1. The 4 P’s of Marketing Management in Biz-Cafe
Ted Mitchell

2. Shifting the Game’s perspective
The game is designed to be played as an
Entrepreneurial exercise
With some exposure to
Key accounting issues
Key HR issues
Key Operations/Planning issues
Key Marketing Issues

3. When the Game is Played as a Marketing Management Game
The focus is on decisions that impact marketing performance
Drop issues or reframe them as marketing problems
Dealing with HR (slack employee work habits, training for morale, number of managers for spans of control, employee turn-over)
Dealing with Operation’s management (forecasting and ordering coffee usage, managing inventory of cups, insurance)
Dealing Accounting management (standard costing, accrual vs cash reporting, depreciation rates, net return on sales, net return on equity

4. Rewrite the Game from The perspective of a marketing manager
Focus on decisions that can defined as the 4P’s of marketing management

5. The 4 P’s of Marketing Management
Have an Immediate and Direct Impact on the Quantity Sold within the Decision Period
The Product Quality and Service Mix
The Price and Payment Process
The Promotion and Communication Mix
The Time and Place of Exchange
NOT Power, Politics, Packaging,
NOT Profit
NOT Market Research nor Product Development

6. The Push and Pull Version
The 4 P’s Might be Reorganized and be Presented as a
Product and Service Mix
Price and Payment Mix
Pull All communication, promotion, and place activities designed to get the customer to pull the product off the shelves
Push All communication, promotion, and place activities designed to push the product through the channels of distribution and onto the Retailer’s Shelves

7. If a Weekly Decision has NO Impact
On the Week’s Sales Volume or Customer Demand
Then it is NOT part of the Manager’s Marketing Mix
A Change in Product Design, Distribution, Packing, A New VP of Marketing, A new Research or PR Department may be very important Marketing Decisions but they are strategic in nature and will have no impact in the short term
Differences Between Marketing Management and Marketing Strategy are in the types of things included in the Marketing Mix

8. Which Decisions Have a Direct Impact on the Customer Demand for that particular week?
Biz-Café Decisions
Marketing Mix Decisions and inputs for machine
Managers Weekly Salary
$610
Number of Servers to Hire/Fire
20 servers
Server Hourly Wage
$9.00
Price Tag for a Medium Cup
$3.50
Type of Newspaper Ad
General Awareness, $200 per day
Number of Daily Radio Spots
$40 per spot
Hours of Operation
8 am-10 pm, 70 hrs per week
Quality of Coffee
Best, $6 per pound
Pounds of Coffee
40 pounds
Number of Cups
20,000 medium cups with Logo

9. The 4P’s Have a Direct Impact on the Amount Customers Demand for that particular week?
Marketing Mix Decisions and inputs
Managers Weekly Salary
$610
Not significant
Number of Servers to Hire/Fire
20 servers
Service and Product Quality
Server Hourly Wage
$9.00
Not Significant
Price Tag for a Medium Cup
$3.50
Price
Type of Newspaper Ad
General Awareness, $200 per day
Promotion Mix
Number of Daily Radio Spots
$40 per spot
Hours of Operation
8 am-10 pm, 70 hrs
Place and Time Mix
Quality of Coffee
Best, $6 per pound
Product Mix
Pounds of Coffee
40 pounds
No Role
Number of Cups
20,000 medium cups with Logo
logo? Not significant

10. The 4P’s Which Have a Direct Impact on the Amount Customers Demand for that particular week?
Decisions Involving the Biz Café Marketing Mix is a Subset of total set of decisions
Marketing Mix Decisions and inputs
Number of Servers to Hire/Fire
20 servers
Service and Product Quality
Price Tag for a Medium Cup
$3.50
Price
Type of Newspaper Ad
General Awareness, $200 per day
Promotion Mix
Number of Daily Radio Spots
$40 per spot
Hours of Operation
8 am-10 pm, 70 hrs
Place and Time Mix
Quality of Coffee
Best, $6 per pound
Product Mix

11. Some Marketing Decisions Have
Immediate and Long Term Impacts on Demand
Choice of location
Choice of Furnishings
Choice of Machine Size (Capacity)
Choice of Server Training
Choice of Pastry Oven
Choice of Coffee Roaster
These might be treated as project management or capital budgeting decisions

12. A Change in the 4P’s is expected to Change the Immediate Volume of Sales, Q
Quantity Sold, Q
Quantity Sold, Q
Product Quality, U
Place and Time, L
Quantity Sold, Q
Quantity Sold, Q
Price Tag, P
Communication, A
Customer Demand Changes as Each P is Changed

13. Using a Linear Approximations to the Real Relationships between Quantity and Mix
Quantity Sold, Q
Quantity Sold, Q
Product Quality, U
Place and Time, L
Quantity Sold, Q
Quantity Sold, Q
Communication, A
Price Tag, P
Customer Response Functions

14. The Big Differences between Economics and Marketing Management
1) Orientation Economics is a Social Science Marketing Management is a Profession
2) Concept of Price and its Determination
Quantity Sold, Q
Price Tag, P
Price, P
Quantity Demanded, Q
Marketing Management
Economics

15. Customer Response to Price Tag
Sellers Setting the Price in Marketing Supply and Demand Setting the Price in Economics
Quantity Sold, Q
Price Tag, P
Customer Response to Price Tag
Price, P
Quantity Demanded, Q
Demand Curve
Marketing Management
Economics

16. Sellers Setting the Price in Marketing Supply and Demand Setting the Price in Economics
Quantity Sold, Q
Price Tag, P
Customer Response to Price Tag
Price, P
Quantity Demanded, Q
Demand Curve
Customer Response to Price Tag
Quantity Sold, Q
Finding Area of Maximum Revenue
Price Tag, P
Marketing Management
Economics

17. Sellers Setting the Price in Marketing Supply and Demand Setting the Price in Economics
Quantity Sold, Q
Price Tag, P
Customer Response to Price Tag
Price, P
Quantity Demanded, Q
Demand Curve
Customer Response to Price Tag
Demand Curve
Quantity Sold, Q
Price, P
Supply Curve P*
Finding Area of Maximum Revenue
Price Tag, P
Quantity, Q
Marketing Management
Economics

18. Any Questions about the 4 P’s
As Marketing Decisions as Input into the game