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Assignment No: 01
Department of Marketing
University of Dhaka
1. Introduction
Market driven strategy is the long term planning of a business to provide the maximum
value or advantages to the customers. It is a corporate Strategy which is based on
understanding market trends & customers. The central logic of market driven strategy
states that customer should be the starting point in any business strategy.
A market driven organization is systematically and entirely committed to the continuous
creation of superior customer value. Market orientation always commences from the
information made by virtue of customers, competitors and market. Based on such
information the company performs coordinated actions, to create superior customer value.
Market orientation is the extent to which customer focus is implemented in key
organizational leverages. In this study, we will discuss about market driven strategy of
Mutual Trust Bank Limited, Bangladesh.
2. Discussions
Market driven strategy provides a Company-wide outlook. A significant amount of effort is
put into developing a market driven organizational culture and processes (Cravens and
Shipp, 1991). Therefore, it is a long term endeavor. In this segment, a thorough discussion
about theory and practical case of market driven strategy is presented.
2.1. Theory
2.1. (a) Characteristics of Market Driven Strategies are:
Becoming market oriented.
Determining distinctive capabilities.
Finding a match between customer value and organizational capabilities.
Obtaining superior performance by providing superior customer value.
Figure 1: The
capabilities of market
driven organizations
Market-driven organizations have superior market sensing, customer linking, and channel
bonding capabilities (Day, 1994).
Creating Value for Customers & becoming customer driven: Customer value is the outcome of a
process that begins with a business strategy anchored in a deep understanding of customer needs
(Cravens and Piercy, 2018). Offering superior customer value is at the core of business design at
companies as diverse as Google, Apple, Southwest Airlines etc. Organizations distinctive capabilities are
used in delivering superior value than the competitors.
2.1. (c) Corporate, Business & Marketing Strategy: Corporate strategy consists of the decisions
made by top management and the resulting actions taken to achieve the objectives set for the business.
Business and marketing strategy is guided by the decisions top management makes about how, when
and where to compete.
Figure 2: Components of
corporate strategy
The Marketing Strategy Process: The marketing strategy analysis, implementation and
management process that are usually followed is shown below:
Designing market-driven
strategies: Market sensing
information plays a key role in
designing marketing strategy,
which includes the following:
Market targeting and strategic
positioning, Strategic
Relationships & Innovation and Figure 3: marketing strategy process
new product strategy.
2.1. (d) Market-driven program development: Market targeting and positioning strategies for
new and existing products guide the choice of strategies for the marketing program
components (Doyle and Hooley, 1992): Strategic brand management, Value chain strategy,
pricing strategy & Promotion strategy
Implementing and Managing Market-driven Strategy: Marketing strategy implementation and
control consists of the following-
Marketing Plan and budget
Implementation of plan
Mutual Trust Bank Limited is a Public Limited Company operating successfully in the industry
since 24 October, 1999. It has acquired commendable reputation by providing sincere
personalized banking service to its customers in a technology based environment since its
inception. The Bank’s Market Driven strategic framework in coherence have contributed to the
long 22 years’ of successful journey.
2.2. (a) Vision: Mutual Trust Bank’s vision is based on the philosophy well known as MTB3V to
become:
• The Bank of Choice
• A Truly World-Class Bank
• One of the Best Performing Banks in Bangladesh
Core Values: MTB’s vision is based on the philosophy known as MTB3V and it aims to increase
profitability in a sustained and precise manner keeping its core values - integrity, transparency
and ethics intact. This Bank believes customers are the most important factor in achieving their
goals and they are committed to cater for their customer needs through pursuing Compliance
First ideology.
2.2. (b) Market driven strategy: The business model
Having over 21 years of successful banking experience in the marketplace, MTB business model
is designed and continuously adapting to endure market pressures and absorb macroeconomic
shocks. It gives us the overview of the Bank’s overall market driven strategy.
Representation of MTB’s business model components is as follows (MTB Annual Report,2021):
All in all, MTB is a very well established bank which is running its operation very efficiently for
the last 22 years and it is successful so far to keep the position. However, MTB has potential for
improvement to use new marketing strategies in order to provide superior customer value.
MTB should emphasize more on reshaping their existing marketing strategies by offering
unique values to the target market.
3. Significance of studying Market Driven Strategy in Strategic Marketing Management:
Strategic Marketing analyzes the underlying logic and processes for designing and
implementing market-driven strategies. And the study of market driven strategy aims:
1) To examine the nature of market driven strategy and the market oriented company
2) To explain the links between corporate, business and marketing strategy.
3) To underline some of the major challenges of the current competitive marketing era
including customer, technological change, ethics and corporate social responsibility.
4) To express Strategic Marketing’s demanding role in business performance.
5) To underline the importance of escalating globalization and emerging Web phenomena.
4. Conclusion:
5. References:
1) Cravens, D. and Piercy, N., 2018. Strategic marketing. New York: McGraw-Hill.
2) 2021. MTB Annual Report. Dhaka: Mutual Trust Bank Limited.
3) Cravens, D. and Shipp, S., 1991. Market-driven strategies for competitive
advantage. Business Horizons, 34(1), pp.53-61.
4) Day, G., 1994. The Capabilities of Market-Driven Organization. Journal of Marketing,
[online] Available at: <https://faculty.fuqua.duke.edu/~moorman/Marketing-Strategy-
Seminar-2015/Session%202/Day%201994.pdf> [Accessed 2 November 2021].
5) Doyle, P. and Hooley, G., 1992.
https://www.sciencedirect.com/science/article/abs/pii/016781169290029K. Elsevier,
[online] 9(1). Available at:
<https://www.sciencedirect.com/science/article/abs/pii/016781169290029K> [Accessed 2
November 2021].
6) Mutual Trust Bank Limited. 2021. Home - Mutual Trust Bank Limited. [online] Available at:
<https://www.mutualtrustbank.com/> [Accessed 2 November 2021].
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