1.Creating Value for Customers. Consider the customers you believe currently use your product or service and the definition of marketing offered in the course content. As we begin our study of marketing, what are your preliminary thoughts as to how you think the company creates value for its customers based on the concepts in this week’s readings.
2.Role of the Customer in the Company’s Strategic Plan. The readings indicate that the best marketing begins with the customer and that commitment to the customer begins with including the customer in the company’s mission statement. Find your company’s mission statement. Repeat it (or attach as an exhibit if it is too long) and comment on its effectiveness in demonstrating the company’s commitment to having a customer focus. Could the mission statement have more focus on the customer? How would you recommend it be modified? Is it supported with value statements or other evidence of a customer focus?
3.SWOT analysis. Identify at least one element of each of the SWOT categories (a strength, a weakness, an opportunity, and a threat). Explain your choice using a citation if needed. Then identify possible implications for each of the four elements. For example, if a strength is a a strong national brand name, the implication is that the company may be able to launch other related products under the positive umbrella of the same brand name. Conversely, if a major weakness is the company is carrying a lot of debt, the implication is that the company not not be able to achieve significant growth, but may have to consider retrenchment strategies.
4.Competitive Analysis. Identify at least two major competitors or those two products that are trying to sell essentially identical products to the same type of consumer. Then, identify at least three criteria that are important to those consumers when they are making their decision as to which of the three competing offers to buy (e.g. price, specific benefit, service, warranty, convenience, specific feature, etc.). Make a little chart with the three criteria along the left-hand side and the competitor products (including your own product) across the top. Rank each of the products on a scale from 1= low to 5= high on each performs on each of the three criteria. Add down each column. Which product ranked highest overall based on the sum of the columns. Then, look at the highest score in each of the criteria boxes. Which products ranked the highest on each of the three criteria? Was it the same product, was it three different products? What do these results tell you about the competitive environment of your product category. Which product is the leader? Which product is the follower, challenger and nicher if those categories apply? Attach your chart as an exhibit.
Strategic marketing: Samsung mobile
- Creating Value for Customers.
As the years go by, the value creation is based more on innovation than anything else (Hughes, 2013). The smartphone has made communication much easier and much faster. It is now possible to have access to the internet, personal emails, social media and other apps on your mobile phone. This has changed the way communication is viewed and contributed to the development of mobile technology. Technology companies such as Samsung realize that it is necessary to ensure that the smartphone is not only able to offer these services efficiently but that it meets the needs of the customer. This is one of the reasons why smartphone technology continues to evolve as technology companies develop new software and applications that improver user experience and address the needs of the consumer.
- Role of the Customer in the Company’s Strategic Plan.
Strategic planning refers to a continuous and systematic process in which the guiding members of an organization make decisions concerning the future as well as develop the necessary operations and procedure to meet this end as well as determine how success is to be measured (Federal Benchmarking Consortium, 1997). The customer is the voice that drives the operations of an organization and charts its course for the future. The customer determines the profit the company makes by choosing to buy their products. The customer also determines the reception of the market to a new product launched into the country. Samsung has one core philosophy: to devote its talent and technology to creation superior products and serves that contribute to a better global society (Samsung Electronics, 2015). It is a people oriented mission statement, which reflects the company’s objectives which focus on the customer. The company places high value on two elements: the customer and technology.
- SWOT analysis.
Strength- Very high research and development expenditure which has resulted in the company having one of the strongest patent portfolios among the technology companies (Jurevicius, 2015). In the technology industry, innovation is the pace setter. This translates to the company having the largest resources in research and development coming up with more innovative products. This sets Samsung apart from its competitors.
Weakness- Samsung mobile launched a number of models into the market in the recent past. This has resulted in cannibalization which creates a negative business environment to thrive in.
Opportunity – the company has global presence in only eighty countries which implies that there are many more markets it can explore
Threats – The company has a wide variety of products which means that the failure of one product line will have a ripple effect on other products. This can result in brand dilution which will negatively impact its market share.
- Competitive Analysis.
The table below is a competitive analysis based on a rating where 5 is the highest rating and one is the lowest. The rating is based on price, mobile applications and the user interface.
|Price||Applications||User Interface||Total Points|
Based on the above table, while Samsung ranks the highest in terms of price, applications and user interface, it is closely followed by its competitors. Apple is created with a specific target market in mind and it is noted to cost much more than the other two. Nokia is a common mobile brand that specifically focuses on mobile technology. While the company had the lowest score in the applications it offers, it is making an effort to partner with software companies such Microsoft to improve this. The result is the ability to respond to the needs of the customer.
Competition is tight in the smartphone mobile industry and unlike the other companies, Samsung also has a division for developing electronic appliances and device solutions. This implies that it runs the risk of exposing itself to brand dilution in the event that any of the products it offers is not well received in the market (Jurevicius, 2015).
Federal Benchmarking Consortium. (1997, February). Serving the American Public: Best Practices in Customer-Driven Strategic Planning. Retrieved from library.unt.edu: http://govinfo.library.unt.edu/npr/library/papers/benchmrk/customer.html
Hughes, J. (2013, May 17). What Value Creation Will Look Like in the Future. Retrieved from hbr.org: https://hbr.org/2013/05/what-value-creation-will-look-like-in-the-future
Jurevicius, O. (2015, June 18). Samsung SWOT analysis 2015. Retrieved from strategicmanagementinsight.com: http://www.strategicmanagementinsight.com/products/swot-analyses/samsung-swot-analysis.html
Samsung Electronics. (2015). Samsung’s philosophy and goals. Retrieved from samsung.com: http://www.samsung.com/uk/aboutsamsung/samsung/valuesphilosophy.html