Markstrat – Team Jupiter A Chanuk Choi Heesik Jeong Taesoo Yoon Seungjae Hur

Contents Basic Strategies Downfall in the early stage Stagnating in the Mid Take off - The Empire Strikes Back KSFs & Lessons

 After then, Penetrating into the Vodite Market 1. Basic Strategies Be the King of Sonite Market  After then, Penetrating into the Vodite Market Premium Market Mass Segment Professionals/ High earners/Buffs Others/Singles Product SALT SAMA Strategy Differentiation Cost Leadership Action Plan More powerful Than competitors Emphasizing value For money

2. Downfall in the Beginning Meeting with Professor - Using all budget - Emphasizing segment fitting - Providing modified R&D

2. Downfall in the Beginning Consumers’ needs are continuously moving  Began to use Conjoint Analysis Fitting in Singles Fitting in Professionals Fitting in High earners Fitting in Others

3. Stagnating in the Mid Cannibalization between SALT and SALC  Inventory increased continuously  Profit decreased  Lowered budget

3. Stagnating in the Mid Struggling to escape from depression  Steady modification by using market research  Fitting sales force to distribution channel  Beginning to use MDS 4th round 6th round

Targeting for Followers $6,500,000 only for Vodite market 4. Take off Believing that money makes money Entering into Vodite market Targeting for Followers Sharply increasing sales force Sales force > Advertising effect In a short run Enormous advertising in the new product $6,500,000 only for Vodite market

4. Take off MS of Sonite 46% MS of Vodite 17.8% for the first entry

5. KSFs Satisfy what customers exactly want Avoid Double Jeopardy  Huge budget for market research  Forecasts are accurate  Calculation for Optimization based on forecast  Distribute budget based on calculation  Optimized Profit Avoid Double Jeopardy High adv/sales force High Awareness High MS High Profit High Budget High adv/sales force (Making Virtuous Cycle by Cash Cow strategy)

5. Lessons learned Sensing for the market situation Limitation  Need to know what Competitors do and will do if we are not doing so well  Bold & radical decisions are sometimes needed  However, stick to the details all the time (Never neglect micro-management) Limitation  More statistics & math, more profit

Thank You Q&A