This document summarizes the key steps in developing and implementing a marketing strategy and plan. It outlines the strategic planning process, including defining the company mission through SWOT analysis, formulating goals and strategies using frameworks like Porter's generic strategies and the BCG matrix, developing an integrated marketing mix, and creating a marketing plan with objectives, tactics, budget, and controls. The overall process results in a written marketing strategy and time-related plan to carry out the strategy.

1. MARKETING MANAGEMENT
Chapter 2
Developing and
Implementing
Marketing
Strategies and
Plans
(Chapter 2&3 in text book)

2. Chapter Questions
What is a strategic plan?
What is SWOT analysis and what are
some of the environmental forces that
shape marketing strategy?
What are some of the marketing
strategies and competing forces that
shape them?
Where does integrated marketing fit in?
2-2

3. The Strategic Planning Process
2-3

4. Step 1: Defining The Company Mission
• Mission: a statement of the organisation’s purpose –
what it wants to accomplish in the larger
environment (the firm’s overall justification for
existing)
• Defining a business: What is our business? Who are
our customers? Who should our customers be?
What needs do we meet? How do we meet these
needs?
• Google: “To organize the world’s information and
make it universally accessible and useful”
2-4

5. Step 2: Analysis
Strengths
Weaknesses
Opportunities
Threats
2-5

6. Environmental Forces
Demographic
Political-Legal Economic
Technological Socio-Cultural
Natural
3-6

7. The Five Competitive Forces that Shape Strategy
(The Reading)
What are Porter’s competitive forces?
◦ The power of suppliers
◦ The power of buyers
◦ The threat of substitutes
◦ Rivalry among existing competitors
◦ Barriers to entry
What do these forces impact and how?
What are the implications for strategy?
2-7

8. Portfolio Assessment Tool: BCG matrix
Market Growth Rate
Stars Question Marks
High
?? ?
??
Cash Cows Dogs
Low
High Low
Relative Market Share

9. Step 3: Goal Formulation
To be effective, goals must be:
◦ Ordered in terms of priority (hierarchical)
◦ Stated quantitatively
◦ Realistic
◦ Consistent
Increase our market share by 10% compared to
Competitors over the next five years
Increase our profits by 5% every year during the
next five years
2-9

10. Step 4: Strategy Formulation: Porter’s Generic
Strategies
Overall cost leadership
Differentiation
Focus
2-
10

11. Growth Strategies: Ansoff’s Growth Vector Matrix
PRODUCTS / SERVICES
Present New
Present
Product / Service
MARKET
Market penetration
development
Market
New
Diversification
development

12. Developing an Integrated Marketing Mix:
Tactical Planning
Week 3: ing 12
Slide 2-40

13. Step 6: Program Formulation and Implementation
Break every program into its component
activities
Identify associated costs
Estimated involved time
Set up responsibilities
2-
13

14. Step 7:Tracking Performance
 Setperformance
objectives
◦ Market share, Profitability,
Return on net worth,
Customer satisfaction
 Select
method (s) for
evaluation
◦ Financial analysis, Market
research
2-
14

15. The Marketing Plan
A written statement of a marketing
strategy and the time-related details for
carrying out the strategy
◦ Executive summary
◦ Introduction and situation analysis (SWOT,
Portfolio assessment)
◦ Defining objectives
◦ Strategic options and selected strategy
◦ Tactical elements: the marketing mix
◦ Budget and timing
◦ Control procedures
15

16. For Next Week
 Reading 3 (Blue Ocean Strategy)
2-
16