Competition in the Golf Industry

• Consumers did not believe condition of the ball to have any consequence on their game. Also, they considered themselves visually strong enough to understand the condition of the ball. This consumer attitude posed a significant problem for PI as it challenges the basis of the concept itself.

New golfers increased from 1.5 million to 3 million between 1988 and 1998, but most of them quit due to increased cost of playing which went up by nearly 50%, unavailability of courses and time involved in playing. The global premium equipment market declined post 1998 due to various reasons like decreased demand, Asian economic turmoil and saturation of product in the market place. To CGC’s benefit the competition on golf equipment

While it would theoretically improve their individual performance, it would also limit their access to cheap balls by driving up the price for used balls, requiring them to purchase more new balls and drive an overall increase in their annual golf ball expenditure. Purchase figures show that the vast majority of balls used (171 out of 220 million dozen) are either found or bought used, meaning that the majority of golfers do not buy new balls. Accordingly, this majority would likely view the reduction in access to cheap golf balls and increase costs as an affront.

Callaway Golf Company is considered a leader of the golf equipment industry through its development of technologically advanced golf clubs that compensated for the most amateur players with poor swings and helping them achieve a better golf game with the introduction of Big Bertha in 1990 and launched Callaway Golf Company forward at great speed into notoriety of the golfing community (Gamble, 2000). This analysis will thoroughly dive into the many parts of the case of the Callaway Golf Company.

Rob Osinski and Bob Winskowicz began a start-up venture that developed a new technology that reveals golf balls that have undergone water damage through discoloration. They patented the idea with “the exclusive right to employ any technology that would lead to a change in the appearance of a golf ball as a signal that its performance had been impaired by exposure to water”. They both quit their jobs and pursued the idea that later became Performance Indicator. The technology would expand the market of golf balls by reducing the number of used golf balls recycled and reused. The golf ball industry is worth 1 billion dollars and sells 50 million dozen golf balls at an average of $20 a dozen a year. It is projected that 220 million dozens of golf balls are lost are year yet, golfers use 100 million dozes of recycled balls a year. This creates a potential for profit among all golf ball manufactures, however, no manufacturer wants to adopt this technology first due to possible risk it might create. If only one manufacturer adopts this technology then it might affect the consumer’s choice of purchase. Instead of relying on the manufacturers to make the first move, I recommend that Performance Indicator appeal to The United States Golf Association (USGA) to make their technology a regulation for all golf balls. The USGA has strict specifications that makes a golf ball legal and regulation. If the technology was considered to be a specification of all golf balls to secure good

The founder, Ely Callaway’s vision is: “If we make a truly more satisfying product for the average golfer, not the professionals, and make it pleasingly different form the competition, the company would be successful.” However, this vision is change from other company’s visions; the difference being that the price is not mention.

These magazines and movies are only a small portion of how golf has helped changed society.  Golf provided a helping hand in bringing the American nation closer together as equals.  Blacks and Whites of all ages and gender have been given the chance to play along side each other in a safe environment.  Sports sometimes provide a place for equality.  Golf is a great example of this equality.  Stossel says "golf is beginning to look more like America: diverse, multicultural, and largely middle class" (2).  But, will Americans take advantage of the

The 1980s and 90s were boom times but all goods things eventually come to an end. There will no doubt be good times again but right now individuals, businesses and communities have to adapt to economic realities in which people have less disposable income for some of the things they used to spend money on. One of these is golf. The number of gold courses grew throughout the United States in the 80s and 90s and the same was the case in Japan. Today, however, there aren't enough players anymore to support the number of courses, so many have closed. This creates the opportunity for development in places where middle-aged, mostly white males used to drive silly little carts and hit a little white ball with a club.

Golf has developed various issues concerning its popularity and growth of the game. This is due to multiple factors such as a niche target market, economic influences, geographical issues of Canada, and demographic changes. Golf organizations have to meet and exceed the needs of consumers and how value in golf in order to sustain as a sport.

The legendary beginnings of golf in the United States can be traced back to the mid-1600s. One of the first published

The decision for an individual manufacturer to adopt PI’s technology will be determined by the potential increase in sales as golfers replace performance degraded balls with their brand. It is reasonable to assume that individual manufacturers are hesitant to pioneer this technology because there is no assurance that a performance degraded golf ball would be replaced with their own. The data indicate that golfers are comfortable using used balls, or value brands. By removing approximately 50% of the used balls from circulation, numerous golfers may utilize the lower cost alternatives to fulfill their required quantities.

Imagine the sun bursting through the trees for the first time of the new day, the smell of freshly cut grass still potent to your nose as you tee the ball up for a round of golf in the cool mist of a spring morning. "That is what brings you back every time, the smell of the air, the coolness of the whether and the beautiful surroundings that make every shot enjoyable." (Suess, PI) This is the game of golf in its finest and most exquisite time to many people and many people it has touched in its long history. Golf is a lifestyle and not just games to people that are avid in playing. The game of golf has a history that is rich in technological advances and personal accomplishments, which through time has shown to shape

Golf is an amazing sport and has been around for a long time. People around the world enjoy playing it. This essay is about the history of golf, the technological advances and the rules of golf. Technological advances have changed the game of golf. The rules are the foundation of golf.

When the modern game of golf originated in 1764 in Scotland, players used wooden clubs and wooden balls to maneuver the 18 hole course (IGF). Since then, both clubs and balls have been drastically modified to enhance the sport. Golf balls are becoming progressively more ideal. The chemistry behind them is constantly changing and some brands and types differ from others in regards to their make-up.

Just a decade ago, it looked like the golf industry had the world at its feet. Interest in the game was surging, and consumers snapped up equipment and booked tee times. These days, though, the sport is caught in an extreme decline. Golf is losing more players than it 's gaining, as 4.1 million people left the sport outpacing the 3.7 million who picked it up last year. With an overall decline in the number of players, that 's causing a ripple effect in the golfing world: Sales of clubs and other equipment are plunging, while some courses are pulling up their tees and calling it a day. This Case Study will look into the reasons why the Golf Industry declined and how the Golf Industry is working to increase participation.