Marketing Management...

Transcription

1 MARKET ATTRACTIVENESS Marketing Management Slides Strong BUSINESS STRENGHT Medium Weak High Joints Medium Low Hydraulic Pumps Clutches Flexible Diaphragms Aerospace Fittings Fuel Pumps Relief Valves (a) Classification Powered by All rights reserved.

2 Key Words... Market Structure Market Forces Marketing Concepts Customer Added Value Relationship Marketing Profitability Analysis Stakeholder Analysis Threat Matrix Value Creation Marketing Mix Hierarchy of Needs Demand Measurement Market Definition Segment Rivalry Target Market Product Development Demand-Life-Cycle Market- Space Diagram Marketing Strategies Market Entry Promotions Marketing Communication Service Quality Model 3 C s Model Hybrid Grid Distribution Management Consumer Brands Control Chart Model Multichannel Marketing Demand Elasticity Strategic Planning Gap AIDA Model

3 Markets and Structure of Flow Resources Money Resource markets Resources Money Taxes, goods Services, money Manufacturer markets Services, money Taxes, goods Government markets Taxes Services Consumer markets Services, money Taxes, goods Money Goods and services Middlemen markets Money Goods and services

4 Main Actors and Forces in the Market Environment Company (marketer) Suppliers Marketing intermediaries End user market Competitors

5 The Selling and Marketing Concepts Starting point Focus Means Ends Factory Products Selling and promoting Profits through sales volume (a) The selling concept Target market Customer needs Coordinated marketing Profits through customer satisfaction (b) The marketing concept

6 The Chart Company Organization

7 Marketing`s Role in the Company Production F i n a n c e Production F i n a n c e Personnel Marketing Marketing Personnel Marketing (a) Marketing as an equal function (b) Marketing as a more important function (c) Marketing as the major function Customer Customer (d) The customer as the controlling function (e) The customer as the controlling function and marketing as the integrative function

8 Determinants of Customer Added Value Product value Services value Personnel value Total customer value Image value Monetary price Customer delivered value Time cost Energy cost Total customer cost Psychic cost

9 The Generic Value Chain Firm infrastructure Human resources management Technology development Procurement Inbound logistics Operations Outbound logistics Marketing and sales Service Primary Activities

10 Levels of Relationship Marketing HIGH MARGIN MEDIUM MARGIN HIGH MARGIN Many customers / distributors Accountable Reactive Basic or reactive Medium number of customers / Proactive Accountable Reactive distributors Few customers / distributors Partnership Proactive Accountable

11 Customer/Product Profitability Analysis Customers C 1 C 2 C 3 P Highly profitable product Products P 2 P Profitable product Losing product P 4 + _ Mixed-bag product High profit customer Mixed-bag customer Losing customer

12 The Strategic Planning, Implementation and Control Process Planning Implementing Controlling Corporate planning Organizing Measuring results Division planning Business planning Implementing Diagnosing results Product planning Taking corrective action

13 Continuous improvements Breakthrough innovations Growth Profits Relationships Among Stakeholders Stockholder satisfaction Customer satisfaction Higher-quality products and services Higher-quality environment (employee satisfaction)

14 10 x 4 x 2 x 1.5 x 1 x 0.5 x 0.4 x 0.3 x 0.2 x 0.1 x Market Growth Rate The BCG Growth-Share Matrix 22% Stars Question Marks 20% 18% 16% 14% % 10% 8% 6% 5 Cash Cows Dogs 4% 2% Relative Market Share

15 MARKET ATTRACTIVENESS Market Attractiveness Portfolio Classification and Strategies I High Strong Hydraulic Pumps BUSINESS STRENGHT Medium Weak Joints Aerospace Fittings Invest / grow Selectivity / earnings Harvest / divest Medium 2.33 Clutches Flexible Diaphragms Fuel Pumps Low Relief Valves (a) Classification

16 MARKET ATTRACTIVENESS Market Attractiveness Portfolio Classification and Strategies II BUSINESS STRENGHT Strong Medium Weak High PROTECT POSITION invest to grow at maximum digestible rate concentrate effort on maintaining strength INVEST TO BUILD challenge for leadership build selectively on strengths reinforce vulnerable areas BUILD SELECTIVELY specialize around limited strengths seeks ways to overcome weaknesses withdraw if indications of sustainable growth are lacking Medium BUILD SELECTIVELY invest heavily in most attractive segments build up ability to counter competition emphasize profitability by raising productivity SELECTIVITY/MANAGE FOR EARNINGS protect existing program concentrate investments in segments where profitability is good and risks are relatively low LIMITED EXPANSION OR HARVEST look for ways to expand without risk; otherwise, minimize investment and rationalize operations Low PROTECT AND REFOCUS manage for current earnings concentrate on attractive segments MANAGE FOR EARNINGS protect position in most profitable segments upgrade product line DIVEST sell at time that will maximize cash value cut fixed costs and avoid investment meanwhile defend strengths minimize investment (b) Strategies

17 The Strategic-Planning Gap Sales Diversification growth Integrative growth Intensive growth Desired sales Strategicplanning gap Projected sales Time (years)

18 Ansoff s Product/Market Expansion Grid Current Products New Products Current Markets Market penetration strategy Product development strategy New Markets Market development strategy Diversification strategy

19 The Business Strategic-Planning Process External environment analysis Business mission Goal formulation Strategy formulation Program formulation Implementation Feedback and control Internal environment analysis

20 Attractiveness Opportunity Matrix High Success Probability Low Opportunities High Company develops a more powerful lighting system 2. Company develops a device for measuring the energy efficiency of any lighting system Low Company develops a device measuring illumination level 4. Company develops a software program to teach lighting fundamentals to TV studio personnel