Class: 11th Com J
THE INDIAN HIGH SCHOOL
JANUARY - 2013
THE INDIAN HIGH SCHOOL, DUBAI
Certified that this project report “Corporate Wars” is the bonafide work of “KARAN NARWANI” who carried out the project work under my supervision.
Firstly, I would like to thank my marketing teacher Mrs. Megha Rohra who gave me the guidelines of this project.
Secondly, I would like to thank my parents and friends who helped me in collecting the pictures and giving me a lot of information.
Thirdly, I would like to thank the respondents for their co-operation in answering the questionnaire
Corporate war is the war between opponent firms who compete with each other for greater market share. There are always 2 groups involved in a corporate war and they are: The target company and the competitors. Whenever there is competition the first thing the target company does is to develop its marketing plans based on what they think their opponent will do. The companies formulate two strategies: * The first being their opening move
* The subsequent moves are based on the competitor’s strategy
But in any case the company’s success depends upon how well they prepare their marketing strategies. To do this effectively a company must carefully study its competitors as well as its potential and actual customers. Besides this the company must also identify its weaknesses. The company should also decide as to which competitor should be attacked and which one to be avoided. According to Philip Kotler:
* Poor firms ignore their competitors
* Average firms copy their competitors
* Winning firms lead their competitors
Marketing warfare strategies are a type of strategies, used in business and marketing, that try to draw parallels between business and warfare, and then apply the principles of military strategy to business situations. In business we do not have enemies, but we do have competitors; and we do not fight for land, but we do compete for market share. Types of marketing warfare strategies:-
Offensive marketing warfare strategies - They are strategies designed to obtain some objective, usually market share, from a target competitor. In addition to market share, an offensive strategy could be designed to obtain key customers, high margin market segments, or high loyalty market segments. Fundamental principles:-
1. Assess the strength of the target competitor
2. Find a weakness in the targets position. Attack at this point. 3. Launch the attack on as narrow a front as possible. Whereas a defender must defend all their borders, an attacker has the advantage of being able to concentrate their forces at one place. 4. Launch the attack quickly.
Types of offensive marketing warfare strategies:-
* Frontal Attack - This is a direct head-on assault. It usually involves marshaling all your resources including a substantial financial commitment. All parts of your company must be geared up for the assault from marketing to production. It usually involves intensive advertising assaults and often entails developing a new product that is able to attack the target competitors’ line where it is strong. It often involves an attempt to “liberate” a sizable portion of the target’s customer base. * Envelopment Strategy (also called encirclement strategy) - This is a much broader but subtle offensive strategy. It involves encircling the target competitor. This can be done in two ways. You could introduce a range of products that are similar to the target product. Each product will liberate some market share from the target competitor’s product, leaving it weakened, demoralized, and in a...