Chapter 1

Overview of
Marketing
Strategy and
the
Strategic
Marketing
Process

2012 Pearson Education, Inc. publishing Prentice Hall.

Learning Objectives
1. Understand the meaning of Marketing
Strategy.
2. Know Marketing concept.
3. Explain Generic Frameworks of Marketing
Strategies.
4. Understand Product-Market Growth
Strategies.
5. Explain Strategic Marketing Process.

2
2012 Pearson Education, Inc. publishing Prentice Hall.

What is a Marketing Strategy?

A marketing strategy can refer to a process or
to its outcome
A comprehensive marketing strategy specifies
the who, what, when, where, why, and how of
the business
A sound strategy must reduce to meeting
some specific needs of some specific
customers better than the competition within
profitable relationships

3
2012 Pearson Education, Inc. publishing Prentice Hall.

What is a Marketing Strategy?

Three high-level decisions

Target
Segments

Competiti
ve
Advantag
es

Singularity

4
2012 Pearson Education, Inc. publishing Prentice Hall.

Table 1-1 - What Is a Marketing

Strategy?

5
2012 Pearson Education, Inc. publishing Prentice Hall.

Singularity
The firms offering must be
different from the competitions
in some way that some segment
of customers will value.
The strategy must be unique or
singular
and
not
in
an
inconsequential way.
6
2012 Pearson Education, Inc. publishing Prentice Hall.

The Marketing Concept and a

Customer Focus
Essence of the marketing concept
Strategic marketing is the creation and
maintenance of a market oriented strategy
Focusing the organization on the customers it
serves and the needs it meets

According to the marketing concept, if we

take good care of our customer, sales and
profits, will follow

7
2012 Pearson Education, Inc. publishing Prentice Hall.

Figure 1-1 - Generic Strategies

Competitive Advantage and
Competitive Scope

8
2012 Pearson Education, Inc. publishing Prentice Hall.

Figure 1-3 - Product-Market Growth

Strategies

9
2012 Pearson Education, Inc. publishing Prentice Hall.

Figure 1-4 - The Strategic Marketing

Analysis and Planning Process

10
2012 Pearson Education, Inc. publishing Prentice Hall.

True or False
1. A
comprehensive
marketing
strategy specifies the 5Ws and 1H of
the business, where the H refers
to the geographic markets the firm
will serve. (Where)

11
2012 Pearson Education, Inc. publishing Prentice Hall.

True or False
2. Questions about how the firm serves
their target segments and their
needs better than the competition,
and why the firm does that is
related
to
Target
Segments
(competitive advantage)

12
2012 Pearson Education, Inc. publishing Prentice Hall.

True or False
3. There are 3 main basis of
competition which are Product
Leadership, Cost Leadership and
Product Differentiation.

13
2012 Pearson Education, Inc. publishing Prentice Hall.

True or False
4. Market Penetration refers to selling
more of the firms existing products
to new markets.

14
2012 Pearson Education, Inc. publishing Prentice Hall.

True or False
5. Product development refers to
selling new products to new
markets.

15
2012 Pearson Education, Inc. publishing Prentice Hall.

True or False
6. The strategic marketing process
consists of 3 main stages which are
Situation
Assessment,
Strategy
Formulation and Implementation.

16
2012 Pearson Education, Inc. publishing Prentice Hall.

True or False
7. In the Situation assessment stage,
the company under goes three
activities which are Segmentation,
Targeting and Positioning.

17
2012 Pearson Education, Inc. publishing Prentice Hall.