Marketing Management: A Strategic Decision-Making Approach

Title
Contents
Section 1 The Role of Marketing in Developing Successful Business Strategies
	1 The Marketing Management Process
		Samsung—Building a Global Brand
			New Competitive and Marketing Strategies
			The Results
		Marketing Challenges Addressed in Chapter 1
		Why Are Marketing Decisions Important?
			The Importance of the Top Line
		Marketing Creates Value by Facilitating Exchange Relationships
			What Factors Are Necessary for a Successful Exchange Relationship?
			1. Who Markets and Who Buys? The Parties in an Exchange
			2. Customer Needs and Wants
			3. What Gets Exchanged? Products and Services
			4. How Exchanges Create Value
			5. Defining a Market
		What Does Effective Marketing Practice Look Like?
			Marketing Management—A Definition
			Integrating Marketing Plans with the Company’s Strategies and Resources
			Market Opportunity Analysis
			Formulating Strategic Marketing Programs
			Formulating Strategic Marketing Programs for Specific Situations
			Implementation and Control of the Marketing Program
			The Marketing Plan—A Blueprint for Action
		Who Does What?
			Marketing Institutions
			Who Pays the Cost of Marketing Activities—And Are They Worth It?
			Room for Improvement in Marketing Efficiency
			The Role of the Marketing Decision Maker
		Some Recent Developments Affecting Marketing Management
			Globalization
			Increased Importance of Service
			Information Technology
			Relationships across Functions and Firms
		Take-aways
		Endnotes
	2 The Marketing Implications of Corporate and Business Strategies
		IBM Switches Strategies
			Technology Changes and Competitor Actions Require a Shift in Strategy
			A New Corporate Strategy
			New Business and Marketing Strategies
			The Bottom Line
		Marketing Challenges Addressed in Chapter 2
		What Is Marketing’s Role in Formulating and Implementing Strategies?
			Market-Oriented Management
			Does Being Market-Oriented Pay?
			Factors That Mediate Marketing’s Strategic Role
		Three Levels of Strategy: Similar Components, but Different Issues
			Strategy: A Definition
			The Components of Strategy
			The Hierarchy of Strategies
			Corporate Strategy
			Business-Level Strategy
			Marketing Strategy
		The Marketing Implications of Corporate Strategy Decisions
			Corporate Scope—Defining the Firm’s Mission
			Corporate Objectives
			Corporate Sources of Competitive Advantage
			Corporate Growth Strategies
			Allocating Corporate Resources
			Limitations of the Growth-Share Matrix
			Sources of Synergy
		The Marketing Implications of Business-Unit Strategy Decisions
			How Should Strategic Business Units Be Designed?
			The Business Unit’s Objectives
			The Business Unit’s Competitive Strategy
		Take-aways
		Endnotes
		Appendix 2.1 The American Marketing Association’s Code of Ethics
Section 2 Market Opportunity Analysis
	3 Understanding Market Opportunities
		The Cellular Telephone Business: Increasing Competition in a Growing Market
			The Mobile Telephony Market
			Cell Phone Manufacturing
			Cell Phone Service Providers
		Marketing Challenges Addressed in Chapter 3
		Markets and Industries: What’s the Difference?
		Assessing Market and Industry Attractiveness
		Macro Trend Analysis: A Framework for Assessing Market Attractiveness, Macro Level
			The Demographic Environment
			The Sociocultural Environment
			The Economic Environment
			The Regulatory Environment
			The Technological Environment
			The Natural Environment
		Your Market Is Attractive: What about Your Industry?
			Porter’s Five Competitive Forces
			A Five Forces Analysis of the Cellular Phone Service Industry
		Challenges in Macro-Level Market and Industry Analysis
			Information Sources for Macro-Level Analyses
		Understanding Markets at the Micro Level
		Understanding Industries at the Micro Level
		The Team Domains: The Key to the Pursuit of Attractive Opportunities
		Mission, Aspirations, and Risk Propensity
		Ability to Execute on the Industry’s Critical Success Factors
		It’s Who You Know, Not What You Know
		Putting the Seven Domains to Work
		Anticipating and Responding to Environmental Change
			Impact and Timing of Event
		Swimming Upstream or Downstream: An Important Strategic Choice
		Take-aways
		Endnotes
	4 Understanding Consumer Buying Behavior
		Cruise Ships—Not Just for Grandma and Grandpa Anymore
			Savvy Marketing Helped Fuel Industry Growth
			Future Challenges
		Marketing Challenges Addressed in Chapter 4
		The Psychological Importance of the Purchase Affects the Decision-Making Process
			How Do Consumers Make High-Involvement Purchase Decisions?
			Low-Involvement Purchase Decisions
			Understanding the Target Consumer’s Level of Involvement Enables Better Marketing Decisions
		Why People Buy Different Things: Part 1—The Marketing Implications of Psychological and Personal Influences
			Perception and Memory
			Needs and Attitudes
			Demographics, Personality, and Lifestyle
		Why People Buy Different Things: Part 2—The Marketing Implications of Social Influences
			Culture
			Social Class
			Reference Groups
			The Family
		Take-aways
		Endnotes
	5 Understanding Organizational Markets and Buying Behavior
		DHL Exel Supply Chain: Building Long-Term Relationships with Organizational Buyers
			Building Long-Term Relationships with Customers
			Long-Term Relationships Enhance Long-Term Performance
		Marketing Challenges Addressed in Chapter 5
		Who Is the Customer?
			A Comparison of Organizational versus Consumer Markets
			What Do the Unique Characteristics of Organizational Markets Imply for Marketing Programs?
			The Organizational Customer Is Usually a Group of Individuals
		How Organizational Members Make Purchase Decisions
			Types of Buying Situations
			The Purchase Decision-Making Process
			The Marketing Implications of Different Organizational Purchasing Situations
			Purchasing Processes in Government Markets
		Selling Different Kinds of Goods and Services to Organizations Requires Different Marketing Programs
			Raw Materials
			Component Materials and Parts
			Installations
			Accessory Equipment
			Operating Supplies
			Business Services
		Take-aways
		Endnotes
	6 Measuring Market Opportunities: Forecasting and Market Knowledge
		African Communications Group: Bringing Modern Telecommunications to Tanzania
			Market Analysis
			Industry Analysis
			Consumer Needs and Behavior
			The Business Idea
			Determining Market Potential and Preparing a Sales Forecast
		Marketing Challenges Addressed in Chapter 6
		Every Forecast Is Wrong!
		A Forecaster’s Tool Kit: A Tool for Every Forecasting Setting
			Statistical and Other Quantitative Methods
			Observation
			Surveys or Focus Groups
			Analogy
			Judgment
			Market Tests
			Mathematics Entailed in Forecasting
		Rate of Diffusion of Innovations: Another Perspective on Forecasting
			The Adoption Process and Rate of Adoption
			Adopter Categories
			Implications of Diffusion of Innovation Theory for Forecasting Sales of New Products and New Firms
		Cautions and Caveats in Forecasting
			Keys to Good Forecasting
			Common Sources of Error in Forecasting
		Why Data? Why Marketing Research?
		Customer Relationship Management and Market Knowledge Systems: Charting a Path toward Competitive Advantage
			Internal Records Systems
			Marketing Databases Make CRM Possible
			Client Contact Systems
			Competitive Intelligence Systems
		Marketing Research: A Foundation for Marketing Decision Making
			Step 1: Identify the Managerial Problem and Establish Research Objectives
			Step 2: Determine the Data Sources and Types of Data Required
			Step 3: Design the Research
			Step 4: Collect the Data
			Step 5: Analyze the Data
			Step 6: Report the Results to the Decision Maker
		What Users of Marketing Research Should Ask
		Rudimentary Competence: Are We There Yet?
		Take-aways
		Endnotes
	7 Targeting Attractive Market Segments
		Blue Ribbon Sports Targets Distance Runners
			The Unique Needs of Distance Runners
			The Waffle Revolution
			Launching and Expanding the Nike Brand
			World Cup 2002
		Marketing Challenges Addressed in Chapter 7
		Do Market Segmentation and Target Marketing Make Sense in Today’s Global Economy?
			Most Markets Are Heterogeneous
			Today’s Market Realities Often Make Segmentation Imperative
		How Are Market Segments Best Defined?
			Who They Are: Segmenting Demographically
			Where They Are: Segmenting Geographically
			Geodemographic Segmentation
			How They Behave: Behavioral Segmentation
			Innovative Segmentation: A Key to Marketing Breakthroughs
		Choosing Attractive Market Segments: A Five-Step Process
			Step 1: Select Market-Attractiveness and Competitive-Position Factors
			Step 2: Weight Each Factor
			Step 3: Rate Segments on Each Factor, Plot Results on Matrices
			Step 4: Project Future Position for Each Segment
			Step 5: Choose Segments to Target, Allocate Resources
		Different Targeting Strategies Suit Different Opportunities
			Niche-Market Strategy
			Mass-Market Strategy
			Growth-Market Strategy
		Global Market Segmentation
		Take-aways
		Endnotes
	8 Differentiation and Brand Positioning
		Fast Food Turns Healthy
			The Jared Diet
			Repositioning Fuels Subway’s Growth
		Marketing Challenges Addressed in Chapter 8
		Differentiation: One Key to Customer Preference and Competitive Advantage
			Differentiation among Competing Brands
		Physical Positioning
			Limitations of Physical Positioning
		Perceptual Positioning
		Levers Marketers Can Use to Establish Brand Positioning
		Preparing the Foundation for Marketing Strategies: The Brand Positioning Process
			Step 1: Identify a Relevant Set of Competitive Products
			Step 2: Identify Determinant Attributes
			Step 3: Collect Data about Customers’ Perceptions for Brands in the Competitive Set
			Step 4: Analyze the Current Positions of Brands in the Competitive Set
			Step 5: Determine Customers’ Most Preferred Combination of Attributes
			Step 6: Consider Fit of Possible Positions with Customer Needs and Segment Attractiveness
			Step 7: Write Positioning Statement or Value Proposition to Guide Development of Marketing Strategy
		The Outcome of Effective Positioning: Building Brand Equity
			Managing Brand Equity
		Analytical Tools for Positioning Decision Making
		Some Caveats in Positioning Decision Making
		Take-aways
		Endnotes
Section 3 Developing Strategic Marketing Programs
	9 Business Strategies: A Foundation for Marketing Program Decisions
		Business Strategies and Marketing Programs at 3M
		Marketing Challenges Addressed in Chapter 9
		How Do Businesses Compete?
			Generic Business-Level Competitive Strategies
			Do the Same Competitive Strategies Work for Single-Business Firms and Start-ups?
			Do the Same Competitive Strategies Work for Service Businesses?
			Do the Same Competitive Strategies Work for Global Competitors?
			Will the Internet Change Everything?
		How Do Competitive Strategies Differ from One Another?
			Differences in Scope
			Differences in Goals and Objectives
			Differences in Resource Deployments
			Differences in Sources of Synergy
		Deciding When a Strategy Is Appropriate: The Fit between Business Strategies and the Environment
			Appropriate Conditions for a Prospector Strategy
			Appropriate Conditions for an Analyzer Strategy
			Appropriate Conditions for a Defender Strategy
		How Different Business Strategies Influence Marketing Decisions
			Product Policies
			Pricing Policies
			Distribution Policies
			Promotion Policies
		What If the Best Marketing Program for a Product Does Not Fit the Business’s Competitive Strategy?
		Take-aways
		Endnotes
	10 Product Decisions
		Product Decisions in a Services Business
		Marketing Challenges Addressed in Chapter 10
		Product Design Decisions for Competitive Advantage
			Goods and Services: Are the Product Decisions the Same?
			Product Quality and Features Decisions
			Branding Decisions
			Packaging Decisions
			Services Decisions and Warranties
		Managing Product Lines for Customer Appeal and Profit Performance
			Line Filling
			Line Stretching
			Line Extensions
			Brand Extensions
			Dropping Products
			Product Systems
		New Product Development Process Decisions
			The Importance of New Products to Long-Term Profitability
			New Product Success and Failure
			Organizing for New Product Development
			Key Decisions in the New Product Development Process
		Product Decisions over the Product Life Cycle
			Market and Competitive Implications of Product Life Cycle Stages
			Strategic Implications of the Product Life Cycle
			Limitations of the Product Life Cycle Framework
		Take-aways
		Endnotes
	11 Pricing Decisions
		Ryanair: Low Prices, High Profits— But Increasing Costs
		Marketing Challenges Addressed in Chapter 11
		A Process for Making Pricing Decisions
			Strategic Pricing Objectives
			Estimating Demand and Perceived Value
			Estimating Costs
			Analyzing Competitors’ Costs and Prices
		Methods Managers Use to Determine an Appropriate Price Level
			Cost-Oriented Methods
			Competition-Oriented Methods
			Customer-Oriented Methods
		Deciding on a Price Structure: Adapting Prices to Market Variations
			Geographic Adjustments
			Global Adjustments
			Discounts and Allowances
			Differential Pricing
			Product-Line Pricing Adjustments
		Take-aways
		Endnotes
	12 Distribution Channel Decisions
		Changing Global Retail Trends Send a “Get Well” Greeting to Hallmark
		Marketing Challenges Addressed in Chapter 12
		Why Do Multifirm Marketing Channels Exist?
		Designing Distribution Channels: What Are the Objectives to Be Accomplished?
			Product Availability
			Meeting Customers’ Service Requirements
			Promotional Effort
			Market Information
			Cost-Effectiveness
			Flexibility
		Designing Distribution Channels: What Kinds of Institutions Might Be Included?
			Merchant Wholesalers
			Agent Middlemen
			Retailers
			Nonstore Retailing
		Channel Design Alternatives
			Alternative Consumer Goods Channels
			Alternative Industrial Goods Channels
		Which Alternative Is Best? It Depends on the Firm’s Objectives and Resources
			Availability and the Satisfaction of Customer Service Requirements
			Promotional Effort, Market Information, and Postsale Service Objectives
			Cost-Effectiveness
			Flexibility
			Multichannel Distribution
		Channel Design for Global Markets
			Market Entry Strategies
			Channel Alternatives
		Channel Design for Services
		Channel Management Decisions
			Vertical Marketing Systems
			Sources of Channel Power
			Channel Control Strategies
			Trade Promotions—Incentives for Motivating Channel Members
			Channel Conflicts and Resolution Strategies
		Take-aways
		Endnotes
	13 Integrated Promotion Decisions
		Integrated Marketing Communication Takes On Some New Twists
			Larazade
			Big Brother
			What’s Next?
		Marketing Challenges Addressed in Chapter 13
		The Promotion Mix: A Communication Toolkit
		Developing an Integrated Marketing Communications Plan
			Step 1: Define the Audience(s) to Be Targeted
			Step 2: Set the Promotional Objectives
			Step 3: Set the Promotion Budget
			Step 4: Design the Promotion Mix
			Step 5: Evaluate the Results
		The Nitty-Gritty of Promotional Decision Making
			Making Advertising Decisions
			Making Personal Selling Decisions
		Evaluating and Controlling Salesforce Performance to Ensure Delivery of Budgeted Results
			Making Sales Promotion Decisions
			Making Public Relations Decisions
		Take-aways
		Endnotes
Section 4 Strategic Marketing Programs for Selected Situations
	14 Marketing Strategies for the New Economy
		Are Virtual Goods the Web’s “Next Big Thing”?
			How to Get a Second Life
			Is Anyone Buying?
			Will Virtual Worlds and Their Virtual Goods Fly?
		Marketing Challenges Addressed in Chapter 14
		Does Every Company Need a New-Economy Strategy?
		Threats or Opportunities? The Inherent Advantages and Disadvantages of the New Economy for Marketers
			The Syndication of Information
			Increasing Returns to Scale of Network Products
			The Ability to Efficiently Personalize and Customize Market Offerings
			Disintermediation and Restructuring of Distribution Channels
			Global Reach, 24 � 7 Access, and Instantaneous Delivery
			Are These New-Economy Attributes Opportunities or Threats?
			First-Mover Advantage: Fact or Fiction?
		Developing a New-Economy Strategy: A Decision Framework
			Marketing Applications for New-Economy Tools
			Developing New-Economy Marketing Strategies: The Critical Questions
		Managing New-Economy Strategies: The Talent Gap
		Developing Strategies to Serve New-Economy Markets
			What Industries Will Be Next to Get the Dot-Com Treatment?
			Serving the Dot-Com Markets of Tomorrow
		Take-aways
		Endnotes
	15 Strategies for New and Growing Markets
		Canon, Inc.—Success That Is Hard to Copy
		Marketing Challenges Addressed in Chapter 15
		How New Is New?
		Market Entry Strategies: Is It Better to Be a Pioneer or a Follower?
			Pioneer Strategy
			Not All Pioneers Capitalize on Their Potential Advantages
			Follower Strategy
			Determinants of Success for Pioneers and Followers
		Strategic Marketing Programs for Pioneers
			Mass-Market Penetration
			Niche Penetration
			Skimming and Early Withdrawal
			Marketing Program Components for a Mass-Market Penetration Strategy
			Marketing Program Components for a Niche Penetration Strategy
			Marketing Program Components for a Skimming Strategy
		Growth-Market Strategies for Market Leaders
			Marketing Objectives for Share Leaders
			Marketing Actions and Strategies to Achieve Share-Maintenance Objectives
			Fortress, or Position Defense, Strategy
			Flanker Strategy
			Confrontation Strategy
			Market Expansion
			Contraction or Strategic Withdrawal
		Share-Growth Strategies for Followers
			Marketing Objectives for Followers
			Marketing Actions and Strategies to Achieve Share Growth
			Frontal Attack Strategy
			Leapfrog Strategy
			Flanking and Encirclement Strategies
			Supporting Evidence
		Take-aways
		Endnotes
	16 Strategies for Mature and Declining Markets
		Johnson Controls—Making Money in Mature Markets
		Marketing Challenges Addressed in Chapter 16
			Challenges in Mature Markets
			Challenges in Declining Markets
		Strategic Choices in Mature Markets
			Strategies for Maintaining Competitive Advantage
			Methods of Differentiation
			Are the Dimensions the Same for Service Quality on the Internet?
			Methods of Maintaining a Low-Cost Position
			Customers’ Satisfaction and Loyalty Are Crucial for Maximizing Their Lifetime Value
		Marketing Strategies for Mature Markets
			Strategies for Maintaining Current Market Share
			Strategies for Extending Volume Growth
		Strategies for Declining Markets
			Relative Attractiveness of Declining Markets
			Divestment or Liquidation
			Marketing Strategies for Remaining Competitors
		Take-aways
		Endnotes
Section 5 Implementing and Controlling Marketing Programs
	17 Organizing and Planning for Effective Implementation
		Nokia—Reorganizing to Accommodate Changing Markets and Technology
			A Changing Environment Requires New Strategies and Structures
			Preliminary Outcomes
		Marketing Challenges Addressed in Chapter 17
		Designing Appropriate Administrative Relationships for the Implementation of Different Competitive Strategies
			Business-Unit Autonomy
			Shared Programs and Facilities
			Evaluation and Reward Systems
		Designing Appropriate Organizational Structures and Processes for Implementing Different Strategies
			Functional Competencies and Resource Allocation
			Additional Considerations for Service Organizations
			Organizational Structures
			Recent Trends in Organizational Design
			Organizational Adjustments as Firms Grow and Markets Change
			Organizational Designs for Selling in Global Markets
		Marketing Plans: The Foundation for Implementing Marketing Actions
			The Situational Analysis
			Key Issues
			Objectives
			Marketing Strategy
			Action Plans
			Projected Profit-and-Loss Statement
			Contingency Plans
		Take-aways
		Endnotes
	18 Measuring and Delivering Marketing Performance
		Metrics Pay for Wal-Mart
			Changing Metrics for a Changing Strategy
		Marketing Challenges Addressed in Chapter 18
		Designing Marketing Metrics Step by Step
			Setting Standards of Performance
			Specifying and Obtaining Feedback Data
			Evaluating Feedback Data
			Taking Corrective Action
		Design Decisions for Strategic Monitoring Systems
			Identifying Key Variables
			Tracking and Monitoring
			Strategy Reassessment
		Design Decisions for Marketing Metrics
			Who Needs What Information?
			When and How Often Is the Information Needed?
			In What Media and in What Format(s) or Levels of Aggregation Should the Information Be Provided?
			Does Your System of Marketing Metrics Measure Up?
			What Contingencies Should Be Planned For?
			Global Marketing Control
		A Tool for Periodic Assessment of Marketing Performance: The Marketing Audit
			Types of Audits
		Measuring and Delivering Marketing Performance
		Take-aways
		Endnotes
Index