PART 4) Marketing planning and
 forecasting – strategies and plans



n     Corporate, business and marketing strategies

n     Process of marketing strategic decisioning

n     Marketing planning

n     Components of marketing plan

n     Implementing and controlling of marketing plan



Criticisms of marketing planning

n  formal plans can be quickly overtaken by events

n  elements of the plan my be kept secret for no reason

n  gulf between senior managers and implementing managers

n  the plan needs a sub-scheme of actions

 Marketing Planning in General

Strategic thinking - origins

n  70´s in the USA – due to shock waves

n  oil crisis

n  double digit inflation

n  economic recession

n  tough Japanesse competition

n  key sectors in economy deregulated

SBU (Strategic Business Unit)

n  business unit within the overall corporate identity which is distinguishable from other business
- large enough and homogeneous enough to exercise control over most strategic factors affecting
their performance

n  it serves a defined external market

n  the competitors can be recognised

n  responsible manager - managed as self contained planning unit





n   WALMARK company was established in 1990

n   it has extended its activities into multiple fields (foodstuffs and agriculture)

n   strategic orientation at pharmacy: sale of the agricultural SBU in 2001 and the non-alcoholic
beverage SBU in 2004

n   fully concentrates now on the market of food complements, medicaments and food for sportsmen

n   Pharmacy medicaments – at least 10 % of turnover

n   Now – number one in food supplements in CZ, second in SK, HU

n   By 2012 number one in central Europe

Strategic Planning: BCG Matrix

GE (General Electric) Matrix

Market Attractiveness

Ø   Annual market growth rate

Ø   Overall market size

Ø   Historical profit margin

Ø   Current size of market

Ø   Market structure

Ø   Market rivalry

Ø   Demand variability

Ø   Global opportunities









Business Strenght

Ø   Current market share

Ø   Brand image

Ø   Brand equity

Ø   Production capacity

Ø   Corporate image

Ø   Profit margins relative to competitors

Ø   R & D performance

Ø   Managerial personal

Ø   Promotional effectiveness







Growth Matrix (Ansoff Matrix)



n   Assignment of responsibilities, tasks and timing

n   Awareness of problems, opportunities and threats

n   Essential marketing information may have been missing

n   if implementation is not carefully controlled by managers, the plan is worthless!



Conclusion

n  Marketing planning – essential activity of any marketing manager

n  SBU – defined as autonomous unit

n  BCG, GE & Ansoff

n  Marketing plans