Rover Cars example essay topic

Advertising Strategy and Planning Pitch Proposal-MG Rover An Overview of the Company History In 2004 Rover will be celebrating 100 years of manufacturing, as it was in 1904 that Rover cars first rolled of the production lines at the Long bridge plant in Birmingham, Britain's major car manufacturing nerve center. The company was initially created out of the merger between two British car companies, Morris and Austin, to become the mighty British Motor Group Corporation. The name of the company changed when Leyland Trucks came on board in 1968. It was then re-named Austin Rover. BMW took over ownership of Rover for a short spell in 1993, but due to problems mostly out of their control it proved to be disastrous for both parties involved. This lead to Rover being sold for a token lb 10 in March 2000 to The Phoenix Consortium, lead by the former CEO of Rover John Towers and getting financial backing from the United States Bank First Union.

The sale did not include the Land Rover brand; this went to Ford for lb 2 billion and the Mini, which BMW kept in its portfolio. Rover Today Since the handover to Phoenix almost 4 years ago now, the company has developed into a medium sized operation still based in Birmingham. It is Britain's only mass produced car company. It now manufactures the Rover 25, Rover 45, Rover 75 Saloon and Tourer, Rover Streetwise and the new City Rover.

There are also six different MG models as well within the company's portfolio. The Problem When BMW sold the company few people expected it to continue, and even today many motoring experts doubt Rover can compete in the mass market with such fierce competition from its rivals. Some people don't want to take the risk of purchasing a Rover and not having the guaranty of a warranty or service cover. There is also still a perception that started back in the 1970's, and still lingers today with the Rover name. Some people still think of them as a being poorly built, unreliable and overpriced car. People also perceive Rover as being a older persons type of car, aimed at middle class families or pensioners that drive safely and keep the Rover for life.

Competitors The following companies are the major rivals for the MG Rover car group limited: o Ford Motor Company- Focus, Mondeo, KA, Fiesta. o Renault- Clio, m'egane, Laguna, Vel Satis. o Vauxhall- Corsa, Me riva, Astra, Vectra, Omega, VX 220. o Volkswagen- Lupo, Polo, Golf, Beetle, Bora, Passat. Objectives for Repositioning the Brand o To create a better awareness of the corporate brand "MG Rover". o To raise peoples perceptions of the Rover name. o To reposition Rover as a luxury and sports car manufacturer. o To emphasise that Rover is a long term brand, with a long term future.