Product details

By continuing to use our site you consent to the use of cookies as described in our privacy policy unless you have disabled them.
You can change your cookie settings at any time but parts of our site will not function correctly without them.
Published by: International Institute for Management Development (IMD)
Originally published in: 2005
Version: 19.12.2005

Abstract

This is the first of a two-case series (IMD-3-1624 and IMD-3-1625). John Nielsen, the recently appointed Chief Executive Officer of Bukser og Berging, a leading Norwegian tugboat operator for harbour assistance, is reviewing plans for a revolutionary design for a new tugboat to assist in the steering of large tankers as they navigate narrow harbour approaches. Up to this point, regular harbour tugs have also been used to provide steering assistance. The design is based upon the understanding that steering assistance requires the absorption of different types of pull and thus requires a different tug design. Naval architects are proposing the design, tugboat captains are sceptical, and the market is ambivalent. Should the company invest in this new design when none of its present customers have asked for such a design and might be unwilling to pay for the premium over standard services? This case was designed for use in courses that focus on marketing new technologies and services and corporate entrepreneurship.
Industry:
Size:
USD30 million revenues
Other setting(s):
1994

About

Abstract

This is the first of a two-case series (IMD-3-1624 and IMD-3-1625). John Nielsen, the recently appointed Chief Executive Officer of Bukser og Berging, a leading Norwegian tugboat operator for harbour assistance, is reviewing plans for a revolutionary design for a new tugboat to assist in the steering of large tankers as they navigate narrow harbour approaches. Up to this point, regular harbour tugs have also been used to provide steering assistance. The design is based upon the understanding that steering assistance requires the absorption of different types of pull and thus requires a different tug design. Naval architects are proposing the design, tugboat captains are sceptical, and the market is ambivalent. Should the company invest in this new design when none of its present customers have asked for such a design and might be unwilling to pay for the premium over standard services? This case was designed for use in courses that focus on marketing new technologies and services and corporate entrepreneurship.

Settings

Industry:
Size:
USD30 million revenues
Other setting(s):
1994

Related