Strategic ManagementDifference between Marketing Management Strategic Management :Strategic ManagementDifference between Marketing Management Strategic Management Prof Kishor Jagirdar kishorjagirdar@yahoo.co.in


MARKETING MANAGEMENT STRATEGIC MANAGEMENT :MARKETING MANAGEMENT STRATEGIC MANAGEMENT PRICE Rebate, discount, credit, discounts, price reduction PRICE Absolute pricing advantage, Bench marking, Procurement, Supply chain, Industry Leadership, Monopoly, first mover advantage, Superior Production, Cheaper funds, secret processes, patents


MARKETING MANAGEMENT STRATEGIC MANAGEMENT :MARKETING MANAGEMENT STRATEGIC MANAGEMENT DECISION LEVEL Managerial Level which is formally ratified by top management This is done from the departmental level DECISION LEVEL Top Management mandates the task to the managers.This is done at the Board level and SBU level


MARKETING MANAGEMENT STRATEGIC MANAGEMENT :MARKETING MANAGEMENT STRATEGIC MANAGEMENT STRATEGIES Pricing, Tactical moves, Push or pull strategy – Promotions and Advertisement as means STRATEGIES Growth – Take over, acquisition, Merger Delay – Cash flow focus, Retrenchment – Exit business


MARKETING MANAGEMENT STRATEGIC MANAGEMENT :MARKETING MANAGEMENT STRATEGIC MANAGEMENT SCOPE Departmental in thinking 7 Ps- Product, Place, price, promotion, people, packaging, positioning It is the process of setting marketing goals for an organization (considering internal resources and market opportunities), SCOPE Organizational in thinking Porters (Pentagon) Diamond Approach a) Risk of entry by potential competition b)Intensity of competition by established players c)Bargaining power of the suppliers d)Bargaining power of the buyers e)Threat of substitutes Strategic planning is a management tool, period. As with any management tool, it is used for one purpose only: to help an organization do a better job - to focus its energy,


MARKETING MANAGEMENT STRATEGIC MANAGEMENT :MARKETING MANAGEMENT STRATEGIC MANAGEMENT the planning and execution of activities to meet these goals, and measuring progress toward their achievement to ensure that members of the organization are working toward the same goals, to assess and adjust the organization's direction in response to a changing environment. In short, strategic planning is a disciplined effort to produce fundamental decisions and actions that shape and guide what an organization is, what it does, and why it does it, with a focus on the future. (Adapted from Bryson's Strategic Planning in Public and Non profit Organizations).


MARKETING MANAGEMENT STRATEGIC MANAGEMENT :MARKETING MANAGEMENT STRATEGIC MANAGEMENT FOCUS Product, Service already existing Business Sales, ROI, Survival of the Brand, Revenue and target FOCUS Business or sector focus Yet to be created Business, Business plan ,Implementation of the Project with deadlines – Project management Continuity of Brand, Expansion, Diversification, Forward and backward Integration


MARKETING MANAGEMENT STRATEGIC MANAGEMENT :MARKETING MANAGEMENT STRATEGIC MANAGEMENT ENVIRONMENTAL SCANNING Micro and Macro Emphasis is on External – Competition and market/Sector threats and Internal – Product /service competencies ENVIRONMENTAL SCANNING Micro and Macro Emphasis is on External – intensity of Competition and threats from industry and new opportunities and Internal – Organizational and business competencies. Stress is more on development of new competencies and re-inventing the organization


MARKETING MANAGEMENT STRATEGIC MANAGEMENT :MARKETING MANAGEMENT STRATEGIC MANAGEMENT FINANCIAL Budgeting and allocating for promotion and manpower FINANCIAL Cheap funds procurement for growth and budgeting on R/D and implementation of the Strategic project plan.


MARKETING MANAGEMENT STRATEGIC MANAGEMENT :MARKETING MANAGEMENT STRATEGIC MANAGEMENT DEFINITION "Marketing is the process of planning and executing the conception, pricing, promotion and distribution of ideas, goods and services to satisfy customers."Marketing management is a business discipline focused on the practical application of marketing techniques and the management of a firm's marketing resources and activities. Marketing managers are often responsible for influencing the level, timing, and composition of customer demand in a manner that will achieve the company's objectives. DEFINITION “Strategic management is a combination of strategy formulation and strategy implementation”. Strategic management is the process of specifying an organization's objectives, developing policies and plans to achieve these objectives, and allocating resources to implement the policies and plans to achieve the organization's objectives. It is the highest level of managerial activity, usually performed by an organization's Chief Executive Officer (CEO) and executive team. Strategic management provides overall direction to the enterprise.


MARKETING MANAGEMENT STRATEGIC MANAGEMENT :MARKETING MANAGEMENT STRATEGIC MANAGEMENT Example You are having a task that you are required to sell some Parker Pens in a city. You are having 15 staff as sales staff. How you manage the staff and how efficiently you generate the maximum revenue for your company can be stated as marketing management Example The pen that you are about market is a new brand. the method that you adopt for market can be stated as a strategy The process through which your new brand can be established in market