MKTG 3000 Lecture Notes - Lecture 2: Cash Cow, Botulinum Toxin, Product Design
9 Feb 2018
School
Department
Course
Professor
Document Summary
Plans independent of other sbus in the total org: tools available to manage strategic directions: Market penetration: marketing strat that tries to increase market share among existing customers. Market development: marketing strat that entails attracting new customers to existing products. Product development: marketing strat that entails the creation of new products for present markets. Diversification: increasing sales through new products in new markets. Core innovation: changes using existing assets to provide added convenience to existing customers and potentially entice customers from other brands (eg changing tide pod packaging) Adjacent innovation: decisions to take company strengths into new markets, using existing abilities in new ways (eg botox being used for cosmetic medicine) Transformational innovation: decisions resulting in brand-new markets, products, and businesses, using new and unfamiliar assets (eg development of the gopro) Cash cow: market leader in stagnant market produces more cash than it needs to sustain itself. : low market share in rapidly-growing market needs tons of cash.
