Chapter 22: Putting it all together: The Strategic Marketing Process

-the measuring sticks used to determine whether the efforts are successful

-the key is to determine which kinds to use to determine success or failure.

-cover marketing activities from 2-5 years into the future.

-with the exception of firms in industries such as auto, steel, or forest products, marketing plans rarely go beyond 5 years into the future.

-usually developed by a marketing or product manager in a consumer products firm such as General Mills

-deal with marketing goals & strategies for a product, product line, or entire firm for a single year.

strategy that can be adopted by any firm, regardless of the product or industry involved, to achieve a competitive advantage.

-cost leadership strategy

-differentiation strategy

-cost focus strategy

-differentiation focus strategy

-competitive scope or the breadth of the target markets

-stress on cost versus product differentiation

-focuses reducing expenses & in turn, lowers product prices while targeting a broad array of market segments.

-Ex: Campbells soup's sophisticated product development & supply chain systems have led to huge cost savings.

products have significant points of difference in product offerings,brand image,higher quality,advanced tech,orsuperior services to charge a higher price while still targeting a broad array of target segments.

-Gen Mills stresses high nutrition

-involves controlling expenses & in turn, lowering product prices targeted at a narrow range of market segments.

-IKEA sells self assembly furniture to cost-conscious consumers

-requires products to have significant points of difference to target 1 or only few market segments

-average age of a toyota is 47, so Toyota visited with young people (needed) smaller cars & offered new smaller models for the narrow segment

-there is no magic formula to gaurentee effective implementation of marketing plans

-seems to be equal parts of good mgmt skills & practices.

-willing to cut the red tape & move the program forward. often has the uncanny ability to move back & forth between big picture strategy questions & specific details when situation calls for it.

-overcomes organizational hurdles

"the tendency to excessively analyze a problem instead of taking action.

-calls for "bias for action" mgmt experts recommend a "do it, fix it, try it" attitude.

-dont let the pursuit of perfection stand in the way of the very good..do something!

-have authority & responsibilty to issue orders to people who report to them

-directly involved in the daytoday operations of the organization, such as producing & selling a product or service.

-occupied by line personnel & line managers

have authority & responsibility to advise people in line positions but cannot issue direct orders to them.

-serve the organization by indirectly supporting line functions.

-consist of staff personell & staff managers.

-Ex: HR, custodial...

provide support, adivice, & knowledge to other individuals in the chain of command.

-although not apart of the chain of command related to direct production of products/services, they do have authority over personnel.