Master of Business Administration – MBA Semester 2
MB0046 –Marketing Management
Q1. “Planning is a process of designing the blueprint for the future”. In this context, explain Marketing Planning in detail. A1. Marketing Plan:-
Planning is a process of designing the blueprint for the future. Marketing planning for an organisation is planning for that organisation’s revenue-earning activities. Marketing managers have to face changes every day in the market place. So a successful marketing management process should be continuous and must involve a cycle of planning, implementation, and control. A marketing plan is a written document that specifies the required actions to attain one or more marketing objectives. A good marketing plan should communicate to every member what is desired of them, so that they have some level of goal clarity, understanding of assumptions that lie behind the goals, and the context of each activity and decision.
Marketing planning process:-
The marketing planning process must begin by setting the corporate objectives and should be followed by strategies and plans for each function. The figure below depicts the five steps in marketing planning process.
1. The first step in marketing planning process is setting marketing objectives and policies. 2. The second step is designing the market system. In the marketing system, a company has to design/define each function with its contribution. 3. The third step is developing separate objectives, programmes, and strategies for each function (like new product development function, pricing decisions, distribution function, promotion function) so that they can be assessed for the target’s purpose and the broad objectives. 4. The fourth step is drawing detailed plans for each function for a shorter period, i.e., a quarter, half a year, or a year. It will help in defining responsibilities, timing, and costs needed to achieve the short-term objectives. 5. The fifth step is merging the marketing plans into organisational plans.
Vision is a must in the management of organisations. Organisations must regularly shape and reshape the understanding of their aim and the process to accomplish their own and this can be achieved by having a vision. A vision is generally known as ‘an image of the future’. A vision statement of an organisation is a formal statement of what the business wants to be in the future. The management, customers, employees and the society play a major role in the decision of what the organisation wants to be as they get benefit from the organisation. Vision statement has four parts:
1) Core values:
Core values are principles or fundamental beliefs of an organisation that dictate behaviour and action. Examples of core values are integrity, quality etc. 2) Core purposes:
Core purpose is the purpose of the organisation. The core purpose never changes but does indeed inspire change. The function of Core Purpose is to guide and inspire. 3) The Big Hairy Audacious Goal (BHAG):
The BHAG is a goal which qualifies the purpose. BHAG is always big, yet specific and the chance to attain it should be 70%. 4) Vivid description:
Vivid description allows the entire vision of an organisation to inspire all stakeholders. Vivid descriptions are simple and are easily understood. Vision statements can either be long or short. A great example of a vision is by an American multinational food and beverage corporation Pepsi. Their vision states “PepsiCo's responsibility is to continually improve all aspects of the world in which we operate - environment, social, economic - creating a better tomorrow than today. Our vision is put into acti...