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Medium Profitability Market Entry Licensing Strategy

Auto Emissions

#Industrials #Industrial Goods #Automotive #Environmental Regulation
ProHub Comment

This is a structured market analysis case requiring the candidate to estimate addressable market, identify priority targets based on regulatory compliance urgency, and calculate revenue. The case emphasizes data interpretation from charts to make strategic targeting decisions—candidates should notice Navistar's critical timing need versus Volvo's existing technology advantage.

Estimated Time 15 minutes
Difficulty Medium
Source Cornell
50 / 100
Your client is an industrial goods producer who primarily focuses efforts on planes, trains, and various automobile parts. Their R&D team recently developed a way of lowering emissions for diesel engines. Environmental regulation changes currently occurring will likely benefit their R&D finding in the future. To roll the product out to the market, your client plans to partner with diesel manufacturers and license its product to achieve revenue.

Clarifying Information

  1. Currently operating only within the US marketplace
  2. Most diesel engines are utilized for off-highway vehicles (John Deer, Caterpillar) → used in construction, heavy machinery, etc.
  3. This is a brand new product
  4. No competitors currently hold this product patent
  5. Patent is valid for another 20 years
  6. We currently already have relationships with all diesel engine manufacturers