Chapter 2Company and Marketing StrategyPrinciples of Marketing _ Lai Vinh Phuc, MBA
Content:I.Company-wide Strategic Planning: Defining Marketing’s RoleII.Designing the Business PortfolioIII.Planning Marketing: Partnering to Build Customer RelationshipIV.Marketing Strategy & Marketing MixV.Marketing Effort & Marketing Return on InvestmentPrinciples of Marketing _ Lai Vinh Phuc, MBA
I.Company-Wide Strategic Planning•Strategic Planning:is the process of developing and maintaining astrategic fit between the organization’s goals and capabilities and itschanging marketing opportunitiesPrinciples of Marketing _ Lai Vinh Phuc, MBAFigure 2.1: Steps in Strategic Planning
1. Defining the Company Mission:•Mission Statement:is the organization’s purpose – what it wants toaccomplish in the larger environment.•Product Oriented:Definition of business’s product•Market Oriented:is the mission statement defines the business in terms ofsatisfying basic customer needs.•E.g: Choose a Company and write the Market-Oriented DefinitionPrinciples of Marketing _ Lai Vinh Phuc, MBAI.Company-Wide Strategic Planning
2.Setting Company Objectives and Goals:•Business Objectives: Turning the “mission statement” into support objectivesfor the business•E.g: Business Objectives/Goals => Build profitable customer relationships,invest in research, improve profit•E.g: Marketing Objectives:Principles of Marketing _ Lai Vinh Phuc, MBAI.Company-Wide Strategic Planning
1.Business Portfolio:•Is the collection of businesses and products that make up the company•Portfolio Analysis: is a major activity in strategic planning wherebymanagement evaluates the products and businesses that make up thecompany.Principles of Marketing _ Lai Vinh Phuc, MBAII.Designing the Business Portfolio
2.Analyzing the Current Business Portfolio:•Strategic Business Unit (SBU):is a unit of the company that has a separatemission and objectives that can be planned separately from other companybusinesses.