Professional Documents
Culture Documents
and organizational goal ideas, goods and services goods services experiences events places properties organizations information ideas page no. 2
3 4 5 6 7 8 9 10 11 12 13
2 3 3 3 3 3 3 3 3 3
planning and executing the 3 conception, pricing, promotion and distribution of ideas, goods and services philosophies guiding a company's marketing efforts production concept mass distribution mass production 3
14
15 16
4 4
17 18 19 20 21
product concept selling concept marketing myopia Theodore Levitt narrow definition of business preoccupation wit product or technology the belief that a product is forever and has no substitute over obsession with mass production over optimism about growing market marketing concept Charles Batchelor target markets self actualization ego needs social needs safety and security needs physiological needs
4 5 5 5 6
22
23
24
25
26 27 28 29 30 31 32 33 34 35
8 8 10 10 10 10 10 10
36 37 38 39
functional level emotional dimension social dimension creating products to satisfy needs five product levels potential product augmented product expected product basic product core benefit core solution basic or generic product expected product
12 12 12 12
40 41 42 43 44 45 46 47 48 49
13 13 13 13 13 13 13 14 14
augmented product or value 14 added product potential product integrated marketing to deliver those products to customers internal marketing effort external marketing effort organisation chart profitability through customer satisfaction sales decline 14 16
50 51
52
16
53 54
16 17
55
17
56 57 58 59
slow market growth rates changing buying patterns increasing competition increased marketing expenditure customer concept mass customization societal marketing concept customer value and customer satisfaction value functional benefits emotional benefits
17 17 17 17
60 61 62 63
18 18 18 19
64
19
65
costs monetary time energy 19 psychic costs benefits total perceived costs sources of value quality improvements add attributes or features that enhance performance identify parallel needs identify purchase patterns 19 19 19 20 20 20
66 67 68 69 70 71
72 73 74
20 20
75
76
reduce risk of product failure customer satisfaction customer loyalty customer relationship management-CRM misconceptions about marketing synonymous with advertising and promotion only for consumer product companies is a cost, not an investment
21
77 78 79
22 22 22
80
23
81
23
82
24
83
24
unit 2:-The marketing environment 1 2 3 4 external forces internal forces environmental scanning understanding the external environment elements of macro environment 30 30 30 30
31
socio cultural ,Legal31 political, economic, sociocultural , technological paradigm shift Philip Kotler 31 31
7 8
9 10 11 12 13 14 15
31 31 32 32 32 33
major macro environmental 34 factors STEP analysis- PEST political economical social technological socio-cultural factors power distance individualism vs. collectivism masculinity vs. femininity uncertainty avoidance time orientation demographic factors population age mix education levels ethnic markets and subcultures technological factors political and legal factors 34 34
16 17
18 19 20
34 34 35
21 22 23 24 25 26 27
35 35 35 35 35 36 36
28 29
36 38
30
legislation regulating business special interest groups economic factors business cycle income growth and distribution savings, debt and credit availability natural environmental factors changes in business and marketing Carly Fiorina- HP E-commerce B2B B2C C2C business to consumer business to business consumer to consumer consumer to business-C2B websites
38
31 32 33 34
38 39 40 40
35
40
36
40
37
41
38 39 40 41 42 43 44 45 46 47 48
42 44 44 44 44 44 45 45 46 47
49
changing face of the economy income growth spending power income distribution population demographics change in consumption features attitude towards consumption availability of credit and Indian consumers attitude towards credit effects of deregulation
48
50 51 52 53 54
48 49 50 50 51
55
51
56
52
57
53
unit 3:- market oriented strategic planning 1 2 nature of strategic planning 58 business strategy competitive strategy planning process business mission environment marketing myopia strategic analysis external analysis internal analysis 58
3 4
58 59
5 6 7 8
59 61 61 61
9 10 11 12
61 61
industry and market analysis 61 macro environmental analysis internal analysis performance analysis BCG GE Matrix SWOT analysis Apple competitive advantage Michael Porter Completive advantage-CA substantial valued sustainable leveraged sources lower costs of inputs lower costs producer reduction system supply chain expertise quality of man power resources 61
13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30
62 62 62 62 64 66 66 66 66 67 67 67 67 67 67 67 67 67
31 32 33 34 35 36 37
Core competence C K Prahlad Gary Hamel Honda 3M Black and Decker strategy identification and selection identifying strategic alternatives intensive growth diversification growth integrative growth Ansoff Product Market Growth Matrix new or existing product new or existing market market penetration maruti market development product development Gillette Logitech diversification related diversification
68 68 68 68 68 70 70
38
70
39 40 41 42
71 71 71 72
43 44 45 46 47 48 49 50 51 52
72 72 72 73 73 74 75 75 75 75
53 54
unrelated diversification selecting strategic alternatives prepare operating plans for each functional area elements of marketing plan marketing objectives market segmentation and targeting market segment marketing mix product strategies
75 76
55
77
56 57 58
77 77 77
59 60 61 62 63 64
77 78 78
65
implementation ,evaluation 79 and control of the marketing plan evaluation and control BCG-growth share matrix Stars cash cows question marks/problem child dogs 80 83 83 84 84
66 67 68 69 70
71
85
72
85
unit 4:- competition and competitive strategy 1 2 3 4 5 6 7 8 9 identifying competitors customer perspective brand competition industry competition generic competition share of wallet 98 99 99 99 99 99
share of mind share of heart 100 industry perspective number of sellers and degree of product differentiation pure monopoly oligopoly duopoly monopolistic competition pure competition cost structure degree of vertical integration degree of globalization 100 100
10 11 12 13 14 15 16
17
102
18 19
strategic groups entry, mobility and exit barriers potential competitors structural analysis of an industry five forces model intensity of rivalry between firms concentration ratio or % of market share held market growth rates overcapacity higher fixed costs perishable products low levels of product differentiation diversity of rivals strategic importance of business r market switching costs intensity of rivalry affect business strategy threat of substitutes bargaining power of buyers buyer power
102 102
20 21
103 104
22 23
104 106
24
106
25 26 27 28 29
30 31
107 107
32 33
107 108
34 35 36
37
bargaining power of suppliers threat of new entrants entry barriers industry structure and customer needs competitor analysis size, growth and profitability image competitor objectives and commitment current and past strategies organization and culture cost structure exit barriers specialised assets customer commitments relationships with other business units government barriers competitive advantage strength and weakness analysis innovation manufacturing
110
38 39 40
41 42
113 113
43 44
114 114
45 46 47 48 49 50 51
52 53 54
55 56
116 116
57 58 59 60 61
finance management marketing customer base setting up a competitive intelligent system setting up the system collecting the data evaluating and analyzing data disseminating information within the organization generic competitive strategies cost leadership differentiation focus stuck in the middle
62 63 64
65
118
66
119
67 68 69 70 71
risks in pursuing the generic 123 strategies risks of overall cost leadership risks of differentiation market leader sustainable competitive advantage PIMS 123
72
73 74 75
76
126
77 78 79 80 81 82 83 84 85 86 87 88 89 90
remaining a market leader key strategic action expand the total market defend share Sun Tzu good leader attack itself by 525 rule position defense flank defense pre-emptive defense counteroffensive mobile defense contraction defense
126 126 126 127 127 127 127 128 128 128 128 128 128
increase sales when market 128 size is constant market challenger strategic options open to a market challenger are general attack strategies that a market challenger would use are frontal attack flank attack encirclement attack guerilla warfare 129 129
91 92
93
129
94 95 96 97
market follower counterfeiter cloner imitator adapter market nicher balancing customer and competitor orientation create value -for customer capture value for owner
105 106
132 132
unit 5:-market research and demand forecasting 1 2 market research problem identification research problem solving research segmentation research product research pricing research promotional research distribution research 140
3 4 5 6 7 8 9 10
11
develop of an approach to the problem research design formulation data sources secondary primary research approaches observational research focus group research survey research behavioral research experimental research research instrument questionnaire psychological tools mechanical device innovative qualitative tools close ended questions open ended question sampling plan sampling techniques probability sample simple random sample
145
12
146
13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32
146 146 146 147 147 147 147 147 147 147 148 148 148 148 149 149 150 151 151 151
33 34 35 36 37 38 39 40 41 42 43 44 45 46
stratified random sample cluster area sample non probability sample convenience sample judgment sample quota sample sample size contact methods mail questionnaire telephone interview personal I interview online method
151 151 151 151 151 151 151 152 152 152 152 152
field work or data collection 153 data preparation and analysis multiple regression discriminate analysis factor analysis cluster analysis conjoint analysis multidimensional scaling report preparation and presentation title page 154
47 48 49 50 51 52 53
54
156
55 56 57 58 59 60 61 62 63 64 65
letter of transmittal letter of authorization table of contents executive summary problem definition approach to problem research design data analysis results limitation sand caveats conclusions and recommendation marketing decision support systems-DSS interactivity flexibility discovery accessible forecasting and demand measurement market demand ,market potential , and market penetration expansible market non expansible market market penetration index
156 156 157 157 157 157 157 157 157 157 157
66
158
67 68 69 70 71
72
159
73 74 75
76 77
share penetration index company demand, sales forecast and sales potential sales budgets sales targets estimating current demand total market potential area market potential industry sales and market shares estimating future demand
159 160
78 79 80 81 82 83
84 85 86 87 88
162
survey f business intention s 162 composite of sales force expert opinions statistical analysis of past sales analysis 162 163 163
unit 6:- consumer behavior 1 2 3 4 5 6 psychology sociology social psychology anthropology economics consumer research 170 170 170 170 170 170
simplified model of consumer decision making input firms marketing efforts sociocultural environment process output consumer as an individual motivation needs innate needs biogenic needs psychogenic or secondary needs Sigmund frued Laddering technique MaslowHerzberg dynamics of motivation positive or negative never fully satisfies multiplicity of needs
170
8 9 10 11 12 13 14 15 16 17 18
171 171 171 172 172 172 172 172 172 172 173
19 20 21 22 23 24 25 26 27
28
29 30
dynamics of perception selective perception selective attention selective distortion selective retention learning advice cue response reinforcement beliefs and attitudes personality personal factors
176 176
31 32 33 34 35 36 37 38 39 40 41 42
176 176 177 178 178 178 178 178 179 181
age and stage of family cycle 181 occupation and economic circumstances lifestyle AIO variable consumer in their socio cultural setting culture subculture reference groups primary group secondary group 181
43 44 45
46 47 48 49 50
51 52
virtual group types of decision and buyer behavior buying roles initiator influencer decision maker buyer user types of decision extensive problem solving limited problem solving routinized problem solving level of involvement high involvement low involvement
184 185
53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69
186 186 186 186 186 186 187 187 187 187 188 188 188
differences between brands 189 types of buying behavior complex-B dissonance reducing behavior habitual buying behavior variety seeking behavior decision making process 189 189 189
70 71 72
73 74 75 76 77 78 79 80 81 82 83 84 85 86 87
need recognition actual state desired state prepurchase search past experience shopping around internet personal sources marketing tasks evaluation of alternatives evoked set the purchase decision trial purchases repeat purchases long term commitment purchases post purchase evaluation relationship marketing and brand loyalty permission marketing erosion of brand loyalty unit 7:- market segmentation and selecting target market
192 192 192 193 193 193 193 194 194 194 194 196 196 196 196
88 89
197 197
90 91
198 198
market segmentation
206
2 3 4 5 6
mass marketing shot gun approach mass marketing rifle approach segmentation -targetingpositioning-STP segment niche marketing market segmentation in different industries mutual funds life insurance credit cards bases for market segmentation geographic segmentation
7 8 9
10 11 12 13
14 15 16 17 18 19
210
demographic segmentation 211 age and stage of life cycle gender marital status income, education and occupation 212 213 213 214
20 21
22
216
23
values attitudes and lifestyles self driven materialists independent explorer passive traditionalists enthusiastic experimenters optioned realists mature sensible
216
24 25 26 27 28 29 30 31 32 33
socioculturral segmentation 220 culture and subculture use-related segmentation usage situation segmentation time occasion objective location of use context benefit segmentation hybrid segmentation 221 221 222
34 35 36 37 38 39 40 41
criteria for effective market 224 segmentation substantial accessible differentiable 225 225 225
42 43 44
45 46 47
actionable measurable the market segmentation process survey analysis of findings segment profiling evaluating segment attractiveness market targeting single segment concentration selective specialization product specialisation market specialization full market coverage undifferentiated marketing differentiated marketing
48 49 50 51
52 53
227 228
54 55 56 57 58 59
unit 8 :- Positioning 1 2 3 4 AI Ries And Jack Trout why positioning important selectively attentive selectively retain 236 237 237 237
5 6 7 8
positioning concept ABC target audience effective market segmentation slot or category frame e of reference or point of parity understanding perception s,attitudes, beliefs, values B-Benefit C-Compelling reason why point of differentiation POD USP-unique selling preposition credible and compelling evidence sustainable competitive advantage Himalaya under position over positioning confused positioning doubtful positioning process of developing position
9 10
238 239
11
240
12 13 14
15
243
16
243
17
243
18 19 20 21 22 23
24 25 26
27
positioning on specific 248 benefits, needs and solution s claiming to be the best in class on a given benefit claiming pioneer status or first to offer a benefit 248
28
29
248
30
positioning on specific usage 249 type positioning on specific usage 249 occasion positioning against another competitor by claiming superior performance position through product class dissociation -the uncola strategy 249
31
32
33
249
34 35
position by cultural symbols 249 positioning by price or lowest cost positioning tools one face to the consumer single coherent face contact points moments of truth 250
36 37 38 39 40
41 42
repositioning increase relevance to the consumer increasing occasion of use search for a more viable position making the brand serious falling sales bringing in new customer making the brand contemporary differentiate form the newer set of competitors changed market condition
251 253
43 44
254 254
45 46 47 48
49
255
50
255
unit 9:- Product concepts-I 1 2 3 4 5 6 7 8 9 product differentiation valued distinctive profitable sustainable Michael Porter operational effectives strategic positioning volume industry 263 264 264 264 264 264 264 264 265
10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32
stalemated industry fragmented industry specialised industry differentiation tools product differentiation product forms product features performance quality conformance of quality durability reliability reparability /serviceability style/design /aesthetics services personnel competence courtesy credibility reliability responsiveness channel image discovering new points of differentiation
265 265 265 266 266 266 267 267 267 268 268 268 268 270 271 272 272 272 272 272 273 274 275
33 34 35
product classification durability and tangibility consumer goods classification convenience goods staples necessities impulse goods emergency goods shopping goods specialty goods unsought goods classification of consumer goods depends on market segment industrial goods classification raw materials capital items supplies, consumables and services product mix and product lines product mix product portfolio width
36 37 38 39 40 41 42 43 44
45
282
46 47 48
49
283
50 51 52
53 54 55 56 57 58 59 60 61
length depth consistency product line length depth consistency line filling product portfolio and product line management brand decision badge of origin brand essence why do brands matter identification of a product reduce the risk deep relation ship legal protection brand equity branding decisions the number of brands they will support the branding strategy to be used individual brand names
62 63 64 65 66 67 68 69 70 71 72
287 288 288 289 289 289 289 290 290 291 290
73
290
74
290
75 76 77
range brand names umbrella brand names corporate name combined with an individual product name
unit 10:- product concept-II 1 2 3 4 product innovation new to the world new product line 298 298 298
addition to existing product 298 lines improvement and revisions of existing products repositioning cost reduction types of innovations innovation- two levels incremental or continuous innovation s breakthrough or discontinuous innovations integrator model orchestrator model licensor/licensee model organizing for new product development 298
6 7 8 9 10
11
300
12 13 14 15
16 17 18
entrepreneurs mistakes managing the product development process concept development and testing
19
303
20
marketing plan and business 305 analysis test marketing commercialization the consumer adoption process product characteristic that influence diffusion relative advantage compatibility complexity trial ability observably stages in adoption process awareness interest evaluation trial adoption adoption categories 305 306 306
21 22 23
24
307
25 26 27 28 29 30 31 32 33 34 35 36
307 307 307 307 308 308 309 309 309 309 309 309
37 38 39 40 41 42
explorers pioneers skeptics paranoids laggards the product life cycle concept-PLC concept product category product form technology product life cycle patterns style fashion fads
43 44 45 46 47 48
PLC stages and strategies in 313 different phases introduction stages strategies to enter market offensive strategy defensive strategy imitative strategy product strategy communications strategy pricing strategy rapid skimming or slow skimming rapid penetration or slow 313 313 313 314 314 315 315 316 316
49 50 51 52 53 54 55 56 57
58
316
penetration 59 60 61 62 distribution strategy competitive strategy growth stage key marketing objectivesearly growth product strategy pricing strategy communications strategy distribution strategy latter growth stage maturity stage product strategy communications strategy distribution strategy pricing strategy decline stage lessons from product life cycle concept positive curve sales curve strategic focus and product life cycle critique 317 317 317 318
63 64 65 66 67 68 69 70 71 72 73 74
318 318 319 319 319 320 320 321 321 322 322 323
75 76
323 324
77 78 79
324
80 81 82
unit 11:-distribution channels 1 2 3 4 5 6 7 role of marketing channels intermediaries merchants agents facilitators channel structure direct/indirect distribution channel vertical marketing system types of VMS corporate VMS administered contractual VMS multiple channel non-traditional channel 334 334 334 334 334 335 336
8 9 10 11 12 13 14 15 16 17
horizontal marketing system 339 internet channel design strategies 340 341
18
levels of distribution intensity intensive distribution selective distribution exclusive distribution target market factors intensive with wide coverage cold chain network selective with wide market coverage product related factors company related factors push strategy pull strategy managing channel relationships
341
19 20 21 22 23
24 25
342 342
26 27 28 29
30
channel power, control and 345 leadership channel conflict managing channel conflict channel partnering channel and distribution decisions for services priority areas minimizing waiting time managing service capacity 345 346 346 347
31 32 33 34
35 36 37
38
349
unit 12:-strategic pricing-I 1 2 3 4 cost based pricing value based pricing costs: impact of pricing customer values and price sensitivity economic value estimation reference price effect difficult comparison effect switching costs effect price-quality effect expenditure effect end benefit effect shared cost effect fairness effect framing effect market segmentation using price -value perceptions 355 355 356 357
5 6 7 8 9 10 11 12 13 14 15
358 359 360 361 362 363 365 366 366 367 368
16
17
18 19 20 21 22
price buyers relationship buyers value buyers convenience buyers effect of internet on price sensitivity pricing strategy and the product life cycle pricing the product at the introduction stage price skimming strategy
23
371
24
372
25 26 27 28
372
market penetration strategy 372 price induced sampling pricing the product for the growth stage pricing the differentiated product pricing the cost leader's product price level reduction in the growth stage pricing the established product in the maturity stage pricing the product the decline stage divesting harvesting 372 373
29
374
30
374
31
375
32
375
33
376
34 35
376 377
36
consolidation
377
unit 13:-strategic pricing-II 1 understanding the pricing game understanding the price competiveness cost structure impact of sales volume on cost overcapacity barriers to adjusting capacity scope for product differentiation product perish ability number and diversity of competitors industry growth rate buyer concentration price sensitivity of the buyers sustainable competitive advantage 383
383
3 4
384 384
5 6
384 384
384
8 9
384 384
10 11 12
13
384
14
reacting to competition with 385 price competitor is strategically weaker/cost of responding 388
15
is too high 16 17 ignore competitor is weaker and price reaction is cost justified attack competitor is neutral or stronger and the price reaction is too costly accommodate competitor is stronger and the price reaction is cost justified defense pricing: key tool of a company's growth strategy business models role of distribution channel in setting prices channel design role of the channel intermediaries product line pricing fighter brands flagship brands flanker brands relationship among products 388 388
18 19
388 389
20 21
389 389
22 23
389 390
24 25
391 391
26 27
392 392
28 29 30 31 32
33 34 35 36 37 38 39
pricing tactics base level prices geographic pricing FOB origin pricing uniform delivered pricing freight absorption pricing discounts, allowances and rebates quality discount cumulative discount noncumulative discount cash discount trade discount seasonal discount promotional allowances advertising allowances rebate zero percent financing special pricing tactics price lining loss leader pricing odd-even pricing price bundling price induced sampling
40 41 42 43 44 45 46
47 48 49 50 51 52 53 54
55 56 57
unit 14:-integrated marketing communication Imc 1 2 objectives inform persuade and remind reminder communication communication process sender encoding channel, media tools media noise or media clutter decoding AIDA concept response hierarchy model cognitive affective Connative communication mix advertising types of advertising corporate or institutional 407 407
3 4 5 6 7 8
9 10 11 12
13 14 15 16
advertising 17 18 19 20 21 22 23 24 product advertising pioneer advertising competive advertising sales promotion loyal users lure customers brand switchers low product usage or infrequent product usage pull push public relations and publicity public relation tools new product publicity event sponsorship product placement consumer education cause related marketing personal selling direct marketing internet as a communication tool internet is interactive and involving 415 415 415 416 416 416 416 416
25 26
417 418
27 28 29 30 31 32 33 34 35
36
422
37
internet offers current, rich and in-depth information internet personalizes the information tools of internet communication website advertising and sponsored content intranet customer extranet web PR Email factors affecting the communication mix nature of the product stages in the life cycle target market type of buying decision available of funds push and pull strategy media mix media planning factors affecting media selection communication objectives
422
38
423
39
423
40 41
423 423
42 43 44 45 46
47 48 49 50 51 52 53 54 55
56
429
57 58 59 60
editorial fit involvement with medium image of the medium characteristics of different media television radio print media magazines outdoor cinema developing a communications campaign marketing brief communication tasks
61 62 63 64 65 66 67
68 69 70 71
435 435
creative and media strategy 435 media plan and media schedules advertising pre testing campaign roll out post campaign analysis slice-of -life lifestyle fantasy humorous 436
72 73 74 75 76 77 78
79
animated product symbols/brand persona mood/image demonstration musical scientific budgeting for marketing communications methods of setting communication budget affordable method
437
80 81 82 83 84
85
438
86 87 88 89
438
percentage of sales method 438 competitive parity method objective or task method 438 439
unit 15:- marketing of services 1 2 3 4 5 6 7 8 characteristics of services intangibility inseparability variability perishabilty on demand side on supply side marketing mix for service firms 446 446 447 449 449 450 450 450
9 10 11 12 13 14 15 16 17 18 19 20 21 22
people physical evidence processes managing service quality SERVIQUAL reliability responsiveness assurance empathy tangibles scan table desired service adequate service GAP model of service quality market information GAP service standard GAP service performance GAP internet communication GAP service equality GAP implication of the GAP model for companies transactional surveys mystery surveys
450 451 452 452 452 452 452 452 452 453 453 453 453 454
23 24 25 26
27 28
456 456
29 30
458 458
31
new, declining and lost customer surveys customer advisory panels focus group interviews customer complaint, comment and inquiry capture employee field reporting employee surveys service operating data capture role for self service technologies-SST differentiation of services product offering people faster service delivery image managing product support service value added service product support service
458
32 33 34
35 36 37
38
459
39 40 41 42 43 44
45 46
463 464