Bombardier (A): The Procurement Decision of Light Rail Cars for the Los Angeles Metro Transit Authority

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Case

Reference no. UVA-M-0470

Subject category: Marketing

Authors: Robert E Spekman (Darden School of Business, University of Virginia); Lane Crowder (Darden School of Business, University of Virginia)

Published by: Darden Business Publishing

Originally published in: 1996

Version: 22 November 2010

Length: 19 pages

Data source: Field research

Topics: Business-to-business market; Government and business; Procurement; Public administration; Purchasing; International; Alternative business issue or setting; Diverse protagonist; Nationality

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Abstract

The purpose of the case is to help students understand the complex nature of a visible and expensive organizational buying process. The goal is to help students appreciate the nature of the selling task, the complex interplay of different decision-making-unit members, and both the political and economic factors that often permeate such purchasing decisions. The A case (see also the B case, UVA-M-0471) documents the procurement-decision process used by Los Angeles to purchase light-rail cars for its subway system. The A case traces the bidding process and ends with the final award.

Industry:

Industrial