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Ethical Issues In Nascar

Decent Essays

Economy
The year 2008 was a dreadful year for corporations as it brought profit losses for their business. Corporations would rather forget this dark time in history plus trust past events do not repeat themselves. During 2008 companies were struggling to stay in the industry. NASCAR, Chevrolet, and Chrysler among others firms could not have prevented what was occurring in the USA economy (Ferrell & Hartline, 2014). There was nothing that could have altered the 2008 recession. However, the NASCAR’s overall co- branding strategy dealing with the marketing affairs seems to be a sound plan, but they lacked diversification in its sponsorship portfolio. NASCAR should have been meeting sponsors from other countries in addition to racing in other nations while the economy was in a downward spin in the United States. Sponsorship is the blood of NASCAR racing (Pruitt, Cornwell, & Clark, 2004). Sponsorship accounts for 50% of NASCARS revenue. With the stakes being high NASCAR might want to diversify its drivers to generate other ethic fans. NASCAR has been criticized for mostly having white Caucasian men on their payroll. The large majority of its sponsors are American companies such as FedEx or Gillette. Other marketing promoters have not being proceived from other countries. Not to mention the France family should allow more …show more content…

NASCAR has learned that co-branding is a great marketing strategy that works for their organization. Despite the 2008 recession NASCAR continues to grow and revenue profits.
References
Ferrell, O.C., & Hartline, M.D. (2014). Marketing Strategy: Text and Cases (6th ed.). Mason, OH: South-Western/Cengage Learning
Mexico puts an end to state oil monopoly. (2014). TCE: The Chemical Engineer, (872), 18
PRUITT, S.W., CORNWELL, T.B. and Clark, J.M. (2004) The NASCAR Phenomenon: Auto Racing Sponsorships and Shareholder Wealth, Journal of Advertising Research, 44(3), pp. 281-296.

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