Terracog global positioning systems: conflict and communication on project aerial assignment

According to us, the product lagged TerraCog’s product in both accuracy and reception quality. But BirdsI received a very good reception from the market. We felt that it was only hype due to the holiday shopping season. We were confident that our core customers were discerning purchasers who would value durability and performance. As time progressed our customers demanded a similar product. We were in a situation to launch a better product than BirdsI. As a result project Aerial was in place. TerraCog’s president, Richard Fiero, decided to launch the new product.

To launch the product as quickly as possible and to minimize the cost, the company decided to redesign the existing GPS platform. For the same purpose a meeting was called consisting of Pryor (VP Sales), Allen Roth (Director- Design & Development), Cory Wu (Manager- Software & Firmware Design) and Gorga (Manager- Hardware Design). The discussion was mainly regarding the quality and the pricing issues of the product. Nobody had difference in opinion about the quality of the product, but there were concerns about the pricing of the product.

We might be able to attract customers and thereby gaining market share. After some particular time, we could incorporate additional features and could try for cost saving measures. The incorporation of additional facilities and implementation of other projects could be carried out side by side. The sales department would welcome this pricing. iii. To drop the project: There would be potential loss of a large number of customers and market share. We wouldn’t be able to generate any money and we would incur the loss to implement the prototype.

The opportunity cost would loss. Other projects wouldn’t get affected if we drop the whole project. There might be chances that the design department would get a negative feeling. Recommendations I would suggest launching the product at $425 as per the schedule. Further we could incorporate the additional features that would enable us in cost cutting. We wouldn’t be able to generate quick profits. But once the second version would be in sale, we would be in the position to generate profits.