Research Paper on:
Vanguard Funds : An Evaluation of a Case Study

Unformatted Sample Text from the Research Paper:
very low expense ratio. In part, this is attributable to scant advertising, the absence of walk-in facilities in addition to the absence of a large sales force. But while the  fund does not pay for the gravy, it does provide good, old-fashioned customer service. Also, while it does not have telemarketers disturbing people as they attempt to eat dinner, the  company is staffed with knowledgeable representatives to answer customers questions. That is a rarity in todays business world. It does go along with their company philosophy that is determined to  do its best. In the case study, the question as to why Vanguard has done better than its competitors is posed. The answer as outlined may be that other funds  are for-profit companies. In other words, as touched on in the case study outline, the for-profit companies do not want to sacrifice profits, and they can gain customers even with  less than stellar performance by advertising heavily, something Vanguard does not do. What is also pointed out is that the case raises questions on marketing ideology and whether or not  advertising is important. What can be learned form the case study? Some ideas submitted by a student in conjunction with the case study are questions in respect to how marketing  can be done, the benefits of frugality, and the power of differentiation. Another question asked is whether or not word of mouth advertising can do the job by itself, and  a warning that placing too much faith in price-quality relationship can be harmful. Some ideas are obvious in that Vanguard does do well by being frugal. It does not have  an advertising budget or marketing campaign to speak of. It is a good business with nothing but word of mouth advertising and that seems to work. But does word of