How a company can identify the changes in the market and adapt to it in terms of internal and external change?
- How to identify changes:
Identify changes and making plan are part of Marketing Strategy of a company. It includes 4 levels:
Defining the company mission –> Setting company objectives and goals –> Designing the business portfolio –> Planning marketing and other functional strategies
From analysis the company must find the right strategy
The strategy are created by seeing major trends and predict the vision of future. The company must use market research to understand customers needs and wants, and choose the right market segment.
Tools to analyse:
Growth-share matrix from Boston Consulting Group
Product/market expansion grid
Indentify changes is part of marketing jobs.
- Market research
Who indentify and plan for changes?
+ The company itself:
+ Consultant firm
1st .McKinsey (the biggest consultant firm)
McKinsey & Company is a worldwide management consulting firm. It conducts qualitative and quantitative analysis in order to evaluate management decisions across the public and private sectors. Widely considered the most prestigious management consultancy, McKinsey’s clientele includes 80% of the world’s largest corporations, and an extensive list of governments and non-profit organisations. More current and former Fortune 500 C.E.O.s are alumni of McKinsey than of any other company, a list including Google C.E.O. Sundar Pichai, Facebook C.O.O. Sheryl Sandberg, Morgan Stanley C.E.O. James P. Gorman, and many more. McKinsey publishes the McKinsey Quarterly, funds the McKinsey Global Institute research organization, publishes reports on management topics, and has authored many influential books on management. Its practices of confidentiality, influence on business practices, and corporate culture have experienced a polarizing reception.
2nd. Boston Consulting Group
3rd Bain & Company
(Big Three management consultancies)
Big Four (Deloitte, PwC, EY, KPMG)
Technology, Artificial Intelligence, Renewable Energy, Sharing Economy
- Oil companies
Many oil companies now invest in renewable energy, because they predicted the trend of renewable energy is something must happen in the future.
Large product portfolio. Microsoft had expanded the numbers of types of products, not only focus on software but also in hardware.
3. Alphabet (parent company of Google)
Spend money on many different areas. Develop AI (DeepMind, first win 4-1 GO with humans, Google Glasses)
List of emerges
Lost when can’t changed anything
Principles of Marketing Fifthteenth Edition – Philip Kotler & Gary Armstrong