Basic Marketing - Chapter 4: Evaluating Opportunities in the Changing Marketing Environment

Nội dung text: Basic Marketing - Chapter 4: Evaluating Opportunities in the Changing Marketing Environment

1. Chapter 4: Evaluating Opportunities in the Changing Marketing Environment For use only with Perreault and McCarthy texts. © The McGraw-Hill Companies, Inc., 1999 Irwin/McGraw-Hill
2. Chapter 4 Objectives When you finish this chapter, you should 1. Know the variables that shape 5. Understand how the economic the environment of marketing and technological strategy planning. environment can affect 2. Understand why company strategy planning. objectives are important in 6. Know why you might be sent guiding marketing strategy to prison if you ignore the planning. political and legal 3. See how the resources of a environment. firm affect the search for 7. Understand how to screen and opportunities. evaluate marketing strategy 4. Know how the different kinds opportunities. of competitive situations affect strategy planning. 8. Understand the important new terms. For use only with Perreault and McCarthy texts. 4-2 © The McGraw-Hill Companies, Inc., 1999 Irwin/McGraw-Hill
3. The Importance of Objectives Provide Guidelines Be Explicit Setting Company Objectives Coordinate Effort Lead to Marketing Objectives For use only with Perreault and McCarthy texts. 4-3 © The McGraw-Hill Companies, Inc., 1999 Irwin/McGraw-Hill
4. A Hierarchy of Objectives Company Objectives Production Finance Marketing HR R&D Objectives Objectives Objectives Objectives Objectives Product Place Promotion Price Objectives Objectives Objectives Objectives Personal Sales Mass Selling Selling Promotion Objectives Objectives Objectives Exhibit 4-1 For use only with Perreault and McCarthy texts. 4-4 © The McGraw-Hill Companies, Inc., 1999 Irwin/McGraw-Hill
5. Limits on Opportunity Search ????? Financial Strength ????? Producing Capability ????? and Flexibility ????? ????? Marketing Strengths For use only with Perreault and McCarthy texts. 4-5 © The McGraw-Hill Companies, Inc., 1999 Irwin/McGraw-Hill
6. The Competitive Environment Kinds of Markets Competitor Analysis Key Concepts in the Competitive Rivals Competitive Environment Competitive Barriers Information on Competitors For use only with Perreault and McCarthy texts. 4-6 © The McGraw-Hill Companies, Inc., 1999 Irwin/McGraw-Hill
7. The Economic and Technological Environment Global Economy Rapid Change Key Economic Forces Interest Rates For use only with Perreault and McCarthy texts. 4-7 © The McGraw-Hill Companies, Inc., 1999 Irwin/McGraw-Hill
8. The Impact of Technology ⚫Technology is the application of science to convert and economy’s resources to output ⚫Technology impacts marketing both through opportunities for new products and new ways (processes) for handling marketing functions ⚫ Example: consider the Internet ⚫ Products: software for computer users ⚫ Process: selling from a web site For use only with Perreault and McCarthy texts. 4-8 © The McGraw-Hill Companies, Inc., 1999 Irwin/McGraw-Hill
9. The Political and Legal Environment Nationalism Consumerism Characteristics of the Political Environment Regional Groupings For use only with Perreault and McCarthy texts. 4-9 © The McGraw-Hill Companies, Inc., 1999 Irwin/McGraw-Hill
10. Some Important U.S. Federal Regulatory Agencies Agencies Responsibilities Federal Trade Commission (FTC) Enforces laws and develops guidelines regarding unfair business practices Food and Drug Administration (FDA) Enforces laws and develops regulations to prevent distribution and sale of hazardous consumer products Consumer Product Safety Commission Enforces Consumer Product Safety Act (CPSC) Federal Communications Commission Regulates interstate wire, radio, and (FCC) television Environmental Protection Agency (EPA) Develops and enforces environmental protection standards Office of Consumer Affairs (OCA) Handles consumer complaints Exhibit 4-4 For use only with Perreault and McCarthy texts. 4-10 © The McGraw-Hill Companies, Inc., 1999 Irwin/McGraw-Hill
11. The Cultural and Social Environment Time Poverty Economic Power Career Opportunity Cultural Trend: The Changing Roles of Women For use only with Perreault and McCarthy texts. 4-11 © The McGraw-Hill Companies, Inc., 1999 Irwin/McGraw-Hill
12. Sales and Cost Curves of Two Strategies Product A Sales In this graphic, a Total cost too-narrow focus on the first year’s results might Dollars cause the marketing manager to abandon this product as too costly. 0 1 2 3 4 5 Years Exhibit 4-6 For use only with Perreault and McCarthy texts. 4-12 © The McGraw-Hill Companies, Inc., 1999 Irwin/McGraw-Hill
13. Sales and Cost Curves of Two Strategies Product B Sales In this graphic, a too-narrow focus on Total cost the first year’s results might cause the marketing manager to adopt the product prematurely, since its performance in year 0 1 2 3 4 5 one is misleading. Years Exhibit 4-6 For use only with Perreault and McCarthy texts. 4-13 © The McGraw-Hill Companies, Inc., 1999 Irwin/McGraw-Hill
14. Sales and Cost Curves of Two Strategies Product A Product B Sales Sales Total cost Total cost Dollars 0 1 2 3 4 5 0 1 2 3 4 5 Years Years Seen together, it is easy to see that Product A offers a vastly better overall return than does Product B Exhibit 4-6 For use only with Perreault and McCarthy texts. 4-14 © The McGraw-Hill Companies, Inc., 1999 Irwin/McGraw-Hill
15. Evaluating Opportunities Industry Attractiveness High Medium Low High Medium No Growth Business Strength Business Borderline Low Growth Exhibit 4-7 For use only with Perreault and McCarthy texts. 4-15 © The McGraw-Hill Companies, Inc., 1999 Irwin/McGraw-Hill
16. Continuum of Environmental Sensitivity Insensitive Sensitive Industrial Basic Consumer products commodity-type products that consumer are linked to products cultural variables Exhibit 4-8 For use only with Perreault and McCarthy texts. 4-16 © The McGraw-Hill Companies, Inc., 1999 Irwin/McGraw-Hill
17. Key Terms Mission Statement Technology Competitive Environment Nationalism Competitor Analysis NAFTA Competitive Rivals Consumerism Competitive Barriers Cultural and Social Environment Economic and Technological Strategic Business Unit (SBU) Environment Portfolio Management For use only with Perreault and McCarthy texts. 4-17 © The McGraw-Hill Companies, Inc., 1999 Irwin/McGraw-Hill