fuel efficiency or emission caused
by vehicles like cars.
Economical  Monetary powers are of specific significance with
regard to the HSV car business.
 The interest in luxury or costly vehicles are also
affected due to financial conditions. Also, the
charges on the expensive vehicles are high in a few
markets.
 The financial emergency at present highlights that
when the financial conditions are average or not
conducive, there is a decline in the offers of HSV
vehicles.
 The created markets see higher deals as there is a
surge in the demand of energy among clients. In

9Analysis of the Company
these business sectors of HSV, they offer buyers the
higher evaluated variations of cars.
 There are different edges to break down the
significance of the financial variables for the HSV
business. According to the company officials, the
most utilised edge is the purchasing power of the
clients.
Social  The HSV advertise is impacted deeply by the socio-
culture powers.
 The company is also influenced by the changing
socio-culture patterns and people's preferences.
 HSV is planning to launch vehicles based on the
preferences of its target population.
 The outcome is that while a particular model will
make its way into the market, it may not be as
popular as the other HSV vehicles in light of the
inclinations of its objective populace.
 Social patterns keep changing continuously, thereby
influencing the fame of brands and models.
Technology  Technology is at the core of any company which
makes cars. Without technology, a company cannot
develop anything. HSV is trying to reach that
position where a company gets new ideas and
inspiration.
 Like other company, they are also trying to build
luxury cars at an affordable price.
 HSV Company is planning to sell their cars with
fuel efficient technology and low emission.
 Now, the company gives extra facilities to their

10Analysis of the Company
clients like servicing cars with new technological
machine and error detecting hardware parts.
Environmental  The laws identified with natural friendliness and
carbon outflows are becoming stiffer around the
world.
 Th
 e HSV vehicles, which are low on outflows and fuel
consumption, receive tax subsidies and are favoured
by the government.
Legal  Law is another important factor that gets to affect
the profitability and performance of the vehicle
brands.
 HSV also faces some legal problems when it fails to
comply with the laws while providing the services
to its clients.
 Sometimes other companies file a legal suit against
HSV when Company takes some actionable steps
for selling the cars to its clients.
Table 2: PESTEL Analysis of HSV
(Source: Nahavandi, 2016)
Porter’s Five Forces Model
This analysis is an analytical tool by which the company can identify its competitors in
the same market (Chernev, 2014). It is a framework for examining the level of the competition
among the industries and check the threads for the business strategy of a company. This
analytical tool has five forces or factors that give impacts business. The five forces of the model
are described below.

11Analysis of the Company
Figure 1: Porter’s Five Forces Model
(Source: Baker, 2014)

12Analysis of the Company

13Analysis of the Company
Threat of new entrants Businesses grow with ease when there are no
threats or competitors to them. When business
competitors compete with one another in the
market for building its market value, the
established ones are exposed to the threat of
losing the market value (Dung & Moisescu,
2013). In this case, the Holden Company was
most famous and oldest company in Australia.
After that, Ford car Manufacturer Company
establishes and creates advanced motor
vehicles for competes the market of Holden
special vehicles company. Thus the company
faced a threat for new comer motor companies.
Toyota was another competitor of Holden.
Threat of Substitutes The existence of a common product in the
market provides more options so that
customers can choose the better and reliable
product. Thus, the older company's product
faced a threat to become a substitute. It is a
common fact that the clients always want to get
the best product; when they get a similar
product in the market, they switch to the
alternatives. In this case, Toyota, Chrysler and
some other car manufacturing companies are
the rivals of Holden Special Vehicles (Batta,
2016). The competitors pose a threat to HSV.
Bargaining power of customers Customers have the capability to put pressure
on the firm for reducing the product price. On
an average, their bargaining power stems from
the fact that there are alternatives to it in the
market. Such situations compel a company to

14Analysis of the Company
reconsider the price of the product (Goldratt &
Cox, 2016). As HSV also faces the same issue,
it has to consider the cost factor to boost the
sale of its cars. Consequently, the profit level
of the company is likely to decrease.

15Analysis of the Company
Bargaining power of suppliers Likewise, customers have the bargaining
power; suppliers have their power too. A
business depends on some raw material
suppliers to make the products (Sossa et al.
2017). These raw material suppliers have the
bargaining power in the market. They also
have their share of alternatives in the form of
various business companies. As a result, HSV
is the company is forced to take raw materials
at a higher price. On the other hand, the
company is required to sell the product to the
customer at a lower price. It exposes the
company to the risk of losing its market value.
Holden Company also faced the same issue.
Thus, it can be inferred that the supplier
bargaining power is a big problem to the
existence and further growth of the company.
Industry rivalry Every business has rivals in terms of business
growth and market value. Every company
wants to be the best company in the local or
global market. Thus, the companies keep
making changes to their marketing strategies
and planning to become competitors to the
other companies (Westwood, 2016). If the
marketing strategies are not in line with this
approach, it is likely to suffer a huge loss with
regard to its market value and reputation.
Therefore, Holden Special Vehicles always
pays attention to its marketing strategies or
plan to get better results. Industry rivalry is
also a big issue for the company in Australia.