A Blueprint. Corporate Governance by Fred R. Kaen

By Fred R. Kaen

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If so, how large are the segments and what are their characteristics? How significant are the differences? What are their growth rates? What is driving market development? , unsatisfied consumer demands) or perhaps secondary demand? , sales effort focussed on customers who have yet to become users)? 1). 1 The product life cycle is but one concept that has been debated by marketing theorists for some time. Its value is ‘that it provides insights into a product’s competitive dynamics. ’ Kotler (1994).

It is very unusual for a firm to be in a situation in which it can fund all of the strategic options identified. 3 Defining the market cells of an airline situation is likely to be one in which resources are limited and as a consequence options must be evaluated from a number of aspects. Resources management is a critical function: if too many resources are allocated to an option, the returns generated will be low; on the other hand an under-resourced venture may fail. Some alternatives for resource allocation decisions are discussed in chapter 13.

We can identify them as quantitative or qualitative measures. Quantitative measures will include: Sales: revenues Sales: units Market share Relative market (existing and new products) (Products) share (markets) (territories) } Expressed as trend indices, percentages, percentages/sales and/or indices THE SCOPE OF STRATEGIC MARKETING DECISIONS 33 Margins generated Transactions (direct/indirect) existing customer new customers Communications costs Distributor discounts Manufacturing costs Customer service costs } Budgeted and actual Clearly other measures will be included for specialist activities.

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