Principles of Marketing Lecture-11

Summary of Lecture-10

The Macroenvironment

Demographic Technological Cultural Economic Political Natural Forces that Shape Opportunities and Pose Threats to a Company Forces that Shape Opportunities and Pose Threats to a Company

Today’s Topics

Analyzing Marketing opportunities and developing strategies- MIS

Analyzing marketing opportunities

Situation Analysis The Three Cs

Company Customers Competitors Market Potential (size, growth rate) Customer Behavior (wants and needs, segmentation, price sensitivity) Market Potential (size, growth rate) Customer Behavior (wants and needs, segmentation, price sensitivity) Industry Structure Analysis (entry/exit barriers, buyers, sellers, substitutes) Competitor Response Profiles (capabilities, current and future actions) Industry Structure Analysis (entry/exit barriers, buyers, sellers, substitutes) Competitor Response Profiles (capabilities, current and future actions) Economic Analysis (costs, break-even, profitability) Company Fit (strengths, weaknesses, resources, culture, goals) Economic Analysis (costs, break-even, profitability) Company Fit (strengths, weaknesses, resources, culture, goals)

 changing environment – opportunities and threats  changing firm situation – relative strengths and weaknesses  Fit - match opportunities with firm’s objectives and resources (strengths)  Market Information System

Marketing Information System (MIS)

People, equipment, and procedures to gather, sort, analyze, evaluate, and distribute needed, timely, and accurate information to marketing decision makers.

The Marketing Information System Marketing managers Analysis Planning Implemen- tation Control Assessing information needs Distributing information Internal records Marketing decisions and communication Marketing environment Test markets Marketing channels Competitors Publics Macro- environment forces Marketing Information System Developing information Marketing intelligence Marketing research Marketing decision support analysis

Purpose?

 Determine decision makers’ information needs  Acquire needed information  Distribute information

Steps..  Assessing the Marketing Information Needs  Developing the Marketing Information  Analyzing Marketing Information  Distributing and using Marketing Information

Assessing Marketing Information Needs

 What Users would like to have?  What Really is need?  What is feasible to offer?  Costs of Information

Developing the Marketing Information

 Internal Records (Internal Data)  Marketing Intelligence  Marketing Research

Internal Records (Internal Data)

Information obtained from data source within the company

Marketing Intelligence

The systematic collection and analysis of publicly available information about competitors and developments in the marketing environment

 Competitors  Suppliers  Resellers  Customers  Published Information

Marketing Research

The systematic design, collection, analysis, and reporting of data relevant to a specific marketing situation facing an organization

Steps in the Marketing Research Process

1. Problem Definition and the Research Objectives 1. Problem Definition and the Research Objectives 2. Developing the Research Plan 3. Implementation 4. Interpretation and Reporting of Findings 4. Interpretation and Reporting of Findings

Why Research?

Why Business Research ?

Business Research is …. Systematic & objective process – designing, gathering, analyzing & reporting information – used to solve a specific problem

Provides information for aid in making business related decisions – Identify opportunities – Generate & refine actions

Helps reduce risk inherent in decision making

Why is research important?

Provides an important link to customers Allows implementation of the business concept

Enables managers – to identify & understand stakeholders wants & needs – develop appropriate strategies to meet these needs

Enough for today...

Summary

Marketing Information System (MIS)

The Marketing Information System Marketing managers Analysis Planning Implemen- tation Control Assessing information needs Distributing information Internal records Marketing decisions and communication Marketing environment Test markets Marketing channels Competitors Publics Macro- environment forces Marketing Information System Developing information Marketing intelligence Marketing research Marketing decision support analysis

Next….

Steps in the Marketing Research Process

1. Problem Definition and the Research Objectives 1. Problem Definition and the Research Objectives 2. Developing the Research Plan 3. Implementation 4. Interpretation and Reporting of Findings 4. Interpretation and Reporting of Findings

Principles of Marketing Lecture-11