Overview of Strategic Management, Corporate Strategic Planning, Marketing Audit, Strategic Business Unit, Corporate Mission, Organizational Marketing Level and Role of Strategic Planning
Support presentation to the SPIN-UP Training Programme on Entrepreneurial Skills for University Spin-Offs.
SPIN-UP is a cooperation project supported by the European Commission that aims to create an Entrepreneurship Training and Coaching Programme that contributes to the development of Key Entrepreneurial Skills, both technical and behavioural, essential to enable and leverage University Spin-Offs growth.
Download and have access to other training materials in www.spin-up.eu
Support presentation to the SPIN-UP Training Programme on Entrepreneurial Skills for University Spin-Offs.
SPIN-UP is a cooperation project supported by the European Commission that aims to create an Entrepreneurship Training and Coaching Programme that contributes to the development of Key Entrepreneurial Skills, both technical and behavioural, essential to enable and leverage University Spin-Offs growth.
Download and have access to other training materials in www.spin-up.eu
Marketing represents the boundary between the marketplace and the company, and knowledge of current & emerging happenings in the marketplace is extremely important in any strategic planning exercise.
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3. Strategic Planning
It is the managerial process of
developing and maintaining a strategic
fit between the organization's
objectives and resources and its
changing market opportunities.
5. Sun Tzu on Strategy
“Know your enemy, know yourself, and your
victory will not be threatened. Know the
terrain, know the weather, and your victory
will be complete.”
7. Corporate Mission
Broad purposes of the organization
General criteria for assessing the long-
term organizational effectiveness
Driven by heritage & environment
Mission statements are increasingly
being developed at the SBU level as well
8. Examples of Corporate Mission
SINGAPORE AIRLINES is engaged in air
transportation and related businesses. It
operates world-wide as the flag carrier of
the Republic of Singapore, aiming to provide
services of the highest quality at reasonable
prices for customers and a profit for the
company
9. Corporate Culture
The most abstract level of managerial
thinking
How do you define culture?
What is the significance of culture to
an organization?
How does marketing affect culture in
the organization?
10. Corporate Objectives & Goals
Not quantified and not limited to a time
period
E.g. increasing the return on shareholders’
equity
A goal is a measurable objective of the
business
Attainable at some specific future date through
planned actions
E.g. 10% growth in the next two years
An objective is a long-range purpose
11. What is a Strategic Business Unit?
A set of products or product lines
With clear independence from
other products or product lines
for which a business or marketing
strategy should be designed
12. th
Characteristics of a viable SBU
Definable set of competitors
Integrative planning done independently
Large enough but not so large as to
become bureaucratic
Unique business mission
Responsible for resource management
in all areas
13. Organizational Marketing Levels
Hofer and Schendel suggested that
organizations develop strategies at three
structural levels:
Corporate level—(corporate marketing)
SBU level—(Strategic Marketing)
Product/Market level—(Functional
Marketing)
14. Marketing at the SBU Level
Strategic Marketing
Strategic Marketing requires
Detailed understanding of market needs,
and
Proactive use of competitive intelligence
at the corporate as well as SBU’s levels
Strategic Marketing
Focuses on what the firm do best at
the SBU level
To secure and maintain a
sustainable competitive advantage
15. What is Competitive Advantage?
“Competitive advantage is a company’s
ability to perform in one or more ways
that competitors cannot or will not
match.” Philip Kotler
“If you don’t have a competitive
advantage, don’t compete.”Jack Welch, GE
16. Characteristics of Competitive Advantage
Substantiality
Is it substantial enough to make a difference?
Sustainability
Can it be neutralized by competitors quickly?
Ability to be leveraged into visible business
attributes that will influence customers
17. Seeking Competitive Advantages
Positions of advantage
Superior customer
value
Performance advantages
Customer satisfaction, Loyalty, Market Share,
Profit
Sources of advantages
Superior skills & knowledge,
Superior resources, Superior
business process
Lower relative total cost
18. Key Elements of Marketing
Strategy Formulation
The strategic 3 Cs
Customers, Competitors & the
Corporation
Strategic Marketing
Decisions
Where to compete
How to compete
When to compete
Environment analysis -- PEST
19. A Viable Marketing Strategy
Must have a clearly defined market
Must have a good match between
corporate strengths and market needs
Must have significant positive
differentiation in the key success
factors of the business
20. Situation Analysis
Internal Analysis—company; capability etc.
External Analysis—customers, market definition,
industry structure
SWOT Analysis Strengths, Weaknesses,
Opportunities & Threats
Identify & prioritize major problems
and opportunities: selection of key
issues
Based on the firm’s core competencies,
decide on future options
21. Marketing Audit
“Marketing audit is a comprehensive,
systematic, independent, and periodic
examination of a company’s—or business
unit’s—marketing environment, objectives,
strategies, and activities with a view to
determining problem areas and
opportunities and recommending a plan of
action to improve the company’s marketing
performance”
Philip Kotler
22. Characteristics of Marketing Audit
It is a Comprehensive Study of all Marketing
Activities of a Company
It is a Periodic Activity and must be conducted
regularly
It is a Systametic Process that follows a step by step
process
It is conducted by a Independent Person who is not
from company
23. Characteristics of Marketing Audit
It is a Critical Review of Marketing Activities of the
Company
It finds out Marketing Opportunities and
Weaknesses of the Company
It is an Evaluation of Marketing Activities of the
Company
It is a Preventive and Curative Marketing Medicine
24. Marketing Audit Procedure
Marketing environment
audit
Marketing strategy
audit
Marketing organization
audit
Marketing system
audit
Marketing productivity
audit
Marketing function
audit
Marketing excellence
review
Ethical and social
responsibility review