And renewal harvard business school press

Strategic
Marketing

READINGS
Torment your customers (they'll love it).; By: Brown, Stephen., …………….…..…47 Should Strategy Makers Become Dream Weavers?; By: Stopford, John.…….……..53 Is Something Rotten In Segmentation?; By: Gibson, Lawrence ……………………58

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Upon completion of the course you should be able:
•to appreciate market strategies as well the processes underlying the development of marketing strategies
•to identify, analyse and put together what is needed to develop sound strategies •to make and implement sound marketing decisions in a dynamic environment

Textbook
The textbook for this course is:

The simulation will be played by groups of 5 to 6 students. Please make sure you have a group by week 2.

Each group will have to prepare and submit two written reports and to make a presentation. The reports include: (1) a 4 to 6 pages memo to an imaginary brand manager that succeeds you in the game and (2) a "learning outcome brief" which highlights what you have learned from the exercise (1-2 pages). Submission deadline for the reports is week 9; one day before the first set of presentations

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PHARMASIM SIMULATION

Learning objectives

Class arrangements -Rules of Engagement
Each team will receive the PharmaSim and manual software and will be responsible for "Allround", an OTC (over-the-counter) cold medicine. You will be responsible for managing the brand for ten periods (period 0 to Period 9) (each period is an entire year).

Each one of you will work as a member of a team of 5-6 students

Decisions
The decisions you have to make vary from level to level are highlighted in the case's manual. They include: a manufacturer's suggested retail price and the level of any volume discounts as well as the discounts you give to wholesalers; an advertising budget, selected advertising agency, and the relative emphasis on four types of ad messages; a promotions budget with allocations to co-operative advertising and three types of consumer promotions; and the sales force, including how many sales people allocated to five different types of retail stores as well as to wholesale and indirect support functions.

Budget constraints
Your total budget across advertising, promotions, and sales will be constrained by a total available budget. (This annual budget may change in subsequent years, and any unspent budget will be added to profits). For each of these decisions, including the ones about price, indicate your reasons based on your analysis of the current strengths and weaknesses of Allstar and its brand Allaround, the case, and your overall strategy.

In your memo you should also include as appendix:
•The reports justifying your decision for EACH period (it can be hand-written) •print outs of the "Administrator's Report" (FILE) for EACH period and •the floppy disk with all of your decisions (backup files). This disk will be used to evaluate your performance and decisions. Original disk (clearly

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Each group will have up to 15 minutes (timed) to give an oral presentation of their experience, in weeks 9 and 10, respectively.

Marking
Your mark will be based on the following:
RESULTS (50%)
•the cumulative ten year financial results;
• the cumulative financial results of the last four years

Week 10 Presentations for the second set of groups

Manual for the simulation
James, Stuart W., Thomas C. Kinnear and Michael Deighan (2001), PharmaSim: A Brand Management Simulation. Charlottesville VA: Interpretive Software, Inc.

Objectives

Introduction to

• development of new concepts and issues (e.g., product differentiation, and issues in
advertising, pricing and distribution)

• To trace the evolution of marketing thinking• to understand the changing role of
marketing in the current environments
• to introduce a new a approach of marketing thinking

A HISTORICAL PERSPECTIVE TO MARKETING STRATEGY

IV The proactive years (1983-today)

The Strategic Thinking
• critical thinking

• misplaced overemphasis on market share as the main strategic objective

• focus on the creation of opportunities by being proactive and innovative at every decision-making level

•the synergy concept

•The product life cycle concept

• Firms should emphasise different marketing strategies and tactics at different stages.

• Firms need to outdo their competitors in satisfying customers

• Marketing s changes its focus from equilibrium management (why and how markets settle down) to dissequilibrum management (why and how markets are constantly changing through the development of competitive products and production
processes)

• How and why is the market changing?

• advantages do not last
• new market segments are created• distribution innovations are very important
• hypercompetitive markets feed themselves
• price wars are common