Quiz 3 - Ch.11, Global Marketing Planning, Intl. Mkt

Marketing Planning is A Process

Marketing planning is a process that leads to

• An understanding of an organization’s position in the market.

• A series of marketing decisions and actions to achieve an organization’s goals within a specific time frame.

• Output: A marketing plan

  • Clarifies the action plan: The record of the marketing activities

  • It states where an organization is, where to go, how to get there, and by when.

  • Informs adjustments and new strategies when the plan revision is needed

A marketing plan

• Aligns the marketing strategy, objectives, and tactics with the corporation mission.

• Supports the corporate objectives and strategy

  • The marketing plan acts as a mechanism to communicate with other functions and to check for alignment

Situation Analysis

SWOT analysis is used to get an understanding of important factors in:

• Internal environment: What the organization is good or bad at

• External environment: What external factors might present chances for success or difficulty.

How to do a SWOT analysis

• Gather your team together

• Set up your quadrants — on a whiteboard or shared document.

• Start with strengths — see the list on the next slide.

• Follow suit with weaknesses, opportunities, and threats.

• Organize the information collected into a neat and tidy document.

• Send out to the team with notes.

• Organize a second meeting to come up with action items and owners

Strengths

• Things your company does well

• Qualities that separate you from your competitors

• Internal resources such as skilled, knowledgeable staff

• Tangible assets such as intellectual property, capital, proprietary technologies, etc

Weaknesses

• Things your company lacks

• Things your competitors do better than you

• Resource limitations

• Unclear unique selling proposition

Opportunities

• Underserved markets for specific products

• Few competitors in your area

• Emerging needs for your products or services

• Press/media coverage of your company

Threats

• Emerging competitors

• Changing regulatory environment

• Negative press/media coverage

• Changing customer attitudes toward your company

PESTEL analysis

• PESTEL is an acronym for the political, economic, sociocultural, technological, environmental, and legal contexts in which a firm operates.

  • PESTEL identifies macro-environmental factors that firms must consider when planning for their futures.

• Many PESTEL factors could also be relevant to the Opportunities and Threats in our SWOT analysis.

• Many organizations conduct both SWOT and PESTLE analyses simultaneously

  • SWOT analysis provides them with more immediate, potentially actionable roadmaps,

  • Whereas PESTEL analysis can be highly valuable when it comes to formulating longer-term plans and business strategies

PESTEL, Political factors

• Taxation, tariffs, trade agreements

• Labor regulations

• Environmental regulations.

PESTEL, Economic factors

• Employment levels

• Interest rates

• Exchange rates

PESTEL, Social factors

• Demographic trends

• Consumer preferences

• Market diversity

PESTEL, Technological factors

• Internet

• Smartphones

• Connectivity

• Automation

PESTEL, Environmental factors

• Resource scarcity

• Recycling

• Alternative energy sources

PESTEL, Legal factors

• Contracts

• Laws

• Intellectual property rights

Global Marketing Plan (The corporation level)

• decides whether to become involved in international markets and determine the resources they are willing to commit.

  • The analysis of international markets + company’ objectives (i.e., country market selection)

Global Marketing Plan (The business-unit level)

• Understand stakeholder expectations

• Decide foreign entry modes through the situation analysis that examines factors that influence the businesses’ ability to successfully market a product or service.

• Environmental factors have received the most attention from marketers considering international markets.

• Set realistic market objectives

Global Marketing Plan (The functional level)

• Integration of functions to achieve corporate and business-unit level objectives.

  • The best international marketing strategy is doomed to failure if human resources can not find and train the appropriate employees, or research cannot modify the product so that it is acceptable to consumers in another country.

• Integration of the marketing mix elements

  • Modifying marketing strategies to meet the challenges of the global marketplace while trying to sustain competitiveness within home markets