© 2005 John Wiley & Sons PPT 1-1 Chapter 1 – Strategic Market Management For Discussion: Examine the following firms to gain an understanding of the business.

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Presentation transcript:

© 2005 John Wiley & Sons PPT 1-1 Chapter 1 – Strategic Market Management For Discussion: Examine the following firms to gain an understanding of the business strategy. 1.What is the business strategy? 2.What product markets does the firm serve? 3.What value propositions does it use? 4.How are the value propositions delivered? 5.What are the firm’s assets and competences? 6.What strategic options has it pursued?

© 2005 John Wiley & Sons PPT 1-2 Nokia (wireless cell phones) 1.Product market –Continue to enter segments of the mobility industry 2.Value – be the technology leader when it comes to mobile communications, both voice and multimedia 3.Assets and competencies – They have financial resources and technology to exploit their business opportunity 4.Strategic option – Use their extensive R&D to support their customer value proposition; Plans to capitalize on their leadership position by continuing to enter segments of the mobility industry that they believe will experience rapid growth faster than the industry as a whole

© 2005 John Wiley & Sons PPT 1-3 Dell Computer Dell serves the worldwide market for customers to build their information-technology and Internet infrastructures. Their value proposition is based around being standards- based (there is no proprietary software like Sun and Apple) which leads to lower prices and operating costs for customers and the advantages of the direct model. The direct model provides intense customer intimacy, customized systems, very competitive prices, and reliable and speedy delivery. Their assets include a customer base, brand awareness, and operational ability to run the direct model.

© 2005 John Wiley & Sons PPT 1-4 Pampers Pampers offers more than a product to just keep the baby dry. Their web site contains a vast selection of information that is helpful to the new parent. They offer advice to mothers to overcome their fears about raising baby. The product market they serve is the baby sanitary market. Their website clearly is aimed at the parents yet it has a very child-like feel and they segment and address their markets for prenatal, newborn, infant, cruiser, toddler, explorer and preschooler. Their assets include a powerful R&D capability plus the ability to reach out to other firms for innovation.