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Part 1: Understanding Marketing Management,[object Object],> Company Orientation towards the Marketplace,[object Object],> Fundamental Marketing Concepts, Trends and Tasks,[object Object],> Marketing & Customer Value,[object Object],Class Presentation | Session 2 | 19 Aug 2010,[object Object]
Company Orientations toward the marketplace,[object Object],Different approaches companies use for marketing,[object Object],Production,[object Object],Product,[object Object],Selling,[object Object],Marketing,[object Object],Holistic Marketing,[object Object],MG 220 Marketing Management,[object Object],2,[object Object]
Company Orientations toward the marketplace,[object Object],The Production Concept,[object Object],Consumers will favor products that are “widely available” & “inexpensive”,[object Object],Focus on “Production”,[object Object],The Product Concept,[object Object],Consumer will favor those products that offer the most quality, performance or innovation,[object Object],Focus entirely on “Product development”,[object Object],What if: not priced, distributed, advertised and sold properly?,[object Object],MG 220 Marketing Management,[object Object],3,[object Object]
Company Orientations toward the marketplace,[object Object],The Selling Concept,[object Object],Customers (consumers & businesses), if not engaged, will not buy enough,[object Object],Aggressive selling & promotion is required,[object Object],Practiced with unsought goods,[object Object],The Marketing Concept,[object Object],Replace product-centred “make-and-sell” with “sense-and-respond”,[object Object],Reactive market orientation,[object Object],Proactive market orientation,[object Object],MG 220 Marketing Management,[object Object],4,[object Object]
Company Orientations toward the marketplace,[object Object],The Holistic Marketing Concept,[object Object],“Everything matters”,[object Object],Based on the development, design and implementation of marketing programs, processes, and activities that recognizes their breadth and interdependenices,[object Object],4 Components,[object Object],Relationship marketing,[object Object],Integrated marketing,[object Object],Internal marketing,[object Object],Social responsibility marketing,[object Object],MG 220 Marketing Management,[object Object],5,[object Object]
Company Orientations toward the marketplace,[object Object],MG 220 Marketing Management,[object Object],6,[object Object]
Company Orientations toward the marketplace,[object Object],MG 220 Marketing Management,[object Object],7,[object Object]
Company Orientations toward the marketplace,[object Object],MG 220 Marketing Management,[object Object],8,[object Object]
Company Orientations toward the marketplace,[object Object],MG 220 Marketing Management,[object Object],9,[object Object]
Fundamental Marketing ConceptsCore Concepts,[object Object],Needs,[object Object],Basic Human Requirements,[object Object],Wants,[object Object],Needs which are directed to a specific object,[object Object],Demands,[object Object],Wants for specific products backed by ability to pay (acquire),[object Object],MG 220 Marketing Management,[object Object],10,[object Object]
Fundamental Marketing ConceptsCore Concepts,[object Object],Understanding Needs,[object Object],Stated,[object Object],Real,[object Object],Unstated,[object Object],Delight,[object Object],Secret,[object Object],MG 220 Marketing Management,[object Object],11,[object Object],[object Object]
Quality
Affordable, Branded
A good discount deal
‘wanna’ look cool!!!,[object Object]
Fundamental Marketing ConceptsCore Concepts,[object Object],Offering,[object Object],Positioning is “crafted” into an offering,[object Object],Brands,[object Object],An offering from a known source,[object Object],MG 220 Marketing Management,[object Object],13,[object Object]
Fundamental Marketing ConceptsCore Concepts,[object Object],Value,[object Object],‘perceived’ tangible and intangible benefits and costs to customers,[object Object],Satisfaction,[object Object],Fulfillment of a need,[object Object],	*WRONG*,[object Object],	Person’s comparative judgments resulting from a product’s perceived performance,[object Object],	If performance < expectations: dissatisfied/dissapointed,[object Object],	If performance>=expectations: satisfied/delighted,[object Object],MG 220 Marketing Management,[object Object],14,[object Object]
Fundamental Marketing ConceptsCore Concepts,[object Object],Marketing Channels,[object Object],Communication channels,[object Object],	interacting with target buyers,[object Object],Distribution channels,[object Object],	display, sell or deliver,[object Object],Service channels,[object Object],	facilitating transactions with buyers,[object Object],MG 220 Marketing Management,[object Object],15,[object Object]
Fundamental Marketing ConceptsCore Concepts,[object Object],Supply Chain,[object Object],Marketing Channel: Marketer to target buyer,[object Object],while,[object Object],Supply Chain: A complete value delivery system,[object Object],	From Raw materials to components to final buyers,[object Object],MG 220 Marketing Management,[object Object],16,[object Object]
Fundamental Marketing ConceptsCore Concepts,[object Object],Competition,[object Object],	all the actual and potential rival offerings and substitutes that a buyer might consider,[object Object],Coke’s competition (?),[object Object],MG 220 Marketing Management,[object Object],17,[object Object]
Fundamental Marketing ConceptsCore Concepts,[object Object],Marketing Environment,[object Object],Task Environment,[object Object],	Immediate actors involved in producing, distributing and promoting the offering,[object Object],Broad Environment,[object Object],Demographic Environment,[object Object],Economic Environment,[object Object],Physical Environment,[object Object],Technological Environment,[object Object],Political-legal Environment,[object Object],Social-cultural Environment,[object Object],MG 220 Marketing Management,[object Object],18,[object Object]
Fundamental Marketing ConceptsCore Concepts,[object Object],Marketing Planning,[object Object],A Process consisting of:,[object Object],Analyzing marketing opportunities,[object Object],Selecting target markets,[object Object],Designing marketing strategies,[object Object],Developing marketing programs,[object Object],Managing the marketing effort,[object Object],MG 220 Marketing Management,[object Object],19,[object Object]
Fundamental Marketing ConceptsShifts in Marketing Management,[object Object],From Marketing does the marketing to everyone does the marketing,[object Object],From organizing by product units to organizing by customer segments,[object Object],From Making everything to buying more goods and services from outside,[object Object],From using many suppliers to working with few “partners”,[object Object],From relying on old market positions to uncovering new ones,[object Object],From emphasizing tangible assets to emphasizing intangible assets,[object Object],From building brands through advertising to building brands through performance and integrated communication,[object Object],MG 220 Marketing Management,[object Object],20,[object Object]
Fundamental Marketing ConceptsShifts in Marketing Management,[object Object],From attracting customers through stores and salespeople to making products available online,[object Object],From selling to everyone to trying to be the best firm serving well-defined target markets,[object Object],From focusing on profitable transactions to focusing on Customer Lifetime Value,[object Object],From a focus on gaining market share to a focus on  building customer share,[object Object],From being Local to being “Glocal”,[object Object],From focusing on financial scorecard to focusing on marketing scorecard,[object Object],From focusing on shareholders to focus on stakeholders,[object Object],MG 220 Marketing Management,[object Object],21,[object Object]
Fundamental Marketing ConceptsMarketing Management Tasks,[object Object],Developing Marketing Strategies and Plans,[object Object],Capturing Marketing Insights,[object Object],Connecting with customers,[object Object],Building strong brands,[object Object],Shaping the Market Offerings,[object Object],Delivering value,[object Object],Communicating value,[object Object],Creating Long-term growth,[object Object],MG 220 Marketing Management,[object Object],22,[object Object]
Marketing & Customer ValueThe Value Delivery Process,[object Object],MG 220 Marketing Management,[object Object],23,[object Object]
Marketing & Customer ValueThe Value Delivery Process,[object Object],MG 220 Marketing Management,[object Object],24,[object Object]
Marketing & Customer ValueThe Value Chain,[object Object],A tool for identifying ways to create more customer value,[object Object],Every firm is a synthesis of activities performed to design, produce, market, deliver and support its product,[object Object],Primary Activities (producing & marketing),[object Object],Support Activities (management of firm),[object Object],MG 220 Marketing Management,[object Object],25,[object Object]
Marketing & Customer ValueThe Value Chain,[object Object],Firm should estimate its competitors’ costs and performances as ‘benchmarks’ against which it compares its own costs and performance,[object Object],Success depends on ‘core business processes’,[object Object],Market sensing,[object Object],Offering realization,[object Object],Customer Acquisition,[object Object],Customer Realization,[object Object],Fulfillment management,[object Object],MG 220 Marketing Management,[object Object],26,[object Object]
Marketing & Customer ValueThe Value Chain,[object Object],MG 220 Marketing Management,[object Object],27,[object Object]
Marketing & Customer ValueCore Competences,[object Object],Outsource the less critical,[object Object],Focus on Core Competency,[object Object],Characteristics of Core Competency:,[object Object],A Source of competitive advantage,[object Object],Has Application in a wide variety of markets,[object Object],Difficult for competitors to imitate,[object Object],MG 220 Marketing Management,[object Object],28,[object Object]
Marketing & Customer ValueA Holistic Marketing Orientation & Customer Value,[object Object],MG 220 Marketing Management,[object Object],29,[object Object],Customer,[object Object],Company,[object Object],Partners,[object Object],Designing,[object Object],Developing,[object Object],Delivering,[object Object]
Marketing & Customer ValueThe Central Role of Strategic Planning,[object Object],All the successful brands:,[object Object],Focus on Customers,[object Object],Respond effectively to changing customer needs,[object Object],Have well-staffed marketing departments,[object Object],And all other departments in their organizations understand: “CUSTOMER IS THE KING”,[object Object],MG 220 Marketing Management,[object Object],30,[object Object]

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Session 2 MG 220 MBA - 19 Aug 10