Professional Documents
Culture Documents
How A Strategic Marketing BE Effective
How A Strategic Marketing BE Effective
How A Strategic Marketing BE Effective
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SESSION 1
INTRODUCTIONS AND ORIENTATION
Introductions Orientation and Course Overview Grading Criteria Recommended Books How to get good Grades
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Learning Objectives
Market-driven business strategy-role in
Creating value for customers Initiatives & challenges of becoming Market driven
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Achieving Determine superior distinctive performance capabilities Matching customer value requiremen ts to capabilities
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Customer focus
Competitor intelligence
Customer
Make Other changes
Customers
Middle management Top Management
Capabilities
Organizational Capabilities
Skills Knowledge Functional coordination Assets
Capabilities are Organizational processes which: 1. Enable firms to coordinate related activities 2. To employ assets and 3. Using skills & accumulated knowledge
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Superior to competitors
Difficult to copy
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Types of Capabilities
Outside-in
Spanning Processes
Inside-out
Outside-in processes (External emphasis) Market sensing Customer linking Channel bonding Technology monitoring
Inside-out processes (Internal emphasis) Financial management Cost control Manufacturing Technology development
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Creating Customer Value Customer value trickles down as a result from a process of anchoring business strategy with customer needs Customers form value expectations and decide to purchase goods and services
Providing Customer Value: Distinctive capabilities are used to deliver value to customer by: Differentiating the product offer Offering lower prices, relative to competitors brands or Combination of both above Value Initiatives: Analyzing customer needs and instilling customer-focused behavior in frontline employees Analyzing target markets and boosting service quality Others
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Becoming Market-Driven
The process is characterized by three stages or steps: Becoming market-oriented Indentifying and leveraging distinctive capabilities Matching Distinctive capabilities to customers value requirements
Marketoriented
Distinctive capabilities
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Becoming Market-Driven
Characteristics of becoming market driven Market sensing and customer linking capabilities i. Effective market sensing processes that spread cross functionally in organizations ii. Information is collected and analyzed and shared cross sectional iii. Information analysis defines the role of each department in being market driven Customer linking capabilities i. Helpful in preventing customer churn ii. Can lead to stronger customer bonds iii. Can create a better customer feedback formal and informal
Aligning structures and processes i. Companies need to take customer value initiatives i.e ii. Redesign or align current structure with customer value requirements iii. Redesign or align current processes with customer value requirements
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Technology diversity and uncertainty i. Rapid technological advancements are changing the basis of many markets ii. Many new opportunities emerge iii. Many established markets are being sidelined by the emerging technology
Ethical Behavior and social responsibility i. ii. iii. Escalating need for a ethical behavior on the part of the managers Need for escalating transparency Emphasis on Corporate citizenship
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Re-cap
Escalating Globalization i. Global marketplace is dynamic and complex ii. Globalization affects the competitiveness of economies iii. High risks of being outmaneuvered by rising globalization
Technology diversity and uncertainty i. Rapid technological advancements are changing the basis of many markets ii. Many new opportunities emerge iii. Many established markets are being sidelined by the emerging technology