Usa World Band
USA World Bank (UWB) is a major bank with both an international and domestic presence. UWB has a large consumer and small business base and each year rolls out one new profitable product that will also increase market share. This year, USB is proposing a credit card that will work like a frequent flier program, where customers can earn rewards as a result of their purchases with the card. The organization plans to partner with an airline, some hotels and retailers. The new concept will be called Instant Rewards, and it has been compared to a small business credit card or a card with discounted interest rates. The newest product that has potential to be profitable and increase market share is a credit card that would work like a frequent flier program, where customer can earn rewards as a result of their purchases with the card. Likewise, the small business unit has also been looking at a similar program that also has a credit line of $200,000 that gives the small business owner the ability to purchase capital items. Some statistical analysis has been done on both products, but there are several issues complicating the proposal plan.
Statistical Issues
The first major barrier facing UWB is a deadline to present a single product for review by the Board of Directors. The analysis of collected data has been minimal due to the trust that Mary Monroe, Vice President of New Product Development, has for Best Market Research, the contracted research firm. Mary is convinced that the new consumer card will be the best product to present to the board. Jim Wilson, Vice President of Marketing Development, feels the new small business card would be best for Board review. In the past, the board has only allowed one product to be rolled out per year. Mary and Jim are both pushing to get their products reviewed by the Board, but with the time constraints, both teams have skipped some important analysis that would help them formulate a cohesive plan to roll out one or...
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