Taylormade Case

Case Introduction

Throughout the golf industry, billions of dollars are spent each year. Whether it be money spent to play a round at the local country club or to buying the latest and greatest golf equipment. It seems that no matter what type of player you are, from scratch golfer to high handicapper, that if you are bitten with the golf bug then you are willing to pay the price for green fees or equipment for the game that you love.

In this case, the author Mark Murphy focuses on one topic of the golf industry and that is drivers. This typically is the single most expensive club in the bag; even though a set of irons may be more expensive, but based on a single club the driver carries the most cost. Golf club manufacturers are taking big risks to develop the most inventive drivers available, but there is also a tremendous risk involved. These manufacturers are spending millions of dollars on research and development; however, if the consumer doesn't prefer to buy a single manufacturers driver, then that company has lost millions for that year. Then, the company must return to the drawing board for next year's product hoping not to have the same results.

In the late 1990's and the early 2000's, Callaway dominated the driver market. It seemed that everyone had either the Big Bertha or the Great Big Bertha in their bag. Every year Callaway came out with a new driver that was a must have. Next, they produced the Biggest Big Bertha, again causing the golf connoisseurs to want the latest and greatest driver that all the golf magazines were raving about. Then, Callaway faced a challenge within the driver market. That was, the unveiling of the new TaylorMade R7.