Selecting Marketing Strategies

Question 1

Deciding on a marketing strategy

Answer 1

1. Who should we compete with - firms in same market and similar products
2. Which segment should we target - known for growth + profitable
3. What should the business offer - better or at least similar to rivals
4. How should it compete and position itself against competitors - cost leadership e.g Asda

Question 2

Forming a market strategy

Answer 2

1. Set corporate objectives
2. Set marketing objectives
3. Analyse your strengths and weaknesses
4. Analyse the external environment
5. Produce a marketing strategy
6. Implement a marketing strategy
7. Review

Question 3

What determines a firms marketing strategy

Answer 3

1. What a firm is trying to achieve
2. What are the market opportunities
3. What are the firms strengths and key capabilities
4. What resources does the firm have

Question 4

Analysing the marketing strategy

Answer 4

1. Portor generic strategy
2. Loss cost v differentiation for large firms
3. Focus for small firms
4. Ansoff matrix
5. Market penetration
6. New product development
7. Market development
8. Diversification

Question 5

Why change a marketing strategy?

Answer 5

1. It may have changed its marketing objectives
2. Market conditions may have changed
3. Competitors actions
4. The firms own strengths
5. Poor performance
6. External influences

Question 6

Assessing a firms marketing strategy

Answer 6

1. Does it help a business to fulfil its marketing objectives
2. Does it do this using the firms resources And in a way which reflects the values of the brand and the organisation
3. Is it sustainable; can you protect what you have achieved or is it easy for others to imitate, forcing you to move on before you can fully real the gains of the strategy
4. Need to examine risk

Question 7

Why go overseas?

Answer 7

1. Saturation in the home market
2. Too much competition
3. Too much regulation
4. The benefits of particular market opportunities overseas

Question 8

Stages of entering an overseas market

Answer 8

1. Simple direct exporting
2. Find an agent
3. For a joint venture/alliance
4. Make take a foreign partner
5. Invest itself

Question 9

Overseas strategy

Answer 9

1. Globalisation - should we produce a standardised brand?

2. Localisation - should we go local and become a local brand?

Question 10

Evaluation

Answer 10

1. The marketing strategy is a long term plan designed to fulfil the marketing objectives and ultimately the corporate objectives
2. The selection of the marketing strategy will depend on factors such as external environment, the strengths of the business and competitors actions