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UNIT 20: Case Study

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Marketing Management

Course Design

Chairman
Dr Parag Diwan
Members

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Advisory Council

Dr Anirban Sengupta
Dean

Dr Ashish Bhardwaj
CIO

Dr Satya Sheel
VP – Academic Affairs

Dr Sanjay Mittal
Professor – IIT Kanpur

Mr M K Goel
Management Consultant

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SLM Development Team
Wg Cdr P K Gupta
Dr Joji Rao
Dr Neeraj Anand
Dr K K Pandey

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Print Production

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Dr Kamal Bansal
Dean

Mr A N Sinha
Sr Manager – Printing

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Mr Kapil Mehra
Manager – Material

Author
S H H Kazmi

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All rights reserved. No part of this work may be reproduced in any form, by mimeograph or any other means,
without permission in writing from Hydrocarbon Education Research & Society.

Course Code: MBCM-771D

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Course Name: Marketing Management
Version: July 2013
© MPower Applied Learning Enterprise

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UNIT 20: Case Study

Contents

Block-I

Unit 1

Understanding Marketing Management....................................................................... 3

Unit 2

Marketing Environment Analysis ............................................................................... 19

Unit 3

Strategic Marketing Planning ..................................................................................... 41

Unit 4

Marketing Strategy: Segmentation and Targeting..................................................... 59

Unit 5

Case Study .................................................................................................................... 81

Block-II

Consumer Buying Behaviour ....................................................................................... 91

Unit 7

Product Life Cycle Strategies..................................................................................... 105

Unit 8

Branding and Packaging-I ......................................................................................... 129

Unit 9

Branding and Packaging-II........................................................................................ 151

Unit 10

Case Study .................................................................................................................. 167

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Unit 6

Block-III

Positioning and Differentiation Strategies ............................................................... 173

Unit 12

Pricing Strategies ....................................................................................................... 185

Unit 13

Managing Marketing Channels-I .............................................................................. 215

Unit 16

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Unit 11

Unit 17

Integrated Marketing Communications.................................................................... 281

Unit 18

Advertising and Sales Promotion .............................................................................. 307

Unit 19

Sales Management ..................................................................................................... 337

Unit 20

Case Study .................................................................................................................. 361

Unit 14

Case Study .................................................................................................................. 259

Block-IV

Management of Logistics and Physical Distribution................................................ 267

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Unit 15

Managing Marketing Channels-II ............................................................................. 245

Marketing Management

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iv

Block-V

Unit 21

Market Information Systems and Market Research ................................................ 367

Unit 22

Service Marketing ...................................................................................................... 389

Unit 23

Future of Marketing and its Dimensions .................................................................. 413

Unit 24

Careers in Marketing ................................................................................................. 435

Unit 25

Case Studies................................................................................................................ 441

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Glossary ............................................................................................................................................ 447

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UNIT 1: Understanding Marketing Management

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Notes

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BLOCK-I

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Detailed
Contents
Notes
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UNIT 1: UNDERSTANDING MARKETING
MANAGEMENT
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Marketing Management

Introduction
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Defining Marketing –– Related Factors
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Marketing Concept
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Defining and Delivering Customer Value and
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Satisfaction

Company Analysis

Adapting Marketing to New Liberalised Economy –
Digitalisation and Customisation

UNIT 3: STRATEGIC MARKETING PLANNING
Introduction

An Overview of Strategic Planning
Steps in Strategic Planning

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Value Chain
Benchmarking
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UNIT 4: MARKETING STRATEGY:
SEGMENTATION AND TARGETING

Delivery Network
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UNIT 2: MARKETING ENVIRONMENT ANALYSIS
Introduction

Introduction

Marketing Strategy
Segmentation

Environment Analysis

Segmenting the Consumer Market

Environmental Scanning

Segmenting Business Market

Macro Environmental Analysis

Market Targeting

Micro Environmental Analysis

UNIT 5: CASE STUDY

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Customer Analysis
Competitor Analysis

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Market Analysis

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UNIT 1: Understanding Marketing Management

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Unit 1

Notes

Understanding Marketing
Management

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Objectives

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After completion of this unit, the students will be aware of the following
topics:
Marketing concept, customer value and satisfaction

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Value chain and benchmarking
Delivery network

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Introduction

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While a product could represent many different things, a good,
however, is a tangible object that can be seen and touched.
A service, while a good and in sharp contrast to it, represents an
intangible product that may involve human or mechanical effort in
its delivery. Services are being consumed increasingly by personal
and organisational consumers and constitute a very important part
of the economics of developed and developing countries. More
people are employed in service jobs than in those that produce
goods.

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Marketing environment includes all the forces that directly or
indirectly influence marketing operations by affecting an
organisation acquisition of inputs/creation of outputs such as
human, financial and natural resources and raw material,
information, goods, services or ideas. Sometimes a distinction is
more between macro and micro factors of environment.

Defining Marketing –– Related Factors

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Marketing starts with customers and ends with customers.
Creation of superior customer value and delivering high levels of
customer satisfaction are at the heart of present day marketing. It
is a matter of common sense to appreciate the key marketing
success factors. In case a company really endeavours to understand
customer needs, carefully studies competition, develops and offers
superior value at a reasonable price, makes these products

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available at places convenient to customers, and communicates
with them effectively and efficiently; such products have every
reason to be in demand and will sell consistently.
Successful companies have one common trait. They are all very
strongly customer-focused in their orientation. Many other factors
contribute to achieving business success, such as developing great
strategy, committed and skilled human resources, reliable and fast
information systems, and excellent implementation and control.
But in the final analysis, the focus and dedication of all these
companies is to really understand customers’ needs and wants as
much as possible and create satisfied customers in their target
markets.
In case someone asks several people what they think marketing is,
the chances are these casually picked persons will reveal a variety
of descriptions in their responses. Probably, the first two items
describing marketing will be advertising and personal selling, as
these two are the most visible aspects of marketing for most
people. Marketing includes many more activities than what most
people realise. The shortest definition of marketing is satisfying
consumer needs in a socially responsible way at a profit. Authors of
marketing books have defined marketing in different words. A few
of these definitions are mentioned here.

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Marketing Management

The American Marketing Association defines marketing as:

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Marketing is an organisational function and a set of processes for
creating, communicating, and delivering value to customers and for
managing customer relationships in ways that benefit the
organisation and its stakeholders.
Philip Kotler says, Marketing is a societal process by which
individuals and groups obtain what they need and want through
creating, offering, and freely exchanging products and services of
value with others.

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Pride and Ferrel’s definition says,
We define marketing as the process of creating, distributing,
promoting, and pricing goods, services, and ideas to facilitate
exchange relationships in a dynamic environment.
Marketing is a total system of business activities designed to plan,
price, promote, and distribute want-satisfying products to target
markets to achieve organisational objectives. (William J. Stanton,

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UNIT 1: Understanding Marketing Management

Michael J. Etzel, and Bruce J. Walker, Fundamentals of
Marketing, McGraw-Hill, 1994.)
It (marketing) is the whole business seen from the point of view of
its final result, that is, from the customer’s point of view. (Peter F.
Drucker, Practice of Management (1954).

The essence of all these definitions of marketing is satisfying
customer needs and wants. Apparently, this core objective does
sound simple, but it is not. Research shows that in many cases
customers either have inhibitions about revealing their real needs
or wants by intent or may not really know themselves. It is
believed that the subconscious is the real storehouse of deep-rooted
motives. To the extent possible, marketers undertake consumer
research and try to learn about the target customers’ needs and
wants, and design appropriate marketing programmes to satisfy
target customers.
Keeping in view the definitions of marketing, some important
aspects of modern marketing can be distinguished:
Marketing is a societal process.

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Marketing deals with customer needs, wants, products,
pricing, distribution, and promotion.
Marketing focuses on delivering value and satisfaction to
customers through products, services, ideas, etc.

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Marketing facilitates satisfying exchange relationships.
Marketing takes place in a dynamic environment.

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Marketing is used in both for-profit and not-for-profit
organisations.
Marketing is extremely important to businesses and the
economy of a country.

Marketing Components

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Marketing is the effective procedure of generating responses,
hopefully in a predictable manner. The components of
marketing are:

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Ongoing review & augmentation of business &
marketing strategies: continuing to assess the strengths and
weakness of the business and its marketing strategies with
reference to continuously improving strategies.

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Notes

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