chapter 2 company & mkt strategy

7/26/2019 CHAPTER 2 Company & Mkt Strategy

1/47

CHAPTER 2: COMPANY ANDMARKETING STRATEGYIn the previous chapter you learned about the core andbasic philosophies of marketing. In this chapter we willtalk more deeply about the marketing practices of theBangladeshi organizations based on their culture, goal,target and vision. Because most of the organization musthave a future plan to grow that will help them to achievesomething in the industry. As most of the organizationsare prot motivated, they must try to formulate suchstrategies that will help them to attract, retain and growcustomers.

Think about rameen !hone "!# the market leader"$aving ma%imum market share&largest number of users#in the mobile telecommunication industry of Bangladesh.'hy they still o(er discounts after being a marketleader) Answer may be to retain and grow customerbase. That is what we call a strategy undertaken by !.


2/47

*I++-/0 I +1/20 A*0T-AT3


3/47

1B4/TI50 1+ T$ /$A!T-

To e%plain companywide strategic planningand its four steps

*iscuss how to design business portfolios

and strategies for growth and downsizing Assess marketing6s role in strategic planningand customer relationship management

*escribing the marketing process and the

forces that in7uence it Analyzing the marketing plan


4/47

STRATEGIC PLANNING

strategic planningis the process of developingand maintaining a strategic t betweenorganization6s goal and capabilities and itschanging marketing opportunities.

+or e%ample, +antasy 8ingdom has introduced

9'ater 'orld6 where the people can en:oy waterrides. In fact this concept was rst introduced byandan !ark that was highly accepted by thepeople.

!rivate universities are o(ering e%ecutive ;BA to

take the opportunity of fullling the need of a newgroup who is growth oriented working people.

;obile telecommunication providers o(er pocketmodem to enhance mobility.


5/47

/$AI ;A-8TI1!!1-T2ITI0


6/47

0T-ATI/ !


7/47

0T!0 I 0T-ATI/ !

*eningthecompanymission

0ettingcompanyob:ectives? goals

*esigning thebusiness portfolio

!lanningmarketing ?otherfunctionalstrategies

/orporatelevel

Businessunit ?market andproduct


8/47

0T!0 I 0T-ATI/ !

/ustomer needs or what is being satised /ustomer groups, or who is being satised The company6s activities, technologies and

competencies

;ission of 02A- Toiletries is to satisfy the needsof domestic and international consumers throughattractive, Cuality healthcare products andservices using highly motivated employees andthe latest technology is the mission statement of02A- ToiletriesD

selling tea is the mission of the tea seller.


9/47

0T!0 I 0T-ATI/ !


10/47

B-1A* ;I00I1 0TAT;T> EA;!


11/47

0T!0 I 0T-ATI/ !


12/47

0T!0 I 0T-ATI/ !


13/47

EA;!


14/47

0T!0 I 0T-ATI/ !


15/47

0T!0 I 0T-ATI/ !


16/47

0T!0 I 0T-ATI/ !


17/47

0T!0 I 0T-ATI/ !


18/47

*0II T$ B20I00!1-T+1 EA;!


19/47

*0II T$ B20I00 !1-T+1 T$ T$I-* *I-/TI10TTI TA08

The Boston /onsulting roup "B/#Approach


20/47

DE#ELOPING STRATEGIES &OR GRO'THAND DO'NSI(ING

Figure: Ansoff Product/MarketGrid

Markets

Products

Existing New

Existing Market penetration(Cosco soap)

Market deveop!ent(Persona Ada!s"#$arif Mea!ine"fro%en food)

New Product deveop!ent(Lux, Banglalinkinternet, Vim liquid,KFC krushers, ResortAtlantis by FantasyKingdom)

&iversification(#c$oasticaFurniture" 'ACnurser" #*+AEconsu!er goods"Massranga ,-)


21/47

EA;! !-1*2/T 1- 0-5I/ *5


22/47

;A-8T *5


23/47

EA;! *I5-0I+I/ATI1

/apsule> B-A/is well knownas an 1 andfor other

commercialunits such asAarong, B-A/dairy etc. owB-A/ has

startedbusiness in adiverisied eld= B-A/ ursey.


24/47

;1- *I5-0I+I/ATI1

02A- roupis well=knownfor their!harmaceuticals and Toiletriesbusiness. Theyhavediversied with02A-/onsumer

products and;assranga T5


25/47

THE MARKETINGPROCESS

Marketing processis the analysis ofmarketing opportunities, selecting targetmarkets, developing the marketing mi%and managing the marketing e(ort.

+our activities to do>F. analysis of marketing opportunities

. selecting target markets

M. developing the marketing mi%N. managing the marketing e(ort.


26/47

THE MARKETING PROCESS)CONT*+,* Ana"-.ing mar/ting opport0nitis

very organization must think and nd the opportunityavailable in the e%ternal environment that matcheswith their strength at the very beginning of themarketing process. In fact that is better identied with0'1T analysis.

+or e%ample, overnment has reduced the import dutyon the raw materials that your organization iscurrently using in the production purpose is thee%ample of an opportunity.

%ample, !eople are shifting their choice and tastepreferences towards a specic product&service inwhich you have e%pertise must add some value inyour total sales volume should be considered as anopportunity

%ample, %pansion of mobile telecommunicationcompanies is o(ering an opportunity for the

universities of Bangladesh to introduce lectronicsand TelecommunicationD program in their product&service


27/47

0'1T AA


28/47

THE MARKETING PROCESS)CONT*+

2* Mar/t sgmntation an1 targt mar/ting Segmentationmeans dividing the total market

into distinct group of buyers who have distinctneeds and wants.

The market segment which the organization is

actually going to serve is called target market.


29/47

THE MARKETINGPROCESS )CONT*+

M. D"oping mar/ting mi3The marketing mixconcept is regarded as a set of

controllable variables at the disposal of marketingmanagement that can be used to in7uencecustomers


30/47

THE MARKETING PROCESS )CONT*+

Product Price Place Promotion

.Functionait

.Appearance

.-ariet" .*uait

.&esign" features

.Packaging

.'rand na!e

.arrant

.#ervice support

.0ist price

.&iscounts

.Aowances

.Financing

.0easingoptions.Credit ter!s.Pa!ent

periods

.C$anne !e!1ers

.C$anne !otivation

.Market coverage

.0ocations

.0ogistics#ervice eves.Assort!ents.2nventor"

transportation

.Advertising

.Persona seing

.Pu1ic reationsMessage" !edia#aes pro!otionPu1ic reation

M. D"oping mar/ting

mi3

>


31/47

>9!6

+unctionality andappearance

5ariety andCuality

+eatures

0ervice andsupport

Brand


32/47

!-I/I> T$ 0/1* 9!6


33/47

! T$I-*9!6


34/47

!-1;1TI1> +12-T$ 9!6


35/47

!-1;1TI1 A* !2B


36/47

!1! T$ E!A**;IE mployees, customers and front=line service providers are

vital in service oriented businesses

0 /


37/47

!$30I/A ;A-8TI ;IEET**

!-1/00 ;A-8TI ;IE


40/47

!-1/00> ;A-8TI ;IEET**


41/47

THE MARKETING PROCESS )CONT*+

M. D"oping mar/ting mi3 E3amp" of Potato

C4ipsPro10!t>This is a tangiblegood= ;ade of potato, chili,shrimp, salt etc= ame is 9E6 potato chips

= +our 7avor> chili, shrimp,salty, vegetable= Available at three sizes"FGG, JG, JGG gms#= Available at four di(erentcolored tetra pack

= -ound and ring shapedcrispy taste.= !rice and ingredients arelabeled in the pack= ;anufacturing and e%pirydate is labeled

Pri!:5alue transactionprocess= /ost based andcompetition based pricing= *i(erent price for

di(erent size of packets= 0ame price for same sizebut di(erent 7avor= &FG MG credit systemfor traders= J taka discount for

traders in buying a dozen= Allowances are given permonth for promoting theproduct to super shops

THE MARKETING PROCESS


42/47


M. D"oping mar/ting mi3 E3amp" of PotatoC4ips )Cont**+

P"a!:The distribution policy forchips= 1wn distribution&logistic supportfor divisional wholesaler

= N level distribution channel= %tensive distribution isfollowed= Available in all retail outlets ofBangladesh= +or trader each o(ering includes

F packs= /an be sold single to the enduser&buyer= 0upplied from single warehouse"'$#=1wn transpiration to ship from

factory to '$

Promotion:The awarenessside= T5, radio, newspaperadvertisements

= Billboard in prime locationslike in schools= uiz and art contest inschools= 0eminar on primaryeducation as public relations

= *iscount, sweepstakes,scratch card in eachpurchase= /artoon, gifts, toys forchildren= 8id must be used as model

of advertisement

THE MARKETING PROCESS


43/47


N. Managing t4 mar/ting 5ortIn this stage, the managers have to develop a plan that will be

carried out in the target market. This stage includes analysis,planning, implementation and control. $ere internal ande%ternal analysis includes 0'1T analysis to postmortem theorganization and e%ternal analysis includes macro=environmental analysis where the organization is going tooperate.

The process by which the marketing plans and strategies turnsinto marketing action in order to accomplish ob:ectives iscalled marketing implementation

Operating controlinvolves checking ongoing performanceagainst the annual plan and taking corrective action whennecessary. It involves daily activities, protability of di(erent

products, territories, markets and channel. Strategic controlon the other hand involves whethercompany6s basic strategies are well matched with itsopportunities or strengths. 'hether company should go forstrategic alliances to recover a certain situation or to get anopportunity is the e%ample of strategic control.


44/47

MARKETING PLAN

&ormat of a mar/ting p"an:+ollowing topics should

be included in the marketing plan. %ecutive summary> It should be prepared after thecompletion of the whole report. In this section theplanner has to summarize the whole report.

Table of contents> A generalized introduction on thereport.

/ompany&product prole> $ere the planner has toincorporate the history of the company that isproducing the product under consideration in brief. Itmay be e%plained by company name, locations,founders, product lines, capital investment, logo orslogan, company6s mission, vision and ob:ectivesetc.

/urrent marketing situation> ;arket descriptionalong with target market selection process, industry

analysis, a review of the competitors etc

MARKETING PLAN


45/47

MARKETING PLAN)CONT**+

!roduct prole> In this part you have talk about theproduct in details. +ollowing sub=topics may bediscussed>

!roduct6s mission, vision, ob:ectives and goals !roducts characteristics along with di(erent levels 5ariety, Cuality, design, features, packaging, brand

name, e%tra services etc

!roduct6s position in the market compared to otherproduct of the company with B/ growth matri%analysis

Target market selection process for the product. !roduct life cycle stage determination. Based on that

n the characteristics

*evelopment steps of the products. "!roduct planningand development# !ricing strategy> a# The way the initial price was set by

the company. b# 'hich pricing strategy they are followingcurrently. /# *iscuss about price ad:ustment strategy.


46/47

)CONT**+

*istribution or location strategy> 'hat level ofdistribution channel is followed by the company)

*o they e%port the product in overseas market)*iscuss about the mark=up of the distributors etc.

!romotional tools> Brie7y discuss about theob:ective of their advertisement, media selectionprocedure, message of the advertisement, media

vehicle and ads e(ect on sales. 0ales promotional tools> 'hat type of sales

promotion is e%ecuted by the company for theproduct under consideration) Talk about the salespattern of the product. *o they have any publicrelation tools for the product)

Action programs> $ow above mentionedstrategies will be implemented in the targetmarket should be analyzed. Answering the basicCuestions like who, where, when and how.


47/47

;A-8TI ! Based on above analysis ndout the problems of the product&company from allfronts.

-ecommendation and suggestion> This is the mostimportant part of the report. 0tudents have to provide

strategies for the previously identied problems. Budget, timing and control> *etails marketing

supporting budget should be outlined with an analysisof prot and loss statement. Time of implementationshould be claried by pointing the responsibilities ofeach manager.

/ontingency plan> Additional plan that will answerwhat if. ;anagers need to plan what they will do in acertain situation if the actual plan fails.

chapter 2 company & mkt strategy

Documents