...How market-driven is your company? A significant change has taken place in the domestic and international markets environments due to the increasing pace of economic commercialization. Therefore, it is imperative that company or organizations must put all effort in their products design and quality to satisfy the customer because in today’s global marketplace the client has turned out to be the primary role within current business correspondence. Technological advancement globalization has made the marketplace very difficult, and companies are in search for a strategic approach which is advanced and healthier not only win customers but be inventive and competitive in the marketplace. These initiatives are not just to stay competitive in business but also to make sure that specific choices of strategies are implemented to preserve as well as improve the current business(Slack & Lewis,2011.pp.36-37). For companies to realize this and protect their business and with the intention of staying on top of the competitive market they must first of analyze the internal, as well as the external environment of their business and provide customers with delights products which are acceptable, products which are customer-centric and market driven(Slack & Lewis,2011.pp.56,Dr. Lantos, 2009). As a result of all this, organizations as well as businesses have adopted various strategic initiatives which would allow them to develop and determine the future needs of their consumers to establish...
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...Part Market-Driven Strategy 1 Chapter 1 Market-Driven Strategy The market and competitive challenges confronting executives around the world are complex and rapidly changing. Market and industry boundaries are often difficult to define because of the entry of new and unfamiliar forms of competition. Customers’ demands for superior value from the products they purchase are unprecedented, as they become yet more knowledgeable about products (goods and services) and more sophisticated in the judgments they make. External influences from diverse pressure groups and lobbyists have escalated dramatically in country after country. Major change initiatives are under way in industries ranging from aerospace to telecommunications. Innovative business models that question the traditional roles of an industry are defining a new agenda for business and marketing strategy development. Companies are adopting market-driven strategies guided by the logic that all business strategy decisions should start with a clear understanding of markets, customers, and competitors.1 Increasingly it is clear that enhancements in customer value provide a primary route to achieving superior shareholder value.2 Consider, for example, Southwest Airlines’ market-driven strategy that has achieved a strong market position for the U.S. domestic carrier. The airline’s growth and financial performance are impressive. Although Southwest is the fourth largest U.S. airline, its market capitalization is greater...
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...the above statement and agree that my assignment conforms to Massey University’s plagiarism policy. Where I have made use of the ideas of other writers, I have acknowledged the source in every instance. This is an original assignment and entirely my own work. Market-driven organisations are able to provide their customers with superior customer value by classifying and matching the distinctive capabilities of their company to the customers’ needs. They have a management team that are fully committed, a supportive culture, and a decision making process that is kept as close to the customer as possible (Day, 1994). Becoming market oriented, determining distinctive capabilities, market sensing and customer linking, employing necessary organisational change and creating strategic relationships are all elements of a market-driven strategy (Cravens, Greenley, Piercy, & Slater, 1998; Day, 1994). The value for an organisation in pursuing a market-driven strategy exists in the proven link between superior business performance and market orientation (Slater & Narver, 2000). Market orientation requires commitment from the entire organisation to make the customer the focal point of all company operations. The whole organisation needs to work together to gather useful information about the customer and competitors in order to monitor changing needs and wants. “Cross-functional teamwork guides the entire organisation toward providing...
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...five core marketplace concepts 3. Identify the key elements of a customer-driven marketing strategy and discuss the marketing management orientations that guide marketing strategy 4. Discuss customer relationship management, and identify strategies for creating value for customers and capturing value from customers in return 5. Describe the major trends and forces that are changing the marketing landscape in this age of relationships 1-2 Chapter Concepts 1. 2. 3. 4. 5. 6. 7. 8. What Is Marketing? Understanding the Marketplace and Customer Needs Designing a Customer-Driven Marketing Strategy Preparing an Integrated Marketing Plan and Program Building Customer Relationships Capturing Value from Customers The New Marketing Landscape So, What Is Marketing? Pulling It All Together 1-3 What Is Marketing? Marketing Defined Marketing is the process by which companies create value for customers and build strong customer relationships to capture value from customers in return 1-4 What Is Marketing? The Marketing Process 1. 2. 3. 4. 5. Understand the marketplace and customer wants and needs Design a customer-driven marketing strategy Construct a marketing plan that delivers superior value Build profitable relationships and create customer satisfaction Capture value from customers to create profit and customer equity 1-5 Marketing process Determine needs and wants Design customer driven marketing strategy Construct marketing program that delivers superior...
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...PANERA BREAD COMPANY Introduction Panera Bread Company is the national bakery-café concept which operates in the casual restaurant industry. Founded in 1981 by Louis Kane and Ron Schaich, entirely it was registered as Au Bon Pain Co. with several chains. In 1999, the founders sold Au Bon Pain divisions and Panera bread1993. Currently, the company owns 1652 franchise stores in 44 states in United States and in Ontario, Canada The purpose of this essay is to identify and justify the important issues that transform Panera Bread into market-driven company. The market-driven approach is a business perspective that puts the customers as a starting point in all its strategies and operations in order to deliver the superior customer value and gain a competitive advantage (Day, 1994). This approach totally contradicts with the one of the previous years of the Industrial age, which the prominent scholar Drucker (1954) defined that the main purpose of the organization is to generate profit. But nowadays, it appears clear that for the future prosperity of the company, the building of the loyal customer base is necessary condition to be profitable. The support of the latest argument comes from Webster, et al. (1994) where it is concluded that the profit becomes as remuneration for a satisfied and retained customer. There are few capabilities that the company should be aware of in order to be oriented on the market (Cravens and Shipp, 1991). There is the marketing strategic process...
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...B related to the most was market segmentation and the various criteria that impacts market selection. Creating a consumer driven marketing strategy is imperative for companies inspiring to be or are successful. “Companies today recognize that they cannot appeal to all buyers in the marketplace or at least not to all buyers in the same way (Armstrong & Kotler, 2011, p. 174).” Consumers vary in age, location, income, nationality, social class, gender, family size, education, religion, and many more variables. Thus companies are straying from mass marketing and focusing more on target marketing (2011). Market targeting is the process of evaluating each market segment’s attractiveness and selecting one or more segments to enter (2011). It is a critical piece that aids with the segmentation, differentiation, and positioning of the consumer driven marketing strategy. Each member of team b reflected on their personal experiences of market targeting. For example, two team members are mother’s, although the ages of their children vary, each mother at one point was targeted with the age and life-cycle stage from a company like Toys “R” Us. Some companies use the age and life-cycle segmentation, since consumers needs drastically change with age. For Example, Toys “R” Us primarily target babies to teenagers, most likely an adult will not be featured in their flyers that state, “I’m a Toys “R” Us Kid.” As Team B assessed the data of the consumer driven marketing strategy in chapter...
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...com/article-11455-25-most-innovative-companies-in-the-gcc/1/ There also are a lot of examples to list. An innovation-driven economy is the most advanced stage of development a country can achieve within the global competitiveness index framework. To be included in this group, a country needs to have a very high level of income per capita, along with sufficient economic diversification. The World Economic Forum, based on the theories of economist Michael Porter, assesses countries’ competitiveness in terms of three main stages of economic development, including: Stage 1: Factor-driven economies. Countries compete based on their factor endowments, which are mainly unskilled labour and natural resources. Companies compete on the basis of price, and sell basic products or commodities, with their low productivity reflected in low wages. Maintaining competitiveness requires will-functioning public and private institutions, well-developed infrastructure, a stable macroeconomic framework and a healthy and abundant work force. Stage 2: Efficiency-driven economies: With advancing development and an increase in wages, countries move into the efficiency-driven stage of development, which occurs when they develop more efficient production processes and increase product quality. At this point, competitiveness and wealth creation are increasingly driven by higher education and training, efficient goods markets, well-functioning labour markets, sophisticated financial markets, a large domestic and \or foreign market, and...
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...Ford Motor Company: Supply Chain Strategy Executive Summary The Ford Motor Company is a well established, international automotive design and production company that is shifting the company mission to have an emphasis on shareholder value and customer responsiveness. In the face of increasing international competition, Ford has recognized several facets of operations that can be better executed in order to attain the outlined objectives. There has been several alternatives to various operations within Ford that can directly alter the fundamentals of its business, all with a strategic significance put on the supply chain procedures. This case study identifies these options; maintaining current practices and partnerships, standardization of their supply chain and sub-system products to simplify the supply process, adjust the retail services and dealership chains to drive market driven sales and a combination of virtual integration with key suppliers to drive relationship based supply that is determined by a forecast driven sales and production model, called the Ford 2000 Process. Through the evaluation of the presented alternatives, the Ford 2000 Process has been selected as being the most effective path to achieve the corporate goals of the Ford Motor Company. Ford should be able to utilize it’s current market share and global supply network to generate beneficial partnerships on key suppliers and stabilize a fluctuating production model that is riddled with waste...
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...Francesco Panazzolo Fall 2013-2014 Case Presentation Curled Metal Inc. (CMI) faced a pricing and channel marketing decision for metal pile cushions utilized during pile driving. CMI’s approach to metal pads has significant efficiency advantages over currently used pads available in the market. However, CMI has to take into account several barriers to entry into this market. The primary barrier is that most companies viewed role of pads as a necessary accessory or tangent item instead of viewing them as a potentially value adding or cost reducing part of pile driving. In order to penetrate the market, CMI has to alter the point of view of pile driving pads for the opinion leaders, engineering firms, and contractors involved in the decision process. There is several stakeholders to consider, first CMI that need a new successful product to the continued success of the company. The decisions regarding pile cushions could greatly increase the company’s revenues and profits. There are also several secondary stakeholders in the pile driving industry. Secondary stakeholders include pile hammer manufacturers, architectural consulting engineers, soil consultants, pile hammer distributing/renting companies, engineering/construction contractors, and independent pile driving contractors. The workers who drive piles are also stakeholders since the current pads may be hazardous to their health due to heat related injuries and weight. The following table summarizes some of the stakeholders; their...
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...organization consistently reflect changes in marketing theory and practice. The very first edition of Marketing Management, published in 1967, introduced the concept that companies must be customer-and-market driven. But there was little mention of what have now become funda- mental topics such as segmentation, targeting, and positioning. Concepts such as brand equity, customer value analysis, database marketing, e-commerce, value networks, hybrid channels, supply chain management. Marketing Management is the leading marketing text because its content and organization consistently reflect changes in marketing theory and practice. The very first edition of Marketing Management, published in 1967, introduced the concept that companies must be customer-and-market driven. But there was little mention of what have now become funda- mental topics such as segmentation, targeting, and positioning. Concepts such as brand equity, customer value analysis, database marketing, e-commerce, value networks, hybrid channels, supply chain management. Marketing Management is the leading marketing text because its content and organization consistently reflect changes in marketing theory and practice. The very first edition of Marketing Management, published in 1967, introduced the concept that companies must be customer-and-market driven. But there was little mention of what have now become funda- mental topics such as segmentation, targeting, and positioning. Concepts such as brand equity, customer...
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...have 10 to 12 years of patent protection life from the time that product is for sale in the market. Success of the generic pharmaceuticals which are bioequivalent to innovative pharmaceutical is also related to the political and legal environment of their market. If we look at pharmaceutical industry globally we can see that regulations toward generic pharmaceutical are different in different countries. For example, in United States they have the Hatch-Waxman ACT 1984including Abbreviated New Drug Application which reduce the drugs approval period and give the chance to Generic companies to have a 180 day exclusivity period if the generic company can submit an abbreviated new drug application before other generic competitors. In Europe regulations are different in each country for example, United Kingdom and the Netherlands are very similar to USA, and countries such as Germany and France are more physician-driven or branded generics market and the cost of sale for generic products are higher in these countries. Market for generic drugs in the rest of the world also depend on the regulations in each country. For example Japan and East Asian market are highly regulated and generic drug occupy only 10% of pharmaceutical drugs in Japan. Developing markets such as Latin America, eastern Europe, Russia, India and China are very attractive for generic market. 2) Attractiveness of the industry Pharmaceutical industry has some of porter’s...
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...What Is Marketing? Understand the Marketplace and Customer Needs Designing a Customer‐Driven Marketing Strategy Preparing an Integrated Marketing Plan and Program Building Customer Relationships Capturing Value from Customers The Changing Marketing Landscape Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter 1- slide 2 What Is Marketing? Marketing is a process by which companies create value for customers and build strong customer relationships to capture value from customers in return Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter 1- slide 3 What Is Marketing? The Marketing Process Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter 1- slide 4 Understanding the Marketplace and Customer Needs Core Concepts • • • • • Customer needs, wants, and demands Market offerings Value and satisfaction Exchanges and relationships Markets Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter 1- slide 5 Understanding the Marketplace and Customer Needs Customer Needs, Wants, and Demands Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter 1- slide 6 Understanding the Marketplace and Customer Needs • Market offerings are some combination of products, services, information, or experiences offered to a market to satisfy a need or want • Marketing myopia is focusing only on existing ...
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...– Decentralized company structure, innovative and creative employees and Charismatic strong leader, such as: Jorma Ollila. – The market leadership in the mobile industry. – Strong brand name and company image in the global market – Has its own manufacture and network. – Product innovation. – Economy of scale Weaknesses – Complacency and arrogance. – Few customized, operator-specific handsets. – Few alliances, company sticks to its standing in the market, do not want to cooperate with the operators. External analysis (Environmental models of competitive advantage) Opportunities – The emerging market in developing countries, such as China, India – The emerging market for high-end mobile phone such as business user phone. Threats – Facing more new competitors, especially from Asia. – Stronger buyer power from the network operators. – Lost market share – The market becomes saturatedong competition in mobile industry OPPORTUNITIES LG: its slowing down and has not had any product innovation in the last 6-8 months. innovation in the last 6-8 months. The Indian Mass Market.The Indian Mass Market. The high end value driven proposition helps increaseThe high end value driven proposition helps...
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...selling $4000 BBQ’s and Guy Russo believed that if they are going to sell high market priced items then they have to offer the expertise to go with it. Wesfarmers Chief Executive, Richard Goyder, brought Guy Russo into the organisation to make a change within the company. Guy Russo was the managing director for McDonalds and had retired for two years before starting his new opportunity at Kmart. Russo implemented a volumes-driven strategy from which the company had a 24.9 percent earnings growth. Their profits grew to $246 million compared to $75 million back in 2008. Kmart also had a capital increase from 8.3% to 22.5%, under Russo’s management. How does the news item illustrate the topic assigned for your presentation? The topic is based on business-level strategy. The selected article is based on cost advantage which gives the company overall competitive advantage. Guy Russo promotes a volume-driven strategy to emphasis economies of scale. He did this through lowering prices and therefore high volume of products were sold. They worked on the value chain, in particular the supply network. They have affected the process technology and process design. Instead of getting products through three of four different hands they purchased it directly through Asian manufactures in big volumes. These big orders resulted in cost savings which translated in to lower prices. The company refocused their target market on mums and families, as research shows, that they spend more than any other...
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...Marketplace and Customer Needs Designing a Customer-Driven Marketing Strategy Preparing an Integrated Marketing Plan and Program Building Customer Relationships Capturing Value from Customers The Changing Marketing Landscape Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter 1- slide 2 1 11/06/2014 What Is Marketing? Marketing is a process by which companies create value for customers and build strong customer relationships to capture value from customers in return Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter 1- slide 3 What Is Marketing? The Marketing Process Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter 1- slide 4 2 11/06/2014 Understanding the Marketplace and Customer Needs Core Concepts • • • • • Customer needs, wants, and demands Market offerings Value and satisfaction Exchanges and relationships Markets Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter 1- slide 5 Understanding the Marketplace and Customer Needs Customer Needs, Wants, and Demands Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall Chapter 1- slide 6 3 11/06/2014 Understanding the Marketplace and Customer Needs • Market offerings are some combination of products, services, information, or experiences offered to a market to satisfy a need or want • Marketing myopia is focusing...
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