1. Strategic Marketing
Kotler Keller

2. Corporate Headquarters’ Planning Activities
Define the corporate mission
Establish SBUs
Assign resources to each SBU
Assess growth opportunities
Feedback & Control

3. Good Mission Statements
Focus on limited number of goals
Stress major policies and values
Define major competitive spheres

4. Major Competitive Spheres
Industry
Products
Competence
Market segment
Geographical

5. Rubbermaid Commercial Products, Inc.
“Our vision is to be the Global Market Share
Leader in each of the markets we serve. We
will earn this leadership position by
providing to our distributor and end-user
customers innovative, high-quality, cost-
effective and environmentally responsible
products. We will add value to these products
by providing legendary customer service
through our uncompromising Commitment
to Customer Satisfaction.”

6. Defining the business
Business must be viewed as customer satisfying process , not a goods-producing process. Products are transient. Needs & Customer group endure forever.
Ex: Transportation is a need , automobile, the airline & the truck are products

7. “The purpose of Motorola is to honorably
serve the needs of the community by providing
products and services of superior quality at a
fair price to our customers; to do this so as to
earn an adequate profit which is required for
the total enterprise to grow; and by doing so,
provide the opportunity for our employees and
shareholders to achieve their personal
objectives.”

8. eBay
“We help people trade anything on earth.
We will continue to enhance the online
trading experiences of all – collectors,
dealers, small businesses, unique item
seekers, bargain hunters, opportunity
sellers, and browsers.”

9. Characteristics of SBUs
It is a single business or division or product
It has its own set of competitors
It has a leader responsible for:
Strategic planning
Profitability
Efficiency

10. Strategic Business Unit Analysis(BCG Matrix)

12. Business Unit Strength
The horizontal axis of the GE / McKinsey matrix is the strength of the business unit. Some factors that can be used to determine business unit strength include:
Market share, Growth in market share, Brand equity, Distribution channel access, Production capacity, Profit margins relative to competitors

13. Industry Attractiveness
The vertical axis of the GE / McKinsey matrix is industry attractiveness, which is determined by factors such as the following:
Market growth rate, Market size, Demand variability, Industry profitability, Industry rivalry, Global opportunities, Macro environmental factors

14. Market Opportunity Analysis (MOA)
Can the benefits involved in the opportunity be articulated convincingly to a defined target market?
Can the target market be located and reached with cost-effective media and trade channels?
Does the company possess or have access to the critical capabilities and resources needed to deliver the customer benefits?

15. Market Opportunity Analysis (MOA)_2
Can the company deliver the benefits better than any actual or potential competitors?
Will the financial rate of return meet or exceed the company’s required threshold for investment?

16. Assessing Growth Opportunities
If there is a gap between future desired sales & projected sales, corporate management will have to develop or acquire new businesses to fill it.

17. Growth Strategies Current Products New Products Current Markets
Market Penetration Strategy
Product Development Strategy
New Markets
Market Development Strategy
Diversification

18. Porter’s Generic Strategies
Overall cost leadership
Differentiation
Focus

19. Categories of Marketing Alliances
Product or Service Alliances
Licensing other company to produce
Promotional Alliances
Logistics Alliances
Pricing collaborations
One or more companies join in a special pricing collaboration

20. Feedback & Control
Whether an environment changes faster or slower but change in consistent with varying intensity.
The market place will change, when it does, a company will need to review its implementation programs, strategies or even objectives