This document discusses strategic planning and strategy formulation. It begins by defining strategy as making choices about how to compete and committing to specific actions. It then discusses how a company's strategy determines how it will grow, build loyalty, outcompete rivals, and operate each business function.
The document outlines Porter's five forces model for analyzing an industry's structure and competitive environment. It examines the power of buyers, suppliers, rivals, new entrants, and substitutes. For each force, it provides determinants to assess related to concentration, costs, product differentiation, and more. The goal is to evaluate threats and bargaining power within an industry.
Finally, it discusses the strategic planning process, including analyzing internal strengths/weak
MF Strategic Marketing strategy n strategic planning processFuNk IN
This document discusses strategic planning and strategy formulation. It begins by defining strategy as making choices about how to compete and committing to specific actions. It then discusses how a company's strategy determines how it will grow, build loyalty, outcompete rivals, and operate each business function.
The document outlines Porter's five forces model for analyzing an industry's structure and competitive environment. It examines the power of buyers, suppliers, rivals, new entrants, and substitutes. For each force, it provides determinants to assess related to concentration, costs, product differentiation, and more. The goal is to evaluate threats and bargaining power within an industry.
Finally, the document discusses the strategic planning process, including analyzing internal strengths/
MF strategic marketing slides competitive advantage MFFuNk IN
This document discusses corporate strategy components and issues, including scope, objectives, development strategy, resource allocation, and sources of synergy. It also covers competitive advantage, defining it as creating value for customers that exceeds a firm's costs. Firms can achieve competitive advantage through cost leadership or differentiation. The value chain is discussed as analyzing where value is added across a firm's activities from raw materials to final consumers. Core competencies, which provide competitive advantage, are expertise in areas that can be applied widely and are difficult for competitors to imitate.
The document outlines the course outline for a strategic management course taught by Prof. Dr. Lütfiha Alpkan. The course is divided into 4 parts covering topics such as competitive analysis, SWOT analysis, strategy choice, and global competition. It includes 15 class sessions from September to December, covering various chapters and concepts through teaching plans and learning objectives. Key strategic management concepts like vision, mission, strategic goals and performance criteria are also defined in brief summaries.
Developing competitive advantage and strategic focusAshraf Hlouh
The document discusses SWOT analysis and its application in marketing strategy. It defines SWOT analysis and explains its key elements - strengths, weaknesses, opportunities, and threats. It also discusses how to conduct a SWOT analysis, including developing a SWOT matrix and examining internal/external factors from the customer's perspective. The document provides tips for making SWOT analysis more productive, such as focusing analysis on specific products/markets, collaborating across business functions, and separating internal vs. external issues. The overall goal of SWOT analysis is to help identify competitive advantages and inform the strategic focus of a company's marketing efforts.
This document outlines strategies for sales and pricing. It discusses the differences between marketing and selling, how products impact the sales process, and factors to consider like distribution channels, sales approaches, and motivating buyers and resellers. Pricing strategies like skimming, penetration, and premium pricing are covered. The document also explains how channels can affect pricing margins and gives examples of pricing tactics and psychological effects.
Porter’s five forces and generic strategiesRohit Dobaria
The document discusses Porter's Five Forces model and generic strategies. Porter's Five Forces model identifies 5 competitive forces that shape industry profitability: 1) bargaining power of suppliers, 2) bargaining power of customers, 3) threat of new entrants, 4) threat of substitutes, and 5) competitive rivalry. The generic strategies are cost leadership, differentiation, and focus. Cost leadership involves having the lowest costs to gain advantage, while differentiation uses unique value to charge higher prices. The focus strategy targets a specific group.
The document discusses strategic positioning for companies. It covers topics like market positioning, differentiation, target segments, positioning strategies for different sectors, competitive landscape analysis, and product positioning maps. Specific strategies discussed include benefit, surrogate, corporate identity, category, user, application, quality/price, and attribute-based positioning. Metrics like competitive advantage, company standing, and ability to improve standing are evaluated for recommended strategic actions.
MF Strategic Marketing strategy n strategic planning processFuNk IN
This document discusses strategic planning and strategy formulation. It begins by defining strategy as making choices about how to compete and committing to specific actions. It then discusses how a company's strategy determines how it will grow, build loyalty, outcompete rivals, and operate each business function.
The document outlines Porter's five forces model for analyzing an industry's structure and competitive environment. It examines the power of buyers, suppliers, rivals, new entrants, and substitutes. For each force, it provides determinants to assess related to concentration, costs, product differentiation, and more. The goal is to evaluate threats and bargaining power within an industry.
Finally, the document discusses the strategic planning process, including analyzing internal strengths/
MF strategic marketing slides competitive advantage MFFuNk IN
This document discusses corporate strategy components and issues, including scope, objectives, development strategy, resource allocation, and sources of synergy. It also covers competitive advantage, defining it as creating value for customers that exceeds a firm's costs. Firms can achieve competitive advantage through cost leadership or differentiation. The value chain is discussed as analyzing where value is added across a firm's activities from raw materials to final consumers. Core competencies, which provide competitive advantage, are expertise in areas that can be applied widely and are difficult for competitors to imitate.
The document outlines the course outline for a strategic management course taught by Prof. Dr. Lütfiha Alpkan. The course is divided into 4 parts covering topics such as competitive analysis, SWOT analysis, strategy choice, and global competition. It includes 15 class sessions from September to December, covering various chapters and concepts through teaching plans and learning objectives. Key strategic management concepts like vision, mission, strategic goals and performance criteria are also defined in brief summaries.
Developing competitive advantage and strategic focusAshraf Hlouh
The document discusses SWOT analysis and its application in marketing strategy. It defines SWOT analysis and explains its key elements - strengths, weaknesses, opportunities, and threats. It also discusses how to conduct a SWOT analysis, including developing a SWOT matrix and examining internal/external factors from the customer's perspective. The document provides tips for making SWOT analysis more productive, such as focusing analysis on specific products/markets, collaborating across business functions, and separating internal vs. external issues. The overall goal of SWOT analysis is to help identify competitive advantages and inform the strategic focus of a company's marketing efforts.
This document outlines strategies for sales and pricing. It discusses the differences between marketing and selling, how products impact the sales process, and factors to consider like distribution channels, sales approaches, and motivating buyers and resellers. Pricing strategies like skimming, penetration, and premium pricing are covered. The document also explains how channels can affect pricing margins and gives examples of pricing tactics and psychological effects.
Porter’s five forces and generic strategiesRohit Dobaria
The document discusses Porter's Five Forces model and generic strategies. Porter's Five Forces model identifies 5 competitive forces that shape industry profitability: 1) bargaining power of suppliers, 2) bargaining power of customers, 3) threat of new entrants, 4) threat of substitutes, and 5) competitive rivalry. The generic strategies are cost leadership, differentiation, and focus. Cost leadership involves having the lowest costs to gain advantage, while differentiation uses unique value to charge higher prices. The focus strategy targets a specific group.
The document discusses strategic positioning for companies. It covers topics like market positioning, differentiation, target segments, positioning strategies for different sectors, competitive landscape analysis, and product positioning maps. Specific strategies discussed include benefit, surrogate, corporate identity, category, user, application, quality/price, and attribute-based positioning. Metrics like competitive advantage, company standing, and ability to improve standing are evaluated for recommended strategic actions.
This document discusses ways for retailers to build a sustainable competitive advantage. It identifies several elements that are less sustainable, such as location, human resource management, distribution systems, merchandise, vendor relations, and customer service. More sustainable advantages include developing strong brand image and emotional customer connections, exclusive private label brands, coordination with vendors, and knowledgeable employees providing excellent long-term customer service. Retailers need multiple approaches combined to build a high wall around their market position and sustain competitive advantage over time.
The document discusses building a customer-focused organization and how customer satisfaction drives profits. It provides strategies for understanding customer needs through voice of the customer programs, measuring customer performance metrics, training employees, and handling complaints to increase customer retention and loyalty. Customer relationship management programs use customer databases and data mining to personalize interactions and improve relationships over time. While requiring significant investment, CRM can provide a competitive advantage when properly implemented based on a customer strategy.
The document discusses the importance of understanding competitors and customers through competitor analysis. It outlines the steps in analyzing competitors, including identifying competitors, assessing their objectives and strengths/weaknesses, and selecting which to attack or avoid. It also discusses different competitive strategies like overall cost leadership, differentiation, and focus. Companies must balance being customer-centered and competitor-centered to become truly market-centered.
This document outlines key elements of developing an effective retail strategy, including: conducting a situation analysis using tools like PEST, SWOT, and Porter's Five Forces; defining the target market and retail format; identifying sources of competitive advantage; and considering growth strategies like market penetration, expansion, and international growth. An effective retail strategy provides thorough analysis, outlines goals, and allows differentiation from competitors through appealing product offerings.
There are several factors that companies consider when setting prices for their products and services. These include internal factors like costs, marketing objectives, and external factors like competition and demand. Dynamic pricing allows sellers to change prices depending on individual customers and market conditions using approaches like cost-plus, value-based, competition-based, and product line pricing. Companies also use promotional pricing strategies like discounts, allowances, and segmented pricing to attract customers.
The document discusses strategies for dealing with competition in the marketplace. It begins by defining different types of competitors and competitive strategies. It then discusses how to analyze competitors' strategies, objectives, strengths and weaknesses. It provides details on how market leaders can expand their total market share and defend their position. It also outlines strategies for market challengers to attack market leaders and for market followers and nichers to compete effectively.
The document provides an overview of key marketing concepts including definitions of marketing, needs and wants, products, markets, and the marketing mix. It discusses the marketing concept, relationship marketing, and different marketing strategies like Porter's generic strategies. Various frameworks for analyzing markets and customers are also introduced, such as PEST analysis, VALS system, and Maslow's hierarchy of needs.
Segmentation Targeting and Positioning are three of the most applied marketing techniques for dividing the market in order to focus marketing efforts more efficiently.
Brand valuation university of new hampshire nevium presentation 22 apr16Brian Buss
This document provides an overview of brand and intellectual property valuation. It discusses key concepts such as defining the purpose and assets being valued, forecasting future benefits, applying valuation approaches, and quantifying the economic benefits of intellectual property through tools like apportionment analysis and determining reasonable royalty rates. The goal is to translate the unique aspects of intellectual property into financial terms to understand their contribution to business value.
This document provides an overview of marketing management concepts from Versatile Business School in Chennai, India. It defines marketing and discusses the evolution of marketing approaches from production and sales to modern relationship marketing. It also explains key marketing mix elements of product, price, place, and promotion. Different pricing strategies and factors influencing pricing decisions are outlined. The document also discusses product differentiation and how companies can distinguish their products from competitors.
The document discusses various methods for valuing brands, including cost-based, income-based, and market-based approaches. It provides details on specific valuation techniques like book value, replacement cost, earnings capitalization, and relative valuation methods. Brand valuation considers factors like brand positioning, personality, and equity. As intangible assets become more important, managers will need systems to link brand management to long-term financial performance and value creation. Developing standardized economic approaches to brand valuation can provide important tools for management.
Applying Innovation Intelligence for Market Segmentation and TargetingArik Johnson
The document discusses applying innovation intelligence for market segmentation and targeting. It covers topics like understanding customer needs rather than wants, identifying non-customers, disruption theory, signals of change, and organizational reconnaissance to anticipate industry changes. Innovation types include business models, processes, products, and more. Framework areas discussed are risk, efficiency, customers, outlook, and novelty. Additional concepts covered are competitive benchmarking, growth vector analysis, and macro environmental analysis. The goal is to use intelligence approaches to minimize threats and maximize opportunities for strategic decision making.
"A strong market orientation does not occurs by mere proclamation. To attain a strong orientation, a business needs to adopt a market-based management philosophy. This means implementing a process for tracking market performance and restructuring an organization around market rather than products or factories and creating employee culture that is responsive to customers and changing market condition." -Robert J. Best
The document discusses strategy workshops and concepts related to developing business strategy. It covers:
- Business drivers which can help clarify strategy, communicate objectives, plan targets, and provide strategic feedback.
- Market position in terms of market share, and different challenges and strategies for market leaders, challengers, followers, and market penetrators.
- Estimating market share using four factors: market awareness, product acceptance, company ability, and competitive edge. Multiplying these factors provides an understanding of strengths and weaknesses.
This document discusses competitor analysis and provides guidance on analyzing competitors. It outlines four key stages: collecting information on competitors, converting information to intelligence, analyzing and interpreting the intelligence, and countering competitor actions. Various marketing strategies are discussed that can be used to minimize losses to competitors and gain market share, drawing parallels between business competition and military warfare strategies. The importance of ongoing competitor monitoring is emphasized to stay aware of their strengths, weaknesses, and potential moves.
This complete deck is oriented to make sure you do not lag in your presentations. Our creatively crafted slides come with apt research and planning. This exclusive deck with thirty slides is here to help you to strategize, plan, analyse, or segment the topic with clear understanding and apprehension. Utilize ready to use presentation slides on Brand Valuation PowerPoint Presentation Slides with all sorts of editable templates, charts and graphs, overviews, analysis templates. It is usable for marking important decisions and covering critical issues. Display and present all possible kinds of underlying nuances, progress factors for an all inclusive presentation for the teams. This presentation deck can be used by all professionals, managers, individuals, internal external teams involved in any company organization. http://bit.ly/2SabkMr
AMCA Lecture Three Competitive Marketing StrategyAMCAAdvisor
The document discusses competitive marketing strategy, outlining Porter's generic strategies model and Ansoff matrix model. It covers competitor analysis including identifying competitors, determining their objectives and strategies, assessing strengths and weaknesses, and selecting which to attack or avoid. The presentation also analyzes different competitive orientations and applications of strategic models in marketing.
The document discusses competitive advantage and competitor analysis. It provides objectives for understanding competitors and customers through analysis. It then discusses Intel as an example, focusing on how Intel's competitive strategy of superior value and product innovation has led to success. The document outlines steps for analyzing competitors, including identifying competitors, assessing their strategies, strengths/weaknesses, and selecting which to attack or avoid. It also discusses different competitive strategies firms can employ like overall cost leadership, differentiation, and focus.
This document discusses brand valuation and provides an overview of key concepts and models. It introduces the brand value chain which explains how brands create economic value by generating demand, continuity of demand, and mitigating risk. It also outlines several methods of brand valuation, highlighting the Interbrand model which combines income, market, and cost-based approaches. Examples are provided of top global brands from Interbrand's 2015 rankings as well as applications of brand valuation to mergers and acquisitions and evaluating individuals as brands.
This document provides notes on marketing strategy concepts from chapters 8-11 of a marketing textbook. It summarizes key points about innovation and new product development, brand management, value chain strategy, distribution channels, and pricing strategy. For each topic, it outlines important terminology and models to understand and highlights how these concepts relate to a marketing simulation.
Building Sales, Operations and Market Entry into the USA 03182015Stephen Davis
This is a presentation that I have given over the last few months to groups of companies from Switzerland, United Kingdom, Columbia and Mexico who are just scoping out how to Go-to-Market in the USA.
Customer Zoom: Value Stream Discovery and Market SegmentationBrant Cooper
How to discover your market segment and learn to provide value. 7 stages your customer goes through from becoming Aware to Passionate. Create hypotheses and test assumptions.
This document discusses ways for retailers to build a sustainable competitive advantage. It identifies several elements that are less sustainable, such as location, human resource management, distribution systems, merchandise, vendor relations, and customer service. More sustainable advantages include developing strong brand image and emotional customer connections, exclusive private label brands, coordination with vendors, and knowledgeable employees providing excellent long-term customer service. Retailers need multiple approaches combined to build a high wall around their market position and sustain competitive advantage over time.
The document discusses building a customer-focused organization and how customer satisfaction drives profits. It provides strategies for understanding customer needs through voice of the customer programs, measuring customer performance metrics, training employees, and handling complaints to increase customer retention and loyalty. Customer relationship management programs use customer databases and data mining to personalize interactions and improve relationships over time. While requiring significant investment, CRM can provide a competitive advantage when properly implemented based on a customer strategy.
The document discusses the importance of understanding competitors and customers through competitor analysis. It outlines the steps in analyzing competitors, including identifying competitors, assessing their objectives and strengths/weaknesses, and selecting which to attack or avoid. It also discusses different competitive strategies like overall cost leadership, differentiation, and focus. Companies must balance being customer-centered and competitor-centered to become truly market-centered.
This document outlines key elements of developing an effective retail strategy, including: conducting a situation analysis using tools like PEST, SWOT, and Porter's Five Forces; defining the target market and retail format; identifying sources of competitive advantage; and considering growth strategies like market penetration, expansion, and international growth. An effective retail strategy provides thorough analysis, outlines goals, and allows differentiation from competitors through appealing product offerings.
There are several factors that companies consider when setting prices for their products and services. These include internal factors like costs, marketing objectives, and external factors like competition and demand. Dynamic pricing allows sellers to change prices depending on individual customers and market conditions using approaches like cost-plus, value-based, competition-based, and product line pricing. Companies also use promotional pricing strategies like discounts, allowances, and segmented pricing to attract customers.
The document discusses strategies for dealing with competition in the marketplace. It begins by defining different types of competitors and competitive strategies. It then discusses how to analyze competitors' strategies, objectives, strengths and weaknesses. It provides details on how market leaders can expand their total market share and defend their position. It also outlines strategies for market challengers to attack market leaders and for market followers and nichers to compete effectively.
The document provides an overview of key marketing concepts including definitions of marketing, needs and wants, products, markets, and the marketing mix. It discusses the marketing concept, relationship marketing, and different marketing strategies like Porter's generic strategies. Various frameworks for analyzing markets and customers are also introduced, such as PEST analysis, VALS system, and Maslow's hierarchy of needs.
Segmentation Targeting and Positioning are three of the most applied marketing techniques for dividing the market in order to focus marketing efforts more efficiently.
Brand valuation university of new hampshire nevium presentation 22 apr16Brian Buss
This document provides an overview of brand and intellectual property valuation. It discusses key concepts such as defining the purpose and assets being valued, forecasting future benefits, applying valuation approaches, and quantifying the economic benefits of intellectual property through tools like apportionment analysis and determining reasonable royalty rates. The goal is to translate the unique aspects of intellectual property into financial terms to understand their contribution to business value.
This document provides an overview of marketing management concepts from Versatile Business School in Chennai, India. It defines marketing and discusses the evolution of marketing approaches from production and sales to modern relationship marketing. It also explains key marketing mix elements of product, price, place, and promotion. Different pricing strategies and factors influencing pricing decisions are outlined. The document also discusses product differentiation and how companies can distinguish their products from competitors.
The document discusses various methods for valuing brands, including cost-based, income-based, and market-based approaches. It provides details on specific valuation techniques like book value, replacement cost, earnings capitalization, and relative valuation methods. Brand valuation considers factors like brand positioning, personality, and equity. As intangible assets become more important, managers will need systems to link brand management to long-term financial performance and value creation. Developing standardized economic approaches to brand valuation can provide important tools for management.
Applying Innovation Intelligence for Market Segmentation and TargetingArik Johnson
The document discusses applying innovation intelligence for market segmentation and targeting. It covers topics like understanding customer needs rather than wants, identifying non-customers, disruption theory, signals of change, and organizational reconnaissance to anticipate industry changes. Innovation types include business models, processes, products, and more. Framework areas discussed are risk, efficiency, customers, outlook, and novelty. Additional concepts covered are competitive benchmarking, growth vector analysis, and macro environmental analysis. The goal is to use intelligence approaches to minimize threats and maximize opportunities for strategic decision making.
"A strong market orientation does not occurs by mere proclamation. To attain a strong orientation, a business needs to adopt a market-based management philosophy. This means implementing a process for tracking market performance and restructuring an organization around market rather than products or factories and creating employee culture that is responsive to customers and changing market condition." -Robert J. Best
The document discusses strategy workshops and concepts related to developing business strategy. It covers:
- Business drivers which can help clarify strategy, communicate objectives, plan targets, and provide strategic feedback.
- Market position in terms of market share, and different challenges and strategies for market leaders, challengers, followers, and market penetrators.
- Estimating market share using four factors: market awareness, product acceptance, company ability, and competitive edge. Multiplying these factors provides an understanding of strengths and weaknesses.
This document discusses competitor analysis and provides guidance on analyzing competitors. It outlines four key stages: collecting information on competitors, converting information to intelligence, analyzing and interpreting the intelligence, and countering competitor actions. Various marketing strategies are discussed that can be used to minimize losses to competitors and gain market share, drawing parallels between business competition and military warfare strategies. The importance of ongoing competitor monitoring is emphasized to stay aware of their strengths, weaknesses, and potential moves.
This complete deck is oriented to make sure you do not lag in your presentations. Our creatively crafted slides come with apt research and planning. This exclusive deck with thirty slides is here to help you to strategize, plan, analyse, or segment the topic with clear understanding and apprehension. Utilize ready to use presentation slides on Brand Valuation PowerPoint Presentation Slides with all sorts of editable templates, charts and graphs, overviews, analysis templates. It is usable for marking important decisions and covering critical issues. Display and present all possible kinds of underlying nuances, progress factors for an all inclusive presentation for the teams. This presentation deck can be used by all professionals, managers, individuals, internal external teams involved in any company organization. http://bit.ly/2SabkMr
AMCA Lecture Three Competitive Marketing StrategyAMCAAdvisor
The document discusses competitive marketing strategy, outlining Porter's generic strategies model and Ansoff matrix model. It covers competitor analysis including identifying competitors, determining their objectives and strategies, assessing strengths and weaknesses, and selecting which to attack or avoid. The presentation also analyzes different competitive orientations and applications of strategic models in marketing.
The document discusses competitive advantage and competitor analysis. It provides objectives for understanding competitors and customers through analysis. It then discusses Intel as an example, focusing on how Intel's competitive strategy of superior value and product innovation has led to success. The document outlines steps for analyzing competitors, including identifying competitors, assessing their strategies, strengths/weaknesses, and selecting which to attack or avoid. It also discusses different competitive strategies firms can employ like overall cost leadership, differentiation, and focus.
This document discusses brand valuation and provides an overview of key concepts and models. It introduces the brand value chain which explains how brands create economic value by generating demand, continuity of demand, and mitigating risk. It also outlines several methods of brand valuation, highlighting the Interbrand model which combines income, market, and cost-based approaches. Examples are provided of top global brands from Interbrand's 2015 rankings as well as applications of brand valuation to mergers and acquisitions and evaluating individuals as brands.
This document provides notes on marketing strategy concepts from chapters 8-11 of a marketing textbook. It summarizes key points about innovation and new product development, brand management, value chain strategy, distribution channels, and pricing strategy. For each topic, it outlines important terminology and models to understand and highlights how these concepts relate to a marketing simulation.
Building Sales, Operations and Market Entry into the USA 03182015Stephen Davis
This is a presentation that I have given over the last few months to groups of companies from Switzerland, United Kingdom, Columbia and Mexico who are just scoping out how to Go-to-Market in the USA.
Customer Zoom: Value Stream Discovery and Market SegmentationBrant Cooper
How to discover your market segment and learn to provide value. 7 stages your customer goes through from becoming Aware to Passionate. Create hypotheses and test assumptions.
I gave this talk at the Real Estate Connect conference on 7/10/13. This chronicles my lessons learned not applying lean startup principles on Garious.com as well as my lessons learned applying them (and helping others apply them) as an Innovation Catalyst inside Intuit.
Many start-ups have great ideas but struggle when it comes time to bring the product to market and have difficulty in selecting a market to focus on. Defining your optimal target market and identifying the ideal prospect will help you streamline the effectiveness of your marketing, shorten the sales cycle and close more business.
In this program we’ll cover:
• Comparing mass marketing to target marketing
• How segmentation can improve your market position
• Practical ideas to segment and prioritize market opportunities
• Developing detailed customer profiles that will improve sales
• Learn the stages of the customer buying process
• How incorporate target marketing into your overall strategy
Stephen N. Davis, Principal and Founder of The CXO Advisory Group (http://www.cxoadvisorygroup.com/about-us/Stephen-Davis.htm), advises businesses on how to optimize and improve operations, accelerate sales and profits, and seize the most attractive growth opportunities. Steve has worked with companies in North America, Europe and Asia to assist them in establishing US market operations, strategic alliances, joint ventures, business development and sales management. He has also assisted clients with due diligence and preparation for venture financing.
Identify your target market using social mediaAaron Eden
This document discusses identifying a target market using social media. It defines a target market as a group of customers a business aims its marketing efforts at. Good target markets are specific, while bad ones are too broad. Interviewing potential customers helps understand their problems and validate target market segments. The document provides examples of market segments and recommends interviewing existing customers and connections to find problems and ensure a good market fit.
MF Strategic Marketing Market segmentation, target market and positioningFuNk IN
This document discusses market segmentation, selecting target markets, and developing product positioning. It defines market segmentation as the process of dividing a market into distinct groups based on characteristics like demographics, needs, or buying behaviors. The key aspects are defining market scope, identifying segmentation bases, describing segments, analyzing their potential, and selecting target markets. Effective segmentation criteria include measurability, accessibility, substantialness, and durability of segments. The document also discusses developing positioning strategies to target segments through differentiation, concentration, or an undifferentiated approach.
Market sizing TAM SAM SOM Target MarketReza Hashemi
Startups need a clear understanding of their market segment and show know about SAM, TAM abd SOM. As a Mentor in StartupWeekend and NEXT program, I have noticed that many entrepreneurs are not familiar with these terms. Here’s a quick explanation of what they mean, as an addition to this useful slides (Copyright notes inside) :TAM is Your Total Available or Addressable Market (everyone you wish to reach with your product) , SAM is Your Segmented Addressable Market or Served Available Market (the portion of TAM you will target), SOM is Your Share of the Market (the subset of your SAM that you will realistically reach – particularly in the first few years of your business), SOM is known as Target Market in Steve Blanc Startup Manual.
Identifying your TAM, SAM and SOM requires some market research.
Info e tips about pitching, some questions that could be used as a track.
How to find the right market, possibly segmenting it with demographics and psychographics, considering country specific constraint (and issues related to export).
SWOT analysis for target market. How to narrow a market.
Business to business versus business to consumer markets.
This document discusses target markets and their importance for marketing. A target market is a specific group of consumers a company aims its products and services at. Determining a target market is important because it allows companies to better deliver products and services that are in demand. There are several factors to consider when identifying a target market, such as demographics, interests, needs, and location. Focus groups and product rollouts can help companies understand which aspects of products appeal most to different target markets.
This document provides an overview of a workshop aimed at helping salespeople become trusted advisors by building value propositions for customers. The workshop will help attendees understand customers' key business issues and drivers by asking impactful questions. It will teach how to focus on relevant business drivers and communicate the value of solutions. The agenda includes sessions on the evolution of selling, understanding business drivers, building elevator pitches and complex value propositions, and using creativity. The document discusses trends driving changes in business-to-business relationships and emphasizes the need for consultative, enterprise-level relationships over transactional ones.
This document discusses various business level strategies including Michael Porter's competitive strategies of cost leadership, differentiation, and focus. It defines each strategy and provides examples of how organizations can achieve them. Cost leadership involves reducing production costs below competitors through economies of scale, technology, and raw materials. Differentiation strategy makes a product unique through innovation, quality, reliability, and customization. Focus strategy targets a niche market segment through specialized products and marketing. The document also discusses Porter's five forces model of competition and how to analyze competitors and the external environment through SWOT and PESTLE analyses.
Marketing Power covers the secrets of successful people. Provides - Speeches for Coaches - Professional seminar presentation and workbook materials. Helps your clients build a personal plan to succeed in their goals. www.speechesforcoaches.com, Jon Newsome (770) 614-4146.
Strategy Development
Week 3
Objectives Week 3Develop strategic objectives.
Create organizational objectives and goals.
Articulate value proposition, key activities, resources, and channels to market.
Quote……
“Successful business strategy is about actively shaping the game you play, not just playing the game you find.”
Adam M. Brandenburger and Barry J. Nalebuff
Quote……
“The essence of strategy lies in creating tomorrow’s competitive advantage faster than competitors mimic the ones you posses today”
Gary Hamel and C.K. Prahalad
Quote……
“Competitive strategy is about being different. It means deliberately choosing to perform activities differently or to perform different activities than rivals to deliver a unique mix of value”.
—Michael E. Porter
Quote……
“Winners in business play rough and don’t apologize for it. The nicest part of playing hardball is watching your competitors squirm”
—George Stalk, Jr., and Rob Lachenauer”
Long-Term ObjectivesStrategic managers recognize that short-run profit maximization is rarely the best approach to achieving sustained corporate growth and profitability.Strategic decision makers confronts:
Should they eat the seeds to improve the near-term profit picture and make large dividend payments through cost-saving measures such as laying off workers during periods of slack demand, selling off inventories, or cutting back on research and development?
Or should they sow the seeds in the effort to reap long-term rewards by reinvesting profits in growth opportunities, committing resources to employee training, or increasing advertising expenditures?
Long-Term ObjectivesTo achieve long-term prosperity, strategic planners commonly establish long-term objectives in seven areas: Profitability Competitive PositionEmployee RelationsTechnological Leadership Productivity – In-OutEmployee DevelopmentPublic Responsibility
Qualities of Long-Term ObjectivesWhat distinguishes a good objective from a bad one? What qualities of an objective improve its chances of being attained?There are five criteria that should be used in preparing long-term objectives:
Flexible
Measurable
Motivating
Suitable
Understandable
The Balanced ScorecardThe balanced scorecard is a set of measures that are directly linked to the company’s strategy
Developed by Robert S. Kaplan and David P. Norton, it directs a company to link its own long-term strategy with tangible goals and actions.
The scorecard allows managers to evaluate the company from four perspectives:
financial performance
customer knowledge
internal business processes
learning and growth
The Balance Scorecard
The Balance Scorecard
The Balance ScorecardPerspectiveObjectiveKPIGoal for 2014FinanceBecome industry Cost Leader% Reduction in Cost per Unit20%Utilization of AssetsUtilization Rate7%Increase Market ShareMarket Share30%CustomerCustomer Retention% Retention 75%On Time Delivery% of On Time Delivery90%Zero Defects% of Good Quality.
Strategic management and competitive dynamics Hamzah Rehail
This document provides an overview of strategic management and competitive dynamics. It discusses the strategic management process, which includes strategy formulation, implementation, and evaluation. Key aspects of strategy formulation are analyzing external opportunities/threats and internal strengths/weaknesses, developing long-term objectives and strategies. Porter's Five Forces model is also summarized. The document then discusses competitive dynamics, including analyzing competitors, drivers of competitive actions, strategic vs. tactical moves, first and second movers, and how organizational size, reputation, and market cycles impact competitive behaviors.
This document discusses Porter's five forces industry analysis model. It provides information on each of the five forces: bargaining power of suppliers, bargaining power of buyers, threat of new entrants, threat of substitutes, and competitive rivalry within an industry. For each force, it outlines factors that influence whether the force is weak or strong and its impact on an industry. It also provides examples and perspectives on how each force could impact a small Indiana winery.
Strategic management lecture 2 discusses environmental analysis and the five forces model for analyzing an industry's competitive environment. The five forces include: (1) threat of new entry, (2) buyer power, (3) supplier power, (4) threat of substitutes, and (5) competitive rivalry. Firms can use this model to understand industry forces, identify strengths/weaknesses, and influence competitive strategy.
This document discusses analyzing a company's external environment and competitors. It describes performing a SWOT analysis to identify strengths, weaknesses, opportunities, and threats. It also explains Porter's Five Forces model to evaluate competitive pressures from new entrants, suppliers, buyers, substitutes, and rivalry. Competitor analysis involves understanding a competitor's assumptions, strategies, objectives, capabilities, and likely responses to changes in the competitive environment. The purpose is to develop strategies that leverage a company's advantages relative to competitors.
Crayon 7 Battlecard templates
Designed & Customizable for Any Business
Competitor battlecards are one of the more popular sales enablement materials businesses create today. Competitor battlecards provide an overview of a specific competitor’s company, products, and services and provide guidelines on how to win a deal against that competitor. The most effective battlecards are easy to consume, up-to-date with the latest competitive intelligence, and tailored to the sales process.
These templates have been crafted based on best practices gleaned from researching a variety of companies’ real life battlecards. They draw from the design, content structure, and formats that were most common among the battlecards reviewed. The goal with these templates is to make the process of creating effective battlecards easier, sharing the lessons from peers in the industry and providing a head start on creating the materials themselves, so that you can get straight down to helping your sales team win more competitive deals. Simply customize with your branding, competitors, and content, and share with your team!
You may also be interested in these related articles:
12 Types of Sales Enablement Materials to Win More Deals
6 Steps to Design a Successful Competitive Intelligence Process
Competitive Matrix Examples: 5 Ways to Compare Competitors
How to Eliminate Competitive Battlecard Bias to Help Sales Win More Deals
Produced by nearly two-thirds of competitive intelligence (CI) teams, battlecards are growing more popular by the day—and for good reason: A whopping 47% of sales opportunities are competitive.
What is a battlecard?
A battlecard is a resource designed to help your sales team when they go head-to-head against a particular competitor. As an example, if you were hired by Slack to create battlecards for their sales team, you’d create one for Microsoft Teams, one for Mattermost, one for Rocket.Chat, and so on.
How do you use battlecards?
Different sellers will use the same battlecard for different reasons. To a new hire, a battlecard is an educational tool—something they need to study in order to reinforce their training and get up to speed quickly. To a veteran, a battlecard is more of a content hub—a one-stop shop for the latest datasheets, slide decks, etc.
Because different sellers have different needs, some CI teams create multiple sales battlecards for each competitor. Returning to our Slack example, you may decide to create a Microsoft Teams battlecard for your BDRs (little detail, designed to make them better at cold calling) and another for your AEs (more detail, designed to make them better at running demos).
As we’ll discuss later in this post, you need to talk to your sales team before you create battlecards. Don’t assume that you know what they need. Everyone uses battlecards differently.
Competitive comparisons vs. battlecards
Competitive comparisons and battlecards are not the same thing—but they’re closely related.
The document discusses battlecard templates that can be used to create competitor profiles for sales teams, providing an overview of a competitor's company, products, strengths, weaknesses, and how to position one's own solution more effectively. It includes examples of different battlecard sections and formats that have been effective for other companies. The templates are meant to make the process of creating battlecards easier and provide best practices for competitive intelligence to help sales teams win more deals.
The document discusses analyzing a firm's external environment including the general environment, industry environment, and competitor environment. It describes the components of the general environment and how they can affect firm strategy. It also explains Michael Porter's five forces model for analyzing industry competition including the threat of new entrants, bargaining power of suppliers and buyers, threat of substitutes, and rivalry among existing competitors. Finally, it provides guidance on conducting a competitor analysis by examining a competitor's objectives, strategies, assumptions, and capabilities.
This document discusses the importance of competitive intelligence (CI) for businesses. It provides an overview of CI processes and techniques including analyzing competitors, customers, technologies and the external environment. CI helps minimize threats and maximize opportunities. It is an important input for strategic decision making. The document emphasizes that CI requires collecting information from various sources, analyzing it to extract insights, and using those insights to make better strategic, operational and tactical decisions.
Organization development or restructuring external factorsDragan Cirkovic
External factors like customers, competition, and the broader business environment can impact an organization's strategy and performance. There are several frameworks that can be used to analyze these external factors, including PEST analysis, Porter's Five Forces, and the Four Corners tool. It is important to consider both external factors and an organization's internal capabilities when developing strategies to respond to changes in the competitive landscape. A comprehensive strategic analysis should involve tools to evaluate the external environment as well as the organization's resources and competitors.
The Competitive Intelligence Continuum - Taking Wisconsin to the WorldArik Johnson
The document discusses competitive intelligence and provides an overview of key concepts and processes. It defines competitive intelligence as a disciplined process of information collection and analysis to support better decision-making. It discusses trends like organizational acculturation and disruptive innovation. The document also outlines traditional competitive intelligence processes like identifying key intelligence topics, primary and secondary research, analysis techniques like SWOT and benchmarking, and how competitive intelligence supports strategic planning.
This document discusses methods for evaluating a company's resources and competitive capabilities, including its strengths, weaknesses, opportunities, and threats (SWOT analysis). It describes assessing a company's strategy, costs, value chain activities, and competitive position relative to rivals. Key questions addressed include how well the current strategy is working, identifying the company's strengths and weaknesses, determining if costs are competitive, and ranking the company's position versus competitors. Conducting in-depth analyses across these areas can help identify strategic issues and guide strategic decision making.
This document summarizes internal analysis techniques for assessing a business's strategic options. It discusses analyzing financial performance, beyond just profits, to evaluate past strategies and identify strengths and weaknesses. A self-analysis involves assessing sales, costs, structure, management style and more. Key measures include customer satisfaction, product quality, brand associations, costs, new products, and manager capabilities. Models like the BCG matrix and GE Business Screen evaluate strategic business units based on industry growth and market share. The analysis aims to determine where to invest, selectively invest, or harvest/divest.
Porter's Five Forces model analyzes five competitive forces that shape an industry: 1) rivalry among existing competitors, 2) threat of new entrants, 3) bargaining power of suppliers, 4) bargaining power of buyers, and 5) threat of substitute products. The model helps businesses understand the profitability and attractiveness of an industry sector by identifying its weaknesses and strengths. Analyzing these competitive forces can help companies improve their profitability by adjusting their strategy accordingly.
UMASS Lowell Sales and Customer Relations Management We.docxmarilucorr
UMASS Lowell Sales and Customer Relations Management
Week 4
Page 1 of 11
Sales and Customer Relations Management – Week 4
Evaluating Your Position in a Sale:
Red Flags – Leveraging Strengths – Buyer Response Modes
Selling can be a bit like investing in the stock market. If you are lacking a
strategy, then your expectations for making a gain can swing like a
pendulum from wild optimism to deep pessimism. Your emotions will cloud
your judgement and keep you from forming an objective assessment of
potential outcomes. Even worse, you’ll be unlikely to see the true gaps in
your competitive position or, conversely the opportunities to leverage
unique advantages.
The remedy for this ailment is to have a strategy that’s well informed by
facts. Effective information gathering is the key to making an informed
assessment of your true position for a sales opportunity. Any gaps in your
view of the customer’s decision dynamics – such as not knowing all the
decision makers, not understanding buying motivations, not knowing which
of your product’s features and benefits will most impact the customer - will
reduce your chances of making the sale.
The Strategic Selling framework provides an organized method for
identifying dangerous gaps in knowledge (Red Flags) as well as valuable
differentiators (Strengths to Leverage) in order to improve your competitive
position.
Red Flags
The symbolism of a Red Flag highlights critical information that’s missing or
unclear about your Single Sales Objective. Red Flags are not “negatives”.
Image of a
Red Flag
UMASS Lowell Sales and Customer Relations Management
Week 4
Page 2 of 11
In fact the symbolism of a red flag is akin to the situation of a driver on a
winding mountain road. As he comes around a corner, he sees a road
worker holding a red caution flag. The driver is grateful for the advance
warning about an impending road hazard. He drives ahead with heightened
vigilance. As a sales rep, your clear eyed assessment of knowledge gaps
or other shortcomings is the first step in acting to remove any obstacles to
making the sale. Examples of Red Flags are:
New, or as yet un-contacted Buying Influences – if you haven’t
identified or met all key buying influences yet then the probability of
making a sale remains uncertain.
Reorganization, transformation, corporate action – any organizational
or structural changes in the midst of a customer’s purchase
assessment will require you to redefine the buying group and roles.
Uncertainty about other key informational aspects
Emerging competitor – has a new rival come on the scene?
Technology shifts, compatibility issues – has a change in IT
standards caused your product to be considered non-compliant
Mandates for standardization – has a corporate standard been
established that all business units must recognize?
Any of these developments should prom ...
The document summarizes Michael Porter's framework for competitive strategy. It outlines the five competitive forces that determine the intensity of industry competition: threat of new entry, power of suppliers, power of buyers, threat of substitutes, and rivalry among existing competitors. It then discusses how firms can gain a competitive advantage by positioning themselves in the industry where these forces are weakest or by influencing the competitive balance through strategic changes. The document also covers Porter's generic strategies of cost leadership, differentiation, and focus.
Similar to MF Strategic Marketing 1 strategy n strategic planning process (20)
CapTechTalks Webinar Slides June 2024 Donovan Wright.pptxCapitolTechU
Slides from a Capitol Technology University webinar held June 20, 2024. The webinar featured Dr. Donovan Wright, presenting on the Department of Defense Digital Transformation.
This presentation was provided by Racquel Jemison, Ph.D., Christina MacLaughlin, Ph.D., and Paulomi Majumder. Ph.D., all of the American Chemical Society, for the second session of NISO's 2024 Training Series "DEIA in the Scholarly Landscape." Session Two: 'Expanding Pathways to Publishing Careers,' was held June 13, 2024.
This document provides an overview of wound healing, its functions, stages, mechanisms, factors affecting it, and complications.
A wound is a break in the integrity of the skin or tissues, which may be associated with disruption of the structure and function.
Healing is the body’s response to injury in an attempt to restore normal structure and functions.
Healing can occur in two ways: Regeneration and Repair
There are 4 phases of wound healing: hemostasis, inflammation, proliferation, and remodeling. This document also describes the mechanism of wound healing. Factors that affect healing include infection, uncontrolled diabetes, poor nutrition, age, anemia, the presence of foreign bodies, etc.
Complications of wound healing like infection, hyperpigmentation of scar, contractures, and keloid formation.
A Visual Guide to 1 Samuel | A Tale of Two HeartsSteve Thomason
These slides walk through the story of 1 Samuel. Samuel is the last judge of Israel. The people reject God and want a king. Saul is anointed as the first king, but he is not a good king. David, the shepherd boy is anointed and Saul is envious of him. David shows honor while Saul continues to self destruct.
How to Manage Reception Report in Odoo 17Celine George
A business may deal with both sales and purchases occasionally. They buy things from vendors and then sell them to their customers. Such dealings can be confusing at times. Because multiple clients may inquire about the same product at the same time, after purchasing those products, customers must be assigned to them. Odoo has a tool called Reception Report that can be used to complete this assignment. By enabling this, a reception report comes automatically after confirming a receipt, from which we can assign products to orders.
Philippine Edukasyong Pantahanan at Pangkabuhayan (EPP) CurriculumMJDuyan
(𝐓𝐋𝐄 𝟏𝟎𝟎) (𝐋𝐞𝐬𝐬𝐨𝐧 𝟏)-𝐏𝐫𝐞𝐥𝐢𝐦𝐬
𝐃𝐢𝐬𝐜𝐮𝐬𝐬 𝐭𝐡𝐞 𝐄𝐏𝐏 𝐂𝐮𝐫𝐫𝐢𝐜𝐮𝐥𝐮𝐦 𝐢𝐧 𝐭𝐡𝐞 𝐏𝐡𝐢𝐥𝐢𝐩𝐩𝐢𝐧𝐞𝐬:
- Understand the goals and objectives of the Edukasyong Pantahanan at Pangkabuhayan (EPP) curriculum, recognizing its importance in fostering practical life skills and values among students. Students will also be able to identify the key components and subjects covered, such as agriculture, home economics, industrial arts, and information and communication technology.
𝐄𝐱𝐩𝐥𝐚𝐢𝐧 𝐭𝐡𝐞 𝐍𝐚𝐭𝐮𝐫𝐞 𝐚𝐧𝐝 𝐒𝐜𝐨𝐩𝐞 𝐨𝐟 𝐚𝐧 𝐄𝐧𝐭𝐫𝐞𝐩𝐫𝐞𝐧𝐞𝐮𝐫:
-Define entrepreneurship, distinguishing it from general business activities by emphasizing its focus on innovation, risk-taking, and value creation. Students will describe the characteristics and traits of successful entrepreneurs, including their roles and responsibilities, and discuss the broader economic and social impacts of entrepreneurial activities on both local and global scales.
2. Strategy
Strategy means making clear-cut choices about how
to compete. – Jack Welch
A strategy is a commitment to undertake one set of
actions rather than another – Sharon Oster
3. Strategy
A company’s strategy is all about HOW…
How to grow the business, how it will build a loyal
clientele and outcompete rivals, how each functional
piece of the business will be operated, how
performance will be boosted.
4. Strategy – „hows of the strategy‟
Sustainable competitive advantage
A company achieves SCA when an attractive
number of buyers prefer its products or services
over offerings of competitors and when the basis
for this preference is durable.
5. Strategy – „hows of the strategy‟
Low cost leadership
e.g. Wal-Mart, Southwest Airlines
Differentiation
e.g. Harley-Davidson, Rolex, Amazon
Focusing on a narrow market niche
e.g. Starbucks, e-bay
Developing expertise and resource strengths
FedEx – next day delivery, Walt Disney – theme park
management and family entertainment
6. What is Strategic Planning
Managing Investment Portfolio of businesses
Analysis of each business and establishing fit
A game plan or Business Model
AIMED AT
Good business performance
7. Marketing Productivity chain
Company View Point Level Who cares?
We do stuff Marketing actions Customers
Customers do stuff Customers Reaction Advertising and
Promotion specialis
Stuff Happens Product Market
Impact
Product Managers
and CMO
Accounting happens Financial outcomes CMO and CFO*
Wealth is affected Firms Value CFO and the CEO*
*Chief Marketing, financial and executive officer
Adapted from : Bolton, R.N. (2004), “Making Marketing Matter”
JM Vol 68, pp 73-75
8. 1. What is Strategy?
Strategy Performance
Competitive
Advantage
Shareholder
Value
Firm
• Strategy: goal and set of policies designed to
achieve competitive advantage in a particular
marketplace
• Competitive Advantage: ability to transform inputs
into goods and services at a maximum profit on a
sustained basis, better than competitors
9. Strategic Planning Process
Environmental
Conditions &
Trends
Opportunities
and
Threats
External Analysis
Inventory of
Distinctive
Competencies
Strengths
and
Weaknesses
Internal Analysis
Identify
& Evaluate
Options
Choose
Strategy
Strategy Formulation
Strategy
Implementation
10. Basic Concept
Strategy
Formulation
Set of processes involved in
creating or determining the
strategies of org. Focus is on
contents of strategy.
Strategy
Implementation
Methods by which strategies are
operationalized or executed with in
org. Focus is on processes which
achieve strategies.
13. Marketing Environment
Macroenvironment
PEST ANALYSIS
Political
Legislation regulating business
Growth of public interest groups
Increased emphasis on ethics and
socially responsible actions
Economical
Income distribution and changes in
purchasing power
Changing consumer spending patterns
14. Marketing Environment
Macroenvironment
PEST ANALYSIS
Social
Changing age structure of a population
Changing family structure
Rising number of educated people
Increasing diversity
Technological
Fast pace of technological change
High R&D budgets
Concentration on minor improvements
Increased regulation
15. External Environment
Porter‟s five forces model
To evaluate the attractiveness of your
industry Power of
Buyers
Power of
Substitutes
Power of new
entrants
Power of
Sellers
Power of
Rivals
16. External Environment
Porter‟s five forces model
To evaluate the attractiveness of your
industry
STEPS
Outline your key buyers, suppliers, rivals,
new entrants and substitutes.
Determine the strength of the threat that
each group poses to your company‟s
potential profitability.
17. Porter‟s five forces model
Power of Buyers
Buyers are the customers who demand and purchase
your products and services.
STEPS
Make a list of your buyers. Name the
major players and describe them by type
(e.g. P&G – consumer goods
manufacturer)
Assess the strength of buyer power by
rating the features given in table 1.
18. Porter‟s five forces model
Power of Buyers
Determinants Defining Question Assess the power of buyers
Circle one of the following:
1=low, 5=high or NA if it doesn’t
apply to your industry
Concentration Are the buyers fragmented or highly concentrated
(i.e. do a few monopolize the market)? If they are
few and concentrated, then buyer bargaining
power is typically high
1 2 3 4 5 NA
Product cost vs.
total purchases
Does your product buyer‟s purchase represent a
significant fraction of the buyer‟s costs? If so, buyer
bargaining power is typically high.
1 2 3 4 5 NA
Product
Differentiation
Is the buyer‟s product or service a commodity? Is
branding critical for success? Is there an actual vs.
a perceived difference? If the products are
standard or undifferentiated, buyers typically have
high bargaining power.
1 2 3 4 5 NA
Switching Costs Are switching costs high or low? If buyers face few
switching costs, their bargaining power is typically
high.
1 2 3 4 5 NA
Profits Do buyers earn low profits? If so, they are typically
more likely to bargain hard.
1 2 3 4 5 NA
19. Porter‟s five forces model
Power of Buyers
Determinants Defining Question Assess the power of buyers
Circle one of the following:
1=low, 5=high or NA if it doesn’t
apply to your industry
Backward
integration
Can they make what you make themselves? Is
there a threat of backward integration? If so, the
threat is typically high.
1 2 3 4 5
NA
Impact on
Quality/
Performance
Is the product you offer important to the quality of
the buyer‟s products or services? If not, buyer
power is typically high.
1 2 3 4 5
NA
Buyer
Information
Does the buyer have complete information on the
product he may purchase? If so, buyer power is
typically high.
1 2 3 4 5
NA
(Harvard Business School, 2005)
20. Porter‟s five forces model
Power of Suppliers
Suppliers provide labor, materials, financial capital, or
equipment to your firm.
STEPS
Make a list of your suppliers. Name the
major players and describe them by
type.
Assess the strength of supplier power by
rating the features given in table 2.
21. Porter‟s five forces model
Power of Suppliers
Determinants Defining Question Assess the power of buyers
Circle one of the following:
1=low, 5=high or NA if it doesn’t
apply to your industry
Concentration Are your suppliers fragmented or highly
concentrated (i.e. do a few monopolize the
market)? If an industry is dominated by a few
companies, the suppliers are typically high
powerful.
1 2 3 4 5 NA
Presence of
substitute inputs
Are there any substitutes for your suppliers‟
products? If not, suppliers are typically powerful.
1 2 3 4 5 NA
Importance
relative to
customer
Is your industry an important customer of the
supplier group? If not, suppliers are typically
powerful.
1 2 3 4 5 NA
Impact on
Quality/
performance
Is your supplier‟s product essential to the quality or
performance of your business? If so, suppliers are
typically powerful.
1 2 3 4 5 NA
Product
Differentiation
Is the supplier‟s product or service a commodity? Is
branding critical for success? Is there an actual vs.
a perceived difference? Suppliers with
differentiated products typically have more
bargaining power than suppliers selling
commodities.
1 2 3 4 5 NA
22. Porter‟s five forces model
Power of Suppliers
Determinants Defining Question Assess the power of buyers
Circle one of the following:
1=low, 5=high or NA if it doesn’t
apply to your industry
Switching costs How costly is it for you to switch from the
supplier‟s product? If switching costs are high,
suppliers are typically more powerful.
1 2 3 4 5
NA
Forward
Integration
Can the supplier produce the product you make?
Is there a threat of forward integration? If so,
suppliers are typically powerful.
1 2 3 4 5
NA
(Harvard Business School, 2005)
23. Porter‟s five forces model
Power of Rivals
Rivals are firms that make similar products to yours and
are in direct competition with you.
STEPS
Make a list of your rivals. Name the
major players and describe them by
type.
Assess the threat of rivalry by rating the
features given in table 3.
24. Porter‟s five forces model
Power of Rivals
Determinants Defining Question Assess the power of buyers
Circle one of the following:
1=low, 5=high or NA if it doesn’t
apply to your industry
Industry Growth How slowly or quickly is the industry growing? If it
is a slow growth industry, there is likely to be a
more intense fight among rivals for market share.
1 2 3 4 5 NA
Fixed costs Does your business have high fixed costs? If so,
rivals will typically be tempted to cut prices to
ensure sales, thus posing a significant threat.
1 2 3 4 5 NA
Intermittent
Overcapacity
How frequently is there a problem of excess
capacity in your industry? Are there periods when
there is excess capacity? Overcapacity often leads
to price cutting. If so, there is typically a threat.
1 2 3 4 5 NA
Product
differentiation
Is your product a service or commodity? Typically,
the closer a product is to being a commodity, the
fiercer the intensity of rivalry.
1 2 3 4 5 NA
Brand Identity Is branding critical for your rival‟s success? Is there
an actual vs. a perceived difference? Brand
identification by buyers reduces the threat of rivals.
1 2 3 4 5 NA
25. Porter‟s five forces model
Power of Rivals
Determinants Defining Question Assess the power of buyers
Circle one of the following:
1=low, 5=high or NA if it doesn’t
apply to your industry
Switching costs How costly is it for your buyers to switch between
providers? Low switching costs typically increase
rivalry. When a customer can freely switch from
one product to another, companies must struggle to
capture and retain customers.
1 2 3 4 5 NA
Concentration
and balance
Are there a large number of firms of equal size and
power, all chasing after the same customers? If so,
rivalry is typically intense.
1 2 3 4 5 NA
Diversity of
competitors
Are there competitors with different strategies and
frames of reference? When competitors are
diverse, it‟s more difficult to establish the rules of
the game, so the threat from competitors is
greater.
1 2 3 4 5 NA
Corporate Stakes How high are the rivals‟ corporate stakes? What do
rivals stand to lose (e.g. profits, decision making
power)? Strategic stakes are high when several
firms in an industry take great risks to expand,
diversify, and gain market position. The intensity
and volatility of the rivalry increases when firms
select alternative strategies that may sacrifice
short-term profitability
1 2 3 4 5 NA
26. Porter‟s five forces model
Power of Rivals
Determinants Defining Question Assess the power of buyers
Circle one of the following:
1=low, 5=high or NA if it doesn’t
apply to your industry
Exit Barriers Are exit barriers low or high? High exit barriers
make it costly to abandon a product; for example,
when an organization has specialized assets that
cannot be easily sold off.
1 2 3 4 5 NA
(Harvard Business School, 2005)
27. Porter‟s five forces model
Power of New Entrants
New entrants in an industry are today‟s new players
who may become tomorrow‟s rivals. The threat of new
entrants is directly related to whether the barrier to
entry into an industry is high or low.
STEPS
Assess the threat of new entrants by
rating the features in Table 4 and
following the given criteria:
If a barrier to entry is high, the threat from new
entrants is weak; if a barrier is low, the threat of new
entrants is strong.
28. Porter‟s five forces model
Power of New Entrants
Determinants Defining Question Assess the power of
buyers
Circle one of the
following:
1=low, 5=high or NA if it
doesn’t apply to your industry
Economies of Scale and
Experience
Does successful entry require that
companies have significant economies of
scale or experience? Barriers to entry are
typically high when an aspiring company
must cut costs in order to compete in a
large-scale and/ or experienced market.
1 2 3 4 5
NA
Product Differences Do new entrants need to differentiate by
spending heavily on advertising , customer
service, or product differences to overcome
existing customer loyalty? Product
differentiation is typically a barrier to entry.
1 2 3 4 5
NA
Brand Identity Do new companies need to spend heavily
on brand identification to gain customer
loyalty? Brand identification is typically a
barrier to entry.
1 2 3 4 5
NA
Switching costs Does the buyer have to pay to switch from
one supplier‟s product to another? High
switching costs are typically a barrier to
entry.
1 2 3 4 5
NA
29. Porter‟s five forces model
Power of New Entrants
Determinants Defining Question Assess the power of buyers
Circle one of the following:
1=low, 5=high or NA if it doesn’t
apply to your industry
Capital
Requirements
Does the new company need to invest large
financial resources (relative to market size) in order
to compete? Huge capital requirements are
typically a barrier to entry.
1 2 3 4 5 NA
Access to
distribution
Do newcomers have access to distribution channels
for products or services? Difficult access can
typically be a high barrier to entry.
1 2 3 4 5 NA
Cost Advantages Established companies have cost advantages over
new rivals because they may have already obtained
proprietary product technology, access to raw
materials, favorable locations and government
subsidies. In addition, established companies may
have passed a learning or experience curve. Such
cost advantages are typically a barrier to entry for
new entrants.
1 2 3 4 5 NA
Government
Policy
Govt policies such as antitrust regulations, can help
to preserve or limit competition. Such policies can
typically create a barrier to entry
1 2 3 4 5 NA
30. Porter‟s five forces model
Power of New Entrants
Determinants Defining Question Assess the power of buyers
Circle one of the following:
1=low, 5=high or NA if it doesn’t
apply to your industry
Expected
Retaliation
New entrants may decide not to enter a new
market if existing firms may have a history of
retaliating, resources to fight back, a strong
commitment to the industry, and illiquid assets
employed in the industry. Also, if the industry is
growing slowly, they may retaliate against new
players who would threaten sales growth.
1 2 3 4 5 NA
31. Porter‟s five forces model
Power of Substitutes
A substitute is a different product or service from the
one you make that competes for the same customers.
Determinants Defining Question Assess the power of buyers
Circle one of the following:
1=low, 5=high or NA if it doesn’t
apply to your industry
Price Performance Does the substitute offer a better price or
performance? A substitute product or service is a
threat to competition when it offers a higher
performance at a given price or the same
performance at a lower price
1 2 3 4 5 NA
Switching costs Is it costly for buyers to switch to the substitute
product or service? When buyers must pay more to
switch to a substitute, the threat of substitutes is
low.
1 2 3 4 5 NA
Editor's Notes
The reason that there are a variety of answers to the question: What is marketing? could be that marketing is a philosophy as well as a tactical functional activity .