Mktg 4754: Concepts & Applications First Exam.

MKTG 4754:  Concepts & Applications First Exam

1. Topics Review (NB: This list is not exhaustive, but suggestive.)

1. Concepts

1. What is strategy? (unique position, tradeoffs, fit between activities)
2. Active inertia (why we need strategy)  4 points of inertia
3. Doing strategy…

1. Assessing market attractiveness (Mkt forces, comp. environment, mkt access)
2. Competitive position: Advantages from differentiation, cost, marketing
3. A and B are used for portfolio analysis (see tools and techniques)

1. Factors in strategy

1. Customers (needs)
2. Company (skills and resources)
3. Competition (differentiation)
4. Collaborators (who? How to motivate?)
5. Context (creates limits)

1. Steps in strategy

1. Create value (STP)
2. Capture value (Mix)
3. Sustain value (acquisition and retention)

1. Forms of influence, and how they work (i.e., their characteristics), and how to invoke them (method/tool), as covered in the Zipcar case (application)
2. Reverse positioning, and what makes it work (tool/method), and when (applied in IKEA)
3. Differentiation (POPs and PODs)  (applied in Wumart)
4. Competitive advantage: 2 types, cost-based and differentiated, need Unique, Sustainable, Profitable
5. Positioning statement
6. Value proposition

1. Tools and Techniques

1. Blue Ocean/Strategy Canvas and 4 Action Framework, for identifying strategic opps.
2. Portfolio Analysis

a. Price-quality decisions

b. PLC analysis of multiple decisions

c. PA used for strategic mkt plans, based on market attractiveness and competitive position

        i. 5 strategies (Protect, Grow, Focus, Harvest, Divest)

        ii. Offensive vs. defensive

1. Insight in 3 Circles, for identifying opps for differentiation (POPs and PODs) and developing a positioning strategy (Wumart, for application)
2. Ideation Techniques, for development of innovation: 1) sketching; 2) mash-up matrix;  3) future world imagining, and what each is intended to accomplish
3.  SWOT: Making it more useful.

1. Quantify elements, and then form plan
2. Quantify based on element magnitude and importance, multiply for total rating
3. How to use S to offset W or T, leverage 0, and other possible combinations.

1. Competitor capability matrix (process is called “differentiated advantage analysis”), used to develop positioning plan that meets c’s needs

1. Across firm analysis, crossed with
2. Across competence analysis  (Design, Produce, Market, Finance, Execute)

1. Metrics for Strategic Marketing

1. Basic income statement metrics, such as in simulation:

1. Gross profit (revenue – COGS) (NB: COGS doesn’t include other expenses)
2. Net income (revenue – expenses) (see The Fashion Channel for application)
3. Percent margin (gross profit as a percentage) = (price - cost)/Price x 100

(for determining how efficient a company is at generating profit; amount per dollar that’s profit after costs of production and sales are subtracted out)  Percentage lets you compare companies of different sizes, in terms of revenue/efficiency