Professor Marshall |
BINGXUAN WANG 0154801|
Consider Porter’s value chain and the holistic marketing orientation model. What implications do they have for marketing planning? How would you structure a marketing plan to incorporate some of their concepts? A value chain is a chain of activities that a firm operating in a specific industry performs in order to deliver a valuable product or service for the market. The concept comes from business management and was first described and popularized by Michael Porter in his 1985 best-seller book. Porter suggested that activities within an organization add value to the service and products that the organization produces, and all these activities should be run at optimum level if the organization is to gain any real competitive advantage. If they are run efficiently the value obtained should exceed the costs of running them, and customers should return to the organization and transact freely and willingly. Michael Porter suggested that the organization should be split into primary activities and support activities. A holistic marketing orientation can also provide insight into the process of capturing customer value. One conception of holistic marketing views is to consider about the value of exploration, value creation, and value delivery activities with the purposes of building long-term, mutually satisfying relationships, and co-property among key stakeholders. According to this view, holistic marketers succeed by managing a superior value chain that delivers a high level of product quality, service, and speed. Holistic marketers achieve profitable growth by expanding customer share, building customer loyalty, and capturing customer lifetime value. By considering about Porter’s value chain and the holistic marketing orientation, people found that they all have a common concept – the...