Transcript Lecture 1 - Ryerson University
Marketing II
The Chang School-Ryerson University Continuing Education CMKT 200 Fall 2005 Instructor: Armand Gervais Email: [email protected]
preferred Web: www.ryerson.ca/~agervais Office: Bus 308 Phone: 416-979-5000 Ext 4215
Lecture 1 Agenda
Introductions Overview of Course Project Overview Peer Evaluation Break Marketing Review To Do’s for next weeks class Questions and Answers Time to begin forming Groups
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Introduction
Armand Gervais Education:
Bachelor of Commerce-Major Economics University of Toronto MBA York University Teaching Experience:
3 years teaching MKT 731 (Industry Analysis), BUS 800 (Strategic Management) CMKT 200 Business Experience:
ID-ONE Inc. Residential Interior Design
Partner and Operations Manager 4 years with Air Miles
Business/Database Analyst
Project Manager Database Development 6 years retail management. Wendy's, Major Video Industry Experience:
Loyalty programs
Hospitality- restaurants and resorts Retail-Confectionaries, clothing, travel, books and electronics.
Telecommunications Industry
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Class – Your turn
Your Name School Major or specialization Work or life experience Expectations for the class
What are your objectives?
What has to happen for this to be a success for you?
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Course Outline
Group Project and Peer Evaluation
C HAPTER
SCANNING THE MARKETING ENVIRONMENT
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Challenge Launching New Products
New-product experts estimate that 80-94% of the over 25,000 new consumable products (food, beverage, health, beauty, and other household and pet products) introduced in North America annually “Don’t succeed in the long run” 7
FIGURE 3-1 Environmental forces affecting the organization, as well as its suppliers and customers
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FIGURE 3-2
An environmental scan of Canada
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SOCIAL FORCES
Demographics
Population Size and Growth
Age Waves
Mature household Baby boomers Generation X Baby boomlet 10
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FIGURE 3-3
The age distribution forecast for the Canadian population in 2011
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SOCIAL FORCES
The Canadian Family
Blended family
Population Shifts
Census metropolitan areas (CMAs)
Regional Marketing
Ethnic Diversity
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Social Forces
Culture
Changing Attitudes and Values
Value consciousness 14
Economic Forces
Macroeconomic Conditions
Consumer Income
Gross Income
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FIGURE 3-4
Income distribution of Canadian households
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Economic Forces
Macroeconomic Conditions
Consumer Income (cont)
Disposable Income
Discretionary Income
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Technological Forces
Technology of Tomorrow Technology’s Impact on Customer Value Electronic Business Technologies
Marketspace Electronic commerce Internet and Worldwide Web Commercial online services Intranet Extranets 19
Competitive Forces
Alternate Forms of Competition
Pure competition Monopolistic competition Oligopoly Monopoly 20
Competitive Forces
Components of Competition
Entry
Barriers to Entry
Power of Buyers and Suppliers
Existing Competitors and Substitutes
Start-Ups, Entrepreneurs, and Small Business
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Competitive Forces
The New Look in American Corporations
Restructuring 22
REGULATORY FORCES
Regulation
Protecting Competition and Consumers
The Competition Act 23
FIGURE 3-5
Major federal legislation designed to protect competition and consumers
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Regulatory Forces
Self-Regulation
Consumerism
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Porter 5 Forces Framework
Entry Barriers
Economies of Scale Proprietary Product Differences Brand Identity Switching Costs Capital Requirements Access to Distribution Absolute Cost Advantages - Proprietary learning curve - Access to necessary inputs - Proprietary low-cost product design Government Policy Expected Retaliation New Entrants Threat of New Entrants Industry Competitors
Rivalry Determinants
Industry Growth Fixed (or Storage) Costs/Value Added Intermittent Over-Capacity Product Differences Brand Identity Switching Costs Concentration and Balance Informational Complexity Diversity of Competitors Corporate Stakes Exit Barriers Suppliers Bargaining Power of Suppliers Buying Power of Buyers Buyers Intensity of Rivalry
Determinants of Supplier Power
Differentiation of Inputs Switching Costs of Suppliers and Firms in the Industry Presence of Substitute Inputs Supplier Concentration Importance of Volume to Supplier Cost Relative to Total Purchases in the Industry Impact of Inputs on Cost or Differentiation Threat of Forward Integration Relative to the Competition Threat of Backward Integration by Firms in the Industry Threat of Substitutes Substitutes
Determinants of Substitutes
Relative Price Performance of Substitutes Switching Costs Buyer Propensity to Substitute
Determinants of Buyer
Buyer Concentration vs. Firm Concentration Buyer Volume Buyer Switching Costs Relative to Firm Switching Costs Buyer Information Ability to Backward Integrate Substitute Products Pull-Through Price Sensitivity Price/Total Purchases Product Differences Brand Identity Impact on Quality/ Performance Buyer Profits Decision Makers’ Incentives
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To Do’s for Next Class
Before you leave today sign attendance sheet Email me your contact information Student ID, Email, and contact number Include course and section number in subject line
Please include a little about yourself:
Program, Major, work experience etc. Get textbook Complete the assigned readings download through library Form groups
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