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1、Department of MarketingDepartment of MarketingJC SalvacruzJC SalvacruzMARK 512MARK 512Marketing Strategy:Market Orientation and Performance1Marketing Strategy:Market OriMARK 512 Marketing Strategy and PolicyJC SalvacruzLet me tell you a story2Let me tell you a story2MARK 512 Marketing Strategy and P
2、olicyJC SalvacruzMARKETINGProcess of PLANNING and EXECUTING the 4Psvideas,goods,and services to create exchanges that satisfy individual and organizational objectives3MARKETINGProcess of PLANNING aMARK 512 Marketing Strategy and PolicyJC SalvacruzThe Marketing Strategy Planning ProcessThe Marketing
3、Strategy Planning ProcessExternal Market Environment4The Marketing Strategy PlanninMARK 512 Marketing Strategy and PolicyJC SalvacruzMarketing MixPlacePromotionPriceProductC Quality Features Style/Options Brand name Packaging Services/parts Guarantees/Warranty List price Discounts Allowances Credit
4、terms Payment period Rental/lease Advertising Personal selling Sales promotion Point-of-purchasematerials Publicity Middlemen:types and number Location Inventory levels Transportation5Marketing MixPlacePromotionPriMARK 512 Marketing Strategy and PolicyJC SalvacruzWe need to develop a strong marketin
5、g orientationWe need to develop a strong marketing orientationnot a production orientationv“consumers will favor products that are available and highly affordable,thus,management should focus on improving production and distribution efficiency”not a product philosophyv“consumers will favor products
6、that offer the most quality,performance,and features6We need to develop a strong maMARK 512 Marketing Strategy and PolicyJC Salvacruzor a selling conceptv“consumers will not buy enough of the products unless the organisation undertakes a large-scale selling and promotion effort”7or a selling concept
7、7MARK 512 Marketing Strategy and PolicyJC SalvacruzMarket orientationcontinuous collection of informationvabout customers needs,andvcompetitors capabilitiessharing this information across departmentsusing the information to create customer value.8Market orientationcontinuous cMARK 512 Marketing Stra
8、tegy and PolicyJC SalvacruzValue and SatisfactionValue and SatisfactionValuevCustomers form expectations regarding valuevMarketers must deliver value to consumersValue Reflects Benefits and Costs Value Reflects Benefits and Costs CostsBenefitsValue concerns the difference between the benefits a cust
9、omer sees from a firms market offering and the costs of obtaining those benefitsThe customers view of costs and benefits is not just limited to economic(or even rational)considerations-and a low price may NOT result in superior value.9Value and SatisfactionValueValMARK 512 Marketing Strategy and Pol
10、icyJC SalvacruzProvided by marketingProvided by production with guidance of marketingTaskTimePlacePossessionUtilityValue that comesfrom satisfyinghuman needsFormTypes of Utility and How They Are ProvidedUtility is the benefit or customer value received by uses of a product.UtilityUtility10Provided b
11、y marketingProvided MARK 512 Marketing Strategy and PolicyJC SalvacruzWe need to adopt a market-based management We need to adopt a market-based management philosophyphilosophyDeveloping a customer-or market-centric orientation rather than product-or factory-focus.Creating an employee culture that i
12、s responsive to customers and changing market conditionsMeasuring profits at the market level and to track market-based performance metrics.11We need to adopt a market-baseMARK 512 Marketing Strategy and PolicyJC SalvacruzWe need to adopt a market-based management We need to adopt a market-based man
13、agement philosophyphilosophyMeasuring profits at the market level and to track market-based performance metrics.A Balanced Scorecard Perspective on PerformanceSource:A Management Guide for the deployment of strategic metrics,Ratheon12We need to adopt a market-baseMARK 512 Marketing Strategy and Poli
14、cyJC SalvacruzExhibit 1.7Exhibit 1.7Differences Between Production-Oriented and Market-Oriented OrganizationsDifferences Between Production-Oriented and Market-Oriented Organizations(1 of 2)(1 of 2)Production orientationCompany sells what it canmake;primary focus on functional performance and cost.N
15、arrow.Based on production and distribution costs.Technical research;focus on product improvement and cost cutting in the production process.Business activity or functionProduct offeringProduct linePricingResearchMarketing orientationCompany makes what it can sell;primary focus on customers needs and
16、 market opportunities.Broad.Based on perceived benefits provided.Market research;focus on identifying new opportunities and applying new technology to satisfy customer needs.13Exhibit 1.7Differences BetweeMARK 512 Marketing Strategy and PolicyJC SalvacruzWe need to develop a strong customer focus for long-We need to develop a strong customer focus for long-run survivalrun survivalWhat happens when we underwhelm our customers?Adopted from Best,Roger J.Market-Based Management:Strategies for Growin
