MARKETING MANAGEMENT MARKETING 840 Spring 2012

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MARKETING MANAGEMENT

MARKETING 840

Spring 2012

Contact: deborah@cypresstree.com (email); (608) 770-0502 (cell)

Office Hours: by appointment

Course Overview

Peter Drucker, groundbreaking business writer, consultant and teacher, famously said:

“The business enterprise has two and only two basic functions: marketing and innovation. Marketing and innovation produce results; all the rest are costs.”

If Drucker is right, marketing as a functional area should be a training ground for leaders and a hub of influence within the organization. Further, the processes of marketing should be strategic, cross-functional and bottom-line oriented, helping everyone “do” marketing—with the marketing function becoming a powerful engine for growth.

Yet this is not the case in many firms today. In fact, often “marketing” is viewed as a department—one that does little more than act as a brochure factory, or maintain the company’s Facebook page and Twitter account, or otherwise participate in activities that are viewed as ancillary in the pursuit of growth.

This perspective is limiting, however. The most successful firms frame marketing as strategic and not just limited to tactics such as advertising, social media, the creation of a cool logo and business cards, or other

“fluff” as some have called such activities. Drucker was not wrong in placing marketing in the context of a key strategic engine for results! And in line with his view, marketing is not something that just lives in one departmental silo. Everyone, no matter the functional area in which they work, must understand how marketing works, how everyone contributes to marketing, and the critical role marketing should play in organizational success

The primary objective of this course is to provide you with an understanding of the key decisions that comprise strategic marketing. A related objective of the course is to identify the process by which strategic and tactical marketing decisions are made. As part of addressing both of these objectives, we will examine the nature of tactical decisions tied to product, pricing, distribution channels and promotion—and how these decisions are interrelated.

Overall this course will provide you with a framework for evaluating marketing problems and making marketing decisions. Since this is a core course the emphasis will be on introducing you to a broad range of topics rather than going in depth on any particular one. However, if a certain topic is of special relevance to you, I will be happy to provide you with additional reading material.

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A variety of tools and teaching approaches will be used to achieve the course objectives. For some topics, I will rely on conventional lecturing. Other topics are best covered in a more experiential fashion. Here, we will rely on analyses of actual company cases (see below).

Course Materials

(a) Coursepacket

No single textbook adequately covers the scope of this course. Instead, a packet of readings and cases has been developed. Coursepacket contents are listed on page 6 of this syllabus. Cases offer an opportunity for practical application of the concepts introduced through lectures and readings. Using cases also has the benefits of (1) giving the class a common knowledge base for discussion, and (2) enabling each student to develop a “mental map” of marketing decision making.

The cases used in this course have all been selected from current MBA-level courses at the Harvard

Business School. They span a range of industries, products, and company contexts. These cases are unique in that they describe highly challenging, yet generic, marketing problems which actual firms had to deal with at particular points in time. The challenge and the ultimate learning follow from analyzing the situation as it existed for the firm at that particular time. As such, hindsight is not admissible evidence in case analysis. The main purpose of using cases is to conduct analysis, not to build a collection of facts about industries, firms and products.

For some of the cases, I have been able to find out what the firm did to solve the problem in question— and I will share that information with you. However, the “what happened” scenarios should not be viewed as evidence of what the best solution is.

For each case, I will give a short summary of main takeaways after the class discussion. Please note that

I will not post or distribute the slides that I use for these summaries. The reason for this policy is that if case summaries end up in the public domain, there might be an “official solution” floating around—and the pedagogical value of the case in question would be greatly diminished. You are, however, strongly encouraged to take notes, both during the discussion of the case itself and the summary.

All of the cases should be prepared for class discussion. By “prepared,” I do not mean simply reading through the case prior to class. Rather, I expect you to think deeply about the problems, generate recommendations, and develop analyses to support your recommendations. To assist you in your preparation, a set of discussion questions has been developed for each case. However, I expect your preparation to go well beyond thinking about these particular questions.

(b) Preparation Guidelines

Each Thursday you will receive detailed Preparation Guidelines for the coming week (i.e., the next two class sessions). At times these guidelines will include business press articles, mini-cases, or other supplementary materials that you should read and address as part of your preparation for upcoming class meetings.

The Preparation Guidelines provide more detail than what is listed on the Course Schedule within this syllabus, and also reflect the most current read on what is happening in the course. Always refer to them when planning your reading, homework and preparation for the coming week.

If you wish to prepare more than one week ahead, refer to the Course Schedule and also talk with the instructor to come up with a detailed plan for class preparation.

(c) Course Website

Preparation Guidelines and related materials will be posted at the Course Website (in CARMEN).

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Bases for Evaluation and Feedback

Assignment Weight

1. Midterm Exam 40%

2. Final Exam 40%

3. Class Participation (e.g., case discussions plus occasional web-based & in-class exercises) 20%

Exams

80% of your final course grade will be based on two exams. The first will be held on Tuesday May 8 and the second on Tuesday May 29. Format for the midterm on May 8 will be multiple choice and short answer/essay; questions will come from assigned readings, cases and material covered in class.

The final exam on May 29 will involve application of course concepts via a case analysis. The case will be available ahead of time so that students can read it and familiar themselves with the details of the case.

Class Participation

Your class participation, which will count 20% toward your final grade , will be based on the following components: (a) Attendance, (b) participation in class discussion, plus (c) completion of online surveys and exercises (when applicable)

(a) Attendance

Class attendance is an integral and obvious component of class participation. Your participation is not suggested; it is required. Unexcused absences will lower your grade.

You will receive points for each class you attend. Everyone is allowed one absence across the quarter

(with the exception of exam meetings) with no questions asked—it will not be counted as unexcused, independent of the reason you were absent.

Excused absences involve writing me (beforehand, except in cases of emergency) and obtaining my written permission to miss class. In terms of policy and practice, I make every effort to collaborate with students and accommodate reasonable needs as best as I can. Your collaboration is necessary and expected, as well.

If you have to miss class on a particular day, please make sure to get notes from a classmate. In addition, you can email me to set up a call or otherwise discuss any questions you may have regarding the material you missed.

(b) In-Class Discussion

Each one of you is expected to contribute to class discussions when we meet as a group.

To a large extent, learning in this class is related to your willingness to expose your insights and viewpoints to the critical judgment of your classmates. Do not expect to do well in this course by simply coming to class, taking notes, and synthesizing, recalling, or reproducing these notes for my evaluation on tests. To do well, you must learn from active participation in class discussions. In evaluating your participation, I use several criteria such as:

 does the comment merely restate the facts or does it provide new insights?

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 does the comment add to our understanding of the issues or is it frivolous . . . an attempt to get "air time" that day? (i.e., you have only one thing to say, and want to say it no matter how irrelevant it is to the on-going discussion.)

 is the comment timely and linked to the comments of others?

 is the comment action-oriented, or simply a descriptive statement?

 does the comment move the discussion along by giving a new perspective?

 is the comment clear and concise, or obscure and rambling?

 does the comment reflect a concern for maintaining a constructive and comfortable classroom atmosphere?

Clearly, I emphasize quality of participation a lot more than quantity. It is entirely possible that you can participate a great deal and receive a low grade for class participation. (But also, and as a reminder, you can’t participate if you are not in the classroom—so if your participation is great when you are present, but you miss class often—you will receive a low class participation score.)

One final note regarding amount of participation: If at any time you feel that you wish to participate more—but feel that for some reason you are prevented from doing so—please let me know immediately so that you and I can address the situation.

There is a distinct learning curve associated with case analyses, and experience suggests that you will find it increasingly easy to participate in the discussion as the semester goes on. If, however, the idea of speaking in front of a large class is discomforting, or if you have difficulties with participating due to the pace of the discussion relative to your language skills, please let me know. I will be happy to work with you to find solutions.

(c) Online Surveys, In-class Exercises, etc.

On occasion I may ask you to participate in a class-related survey, exercise, etc. These are not graded other than to note your participation.

Course Administration

If at any point during the course you have questions regarding course-related matters, do not hesitate to contact me in person, by email or by phone to arrange an appointment.

Class sessions will be devoted to probing, extending, and applying the material in the readings and assigned cases. It is your responsibility to be prepared for each session. If you are not prepared to participate in the day's discussions, notify me prior to class to avoid any embarrassment.

Please also note, use of laptop computers, smartphones or other electronic devices is not allowed in class without prior permission of the instructor.

Three requests:

1) Please make sure to arrive on time for class. Specifically, please be in a seat (any seat—I don’t use a seating chart)—by the beginning of the session. Late arrivals are extremely disruptive, both to me and to the class. If you know that you for some reason will be arriving late (or departing early) on a given day, please let me know in advance.

2) I may occasionally forget, but deep down I know that there are things going on in your lives in addition to this class! If you occasionally have to miss a class, please make sure to get notes from a fellow student, both regarding substantive and administrative issues.

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3) Please continue to display your nameplates during the semester. I will manage to learn your names relatively quickly, but having the names displayed helps me facilitate the class discussions. Having the names visible also helps promote interaction among students.

Academic Integrity

I want to emphasize that you are not allowed to use any materials (e.g., class notes, old case reports, notes on cases) from prior sections of this course. Also, do not use materials from other schools or universities or consult students who have taken or are taking similar courses at other universities. This policy also applies to providing information to others (e.g., to students in future classes.)

Instructor Bio

Dr. Deborah Mitchell

Visiting Associate Professor

Deborah Mitchell has a unique background that combines academic and industry expertise.

She received her Ph.D. in Marketing and Behavioral Science from the University of Chicago and began her academic career as a faculty member at the Wharton School of the University of Pennsylvania. She has held faculty positions at Stanford University Graduate School of Business and the Johnson Graduate School of

Management (Cornell). Most recently she has been teaching at the Wisconsin School of Business at the

University of Wisconsin-Madison, where she has taught various marketing courses and was awarded

“School of Business Teacher of the Year” by full-time MBA students two years in a row. Deborah’s research has been published in the Journal of Consumer Research, Journal of Consumer Psychology and

Journal of Advertising .

In addition to her academic career, Deborah is an internationally known marketer and consultant with expertise in creating market-focused organizations. As president of Cypress Consulting, Ltd, Deborah has worked closely with industry leaders. Clients have included Time-Warner, CNN, Bristol Meyers Squibb,

General Motors, TIAA-CREF and Syngenta. Her consulting work has focused on building and managing brand-based change initiatives.

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COURSE: MKT 840 / Spring 2012

1.

2.

3.

4.

COURSEPACKET CONTENTS

Kumar, “From Marketing as a Function to Marketing as a Transformational Engine”

Virden, “Can This High-Tech Product Sell Itself?”

Harvard Business School Note on Low-Tech Marketing Math

Harvard Business School Note on Marketing Strategy

5.

6.

7.

8.

Yankelovich and Meer, “Rediscovering Market Segmentation"

Anderson, Narus and Van Rossum, “Customer Value Propositions in Business Markets”

CASE: Leadership Online: Barnes and Noble (A)

“Brand Positioning and Brand Creation,” from Brands and Branding

9. CASE: BMW: The Ultimate Driving Machine Seeks to De-Yuppify Itself

10. CASE: Mercer Management Consulting’s “Grow to Be Great”

11. Day, “Assessing Competitive Arenas”

12. Harvard Business School Note on Analyzing Consumer Perceptions

13. CASE: Land Rover N.A.

14. Jones and Sasser, “Why Satisfied Customers…”

15. Harvard Business School Note on Customer Profitability and Lifetime Value

16. CASE: A Taste of Frankenmuth

17. Gourville, “Eager Sellers and Stony Buyers”

18. Krubasik, “Customize Your New Product Development”

19. CASE: TiVo (Wathieu and Zoglio)

20. Smith and Nagle, “Financial Analysis”

21. Nagle and Holden, “Economic Value Analysis”

22. CASE: Curled Metal

23. CASE: Goodyear: The Aquatred Launch

24. CASE: Mountain Dew: Selecting New Creative

25. Li & Bernoff, “Talking With the Groundswell”

26. Abraham and Lodish, “Getting the Most from Your Advertising and Promotion”

27. Keller, “The Brand Report Card”

28. CASE: Charles Schwab, the “Talk to Chuck” Campaign

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Course Schedule

1

Date Topic and Related Readings from Coursepacket

Part I: Marketing and the Firm

Tues March 27

(Week 1)

Course Introduction

READ: Kumar, “From Marketing as a Function to Marketing as a Transformational

Engine;”

Virden, “Can This High-Tech Product Sell Itself?”

Thurs March 29 Introduction to Marketing Management

READ: Harvard Business School Note on Low-Tech Marketing Math

Harvard Business School Note on Marketing Strategy

Tues April 3

(Week 2)

Customer Analysis and Segmentation

READ: Yankelovich and Meer, “Rediscovering Market Segmentation”

Anderson, Narus and Van Rossum, “Customer Value Propositions in

Business Markets”

Customer Value Strategy

CASE: Leadership Online: Barnes and Noble (A)

Thurs April 5

Tues April 10

(Week 3)

Thurs April 12

Memory and Brand Image

READ: “Brand Positioning and Brand Creation”

Positioning

CASE: BMW: The Ultimate Driving machine Seeks to De-Yuppify Itself

Part II: Pathways to Growth

Tues April 17

(Week 4)

Thurs April 19

Tues April 24

(Week 5)

Thurs April 26

Tues May 1

(Week 6)

What is Necessary for Growth?

READ: (See preparation guidelines for Week 4, to be distributed in Week 3)

CASE: Mercer Management Consulting’s “Grow to be Great” (A)

Growing in a Competitive Context: “We’re Not in This Thing Alone”

READ: Day, “Assessing Competitive Arenas”

Harvard Business School Note on Analyzing Consumer Perceptions

CASE: Land Rover N. A.

Customer Management Strategy: “Leveraging the Loyalists for Growth”

READ: Jones and Sasser, “Why Satisfied Customers…”

Business Note

CASE: A Taste of Frankenmuth Thurs May 3

Tues May 8

(Week 7)

MIDTERM EXAM

1

Note, cases and readings should be completed before the listed Session date. Cases are always highest priority. If you find yourself in a time bind and unable to complete all assigned readings, make sure you read the case and review the case study questions.

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Thurs May 10

Tues May 15

(Week 8)

Thurs May 17

Tues May 22

(Week 9)

Thurs May 24

Tues May 29

(Week 10)

Part III: Tactics and the “Marketing Mix”

CASE: TiVo

READ: Gourville, “Eager Sellers and Stony Buyers”

Krubasik, “Customize Your New Product Development”

CASE: Curled Metal

READ: Smith and Nagle, “Financial Analysis”

Nagle and Holden, “Economic Value Analysis”

CASE: Goodyear: The Aquatred Launch

CASE: Mountain Dew: Selecting New Creative

CASE: Charles Schwab, the “Talk to Chuck” Campaign

READ: Li and Bernoff, “Talking with the Groundswell”

Abraham and Lodish, “Getting the Most from Your Advertising and Promotion”

Brand Card”

FINAL EXAM

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THE STUDENT-PROFESSOR CONTRACT FOR LEARNING

THE STUDENT'S SIDE

- reading and synthesis of material outside of class

- the "4 P's" of involvement in classroom discussions:

2. Presence

3. Promptness

THE PROFESSOR'S SIDE

- Concern and devotion to students

- Striving to make the course a satisfying development experience.

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