DevelopingSuccessfulOrganizational and

Marketing Strategies.

Emiliya Ahmadova
 KINDS OF
 For-Profit Organization (Business
Firm) ORGANIZATIONS
 Nonprofit Organization
 Government Agency

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Strategy
• Strategy is an
organization’s
long-term course of action
designed to deliver a
unique customer
experience while achieving
its goals.

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 Strategic planning
WHY?

• Strategic planning is the process of developing and

maintaining a strategic fit between the organization’s goals
and capabilities and its changing marketing opportunities

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https://www.techwyse.com/blog/infographics/facebook-acquisitions-the-complete-list-
infographic/
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 SBU
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• Strategic business unit (SBU) is a unit of

the company that has a separate
mission and objectives that can be
planned separately from other company
businesses
• • Company division
• • Product line within a division
• • Single product or brand

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UNILEVER TREY 8
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Corporate Strategy

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Strategy in Visionary Organization

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Steps in Strategic Planning

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Mission

Statement Market-oriented mission

• The mission statement is the • Market-oriented mission
organization’s purpose, what it statement defines the business in
wants to accomplish in the larger terms of satisfying basic customer
environment needs

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Organizational Culture
• An organizational culture
consists of the set of
values, ideas, attitudes,
and norms of behavior that
is learned and shared
among the members of
an organization.

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Organizational Insert or Drag and Drop

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BUSINESS
A business describes the clear, broad, underlying industry or market sector
of an organization’s offering.

Direct Competitors Indirect Competitors

• Multiple businesses offering similar
products and services create direct
competition.
• Indirect competitors are businesses that
offer slightly different products and
services, but target the same group of
customers with the goal of satisfying
the same need. These are sometimes
also known as substitutes

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Setting Company Objectives and Goals
Goals or objectives are the statements of an accomplishment of a task to be
achieved, often by a specific time

• Specific

• Measurable Goals or Objectives: S.M.A.R.T

• Attainable

• Relevant

• Time-Based
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Setting Company Objectives and Goals

Business objectives
• Build profitable customer relationships
• Invest in research
• Increase market share
• Create local partnerships
• Increase promotion
• Customer Satisfaction
• Improve profits
• Social Responsibility

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Setting strategic directions

Where do we want to go? Where are we now?

• Company Mission • Situation analysis
• Objectives • SWOT analysis
• Business Portfolio Analysis • PEST/PESTEL analysis
• Proter’s 5 force

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THE STRATEGIC MARKETING PROCESS

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 Business Portfolio Analysis

• The company assesses the

attractiveness of its various SBUs
and decides how much support
each deserves.

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 Business Portfolio Analysis

Market growth rate / case usge

the attractiveness of the SBU’s market or industry

Relative market share / cash generation

the strength of the SBU’s position in that market or industry

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BCG matrix formulas and calculations
Relative market share
• Relative market share = firm’s market share/largest
competitor’s market share
• For example, if a firm has a market share of 20% and
their largest competitor has a 40% market share, then
the firm’s relative market share would be 0.5 (that is,
20%/40%).
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Market growth rate
• Market growth rate = total market unit sales in
current year/total market unit sales in previous year
• As an example, if total unit sales in this year was 11
million – across all brand/firms – and in the previous
year total unit sales was 10 million, then the year on
year market growth rate is equal to 10% (that is,
11m/10m).
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 Stars. Stars are high-growth, high-share businesses or products. They often need heavy investments to
finance their rapid growth. Eventually their growth will slow down, and they will turn into cash
cows.

Cash cows. Cash cows are low-growth, high-share businesses or products. These established and
successful SBUs need less investment to hold their market share. Thus, they produce a lot of the
cash that the company uses to pay its bills and support other SBUs that need investment.

Question marks. Question marks are low-share business units in high-growth markets. They require
a lot of cash to hold their share, let alone increase it. Management has to think hard about which
question marks it should try to build into stars and which should be phased out.

Dogs. Dogs are low-growth, low-share businesses and products. They may generate enough cash to
maintain themselves but do not promise to be large sources of cash.

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Four strategies for each SBU

• Invest more in the business unit to build its share.

• It can invest just enough to hold the SBU’s share at the current level.

• It can harvest the SBU, milking its short-term cash flow regardless of the long-term
effect.

• Finally, it can divest the SBU by selling it or phasing it out and using the resources
elsewhere.

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BCG Matrix

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Market/Product Expansion

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The Product/Market Expansion Grid

• Market penetration
Company growth by increasing sales of current products to current market segments without changing the
product.
• Market development
Company growth by identifying and developing new market segments for current company products.
• Product development
Company growth by offering modified or new products to current market segments.
• Diversification
Company growth through starting up or acquiring businesses outside the company’s current products and
markets

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SWOT

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Large image

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 ThankYou
Emiliya Ahmadova

ahmadova.Emiliya@gmail.com

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