1. Company and Marketing Strategy Marketing Planning Introduction
it ’s good and
good for you
Lesson 7 - Chapter Two
Company and Marketing Strategy
Marketing Planning
Introduction

2. Companywide Strategic Planning
Designing the Business Portfolio
The business portfolio is the collection of businesses and products that make up the company Portfolio analysis is a major activity in strategic planning whereby management evaluates the products and businesses that make up the company

3. Companywide Strategic Planning
Analyzing the Current Business Portfolio
Strategic business units can be
Company division
Product line within a division
Single product or brand
Note to Instructor
This Web link is to Procter & Gamble is an interesting site to explore with the students. Click on the Family of products.
Discussion Question
Which product categories might be growing markets, slower markets, and emerging markets. This site can be explored again when viewing Figure 2.2—the BCG grid.

4. Companywide Strategic Planning
Analyzing the Current Business Portfolio
Identify key businesses (strategic business units, or SBUs) that make up the company
Assess the attractiveness of its various SBUs
Decide how much support each SBU deserves

5. Companywide Strategic Planning:
Note to Instructor
Stars are high-growth, high-share businesses or products requiring heavy investment to finance rapid growth. They will eventually turn into cash cows.
Cashcows are low-growth, high-share businesses or products that are established and successful SBUs requiring less investment to maintain market share.
Question marks are low-share business units in high-growth markets requiring a lot of cash to hold their share.
Dogs are low-growth, low-share businesses and products that may generate enough cash to maintain themselves but do not promise to be large sources of cash.

6. Companywide Strategic Planning
Problems with Matrix Approaches
Difficulty in defining SBUs and measuring market share and growth
Time consuming
Expensive
Focus on current businesses, not future planning

7. Companywide Strategic Planning
Developing Strategies for Growth and Downsizing
Product/market expansion grid is a tool for identifying company growth opportunities through market penetration, market development, product development, or diversification

8. Companywide Strategic Planning
Developing Strategies for Growth and Downsizing Product/Market Expansion Grid Strategies
Market penetration
Market development
Product development
Diversification

9. Companywide Strategic Planning
Developing Strategies
for Growth and Downsizing
Market penetration is a growth strategy increasing sales to current market segments without changing the product
Market development is a growth strategy that identifies and develops new market segments for current products

10. Companywide Strategic Planning
Developing Strategies
for Growth and Downsizing
Product development is a growth strategy that offers new or modified products to existing market segments
Diversification is a growth strategy through starting up or acquiring businesses outside the company’s current products and markets
Note to Instructor
This Web link leads to the hompage for Virgin. This is a great company to discuss as they provide examples of market development, product development and diversification. Their homepage lists all their industries and products including tourism, leisure, shopping, media, finance, and healthcare.

11. Marketing Strategy and the Marketing Mix
Customer-Driven Marketing Strategy
Market segmentation is the division of a market into distinct groups of buyers who have different needs, characteristics, or behavior and who might require separate products or marketing mixes
Market segment is a group of consumers who respond in a similar way to a given set of marketing efforts

12. Marketing Strategy and the Marketing Mix
Customer-Centered Marketing Strategy
Market targeting is the process of evaluating each market segment’s attractiveness and selecting one or more segments to enter

13. Marketing Strategy and the Marketing Mix
Customer-Centered Marketing Strategy
Market positioning is the arranging for a product to occupy a clear, distinctive, and desirable place relative to competing products in the minds of the target consumer

14. Marketing Strategy and the Marketing Mix
Developing an Integrated Marketing Mix
Marketing mix is the set of controllable tactical marketing tools—product, price, place, and promotion—that the firm blends to produce the response it wants in the target market

15. Marketing Strategy and the Marketing Mix
Developing an Integrated Marketing Mix
Note to Instructor
It is interesting to ask how to make the 4Ps more customer centric. This leads to a redefining of the 4Ps to the 4Cs as follows:
Product—Customer solution
Price—Customer cost
Place—Convenience
Promotion—Communication

16. Marketing Planning the Cycle
SITUATION ANALYSIS
Where you are how did you get there! -
MISSION - VISION
Where do you want to go
Where can you go!
STRATEGY -TACTICS
How goals are going to be achieved
CONTROL
How you can ensure progress

17. SOST + 6 Ms
S – situation audit
Audit =
O - Objectives
S – Strategy
T – Tactics
Men, Money, Machines, Materials,Minutes
& Measurement

18. Mission Statements

19. Mission Mission Statement
Simply where you want to go and customer groups, and how..

20. Mission vs. Vision Statements
Mission statements and vision statements are for different purposes. A mission statement describes an organization's purpose and answers the questions "What business are we in?" and "What is our business for?"
A vision statement provides strategic direction and describes what the owner or founder wants the company to achieve in the future.

21. Ideal Mission Statement
Who you are
What you do
Who you do it to
How..

22. Walt Disney
The mission of The Walt Disney Company is to be one of the world's leading producers and providers of entertainment and information. Using our portfolio of brands to differentiate our content, services and consumer products, we seek to develop the most creative, innovative and profitable entertainment experiences and related products in the world.

23. Microsoft
At Microsoft, we work to help people and businesses throughout the world realize their full potential. This is our mission. Everything we do reflects this mission and the values that make it possible.

24. Levi Strauss
People love our clothes and trust our company. We will market the most appealing and widely worn casual clothing in the world. We will clothe the world.

25. Toyota's mission statement relates that it seeks tobe a mobility leader of the future by focusing on a commitment toquality and innovation. The goal of Toyota also includes enrichingthe lives of its customers, having a healthy respect for theenvironment and exceeding expectations as it tackleschallenges.

26. PSA
provide mobility services adapted to customer new uses, by developing innovative anddifferentiating offers to conquer new customers to the benefit of the peugeot, citroËn andds brands, and to ensure their loyalty.

27. Mission Statement of Peugeot" Is to manufacture, each day, vehicles
 that meet both the design teams' expectations and customer requirements while 
complying with cost targets and delivery deadlines.

29. “Utilize the power of Moore’s Law to bring smart, connected devices to every person on earth.”

30. “Bring inspiration and innovation to every athlete in the world
“Bring inspiration and innovation to every athlete in the world.* If you have a body, you are an athlete.”

31. “We will provide branded products and services of superior quality and value that improve the lives of the world’s cons

32. Huawei
To focus on our customers' market challenges and needs by providing excellent ICT solutions and services in order to consistently create maximum value for our customers

33. Air Jordan (Air Jordan is a branch of Nike)
To bring inspiration and innovation to every athlete in the world. If you have a body you are an athlete.
Air France
(To create) A home in the sky.

34. Apple?

35. Alibaba Group’s mission
to make it easy to do business anywhere. We enable businesses to transform the way they market, sell and operate. We provide the fundamental technology infrastructure and marketing reach to help merchants, brands and other businesses to leverage the power of the Internet to engage with their users …

36. Honda – the three joys..
The Joy of Buying The joy of buying is achieved through providing products and services that exceed the needs and expectations of each customer.

37. Honda – the three joys..
The Joy of Selling The joy of selling occurs when those who are engaged in selling and servicing Honda products develop relationships with a customer based on mutual trust. Through this relationship, Honda associates, dealers and distributors experience pride and joy in satisfying the customer and in representing Honda to the customer.
Associates = more than just workers.

38. Honda – the three joys..
The Joy of Creating The joy of creating occurs when Honda associates and suppliers involved in the design, development, engineering and manufacturing of Honda products recognize a sense of joy in our customers and dealers. The joy of creating occurs when quality products exceed expectations and we experience pride in a job well done.

39. Honda Fundamental Beliefs
Respect for the Individual
Initiative Initiative means not to be bound by preconceived ideas, but to think creatively and act on your own initiative and judgment, while understanding that you must take responsibility for the results of those actions.
Equality Equality means to recognize and respect individual differences in one another and treat each other fairly. Our company is committed to this principle and to creating equal opportunities for each individual. An individual's race, gender, age, religion, national origin, educational background, social or economic status has no bearing on the individual's opportunities.
Trust The relationship among associates at Honda should be based on mutual trust. Trust is created by recognizing each other as individuals, helping out where others are deficient, accepting help where we are deficient, sharing our knowledge, and making a sincere effort to fulfill our responsibilities.

40. The Passion behind the White Coveralls
At Honda’s R&D centers and factories, associates wear white work clothes that stain and smudge easily, from the philosophy that “good products come from clean workplaces.” The white outfit also symbolizes the equality of all that work at Honda, including the CEO. White symbolizes Honda’s philosophy for making products wholeheartedly not only in its Japanese facilities, but all over the world.

42. Homework..
For two competing companies find and compare their mission statements.
Group assignment based upon your SWOT analysis devise a mission statement for your city.

43. Let’s look at some slogans