W2 Lecture 1 Flashcards
Historical definition of Marketing development from
Production to Distribution to Sales to Customer to Services to Co-Creation and Experience
5 orientations:
Production era: produce a good product => pp run to your door
Sales era: door to door salesman trying to make sales. (Going out and trying to sell your product)
Marketing era: 1960s, 1970s: sales n production is not enough, we need a marketing department
Market era: PP realize that having a department n a marketing manager is not enough, it has to being oriented by the market: customers n competitors
Social era: We r at the moment: Companies use marketing should use it in a sustainable way (social responsibilities)
Market vs Marketing vs Customer Orientation
Marketing orientation is the idea that you have focused on marketing department
Market: focus on the customers and competitors
Customer orientation: focus on customer (a part of market orientation)
What is Marketing Strategy and is it different from
a generic conceptualization of Strategy?
Strategy term first come from military planning, then appeared for the 1st time in the business literature by William Newman in 1952: a plan for achieving organizational goals.
Strategy n tactics:
Corporate strategy: overall directions in terms of its general attitude toward growth and the management of its various businesses and products lines to achieve a balanced porfolio of products and services.
Business strategy: developed at divisional level (strategic business units) in order to compete and cooperate)
Marketing Strategy is how do i get from point A to point B: designing a planning process, allocate the resources you have to reach the goal.
Corporate strategy is the overall strategy of the
Marketing creates marketing strategy n order to reach the corporate strategy.
Marketing Strategy Development
definition and nature, development and orientation.
Top level: core strategy is selected, identify objectives
2nd level: choose market segment n target, how to serve the target market better than the competitor
3rd level: design the 4Ps to put the strategy into practices. (Hooley et al., 2011)
Ward n Lewadowska (2008) customer-orientation suits turbulent business environment while competitor-orientation suits placid-clustered environment (this environment r seen favourable by firms so attract more competition).
Value-cocreation as marketing strategy orientation:
market as forum for firms n active customers to share, combine n renew each others’ resources n capabilities to create value. Role of customers: passive to active, unaware to informed, isolated to connected (Prahalad and Ramaswamy, 2004)
Why Digital? Do we need a different Digital Marketing Strategy or not?
Digital marketing is how we do marketing utilising digital methods
Marketing Strategy vs Digital Marketing Strategy.
Digital marketing: achieving marketing objectives through applying digital technologies and media.
What is marketing
- Philosophy of the market guidling an organizational overal activities, hold the key to achieve organizational goal.
- Managerial department
- Service dominant
CIM: marketing is the management process responsible for identifying, anticipating and satisfying customer requirements profitability.
Needs n Wants
Needs: super basic human REQUIREMENTS such as food, drink, shelter, clothing, …
Wants: specific products
Desires: Things you are
Marketing does not have the ability to create needs
Marketing is how we direct what pp want n desire in the final time => why brand is important
Where should Strategy originate from?
- RBV vs MBV
- SCA sustainable competitive advantage
- USP Unique Selling Proposition
Value in Exchange n Value in Use
Value in Use: The satisfaction which one obtains from the use of a commodity.
Value-in-exchange: the amount of goods and services which we may obtain in the market in exchange of a particular thing.
RBV resource-based view
a model that sees resources as key to superior firm performance. resources can be tangible or intangible
(focus on resources to match the market’s needs or wants) (resource is only valuable in relation to a market)
MBV market-based view
matching the market’s needs or wants first by adjusting the resources.
Thinking first
scanning the environment and identifying opportunities or problems that require a decision; Design involves developing multiple solutions and analyzing these alternatives; choice, or selection of an action, emerges from the rationale acquired from the process.
Seeing first
Insight is the outcome of a change in mental state from confusion to understanding through the “restructuring” (Dominowski & Dallob, 1996, p. 50) of one’s mental representation of a problem (Dominowski & Dallob, 1996). Insight is typically experienced as a sudden phenomenon because of the “abrupt transition from one problem representation [to another]” (Dominowski & Dallob, 1996, p. 52). However, these shifts may result from deliberate study of a problem - unlike intuition, which is distinctly characterized as a non-conscious process.
Intuition is a non-conscious process through which judgments arise from the rapid synthesis of environmental stimuli and one’s schema, or mental framework (Dane & Pratt, 2007). Dane and Pratt (2007) emphasize that intuiting is not learning, but rather the act of subconsciously accessing previously acquired knowledge. This understanding enables people to recognize patterns and therefore make “holistic associations” (Dane & Pratt, 2007, p. 37). Because of this immediate comprehension of a whole, intuition is faster than rational problem solving which involves analysis of parts of a system.
Doing first
Sensemaking is a social activity in which meaning, or understanding, is derived through cycles of interpretation and action. Weick, Sutcliffe and Obstfeld (2005) describe sensemaking as a continuous cycle between the activities of enactment, selection and retention through which communally held meaning emerges (p. 414). Enactment involves interpretation: noticing anomalies in patterns and organizing these observations into plausible relationships (Weick et al., 2005).
