Explain your understanding of the principles of strategic marketing management You will need to:
* Discuss the role of strategic marketing in an organization Strategic Marketing is a process whereby it allows the organizations to come up with a marketing plan. Within this marketing plan the organizations can analyze as to how they should satisfy their customers and make profit in return. Strategic Marketing Planning is handled from the upper management and is a very important part of the organization (Elliot, Rundle & Waller 2012)
There are three different levels within an organization. First is the corporate level, which is the highest level. The managers are responsible for the issues that concern the overall organization hence their decisions will have an impact on the overall organization. The second level is the business level whereby there are units within the overall organization that are normally handled and managed by self-contained businesses that act as independent businesses. From a marketing point of view at this level competition comes into play as the business units typically compare itself with the other business units, for instance Blockbuster. Then there is the functional level where there are various functional areas within a business unit. The work performed is by different functions therefore they are split into and referred to as functional departments (Elliot, Rundle & Waller 2012). The organization that I work for adopts the exact same format as mentioned above. When it comes to the marketing plan, it is formulated by the management at the different business levels but approved by the upper management only that are at the corporate level.
* Explain the processes involved in strategic marketing
There are several processes that are involved in Strategic Marketing and can be categorized into stages; understand, strategize, create and evaluate. Understand is where the organizations need to understand all the internal and external factors that will have an influence on the business. It is just not about the business mission and vision, product reviews, sales performance, marketplace trends, competition, consumer feedback but also about market research, that should be carried out in order to fill any knowledge gaps, a SWOT analysis at this stage is a good tactic. Strategize is when a profound intuition is gained through the Understand stage, then comes the time to come up with the marketing strategy. This includes analyzing things such as segmentation of target market, defining marketing objectives, etc. Create is a stage where the organizations should come to the design and implementation phase of the marketing plan to achieve the objectives that were set at the Strategize stage. The marketing mix in this case should be perfect to communicate the message across the target market in a manner that is most effective and efficient within the allocated resources. Evaluate is the tracking and measuring of the success of the marketing plan and analyze whether they are being executed properly. The evaluation can be done depending on what sort of marketing goals were set. Things such as Return on Investment, increase in sales and consumer traffic are all signs of success.
(Business Propulsions, 2013)
* Evaluate the links between strategic marketing and corporate strategy Corporate strategy is the direction of the organization. The main objective is to achieve the success of the organization in the long term. It also focuses on involving and expecting changes in the organization which is a very flexible strategy. In developing the corporate strategy it includes enclosing the scope of the organization and its purpose, this can be a model named SWOT analysis. When making an analysis for strategic marketing, conducting a SWOT analysis is essential. We will later discuss as to what SWOT analysis is. In strategic marketing, while preparing the strategic plan,...