Summary: Strategic Market Management Global Perspectives | 9780470689752 | David A Aaker, et al

Read the summary and the most important questions on Strategic Market Management Global Perspectives | 9780470689752 | David A. Aaker; Damien McLoughlin

• 2 External and Customer Analysis

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• What are Strategic Uncertainties? Name 3 examples.

  Focus on specific unknown elements that will affect the outcome of strategic decisions.
  
  E.G
  

  • Will a major firm enter?
  • Will a technology be replaced?
  • Is the Euro strong against other currencies?

• How should segments be defined? (5) Name examples.

  1. Benefit segmentation ( Baby food )
     
  2. Price-sensitivity ( From Aldi to marc&Spencer groceries )
  3. Loyalty ( The key is to reward the customer )
  4. Applications ( Laptops )
  5. Multiple segments versus a focus strategy ( L'Oreal competes in five segments with multiple brands from professional (Redken) to luxury (Lancome) )

• Name some Approaches to defining segments (Customer characteristics)

  • Geographic ( Small communities )
  • Type of organization ( Computer needs of restaurants versus firms )
  • Size of firm ( Large versus small hospital )
  • Lifestyle ( Adventurous Jaguar buyers versus consecrative BMW )
  • Sex ( Mothers of young children )
  • Age ( Cereal for kids versus adults )
  • Occupation ( Paper copier needs of lawyers versus bankers )

• Name some Approaches to defining segments (Product related)

  • User type ( Home builder, remodeler  )
  • Usage ( Concert - season ticket holders, occasional, non users )
  • Benefits sought ( Dessert eaters - calorie conscious versus convenience )
  • Price sensitivity ( Renault versus Mercedes )
  • Competition 
  • Applications 
  • Brand loyalty ( Heinz ketchup )

• What are the 4 steps in a customer motivation analysis? 

  1. Identify motivations
  2. Group and structure motivations
  3. Asses motivation importance
  4. Assign strategic roles to motivations

• Customer as an active partner now, managers should:

  • Encourage active dialogue ( Blogs )
  • Mobilize customer communities 
  • Manage customer diversity ( Deal with multiple levels )
  • Co-creating personalized experiences ( Nike design, online florist )

• 3 Competitor analysis

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• Potential market entrants ( competitors )

  1. Market expansion ( Firms operating in nearby countries like snack companies )
  2. Product expansion 
  3. Backward integration
  4. Forward integration
  5. The export of assets or competencies
  6. Retaliatory of defensive strategies

• Competitor actions are influenced by 8 elements, which ones?

  1. Size, growth and profitability
  2. Image and positioning strategy
  3. Objectives and commitment
  4. Current and past strategies
  5. Organization and Culture
  6. Cost structure

  • Number of employees and breakdown of direct labour
  • Cost of raw materials and purchased components
  • Investment in inventory, plant, and equipment

  
      7. Exit barriers
  

  • Specialized assets
  • Government and social barriers
  • Fixed costs 

  
       8. Assessing Strengths and Weaknesses

• What are relevant assets and competences?

  1. Industry mobility barriers
  2. Critical Value-added components
  3. Drivers of business success or failure
  4. Customer motivations

• What is a competitive strength grid?

  Summary the position of you and your competitors with respect to assets and competences