Marketing as per Peter Drucker – the aim of marketing is to know and understand the customer so well that the product or service fits him and sells itself.
Chartered institute of marketing– marketing as the process of discovering, expecting and suiting the customer needs and at the same time making profits.
In Greek – strategos means to lead.
To be successful in business an organization should plan to utilize available resource.
Strategy helps organization to realize its mission and be successful.
To achieve long term goals….
Good Strategy ……
What needs to be achieved?
What it needs to be achieved?
How it needs to be achieved?
Business to develop.
Sustain its competitive advantage.
Build brand image.
Define market position.
Strategy………. In Business
What to do..
What not to do…
Who the customers are…
What requirement of theirs to be met…
At what price…
Scope --- Type of businesses , Industries, market segments (company operates or plans to)..
Goals --- Specific goals and objectives of the organization.
Resource allocation --- Human & Financial.
Optimal utilization of available resources.
Sustainable competitive advantage --- comes from strength & core competence of organization.
Synergy --- Combined effort of various group working together.
Components of Strategy….
Focuses on product or market.
Focuses on functional unit, department, or process within the business.
Functional level strategy.
Strategic management & Marketing strategy Strategic Marketing Marketing Strategy It is the formulation of a strategy taking into consideration the constantly evolving trends in business environment by giving customer satisfaction at most importance. It is analysis, development, implementation of selected market target strategy for the product markets in which the organization has interest. It involves monitoring the environment constantly to identify the changes and to modify the strategy accordingly. It involves implementation and managing the marketing strategy that have been formulated to meet the marketing objectives and customer needs. It focuses on the performance of the organization as a whole. It focuses on the performance of a product / service in the target market. It views marketing as a key activity of the entire business rather than the specialized function. It combines the customer- influencing strategies with market focused activates to gain competitive advantage in the industry. It has a boarder perspective, i.e. it is concerned with the changing trends in business, changes in the customer needs and customer satisfaction. It has a narrow perspective : Concerned with the customer , organization boundaries, market and competitors. It is about how to do . I t is about what to do.
Competitive strategy refers to how a company competes in a particular business.
Competitive strategy is concerned with how a company can gain a competitive advantage through a distinctive way of competing.
Sustainable competitive advantage is the focal point of your corporate strategy . It allows the maintenance and improvement of your enterprise's competitive position in the market.
It is an advantage that enables business to survive against its competition over a long period of time.
Competitive Advantage of Corporate ………..
Hilton & Marriott
La Quinta Motor inns
Marketing strategy & competitive advantage -- CS
Success in business depends on VISION & Competitive advantage.
Vision vs. Mission
Vision –where the co. expects to be in future.
Mission –Basic purpose for which the co. is in business.
Marketing strategy & Competitive advantage….
Business can achieve comp. Advantage by..
Focus on customers..
Analysis of requirements of buyers..
Identify gaps in service provided by the competitor product/ service..
Identifying unmet requirements.. To find opportunities..
Customer satisfaction analysis..
Competence is the ability to perform a specific task, action or function successfully.
Success of an organization lies in identifying its ability to identify, develop, and take advantage of its core competences..
Provide access to wide variety of market.
Contributes by providing benefits which are perceived important by customer.
Difficult for competitors to imitate.
Core Competence advantage..
The link between the core competences and final product is CORE PRODUCT.
Honda Engines -- CS
Core Competence Area of expertise Core Competence Company Engines Efficiency & Performance Honda R & D Research Merck.co