Strategic planning. Abstract: Strategic marketing planning

Hello! In this article we will talk about integral element any modern enterprise– marketing strategy.

Today you will learn:

• What is a marketing strategy;
• What levels and types of marketing strategies exist;
• How to create a marketing strategy for your business.

What is an enterprise marketing strategy

Let's turn to the etymology of the word "strategy" . Translated from ancient Greek it means "the art of a commander" , his long-term plan for the war.

The modern world dictates its terms, but strategy today remains an art that every entrepreneur must master in order to win the battle for profit and market share. Today, strategy is a long-term action plan aimed at achieving the global goals of the enterprise.

Any organization has a general strategy that corresponds to its global goals and strategy by type of activity. One of these is the marketing strategy of an enterprise.

Despite the fact that the number of companies in various markets is constantly growing, store shelves are crowded with a variety of goods, and consumers are becoming more and more whimsical and picky, many Russian companies still neglect marketing. Although it is the marketer who is able to highlight your product on the store shelf among competitors, make it special and bring profit. Therefore, developing a marketing strategy is one of the key issues in planning an organization’s activities.

Marketing strategy – a general plan for the development of each element (physical product - product, distribution, price, promotion; service - product, distribution, price, promotion, physical environment, process, personnel), developed for the long term.

The marketing strategy, as an official document, is enshrined in the company's marketing policy.

The practical importance of marketing strategy for an enterprise

Marketing strategy, being integral part overall strategy enterprise, directs its activities to achieve the following strategic goals:

• Increasing the enterprise's market share in the market;
• Increasing the company's sales volume;
• Increasing the profit of the enterprise;
• Gaining leading positions in the market;
• Other.

The goals of the marketing strategy must be consistent with the mission of the enterprise and overall global goals. As we see, all goals are related to competitive or economic indicators. Achieving them without a marketing strategy is, if not impossible, then very difficult.

To achieve any of the above goals, it is necessary to include the following elements in the company’s marketing strategy:

• Target audience of your company/product. The more detailed you can describe your target client, all the better. If you have chosen several segments for yourself, then describe each of them, don’t be lazy.
• Marketing complex. If you offer a physical product, describe each of the four Ps (product, distribution, price, promotion). If you are selling a service, you will describe the 7 Ps (product, distribution, price, promotion, physical environment, process, people). Do this in as much detail as possible and for each element. Name the core benefit of your product, indicate the key value for the client. Describe the main distribution channels for each product, determine the price of the product, possible discounts and desired profit per unit. Think about what marketing activities will be involved in the promotion. If you offer a service, then determine who, how and where (in terms of room design, work tools) will implement it.

Each of the elements must also form its own strategy, which will be included in the overall marketing strategy of the business.

• Marketing budget. Now that you have a detailed marketing strategy, you can calculate your overall budget. It doesn't have to be exact, so it's important to include a reserve here.

Once you have identified each of the listed elements, you can begin to realize your goals through a series of tasks:

• Formulation of a strategic marketing problem (this point needs to be given the greatest attention);
• Needs analysis;
• Consumer market segmentation;
• Analysis of business threats and opportunities;
• Market analysis;
• Analysis of the strengths and weaknesses of the enterprise;
• Choice of strategy.

Levels of an enterprise's marketing strategy

As we can see, the overall marketing strategy includes strategies for marketing elements. In addition, the marketing strategy must be developed at all strategic levels of the enterprise.

In the classical reading, there are four levels of enterprise strategies:

• Corporate strategy(if your company is differentiated, that is, it produces several products, otherwise this level will not exist);
• Business strategies– strategy for each type of activity of the enterprise;
• Functional strategy– strategies for each functional unit of the enterprise (Production, marketing, R&D, and so on);
• Operational strategy– strategies for each structural unit of the company (workshop, sales floor, warehouse, and so on).

However, the marketing strategy will only cover three levels of the strategic hierarchy. Experts in the field of marketing recommend excluding the functional level, since it involves considering marketing as a narrowly functional type of activity. Today, this is not entirely true and leads to short-sighted decisions in the field of marketing.

So, marketing strategy must be considered from the point of view of three levels:

• Corporate level: formation of assortment marketing strategy and market orientation strategy;
• Business unit level: development of a competitive marketing strategy;
• Product level: product positioning strategy on the market, strategies for the elements of the marketing mix, strategies for each product within the product line strategy.

As we can see, we should develop 6 types of strategies as part of the overall marketing strategy of the enterprise.

Choosing the type of marketing strategy for your business

Let's start moving towards a common marketing strategy from the highest level - corporate. It will be absent if you offer only one type of product.

Corporate level of marketing strategy

At the corporate level, we need to consider assortment strategy and market orientation strategy.

Assortment strategy of the enterprise

Here we need to determine the number of product units of the assortment, the width of the assortment, that is, the number of products of different categories in the assortment (for example, yogurt, milk and kefir), the depth of the assortment range or the number of varieties of each category (raspberry yogurt, strawberry yogurt and peach yogurt).

As part of the assortment policy, the issue of product differentiation (changing its properties, including taste, packaging), developing a new product and discontinuing the product is also considered.

The listed issues are resolved based on the following information about the market and the company:

• Size and pace of market development;
• Size and development of the company's market share;
• Size and growth rates of various segments;
• The size and development of the enterprise's market share in the product market.

It is also necessary to analyze information about the products that are included in the product line:

• Trade turnover by product;
• Level and change in variable costs;
• Level and trends in gross profit;
• Level and change in fixed non-marketing costs.

Based on this information, the assortment strategy of the enterprise is drawn up.

Market Orientation Strategies

As part of this strategy, we need to identify the target market and identify target segments. Both questions depend on your range and individual products.

In general, at this stage the decision comes down to choosing one of the following market segmentation options:

• Focus on one segment. In this case, the seller offers one product in one market.
• Market specialization. It is used when you have several product categories that you can offer only to one consumer segment. Let’s depict this schematically (“+” is a potential consumer)

• Product specialization suitable for you if you have only one product, but can offer it to several segments at once.

• Electoral specialization. This is the case when you can adapt your offer to any of the segments. You have enough products to satisfy the needs of each segment.
• Mass Marketing. You offer one universal product that, without any changes, can satisfy the needs of each segment of your market.

• Complete market coverage. You produce all products available on the market and, accordingly, are able to satisfy the needs of the entire consumer market

Before defining a market targeting strategy, we advise you to carefully analyze the needs of the customer segments that exist in your market. We also do not advise you to try to “capture” all segments at once with one product. So you risk being left with nothing.

Business unit level

Choosing a competitive marketing strategy is a fairly broad issue. Here it is necessary to consider several aspects at once, but first it is necessary to carry out analytical work.

First, assess the level of competition in the market. Secondly, determine your company's position among competitors.

It is also necessary to analyze the needs of your target audience, assess the threats and opportunities in the external environment, and identify the strengths and weaknesses of the company.

It is necessary to carry out analytical work with the product: identify its key value for the target consumer and determine its competitive advantage. Once you have done your analytical work, you can begin choosing a competitive strategy.

From the point of view of marketing practitioners, it is advisable to consider competitive strategies from two perspectives: the type of competitive advantage and the role of the organization in a competitive market.

Competitive strategies by type of competitive advantage

Here it would be advisable to immediately present these strategies in the form of a diagram, which is what we will do. The possible types of competitive advantage of the organization are located in the columns, and the strategic goal of the product (company) is located in the rows. At the intersection we get strategies that suit us.

Differentiation strategy requires you to make your product unique in the quality that matters most to your target customer.

This strategy is suitable for you if:

• The company or product is at this stage life cycle, like maturity;
• You have a sufficiently large amount of funds to develop such a product;
• The distinctive property of a product constitutes its key value for the target audience;
• There is no price competition in the market.

Cost leadership strategy assumes that you have the opportunity to produce a product at the lowest cost on the market, which allows you to become a leader in price.

This strategy is right for you if:

• You have technologies that allow you to minimize production costs;
• You can save money on production scale;
• You are lucky with your geographical location;
• You have privileges when purchasing/extracting raw materials;
• The market is dominated by price competition.

Focus on costs and differentiation implies your advantage over competitors only in one segment of your choice, in terms of costs or distinctive product properties. The choice factors that we discussed above regarding each strategy will help you choose what exactly to focus on (costs or differentiation).

The focusing strategy has the following factors:

• You can identify a clearly defined segment in the market with specific needs;
• There is a low level of competition in this segment;
• You don't have enough resources to cover the entire market.

Competitive strategies based on the organization's role in the market

At the very beginning, we recalled that the concept of “strategy” entered our lives from the art of war. We invite you to return to those ancient times and take part in a real battle, only in our time and in a competitive market.

Before you go to the battlefield, you need to determine who you are in relation to your competitors: a leader, a follower of the leader, an industry average, a small niche player. Based on your competitive position, we will decide on a “military” strategy.

Market leaders it is necessary to hold the defense so as not to lose your position.

Defensive war involves:

• Staying ahead of competitors' actions;
• Constantly introducing innovations into the industry;
• Attack on oneself (own competing products);
• Always be on the alert and “jam” the decisive actions of competitors with the best solutions.

Follower of the leader it is necessary to take an offensive position.

First of all, you need:

• Identify the leader’s weaknesses and hit them:
• Concentrate your efforts on those product parameters that are a “weak” side for the leader’s product, but at the same time important for the target consumer.

Industry average Flank warfare will do.

It involves the following combat actions:

• Search for a low-competitive market/segment;
• Unexpected attack from the flank.

If you are a niche player, your war is guerrilla.

You should:

• Find a small segment that you can reach;
• Be active in this segment;
• Be “flexible”, that is, be ready at any time to move to another segment or leave the market, since the arrival of “large” players in your segment will “crush” you.

Product level of marketing strategy

The marketing strategy of a product is represented by three types of strategies at once: a strategy for positioning the product on the market, strategies for the elements of the marketing mix, strategies for each product within the marketing strategy of the product line.

Positioning strategy

We propose to highlight the following positioning strategies:

• Positioning in a special segment(for example, young mothers, athletes, clerks);
• Positioning on product functionality. Functional features are mainly emphasized by companies specializing in high-tech products. For example, The iPhone, seeing the target audience’s need for excellent photo quality, positions itself as a smartphone with a camera no worse than a professional one;
• Positioning at a distance from competitors(the so-called “blue ocean”). There is such a positioning strategy as the “blue ocean” strategy. According to this strategy, the competitive market is a “red ocean”, where companies fight for every client. But an organization can create a “blue ocean,” that is, enter the market with a product that has no competitors. This product must be differentiated from competitors on key consumer factors. For example, Cirque du Soleil proposed a completely new circus format, which differed in price (it was much more expensive), did not have performances with animals and clowns, changed the format of the arena (there is no longer a round tent), and was aimed mainly at an adult audience. All this allowed Cirque du Soleil to leave the competitive market and “play by its own rules.”
• Positioning on a branded character. There are quite a lot of such examples: Kwiki the rabbit from Nesquik, Donald McDonald from McDonald's, cowboy Wayne McLaren from Marlboro. True, sometimes a character also has a negative impact on the image of a company or product. So Wayne McLaren died of lung cancer and in the period of time from diagnosis to death he sued Marlboro, publicly telling how harmful their cigarettes were. Cartoons also sometimes cause harm. Thus, “Skeletons” from Danone were not popular among mothers due to the inflammatory images of cartoon characters used in advertising.
• Discoverer. If you were the first to offer a product, you can choose a pioneer strategy when positioning;
• Positioning based on a specific service process. This is especially true for the service sector. Everyone has already heard about the restaurant “In the Dark”. He will be a great example of this positioning.

Strategies for elements of the marketing mix

As part of the marketing mix strategy, there are four marketing mix strategies to consider.

Product marketing strategy

In addition to the assortment strategy, which we have already discussed, it is necessary to determine a strategy for each product unit. It will depend on the stage of the product life cycle.

The following stages of the life cycle are distinguished:

1. Implementation. The product has just appeared on the market, there are not many competitors, there is no profit, but sales volumes are quite high, as are costs. At this stage, our main goal is to inform the target audience. The actions should be as follows:

• Analysis of existing demand;
• Informing the target audience about the qualities of the product;
• Convincing the consumer of the high value of the product;
• Construction of a distribution system.

1. Height. You see rapid growth in sales, profits and competition, costs are falling. You need:

• Modify the product to avoid price competition;
• Expand the range to cover as many segments as possible;
• Optimize the distribution system;
• The promotion program should be aimed at stimulation, and not at informing, as it was before;
• Reducing prices and introducing additional services.

1. Maturity. Sales are growing, but slowly, profits are falling, and competition is growing rapidly. In this case, you can choose one of three strategies:

• Market modification strategy, which involves entering new geographic markets. In addition, as part of this strategy, it is necessary to activate promotion tools and change the positioning of the product.
• Product modification strategy involves improving the quality of the product, changing the design and adding additional characteristics.
• Marketing mix modification strategy. In this case, we have to work with the price, it needs to be reduced, promotion, it needs to be intensified, and the distribution system, the costs of which need to be reduced.

1. Recession. Sales, profits, promotional costs and competition are reduced. Here, the so-called “harvest” strategy is suitable for you, that is, the gradual cessation of production of the product.

Pricing Strategies

There are pricing strategies for new enterprises and “old-timers” of the market.

Pricing Strategies for New Businesses

• Market penetration. Relevant if there is sufficiently elastic demand in the market. It consists in setting the lowest possible price for the product.
• Strategy of functional discounts for sales participants. If we want large chains to promote our product, we need to give them a discount. Suitable for large companies.
• Standard pricing. Nothing special. The price is calculated as the sum of costs and profits.
• Following the market involves setting the same prices as competitors. Suitable for you if there is no fierce price competition in the market.
• Price integration strategy applicable when you can agree to maintain the price level at a certain level with other market participants.
• A strategy for balancing the quality and price of a product. Here you need to determine what you will focus on: price or quality. Based on this, either minimize costs (lower the price) or improve the quality of the product (raise the price). The first option is acceptable for elastic demand.

Pricing strategies for market watchdogs

• Open competition on price. If you are ready to reduce the price to the last player on the market, then this strategy is for you. Don't forget to estimate the elasticity of demand, it should be high.
• Refusal of "price transparency". In this case, you need to make it impossible for consumers to compare your price with your competitors' prices. For example, make a non-standard volume of product, for example, not 1 liter of milk, but 850 ml. and set the price a little lower, but so that your liter of milk is actually more expensive. The consumer will not notice the trick.
• Strategy for offering a package of goods. The strategy of offering a package of goods is to provide the consumer with the opportunity to purchase a “set of products” at a better price than if they were purchased separately. For example, in the McDonald's restaurant chain, such a package of products is a Happy Meal for children. When purchasing it, the consumer receives a toy at a reduced price, and the company receives an increase in sales.
• Stepped pricing strategy for the offered assortment. Break down the entire assortment into price segments. This will allow you to cover a larger part of the market.
• Price linking strategy. We all remember the “makeweight” that was attached to scarce goods. This is a great example of this strategy.
• Price differentiation strategy. If your core product needs complementary products, then this strategy is for you. Set the price low for the main product and high for the complementary product. After purchasing the main product, the consumer will be forced to purchase a complementary one. A good example is a capsule coffee machine and coffee capsules.
• Introduction of free services. This strategy is similar to the strategy of abandoning price transparency. In this case, the consumer will also not be able to compare your prices with those of your competitors.

Next step in determining pricing strategy– determination of a price differentiation (or discrimination) strategy; their use is optional for the company.

There are two price differentiation strategies:

• Geographical price differentiation strategy. It is divided into zonal price, uniform price, selling price, basis point price and manufacturer's delivery cost strategies.

If your company has a presence in several areas (multiple geographic markets), then use the strategy zonal prices. It involves charging different prices for the same product in different geographic regions. The price may depend on the average salary in the region, differences in delivery costs, and so on.

If you set the same prices for products in all regions, then your strategy is single price strategy.

Selling price strategy applies if you do not want to transport the goods at your own expense to the consumer (point of sale). In this case, the consumer bears the cost of delivery.

Basis point price involves fixing a certain point from which the delivery cost will be calculated, regardless of the actual location of shipment.

Manufacturer's delivery cost strategy speaks for itself. The manufacturer does not include the cost of delivery of the goods in the price.

• Price differentiation strategy for sales promotion. Suitable for you if the product is at the maturity stage of its life cycle. There are several other strategies that can be highlighted here.

“Bait Price” strategy. If you have a sufficient number of products in your assortment, you can apply this strategy. It consists of setting prices much lower than market prices for one particular product. The rest of the goods are offered at the average market price or above the average price. The strategy is especially suitable for retail stores.

Pricing strategy for special events – promotions, discounts, gifts. We won't stop here. Let's just say that there are discounts for timely payment of goods in cash (wholesale), discounts for volume, discounts for dealers, seasonal discounts (if you sell seasonal goods, you need to stimulate sales during the off-season).

Product distribution strategy

As part of the distribution strategy, it is necessary to determine the type of distribution channel and the intensity of the distribution channel. Let's deal with everything in order.

Distribution channel type

There are three types of distribution channels:

• Direct channel– movement of goods without intermediaries. Used when a company offers high-tech or exclusive products to a small segment.
• Short channel with the participation of a retail trader. In this case, an intermediary appears who will sell your product to the end consumer. Suitable for small companies.
• Long channel with the participation of a wholesaler (wholesalers) and a retail trader. If you have a high production volume, then this channel will provide you with a sufficient number of outlets.

Distribution Channel Intensity

The intensity of the distribution channel depends on the product and production volume.

There are three types of distribution intensity:

• Intensive distribution. If you own a large production facility and offer a mass product, then this strategy is for you. It assumes the maximum number of retail outlets.
• Selective distribution. Selection of retail traders based on any criteria. Suitable for those who offer a premium, specific product.
• Exclusive distribution. Careful selection of traders or independent distribution of products. If you offer an exclusive or high-tech product, you should choose this type.

Having considered these elements, we will obtain a product distribution strategy that will be part of the company's overall marketing strategy.

Product promotion strategy

There are two main promotion strategies:

• Pulling promotion involves stimulating demand in the market by the manufacturer independently, without the help of distributors. In this case, the consumer himself must ask the distributors for your product. This can be done using promotion tools (advertising, PR, sales promotion, personal selling, direct marketing). In this case, the promotion strategy must specify all the tools used and the timing of their use;
• Push promotion. In this case, you must make it profitable for distributors to sell your product. You must “force” him to promote your product. This can be done through discounts for sales representatives.

At first glance, choosing a marketing strategy seems to be a very labor-intensive and lengthy process. However, after going through all the described stages of defining a marketing strategy for each level of the strategic pyramid, you will understand that it is not so difficult. Let us give you an example to prove our words.

Marketing Strategy Example

Step 9 Calculation of the total marketing budget. We repeat again, these are only approximate figures.

Step 10 Analysis of marketing strategy.

That's it, our marketing strategy is ready.

is a set of actions, decisions taken by management that lead to the development of specific strategies designed to achieve goals.

Strategic planning can be presented as a set of management functions, namely:

• resource allocation (in the form of company reorganization);
• adaptation to the external environment (using the example of Ford Motors);
• internal coordination;
• awareness of organizational strategy (thus, management needs to constantly learn from past experience and predict the future).

Strategy is a comprehensive, integrated plan designed to ensure that its objectives are implemented and achieved.

Key points of strategic planning:

• the strategy is developed by senior management;
• the strategic plan must be supported by research and evidence;
• strategic plans must be flexible to allow for change;
• planning should be beneficial and contribute to the success of the company. At the same time, the costs of implementing activities should be lower than the benefits from their implementation.

Strategic Planning Process

The following stages of strategic planning are distinguished:

- the overall primary purpose of the organization, the clearly expressed reason for its existence. The Burger King fast food restaurant chain provides people with inexpensive fast food. This is implemented in the company. For example, hamburgers should be sold not for 10, but for 1.5 dollars.

The mission statement can be based on the following questions:

• Which entrepreneurial activity does the company do?
• What is the firm's external environment that determines its operating principles?
• What type of working climate within the company, what is the culture of the organization?

The mission helps create customers and satisfy their needs. The mission must be found in the environment. Reducing the mission of an enterprise to “making a profit” narrows the scope of its activities and limits the ability of management to explore alternatives for decision making. Profit - necessary condition existence, an internal need of the company.

Often, a mission statement answers two basic questions: Who are our customers and what needs of our customers can we meet?

The character of the leader leaves an imprint on the mission of the organization.

Goals- are developed on the basis of the mission and serve as criteria for the subsequent management decision-making process.

Target characteristics:

• must be specific and measurable;
• oriented in time (deadlines);
• must be achievable.

Assessment and analysis of the external environment. It is necessary to assess the impact of changes on the organization, threats and competition, opportunities. There are factors at play here: economic, market, political, etc.

Management survey of the internal strengths and weaknesses of the organization. It is useful to focus on five functions for the survey: marketing, finance, operations (production), human resources, culture and image of the corporation.

Exploring Strategic Alternatives. It should be emphasized that the company’s strategic planning scheme is closed. The mission and procedures of other stages should be constantly modified in accordance with the changing external and internal environment.

Basic strategies of the organization

Limited growth. Used in mature industries, when satisfied with the current state of the company, low risk.

Height. Consists of an annual significant increase in the indicators of the previous period. It is achieved through the introduction of new technologies, diversification (expanding the range) of goods, capturing new related industries and markets, and merging corporations.

Reduction. According to this strategy, a level is set below what was achieved in the past. Implementation options: liquidation (sale of assets and inventories), cutting off excess (sale of divisions), reduction and reorientation (reduce part of the activity).

Combination of the above strategies.

Choosing a strategy

There are various methods for choosing strategies.

The BCG Matrix is ​​widely used (developed by Boston Consulting Group, 1973). With its help, you can determine the position of the company and its products, taking into account the capabilities of the industry (Fig. 6.1).

Rice. 6.1. BCG Matrix

How to use the model?

The BCG matrix, developed by the consulting company of the same name, was already widely used in practice by 1970.

The main attention in this method is paid to cash flow, directed (consumed) in a separate business area of ​​the company. Moreover, it is assumed that at the stage of development and growth, any company absorbs cash (investments), and at the stage of maturity and the final stage, it brings (generates) positive cash flow. To be successful, the cash generated from a mature business must be invested into a growing business to continue making a profit.

The matrix is ​​based on the empirical assumption that the company that is larger is more profitable. The effect of lower unit costs as firm size increases is confirmed by many American companies. Analysis is carried out using the matrix portfolio(set) of manufactured products in order to develop a strategy for future fate products.

BCG matrix structure. The x-axis shows the ratio of the sales volume (sometimes the value of assets) of the company in the corresponding business area to the total sales volume in this area of ​​its largest competitor (the leader in this business). If the company itself is a leader, then go to the first competitor that follows it. In the original, the scale is logarithmic from 0.1 to 10. Accordingly, weak (less than 1) and strong competitive positions of the company’s product are identified.

On the y-axis, the assessment is made for the last 2-3 years; you can take the weighted average value of production volumes per year. You also need to take inflation into account. Next, based on the strategy options, the direction for investing funds is selected.

"Stars". They bring high profits, but require large investments. Strategy: maintain or increase market share.

"Cash Cows". They generate a stable income, but the cash flow may suddenly end due to the “death” of the product. Does not require large investments. Strategy: maintain or increase market share.

"Question Marks". It is necessary to move them towards the “stars” if the amount of investment required for this is acceptable for the company. Strategy: maintaining or increasing or reducing market share.

"Dogs". They can be significant in the case of occupying a highly specialized niche in the market, otherwise they require investment to increase market share. It may be necessary to stop producing this product altogether. Strategy: be content with the situation or reduce or eliminate market share.

Conclusion: the BCG matrix allows you to position each type of product and adopt a specific strategy for them.

SWOT analysis

This method allows you to establish a connection between the strengths and weaknesses of the company and external threats and opportunities, that is, the connection between the internal and external environment of the company.

Strengths: competence, adequate financial resources, reputation, technology. Weaknesses: outdated equipment, low profitability, insufficient understanding of the market. Opportunities: entering new markets, expanding production, vertical integration, growing market. Threats: new competitors, substitute products, slowing market growth, changing customer tastes.

Opportunities can turn into threats (if a competitor uses your capabilities). A threat becomes an opportunity if competitors were unable to overcome the threat.

How to apply the method?

1. Let's make a list of the organization's strengths and weaknesses.

2. Let's establish connections between them. SWOT Matrix.

At the intersection of four blocks, four fields are formed. All possible pairing combinations should be considered and those that should be taken into account when developing a strategy should be selected. Thus, for couples in the SIV field, a strategy should be developed to use the company's strengths to capitalize on the opportunities that have arisen in the external environment. For SLV - due to the opportunities to overcome weaknesses. For the SIS, it is to use forces to eliminate the threat. For a couple in the field, SLU is to get rid of a weakness while preventing a threat.

3. We build a matrix of opportunities to assess the degree of their importance and impact on the organization’s strategy.

We position each specific opportunity on the matrix. Horizontally we plot the degree of influence of the opportunity on the organization’s activities, and vertically we plot the likelihood that the company will take advantage of this opportunity. The opportunities that fall into the fields of BC, VT, SS are of great importance, they need to be used. Diagonally - only if additional resources are available.

4. We build a threat matrix (similar to step 3).

Threats that fall into the VR, VC, SR fields are a great danger, immediate elimination. Threats in the VT, SK, and HP fields are also eliminated immediately. NK, ST, VL - a careful approach to eliminating them. The remaining fields do not require immediate elimination.

Sometimes, instead of steps 3 and 4, an environmental profile is compiled (i.e., factors are ranked). Factors are threats and opportunities.

Importance for the industry: 3 - high, 2 - moderate, 1 - weak. Impact: 3 - strong, 2 - moderate, 1 - weak, 0 - absent. Direction of influence: +1 - positive, -1 - negative. Degree of importance - multiply the previous three indicators. Thus, we can conclude which factors have more important for the organization.

Implementation of the strategic plan

Strategic planning is only meaningful when it is implemented. Any strategy has certain goals. But they need to be implemented somehow. There are certain methods for this. To the question: “how to achieve the company’s goals?” This is exactly what strategy answers. At its core, it is a method of achieving a goal.

Concepts of tactics, policies, procedures, rules

Tactics- this is a specific move. For example, an advertisement for Fotomat film, which is consistent with the company's strategy to promote 35mm film to the market.

There are problems with the implementation of rules and procedures. Conflict may arise over the methods of providing employees with information about new company policies. It is necessary not to force, but to convince the employee that the new rule will allow him to perform this work most effectively.

Methods for implementing the strategy: budgets and management by objectives.

Budgeting. Budget— plan for resource allocation for future periods. This method answers the questions of what tools are available and how to use them. The first step is to quantify the goals and the amount of resources. A. Meskon identifies 4 stages of budgeting: determining sales volumes, operational estimates for departments and divisions, checking and adjusting operational estimates based on proposals from top management, drawing up a final budget for the items of receipt and use of resources.

Management by Objectives— MBO (Management by Objectives). This method was first used by Peter Drucker. McGregor spoke about the need to develop a system of benchmarks in order to then compare the performance of managers at all levels with these benchmarks.

Four stages of MBO:

• Developing clear, concisely formulated goals.
• Developing realistic plans to achieve them.
• Systematic control, measurement and evaluation of work and results.
• Corrective actions to achieve planned results.

The 4th stage is closed on the 1st.

Stage 1. Development of goals. The goals of a lower level in the company's structure are developed on the basis of a higher level, based on strategy. Everyone participates in setting goals. A two-way exchange of information is required.

Stage 2. Action planning. How to achieve your goals?

Stage 3. Testing and evaluation. After the period of time established in the plan, the following are determined: the degree of achievement of goals (deviations from control indicators), problems, obstacles in their implementation, reward for effective work (motivation).

Stage 4. Adjustment. We will determine which goals were not achieved and determine the reason for this. It is then decided what measures should be taken to correct the deviations. There are two ways: adjusting methods for achieving goals, adjusting goals.

The validity and effectiveness of MBO is demonstrated by the higher performance of people who have specific goals and information about their performance. The disadvantages of implementing MBO include a great emphasis on formulating goals.

Evaluating the Strategic Plan

Beautiful matrices and curves are not a guarantee of victory. Avoid focusing on immediate implementation of the strategy. Don't trust standard models too much!

Formal assessment is performed based on deviations from specified evaluation criteria. Quantitative (profitability, sales growth, earnings per share) and qualitative assessments (personnel qualifications). It is possible to answer a number of questions when evaluating a strategy. For example, is this strategy the best way to achieve a goal and use the company's resources?

The success of Japanese management lies in its commitment to long-term plans. USA - pressure on shareholders, demands for immediate results, which often leads to collapse.

Accuracy of measurements. Accounting methods for inflating income and profits. Enron Company. Standards need to be developed. It’s easier to face the truth.

Checking the consistency of the strategy structure. Strategy determines structure. You cannot impose a new strategy on the existing structure of the organization.

Strategic Market Planning

In solving the strategic problems of an organization, strategic planning plays a significant role, which means the process of developing and maintaining a strategic balance between an organization's goals and capabilities in changing market conditions. The purpose of strategic planning is to determine the most promising areas of the organization’s activities that ensure its growth and prosperity.

Interest in strategic management was due to the following reasons:

1. Awareness that any organization is an open system and that the main sources of success of the organization are in the external environment.
2. In conditions of intensified competition, the strategic orientation of an organization’s activities is one of the decisive factors for survival and prosperity.
3. Strategic planning allows you to adequately respond to the uncertainty and risk factors inherent in the external environment.
4. Since the future is almost impossible to predict and extrapolation used in long-term planning does not work, it is necessary to use scenario, situational approaches that fit well into the ideology strategic management.
5. In order for an organization to best respond to the influence of the external environment, its management system must be built on principles different from those previously used.

Strategic planning aims to adapt the organization's activities to constantly changing environmental conditions and to capitalize on new opportunities.

In general, strategic planning is a symbiosis of intuition and the art of the organization’s top management in setting and achieving strategic goals, based on mastery of specific methods of pre-plan analysis and development of strategic plans.

Since strategic planning is primarily associated with production organizations, it is necessary to distinguish different levels of management of such organizations: the organization as a whole (corporate level), the level of areas of production and economic activity (divisional, departmental level), the level of specific areas of production and economic activity (level of individual types of business), level of individual products. The management of the corporation is responsible for developing a strategic plan for the corporation as a whole, for investing in those areas of activity that have a future. It also decides to open new businesses. Each division (department) develops a divisional plan in which resources are distributed between the individual types of business of this department. A strategic plan is also developed for each business unit. Finally, at the product level, within each business unit, a plan is formed to achieve the goals of producing and marketing individual products in specific markets.

For competent implementation of strategic planning, organizations must clearly identify their areas of production and economic activity, in other terminology - strategic economic units (SHE), strategic business units (SBU).

It is believed that the allocation of CXE must satisfy the following three criteria:

1. SHE must serve a market external to the organization, and not satisfy the needs of other divisions of the organization.

2. It must have its own, distinct from others, consumers and competitors.

3. SHE management must control all the key factors that determine success in the market. Thus, CHEs can represent a single company, a division of a company, a product line, or even a single product.

In strategic planning and marketing, several analytical approaches have been developed that make it possible to solve the problems of assessing the current state of a business and the prospects for its development. The most important of them are the following:

1. Analysis of business and product portfolios.
2. Situational analysis.
3. Analysis of the impact of the chosen strategy on the level of profitability and the ability to generate cash (PIMS - the Profit of Market Strategy).

Assessing the degree of attractiveness of an organization's various identified CXEs is usually carried out along two dimensions: the attractiveness of the market or industry to which the CXE belongs, and the strength of the position of the given CXE in that market or industry. The first, most widely used method of CXE analysis is based on the use of the “market growth rate - market share” matrix (Boston Consulting Group matrix - BCG); the second is on the CXE planning grid (General Electric Corporation matrix, or Mag-Kinzy). The "market growth rate - market share" matrix is ​​designed to classify a CXE organization using two parameters: relative market share, which characterizes the strength of CXE's position in the market, and market growth rate, which characterizes its attractiveness.

A larger market share makes it possible to earn greater profits and have a stronger position in the competition. However, here it should immediately be noted that such a strict correlation between market share and profit does not always exist; sometimes this correlation is much softer.

The role of marketing in strategic planning

There are many points of intersection between strategies for the organization as a whole and marketing strategies. Marketing studies the needs of consumers and the organization's ability to satisfy them. These same factors determine the mission and strategic goals organizations. When developing a strategic plan, they operate with marketing concepts: “market share”, “market development” and
etc. Therefore, it is very difficult to separate strategic planning from marketing. In a number of foreign companies, strategic planning is called strategic marketing planning.

The role of marketing is manifested at all three levels of management: corporate, CXE and at the market level of a particular product. At the corporate level, managers coordinate the activities of the organization as a whole to achieve its goals in the interests of pressure groups. At this level, two main sets of problems are solved. The first is what activities should be undertaken to satisfy the needs of important customer groups. The second is how to rationally distribute the organization's resources among these activities to achieve the organization's goals. The role of marketing at the corporate level is to determine those important factors external environment (unmet needs, changes in the competitive environment, etc.), which should be taken into account when making strategic decisions.

At the individual CHE level, management is more focused on making decisions for the specific industry in which the business competes. At this level, marketing provides a detailed understanding of market demands and the selection of the means by which these requests can best be satisfied in a specific competitive environment. A search is being carried out for both external and internal sources of achieving competitive advantages.

Management of activity in the market for a specific product focuses on adoption rational decisions according to the marketing mix.

Choosing a strategy

After analyzing the strategic state of the organization and necessary adjustments its mission, we can proceed to the analysis of strategic alternatives and the choice of strategy.

Typically, an organization chooses a strategy from several possible options.

There are four basic strategies:

• limited growth;
• height;
• reduction;
• combination.

Limited growth(several percent per year). This strategy is the least risky and can be effective in industries with stable technology. It involves defining goals based on the achieved level.

Height(measured in tens of percent per year) - a strategy typical for dynamically developing industries, with rapidly changing technologies, as well as for new organizations that, regardless of their field of activity, strive to short time take a leading position. It is characterized by the establishment of an annual significant excess of the level of development over the level of the previous year.

This is the most risky strategy, i.e. As a result of its implementation, you may suffer material and other losses. However, this strategy can also be identified with perceived luck, a favorable outcome.

Reduction. It assumes the establishment of a level below that achieved in the previous (base) period. This strategy can be used in conditions when the company's performance indicators acquire a steady tendency to deteriorate.

Combination(combined strategy). Involves a combination of the alternatives discussed above. This strategy is typical for large firms operating in several industries.

Classification and types of strategies:

Global:

• minimizing costs;
• differentiation;
• focusing;
• innovation;
• prompt response;

Corporate

• related diversification strategy;
• unrelated diversification strategy;
• capital pumping and liquidation strategy;
• change course and restructuring strategy;
• international diversification strategy;

Functional

• offensive and defensive;
• vertical integration;
• strategies of organizations occupying various industry positions;
• competitive strategies at various stages of the life cycle.

Cost minimization strategy is to establish optimal value volume of production (use), promotion and sales (use of marketing economies of scale).

Differentiation strategy is based on the production of a wide range of goods of one functional purpose and allows the organization to serve a large number of consumers with different needs.

By producing goods of various modifications, the company increases the circle of potential consumers, i.e. increases sales volume. In this case, horizontal and vertical differentiation are distinguished.

Horizontal differentiation implies that the price of different types of products and average level consumer income remains the same.

Vertical implies different prices and income levels of consumers, which provides the company with access to different market segments.

The use of this strategy leads to an increase in production costs, so it is most effective when demand is price inelastic.

Focus strategy involves serving a relatively narrow segment of consumers who have special needs.

It is effective primarily for firms that have relatively few resources, which does not allow them to serve large groups of consumers with relatively standard needs.

Innovation strategy provides for the acquisition of competitive advantages through the creation of fundamentally new products or technologies. In this case, it becomes possible to significantly increase sales profitability or create a new consumer segment.

Rapid response strategy involves achieving success through rapid response to changes in the external environment. This makes it possible to gain additional profit due to the temporary absence of competitors for the new product.

Among corporate strategies, strategies of related and unrelated diversification stand out.

Related diversification strategy assumes that there are significant strategic fits between business areas.

Strategic fits presuppose the emergence of so-called synergistic effects.

Strategic correspondences are identified: production (single production facilities); marketing (similar brands, common sales channels, etc.); managerial ( one system personnel training, etc.).

Unrelated Diversification Strategy assumes that the business areas in their portfolio have weak strategic fits.

However, firms that adhere to this strategy can acquire special stability due to the fact that downturns in some industries can be compensated by upturns in others.

Among functional strategies distinguished primarily offensive and defensive.

Offensive strategies include a set of measures to retain and acquire competitive advantages of a proactive nature: attacking the strengths or weaknesses of a competitor; multi-pronged offensive, etc.

Defensive strategies include measures that are reactionary in nature.

Strategic marketing planning is an integral part of the work of any enterprise whose goal is competitiveness and increasing profits. Planning is the most important link in the marketing management system.

Main goals

Strategic planning is necessary to achieve the following enterprise goals:

• Sales of products of the highest quality;
• Increasing the market share controlled by the organization;
• Ensuring previously agreed upon delivery time of goods or services;
• Taking into account the conditions set by competing enterprises;
• Creating and maintaining a positive reputation about products among consumers.

In general terms, the main tasks of strategic marketing planning come down to increasing the company’s profits, improving the social status of the company, as well as increasing sales and successfully planning the possible costs of the enterprise.

Marketing planning stages

The marketing planning process consists of seven stages that are interconnected. They are put into practice with the help of the company's management together with employees of marketing enterprises and, together with marketing tasks, constitute a marketing planning system. So, the stages:

• Goals, their development, search for optimal solutions;
• Finding goals that are more specific and for a shorter period of time, for example, several years;
• Identification of ways and means to achieve the above goals;
• Monitoring the implementation of the plan, comparing deadlines and work completed to achieve goals.

It is important to understand that planning is a process that is focused on historical data. In accordance with this information, the enterprise is able to more clearly define goals for future periods and, accordingly, monitor the implementation of plans. Refer to the financial statements for the previous half year. The quality of planning directly depends on the level of qualifications of employees.

Special marketing techniques are to be able to adjust previously drawn up plans. This is a very important point. Proper strategic planning contains “safety margins” - these are special reserves that leave room for change.

When planning, it is also important to consider the marketing budget. The marketing budget is part of the marketing strategy, which reflects the planned indicators of income, profit and expenses.

In addition to planning, marketing and marketing control is also an important step.

There are several forms of marketing control:

strategic control - involves monitoring the compliance of strategic marketing decisions with external circumstances and conditions of the company's activities.

operational control - the purpose of such control is to compare planned and actual indicators of the implementation of current plans.

profitability control and cost analysis - involves assessing the payback of marketing activities carried out by the company.

Main Strategies

The role of marketing in strategic planning cannot be overestimated. An example of this is competitive marketing strategies that are aimed at ensuring that the company takes a strong position in the market. According to Porter, this goal can be achieved using three strategies that do not contradict each other:

1. Cost minimization strategy. In most organizations, managers pay great attention to working with costs. Their main goal is to reduce the level of costs for production and sales of products compared to competing firms. This strategy has a number of advantages:

firstly, it protects the company from buyers who seek to reduce prices, since they can only reduce them to the level of competitors’ prices;

secondly, low costs provide the firm with flexibility in relation to suppliers who seek to increase prices;

thirdly, those factors that lead to cost savings are usually at the same time an obstacle to competitors entering the industry;

if a company saves on costs, this puts it in an advantageous position in relation to firms offering substitute products;

It should be noted that this cost saving strategy is not suitable for all companies. It can be implemented by those companies that control fairly large market shares in their industry. When a company becomes a leader in cost minimization and its profitability increases, managers will need to wisely manage additional profits and invest it in production development, equipment upgrades, etc. Thus, the company will be able to maintain its leadership position for a certain time. It is also worth remembering that when implementing such a strategy, competitors will always be able to take advantage of the leader’s cost-saving method and enter the fight. Therefore, it is possible that the leading company will lose and give way to competitors.

2. Differentiation strategy. This is an alternative strategy in which manufacturers are offered a unique product in their industry. Unlike the first strategy, the differentiation strategy allows for the presence of several leaders in the market, each of which will offer some special product or service.

This strategy involves increasing costs because it is necessary to invest money in product development. Such companies need to invest in product design, use the best raw materials for its production and provide quality service.

Like the strategy of minimizing costs, differentiation is fraught with certain risks. If the price of the product of a company that uses a cost minimization strategy is much lower than the product of a company that uses a differentiation strategy, then the consumer may sacrifice some unique properties product, its design, etc. And choose a product with a lower price. In addition, the uniqueness that a company offers today may become outdated tomorrow or customer tastes may change. Competing firms that adhere to a cost minimization strategy can imitate the product offered by firms that adhere to a differentiation strategy and thereby lure customers to their side.

3. Concentration strategy. Firms that adhere to this strategy concentrate on satisfying the needs of a narrow circle of consumers, or on offering a narrow range of products. The main difference between this strategy and the previous two is that the company deliberately refuses to compete in the entire industry and competes only in a narrow segment of the market. Firms that adhere to this strategy do not offer cheap or unique products and services. Instead, they serve a very specific group of customers. By competing in a narrow area, this company can also use differentiation or cost minimization strategies.

TOPIC 10. STRATEGIC PLANNING

AND MARKETING CONTROL

1.

2. Pims

3. Marketing control

1. Strategic marketing planning and its stages

Planning is the process of establishing goals, strategies and specific ways to implement them. Marketing planning is usually divided into strategic (usually long-term) and tactical (current). The strategic marketing plan is aimed at implementing the strategic objectives of marketing activities, and the current plan (most often annual) characterizes the marketing situation of the enterprise in the current year.

Strategic planning- this is the managerial process of creating and maintaining strategic alignment between the goals of the company and its potential chances in the field of marketing.

A strategic marketing plan, as a rule, is long-term and is developed over several years. It includes the following interrelated sections:

· marketing long-term goals of the enterprise;

· marketing strategies;

· development of the enterprise's business portfolio.

Marketing goals There can be any goals aimed at converting the needs of customers into the income of the enterprise, at achieving the desired results in specific markets, as well as goals - missions that embody the social significance of the enterprise.

Marketing goals are achievable only if:

· the enterprise has available resources;

· do not contradict environmental conditions;

· correspond to the internal capabilities of the enterprise.

The formation of the marketing goals of an enterprise should be based on “SWOT” - analysis (the first letters of the English words: strengths- strengths, weaknesses - weaknesses, opportunities - opportunities, threats - dangers). As a result of this analysis, the company’s position in the competition for product markets is identified and marketing goals are set.

The marketing goals of an enterprise are achieved through a marketing strategy. Marketing strategy- an integral set of fundamental principles, methods for solving key problems to achieve the general goal of the company. General marketing strategies specify the development strategy of the enterprise as a whole and include specific strategies marketing activities in target markets. Marketing strategies can be very diverse, for example:

· increasing the volume of production of goods of the old range for developed markets;

· penetration into new markets;

· development of new products;

· market formation;

· diversification.

Business portfolio - a list of products manufactured by the enterprise. The development of a business portfolio is a set of strategic directions for the development of production and product range.

The strategic planning process includes:

1) definition of corporate missions . The mission (program) of the company is its long-term orientation towards any type of activity and the corresponding place in the market. What consumer groups are served, what functions are performed.

2) setting goals. There are the following categories of goals: higher goals, subordinate goals (higher goals are specified in terms of specific functions). By content, goals are classified into:

· market goals: sales, market share;

· financial (profit, profitability);

· goals related to the product and society - quality, ensuring the guarantee of the enterprise.

3) agricultural development plan (business portfolio). SHP - strategic business units, i.e. independent divisions responsible for a product range, with a concentration on a specific market and a manager with full responsibility for combining all functions into a strategy.

SHP are the main elements of building a strategic marketing plan. Characteristics: specific orientations, precise target market, control over resources, own strategy, clearly defined competitors, clear differentiating advantage. The concept of agricultural production systems was developed by McKinsey for General Electric in 1971, which operates 30 agricultural production systems (household appliances, lighting, electric motors, engines, etc.).

4) situational analysis . The company's capabilities and the problems it may encounter are determined. Situational analysis seeks answers to two questions: what is the current position of the company and where is it moving in the future. They study the environment, opportunities, and identify strengths and weaknesses in comparison with competitors.

5) with marketing strategy . How the marketing structure should be applied to satisfy target markets and achieve organizational goals. Each agricultural enterprise needs a separate strategy, these strategies must be coordinated.

Company growth strategy can be developed based on analysis carried out at three levels. At the first level, opportunities are identified that the company can take advantage of at its current scale of activity (opportunities intensive growth ). At the second level, opportunities for integration with other elements of the industry’s marketing system are identified (opportunities integration growth ). At the third stage, opportunities opening up outside the industry are identified (opportunities diversification growth ).

INTENSIVE GROWTH. Intensive growth is justified in cases where the company has not fully exploited the opportunities inherent in its current products and markets. There are three types of intensive growth opportunities.

1. Deep market penetration consists of the firm finding ways to increase sales of its existing products in existing markets through more aggressive marketing.

2. Expanding market boundaries consists of the firm's attempts to increase sales through the introduction of existing products into new markets.

3. Product improvement consists of a firm's attempts to increase sales by creating new or improved products for existing markets.

INTEGRATION GROWTH. Integration growth is justified in cases where the industry has a strong position and/or when the firm can obtain additional benefits by moving backwards, forwards or horizontally within the industry. Regressive integration consists of a firm's attempts to gain ownership or greater control of its suppliers. To increase control over the supply chain, the Modern Publishing Company may purchase a paper supply company or a printing company. Progressive Integration consists of a firm's attempts to gain ownership or greater control of the distribution system. The Modern Publishing Company may see benefits in acquiring wholesale magazine distributors or subscription bureaus. Horizontal integration consists of the firm’s attempts to gain ownership or place under tighter control a number of competing enterprises. The Modern Publishing Company could simply buy up other health magazines.

DIVERSIFICATION GROWTH. Diversified growth is justified in cases where the industry does not provide the firm with opportunities for further growth or when growth opportunities outside the industry are significantly more attractive. Diversification does not mean that a firm should grab every opportunity that comes along. The company must identify for itself areas where the experience it has accumulated will be used, or areas that will help eliminate its current shortcomings. There are three types of diversification.

1. Concentric diversification, those. replenishment of its product range with products that, from a technical and/or marketing point of view, are similar to the company’s existing products. Typically, these products will attract the attention of new classes of customers. For example, the Modern Publishing Company could acquire its own production of paperback books and take advantage of the already established network of distributors for its magazines to sell them.

2. Horizontal diversification, that is, replenishing its assortment with products that are in no way related to those currently produced, but may arouse the interest of the existing clientele. For example, the Modern Publishing Company might open its own health clubs in hopes that subscribers to its health magazine will become members.

3. Conglomerate diversification, those. replenishment of the assortment with products that have nothing to do with either the company's technology or its current products and markets. The Modern Publishing Company may want to enter new areas of activity, such as the production of personal computers, the sale of real estate franchises, or the opening of businesses fast food service.

6) tactics represents specific actions performed to implement a given marketing strategy. You need to make 2 important decisions - determine: 1) investments in marketing; 2) the sequence of marketing operations over time.

7) control for the results. When implementing marketing plans, various deviations may occur, so monitoring their implementation is necessary. Marketing control is aimed at establishing the effectiveness of the enterprise. Monitoring the implementation of the strategic marketing plan consists of regularly checking the compliance of the initial strategic goals of the enterprise with the available market opportunities. Monitoring the implementation of the tactical plan consists of identifying deviations of results from the planned level. To do this, they use budgets, sales schedules, and costs. In some cases, plans are revised.

2. Approaches to strategic planning: product-market matrix, BCG matrix, " Pims ", Porter's strategic model

Igor Ansoff's product-market matrix

The matrix provides for the use of 4 alternative marketing strategies to maintain or increase sales. The choice of strategy depends on the degree of market saturation and the company’s ability to constantly update production.

	Penetration	Market development
	Product Development	Diversification

Fig.1. I. Ansoff’s matrix taking into account opportunities for goods-markets

1. Market penetration strategy effective when the market is growing or not yet saturated. The company is trying to expand sales of existing goods in existing markets by intensifying product distribution and aggressive promotion (price reduction, advertising, packaging, etc.).

2. Market development strategy effective when a local firm seeks to expand its market. The goal is to expand the market:

a) new segments emerge as a result of changes in lifestyle and demographic factors;

b) new areas of application are identified for well-known products;

c) the firm can penetrate new geographic markets;

d) the company enters new market segments, the demand for which has not yet been satisfied;

e) it is necessary to use new marketing methods;

g) product variations - offering existing products in a new way;

f) internationalization and globalization of markets.

3. Product development (innovation) . This strategy is effective when the agricultural enterprise has a number of successful brands and enjoys the trust of consumers.

a) selling new products in old markets - genuine innovation (new to the market);

b) quasi-new products (or modifications);

c) Me-too products (new products for the company).

4. Diversification

The company moves away from its original areas of activity and moves to new ones. Reasons: stagnating markets, risk reduction, financial benefits. The production program includes products that have no direct connection with previous products.

Forms of diversification:

A) horizontal- the automobile company also produces motorcycles;

b) vertical- a textile manufacturing company opens a clothing manufacturing company;

V) lateral- without a discernible material relationship - Pepsi-Cola in the production of sports equipment, Philip Morris in the production of cigarettes and food products.

Matrix advantages:

1) visual structuring of reality;

2) ease of use.

Flaws:

1) growth orientation;

2) restrictions on 2 characteristics (technology and costs are not taken into account).

Matrix Boston Consulting Group

One of the first was the Growth-Share matrix proposed by the Boston Consulting Group from Massachusetts. On the vertical axis is the market growth rate, on the horizontal axis is the share in this market.

Demand growth rate, %

High tempo

Low temps

Low share High share Market share, %

Rice. 2. BCG marketing strategy matrix

The BCG matrix allows a company to classify each of its agricultural enterprises by its market share relative to its main competitors and the annual growth rate in the industry. Using this matrix, a firm can determine:

· which of its agricultural enterprises plays a leading role in comparison with its competitors;

· what are the dynamics of its markets.

This matrix was used primarily to estimate funding needs.

This model is based on the concept of the product life cycle (PLC) and the experience curve. Theoretical basis various models is portfolio analysis, which is one of the most commonly used strategic planning tools.

1. Experience curve. As production volumes and experience increase, resource costs per unit of production decrease. Studies have shown that when production volumes are doubled, unit costs are reduced by an average of 20-30%. To do this, we need to increase market share.

2. Life cycle concept (Portfolio concept). An enterprise is described as a collection of strategic production units ( SPE) or SHP, i.e. independent from each other areas of activity of the enterprise, which are characterized by a specific customer-related market task, differ in products and customer groups. SPEs that occupy a strategic starting position in the matrices are combined into homogeneous aggregates. For them, normative strategies can be defined that are used for strategic planning.

The matrix distinguishes 4 main types of SPE.

1. "Stars" - Agricultural enterprises occupying a leading position, having won a high market share in a developing industry (rapid growth in growing sectors of the economy). "Stars" bring in large profits, which are used to strengthen their own positions (to finance continued growth). Market share is maintained through price reductions, active advertising, and product changes. When growth slows down, they turn into “cash cows”.

2. "Cash cows" Agricultural enterprises that have gained large market shares in mature industries (slow growth). They have loyal customers and it is difficult for competitors to attract them. Due to high profits, it can finance the growth of other agricultural enterprises. The company's marketing strategy is reminder advertising, price discounts, maintaining distribution channels.

3. "Difficult child", or "question mark" - agricultural enterprises with small market shares in rapidly growing industries. Leading position competitors' products occupy the market. Increasing market share requires significant funds. They promise high growth rates, but require large investments. The company must decide whether to increase promotional spending, actively seek new distribution channels, improve product characteristics and lower prices, or exit the market.

4. "Dog", or "lame ducks" - Agricultural enterprises with a low market share in stagnating industries (phase of saturation or degeneration). They do not have a large market share or high growth rates. A company with such an agricultural enterprise may try to enter a specialized market or leave the market. Within a certain time, such products must be excluded from Portfolio Analysis.

Flaws of this strategy: SPEs are assessed according to only two criteria. Quality, marketing costs, investment intensity are left unattended.

PIMS ( profit impact of market strategies )

PIMS - program for the impact of market strategy on profits.

The program involves collecting data from a number of corporations in order to establish the relationship between various economic parameters and two characteristics of the functioning of the organization: investment income and cash flow. A 1983 study found that marketing-related factors influenced revenue: market share relative to the top three competitors; value added by the company; industry growth; product quality; level of innovation/differentiation and vertical integration (possession of subsequent distribution channels for products). In terms of cash flow, PIMS data suggests that growing markets require a company's funds, relatively high market share improves cash flow, and high levels of investment absorb cash.

An empirical study of factors influencing enterprise profitability (long-term profitability) was conducted in the 70s by the Institute of Strategic Planning (Cambridge, USA). During the project, 300 enterprises around the world were studied (3,000 North American and European companies). This model, which uses about 30 variables, is believed to identify 67% of a company's success factors.

The use of empirical material is its great advantage. Factors that have the strongest impact on profit (in descending order): 1) capital intensity; 2) product quality; 3) the company's market share; 4) labor productivity.

Big advantage models: 1) try to measure the relative quality of a product; 2) an attempt is made to assess the correspondence of the structure of production to the structure of needs. Flaw: technical approach to strategy planning.

Porter's strategic model

Harvard Business School professor Michael Porter developed the concept of competitive strategy in 1975-1980, during a period of slow growth and stagnation in many industries.

M. Porter's research led to the following conclusion: almost all large enterprises with a large market share, and small specialized firms have a chance to achieve the required level of profitability. An important component of this strategy is an in-depth analysis of competition.

According to Porter, competition analysis involves 4 diagnostic components: 1) future goals (goals of competitors); 2) the competitor’s assumptions regarding the industry and other operating companies; 3) current strategy of the competitor; 4) opportunities (goals, assessments - strengths and weaknesses).

Porter's Five Forces of Competition:

1) penetration of new competitors;

2) the threat of the emergence of substitute goods;

3) buyers' capabilities;

4) supplier capabilities;

5) competition in the market.

General Porter's strategic model examines 2 basic marketing planning concepts and alternatives to each: target market selection and strategic advantage (uniqueness or price).

Combining these two concepts, Porter's model identifies the following basic strategies:

· cost advantage;

· differentiation;

· concentration.

To stay ahead of your competitors, you need to focus on one of three strategies.

1. Cost advantage strategy (cost leadership). The main idea is that all actions and decisions of the company should be aimed at reducing costs. The company focuses on mass production, on this basis it should minimize unit costs and offer low prices. This allows you to have a higher profit share compared to your competitors. A company that has achieved leadership in cost reduction cannot afford to ignore the principles of differentiation.

3. Differentiation strategy. The company's product must be different from competitors' products and must be unique. For example, Mercedes. The company is targeting a large market. This strategy involves higher costs. Differentiation may lie in the product itself, distribution methods, marketing conditions, etc.

Prerequisites: special fame of the enterprise; extensive research; appropriate design; use of high quality materials.

Advantages:

·consumers acquire loyalty to the brand, their sensitivity to price decreases;

·customer loyalty and product uniqueness create high barriers to entry into the market;

·high profits facilitate relationships with suppliers.

4. A strategy of concentration or focus. The company identifies a specific market segment through low prices or unique distribution. There are two types of strategy: the company tries to achieve advantages in reducing costs or through product differentiation.

According to Porter's model, the relationship between market share and profitability is U-shaped.

A firm with a small market share can succeed by developing a clearly focused strategy. A company with a large market share may succeed as a result of its overall cost advantage or differentiated strategy. A company can become stuck in the middle if it does not have an efficient and unique product or an overall cost advantage.

Unlike the BCG matrix and the PIMS program, according to Porter’s model, small company can make a profit by concentrating on one competitive "niche", even if its overall market share is insignificant. A company doesn't have to be big to perform well.

Risk associated with individual strategies

1. Cost strategy:

a) technological changes may depreciate previous investments;

b) competitors may adopt cost-cutting techniques;

C) unpredictable cost increases may result in a narrowing price gap relative to competitors.

2. Risk of differentiation:

a) the price gap of the cost leader may become so important that for buyers financial considerations will be more important than brand loyalty;

b) consumer value systems may change, which will affect consumer demand.

3. Non-progressive strategy - companies developed countries supply obsolete and lower quality goods to the markets of developing or underdeveloped countries.

4. "Reinvention" strategy - New products are specially developed for foreign markets. This strategy is riskier and requires more time and money.

The strategy is implemented in 3 ways:

· by analogy (concentric diversification);

· further development (horizontal);

· creation of completely new products (conglomerate).

The Procter and Gamble company used a concentric product policy when entering the European market, developing a new laundry detergent, Ariel, that meets European standards.

3. Marketing control

The marketing department needs to constantly monitor the progress of marketing plans. Marketing control systems are needed in order to be confident in the effectiveness of the company. Marketing control is carried out through audits, audits and inventory of the availability of material resources. Three types of marketing control can be distinguished.

lies in the fact that marketing specialists compare current indicators with the target figures of the annual plan and, if necessary, take measures to correct the situation. Profitability control is to determine the actual profitability of various products, territories, market segments and trade channels. Strategic control consists of regularly checking the compliance of the company's initial strategic settings with existing market opportunities. Let's look at these types of marketing controls.

Monitoring the implementation of annual plans

The purpose of monitoring the implementation of annual plans is to ensure that the company has actually reached the sales, profits and other target parameters planned for a particular year. This type of control includes four stages. First, management should include monthly or quarterly milestones in the annual plan. Secondly, management must measure the firm's market performance. Third, management must identify the causes of any major disruptions in the firm's operations. Fourthly, management must take measures to correct the situation and eliminate the gaps between the goals set and the results achieved. And this may require changing action programs and even changing targets.

What specific techniques and methods of monitoring the implementation of plans does management use? Four main means of control are: analysis of sales opportunities, analysis of market share, analysis of the relationship between marketing and sales costs and observation of customer attitudes. If, when using one of these means, shortcomings in the implementation of the plan are identified, measures are immediately taken to correct the situation.

ANALYSIS OF SALES OPPORTUNITIES. Analysis of sales opportunities consists of measuring and assessing actual sales in comparison with planned ones. The company can start by analyzing sales statistics. Let's say that the annual plan included sales in the first quarter in the amount of $4,000. By the end of the quarter, goods worth $2,400 were sold. Sales volume turned out to be $1,600, or 40%, less than expected. The company should carefully understand why exactly it was not possible to achieve the planned level.

At the same time, the company must check whether all specific products, territories and other breakdown units have achieved their share of turnover. Let's say a company trades in three sales territories. One territory underfulfilled the plan by 7%, the second overfulfilled it by 5%, and the third underfulfilled it by as much as 45%. The third area is the most worrying. The vice president of sales can specifically look into the reasons for the territory's poor sales performance.

MARKET SHARE ANALYSIS. Sales statistics do not yet indicate the position of the company relative to its competitors. Let's assume that sales volume increases. This growth can be explained either by an improvement in economic conditions, which has a beneficial effect on all firms, or by an improvement in the company’s performance in comparison with its competitors. Management needs to constantly monitor the firm's market share performance. If this share increases, the competitive position of the company strengthens; if it decreases, the company begins to yield to competitors.

ANALYSIS OF THE RELATIONSHIP BETWEEN MARKETING AND SALES COSTS. Monitoring the implementation of the annual plan requires making sure that the company does not spend too much in its effort to achieve its sales goals. Constant monitoring of the relationship between marketing costs and sales volume will help the company keep marketing costs at the desired level.

MONITORING CUSTOMER ATTITUDES. Vigilant firms use various methods of monitoring the attitude towards them on the part of customers, dealers and other participants in the marketing system. By identifying changes in consumer attitudes before they affect sales, management is able to take early action. necessary measures. The main methods for monitoring customer relations are complaint and suggestion systems, customer panels and customer surveys."

CORRECTIVE ACTION. When actual performance deviates too much from annual plan targets, firms take corrective action. Let's consider the following case. A major fertilizer firm's sales performance was falling short of its target targets. Trying to improve the situation, the company took a number of increasingly stringent measures: 1) it was ordered to reduce production; 2) selective price reduction began; 3) pressure increased on its own sales staff to ensure that all salespeople met their assigned sales targets; 4) allocations for hiring and training personnel, advertising, public opinion organizing activities, charity, research and development have been cut; 5) temporary and permanent dismissals of employees and their retirement have begun; 6) a number of intricate accounting steps have been taken; 7) a reduction in capital investments for the purchase of machinery and equipment began; 8) a decision was made to sell the production of part of the product range to other companies; 9) consideration began to be given to the possibility of selling the company as a whole or merging it with another company.

To eliminate discrepancies with the annual plan indicators, many companies find it sufficient to take less drastic measures.

Profitability control

In addition to monitoring the implementation of the annual plan, many companies also need to monitor the profitability of their activities for various products, territories, market segments, trading channels and orders of varying volumes. Such information will help management decide whether to expand, reduce, or completely curtail the production of certain goods or conduct certain marketing activities. Consider the following example.

The vice president of marketing for a lawn mower company wants to determine the profitability of selling these mowers through three different sales channels: hardware stores, garden supply stores, and department stores.

At the first stage, all costs of selling the product, its advertising, packaging, delivery and processing of payment documents are identified. At the second stage, the amounts of costs for the listed types of activities during trade through each of the channels of interest are determined. Having determined these costs, at the third stage they prepare a calculation of profits and losses for each channel separately. A firm may find that it actually loses money when selling through garden supply stores, barely breaks even when trading through hardware stores, and makes almost all of its income from department stores.

FINDING THE MOST EFFECTIVE CORRECTIVE ACTIONS. Before making any decision, you must first answer the following questions:

To what extent does making a purchase depend on the type of retail establishment, and to what extent on the brand of the product?

What are the trends in the importance of each of these three channels?

Are the firm's marketing strategies optimal across these three channels?

Having received answers to these questions, marketing management will be able to evaluate a number of options for action, select and take the necessary actions.

Strategic control

From time to time, firms need to make critical assessments of their overall marketing performance. Every firm should periodically re-evaluate its overall approach to the market, using a technique known as a marketing audit. . Marketing audit is a comprehensive, systematic, impartial and regular examination of a firm's (or organizational unit's) marketing environment, objectives, strategies and operations with the aim of identifying emerging problems and opportunities and recommending a plan of action to improve the firm's marketing activities.

The marketing auditor should be given complete freedom to conduct interviews with managers, clients, dealers, salesmen and other persons who can shed light on the state of the company's marketing activities. Based on the information collected, the auditor draws appropriate conclusions and makes recommendations.

Strategy- this is an optimal set of rules and techniques that allow you to implement the mission and achieve the global and local goals of the company.
Mission- This is the most general goal of the company, the reason for its existence in the business world.
The company's mission determines its status, declares the principles of its functioning, statements, and intentions of its management. The mission, or in other words the overall goal, expresses the organization’s aspirations for the future, shows where efforts will be directed and establishes the priority of values.
There are currently no strict guidelines for mission statement. Many organizations prioritize the interests and expectations of consumers.
The mission should not include profit as a goal, since profit is an internal problem of the enterprise.
Based on the strategic plan and the results of medium-term planning, annual operational plans and projects are developed.
The company's strategy is implemented in operational plans. An organization's short-term plans, developed on the basis of strategic plans, are organizational tactics that reflect short-term goals.
The general marketing strategy is the general direction of the organization’s action, the adherence to which in the long term should lead it to its intended goal.
One of the leading theorists and specialists in the field of strategic management. M. Porter highlighted three types of strategies for an organization’s behavior in the market that will provide it with competitive advantages: leadership in cost minimization, differentiation and focus:
1. The cost leadership strategy is associated with the fact that the company achieves the lowest costs of production and sales of its products. As a result, it can achieve a larger market share through low prices for its products.
2. Differentiation (specialization) strategies mean that a company creates a product with unique properties that the buyer may like and for which the buyer is willing to pay. This strategy is aimed at making the product different from what competitors make it.
3. The focusing strategy involves concentrating on the interests of specific consumers. Concentrated product creation is associated with the fact that either some unusual need of a certain group of people is satisfied, or a specific system of access to the product is created.
Business development strategies (basic) are common. Their diversity comes down to three types:
1 group - Concentrated growth strategies - involve identifying opportunities that the company can take advantage of at its current scale of activity.
The specific types of strategies of the first group are:
Market development strategy - in which the company does everything to win the best position with a given product in a given market.
Market penetration strategy is the search for new markets for an already produced product, both geographically and new demographic market segments, which allows for growth in the company's sales.
Product development strategy - involves solving the problem of growth through an innovative product policy for a market that has already been developed by the company by improving the product produced.
2nd group form Integrated Growth Strategies, which are associated with the expansion of the company by adding new structures.
There are three types of integrated growth strategies:
The reverse vertical integration strategy is aimed at the growth of the company through the acquisition of supplier firms or strengthening control over them. The implementation of such a strategy reduces dependence on fluctuations in component prices and supplier requests.
The strategy of forward-looking vertical integration is expressed in the growth of the company through the acquisition of intermediary firms involved in distribution and sales or strengthening control over them.
The horizontal integration strategy is carried out either through the absorption of competing firms, or mergers, or the creation of joint organizations with foreign capital.
3 group business development strategies are diversified growth strategies that are implemented in the case when a company cannot further develop in a given market with a given product in a given industry. This strategy is chosen if the markets for the business being carried out are in a state of saturation or reduction in demand for the product, or if antitrust regulation does not allow further expansion of business within this industry.
Organizational strategy planning, on the one hand, is a subsystem of strategic management, on the other hand, it represents the essential basis of the strategic process planning, which differs from it only in the stages of implementation and subsequent evaluation of the strategy. Therefore, the concepts of “strategy planning” and “strategic planning” are usually not distinguished.
Strategic planning is the process of formulating the mission and goals of the organization, choosing specific strategies to identify and obtain the necessary resources and their distribution in order to ensure care for the effective work of the organization in the future.
The process of strategic planning is a tool that helps in making management decisions. Its task is to ensure innovations and changes in sufficient volume to adequately respond to changes in the external environment.
Strategy planning does not end with any immediate action. It usually ends with the establishment of general directions, the adherence to which ensures growth and strengthening of the organization’s position.
Planning tasks are determined by each company independently depending on the activities in which it is engaged.
In general, the tasks of strategic planning of any company come down to the following:
1. Planning for profit growth.
2. Planning of enterprise costs, and, as a result, their reduction.
3. Increase in market share, increase in sales share.
4. Improvement social policy companies.
Thus, the main task of planning is to obtain maximum profit as a result of activity and the implementation of its most important functions: marketing planning, productivity, innovation and others.
The strategic planning process includes the following main stages:
Formulation of organizational goals;
Identification of currently existing tasks and strategies;
Analysis of the external environment from the angle of the actual possibility of achieving goals;
Analysis of markets, which, on the one hand, makes it possible to identify the resources available, and on the other hand, allows us to identify the strengths and weaknesses of a given enterprise;
Identification of strategically favorable cases and threats;
Establishing the scope and scale of the necessary changes in strategy;
Making strategic decisions;
Implementation of strategy;
Control over the implementation of the strategy.
Already in progress strategic analysis The organization's management is inclined to choose one of the possible strategy options - the one that best suits the conditions of the external and internal environment, as well as the chosen goals of the activity.
The strategy formation process consists of three stages:
formation of the overall strategy of the organization;
formation of a competitive strategy;
determination of the company's functional strategies.
The overall strategy of the organization is formed by top management. Developing a general strategy solves two main problems:
1. the main elements of the company’s overall strategy must be selected and deployed;
2. it is necessary to establish the specific role of each of the company's divisions in implementing the strategy and determine ways to determine resources between them.
An organization can choose one of several types of strategies or use certain combinations various types(which is usually typical for large, diversified companies).