Question
Wayne Insurance is a national direct-writing insurer that sells personal lines automobile insurance. The company has been in business for 80 years and is among
Wayne Insurance is a national direct-writing insurer that sells personal lines automobile insurance. The company has been in business for 80 years and is among the most financially stable insurers in the country. The company's mission statement commits Wayne to avoiding significant business risk, being conservative in its investment, underwriting carefully, pricing appropriately, and providing excellent claims service. In the past few years, however, growth has slowed and the executive team is aware that the company's strategy needs to change if Wayne is to maintain its profitability and market share. In a brainstorming session, the executive and management team came up with a variety of ideas to allow the company to generate increased revenues. The ideas include cross-selling homeowners insurance to Wayne's auto insureds, expanding operations into the Canadian insurance marketplace, entering the life and health insurance market. and reducing premiums to be among the lowest-priced insurers in the market. Given the company's mission, which one of the following will the team most likely identify as Wayne's greatest opportunity? A. Significantly reducing premiums B. Cross-selling homeowners insurance C. Selling life and health insurance D. None of the above
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started