1. Why should we think marketing strategically?
Course Assignment
1. Why should we think marketing strategically? (On industry of your choice) The short version “to respond to a changing external business environment”
Introduction
The main reason to think marketing strategically is the competition and the ever changing Business environment. The market is always in constant flux so in order to gain an edge over our competitor we have to understand them first: there are four levels of competitors we should look out for:-
Similar product /same technology and supply chain
Same product and same category
Similar services ( satisfying the same need )
Same spending power
Combine this with the response patterns (relaxed, tiger, selective, unpredictable) we can understand the without the strategy (the game play) we will be lost putting down fires and always on the reacting side in other words one step behind.
Let’s take the information technology specially the major software/services providers (Microsoft, Apple, Google…etc.) As an example
Usually when deciding the major strategy we can proceed with one of three major strategies differentiation strategy undifferentiating strategy
Focused strategy
For example, the Windows OS is different marketing mix, Microsoft created six different flavors of the windows each address a target segment with a target spending power in order to reach the maximum number of customer’s base.
This segmentation make the fight on a Huge market and with layers, if they lost on of the six mixes the can react easily with the remaining five and try to recover the six product for example the rise of the IPhone from apple caused Microsoft windows mobile to have a huge market hit, though Microsoft tried to recover the scenario with discounting the product and developing the product for a scratch but still the IPhone is gaining ground over the windows mobile OS. Microsoft is a tiger competitor but it cannot fight off apple product. Mainly not
1. Why should we think marketing strategically? (On industry of your choice) The short version “to respond to a changing external business environment”
Introduction
The main reason to think marketing strategically is the competition and the ever changing Business environment. The market is always in constant flux so in order to gain an edge over our competitor we have to understand them first: there are four levels of competitors we should look out for:-
Similar product /same technology and supply chain
Same product and same category
Similar services ( satisfying the same need )
Same spending power
Combine this with the response patterns (relaxed, tiger, selective, unpredictable) we can understand the without the strategy (the game play) we will be lost putting down fires and always on the reacting side in other words one step behind.
Let’s take the information technology specially the major software/services providers (Microsoft, Apple, Google…etc.) As an example
Usually when deciding the major strategy we can proceed with one of three major strategies differentiation strategy undifferentiating strategy
Focused strategy
For example, the Windows OS is different marketing mix, Microsoft created six different flavors of the windows each address a target segment with a target spending power in order to reach the maximum number of customer’s base.
This segmentation make the fight on a Huge market and with layers, if they lost on of the six mixes the can react easily with the remaining five and try to recover the six product for example the rise of the IPhone from apple caused Microsoft windows mobile to have a huge market hit, though Microsoft tried to recover the scenario with discounting the product and developing the product for a scratch but still the IPhone is gaining ground over the windows mobile OS. Microsoft is a tiger competitor but it cannot fight off apple product. Mainly not