Prevost is a high-end luxury coach manufacturer with more than 85 years of Prevost quality and the company came into existence back in 1924 when cabinet-maker Eugene Prevost created his first wooden coach body (Prevost, 2014). Prevost has been able to withstand the test of time and separate itself from its competitors by offering unparalleled customer service and achieving industry high marks in customer satisfaction. Prevost has been able to achieve industry highs in customer satisfaction by providing cutting edge innovation, utilizing quality products, while continuing to focus on customer needs and after-sales service (Prevost, 2014). Countless companies in business today focus strictly on the initial sale and drop the ball when it comes to after-sales service. Prevost excels where most companies leave off by standing behind its products and continuing to build and strengthen customer relationships even after a sale has been finalized.
The Supply Chain
Prevost designs and manufactures its own commercial bus chassis and body structures that are among the strongest and safest in the industry. Prevost builds chassis and luxury coach shells and provides these high-end shells to converter partners that complete the final interior build to the end customer’s personal design specifications (Buses and More, 2014). Prevost has its own supply chain in place for building and producing its chassis and luxury coach shells. Prevost is also part of numerous other companies supply chains as its chassis and shells are the necessary components for its partners who specialize in taking these chassis and shells and creating the high-end finished luxury coaches seen on the market today.
Prevost suppliers have to meet several requirements that include transparency in terms of cost and how their businesses will be operated. The suppliers must also have technical expertise and product innovation, be proactive in reducing costs, maintain the highest quality standards, and willing to build long-term relationships (Volvo Group, 2014). This trust is an integral part of the supply chain since Prevost relies on consistent on-time deliveries of quality parts from its suppliers so that it is able to complete its chassis and shell builds. Unable to get parts on-time could cause a chain reaction delay downstream as the companies that rely on the chassis and shells manufactured by Prevost would be unable to start new interior builds for the end customers. Prevost utilizes many parts suppliers so that it can ensure that if a particular supplier runs into trouble that an alternative is available.
How Prevost Maintains a Competitive Advantage
Prevost maintains a competitive advantage by competing on differentiation and making sure its customers see the value in its products. Differentiation is defined as adding unique value to an item through the eyes of a customer by making a product or brand stand out above the competition (Business Dictionary, 2014). ...