Strategic Plan Part 1: New Product or Service
Jahmod Cook
BUS/475
May 2, 2016
Susan Horvat

Strategic Plan Part 1: New Product or Service Introduction
Choice Home Warranty is competitive because there are so many competitors in the home warranty business. It is important for a company to be innovative with their ideas and apply them to their product line. Customer Service is part of an organization’s foundation and should always be customer focused. In fact, Choice Home Warranty’s sales call fee is much lower than other well-known warranty companies such as Select Home Warranty and Total Protect Home Warranty. Consumers are often concerned with how much something will cost them, especially when contracts are involved. Choice Home Warranty’s policy covers appliances among other systems. Sometimes, customers are put in a position where they must purchase a new appliance with funds that were due them because of an electrical malfunction or a technician’s incompetence. Choice Home Warranty solicits policies, but could solicit other products or services that would be a convenient and innovative to customers. New Service
For the new company division, I propose a business division that is titled, “Choice Home Credit”. CHW has a sales call fee of $45 and $60; this depends on the promotion that a customer is offered at the time they sign up for the warranty service. This fee is due every time a technician is dispatched to a customer’s residence to fix a system, whether it is covered or not. CHW has month-to-month plans that is easy for customers to cancel. However, for customers who purchase CHW’s 3 or 5-year package, may possibly run into several situations where their systems or appliances have mechanical failures due to normal wear and tear and this could become costly. Choice Home Credit would allow