Basic Marketing – Chapter 03Supplementary PowerPoint Archive

This is an archive of photos and exhibits from the text and additional graphics and exhibits as referenced in the Basic Marketing Multimedia Lecture Guides.

See the Basic Marketing Multimedia Lecture Support Package for additional detail and teaching suggestions.

For use only with Perreault/Cannon/McCarthy. These images may not be redistributed or used for any other purpose without permission of the publisher, McGraw-Hill/Irwin, The McGraw-Hill Companies, Inc.

McGraw-Hill/Irwin Copyright © 2011 by The McGraw-Hill Companies, Inc. All rights reserved.

Bank of America opening photo3-2

Exhibit 3-1: Marketing Strategy Planning, Competitors, Company and External Market Environment

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3M Post-It Notes ad

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Exhibit 3-2: A Hierarchy of Objectives3-5

Knorr ad

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Minwax ad

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Dirt Devil ad

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Cashmere ad

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Exhibit 3-3: Competitor Analysis (summary): Disposable Diaper Competition in Japan

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Smart Car ad

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SIRIUS ad

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Adero ad

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Mucinex D ad

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Exhibit 3-4: Focus (mostly prohibitions) of Federal Antimonopoly Laws on the Four Ps

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Citigroup ad for women (U.S.)

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Citigroup ad for women (Japan)

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Toyota ad3-18

Exhibit 3-5: An Example of Product-Market Screening Criteria for a Small Retail and Wholesale Distributor ($10 million annual sales)

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Exhibit 3-6: Expected Sales and Cost Curves of Two Strategies over Five-Year Planning Periods

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Exhibit 3-7: General Electric’s Strategic Planning Grid

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Honda Civic Hybrid ad

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Honda Civic ad

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Honda Jet ad

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LambWeston ad

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Click2Asia.com ad

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Exhibit 3-8: Continuum of Environmental Sensitivity

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Bank of America photo 3-28

Liquid Paper ad

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Mission Statement Provides Guidelines

Mission statement helps set the course of a firm by explicitly stating the organization’s basic purpose for being

May make it clear that some opportunities (target market or marketing mix alternatives) are not related to the mission

Some opportunities may be a good fit with mission, but not as good a fit or as high a priority as others

Mission statement works in combination with specific objectives and should relate to screening criteria used to evaluate strategy alternatives

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Basic Objectives Provide Guidelines3-31

Examples of Company Resources

Financial strength (Intel)

Producing flexibility (DaimlerChrysler)

Patents (IBM)

Channel relationships (Kraft)

Loyal customer base (Starbucks)

Technical capability (3M)

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Harley- Davidson logo 3-33

Hanson ad

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Smart Money and CNN Anderson Cooper ads

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Examples of Effect of Technological Environment

Rapid changes in the Internet and World Wide Web

Robotics (better quality control, lower production costs)

Networked computer scanners at retail check-out counters

Worldwide satellites for data communication

Automated inventory control

Hybrid engines for vehicles

New drugs based on knowledge of genes

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AT&T ad

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Examples of Changes in the Political/Legal Environment

Deregulation of energy industries

Less emphasis on antitrust laws by federal government

Maturing of consumerism

More attention to laws governing international trade

Changes in labeling requirements

Increased concern about consumer privacy

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Major Focus of Some Important Laws that Affect Marketing

Sherman Act (1890)

prohibits conspiracy to reduce competition

example: price fixing agreements among competing firms

Federal Trade Commission Act (1914)

prohibits unfair methods of competition

example: use of deceptive advertising

Robinson-Patman Act (1936)

prohibits most types of price-related discrimination

example: offering advertising allowances to some middlemen but not others (without cost justification)

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Some Important U.S. Federal Regulatory Agencies

Federal Trade Commission (FTC)

Enforces laws and develops guidelines regarding unfair business practices

Food and Drug Administration (FDA)

Enforces laws and develops regulations to prevent distribution and sale of adulterated or misbranded foods, drugs, cosmetics, and hazardous consumer products

Consumer Product Safety Commission (CPSC)

Enforces the Consumer Product Safety Act—which covers any consumer product not assigned to other regulatory agencies

Federal Communications Commission (FCC)

Regulates interstate wire, radio, television, and telephone

Environmental Protection Agency (EPA)

Develops and enforces environmental protection standards

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Examples of Trends in the Cultural Environment

More women in the work force

Aging of America, but accompanied by new growth in ethnic groups

More single-person households

More health consciousness

More concern about the environment

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GE’s Strategic Planning Grid

A way of organizing business judgments about existing and/or proposed product-market plans

Business Strengths Dimension

Company size, market share

Profit margins

Technology position

Limiting factors (personnel, capital needed, etc.)

Industry Attractiveness Dimension

Size of market and growth trends

Competitive situation

Social impact

Industry profitability

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Three Honda ads

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Marketing Strategy Planning: Competitors, Company & External Market Environment (Ex. 3-1)

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Marketing Strengths

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Competitive Advantage

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