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Markstrat – Team Jupiter A
Chanuk Choi Heesik Jeong Taesoo Yoon Seungjae Hur
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Contents Basic Strategies Downfall in the early stage
Stagnating in the Mid Take off - The Empire Strikes Back KSFs & Lessons
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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
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2. Downfall in the Beginning
Meeting with Professor - Using all budget - Emphasizing segment fitting - Providing modified R&D
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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
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3. Stagnating in the Mid Cannibalization between SALT and SALC
Inventory increased continuously Profit decreased Lowered budget
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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
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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
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4. Take off MS of Sonite 46% MS of Vodite 17.8% for the first entry
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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)
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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
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Thank You Q&A
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