MarkStrat Final
Presentation
Industry 1
Team U
Marilyn Ho
Mario Kojima
James Kong
Patricia Lee
Annie Liu
1
Agenda





Summary of results
Goals and objectives
Long-term strategy
Notable shifts in tactics
Conclusion and lessons learned
2
Starting Point




SULI market share – 18.4% (2nd )
SUSI market share – 3.7% (Last)
Total Sonite market share: 22.2% (3rd)
ROI: 2.76 (1st)
3
Summary of Results
NET CONTRIBUTION
250,000
U
200,000
O
150,000
100,000
50,000
E I
0
A
-50,000
0
1
2
3
4
5
6
7
8
9
Period



Total Sonite market share: 24.8% (3rd)
Total Vodite market share: 52.3% (1st)
ROI: 11.13 current (1st); 6.41 cumulative (1st)
4
Goals and Objectives




Achieve #1 rank in industry
Maximize profits
Optimize portfolio to take advantage
of market growth opportunities
Develop marketing expertise
5
Long-Term Strategy
Segmentation: Tailored products for
selected segments


Customer-driven decision-making
Strategic competitive analysis
6
Customer-Driven Decision-Making


Paid attention to customer’s ideal
attributes and their evolution
Recognize trade-offs between customer
wants and company profitability
7
SUSI
Perception without considering price - Others
1.4
1.2
SAMA
1.0
SIRO
SIBI
0.8
SUSI
0.6
SOLO
SIRB
0.4
SEOS
0.2
0.0
0
1
2
3
4
5
6
7
Perception considering price - Others
1.4
1.2
SAMA
1.0
SIRO
0.8
SIBI
SUSI
0.6
SOLO
SIRB
0.4
SEOS
0.2
0.0
0
1
2
3
4
5
6
7
8
SULI
Perception without considering price
High Earners
Professionals
1.2
1.0
Singles
0.8
1.6
0.7
1.4
1.2
0.6
0.8
SEMI
SOLD
0.6
SOLI
SULI
0.4
0.2
SEMI
0.5
SOLD
0.4
SOLI
0.3
SULI
0
1
2
3
4
5
6
SOLI
0.6
0.4
0.1
0.2
SULI
0.0
0
7
SOLD
0.8
0.2
0.0
0.0
SEMI
1.0
1
2
3
4
5
6
0
7
1
2
Perception considering price
Professionals
High Earners
4
5
6
7
Singles
2.5
0.9
1.2
3
0.8
1.0
2.0
0.7
0.8
0.6
0.4
SEMI
0.6
SEMI
SOLD
0.5
SOLD
SOLI
0.4
SOLI
SULI
0.3
SULI
0.2
0.2
SEMI
1.5
SOLD
SOLI
1.0
SULI
0.5
0.1
0.0
0.0
0.0
0
1
2
3
4
5
6
7
0
1
2
3
4
5
6
7
0
1
2
3
4
5
6
7
9
VODITE
Perception without considering price
Innovators
Early Adopters
2.5
2.0
Followers
1.8
1.8
1.6
1.6
1.4
VELO
VIRO
1.5
VOVO
1.0
VUDU
VUCK
0.5
0.0
1.4
VELO
1.2
VIRO
1.0
VOVO
0.8
VUDU
0.6
VUCK
1
2
3
4
5
6
VOVO
0.8
VUDU
0.6
0.4
0.2
0.2
7
VIRO
1.0
0.4
VUCK
0.0
0.0
0
VELO
1.2
0
1
2
3
4
5
6
0
7
1
2
3
4
5
6
7
Perception considering price
Early Adopters
Innovators
Followers
1.8
1.6
2.0
1.6
1.4
1.8
1.4
VELO
1.2
1.0
0.8
0.6
1.4
VELO
VIRO
1.0
VIRO
1.2
VIRO
VOVO
0.8
VOVO
1.0
VOVO
VUDU
0.6
VUDU
0.8
VUDU
VUCK
0.6
VUCK
VUCK
0.4
0.4
0.2
0.2
0.0
0.0
0
1
2
3
4
5
6
7
1.6
1.2
VELO
0.4
0.2
0.0
0
1
2
3
4
5
6
7
0
1
2
3
4
5
6
7
10
Strategic Competitive Analysis


Anticipatory competitive
positioning
Competitive benchmarking
11
Anticipatory Competitive Positioning
Example: positioning SUSI in the Others segment
77
7
SONOSONO
SELF
SONO
SONO
SONO
Bu Bu
SELF
SELF
Bu Bu
Bu
SELF
SOLD
SOLD SOLD
SOLD
Pr
Pr
SEMI
SEMI
SEMI
SEMI
Pr Pr
SAMC
SAMC
MAP
MAP
MAP
antic study)
study)
antic
antic
study)
SOLD
SULI
SULI
SULI
SULI
SULI
SOLI
SOLI
Pr
Si
Si
Hi
Si
SAMD
Hi
Hi
Hi
Si
Si
44
4
SIRB
Design
ss
s ==
= Design
Design
SAMD
= Power
Power
==
Power
SALT
SALTSALT
SALT
SALT
SAMA
SAMA
SOLO
SUSI
SOLO
Ot
Ot
Ot
SUSI
SAMA
SUSI
SIRO
SIRO
SIRO
SUSI
SIRO
SIBI
SIBI
SIBI
SIBI
SIBI
SUSI
SAMA SAMA
11
1
1
11
4
44
7
77
12
Competitive Benchmarking
Research & Development (Period 1-3)
RESEARCH AND DEVELOPMENT
5,000
Example: entry into Vodite market
Period 3
- complete our first Vodite
- observe Teams A & O; anticipate
they are developing a lower-end
product
4,500
A
U
4,000
3,500
O
3,000
2,500
2,000
1,500
Period 4
- launch our Vodite
- expect Team A and/or O will
launch this period as well
1,000
500
E
I
0
0
1
2
3
4
5
Period
13
Notable Shifts in Tactics: Sonite
VALUE MARKET SHARES - SONITE MARKET
35
O
30
#1
E
25
U
#2
20
15
A
10
5
I
0
0
1
2
3
4
5
6
7
8
9
Period
1.
2.
Situation: Drop in market share despite better
product and lower price
Decision: Increased SULI’s mass merchandise
distribution sixfold
Situation: Drop in market share due to introduction of
new brands without enough marketing support
Decision: Drop new brands.
14
Notable Shifts in Tactics: Vodite
VALUE MARKET SHARES - VODITE MARKET
100
90
#1
80
70
#2
60
U
50
40
30
O
20
I
10
E
0
0
1.
2.
1
2
3
4
5
6
7
8
9
Situation: Drop in market share despite introduction of new
brand for Followers
Decision: New brand is closer to Innovators & Early Adopters,
so reposition brands.
Situation: Drop in market share due to competitive pressures
and underproduction
Decision: Be more aggressive with production.
Period
15
Conclusion and Lessons Learned

Company position strengthened by
consistent strategy:



high growth markets
continuous reassessment of tactical
implementation decisions
Developed better understanding of
advertising, distribution, and
production planning
16