class one - michigan state universityjensenra/marketing_exam_1.pdfcorporate vision the desired image...

What is Essence of Marketing?1.

Learning Objectives:

Notes:

We're all targets of marketing campaigns•All recipients of marketing messages•All partners in social fabrication of marketing communities•

Quote by Peter Drucker○

Marketing and Innovation are the only responsibilities of a business•

Marketing is not just a business function•Marketing is a timeless social mechanism with respect to the human experience•

The essence of marketing is to form community and create connections and relationships in order to create, deliver, and capture value in the marketplace.

•

Marketing is the most comprehensive of all the business functions having also a critical role for society as a whole, and for the personal success of individuals.

•

a social process that directs an economy's flow of goods and services from producers to consumers in a way that effectively matches supply and demand and accomplishes the society's objectives.

a.

Macro marketing•

Societal Domain - Marketing connects sectors of Society through the execution of th euniversal marketing functions in order to enable specialization

a.

Business Domain - Connects the firm to its customers through the application of technology, the development of relationships and the execution of their marketing mix in order to bring about exchange.

b.

Individual Domain - Marketing connects an individual or group to another by finding common ground and establishing relationships with both achieving goals.

c.

Marketing Domains•

Key Terms:

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Learning Objectives:What is a social mechanism or process?1.The Definition of Macro Marketing2.The Universal Marketing Functions3.The role of Marketing in society4.The role of Marketing in personal success5.

Marketing○

Production○

Consumption○

Investment○

Core social mechanisms in a society:•

Consequence of specialization and the division of labor at the heard of economic development

○

Same role today as in ancient worlds○

Marketing•

Within any economy that is not truly subsistent and individually self-sufficient are certain market-discrepancies and separations limiting commerce, and eventually economic development can only be addressed by the universal marketing functions.

•

Core functions as relevant to barter economies, and developed alike.○

What: Connects sectors in a society/economy□

How: Universal Marketing functions□

Why: Enables specialization□

Results in: Economic development, higher quality of life.□

Viewed from a societal perspective, as "Thread tying together all social progress"

Macro Level ○

What: Connects organization with customers/clients□

How: Through marketing mix.□

Why: Enables exchange□

Results in: Organization's goals and customer's needs being satisfied.□

Viewed from business perspective as, "the engine and frame for all economic activity"

Micro Level○

What: Connects individuals□

How: Through mutual interests and social capital□

Why: Enables relationships□

Results in: Achieving personal goals□

Viewed from the personal perspective as, 'a critical tool for personal success"

Individual Level○

Marketing is classless with respect to economies•

Notes:

Key Terms:

Market A group of people with a demand for a product or service

Central Market are convenient places where buyers and sellers can meet one-on-one to exchange goods and services.

Macro Marketing a social process that directs an economy's flow of goods and services from producers to consumers in a way that effectively matches supply and demand

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producers to consumers in a way that effectively matches supply and demand and accomplishes the society's objectives.

Social mechanism or process

something that pushes society forwards

Economic System the way an economy organizes to use scarce resources to produce goods and services and distribute them for consumption by various people and groups in society

Discrepancy of Quantity:

producers prefer to produce large quantities consumers want to buy and consume in small quantities

Discrepancy of Assortment

producers specialize in producing a narrow assortment of goods and services, consumers need a broad assortment

Market Separation of Space

producers tend to locate where it is economical to produce, while consumers are located in many scattered locations

Separations of Time consumers may not want to consume goods and services at the time producers would prefer to produce them, and time may be required to transport goods from producer to consumer.

Separations of Information

producers do not know who needs what, where, when, and at what price. consumers do not know what is available from whom, where, when, and at what price

Separations of Values producers value goods and services in terms of costs and competitive prices. consumers value them in terms of economic utility and ability to pay

Separations of Ownership

producers hold title to goods and services that they themselves do not want to consume. consumers want goods and services that they do not own

Buying looking for and evaluating goods and services

Selling involves promoting the product

Transportation the movement of goods from one place to another

Storing involves holding goods until customers need them

Standardization involves sorting products according to size

Grading involves sorting products according to quality

Financing provides the necessary cash and credit to produce, transport, store, promote, sell, and buy products

Risk Taking involves bearing the uncertainties that are part of the marketing process

Information accumulation or Dissemination

collection, analysis, and distribution of all the information needed to plan, carry out, and control marketing activities, whether in the firm's own neighborhood or in a market overseas

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What does a marketing relationship look like?1.The concept of market creation2.What does it mean to connect in marketing3.


Form communities○

Create connections○

Use relationships to create, deliver, and capture value to achieve goals

Create relationships○

Providing the environment a market could succeed in.

Create demand◊

Better understand needs/wants

Once created/selected, establish a psychological connection (relationship)□

Co-production of indentity (purpose/cause) and meaning (culture) to create community.

Market Creation:○

Commercialization○

Essence of Marketing•Notes:

Relationship Marketing

the linking of the organization to its individual customers, employees, suppliers, and other partners for their mutual long-term benefits.-Involves a personal ongoing relationship between organization and customer.--Online Shopping's weakness

Community group of individuals, groups, or organizations that are integrated within a dynamic network of environmental cause and effect activities that cause them to share purpose, and physical or virtual proximity.

Marketing Program

a plan that integrates the marketing mix to provide a good, service, or idea to prospective buyers. -Discovering what the prospective customers need-Can be favorable by buying, or unfavorable by not buying

•

Key Terms/Concepts:

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Fundamentals of Market Growth1.Concepts of Value Creation & Market Utilities2.


Notes:A firm achieves growth by having its acquisition rate be significantly higher than its attrition rate(the opposite of retention rate).

1.

Marketers must identify its targeted community’s needs, then through the effective execution of its marketing mix get potential customers to express those needs as wants that those customers have the physical ability and the financial ability to address those wants, thus creating a demand

2.

Needs are transformed into wants by successfully using the marketing mix variables to provide time, place, form, and ownership utilities and as a result create value.

3.

Creation of value

Delivery of value

Capturing of value

Exchange○

Difference between contribution a product or service makes to consumer's array of needs and total extraction from consumer's resources required by that product/service

◊

Form

Time

Place

Ownership/Possession

Created by using Marketing mix variables to provide 1 or more of:◊

Value

Occurs when new customers are acquired faster than lost◊

Profitable growth

Understanding Value□

Needs

Wants

Demands (acquisition activities)

Satisfaction

Loyalty

Relationships (retention activities)

Understanding core concepts□

Community identified, marketing manager's job:

Find the needs of a targeted community□

Take steps to get individuals in community to express needs as wants□

Enable individuals with desire to satisfy wants to have the ability□

A group of people with a demand for a product or service is a market.

Create a demand□

Creating Exchange:

Exchange occurs when two or more parties receive something of value in a transaction.○

Essence of Marketing•

Key Terms:

ACQUISITION ACTIVITIES

Need, Want, Demand

Need Physical requirement for survival

Want Expressed or desired form of consumption in order to satisfy needs

Demand Having the ability and desire to address a want to satisfy a need.

RETENTION Loyalty, Satisfaction, Relationships

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RETENTION ACTIVITIES

Loyalty, Satisfaction, Relationships

Loyalty Purchase insistence and frequency

Satisfaction Rating of usage experience

Relationships Mutual interactive connection of lives and lifestyles

Form Utility The value to consumers that comes from the production or alteration of a product or service.

Time Utility The value to consumers that comes from having the offering available when consumers need it.

Place Utility The value to consumers that comes from having the offering available where consumers need it

Possession (utility) The value of making an item easy to purchase through the provision of credit cards or financial arrangements.

Customer value Buyers' benefits, including quality, convenience, on-time delivery, and before and after sale service at a specific price.

Exchange When two or more parties receive something of value from each other in a transaction

Marketspace An information and communication-based electronic exchange environment occupied by digitized offerings.

Marketing Mix The Four Ps of marketing -Promotion, Price, Place, and Product

Promotion (communication)

A means of communication between the seller and buyer

Price What is exchanged for the product

Place (Distribution) The value to consumers that comes from having the offering available where consumers need it

Product A good, service, or idea, to satisfy the customers' needs

Efficiency

Effectiveness

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Core Aspects of Strategy1.The Role of Marketing in Planning 2.Corporate Vision3.


Notes:

Profit□

Shareholders' wealth.□

Aims:

For-Profit○

Operating efficiency□

Achieving social goals□

Constituency relations□

Aims:

Non-profit○

Two types of organizations•

Sustainable competitive advantages□

Favorable market position□

Adaptation□

Core aspects of strategy:

Core values

Mission

Culture

Corporate philosophy

Why does the organization exist?◊

Goals

Strategic Direction

What direction they hope to take:◊

Help establish organization's vision

Corporate level□

Communicate customers' needs and wants

Create value

Help the organization operate more efficiently/effectively

"Marketing Concept"

SBU level□

Aka - getting new customers–

Needs recognized, turned into wants/demands

1: Acquisition◊

Forming relationships–

Keeping customer satisfied, turned to loyalty.

2: Retention◊

Dual paths:

Functional level□

Marketing's role:

Does so through strategic planning process○

Regardless of organization type, goal is to survive.•

Key Terms

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Key Terms

Business Firm (For Profit)

Aims for profit and shareholders' wealth.

Non-Profit Aims for operating efficiency, achieving social goals, and constituency relations.

Unique Position Strategy

What is the basic value that you are offering?□

Competitive Advantages

What can you offer that cannot be duplicated?□

Adaptability How well can you fit in with an environment?□

Firms adapt through strategic planning□

BUSINESS LEVELS Corporate Level, SBU level, Functional Level

Corporate Level Sets overall Organizational vision and direction

Why the business exists

Top level managmeent

Strategic Business Unit Level (SBU)

Select value creating opportunities, select target segments, and strategic direction

Communicate customers' needs and wants

Create Value

Operate more efficiently/effectively

Functional Level Details specific methods of executing creation, delivery, and capturing of value.

Focus on Acquisition (recognizing and turning needs into wants and demands) and retention (keeping customers satisfied, and turning that satisfaction into loyalty)

Corporate Vision The Desired image of the company in the minds of employees that maintains consistent direction in reaching goals

○

Core Values A set of statements describing the type of behavior expected of the company and its employees

□

Mission A motivating statement defining the organization's purpose□

Clear

Concise

Meaningful

Inspirational

Long-term

Mission Statement:□

Corporate Philosophy

The Set of values, ideas, attitudes, and behavioral norms that are learned and shared among the members of an organization

Marketing Goals/Objectives

These are used as measurements of success.

Profit/ROI Most firms seek to maximize profits - to get as high a financial return on their investments (ROI) as possible.

Sales If profits are acceptable, a firm may elect to maintain or increase its sales even though profits may not be maximized.

Market Share Ratio of sales revenue of the firm to the total sales revenue of all firms in the industry (including the firm itself).A firm may choose to maintain or increase its market share, sometimes at the expense of greater profits if industry status or prestige is at stake

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expense of greater profits if industry status or prestige is at stake

Growth Rate

Quality/Product Patents

Way of measuring Risk and Development departments and quality of product.

Customer Satisfaction

Customers are the reason the organization exists, so their perceptions are actions are of vital importance. Satisfaction can be measured with surveys or by the amount of customer complaints.

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Concept of Corporate Vision1.Marketing Dashboards2.Components of Marketing Plan3.


Notes:

Core Competencies

Growth Strategies (Diversification)

Business portfolio

Strategic Directions:○

Situation Analysis1.SWOT Analysis2.Target Market Analysis3.

Information Foundation

Marketing Objectives1.Segmentation2.Positioning3.General Marketing Strategy4.Competitive Strategy5.

Strategic Framing Decicionsi.

Marketing Mix1.Control Process2.

Tactical Decisionsii.

Marketing Plan:○

To achieve mission and maintain culture:•

Terms:

An organization's special capabilities - The skills, technologies, and resources, that distinguish it from other organizations and provide customer value.

○

Core Competencies○

Knowing where the organization is at the present time and allows them to set a direction for the firm and allocate resouces to move in that direction

○

Growth Strategies (Diversification) -○

Technique used by managers to quantify performance measures and growth targets to analyze their firms' strategic business unites as though they were a collection of a separate investment.

○

Portfolio strategies:○

Strategic Directions1.

Taking stock of where the firm or product has been recently, where it is now, and where it is headed in terms of the organization's marketing plans and the external forces and trends affecting it.

○

Situation Analysis○

An acronym describing an organization's appraisal of its internal strengths and weaknesses and its external opportunities and threats.

○

S.W.O.T. Analysis○

Information Foundation2.

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and its external opportunities and threats.

The visual computer display of the essential information related to achieving a market objective

○

Marketing Dashboard○

Measure of the quantitative value or trend of a marketing activity or result.○

Marketing Metric○

Common needs

Similar responses to a marketing action

Aggregating prospective buyers into groups, or segments, that have:○

Segmentation○

Product Position○

Characteristics of a product that make it superior to competitive substitutes○

Points of Difference○

Marketing Strategy - The means by which a marketing goal is to be achieved, usually characterized by a specific target market and a marketing program to reach it.

3.

Features, brand names, packaging, service, warranty.

Product -i.

List price, discounts, allowances, credit terms, payment periods

Price -ii.

Advertising, personal selling, public relations, sales promotion, direct marketing.

Promotion○

Outlets, channels, coverage, transportation, stock level

Place -○

4 P’s / Marketing Mix1.

Marketing Tactics - Day-to-day detailed operational decisions essential to the overall success of marketing strategies

4.

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Role of Information in Marketing Decisions1.Concept of Knowledge Generation2.Key Aspects of M.I.S.3.Marketing Research Process4.


Notes:

Systematic collection of information (intelligence) of organization's environment, competitors, and markets, and processing that intelligence to effective/efficient actions

□

Knowledge Management

Planning begins/depends on information○

Identify data1.Turn data into information2.Information into a framweork3.Framework to create knowledge4.

Four steps to knowledge Generation:○

People, equipment, and procedures to gather, sort, analyze, evaluate, and distribute needed, timely, and accurate information to management

Knowledge management□

Continual information gathering

Marketing Intelligence□

Problem specific information gathering

Marketing research □

Decision Support systems□

Four components Marketing Information Systems

To do successfully, marketing information systems○

Knowledge Generation•

Systematic collection of information (intelligence) of organization's environment, competitors, and markets, and processing that intelligence to effective/efficient actions

Undisputable Facts/figuresi.Dataa.

Conclusion made from the factsi.Informationb.

Decision Criteriac.

Selection Guidelinesd.Knowledgee.

Knowledge Management -1.

Intended to bring together disparate items of data into a coherent body of information, provides information suitable for the purposes of decision making

i.Management Information System:a.

The people, equipment, and procedures to gather, sort, analyze, evaluate, and i.Marketing Information Systemb.

Information Systems2.

Key Terms:

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Internal Data:1)External Data2)Secondary Data3)

The problem-specific planning collection and analysis of data/proactive search for information

a)Marketing Research4)

Primary data5)

Specific issues surrounding the marketing of goods and servicesa)Market Decision Support Systems6)

Transaction-Based information systems.7)

The people, equipment, and procedures to gather, sort, analyze, evaluate, and distribute needed, timely, and accurate information to decision makers

i.

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The goal of marketing is to both discover and satisfy the needs of prospective customers.1.The concept of relationship marketing links the organization to its individual customers, employees, suppliers, and other partners for their mutual long-term benefits.

2.

A marketing program is a plan that integrates the marketing mix for prospective buyers.3.

Competition grew and the production of goods increased.a.

Which of the following statements is the primary reason that explains why U.S. businesses moved from the production era to the sales era?

4.

The marketing concept is the idea that an organization should strive to satisfy the needs of consumers while also trying to achieve the organization's goals.

5.

customer relationship management.a.

The process of identifying prospective buyers, understanding them intimately, and developing favorable long-term perceptions of the organization and its offerings so that buyers will choose them in the marketplace is referred to as

6.

The primary difference between a good and a service, both of which are products to the marketer, is that a good is a physical object and a service is intangible.

7.

ATM machines in thousands of locations.a.Which of the following statements is an example of place utility?8.

Quiz 2Tuesday, January 21, 20142:50 PM

Connect-Quizzes

Provide inventors with an opportunity to identify solutions to problems and/or identify new opportunities that would lead to marketable 3M products

a.The primary purpose of 3M's 15% rule is to1.

If you feel hungry, marketers would say you have developed a need to eat something2.

Marketa.What are people with the desire and ability to buy a specific offering referred to as?3.

A target market is a specific group of potential consumers toward which an organization directs its marketing program.

a.

Sound and Cinema is a company that will turn an ordinary basement into a home theater. It advertises in publications that are mailed to homeowners in subdivisions where the least expensive home costs $550,000. These homeowners are the target market for Sound and Cinema

4.

The "4 Ps" of the marketing mix include product, price, place, and promotion.5.

Means of getting the product to the consumer.i.Placea.

Netflix can deliver movies to its customers in several ways: via streaming video over the internet or via mail. These two methods would constitute which elements of the marketing mix for Netflix?

6.

Walmart's customer value proposition can be described as "everyday low prices for a broad range of products that are always in stock in convenient locations."

7.

Forces like rising input costs are generally considered to be one of the uncontrollable or environmental forces that include social, technological, economic, competitive, and regulatory forces.

i.Economic a.

The rising price of oil has increased the costs of transportation and thus the cost to deliver most manufactured goods. This is an example of which environmental force?

8.

Quiz 3Tuesday, January 28, 201410:07 PM

Connect-Quizzes

A nonprofit organization is a nongovernmental organization that serves its customers but does not have profit as an organizational goal. Instead, its goals may be operational efficiency or client satisfaction. Regardless, it also must receive sufficient funds above its expenses to continue operations.

a.

A nonprofit organization may have operational efficiency or client satisfaction as its primary organizational goal, but it still must receive sufficient funds to cover its operating expenses.

1.

For less complex firms with a single business focus, such as Ben & Jerry's, the corporate and business unit levels may merge.

a.

In less complex organizations that have a single business focus, such as Ben & Jerry's, which two strategic levels may merge?

2.

Functional Levela.The marketing department is part of which strategic level in an organization?3.

A visionary organization first examines its organizational foundation and its organizational direction to determine its organizational strategies.

4.

Southwest Airlines' mission is to be dedicated "to the highest quality of Customer Service delivered with a sense of warmth, friendliness, individual pride, and Company Spirit."

5.

American railroads may have defined their business too narrowly, by concerning themselves only with rail service rather than including other transportation modes.

6.

If profits are acceptable, a company may elect to maintain or increase its sales even though profits may not be maximized.

a.

Business firms pursue several different types of goals such as profit, sales, market share, quality, customer satisfaction, employee welfare, and social responsibility. Which of these statements is most accurate?

7.

The outdoor brand The North Face intends to capture some of its competitors' business in Europe in the next few years, even amid the current debt crisis there. The firm cites the active lifestyles there and the relatively low cost of entry for its backpacking and hiking sports gear, which attracts those planning a low-budget "staycation." The North Face most likely has a market share goal.

8.

The choice of which marketing metrics to display on a marketing dashboard is critical for a busy marketing manager, who can be overwhelmed with irrelevant data.

9.

The planning phase of the strategic marketing process usually results in a marketing plan that sets the direction for the marketing activities of an organization.

10.

Ben is the CMO of Pieces Ltd., a company offering packaging solutions in several countries. He conducts a SWOT analysis of the company toward the end of a fiscal year so as to prepare action plans accordingly for the next year. One of the comments Ben included in the analysis is "Increasing competition in international markets," which is most likely classified as a threat in the analysis.

11.

The sorting of potential buyers into groups that have common needs and will respond similarly to a marketing action is referred to as market segmentation.

12.

The four Ps of the marketing mix around which a marketing program revolves are product, price, promotion, and place.

13.

Quiz 4Sunday, January 26, 20148:00 PM

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Competitive Advantagea.

What is a unique strength relative to competitors, often based on quality, time, cost, or innovation referred to as?

1.

In BCG's business portfolio analysis, cash cows generate more revenue than they can use, allowing an organization to cover its overhead and invest in other SBUs.

2.

In diversification analysis, product development refers to the marketing strategy of selling new

products to current markets.

3.

The last phase of the strategic marketing process is known as evaluation.4.Brick-and-mortar retailers are noticing a change in how many consumers shop. Sometimes they visit a store and scan an item on their smartphones, only to find the same product at a less expensive online retailer like Amazon.com. This turns the store into nothing more than a showroom for products. A SWOT analysis of Best Buy's marketing environment should consider this change in consumer shopping behavior a threat.

5.

Selecting target markets.a.

The market-product focus and goal setting part of the planning phase of the strategic marketing process includes which of the following?

6.

The marketing program includes developing the marketing mix and its budget.7.Oprah.com recently launched Oprah's Book Club 2.0, hoping to get back to the amazing success of her previous book club. While the ideas for the plan may have been sound, new users complain that the feel of the experience online is certainly not Web 2.0, which requires a highly dynamic environment, often involving crowdsourcing, or user-generated content. Instead, Oprah remains the central, controlling figure of the club. Most likely, a problem occurred during the implementation phase.

8.

Marketing tacticsa.Writing ads and setting prices are examples of which of the following?9.

Comparing the results of the marketing program with the goals in the written plans to identify and act on deviations occurs during the evaluation phase.

10.

Quiz 5Sunday, January 26, 20148:12 PM

Connect-Quizzes

Internal Data1.Marketing input data and marketing outcome data are examples of:1.

1.In which of the following examples are external secondary data being gathered?2.

Time Savings1.Low cost2.

Which of the following is an advantage of secondary data?3.

Marketing research is the process of defining a marketing problem and opportunity, systematically collecting and analyzing information, and recommending actions.

4.

Field of Dreams and Million Dollar Baby are examples of successful movies that could have failed because their original titles did not convey the correct message to their prospective audiences.

5.

The process of defining a marketing problem and opportunity, systematically collecting and analyzing information, and recommending actions is referred to as marketing research

6.

When collecting marketing research, people may not be willing to tell you what you want to know if it is potentially embarrassing.

1.Which of the following statements concerning marketing research is most accurate?7.

Grape-Nuts was one of the first cereals Post Cereal Company ever marketed. It scores well in brand awareness studies, but recently its sales have been steadily declining. Rather than assume the product was a "dog," the Grape-Nuts marketing manager decided Post should first do marketing research to identify what needs were not being satisfied.

8.

Quiz 6Monday, January 27, 20148:53 PM

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Exam 1Tuesday, January 21, 20143:28 PM

Provided Study Materials

Provided Study Materials

Maximize Shareholders' wealth.○

Maintain the organization's existence.

'ULTIMATE GOAL' - Survival○

Ultimate Goal•

Strategy is the long-term courses of action that delivers a unique customer experience (position) while achieving its goals

○

What is the basic value that you are offering?□

Positioning (Value Proposition)

What can you offer that cannot be duplicated?□

Competitive Advantages

How well can you fit in with an environment?□

Adaptability

Core Components:○

Strategy:•

Sets overall Organizational vision and direction

Corporate Level Strategic Plan○

Select value creating opportnities, select target segments, and strategic direction

Strategic Business Units (SBU's) level strategic plan○

Details specific methods of executing creation, delivery, and capturing of value.

Functional level tactical plan○

Firms Adapt through Strategic planning:•

Provide Vision○

Provide Intelligence for Competitive Advantage○

Develop and Achieve Desired Position○

The role of Marketing in developing strategy:•

A written document for business Unit/Profit center providing guidelines for achieving strategic position and efficiency in marketing programs to achieve competitive advantages and long term performance goals.

○

Marketing Plan•

The Desired image of the company in the minds of employees that maintains consitent direction in reaching goals

○

A set of statements describing the type of behavior expected of the company and its employees

□

Core Values

A motivating statement defining the organization's purpose□

Clear

Concise

Meaningful

Inspirational

Long-term

Mission Statement:□

Mission

Culture

Organizational Foundation○

Business Def

Organizational Direction○

Corporate Vision•

Planning

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Lectures

Business Def

The Set of values, ideas, attitudes, and behavioral norms that are learned and shared among the members of an organization

Philosophy Defines Specific Objectives

Measured By Marketing Metric:

Marketing Market Share

Production Productivity

Finance Return on Investment

Risk and Development Number of Patents

Selling Sales Volumes

The philosophy of the company determines which functions drive an organization

Corporate Philosophy□

Objectives

Allocate resources

Marketing Plan

Organizational SBU Strategies○

Establishment of the fundamental value that will be offered to the Market

A value creation Plan○

Positioning Statement:•

The difference between the contribution a product of service makes to consumer's "array of needs" and the _extraction_ from consumers' resources required

○

Customer Value•

Lectures

Key to survival - Adaptability○

Marketing then provides a vision

Strategic Planning - Creates adaptability○

Ultimate goal: Survival•

Core Values

Mission

Culture

Organizational Foundation○

Business Definition

Objectives

Organizational Direction○

SBU = Strategic business Unit

Allocate resources

Marketing plan

Organizational SBU strategies○

Vision•

The expression of what product or service or value the organization provides to whom in the marketplace.

○

This determines the underlying industry or market sector the organization competes in.○

Defined by the actual product

Product oriented□

Defined by the needs satisfied.

Market oriented□

Focus

Broad□

Narrow□

Scope (how wide of a product offering)

Definitions are based on:○

Business definition•

Selling existing product, to an existing market

Penetration□

Selling new products to an existing market

Product development□

Selling existing products to new markets

Market development□

Selling new products to new markets.

Diversification□

Growth strategies

The unique resources, operations, or capabilities a company develops and employs to create superior customer value; the fundamental building blocks of competitive advantage.

What can you do that your competitor cannot do.

Base technologies◊

Five key categories:

Core competencies□

Resource allocation

The required direction of an organization's strategic efforts (adaptation process) to achieve goals

○

Objectives:•

Class SixTuesday, January 21, 20142:43 PM

Lectures

Research and Development

Base technologies◊

Ability to make the product

Process technologies◊

Rate of convenience - Coolness of the product

Product technologies◊

Technical support–

The people the customer interact with

People systems◊

Ability of the company to deliver information successfully

Information systems◊

Adaptation□

High market share, high market growth rate◊

Build, hold◊

Stars

Low market share, high market growth rate◊

Build, hold, or drop◊

Question marks

High market share, low market growth rate◊

Hold◊

Cash cow

Low market share, low market growth rate◊

Dogs

BCG's Growth-Share Matrix□

Lectures

Components of a marketing plan•

Environment and competitors

Situation Analysis○

Framework for strategic plan

SWOT analysis○

Understanding buyer behavior

Market analysis○

Informational foundation•

Who

Segmentation○

What

Positioning○

General Marketing Demand○

How

Competitive○

Strategic Framework•

Create/Capture Value

Marketing Mix Plans○

Contingencies

Control Plan○

Tactical Implementation •

The understanding or experience enabling tasks to be done with maximum efficiency and effectiveness

○

Capital□

Land□

Labor□

The most competivie firms succeed by controlling factors of production:

In the past:○

Knowledge•

Data allows information

Information with analysis

Asking questions□

Directing observations□

Query

Scientific facts about some phenomena□

Data

Interpreting data to draw conclusions□

Info:

Analysis Framework

Ability to accomplish some task.□

Knowledge

Knowledge helps future query

Query results in data○

Begins with query•

The people, equipment and procedures to gather, sort, anazlys, evaluate and distribute needed

○

Management (marketing information system)•

Four components of a Marketing information system•

Class SevenTuesday, January 28, 20142:31 PM

Lectures

Knowledge management (Secondary Data)○

Marketing Intelligence (Secondary Data and Primary Data)○

Marketing Research (Situational collection of information with a specific purpose in mind)○

Decision support system ○

Four components of a Marketing information system•

Continual collection of information for the sake of gathering information○

Marketing Intelligence•

Problem specific collection of information for the sake of reducing risk of a decision○

Marketing Research•

Lectures

class one - michigan state universityjensenra/marketing_exam_1.pdfcorporate vision the desired image...

Documents