The Pennsylvania State University at Harrisburg

THE PENNSYLVANIA STATE UNIVERSITY AT HARRISBURG

THE CAPITAL COLLEGE

Middletown, Pennsylvania

School of Business Administration

MRKT 520.1

SPRING 2002 Instructor: Dr. Erdener Kaynak

Class Time: Tuesday, 6:00-8:30 P.M. Office: E-356, Olmsted Bldg.

Class Room: E-254 Office Phone: 948-6343

E-mail:

Office Hours: M & T: 4:30-6:00 p.m.

M & T: 8:30-9:00 p.m.

TR: 5:00-6:00 p.m.

(Other times when I am in my office and by appointment)

MARKETING MANAGEMENT

REQUIRED TEXT: Philip Kotler, Marketing Management, Millennium Edition, Prentice-Hall, Upper Saddle River,

New Jersey, 2000, 718 pages.

SUPPLEMENTARY TEXTS: (You may want to consult with these reading materials as supplements to the main

text and lecture notes).

Russell S. Winer, Marketing Management, Prentice-Hall, Inc., Upper Saddle, NJ, 2000,

551 pages. Call # HF5415.13.W5476 2000

Roger J. Best, Market-based Management: Strategies for Growing Customer Value and Profitability, 2nd Edition, Upper Saddle River, NJ: Prentice Hall, 2000.

Call # HF5415.13.B46 2000

J. Paul Peter and James H. Donnelly, A Preface to Marketing Management, 8th Edition, Boston: Irwin/McGraw-Hill, 2000, 318 pages. Call # HF5415.13.P388 2000

Michael E. Porter, Competitive Strategy: Techniques for Analyzing Industries and Competitors, The Free Press, New York, 1980, 396 pages.

Philip Kotler, Kotler on Marketing: How to Create, Win and Dominate Markets, Free Press, New York, 1999, 257 pages. Call # HF5415.13.K638 1999

Steven Wheeler and Evan Hirsh, Channel Champions: How Leading Companies Build New Strategies to Serve Customers, Jossey-Bass, San Francisco, CA, 1999, 223 pages.

Call # HF5415.W484 1999

George S. Day, The Market Driven Organization: Understanding, Attracting, and Keeping Valuable Customers, Free Press, New York, 1999, 285 pages.

Call # HF5415.13.D367 1999

Jagpal Sharan, Marketing Strategy and Uncertainty, New York, Oxford University Press,

1998, 334 pages. Call # HF5415.J33 1999

MRKT 520.1 SPRING 2002 Syllabus - E. Kaynak Page 2

Harper W. Boyd; Orville C. Walker, and Jean-Claude Larreche, Marketing Management: A Strategic Approach with a Global Orientation, Irwen/McGraw B Hill, 1998, Boston, Massachusetts, 547 pages. Call # HF5415.13.B669 1998

Torsten H. Nilson, Competitive Branding: Winning in the Market Place with Value-Added Brands, John Wiley, New York, 1998, 235 pages. Call # HF5415.13.N539 1998

William A. Cohen, The Marketing Plan, 2nd Edition, John Wiley, New York, 1998, 341 pages

Call # HF5415.13.C6348 1998

Philip Kotler, Marketing Management: Analysis, Planning, Implementation and Control, 9th Edition, Upper Saddle River, NJ: Prentice Hall, 1997. Call # HF5415.13.K64 1997

John Westwood, The Marketing Plan: A Practitioner’s Guide, 2nd Edition, Kogan Page, London, 1996, 224 pages. Call # HF5415.13.W48 1996

COURSE OBJECTIVES:

The objective of this course is to provide graduate marketing students with the conceptual background and the analytical tools that are used in solving strategic marketing problems. The text and assigned readings furnish the conceptual background for effective analysis of marketing problems; the cases utilize practical application tools for making strategic marketing decisions. To operationalize this objective, class discussion will be geared toward evaluating marketing information to develop comprehensive and integrated marketing strategies. These discussions will nurture students' understanding of the development of marketing plans and programs; will emphasize theory; and, will foster the integration of the various marketing management elements into a comprehensive marketing strategy and program.

COURSE STRUCTURE:

The course consists of a mixture of lectures, discussions, internet and case study exercises - each being used and applied when appropriate. This course is designed on a modular basis and no one module is self-contained. That is to say that all the modules represented show discrete steps in a sequential learning process for orderly marketing decision making purposes. Each module presented is designed in such a way to stress a particular aspect of marketing management and will be summarized by problem solutions and the medium of a case study and/or internet exercises.

CASE STUDIES:

At the end of each module, each student is expected to solve assigned cases in class. Each person is expected to make a written submission on a selected case and present that case in class. Case analyses should not exceed 12 pages, word processed with double space margin. On every occasion, the case material assigned must be thoroughly prepared by all students beforehand and a detailed knowledge of the material will be expected from each student. Only those students who are responsible to present/critique a case will do the formal discussion in class.

Since there are no perfect solutions to the cases assigned, students will be graded one: (a) organization, (b) understanding the marketing issues, (c) originality of ideas and solution alternatives, (d) breadth and depth of coverage of the issues, (e) clarity of exposition, and (f) thoroughness in integrating the multiple components of the cases. Students will be expected to avoid the common errors listed on the last page of this syllabus in their analyses of the cases.

MRKT 520.1 SPRING 2002 Syllabus - E. Kaynak Page 3

COURSE FORMAT:

The subject matter of this course is vital, dynamic, practical, controversial and fascinating. In order to make this course an enjoyable learning experience, it is essential that you: (a) read ahead in your textbook before class on a weekly basis, (b) read all assigned materials, (c) attend classes regularly, (d) prepare yourself for cases, internet exercises and discussion questions, and (e) raise your viewpoints during class periods. Each student is expected to contribute regularly to class discussion, as called upon by the instructor and on a voluntary basis.

COURSE OUTLINE:

Minor changes may be necessary as the course progresses. One pass-in case is expected from each student. It is expected that assignments be turned in on time. Attendance is mandatory; class participation can be an important component of the course grade. Students are urged to contact the instructor ahead of time for possible delays in meeting deadlines. Those students who hand in their assignments late without any legitimate excuse will be penalized by five percent per each calendar day.

INTERNET EXERCISE:

Students are expected to read all internet exercises assigned each week. Each student must submit a typed review (maximum of ten pages long) of one company. Contents and messages of every presented company will be discussed in class on a weekly basis. Please come to class as prepared. Please come to class as prepared. Below please find a suggested procedure for review and discussion.

1. Internet and e-commerce objectives of the company:

(a) Major theme

(b) Overall messages presented

2. Evidence provided on the company web page:

(a) Key points of the company practices through internet endorsed by the existing marketing literature

compared to their brick and mortar operations

(b) What empirical marketing evidence is offered

(d) Facts and figures provided

3. Contribution of the company’s marketing practice through internet to marketing management knowledge:

(a) Strategic advantages of internet marketing as against brick and mortar marketing

(b) Managerial and/or public policy implications of internet marketing operations of the company

4. Your independent views/critiques/recommendations of the company’s marketing performance and effectiveness

Through the use of internet/e-commerce/online marketing mediums

(a) What needs top be done to improve the quality and effectiveness of this company’s internet marketing

Effort?

MRKT 520.1 SPRING 2002 Syllabus - E. Kaynak Page 4

GRADING PROCEDURE:

Students will be graded on their performance in the following course components:

(1) Written (12 pages) One Person Pass-in Case Analysis 10%

(2) Internet Exercise 20%

(3) In-Class Presentation and Discussion of Cases (10%)+(10%) 20%

(4) Mid-term Exam 15%

(5) Class Participation and Taking Part in In-class

Discussions 15%

(6) Term Paper Report* 20%

100%

* Written Report: Marketing is a universal subject whether we talk domestic or international marketing as the same concepts and techniques apply. What is different is the application of those concepts and techniques in different markets. The purpose of the term paper is to apply the marketing strategy and planning knowledge gained in the course into one of the following topics with special reference to the state of Pennsylvania. No other topic will be entertained:

Marketing Planning for Household Appliances

Competitive Marketing Strategy for Apparel and Garment Industry

Strategic Marketing Planning for Furniture Industry

Internet, E-commerce and On-line Marketing Strategies

Marketing Planning for Residential Housing

Product Development and Market Segmentation Strategies for Confectionary Products

Marketing Strategy for Toiletry Industry

Positioning Strategy for Pennsylvania Tourism

Marketing of Pennsylvania as a Place for Investment

Strategic Marketing for Pharmaceutical Products

COURSE SCHEDULE AND OUTLINE

PART I: UNDERSTANDING MARKETING MANAGEMENT

January 8 Orientation

Foundations of Strategic Marketing Management

Case Study Analysis and Problem Solutions

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January 15 Marketing in the Twenty-First Century

Readings: Kotler, Chapter 1

Case 1: : Wal-mart

Internet Exercise 1: Priceline.com

January 22 Building Customer Satisfaction, Value, and Retention

Readings: Kotler, Chapter 2

Case 2: Enterprise Rent-a-Car

Internet Exercise 2: CarsDirect.Com

January 29 Winning Markets: Market-Oriented Strategic Planning

Reading: Kotler, Chapter 3

Case 3: RJR’s Eclipse: Rising From Premier’s Ashes

Internet Exercise 3: AOL: World Online?

PART II: ANALYZING MARKETING OPPORTUNITIES

February 5 Gathering Information and Measuring Market Demand

Reading: Kotler, Chapter 4

Case 4: AIBO: Looking for a Charged-Up Spot?

Internet Exercise 4:

February 12 Scanning the Marketing Environment

Readings: Kotler, Chapter 5

Case 5: The Newest Avon Lady- Barbie

Internet Exercise 5:

February 19 Analyzing Consumer Markets and Buyer Behavior

Analyzing Business Markets and Business Buying Behavior

Reading: Kotler, Chapters 6 and 7

Case 6: Global Star: Connecting Everyone, Everywhere

Internet Exercise 6:

February 26 Dealing with the Competition

Reading: Kotler, Chapter 8

Case 7Biofoam: Not Just Peanuts!

Internet Exercise 7:

March 4 - 8 SPRING BREAK - NO CLASSES

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March 12 Identifying Market Segments and Selecting Target Markets

Reading: Kotler, Chapter 9

Case 8: Ryka: Be Strong

Internet Exercise 8:

PART III: DEVELOPING MARKETING STRATEGIES

March 19 Positioning the Market Offering Through the Product Life-Cycle

Readings: Kotler, Chapter 10

Case 9: Swatchmobile: Is the Time Right for Small Cars?

Internet Exercise 9:

March 26 Developing New Market Offerings

Managing Product Lines and Brands

Reading: Kotler, Chapters 11 and 13

Case 10: Lifesource Nutrition: Succeeding Where Campbell Soup Failed

Internet Exercise 10:

April 2 Designing Global Market Offerings

Reading: Kotler, Chapter 12

MID-TERM EXAM

PART IV: MAKING MARKETING DECISIONS

April 9 Designing Pricing Strategies and Programs

Reading: Kotler, Chapter 15

Case 11: Circuit City: Selling Used Cars Like Stereos

Internet Exercise 11:

PART V: MANAGING AND DELIVERING MARKETING PROGRAMS

April 16 Managing Marketing Channels

Reading: Kotler, Chapter 16

Case 12: Icon Acqustics: Bypassing Tradition

Internet Exercise 12:

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April 23 Managing Integrated Marketing Communications

Managing Advertising, Sales Promotion

Reading: Kotler, Chapters 18 and 19

Case 13: Proctor and Gamble

Internet Exercise 13:

April 23, 2002 Term Paper is Due

April 26, 2002 Classes End

SUGGESTIONS FOR ANALYZING A MARKETING CASE

In analyzing a marketing case consider the following:

a. Read through the case quickly to determine its general nature. Then re-read and begin to sort out facts. During subsequent readings it will probably be desirable to outline and re-arrange the material in the case, or to prepare tabulations and charts that permit of more ready comparison of available data and information.

b. After you have mastered the facts and other information in the case, isolate the major problem(s) to be solved. If the problem is stated at the end of the case, use these questions as general guidelines. In cases of answering these questions only, you will gain partial grade.

c. Then determine the major topics around which the case analysis is to be undertaken. Some major points commonly encountered in marketing problem analysis are:

(1) The market and its influence on problem(s) and decision making.

(a) present market(s)

(b) potential market(s)

(d) buying habits and motives of customers

(2) The product and its influence on problem(s) and decision

Making.

(a) characteristics of the product(s)

(b) classification of the product(s)

(3) Channels of distribution and/or distributive outlets and systems and their influence on problem(s) and decision-making.

(4) Reactions of channel intermediaries, customers, or others (if not included above) and their

influence on problem(s) and decision making.

MRKT 520.1 -SPRING 2002 E. Kaynak – Syllabus Page 8

(5) Reactions of salespersons and/or other company personnel and their influence on problem(s) and decision making.

(6) Competition types, reaction and probable future action of competitors and their influence on problem(s) and decision-making.

(7) Effectiveness of retaliation of competition, middlemen, others and their effect on problem(s) and

decision-making.

(8) Importance of good will and effect on problem(s) and decision-making.

(9) Position of the company in the industry and effect of this on problem(s) and decision making.

(10) Financial position of the company and effect on problem(s) and decision-making.

(11) Importance of price, elasticity of demand, and effect on problem(s) and decision-making.

(12) Effect of problem(s) on other product lines and/or affiliated companies.

(13) Seriousness of the problem, degree or urgency, time and funds available before action must be taken and the effect or influence of these factors on decision-making.

(14) Economic conditions, trends and structural developments within the industry, and their effect on problem(s) and decision-making.

(15) Effect of problem(s) on sales volume, costs, and profitability, and their influence on problem(s) and decision-making.

a. Immediate (within a financial year)

b. Short run (1 to 3 years)

c. Medium run (3 to 5 years)

d. Long run (more than 5 years)

(16) Does probable profit commensurate with risk involved?

a. The foregoing list is not to be all-inclusive or necessarily in order of importance. Not all points will require consideration in each case, and some cases may involve areas of analysis not listed above.

b. Proceed with the analysis of the major points or areas

(1) For the purposes of this course, the analysis is the most important part of the report. At this time the reasoning whereby the recommended course of action is arrived at carries more weight than actual decision.