S2 - The Marketing process Flashcards
What is the company mission?
A mission statement is a concise explanation of the organization’s reason for existence. It describes the organization’s purpose and its overall intention (for employees, collaborators and customers)
What is the difference between a strategy and a tactic?
A strategy is a long-term vision of the means that will be used to achieve a final objective.
Ex.: “We will achieve our objective our increasing market share by offering lower cost products to the market”.
A tactic is an element used within the strategy to achieve the final objective.
Ex.: We will offshore manufacturing in order to produce lower cost products.
Describe the leader strategies.
- leaders occupy a dominant position in the market
- set the pace in the market and choose strategies
- strategies scale with strenght or competitive position and market dominance
Behaviour:
- defend/grow their market share
- try to grow the overall market
Describe the challengers strategies
- challengers actively and openly use offensive strategies to replace the leader
- they can choose to confront the leader directly (battle against its strenghts) or to exploit the leader’s weaknesses
Behavior:
- take advantage of the leader’s weaknesses
- battle the leader using the leader’s own methods
Describe the follower strategies
- followers are competitors with smaller market share who adopts the leaders strategies
- these strategies are aimed to retain market share (they do not want to upset the established order; often found in oligopolies)
- followers often include heavily-regulated industry brands, imitation brands and in-store brands.
Behavior:
- retain market share
- respond to leader actions to remain competitive
Describe the specialist/niche strategies
- specialist are companies that focus on distinctive market segments
- these companies are specialized and focused on building unique products and consumer bases
- specialization can be developed in many ways including the originality of the company’s product, the use of a different production technique from competitors, or an evolved production capacity
Behavior:
- serve a niche need that is not being met by others in the industry
- focus on a distinct market segment
What are the key questions to ask yourself when marketing a person, product or brand? How do we answer these questions?
Where are we and where are we going? -> situation analysis
Where do we want to go? -> business strategies
What can/should we invest in this? -> resource allocation
How do we want to get there? -> marketing strategy and mix
How do we do it? -> implementation
How do we know if we’re going in the right direction? -> control and measurement
What do we analyse in the situational analysis?
Markets: consumers or organizational customers, demand and segments
Competition and Environment
Company (mission, SWOT, distinct advantage)
What kind of objectives can we set?
Marketing objectives
- sales, market share, profits
- are there newer marketing metrics worth observing? (impressions, clicks, likes, shares, etc.)
What do we plan in resource allocation?
Budget, human resources, technical resources
Give some examples of marketing strategy
Targeting
Positioning
Differentiation
Innovation
What are the different elements of the marketing mix?
Product
Price
Place
Promotion (communication and sales)
Customer service
Describe the implementation process.
Statement of activities for each of the marketing mix variables
Responsabilities (units, teams, members)
Coordinating operations
Schedule/Calendar of Activities
Implementation and Behavioural Science
Describe the step of control.
“Measurement and Performance Assessment”
Description of the means of control (metrics)
Scorecard (measurement)
Contingency Planning (what to do)
