1. Market strategy and the strategic pathway
Lecture 4 1

2. A route-map for market-led strategic change
Part I
Customer value
imperatives
Part II
Developing a value-based
marketing strategy
Part III
Processes for managing
strategic transformation
The strategic pathway
Change strategy
Market sensing
and learning
strategy
The Customer
is always
right-handed
Strategic
gaps
Strategic
market choices
and targets
Strategic
thinking and
thinking
strategically
New marketing
meets
old marketing
Organization
and processes
for change
Customer value
strategy and
positioning
Implementation
process and
internal
marketing
Value-based
marketing
strategy
Strategic
relationships
and networks

3. Agenda What is strategy anyway? Strategic thinking
Thinking strategically
From strategic thinking and thinking strategically to the strategic pathway

4. What is strategy anyway?
Strategy is about
competitive arenas – where we will be active
vehicles – how we will get there
differentiators – how will we win in the marketplace
staging – the speed and sequence of our competitive moves
economic logic – how will we obtain returns?

5. What is strategy anyway?
A simple view of strategy
being best at the things that matter most to customers
finding new and better ways of achieving this
Strategy should not be so complex no-one can understand it

6. What is strategy anyway?
What strategy is NOT
strategic planning
analytical techniques
operational efficiency

7. What is strategy anyway?
Strategy IS about
Revolution, reinvention and renewal
Breaking free from
management tools
industry dogma and “rules”
the present
tactics and “sameness”
hostility to change

8. Strategic thinking Marketing as strategy strategic dilemmas
the growth mandate
reinvention and renewal
the limitations of imitation
radical innovation
timing and speed
crisis and failure
social legitimacy

9. Strategic thinking Strategic dilemmas Social legitimacy The growth
mandate
Crisis and
failure
Marketing as
strategy
Reinvention
and renewal
Timing and
speed
The limitations
of imitation
Radical
innovation

10. Strategic thinking Strategic dilemmas the strategy paradox
strategic goals
Schlimmbesserung (“worse improvement”)

11. Strategic thinking The growth mandate when growth stalls
building growth platforms
adjacency and hidden assets for growth
the growth gamble

12. Strategic thinking Reinvention and renewal new business models
The limitations of imitation
playing catch-up
benchmarking
intellectual leadership

13. Strategic thinking Radical innovation disruptive innovation
cannibalization
value innovation
big ideas
innovation networks

14. The pioneer, migrator, settler map
Pioneers:
value innovate
High-growth
trajectory
Migrators:
improve value
Settlers:
me-too
businesses
Current
portfolio
Planned
portfolio
Source: Adapted from W. Chan Kim and Renee Mauborgne, “Value Innovation: The Strategic
Logic of High Growth”, Harvard Business Review, January-February 1997, pp

15. Strategic thinking Timing and speed business agility
fast strategy, or not so much
first mover advantage, or maybe not
active waiting

16. Strategic thinking Crisis and failure it’s not our fault
it’s our fault
it’s their fault
failure
why do we get caught unawares?

17. Strategic thinking Social legitimacy ethical standards
corporate social responsibility

18. Thinking strategically
Strategizing
Barriers to strategic thinking and thinking strategically
doing new stuff in old organizations
the halo effect
evidence-based management
Weirdos
The opposable mind

19. Strategizing processes
Management
processes
Planning/
budgeting
Existing/same
New
Strategy

20. Thinking strategically
The power of creativity, judgement and emotion
emotion
gut-feeling and strategic intuition
judgement
leadership and thinking strategically

21. Getting to the strategic pathway
Thinking
strategically
Strategic
thinking
Strategic
pathway