Three Step Matrix in Strategic Marketing Essay Example for Free

Three dance step Matrix in Strategic Marketing Es offerStrategic merchandising comes into roam to standardize the commercialiseing practice, ultimately satisfying the customer needs through increasing companys competitive returnss. The base of any collective to develop the winning strategically needs close monitoring in the internal and external environment. in that location ar many instances w here(predicate) some company ill due to not been able to monitor the securities industry situation adequately but in other instance we also give the gate see the growing of company due to innovation, diversification and became the market leader. So for well understood of the marketing behaviour we sacrifice to see their strategy. So to be the market leader or winning in the market place needs right decision at right time using right technology, which ultimately creates the sustainable Competitive Advantage (SCA).To be a sustainable winner the company have to invest in RD fun ction, have to study market environment, have to study the competitors, have to study the changes in strategic discover of the industry, have to study the customers behaviour etc. For well understood of the market situation to take strategic movement there argon many models implemented by different company. The Boston Consulting Groups (BCG) foursome cell intercellular substance, GE/McKinseys multifactor ground substance, Robinsons directional policy matrix, Sheth and Fraziers financial model, Capron and glass cutters technology portfolio model are some of the models which have implemented for the assessment of market situation. However, the rehearse of single matrix is not sufficient to k straight off the true picture of the market situation. Therefore, Yin-Ching Jan has proposes a three-step matrix method for strategic marketing management.Step 1 Industry Perspective MatrixThe industrial side matrix is basically using to see the external market environment, through which a c ompany can find the opportunity andthreats. From this matrix the company can assess the market and can classify as proud opportunity high threats (HOT MARKET), high Opportunity- let out Threats (NICHE MARKET), LOW Opportunity- High Threats (MERCHANDISE MARKET) and Low Opportunity-Low Threats (DEGENERATE MARKET). HOT Market convey where many company compete each other to get advantaged from the high level of market opportunity, Products such as tablet PCs have huge opportunities but with the ease of new entry, it challenges major threats too.Like as the NICHE market has a unique features that allow many competitors due to its high opportunity but less threats, many people come to market seeing the high level of opportunity, but later all when many people start coming it became a strong competition after all. In the degenerate there are low opportunities and threats but still have competition from the rivalry, real res publica market these days falls into Degenerate market categ ory as it has slumped hugely in the medieval few years. If company unable to invent new products, consumer will be lost. Noodles can fit into trade in market, where the opportunities are low and threats are high.Competitive Position MatrixThe objectives of the competitive position matrix are to assess the strength and weakness of the company and find out the possible strategy. Basically ROA is the tool which gives the figures of the advantage which is used to set indicators. Also we also see the profit molding to see whether it is leading or not. So analysis of the ROA and profit margin gives insight for the competitive position matrix. There are four cell in the diagram which shows the status of the company based on CPM i.e. Leader, Nicher, Penetrator and follower. Higher the ROA and Profit margin is Market leader, Higher the ROA and lower the Profit is Penetrator, in this situation company basically low the charge to blow ones stack the market share Low ROA and Low ROA is Fol lower and in this circumstances they are pursual the market leader and last but not least high Profit margin and Low ROA is stand for Nicher, where market opportunity is high and investment might be high so change surface though they have high rate of profit return but less as pass judgment ROA.Market Situation MatrixMarket situation matrix is a combination of industry matrix and competitive matrix. Analyzing it a manager can take a decision about the company. Forexample when a company is in hot market it has to invest more to increase its share in the market because many competitors are preparing to enter in that market. Like as in Nicher, there is need to expand the market aggressively and innovation is crucial to maintain its leadershiphip position. Three step matrix Nepali Product Every year Television channels are increasing in Nepal and most of their market is the same and their strategy are the same. Some of the televisions are still under process of establishment. So he re opportunity seems high and the threats is seems high as well so the market of TV Channel is now at HOT stage.So as a growing market there are forever and a day uncertainties of the risk of failure. we can see some channel are out of the competition now, they are failure and some are still leading , but now no one can say that who is going to win the game. So this opportunity is leading many threats even though there is high opportunity, so in this regards one TV channel have to increase the investment to win the game. The leaders now is Kantipur TV , it has also get high returns , now NEWS 24, ATV , Mountain TV are following KTV, so it is the time to think innovatively to keep the high market share of KTV