Marketing Strategy Framework Quiz

Study Notes

Good execution of an average strategy is better than poor execution of a brilliant strategy

Disruption: Shifts in the market that shake things up for established players (ex: ride-sharing apps like Uber and Lyft vs. traditional taxi industry).
Market Assessment: Analyze your surrounding environment and competitors (ex: smartphone company studying Apple and Samsung, observing customer demand for new features, and assessing potential markets like India and Brazil).
Strategic Target: Determine the audience with the highest potential for business (ex: luxury watch brand targeting high-net-worth individuals aged 30-50).
Marketing Plan (4Ps): Product, Price, Place, Promotion.
Brand Positioning: How you want customers to perceive your brand (ex: Tesla as a premium, innovative electric car brand known for technology, sustainability, luxury, and innovation).

Disruption occurs when innovative companies change the game and outperform established businesses (ex: Kodak's failure to adapt to digital photography).
Subscription model: Recurring payments for ongoing services (ex: Netflix).
Freemium model: Basic services are free; premium features require payment (ex: Spotify).
Sharing economy: Customers use products rather than own them (ex: Airbnb).
On-demand model: Immediate access to services (ex: Uber).
Experience model: Unique customer experiences are the selling point (ex: Disneyland).
Ecosystem model: A universe of products/services around one brand (ex: Apple).

Use strengths to slow competitor progress, retain customers, and innovate for ongoing relevance.

Context (PESTLE): Political, Economic, Social, Technological, Legal, and Environmental forces.
- Political: Assess the stability of the country's government and its regulations on foreign businesses (ex: trade policies or taxes).
- Economic: Analyze the country's economic conditions, including disposable income, inflation rates, and employment levels.
- Social: Observe cultural preferences and lifestyle trends, such as the demand for healthier food options.
- Technological: Evaluate the technological infrastructure in the target country (ex: mobile payment systems, delivery apps).
- Legal: Review food safety laws, labor regulations, and advertising restrictions.
- Environmental: Consider the country's environmental policies affecting packaging and sourcing ingredients (ex: sustainability requirements, waste management, carbon footprint regulations).
Competition: Evaluate rivals using tools such as SWOT and Porter's 5 Forces (Supplier Power, Buyer Power, Threat of Substitution, Threat of New Entry, Industry Rivalry).
Category: Understanding the market and its dynamics.
Channel: Routes to market (distribution strategies).
Consumer: Buyer needs, behaviors, and trends.

Assesses external macro forces affecting business strategy.
Case Study – Coca-Cola:
- Key Pressure: Rising health concerns.
- Response: Innovation, such as reducing sugar content, to meet consumer demands and stay competitive.