Marketing And Consumer Behavior

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Marketing and Consumer Behavior

IMBA 6090
Spring 2015

Ajay K. Kohli ajay.kohli@scheller.gatech.edu Agenda

• Introduction
• Course overview
• What is marketing?
• Marketing management framework
• The evolving landscape

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Agenda

• Introduction
• Course overview
• What is marketing?
• Marketing management framework
• The evolving landscape

3

Introduction

• Tent cards
• Index cards






Name + phone number
Interest area if any (e.g., marketing, finance . . .)
Degrees: universities + majors
Current employer + responsibility
One interesting “factoid” about you!

• Next class - a photograph 3-5 inches diagonal (optional)

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Agenda

• Introduction
• Course overview
• What is marketing?
• Marketing management framework
• The evolving landscape

5

Course description and components
• A survey course
• Multiple pedagogical approaches
– Lecture-discussions
– Case discussions – restrict ourselves to information in the cases
– Three case write-ups (two Group, one Individual) – 4 pages max
– One simulation + write-up (Group) – 3 pages max

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Some specifics
• Email me if you will have to miss a class
• Insightful contributions are valued, not mere “talking”
• What is a good contribution?
• Same seat if you can, please
• Let me know at the beginning of class if an emergency makes it impossible for you to engage in class discussion
• Peer evaluations of class contributions and group projects
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Honor code and logistics
• Simulation access
• Familiarize yourself with the GT honor code, expectations
• Electronic devices in class

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Agenda

• Introduction
• Course overview
• What is marketing?
• Marketing management framework
• The evolving landscape

9

What is marketing?
• Marketing is not selling people things they don’t really want
It is not just . . .
• Advertising
• Telemarketing
• Running promotions in retail stores
• E-mailing offers . . .
• Creating neat brochures
& websites
• Events

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What is marketing?
• Marketing is not selling people things they don’t really want
It is not just . . .
• Advertising

What is it

?

• Telemarketing
• Running promotions in retail stores
• E-mailing offers . . .
• Creating neat brochures
& websites
• Events

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What is marketing?
Upstream Activities
Invisible to Outsiders


Research




Customer needs, customer decision-making process, market size, competitor capabilities . . .

Planning










+

Which customer segments?
What value proposition?
Product design, product line choices
Go-to-market (channel) strategy
Which media and what message?
Demand estimation/forecasting
Pricing structure . . .

Product development input . . .

Downstream Activities
Visible to Outsiders
• Advertising
• Telemarketing
• Running promotions in retail stores
• E-mailing offers . . .
• Creating neat brochures
& websites
• Events

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Marketing is a set of activities
Upstream Activities
Invisible to Outsiders

Activities that create superior value for key stakeholders

Downstream Activities
Visible to Outsiders

+

OVP
Customer
value

Collaborator value (Optimal Value
Proposition)

Company value 13

Marketing is a department



What happens in firms without marketing departments
14

?

“Marketing is too important to be left to the marketing department”

David Packard
(1912-1996)
“Big M” vs. “small m” marketing

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Marketing creates shareholder value

Cash Flows

Enhance
Cash Flow

How?
Accelerate
Cash Flow

Reduce Risk
(Decrease Vulnerability
& Volatility of Cash Flow)

Source: Srivastava, Shervani and Fahey

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Time

“Marketing is everything.” Regis McKenna

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What is marketed?

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What is marketed?

Goods

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What is marketed?

Services

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What is marketed?

People

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What is marketed?

Places

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What is marketed?

Ideas

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Agenda

• Introduction
• Course overview
• What is marketing?
• Marketing management framework
• The evolving landscape

24

The G-STIC framework

Goal
Strategy

Focus of the course
Tactics
Implementation
Control