Monday, September 13, 2010

Week One - Blog Two: Jeep and Enhancing Customer Value

 Is Jeep’s web site enhancing customer value by utilizing the virtual value chain concept? Jeep’s web site clearly demonstrates the company is employing one aspect of the virtual value chain, which is enhancing customer value by allowing buyers to either build or locate their dream vehicle.  For example, a Jeep customer can customize almost any aspect of their vehicle. This includes choice of model, color, and special packages (tow, off road tires, ect.). The following is a list of how Jeep is enhancing customer value:

1.      Jeep offers customers the option to tailor a vehicle to desire specifications. Roberts (2008) suggests that one benefit of an integrated value chain is to provide individual product customization.
2.      Jeep provides customers with increased service and support. Jeep has a link geared specifically for owners. This site provides recall information, owner’s manuals, and vehicle information. Customer value is added by offering information and customer service/support (Roberts, 41).
3.      Jeeps supplies customers with real time information on current new and used vehicles. This demonstrates Roberts (2008) value chain benefit of bringing in customers through real-time information.

Thoughts: Jeep’s web site does reveal that the organization is enhancing customer value by employing key concepts of the value chain. Although the site is not appealing (pretty low key and dull) it does have customer value enhancing tools.

1 comment:

  1. Nicely done! This website is certainly customer-facing, so we do not see what is happening at the supply-chain level. A virtual supply-chain might look like this: a customer configures a vehicle, hits enter, a manufacturing order is electronically created and routed to the factory, all the correct parts are pulled from inventory, the vehicle is built to your specs, and shipped to a nearby dealer or your home. Financing is also integrated, such that the money flow is electronically done and nothing starts until the down payment clears. Where do we draw the line? Should we go all the way back to the iron ore for the steel frame?

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