MKT 6301 - 502 MARKETING MANAGEMENT

Call number 12542

Spring 2008

Meeting Time: W 7:00 pm - 9:45 pm Prof. Ernan Haruvy

Classroom: SOM 2.801 Email: eharuvy@utdallas.edu
Office Hours: M 6:00 pm – 7:00 pm
Teaching Assistant:

Required Text: Philip Kotler and Kevin Lane Keller, Marketing Management, 12th edition.
Case Packet containing 6 cases.

Course Description
This core course in marketing management will provide students with an overview and
understanding of the role of marketing in organizations. Special attention will be given to the
way in which consumer wants, needs, perceptions, and attitudes impact firms’ strategies.
Topics will include marketing strategy, planning and control, segmentation, consumer
behavior, promotion, advertising, branding, new product management, pricing, distribution,
and retailing. Students in this course will learn marketing terminology, develop an
understanding of the basic principles of marketing and their applications and learn to recognize
their significance and scope in marketing management. The lectures will be interspersed with
case discussions. Students are expected to actively participate in constructive class discussions.

Course Policy
Each time a case is on the reading list there will be a quiz which will include one or two
multiple choice questions about the case assigned for that week. There will be no make-up
quizzes but students can drop one quiz grade.
Attendance is important. Participation is even more important. Participation is not
attendance. It is based on your level of involvement in discussion, leadership in the group,
level of preparedness, and demonstrated knowledge.
Please ensure that project submissions are made on time. In fairness to the other
groups, late submissions will be penalized.
Peer Evaluation: Your share in the group’s grade will be determined by your peer evaluation score.
Please abide strictly by the Academic Honor Code.

1
Course Evaluation and Grading
Participation 5% Based on involvement in the class discussions.
Weekly Quizzes 5% Closed book.
Assignments 10% Each group will submit portions of the project periodically
Project Write-up 20% Each group will submit a final written project report.
Project Presentation 10% Each group will present its project to the class.
Midterm 25% Closed book
Final Exam 25% Closed book
100%

COURSE SCHEDULE
Dates Topics Chapters

Jan 9 Introduction 1
Core concepts & definitions 1
The Marketing Environment 3
Social Foundations & Company Orientations 1

Jan 16 Strategic Planning 2

Due:
Topic for Group Project.

Jan 23 Marketing Research & Demand Forecasting 4

Jan 30 Buyer Behavior 6

Buyer Decision Process 6
Due:
Executive Summary
Marketing Mix (Ch. 1)
Environmental Scanning (Ch. 3)
SWOT analysis (Ch. 2)
Identify three competitors, gather basic information

Feb 6 Market Segmentation 8

Market Targeting, Positioning, Differentiation 8,10

Feb 13 Designing Products, 10

New-Product Development & PLC Strategies
 Case 1: Fisher Price Toys

Feb 20 MIDTERM

Feb 27 Pricing Considerations & Approaches 12, 14

Case 2: Colgate Palmolive

March 5 Pricing Strategies 14

Case 3: Nestle Contadina & Pasta

Due:
Value Proposition
Egg diagram. Marketspace Offering (Ch. 6)
Pricing Strategy
Identify Customer Segments—collect basic information
Forecasts of Demand and Sales (Ch. 4)

March 12 Spring Break 3/10-3/15

March 19 Managing Marketing Channels 15

Retailing & Wholesaling
Case 4: John Deere

March 26 Communication Strategies & Advertising 17, 18

Case 5: Pizza Hut

Apr 2 Sales Promotion & Public Relations 18

Case 6: Optical Distortion Inc.

Apr 9 Personal Selling & Sales Management 19

Due:
Communication mix
Advertising Strategy
Channel Strategy
Complete Project

Apr 16 EXAM
Apr 23 Group Project presentations
Submit Peer Evaluation forms
GROUP PROJECT – Idea for Topic

Each group will prepare a business model in a clearly specified industry or a particular
marketplace (not from an existing case study) and turn it in. The type of business is
flexible, but you need to get approval from me before you begin. Be original and creative.
Here is a menu of ideas for a web business (which is ideal given the limited capital). You
may choose from this menu. Your choice is due by the end of the second lecture.

Startup capital: You have initial capital of $20,000.

Topic I. A market site. This site will provide a market in the DFW area to a segment
that is relatively underserved. The market will allow sellers to post their offering and
buyers to search and identify ideal offering. The site cannot simply list items. It must
devise algorithms to optimally match buyers and sellers (hence the added value), to
optimally customize itself to buyers and sellers, and to offer only relevant, yet valuable
(and preferably proprietary) information. Note that you are not creating Amazon, eBay or
Craig’s List, so just a market for used or new items is out of the question. You cannot
compete with these sites, so you must choose items that are local in nature or that are so
specialized that a general site like eBay, Amazon, or Craig’s list cannot handle nor find it
profitable or feasible to do so. The used textbook idea is out since the proposition is
infeasible (as countless past projects have proven). Successful examples include a market
for handmade crafts in Dallas, for Asian artwork with a direct overseas network, for small
business opportunities, for local labor markets (high school students, dog walkers,
nurses), etc. In the case of labor markets, a scheduling tool is often useful to enhance the
site’s usefulness.

Topic II. An Organizer Site. Event organizers, show organizers, birthday organizers,
wedding planners, family event planners, etc. have been a very popular project choice in
this class. Since your group is not the provider of the actual services, but rather a website
that collects these services and organizes them, it is important to focus on key
competitive advantages. The competition is quite fierce in all these planning areas, so you
must find a way to outdo the competition. Key in this is obtaining defensible alliances
and clever cost-cutting and efficiency enhancing tools. What are some information
sources that only you could have access to? What are some algorithms that you could
think of to provide real cost savings to your customers? How can you personalize the site
to enhance loyalty?

Topic III. An Information Site. The idea here is to create an information rich site that
will attract traffic. This traffic can then be translated into revenue through ads and clicks.
This has been a popular choice but projects have generally lacked proprietary information
sources, a solid revenue model, and have been characterized by exaggerated
(overoptimistic) revenue forecasts from advertising and clicks. Previous projects on this
topic included a gardening site, a senior citizen site, an international students site,
military personnel site, grieving families site, troubled teens site, medical advice site (I
have had many of these), and pet owners (over the years I have had at least four projects
dedicated to dog dating). To do well in this choice, you need to come up with unique
information sources, a way to organize and customize these sources to create a
competitive advantage, and a way to obtain revenues without exaggerating forecasts.
Specific guidelines

The project needs to be double spaced. It can be no less than 25 pages of text and no
more than 40 pages of text (not including tables, figures and references). It should have
no less than 6 pages of exhibits and no more than 15.

The written project will have different parts, which closely follow the sample plan in
chapter 2, pp. 61-67 and also detailed in the Table of Contents provided at the end.

Keep in mind that this is not an “imaginary” business proposal. You have seed money of
up to $20,000. That is, do not assume you have a million dollars and exclusive alliances.

If you plan to have exclusive alliances, sponsors, or financing, explain how you plan to
obtain them and why your collaborators would be enticed.

Do not blah, blah. Every claim should be backed up from some source (company web
page, case reports, SEC or 10K filings, news articles, et.). Each reference should follow
the claim and the full reference should be provided in a footnote or the endnotes.

GROUP PROJECT PRESENTATION

Each group will present its business model. DO NOT PRESENT YOUR INDUSTRY
ANALYSIS, although you may have one slide summarizing competitor strengths and
competitive threats. The class will then rate each group on the following dimensions:

1. Competitors: Did the group identify the critical

A B C
competitors? Do they have a competitive advantage?
2. Target Segment: Were the target segments clearly
A B C
identified and are they reachable to the group?
3. Product Offering: Was the product offering complete?
A B C
Were the steps in the consumer decision process addressed?
4. Promotion: Did the group fully utilize the promotion and
A B C
media mix to maximize coverage and reach?
5. Branding: Did the group utilize all approaches to branding
A B C
to generate awareness and strong brand equity?
6. B2B: Did the group take full advantage of procurement and
A B C
outsourcing opportunities?
7. Defensive capability: With a head start, can the group
A B C
maintain a competitive advantage that is hard to imitate?
8. Revenue Model: Can the group generate revenues? Have
A B C
they exhausted all possible revenue sources?
9. Pricing: Did the group present a clear and effective pricing
A B C
strategy that employs the material covered in class?
10. Presentation: Was the presentation exciting, interesting,
A B C
and informative?
Group Project Table of Contents

1. Executive Summary
Products/services, target segments, focal benefits, core competencies,
financial assessment

2. Situation Analysis
2.1. Market Summary / Environmental Scanning
2.1.1 Market Demographics
2.1.2 Market Needs
2.1.3 Market Trends
2.1.4 Market Growth
2.2. SWOT Analysis
2.2.1. Strengths
2.2.2. Weaknesses
2.2.3 Opportunities
2.2.4 Threats
1. 2.3. Competition: You need to cover a minimum of 3 competitors that are
relevant (in business as close to yours as possible). You need to do serious
research here and provide some figures. If the competitor does not have filings or
newspaper stories about it, you may need to call them or go over there to find out
info. How many customers do they have? What is the geographical area that they
serve? These answer you can obtain simply by sending them an email. They will
answer these two questions as long as you are polite and don’t have too many
questions. Do some analysis of their web site: How do they generate revenues?
Banner ads? Links? Donations? Fees? Sales? How do they personalize their site
or services? The answers to these questions you can get simply by looking at the
web site. Have a snapshot of each of their main sites. What are the strengths and
weaknesses of each competitor?

2.4. Product Offering: Make sure you provide an egg diagram here with
the relevant decision steps. The egg diagram should be displayed at the end in a section
called Figures, but should be described fully in the text.
2.5 Keys to Success
2.6. Critical Issues
3. Marketing Strategy
3.1. Mission
3.2. Marketing Objectives
3.3. Financial Objectives
2. 3.4. Target Markets: Be detailed here. Who are your consumers? I need lots and
lots of detail here. Where do they live? How much money do they make? How
many children do they have? What do they eat for breakfast? Some of the answers
will involve decisions by the group. Other answers will come from research on
the geographical area or segment you are targeting. You can have several
segments. In fact, you should. Your segments should be as narrowly defined as
possible. Have a minimum of two target segments. Give detailed research about
each segment. You will need to use survey research here. Make sure to refer to
 each of these two segments in each subsequent strategic discussion, particularly
sections 3.6 and 3.7, referring to the marketing mix.
3.5. Positioning
3.6 Strategies
3.7. Marketing Mix
3.7.1 Pricing: Detailed pricing strategy as covered in class. Use research
to justify pricing. Have different prices for different segments. Use cost computations,
break-even analysis, marginal analysis, tiered pricing, bundle pricing, (1st, 2nd or 3rd
degree) price discrimination, two-part pricing and other strategies covered in class.
3.7.2. Distribution
3.7.2.1. Coverage
3.7.2.2 Location, Inventory, Transport
3.7.2.3 Customer Distribution Needs
3.7.2.4. Channel Objectives
3.7.2.5 Channel Alternatives

3.7.3. Promotion
3.7.3.1. Communication mix
3.7.3.2. Advertising Strategy: Mission/Goal, Budget, Message, Media

3.7.4. Customer Service

3.7.5 Product: Quality and Design, Features, Brand Name, Packaging,
Size, Warranties, Returns

3.8. Marketing Research

4.0. Financials
4.1. Break Even Analysis
4.2. Sales Forecast and Demand Assessment
4.3. Expense Forecast
5.0 Controls
5.1. Implementation
5.2. Marketing Organization
5.3 Contingency Planning

6. Conclusion

7. References: References. References go at the end and are not footnotes. Include at least
five references from reputable non-www sources. Email or phone correspondence with
executives is an acceptable and recommended source as long as you indicate the
executive. The format for the references is not that critical. One recommendation is:
Author (Date or Year), “Title of Article”, Source, page numbers. For example, Haruvy,
E. (1999), Journal of Stuff, pp. 34-36. Is every claim backed by research? Is it cited in
your reference section? Research is not www.google.com. Although you are more than
welcome to cite web sites as your source of information, you are expected to visit
databases. Examples include Business Source Premier, Business Dateline, Business and
Industry and Lexis-Nexis. All are available to you via the UT-Dallas library web site
(you can access it from home). You are expected to do your research.
8. Exhibits (any figure that appears in the exhibits but is not referred to in the text is an
automatic deduction of points). All tables and figures should NOT be included in the
body of the paper but rather moved to the end of the paper. In the body of the paper,
where figure 3 should be, please put <INSERT FIGURE 3 HERE>.

Egg Diagram
Resource Diagram
Snapshots of competitors’ websites
Snapshots of your website
Customer Survey
Site Map
Flowchart