1
DEVELOPING AND EXECUTING THE MARKET STRATEGY, B7614
http://kmc.kaltura.com/index.php/kmc/preview/partner_id/24852/uiconf_id/1444
3641/entry_id/1_gyj4wg4z/embed/legacy?
Block Week: February 24 – February 28, 2014
Warren 309/Uris 301
.
Professor Noel Capon
501 Uris Hall
3022 Broadway
Graduate School of Business
Columbia University
TN: 1-212-854-3466
fax: 1-212-854-7647
email address: nc7@columbia.edu
Web Site: www.axcesscapon.com
Executive Assistant: Dorothy McIvor
email address: dm17@columbia.edu
TN: 1-212-854-7173
Professor Martin Schleicher
Uris 5th floor, cubicle 5T
email address: mschleicher13@gsb.columbia.edu
Dr. Kishore Pasumarty
email address: pasumarty@yahoo.com
Course Description
This capstone market strategy course is especially designed for both EMBA and MBA students. The
course is offered in an intensive block-week format. The course combines significant market strategy
content together with Markstrat, a market strategy simulation. Course hours are 9.00 a.m. – 6.30/45
p.m., Monday through Thursday; we finish somewhat earlier on Friday. Students are required to
complete course pre-work and to set aside time for evening work, Monday through Thursday.
The course builds upon the core marketing courses, B7601/02 and B6601/02. The course goal is to
prepare you for making critical strategic marketing decisions in today’s modern corporation. The
environment firms face is increasingly complex and fast changing. Hence, the job of attracting,
retaining, and growing customers, and increasing shareholder value, is ever more important but ever
more difficult. Clear thinking and decisive decision-making are critical currencies for entrepreneurs and
practicing managers.
In increasingly difficult environments, thoughtful managers can construct substantial numbers of
strategic options. A critical consequence of this variety is that managers must learn how to allocate and
concentrate available resources. This task is particularly challenging for marketing executives,
positioned at the crucial interface between senior management, with its diverse mix of motives and
responsibilities, other functional areas, and constantly evolving forces in the external environment.
2
To secure differential advantage, marketing strategies and plans must be data driven, analytically based,
comprehensive, actionable, and flexible, but also understood and supported by senior management. With
such diverse requirements, it is no surprise that many well-conceived market strategies and
implementation plans and programs fall far short of achieving their objectives.
This course is designed to help you develop the knowledge and skills necessary to create and implement
market strategy. We emphasize planning for a three-to-five year horizon. You receive hands-on
experience in using well-developed processes to create market strategy. Course content is particularly
relevant for students who seek responsibility for developing and/or assessing market strategy as owners,
employees, and/or consultants.
Specific course objectives include:
• Provide insight into marketing’s strategy development role at high organizational levels;
• Enhance the knowledge, skills, and abilities (KSAs) necessary to understand and apply critical
frameworks, concepts, and methods for developing effective market strategy;
• Gain practical experience in applying systems and processes to develop market strategy;
• Discuss internal and external barriers to strategy implementation, and approaches for
overcoming these barriers;
• Enhance student skills in verbal and written persuasion.
For the Markstrat simulation, <http://www.stratxsimulations.com>, each student is assigned to a firm
that competes against four other firms in its industry. The starting positions of firms within the industry
are different. Each firm makes decisions over eight periods (years). You secure marketing research
information, assess likely competitor reactions to your potential moves, and make strategic marketing
decisions accordingly. You also provide information on your plans and decision-making processes to the
Markstrat administrator. Because you play the simulation during eight periods, you are able to
measure the results (sales, market share, profit contribution) of your decisions, and modify your
strategies in real time.
Four group assignments are (due with):
 Assignment 1: Short-term planning. Pro Forma P&L for one of your brands (Decision 2)
 Assignment 2: Competitive insight. Pro Forma P&L for a competitor brand (Decision 3)
 Assignment 3: Perceptual Mapping (between Decisions 3 and 4)
 Assignment 4: Firm Assessment (Decision 4)
 Assignment 5: Medium-term planning. Pro Forma P&L for your firm (Decision 6)
Each assignment is explained in a separate document, and is posted on Canvas with supporting files. All
assignments MUST be emailed to <mschleicher13@gsb.columbia.edu>. Be sure to include your firm
identifier -- industry and firm letter – on each assignment.
At the conclusion of the simulation, each team prepares a presentation -- objectives, strategies, action
programs, and performance -- and identifies key learning. Presentations will be graded.
Because of the concentrated nature of the course, students are expected to clear their calendars for the
entire week. Students will have time to make/take critical telephone calls in mid-morning/afternoon
3
breaks and at lunchtime. Students are expected to commit to the course; the reward for commitment is
significant learning.
4
Course Materials
The course is based on experience in working with major corporations to develop market strategy
making skills in senior and mid-level executives. Student learning comes from both lecture/discussion
sessions and from the role the Markstrat simulation plays in providing you with experience in
formulating market strategy. You will receive a code to enable you to secure the Markstrat manual;
you should bring the manual – printed or virtual -- to the first class session:
Stratx, The MARKSTRAT Student Handbook (msh), Boston, MA.: Stratx, 2012
The key concepts and ideas are in the course textbook, Managing Marketing in the 21st Century;
translation of the ideas to developing a market strategy is in a companion volume, The Virgin Marketer.
These books are available in printed/pdf-download (same prices) from www.axcesscapon.com.
Managing Marketing in the 21st Century is also available to read online FREE for 14 days, then on a
Pay-What-You-Think-It’s-Worth basis. Books for the course are:
Capon, Noel, Managing Marketing in the 21st Century (3rd edition) (mm21c), Bronxville, NY:
Wessex, 2012: $29.70
Capon, Noel and Andrew Yap, Student Study Guide for Managing Marketing in the 21st Century (3rd
edition) (mm21c-ssg), Bronxville, NY: Wessex, 2013: $19.70
Capon, Noel, The Virgin Marketer (3rd edition) (tvm), Bronxville, NY: Wessex, 2013: $24.70
Note: Students may find it useful to prepare for the course by reading:
Capon, Noel, The Marketing Mavens, New York: Crown Business, 2007 (an easy read designed for
practicing managers)
Students may secure PowerPoint slides for lecture/discussion sessions from Canvas.
Related Materials that students may also find valuable are:
Aaker, David A. Strategic Market Management, Free Press, 1995
Day, George S., The Market Driven Organization: Understanding, Attracting, and Keeping Valuable
Customers, Free Press, 1999
Fahey, Liam, Outwitting, Outmaneuvering and Outperforming Competitors, New York: Wiley, 1999
Hulbert, James, Noel Capon, and Nigel Piercy, Total Integrated Marketing, New York: Free Press,
2003
Team Membership
There are various ways to approach team formation for the Markstrat simulation. Based on
experience and student feedback, the instructor will use the following system. Students will self-select
into teams for Markstrat. However, Markstrat has the constraint that five numerically balanced
teams are required for an industry. The instructors will massage proposed team membership to fit the
Markstrat constraint.
Class Participation
Students are expected to attend each and every class session and team meeting. If you cannot attend
because of an emergency situation, you must advise an instructor beforehand. The class participation
5
element of the grade depends on the quality of your preparation and contributions. Highly valued
contributions include asking insightful questions about videos, lecture/discussion material, and assigned
chapters and readings; redirecting the discussion when the current point has been adequately covered;
and being deeply involved in group discussions for Markstrat decisions.
Assigned videos and textbook chapters are intended to provide the frameworks for understanding
fundamental strategic marketing concepts and to offer examples of their usefulness. The videos and
textbook chapters are intended to prepare you for the Markstrat simulation. Please ensure you
watch the assigned videos and read the appropriate chapters prior to class. Class
sessions are designed to explore issues raised in the videos. Assigned student groups are responsible for
initiating class discussion, presenting related examples from their experience, formulating questions for
the professor, and generally seeking to delve more deeply into the core topic and related topics. Student
groups should assume that ALL students have watched the videos and use the videos as a starting
point. Student groups should NOT simply regurgitate material from the videos.
Lecture/discussion sessions help prepare and support students during the Markstrat simulation. Please
reread this paragraph to ensure you prepare appropriately.
Important Note. Professor Capon has an extremely bad memory for names. Hence, please be sure to
bring a name card to EACH and EVERY class session.
Course Evaluation
Class Participation
Markstrat Participation and Final Presentation
In-class Assignments
Final Examination
20% (individual)
40% (groups)
20% (groups)
20% (individual)
***IMPORTANT***
Read the MARKSTRAT Manual and Bring It to the First Class
Watch MARKSTRAT video
6
CLASS SCHEDULE
Date
Time
Before the course starts
Topic:
Secure MARKSTRAT Manual
Watch video: Introduction to Markstrat
http://cbs360.gsb.columbia.edu:8080/ess/echo/presentation/6e5b7de5-58a1-421d-bbd4-1ad57f467d27
Readings: msh, Chapters 1 to 5
Watch video: Managing Markets Strategically
http://cbs360.gsb.columbia.edu:8080/ess/echo/presentation/cb13c40c-2ed0-4621-8cfe-911408bcb7d5
Readings: mm21c, Chapters 1, 2
Monday
February 24
Warren 309
9.00 a.m.
9.15 a.m.
10.00 a.m.
10.15 a.m.
12.00 p.m.
12.00 p.m.
1.00 p.m.
2.00 p.m.
2.15 p.m.
3.45 p.m.
4.00 p.m.
6.30 p.m.
6.30 p.m.
Course Introduction
Bring laptops to class
Introduction to MARKSTRAT -- 1 Prof. Capon
Form MARKSTRAT teams
Break
MARKSTRAT: Make Decision 1
MARKSTRAT: Decision 1 due
Lunch
Managing Markets Strategically: Marketing Imperatives, Marketing
Principles, and External Orientation – Prof Capon
Break
Introduction to MARKSTRAT -- 2 -- Martin Schleicher
Readings: From http://www.stratxsimulations.com
Break
MARKSTRAT: Make Decision 2 and Complete Assignment 1
MARKSTRAT: Decision 2 and Assignment 1 due
End of Day
Preparation Watch video: Determine and Recommend which Markets to Address
http://cbs360.gsb.columbia.edu:8080/ess/echo/presentation/8956c90a-007d-45b7-a9ef-098826e459c2
Readings: mm21c, Chapter 7
Tuesday
February 25
Uris 301
9.00 a.m.
10.15 a.m.
10.30 a.m.
11.15 a.m.
12.30 p.m.
3.00 p.m.
3.00 p.m.
3.15 p.m.
4.00 p.m.
6.30 p.m.
Determine and Recommend which Markets to Address – Prof Capon
Student presentations: Industry 1, Firm A; Industry 2, Firm E
Break
MARKSTRAT: Decision 2 Results and Discussion -- Martin Schleicher
MARKSTRAT: Make Decision 3 and Complete Assignment 2
Working Lunch
MARKSTRAT: Decision 3 and Assignment 2 due
Break
MARKSTRAT: Decision 3 Results and Discussion -- Martin Schleicher
MARKSTRAT: Make Decision 4
MARKSTRAT: Decision 4 due
7
6.30 p.m.
Preparation
End of Day
MARKSTRAT: Assignment 3 (in-class discussion)
Case: The Arden Company
Watch video: A Complete Market Strategy
http://cbs360.gsb.columbia.edu:8080/ess/echo/presentation/a4691f70-3f85-4209-b6c6-560cfe47e7f7
Readings: mm21c, Chapters 8, 9
Wednesday
February 26
Uris 301
9.00 a.m.
10.15 a.m.
10.30 a.m.
11.45 p.m.
11.45 p.m.
12.30 p.m.
1.30 p.m.
2.45 p.m.
3.30 p.m.
3.45 p.m.
6.30 p.m.
6.30 p.m.
7.30 p.m.
Case: The Arden Company – Prof Capon
Student presentations: Industry 1, Firm E; Industry 2, Firm I
Questions: What should Arden/Columbia do? Why?
Break
MARKSTRAT: Prepare Assignment 3
MARKSTRAT: Assignment 3 due
MARKSTRAT: Decision 4 Results and Discussion -- Martin Schleicher
Lunch
A Complete Market Strategy – Prof Capon Student presentations:
Industry 1, Firm I; Industry 2, Firm O
MARKSTRAT: Discuss Assignment 4 -- Martin Schleicher
Break
MARKSTRAT: Make Decision 5
MARKSTRAT: Decision 5 due
Reception for Course
End of Day
Preparation Watch video: Managing through the Life Cycle
http://cbs360.gsb.columbia.edu:8080/ess/echo/presentation/5551e20c-c4ab-4050-ab51-f9e11f5bbb3d
Readings: mm21c, Chapter 10
Prepare questions for Ask the Professor session
Thursday
February 27
Uris 301
9.00 a.m.
10.15 a.m.
10.30 a.m.
11.15 a.m.
12.30 p.m.
2.45 p.m.
2.45 p.m.
3.00 p.m.
4.00 p.m.
4.30 p.m.
6.30 p.m.
6.30 p.m.
Managing through the Life Cycle – Prof Capon
Student presentations: Industry 1, Firm O; Industry 2, Firm U
Break
MARKSTRAT: Decision 5 Results and Discussion -- Martin Schleicher
MARKSTRAT: Make Decision 6 and Complete Assignment 5
Working Lunch
MARKSTRAT: Decision 6 and Assignment 5 due
Break
Ask the Professor! – Prof Capon
MARKSTRAT: Decision 6 Results and Discussion -- Martin Schleicher
MARKSTRAT: Make Decision 7
MARKSTRAT: Decision 7 due
End of Day
8
Preparation Watch video: Monitor and Control
http://cbs360.gsb.columbia.edu:8080/ess/echo/presentation/32cd44a9-796e-4550-80d1-7340ebb804ba
Readings: mm21c, Chapter 22
Friday
February 28
Warren 310
9.00 a.m.
9.30 a.m.
11.00 a.m.
11.00 a.m.
11.15 a.m.
12.30 p.m.
1.30 p.m.
2.30 p.m.
2.45 p.m.
5.30 p.m.
MARKSTRAT: Decision 7 Results and Discussion -- Martin Schleicher
MARKSTRAT: Make Decision 8
MARKSTRAT: Decision 8 due
Break
Monitor and Control – Prof Capon
Student presentations: Industry 1, Firm U; Industry 2, Firm A
Working Lunch and Prepare Final MARKSTRAT Presentation
Prepare Final MARKSTRAT Presentation
Break
Final MARKSTRAT Presentations – 20 minutes per firm – Prof Capon;
Martin Schleicher
End of Course
Note: The course ends when the course ends. It does not end when your Markstrat team has made its
presentation!