1. Cherry-Ann L. Loterte
BSBA-MM 4
December 16, 2013
MM 11 7:31-8:31 MWF
1. How does marketing affect customer value?
By understanding what customers consider value. Therefore, measure Customer Value
Added (CVA)
By focusing on and improving on what is most important to the Customer from the CVA
study.
By making other Customer facing/back office departments improve
By converting call centers to Action centers
By making processes Customer friendly.
By making the convenience of the company subservient to the convenience of the
Customer.
2. How is strategic planning carried out at different levels of organization?
MANAGEMENT LEVELS
Managers are organizational members who are responsible for the work performance of other
organizational members. Managers have formal authority to use organizational resources and
to make decisions. In organizations, there are typically three levels of management: top-level,
middle-level, and first-level. These three main levels of managers form a hierarchy, in which
they are ranked in order of importance. In most organizations, the number of managers at each

2. level is such that the hierarchy resembles a pyramid, with many more first-level managers,
fewer middle managers, and the fewest managers at the top level. Each of these management
levels is described below in terms of their possible job titles and their primary responsibilities
and the paths taken to hold these positions. Additionally, there are differences across the
management levels as to what types of management tasks each does and the roles that they
take in their jobs. Finally, there are a number of changes that are occurring in many
organizations that are changing the management hierarchies in them, such as the increasing
use of teams, the prevalence of outsourcing, and the flattening of organizational structures.
TOP-LEVEL MANAGERS
Top-level managers, or top managers, are also called senior management or executives. These
individuals are at the top one or two levels in an organization, and hold titles such as: Chief
Executive Officer (CEO), Chief Financial Officer (CFO), Chief Operational Officer (COO), Chief
Information Officer (CIO), and Chairperson of the Board, President, Vice president, and
corporate head.
Often, a set of these managers will constitute the top management team, which is composed of
the CEO, the COO, and other department heads. Top-level managers make decisions affecting
the entirety of the firm. Top managers do not direct the day-to-day activities of the firm; rather,
they set goals for the organization and direct the company to achieve them. Top managers are
ultimately responsible for the performance of the organization, and often, these managers
have very visible jobs.
Top managers in most organizations have a great deal of managerial experience and have
moved up through the ranks of management within the company or in another firm. An
exception to this is a top manager who is also an entrepreneur; such an individual may start a
small company and manage it until it grows enough to support several levels of management.
Many top managers possess an advanced degree, such as a Masters in Business Administration,
but such a degree is not required.
Some CEOs are hired in from other top management positions in other companies. Conversely,
they may be promoted from within and groomed for top management with management
development activities, coaching, and mentoring. They may be tagged for promotion through
succession planning, which identifies high potential managers.
MIDDLE-LEVEL MANAGERS
Middle-level managers, or middle managers, are those in the levels below top managers.
Middle managers' job titles include: General Manager, Plant manager, Regional manager, and
Divisional manager.
Middle-level managers are responsible for carrying out the goals set by top management. They
do so by setting goals for their departments and other business units. Middle managers can

3. motivate and assist first-line managers to achieve business objectives. Middle managers may
also communicate upward, by offering suggestions and feedback to top managers. Because
middle managers are more involved in the day-to-day workings of a company, they may provide
valuable information to top managers to help improve the organization's bottom line.
Jobs in middle management vary widely in terms of responsibility and salary. Depending on the
size of the company and the number of middle-level managers in the firm, middle managers
may supervise only a small group of employees, or they may manage very large groups, such as
an entire business location. Middle managers may be employees who were promoted from
first-level manager positions within the organization, or they may have been hired from outside
the firm. Some middle managers may have aspirations to hold positions in top management in
the future.
LOWER-LEVEL MANAGERS
Lower-level managers are also called first-line managers or supervisors. These managers have
job titles such as: Office manager, Shift supervisor, Department manager, Foreperson, Crew
leader, Store manager.
Lower-line managers are responsible for the daily management of line workers—the employees
who actually produce the product or offer the service. There are first-line managers in every
work unit in the organization. Although first-level managers typically do not set goals for the
organization, they have a very strong influence on the company. These are the managers that
most employees interact with on a daily basis, and if the managers perform poorly, employees
may also perform poorly, may lack motivation, or may leave the company.
In the past, most first-line managers were employees who were promoted from line positions
(such as production or clerical jobs). Rarely did these employees have formal education beyond
the high school level. However, many first-line managers are now graduates of a trade school,
or have a two-year associates or a four-year bachelor's degree from college.
3. What does a marketing plan include?
Market Research
Collect, organizes, and writes down data about the market that is currently buying the
product(s) or service(s) you will sell. Some areas to consider:
Market dynamics, patterns including seasonality
Customers - demographics, market segment, target markets, needs, buying decisions
Product - what's out there now, what's the competition offering
Current sales in the industry
Benchmarks in the industry
Suppliers - vendors that you will need to rely on

4. Target Market
Find niche or target markets for your product and describe them.
Product
Describe your product. How does your product relate to the market? What does your
market need, what do they currently use, and what do they need above and beyond
current use?
Competition
Describe your competition. Develop your "unique selling proposition." What makes
you stand apart from your competition? What is your competition doing about
branding?
Mission Statement
Write a few sentences that state:
"Key market" - who you're selling to
"Contribution" - what you're selling
"Distinction" - your unique selling proposition
Market Strategies
Write down the marketing and promotion strategies that you want to use or at least
consider using. Strategies to consider:
Networking - go where your market is
Direct marketing - sales letters, brochures, flyers
Advertising - print media, directories
Training programs - to increase awareness
Write articles, give advice, become known as an expert
Direct/personal selling
Publicity/press releases
Trade shows
Web site
Pricing, Positioning and Branding
From the information you've collected, establish strategies for determining the price
of your product, where your product will be positioned in the market and how you will
achieve brand awareness.
Budget
Budget your dollars. What strategies can you afford? What can you do in house, what
do you need to outsource.
Marketing Goals
Establish quantifiable marketing goals. This means goals that you can turn into
numbers. For instance, your goals might be to gain at least 30 new clients or to sell 10
products per week, or to increase your income by 30% this year. Your goals might
include sales, profits, or customer's satisfaction.

5. Monitor Your Results
Test and analyze. Identify the strategies that are working.
Survey customers
Track sales, leads, visitors to your web site, percent of sales to impressions
By researching your markets, your competition, and determining your unique positioning, you
are in a much better position to promote and sell your product or service. By establishing goals
for your marketing campaign, you can better understand whether or not your efforts are
generating results through ongoing review and evaluation of results.
As mentioned earlier in this article, be sure to use your plan as a living document. Successful
marketers continually review the status of their campaigns against their set objectives. This
ensures ongoing improvements to your marketing initiatives and helps with future planning.
4. Define the following terms:
Customer value is the benefit that a customer will get from a product or service in
comparison with its cost. This benefit might be measured in monetary terms, such as
when a product helps save the customer money that would have been spent on
something else. A benefit also can be difficult to quantify, such as the enjoyment that a
customer receives from a product or service. The term "customer value" should not be
confused with the value of customers to businesses. It refers to the value that the
customers receive, not to how valuable customers are.
Value Chain-A high-level model of how businesses receive raw materials as input, add
value to the raw materials through various processes, and sell finished products to
customers.
Core Competencies-The main strengths or strategic advantages of a business. Core
competencies are the combination of pooled knowledge and technical capacities that
allow a business to be competitive in the marketplace. Theoretically, a core competency
should allow a company to expand into new end markets as well as provide a significant
benefit to customers. It should also be hard for competitors to replicate.
Holistic Marketing Orientation-A marketing strategy that is developed by thinking about
the business as a whole, its place in the broader economy and society, and in the lives of
its customers. It attempts to develop and maintain multiple perspectives on the
company’s commercial activities.
Corporate Mission-is the whole of the main idea, corporate purpose and drivers behind a
corporation, which sends the company, it's executives and employees along its way in a
particular direction.
Mission statement - A written declaration of an organization's core purpose and focus
that normally remains unchanged over time. Properly crafted mission statements (1)
serve as filters to separate what is important from what is not, (2) clearly state which
markets will be served and how, and (3) communicate a sense of intended direction to

6. the entire organization. A mission is different from a vision in that the former is the cause
and the latter is the effect; a mission is something to be accomplished whereas a vision is
something to be pursued for that accomplishment. Also called company mission,
corporate mission, or corporate purpose.
Organizational culture-the values and behaviors that contribute to the unique social and
psychological environment of an organization. Organizational culture includes an
organization's expectations, experiences, philosophy, and values that hold it together,
and is expressed in its self-image, inner workings, interactions with the outside world,
and future expectations. It is based on shared attitudes, beliefs, customs, and written
and unwritten rules that have been developed over time and are considered valid. Also
called corporate culture, it's shown in
(1) the ways the organization conducts its business, treats its employees, customers, and
the wider community,
(2) the extent to which freedom is allowed in decision making, developing new ideas, and
personal expression,
(3) how power and information flow through its hierarchy, and
(4) how committed employees are towards collective objectives.
It affects the organization's productivity and performance, and provides guidelines on customer
care and service, product quality and safety, attendance and punctuality, and concern for the
environment. It also extends to production-methods, marketing and advertising practices, and
to new product creation. Organizational culture is unique for every organization and one of the
hardest things to change.
Corporate Culture-The beliefs and behaviors that determine how a company's
employees and management interact and handle outside business transactions. Often,
corporate culture is implied, not expressly defined, and develops organically over time
from the cumulative traits of the people the company hires. A company's culture will be
reflected in its dress code, business hours, office setup, employee benefits, turnover,
hiring decisions, and treatment of clients, client satisfaction and every other aspect of
operations.
Marketing plan-Product specific, market specific, or company-wide plan that describes
activities involved in achieving specific marketing objectives within a set timeframe. A
market plan begins with the identification (through market research) of specific customer
needs and how the firm intends to fulfill them while generating an acceptable level of
return. It generally includes analysis of the current market situation (opportunities and
trends) and detailed action programs, budgets, sales forecasts, strategies, and projected
(proforma) financial statements. See also marketing strategy.
Marketing strategy-An organization's strategy that combines all of its marketing goals
into one comprehensive plan. A good marketing strategy should be drawn from market
research and focus on the right product mix in order to achieve the maximum profit
potential and sustain the business. The marketing strategy is the foundation of a
marketing plan.

7. 5. Give the Strategic Planning Process.