Marketing Strategy

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Marketing Strategy, HBR Article

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Marketing Strategy

  1. 1. Strategies to Crack Well-Guarded Markets
  2. 2. Summary • Attack the enemy at its weakest points • Using combination of these strategies • Picking the right combination • Can we reconfigure the value chain? • Can we find a niche? • Can we leverage our assets and resources? – Technology, Countries, New Channels etc. • Creating Barriers for New Entrants Eg. JetBlue Live TV, Patents
  3. 3. Three Basic Strategies • Leverage existing assets to overcome entry barriers. – Zenith & AT&T, MVNO Concept (Telecom), Tata- Daewoo • Reconfiguring the value chain – Walmart, Dell Computers, Ebay, Amazon etc… • Creating a niche – High priced Nokia N-Series, Apple Iphone
  4. 4. • Premium Entertainment Group of ADA-Group. • Target - All the people who watch movies • Rent - Rs 299 per month (Security Fees-Rs 400) • Position with 'Ab aam zindagi ban jaye filmy’ • Media Campaign - TV, Radio & Print, Online medium-15 to 35 yrs • Competitors - Planet M, Local CD's & DVD's rental stores
  5. 5. • Availability -Ahmedabad, Bangalore, Chandigarh, Chennai, Delhi NCR, Hyderabad, Indore, Kolkata, Mumbai and Pune. • Tie Ups - Shemaroo, StarTV, Zoom, NDTV etc • Free delivery & pick-up system • Big screen in local areas. • Innovative, convenient and cost-effective entertainment
  6. 6. TVS SUZUKI • Suzuki wanted to enter in 2 & 3 wheeler segment. • Tie up with TVS in 1982. • Success of TVS SUZUKI 1. First Co. to launch 100cc bike 2. Market Share of 22% 3. Turnover around 1630 crores in 1999 - 2000
  7. 7. • Parle Agro launched Frooti in 1984 • Rs300 crore Tetrapak Fruit Juice (TFJ) market • First in India to come with Tetrapak, thus created a Niche • Leveraging Strong distribution network as an Asset • Market leader with 75% share.
  8. 8. • Once termed to be heading towards bankruptcy & a terminal debt trap • Downsizing, Outsourcing & Product Innovation were the strategies adapted. • Today its the 2nd largest profit making Organization. • Combination of leveraging existing assets and reconfiguring value chain
  9. 9. • In the year 1991, out the total revenues, 19% went into pensions of retired employees & 44% in staff wages. • DOWNSIZING: Did not directly bring the VRS & CRS schemes, instead did not fill the vacancies created after retirement of employees, 16.5lac workforce in 1991 was reduced to 14.1 lac in 2006 •
  10. 10. • PRODUCT INNOVATION: – Double stack container trains on some diesel tracks which carried 2500 tonnes instead of 1500 t – So, line capacity constraint reduced by half & also 7% savings on capital cost 25% savings on operating expenses • RISE IN FREIGHT REVENUE: Due to increasing demand, frieght on all goods was increased by 17%. • REDN IN PASSENGER FARES: 1st AC 24%, 2nd AC - 18%, 3rd AC- 40%, sleeper – 4%
  11. 11. Thank You

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