Final Term Examination Fall-2020

Name of Student Reg. No.

Subject: CBMS Wednesday 18:30- 21:30 Program: MBA

Facilitator: Minhaj Ikram Max. Marks: 40

Date: 24th Jan, 2021 (09:00 AM) – 30th Jan, Course Code MKT441
2021 (10:00 AM)

Q1. Consider you are Marketing Manager in a Toyota Indus Motors, which is the leading automobile
manufacturer in Pakistan. As you know that lot of new players are coming in Pakistan recently and more
are expected to come in result of lucrative government policies. Considering the current growing
automobile market in Pakistan suggest best defensive and offensive strategies for Toyota to help them
stay number one.

Answer) Toyota Indus Motor Company has a brand name and due to competitors in the market like
Honda, Kia, Nissan, and Suzuki etc. Company adopts different Offensive and Defensive strategies which
are as follows.

Defensive Strategies

There are six defensive strategies to be followed by a company that are:

Position defense (purely defensive is not enough, firms must take offensive counter-measure). Involves
building superior brand power, and making the brand almost impregnable. Moreover, it must focus on
the other elements like what majors should be taken in marketing and what strategies has to be
followed to make it run in every aspect.

Example: Toyota introduce cross against MG and proton

Flank Defense: Company prepare the outpost to protect its weak front. Company may launch the other
product to counter the attack. Like Toyota launch Yaris after attack by Suzuki ciaz and Honda city. If take
latest example Toyota cross (coming in next month) after attack by MG and Proton. Company making
itself strong by introducing different products against the competitors like MG motors & Proton etc.

Preemptive Defense: Here Company wants to defense itself by attacking before than competitors.

Honda launch accord hybrid but Toyota take step and before Honda accord introduce our model Toyota
Camry hybrid in market.
Counteroffensive Defense: When hit by the attackers most of the company responds aggressively &
counter attacked to the company. Their attacks counter those with new products like introducing SUVs
and Hybrid would be the best option so the people could make best decision out of it. That’s why Toyota
launch Toyota cross with hybrid function (low fuel average is very valuable for customer).

Mobile defense: it would entail introducing new products, introducing replacement products, modifying
existing products, changing market segments, changing target markets, repositioning products, or
changing promotional focus. Like Toyota introduces Toyota Yaris with new feature (android multiplayer
system, digital meter, low fuel consumption) other than Corolla GLI / XLI standard models in order to
beat the competitors mid-range models like ciaz and Honda city etc. and Toyota introduce in next month
cross against new competitor with new feature like SUV ,heated seat, other sensor also available.

Contraction Defense: Sometime big company leaves their one or more area to give more focus on their
parent goods or area. Like other company launch small car (e.g. alto) and pickup vans or cargo vehicle
but Toyota didn’t take any interest in these types of cars, only focus on family car (e.g. Yaris, corolla, for
tuner etc.).

Offensive Strategy

 Company must consider the above strategy in order to achieve success as company will
be introducing more products with good features and premium look. Price must be
affordable and will all these mix tactic approach company will be considered as a brand
loyal and hence can compete its competitors.
Toyota is working against the electric car technologies. They have lot of concerns about
the success of electric cars. They have lot of advantages against competitor.
 Company must attack its competitors by using surprising strategy which will be useful in
marketing like for example: Good Ads can also attract large consumers which may
damage its competitors. There are several other things include in this strategy to attract
more consumers and weak competitors strength.
 It entails targeting and surrounding a competitor with the purpose of completely
defeating it. The strategic objective of encirclement strategies is long-term market
dominance.
 This market entails avoiding head-on confrontations with entrenched rivals that often lead to
aggressive price-cutting, advertising wars or costly efforts to outspend or out differentiate their
products. In future Toyota introduce car within range price and with new feature
according to market.
Q2. Discuss four functional theories of Attitude and explain them with the help of your personal
examples where you have used these theories.

Answer) Utilitarian Function-

We develop attitudes on things if they are pleasurable or painful.

Please find examples for both attitude of consumer toward a product in the given example
below.

Example:

Pleasurable attitude: I have Honda Vezzel car and the pleasurable approach is that Car has a
good mileage support because of its hybrid function, which makes it more fuel-efficient that is a
good thing. In addition, Car has its own radar system, which helps to prevent incidents, as the
Radar function is to aware car about an object in front of it so that if human does not push
break car breaks automatically to prevent any major accident.

Painful Attitude: Taking same product above for painful that there is no spare tire comes with
the car which actually makes it painful for me as if I am travelling for long journey and by
chance if something happened to tyres then what option will I have to move car from there as
without spare tyres it will become more difficult and more time consumable.

Value Expression:

It allows expressing consumer core beliefs and self-concept to others.

Please find the example below.

Example: It is in my value and ethics that in night I do not use High beam lights (HID) so that
coming traffic find themselves difficult to drive specially for elder people because of their weak
eyesight. In addition, I have a belief that while stopped on signal I slow down the volume
because even if I have lowered the side windows people will don’t be irritate for sure.

Ego Defensive Function:

It allows protecting consumers from External Attitude and internal thoughts.

Please find the example given below.

For Example: While overtaking on road I specially use side indicators in order to avoid any
disturbance or a fact that what people might think about me as an illiterate person who even
do not know how to drive and overtake.

Knowledge Function:

Function, which add knowledge to consumer by their attitude.

Please find example below:

For Example: Knowledge, which I perceive from the signboard like: “Drive slow population
ahead” is that by reducing speed under limit will allow no major accidents on the road because
sometimes people usually trespass between the roads and because of low speed vehicle, it will
prevent accidents, which will cause us so many lives