Transcript Powerpoints
Copyright © 2005 Pearson Education Inc.
Company and Marketing Strategy: Partnering
to Build Customer Relationships
•Chapter 2
•PowerPoint slides
•Express version
•Instructor name
•Course name
•School name
•Date
Principles of Marketing, Sixth Canadian Edition
Learning Objectives
2.2
Copyright © 2005 Pearson Education Inc.
• After studying this chapter, you should be able to:
– Explain company-wide strategic planning and its four steps
– Discuss how to design business portfolios and develop
strategies for growth and downsizing
– Assess marketing’s role in strategic
planning and explain how marketers
partner with others inside and
outside the firm to build profitable
customer relationships
– Describe the marketing process and
the forces that influence it
– List the marketing management
functions, including the elements of
a marketing plan
Principles of Marketing, Sixth Canadian Edition
Strategic Planning
2.3
Copyright © 2005 Pearson Education Inc.
• Strategic planning:
– Developing a strategic fit between
– organizational goals and capabilities, and
– changing marketing opportunities
• Steps in strategic planning:
Figure 2.1
Principles of Marketing, Sixth Canadian Edition
2.4
Mission Statements
Copyright © 2005 Pearson Education Inc.
• Mission statement:
– Statement of an organization’s purpose
– What it wants to accomplish in the larger environment
– Need to be specific, realistic, and motivating
Table 2.1
Company
Product-oriented definition
Market-oriented definition
M.A.C Cosmetics
We make cosmetics
We sell lifestyle and selfexpression; tolerance of
diversity, and a platform for the
outrageous
Canadian Tire
We sell tools, home
improvement items, and
automotive parts and
accessories
We provide advice and
solutions that transform hamhanded people into Mr. and
Mrs. Fixits
Principles of Marketing, Sixth Canadian Edition
2.5
Copyright © 2005 Pearson Education Inc.
BCG Growth-Share Matrix
• Business portfolio
• Portfolio analysis
• Strategic business
unit (SBU)
• Five forces driving
profitability:
Figure 2.2
– Barriers to entry
– Power of the
customer
– Power of suppliers
– Presence of
substitutes
– Competitive rivalry
within industry
Principles of Marketing, Sixth Canadian Edition
Strategies for SBU’s
2.6
Copyright © 2005 Pearson Education Inc.
• Porter:
– Overall cost leadership
– Differentiation
– Focus
• Treacy and Wiersema:
– Operational excellence
– Product leadership
– Customer intimacy
Principles of Marketing, Sixth Canadian Edition
Product-Market Expansion Grid
2.7
Copyright © 2005 Pearson Education Inc.
• Product-market expansion grid:
– Portfolio planning tool for identifying company growth
opportunities
Figure 2.3
Principles of Marketing, Sixth Canadian Edition
Partnering to Build Customer Relationships
2.8
Copyright © 2005 Pearson Education Inc.
• Marketing’s role in strategic planning:
– Provides a guiding philosophy
– Provide inputs to help identify marketing opportunities and assess
potential for taking advantage of them
– Designs strategies for reaching objectives
• Partner relationship
management
• Value chain
• Value delivery network
Principles of Marketing, Sixth Canadian Edition
2.9
The Marketing Process
Copyright © 2005 Pearson Education Inc.
• The marketing process:
– Analyzing marketing
opportunities
– Selecting target markets
Figure 2.4
– Developing the
marketing mix, and
– Managing the marketing
effort
• Market segmentation
• Target marketing
• Market positioning
Principles of Marketing, Sixth Canadian Edition
The Four P’s of the Marketing Mix
Copyright © 2005 Pearson Education Inc.
• The marketing
mix:
2.10
Figure 2.5
– Set of controllable,
tactical marketing
tools
– Blended to
produce the
desired response in
the target market
Principles of Marketing, Sixth Canadian Edition
Copyright © 2005 Pearson Education Inc.
The Four P’s Versus C’s
Product
Customer solution
Price
Customer cost
Place
Convenience
Promotion
Communication
2.11
Principles of Marketing, Sixth Canadian Edition
Managing the Marketing Effort
2.12
Copyright © 2005 Pearson Education Inc.
• Four marketing management functions:
–
–
–
–
Marketing analysis
Marketing planning
Implementation
Control
Figure 2.6
Principles of Marketing, Sixth Canadian Edition
2.13
Contents of a Marketing Plan
Copyright © 2005 Pearson Education Inc.
• Executive summary
• Current marketing situation
– Market description, product review, competition, and distribution
•
•
•
•
•
•
Threat and opportunity analysis
Objectives and issues
Marketing strategy
Action program
Budgets
Controls
Table 2.2
Principles of Marketing, Sixth Canadian Edition
The Control Process
2.14
Copyright © 2005 Pearson Education Inc.
• Marketing control
• Marketing audit
Figure 2.7
Set goals
What do we
want to achieve?
Measure
performance
Evaluate
performance
Take corrective
action
What is
happening?
Why is it
happening?
What should
we do about it?
Principles of Marketing, Sixth Canadian Edition
In Conclusion…
2.15
Copyright © 2005 Pearson Education Inc.
• The learning objectives for this chapter were:
– Explain company-wide strategic planning and its four steps
– Discuss how to design business portfolios and develop
strategies for growth and downsizing
– Assess marketing’s role in strategic
planning and explain how marketers
partner with others inside and
outside the firm to build profitable
customer relationships
– Describe the marketing process and
the forces that influence it
– List the marketing management
functions, including the elements of
a marketing plan
Principles of Marketing, Sixth Canadian Edition