Regal Marine Case How Does the Concept

Regal Marine Case

How does the concept of product life cycle apply to Regal Marine products?

The concept of product life cycle is tremendously relevant to Regal Marine's industry. This industry is known for continually introducing new product lines into its market on a regular basis; usually annually. Regal Marine's product life cycle analysis is currently based upon the success how well the product sells within a fairly short period, generally within three to five years. The company's current product line consists of twenty two distinct models, each representing a different product life cycle stage. The products' life cycle is a considerably important factor since the overall market has seemed to stagnate (Chip, 2011)

Product life cycle applies to Regal Marine as a way of the company keeping their products ahead of the competition in terms of consumer perceived value. The new models are continuously being updated just as existing models near the end of their useful life cycle. Regal Marine's product life cycle begins with inputs from stakeholders such as customers, dealers and consultants. The newly introduced boat designs are undoubtedly a result of either the industry trends or consumer preferences. The product can complete the life cycle in as little as a few years if there designs aren't popular. Constant streams of new designs are of fundamental importance to maintaining a competitive edge in the marine industry (Heyman, 2010).

What strategy does Regal use to stay competitive?

Regal's strategy for staying competitive heavily rooted on innovation. The case mentions the success of their eleven foot, the small but powerful model, followed by a twenty foot performance model with innovative technologies throughout. In this industry innovation is critical. There must be something to market to a consumer that separates the product from the rest of the industry. Product differentiation not only attracts customers, but it also creates value (Jacobides, Knudsen, & Augier, 2006).

Innovation is almost always found within the market leader. The only exception is generally when someone competes on cost. However, with the low labor costs found in developing countries, it is hard for organizations in developed nations to compete on price alone. Thus innovation and technology is nearly always responsible for manufacturing stemming from industrial economies.

What kind of benefits are Regal achieving by using CAD technology rather than traditional drafting techniques?

The benefits that Regal Marine is gaining by utilizing CAD design software most likely contributes to the organizations success in a variety of different ways. One benefit is a reduction in turnout time. The software can be used on all sizes from inshore boats to larger yachts with added dimensions of complexity (Marine CADCAM Solution, 2011). It is estimated that using computer resources significantly reduces the time required to create a prototype version more primitive methods. Another benefit is that the end product of the CAD software definitely looks more professional than something put together by hand with pen and paper.