1. Strategic planning

Process of establishing organisational mission and formulating goals, corporate strategy, marketing objectives, marketing strategy and marketing plan

1. Analysis of organisation's strengths and weaknesses
Identifications of opportunities and threats

SWOT analysis

WEAKNESSES

THREATS

convert

STRENGTHS (Internal)

convert

OPPORTUNITIES (External)

Identification and conversion of weaknesses and threats and converting them into strengths and opportunities

Competitive advantage -
the result of an organisation matching the core competency opportunities in the market place

Market Opportunity -
combination of circumstances that permits the organisation to take action to reach target market

Core competency -
a combination of resources and skills that distinguish organisation in the marketplace

2. Establishing organisation mission and goals

Mission statement - a long term view of what the organisation wants to become

  • who are the customers
  • what is our core competency

Organisational goals - focus on the end result that the organisation seeks

Marketing goal - a statement of what is to be accomplished through marketing activities

  • clear
  • accurate
  • measurable
  • time frame
  • consistent with goals and strategies

3. Corporate and SBU strategies

Corporate strategy - determines the means of utilising resources om various functional areas to reach organisational goals

Business Unit strategy

Strategic business unit (SBU) - a division, product line, or profit centre within a parent company

Using growth share matrix (BCG) an company can classify it SBUs

Product/ market expansion grid (Ansoff's matrix) used to detect intensive growth strategies and new opportunities

BCG matrix

Ansoff's matrix

4. Marketing Strategy

A plan of action for identifying and analysing a target market and development of marketing mix to

Target market selection - selecting a target market is extremely important

Creating a marketing mix - should be consistent with corporate strategies
Needs to be consistent and flexible

Marketing implementation

Marketing implementation

Internal marketing

Coordinating internal exchanges between company and its employees to achieve successful external exchanges with customers

Factors that affect the effectiveness of marketing strategies

Centralised vs decentralised organisation

Functions

Products

Regions

Types of customers

Controlling marketing activities

Establishment of performance standards

Evaluation of actual performance relative to established standards

Corrective action if necessary #