Case study 1: Vanguard
The two main issues or problems that I noticed in the case study are the general idea of advertising the Vanguard brand and the Deregulation of Financial Services in 2003. To me these are two of the biggest issues that stood out to me.
Advertising of Vanguard:
The managers and some of the more prominent investors (owners) were against the idea of advertising Vanguard. There are many reasons for this such as Vanguard had never advertised before, also the fact that they would have to spend millions of dollars on each campaign. For example a estimated TV advertisement was going to cost $3million. The large cost to reach new investors was not welcomed. If Vanguard was want to reach a new market they need to look into which group/segment they were looking to bring into the business. They should look into lower level investors as the way to reach these potential investors would be a lot less costlier to reach, these include:
Collect e-mail addresses and send out e-mail newsletters
Create tip sheets on your area of expertise
Create a referral program for your existing customers aka a rewards program
Deregulation of Financial Services:
The deregulation of the financial services gave Vanguard huge opportunities locally and globally as a company. On the contrary it brought in the option of banks and other financial institutions to enter the market which are larger with more investors taking away their market share. As it state Vanguard had to
