Strategic Market Management, 11th Edition , David A Aaker , Christine Moorman Solution Manual by TBtutors

Type:

Solution Manual

Resource:

Strategic Market Management

Edition:

11th Edition

Author(s):

David A. Aaker Christine Moorman

SYLLABUS AND CASE SELECTION GUIDE Strategic Market Management can be used in marketing strategy courses at both the undergraduate and graduate levels. These courses often include some combination of cases, projects, papers, and computer simulations such as MARKSTRAT or STRATSIM. The best combination of these depends on the student population and the instructor’s comfort with teaching cases and/or simulations. In teaching this class, we have found that only about 25-33% of the class time needs to be spent on reviewing concepts and frameworks and the rest on cases. These cases, including longer cases such as a case from Harvard Business School, shorter cases from HBS or other sources, the cases offered at the end of this book, or the best digital and global practice case studies offered in each chapter of the book. This guide is organized as follows. We begin by offering a sample syllabus that can be modified to fit any class. Several projects are described in this syllabus. We then offer a set of recent cases that could be used for each chapter. This is followed by a summary list of all of the best practice case studies contained in the book. We close by briefly describing the short cases contained at the end of the book. Detailed guides for leading class room discussions of the best practice and cases in the book can be found on the instructor site. SAMPLE SYLLABUS This sample syllabus outlines seventeen class sessions which can reduced or expanded depending on whether a module, quarter, or semester-long class is taught. The class can be shortened by removing any of the topics, combining topics, or by eliminating the in-class presentations or the mid-term exam.

Strategic Marketing Management Instructor Name Instructor Email Office Location Office Hours Classroom Location Semester and Year Course Summary This course is concerned with strategic market management and marketing planning. The focus is on strategic decisions (decisions which have a long-term impact on the organization and which are difficult and costly to reverse). The strategic decision-making process is supported by an external analysis (an analysis of the organization's environment) and an internal analysis.

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Learning Outcomes 1. Conduct the external and internal analyses that support the development of strategies. 2. Identify and address questions such as: • What environmental opportunities and threats does the firm face? • What are its organizational strengths and weaknesses relative to competitors? • How are markets evolving and what changes are occurring and can be expected in customer behavior? • What are its biggest key strategic questions or uncertainties? • What are its strategic alternatives? • What is the company’s sustainable competitive advantage? • What business should the company be in? • What product markets are attractive to the company? • What type of customer value should we offer and what strategies are important to achieving customer value leadership? • How should the organization’s resources be allocated? • What assets and competencies need to be developed and maintained? • How should it develop valuable customers? • What growth directions are most attractive? • Should it diversify? How? • What should be the strategy with respect to product line, distribution, branding, manufacturing, and finance? 3. Understand and work with a set of useful and important concepts such as unmet needs, strategic groups, first mover advantage, positioning, sustainable competitive advantage, risk, key success factors, strategic opportunity or threat, strategic strength, weakness, or problem, strategic question, vision, product market, segmentation, industry structure, portfolio analysis, and scenarios. 4. Develop an understanding of asset building and leveraging as the core of business strategy. The focus of asset building in this class will be on customer assets (customer equity) and brand assets (brand equity). Case Analyses The class is designed around * case studies. These cases are the most important feature of this course. The cases describe ambiguous, uncertain, and difficult-to-solve marketing strategy problems for which important company decisions need to be made. In nearly all situations, a case will represent your first exposure to a particular problem. Solutions will not be straightforward. Students should form (or can be assigned) teams of 3-5 student to process these cases together before class. Debate the problem and strive to develop several alternative strategies for the firm.

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Industry Analysis Students will perform an industry analysis in small teams of five students. The groups need not be the same as those you use for case analyses, but it is usually efficient to have some overlap. Select an industry that is of interest to your team. An industry can be selected from a firm in which a group member is working, but it need not be. Select an industry in which the information is available in trade magazines and business publications like Business Week and Fortune. Possible industries include gourmet frozen foods, wine, retail banking, business software area, frozen novelties, fiber optics, food retailing, a type of restaurant, automobiles, cross country skis, drug equipment, personal computers, tennis equipment, etc. Perform your analysis as if you were going to deliver it to a client. Selecting one of the firms in the industry to use as your client can be useful. Doing so will help you focus on the strategically important material and avoid getting overwhelmed by information and becoming too descriptive. At the outset of the report it will be helpful to indicate the nature of the strategic decisions the client is (or should be) facing if such decisions can be identified. The industry analysis should include: 1. A customer analysis, including an identification of the key market segments. Create, if useful, a segment by motivation grid. 2. A market analysis, including a market definition, demand trends, product life cycle analysis and an identification of key success factors. 3. Identification of the important competitors and their strategic objectives, weaknesses, and problems. Attempt to identify the sustainable competitive advantages (SCAs) of each of the major competitors. Were the firms founded with these SCAs? If not, when and how were they developed? If appropriate, a historical view of the strategies pursued by one, two, or more competitors. Perhaps two competitors can be identified who were similar at one point in time, but have since pursued very different strategies with different results. Specify what the strategies were, their rationale and the reason they worked or did not work. 5. Contact, if appropriate and feasible, one or two managers from your client firm. Ask: • Who is the leading competitor in his/her business? • What are the respective sustainable competitive advantages (SCAs), if any, for his/her firm and for the leading competitor? • Determine which of the SCAs the involved firms were “born” with and which they “developed” over time. 6. Perform an analysis of the major environmental trends, opportunities, and threats facing this company. Use the tools in Chapter 5 to understand current and potential future conditions faced by the firm Develop one or two alternative scenarios different from baseline assumptions. The scenario could be the accentuation of a trend or the occurrence of a future event. Or it could be motivated by a strategic question. For that (or those) scenario(s), address the following questions:

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• What factors will influence whether the scenario emerges? • What steps should be taken in the external analysis? • How should the firm prepare in terms of assets and competencies, if at all? • What are the implications for external analysis? • What strategies would be optimal? 7. Offer 3-4 marketing strategy decisions the firm should take to thrive in this marketplace now and into the future. Focus on strategic, not tactical, decisions for the firm. Marketing Strategy Analysis Report There will be a 15-minute oral presentation on (Date). This presentation should be professional, rehearsed, interesting, and useful to your client. You should regard it as an excellent opportunity to improve your presentation skills. All team members should be present. Students should turn in their PowerPoint files as part of this requirement. The report should go beyond descriptive material to focus on strategic implications. It is helpful to begin with an introduction that briefly describes the client, sets forth the objectives of the study, motivates the project and provides an overview of the paper’s structure. It is very helpful to provide a feel for the strategic problems and alternatives facing the client. When covering a section like competitor analysis, do not attempt to be completely comprehensive—instead, focus on those areas that add value to the client. Introduce strategic questions, threats, opportunities, and judgments about strategic options as you go along. Do not save them for the end. The recommendation section can then be a summary of the questions and options that have already been raised and discussed in the context of the analysis. Be sure to create a link between the external analysis and the recommendations. You should consider defending and justifying each summary recommendation with respect to the rationale, effort/cost and risks involved. If more information is needed, it might be worthwhile to set forth how it might be obtained and used. During the presentation of the other groups you will be asked to provide written comments on the presentation skills of each speaker (not the content) and to offer suggestions for improvements. A set of the comments on your group’s presentation will be copied (with the author's name excluded) and returned to you on the last day of class. The goal is not only to provide feedback but also to sensitize you to such feedback. Final Exam This course will use a final exam to assess how well you have learned the concepts, tools, and frameworks. The exam will be open book and open note. A new case will not be introduced for the final, but instead will draw on the cases we have used throughout the term. All questions will come directly from the cases, readings, and in-class materials. Your best preparation for the exam is to prepare for each class and case and attend class regularly. Exam questions will be of two types. First, some questions will involve calculations using tools we have learned in class. Second, other questions will involve short answer responses that

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examine how well you have learned the case lessons. To help you prepare for the final exam, I will provide an exam review guide in advance. This guide will outline all of the course elements that you should have familiarity with before the exam. This guide will also contain a set of sample questions from previous years to give you a sense of the types of questions I will use. These questions do not involve cases we are using this year, so focus more on the type of questions I ask, not on the specific content of the question. Course Assessment

Assessment type

Due date

Weighting

Course grades are based on four elements: Class participation (20 points), team oral report (25 points), midterm exam (20 points), and final exam (35 points). Given this design, 75% of your final score is driven by individual work. Details are summarized in the table below:

Group/ Individual

Participation (sum of points for each class) Oral industry report Midterm exam Final exam

In class To be included To be included To be included

20 points 25 points 20 points 35 points

Individual Team Individual Individual

Required Text David A. Aaker and Christine Moorman (2017), Strategic Market Management, 11th Edition, New York: John Wiley & Sons. Course Schedule Chapters are found in Strategic Market Management. Cases will be provided in the coursepack distributed at the beginning of the term.

Date Class 1 Class 2 Class 3

Topic Strategic Market Management - An Introduction Customer Analysis Competitor Analysis

Class 4

Environmental Analysis and Strategic Uncertainty

Class 5 Class 6 Class 7 Class 8

Customer Value Leadership Mid-term Exam Managing Customer Relationships Creating Valuable Customers

Chapters Chapter 1 Chapters 2 and 4 Chapter 3 Chapter 5, Appendix A Chapter 6

Assigned Case1

Chapter 7 Chapter 8

1 Cases are listed in the section “Recommended Cases for Each Course Topic.”

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Class 9 Class 10 Class 11 Class 12 Class 13 Class 14 Class 15 Class 15 Class 16

Managing Brand Equity I Managing Brand Equity II Growing the Current Business Innovating New Business Global Marketing Strategies Oral Presentations How Marketing Assets Create Value for Companies Harnessing the Organization Final Exam Review and Written Reports Due Final Exam

Chapter 9 Chapter 10 Chapters 11-12 Chapter 13 Chapter 14 Chapter 17 Chapter 16

RECOMMENDED CASES FOR EACH BOOK CHAPTER If you chose to use cases, which we recommend, you may consider assigning one of these articles on the Case Method for the first class: • • • • •

An Introduction to the Case Method (P/N 9-576-031) Case Method Teaching (P/N 9-581-058) Learning by the Case Method in Marketing (P/N 9-590-008) Persuasion, Argument, and the Case Method (P/N 2447BC) What is a Case? (P/N 2448BC)

Cases are offered for Chapters 2-16 of the book. Chapters 1 and 17 are better suited for other pedagogical approaches. We do offer a teaching note for Chapter 1 that we think will be helpful to many instructors. Most of the recommended cases were published since 2016 and offer a mix of industries and companies of different sizes. All of the cases reviewed can be found at: Harvard Business School, Kellogg, and Darden cases can be found at https://cb.hbsp.harvard.edu/cbmp/pages/home, while INSEAD and IMD cases can be found at http://www.thecasecentre.org/main/. Chapter 1: Strategic Market Management – An Introduction •

A Note on Market Definition, Segmentation, and Targeting: Three (of Four) Steps in Developing Marketing Strategy (Darden Business School UV7286-PDF-ENG): Marketing strategy, part of the marketing planning process, flows directly from a company's goals and helps define how the marketing organization will help the firm achieve its objectives. Marketing strategy is guided by the goals and objectives of the organization, the business unit, or the particular product or service for which the plan is developed. The choice of which marketing strategy (or strategies) to pursue then guides the marketing mix decisions, which, taken together, become the value proposition offered to the target market segment(s). Marketing strategy involves four steps, and this note addresses the first three.

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Chapter 2: Customer Analysis •

Bringing Digital to Wimbledon (Harvard Business School 517093-PDF-ENG): It was midDecember, 2016 as Alexandra (Alex) Willis read with satisfaction that The All England Lawn Tennis & Croquet Club (AELTC) had won yet another award for its use of social media to reach its fan base. As the organizer and host of "The Championships, Wimbledon," the oldest of tennis's four Grand Slams, the AELTC prided itself on tradition and decorum. Widely regarded as the most prestigious professional tennis tournament in the world and contested each year over two weeks in late June and early July, Wimbledon, in many ways, had changed little over the years. Its showcase venue―the 15,000 seat "Centre Court," complete with a "Royal Box"―was built in 1926. Slazenger had been the official and only supplier of tennis balls since 1902. A strictly enforced ban on any player clothing other than white dated back to the 1800s. And, whereas other tournaments referred to their Men's and Women's Championships, at Wimbledon, these events were referred to as the Gentlemen's and Ladies' Championships. It was against this "steeped-in-tradition" background that Willis, hired by Wimbledon in 2012 and promoted to Head of Digital and Content in 2015, had to figure out the proper role for digital and social media at Wimbledon. The motivation behind the push into digital was one of communicating and engaging with fans and potential fans around the world, as noted by Richard Lewis, Chief Executive of the AELTC.

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Unilever Canada: Redefining the AXE Brand (Ivey Publishing W16887-PDF-ENG): In 2015, AXE, one of Unilever's largest and most well-known personal care brands, was experiencing challenges in growing sales across its full product portfolio. Historically, AXE's unique activations and campaigns had been successful in generating high brand awareness and, ultimately, driving sales in Canada. However, sales growth had slowed over the past three years, and the AXE team wondered whether the brand's current messaging still resonated with consumers. The previous year, Unilever's global consumer insights team had conducted significant research to better understand the AXE consumer. The company now needed to prepare and present a client brief to AXE's advertising agency in preparation for a major 2016 campaign.

Chapter 3: Competitor Analysis •

Global Wine War 2015 (Harvard Business School 916415-PDF-ENG): The case contrasts the tradition-bound Old World wine industry with the market-oriented New World producers in the battle for the Chinese wine market in 2015. China's wine consumption growth presented a large and fast growing export target that was extremely attractive both to Old World producers burdened with oversupply and declining demand, and to New World winemakers faced with rising costs and a deteriorating image. But changing Chinese market conditions and consumer preferences required both sets of players to devise new strategies to gain share in this fast-growing market. The case allows analysis of the way in which newcomers can change the rules of competitive engagement in a global industry. It also poses the question of how incumbents can respond, especially when constrained by regulation, tradition, and different capabilities than those demanded by changing consumer tastes and market structures.

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The Multichannel Challenge at Natura in Beauty and Personal Care (Darden Business School UV7303-PDF-ENG): Faced with declining market share and sales, Natura, Brazil's second largest brand in the cosmetics, fragrances, and toiletries market, expanded its customer reach by moving from a direct-sales company to a multichannel company. In 2014, Natura added online catalogs, physical stores, and drugstores to its well-established direct-selling model, but the results were disappointing. Between 2014 and 2016, three different Natura CEOs attempted to lead the company in the strategic transition to focus less on the direct sales consultants and more on reaching the end consumers directly with multiple channels and touchpoints. On October 2016, the company's board appointed its former commercial vice president, João Paulo Ferreira, as the most recent CEO. Ferreira's challenge was to find the right balance between the direct-selling and other channel formats to market Natura, thus enabling it to thrive in the face of intense competition in the beauty and personal care market in Brazil.

Chapter 4: Market/Submarket Analysis •

Hotel Vertu: Analyzing the Opportunity in the Boutique Hotel Industry (Harvard Business School 917501-PDF-ENG): Two soon-to-be MBA graduates are considering a business opportunity in the boutique hotel industry. Having found a seemingly attractive property in Savannah, Georgia, Yvonne D'Arcy and Elisabeth Whiting face questions about career issues, planning, financing, and the possibility of unequal power dynamics. Students assess the merits of the proposed project, as well as the overall attractiveness of the boutique hotel industry and the career opportunity it presents. Exhibits include a Letter of Agreement between D'Arcy and Whiting, the hotel's historical performance data, lodging statistics for the Savannah market, and the project budget. Students will learn how to perform an opportunity analysis in regard to a specific industry and project. The career management aspects of the case can be left as a case follow up discussion for the class.

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Wynton Marsalis & Jazz at Lincoln Center (Harvard Business School 515701-HTM-ENG): Under the leadership of artistic director Wynton Marsalis, Jazz at Lincoln Center (JALC) hosts performances and education events year-round for audiences in New York and across the U.S. Despite the popularity of JALC's events, however, the U.S. audience for jazz is small and aging relative to other music genres. This case asks students to apply marketing principles to the challenge that JALC faces in seeking to expand the reach of and appreciation for jazz music despite a shrinking audience. The case features a multimedia format of audio and video clips in order to engage students directly with JALC protagonists and with jazz music-the real protagonist of the case.

Chapter 5: Environmental Analysis and Strategic Uncertainty •

Pricing the EpiPen: This is Going to Sting (Darden Case UV7186-PDF-ENG): This case examines the public controversy that erupted over the increasingly high price of EpiPens. Mylan Inc., (Mylan), a generic drug maker, bought the EpiPen product line from Merck in 2007. Since that time, the company both invested in marketing to raise awareness for the drug and dramatically increased the price, lifting it from $100 to $600 per two pack in the U.S. In 2016, simmering consumer anger about the high prices of pharmaceutical drugs

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finally reached a boiling point and a media firestorm ensued. The case challenges students to think about the role of fairness in pricing. How can Mylan justify the dramatic price increases? How can it justify the variation in prices across countries, as an EpiPen is priced at an equivalent of $85 in France? The case challenges students to think about how they would handle a public controversy. The EpiPen case is well suited for students in MBA, MBA for Executives, and executive education programs. For MBA students, it can be placed in firstyear marketing, pricing, or marketing communications courses. For executives, it can serve as a vehicle to discuss both ethical issues of pricing and how to handle a public controversy. •

Tequila Patrón (Harvard Business School 517108-PDF-ENG): Tequila Patrón was one of the most successful tequila marketers in the United States. Patrón needed to grow and in Mexico, the second largest market for tequila, the brand was perceived as American. What portfolio and branding strategy would best serve Patrón to conquer the Mexican market? Furthermore, what would expanding in Mexico imply for the company's marketing operations?

Chapter 6: Customer Value Leadership •

ASICS: Chasing a 2020 Vision (Harvard Business School 5170600-PDF-ENG): In early 2016, Motoi Oyama, president and CEO of ASICS, a major sports apparel and footwear manufacturer based in Japan, lays out his company's growth plan for the upcoming 5 years. The new plan set ambitious goals in terms of revenue and profit increases. At the heart of the strategy to achieve these goals are a desire to embrace a more direct to consumer mindset, expand into new customer segments, and communicate a more consistent and emotional brand worldwide. With its primary core customer currently the "serious" runner and its innovation strategy geared towards high-end performance, pursuing these objectives in light of the fierce competitive landscape posed a multitude of challenges. Moreover, the company had recently launched several lifestyle brands (using brand names it had revived), which posed brand architecture issues. Lastly, the company had just acquired a digital fitness app, RunKeeper, and was wondering how best to leverage this asset and how it fit with the main pillars of the growth plan strategy. The Tokyo 2020 Olympic Games would coincide with the conclusion of the 5 year plan, and ASICS had paid over $100 million to be a Gold Sponsor of the games- Oyama wondered whether his company was on the right track to achieving the goals he intimated to shareholders.

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Virgin Atlantic Airways: Ten Years After (INSEAD 595-023-1):2 The Virgin Atlantic Airways (VAA) case was written on the occasion of the company's 10th anniversary. In 10 years, VAA has brought many innovations to the airline industry and won many awards for its service. It has fought against giants on an international scale and has survived the airline industry's most difficult years. The case describes the history of the firm, its achievements, and its practices especially in terms of operations, human resources and marketing. The case aims to discuss the concept of customer value delivery and to understand the mechanisms by which VAA can profitably offer its customers high quality service at a low price.

2 This is not a new case but it is included because it fits the topic very well and works exceptionally well in class.

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Chapter 7: Managing Customer Relationships •

Telenor: Revolutionizing Retail Banking in Serbia: Digital Transformation of the Customer Experience (INSEAD IN1328-PDF-ENG): Telenor, the international telecommunications giant, took advantage of the weak state of Serbia's financial sector to launch the country's first mobile-only bank. Telenor Banka's success story is shared by the CEO, an INSEAD alumnus, who was instrumental in the study. The central issue of the case - devising a marketing plan for a new financial service in a new market - allows for discussion of themes such as digital marketing, digital disruption, customer experience strategies, customer segmentation, omni-channel strategies, and brand positioning and architecture.

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Unlock the Mysteries of Your Customer Relationships (Harvard Business Review R1407EPDF-ENG): Despite the $11 billion spent on CRM software annually, many consumer companies don't understand customer relationships at all. They aren't aware of the variety of relationship types and don't understand what kind their customers want. Through research in a wide variety of consumer industries, the authors have identified 29 types of relationships. For example, some customers want to be "best friends" with a brand; others are looking for a passionate "fling"; still others find themselves as "ex-friends" and would welcome a closer bond. To understand the current portfolio of relationships, companies must pick up on signals from multiple sources. Companies can then build a strategic mix of connections by bolstering desired relationships and shifting customers to more-valuable types. There are many issues to consider: For example, some relationship types are more profitable than others. No actions will bear fruit unless a relationship orientation pervades not just the marketing function but every aspect of the company that touches customers or affects interactions with them. Customers don't just represent the next upsell or cross-sell opportunity; they are individuals looking for a certain kind of interaction. Companies need to respond accordingly.

Chapter 8: Creating Valuable Customers •

AnswerDash (Harvard Business School 516106-PDF-ENG): It is 2014 and AnswerDash, a startup backed by venture capital, has not seen the widespread adoption of their online selfservice customer support solution that they were expecting based on early success in helping clients save and generate substantial amounts of money. Dr. Jacob O. Wobbrock and Dr. Andrew J. Ko are revisiting their go to market strategy to determine how to build a viable business out of their groundbreaking technology. The case raises issues in entrepreneurship and B2B marketing such as analyzing economic value to the customer, designing optimal price metrics, aligning pricing with marketing strategy, customer lifetime value, organizational selling, and influencing innovation adoption.

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Allianz Turkey: Focus on the Customer (A) and (B) (Harvard Business School 316093-PDFENG and 316094-PDF-ENG): At the age of 39, Solmaz Altın took over the helm at Allianz Turkey. Solmaz quickly realized that, although the insurance market was thinly penetrated in Turkey, the company was operating in a very competitive environment with pressure on prices and, hence, cost control. Consequently, customer satisfaction was suffering. Despite the growing Turkish economy and a favorable regulatory environment, Solmaz was struggling to grow the company without further sacrificing customer satisfaction or

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profitability. Used as part of a course on service excellence, the case provides an insurance context in which to explore the link between customer satisfaction and competitive performance and challenges the students to ponder the extent of the relationship between customer satisfaction and financial performance. In the (A) case, the Allianz Turkey executives focus their initial efforts on the claims process of the automobile insurance business-a lowly rated segment of the insurance industry by their policyholders. They begin by creating a map of the customer experience and then doing extensive consumer research to determine what really matters to the policyholder. The insights gleaned from the detailed consumer analysis are quite different than the original beliefs of the management team. Students must devise a new customer service model for the claims process based upon the customer analysis. The (B) case describes the new customer service model for the claims process and the resulting increase in customer satisfaction as measured by the Net Promoter Score (NPS) metric. Students must first decide whether the initial effort is a success and then develop a plan for the future. Chapter 9: Building and Managing Brand Equity •

Choosing the Right Metrics for Listerine Brand Management in Brazil (Darden Case UV7205-PDF-ENG): Ronaldo Art, brand manager for J&J's Listerine, reflected on the progress he had made in market penetration for the oral hygiene product from the time he started in the position in 2010 to late 2014. He wanted to develop a long-term strategy for the brand rather than stimulating short-term increases in market share, which could compromise the equity of the brand, its profitability, and its long-term competitive advantage.

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Shang Xia: The Creation of a Chinese Luxury Lifestyle Brand (Harvard Business School 517032-PDF-ENG): The case traces the birth of Shang Xia, a joint venture between the Hermès Group and Chinese designer Jiang Qiong Er. Launched in 2009 in Shanghai, the new brand's core mission is to revive and promote China's 5,000-year-old cultural heritage and leverage Chinese craftsmanship to design contemporary products. Describing the brand evolution over its first eight years of existence, the case allows for an exploration of the challenges associated with creating a luxury brand and reconciling several strategic imperatives: the need to build a strong, desirable, and prestigious brand identity and grow a profitable and sustainable business. The case also provides an opportunity to discuss the benefits and challenges associated with 1) building a luxury brand from scratch and 2) being a luxury brand "made in China" with global ambitions.

Chapter 10: Toward a Strong Brand Relationship •

Lululemon Athletica (Kellogg School of Management KE1010-PDF-ENG): The case traces the development of Lululemon Athletica (Lulu) from founder Chip Wilson's first post-yoga euphoria in 1997 through the sale of all his shares in 2015. Officially founded in 1998, Lulu was built on the foundation of its "miracle" figure-enhancing yoga pants made from a proprietary stretch fiber. The case outlines Wilson's early experience in technical performance wear, which gave him the expertise needed to launch the Lululemon brand with its premium-priced, fashion-designed product line targeted at upscale women. The case also highlights the retailing and promotion approach that drove Lulu's first decade of success. The

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snapshot of how the Lulu brand cult was born and diffused provides the backdrop for assessing whether the brand has already hit its peak or whether it can sustain the explosive growth that effectively created the athleisure category. To aid in this determination, the case presents two competitors as comparative foils (Under Armour and Athleta) to contextualize Lulu's growth prospects. The Lululemon case highlights the importance of the competitive frame of reference when positioning a brand and describes how this may differ for the three competitors. The case also allows for a discussion of the challenges of maintaining the congruence of a retail brand with a diverse product line. This struggle is unique to retailers who must fit ever-varied product assortments (not just a single product line) under the umbrella of a single brand proposition, and is particularly relevant to vertically integrated brands such as Lululemon. •

Pepperfry.com: Marketing to Manage Customer Experience (Ivey Publishing W17332-PDFENG): In 2016, Pepperfry.com was India's leading online retailer of furniture and home products. As a pioneer in the online furniture and furnishings space, Pepperfry had a firstmover advantage that led to the achievement of significant milestones within a short period. Online marketing, however, involved distinct challenges compared with traditional marketing practices. Improving customer experience at the different stages of a consumer's purchase could be the foundational strategy to resolve these challenges. How could Pepperfry's service design further enhance the customer experience and achieve a competitive advantage?

Chapter 11: Energizing the Business •

The Coca-Cola Company's Case for Creative Transformation (Harvard Business School 815714-HTM-ENG): In 2013, the Coca-Cola Company was awarded Creative Marketer of the Year by the Cannes Lions Festival (known as the "Oscar of Advertising") for the first time ever in history and nearly 50 years after the Festival's inception. Just one year before that, Jonathan Mildenhall, Senior Vice President of Integrated Marketing Content and Design Excellence, orchestrated the development of Content 2020, a blueprint for how all CocaCola's branding content ranging from traditional TV commercials to viral and social media content should be procured, built, tested, and distributed in the next 10 years. This case provides a unique opportunity to "look under the hood" and understand how the main principles of Content 2020 work and infer how the beverage company achieved its most prestigious marketing award of all time. This case presents four primary learning objectives. What is the value of creativity to businesses? When is creativity in advertising more important? How can firms produce creative content in a networked world?

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Casper Sleep Inc.: Marketing the “One Perfect Mattress for Everyone” (Harvard Business School 517042-PDF-ENG): “A Warby Parker of mattresses? Somebody is going to do it. Why not us?" This was the topic of a conversation begun in spring 2013 among Gabe Flateman, Philip Krim, Neil Parikh, and T. Luke Sherwin. The four met as members of a New York City venture accelerator program. All admired Warby Parker's success in delivering on the promise of "designer eyewear at revolutionary prices," via a direct-toconsumer sales model. "Big Mattress," their term for the current manufacturer / retailer

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system, featured not only high prices, but also, as they would describe to many in the days ahead, "one of the worst buying experiences in the world." Chapter 12: Leveraging the Business •

LongChamp (Harvard Business School Case 316086-PDF-ENG – 2016): Longchamp's Le Pliage is one of the fashion world's most successful products, a cultural icon across the globe. But managing the low priced, nylon handbag is challenging as Longchamp tries to move its brand upmarket into higher priced, luxury leather goods. How much should Longchamp focus on Le Pliage versus its leather handbags? How should the subbrand be distributed, merchandised, priced, and promoted? How does Le Pliage both contribute to and detract from Longchamp's brand equity? This case offers students insight into the opportunities and challenges associated with managing a luxury brand. Discussion opportunities include: How to build and maintain heritage that grants legitimacy to a luxury brand; How to manage brands over time as consumer tastes change and as new competitors shift the landscape; How to move a brand upmarket; How to manage a multi-product product line and product extension strategy; How to extend a brand across categories via brand extensions; How to balance retail and wholesale distribution of luxury products and how to incorporate ecommerce into a distribution system; How to build marketing programs that deliver short term sales and build long term brand equity.

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Singapore Airlines: Premium Goes Multibrand (Harvard Business School Case / #517017): Singapore Airlines had long been considered the gold standard because of its innovative customer service. However, the company was faced with new sources of competition, from the rapid growth of Southeast Asian low-cost carriers on the one hand to the expansion of premium Gulf carriers on the other. The company therefore decided to launch a low-cost airline of its own called Scoot, the fourth brand in its portfolio. Now CEO Goh Choon Phong must consider how to grow all 4 airlines without cannibalizing its own market share or diluting the sterling brand of the parent airline.

Chapter 13: Creating New Businesses •

UFO Moviez (Harvard Business School 716447-PDF-ENG): UFO Moviez is an Indian technology services provider that enables low-cost, digital delivery of films to cinemas. UFO's satellite-based technology enables a significantly wider release of films compared to traditional analog prints and standard, higher-resolution digital prints that must be transported physically. By 2015, 54% of all cinemas in India were using UFO's digital cinema system. UFO has achieved this without upsetting the industry's value chain of producer-traditional distributor-cinema-owner. The company earns revenue through three main streams: fees charged to the producer/distributor for converting films to digital format and distributing them over satellite, fees charged to the cinema owner for leasing the projection systems, and advertising revenue from ads shown during the screening of films. With cinemas in India mostly digitized, however, UFO faces challenges to continual growth. Should UFO focus on increasing its advertising revenue, leveraging UFO's core technology in other areas, or entering the business of film distribution?

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Pintura Corporation: The Lena Launch Decision (Harvard Business School 917523-PDFENG): A maker of paints and product coatings is considering introducing a new highperformance, environmentally-friendly hardwood coating called Lena. To proceed with the next phase of development, Pintura's VP of new product development must present a convincing analysis of the product's feasibility-along with a proposed marketing program. The VP must consider the relationship of the proposed product to the rest of the Industrial Finishes Group's product line, as well as how it would contribute to corporate and divisional objectives.

Chapter 14: Global Marketing Strategies •

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Harmonie Water: Refreshing the World Naturally (Harvard Business School 917527-PDFENG): The marketing director of Harmonie Mineral Water-the second-best selling bottled water in the world-is using findings from two project studies to assess how to establish a global brand identity for Harmonie via television advertising. He must decide what product attributes are sufficiently important across countries that they can be used for global brand communications. He also must determine the extent of local customization he should allow and the roles of headquarters and country managers in these communications.

Chapter 15: Setting Priorities for Businesses and Brands •

The Walt Disney Studios (Harvard Business School 516105-PDF-ENG): In December 2015, Alan Horn, chairman of The Walt Disney Studios, celebrates the world premiere of Star Wars: The Force Awakens - only the latest in a string of big bets that he has overseen. Disney pursues a 'tentpole strategy' that revolves around at least eight big-budget movies each year—most from its acquired labels Pixar, Marvel Studios, and Lucasfilm. In fact, Disney produces nearly twice as many tentpole movies as any other major Hollywood film studio, but fewer movies overall than all but one of its rivals. Box-office failures can be extremely costly, since Disney (unlike its rivals) chooses not to enlist the help of financing partners. Is Disney Studios pursuing the right number of tentpoles as well as the right mix of new versus existing properties, under the right financing structure? And will the tentpole strategy pay off-in the short and long run? Students will learn to analyze product-portfolio

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management strategies, and especially how to balance bigger versus smaller bets as well as how to find the right mix between investments in existing versus new properties. •

Crown Distilleries: Multi-Brand Extension (Ivey Publishing W16592-PDF-ENG): The chief marketing manager of Crown Distilleries (Crown) in Raipur, the capital city of the Indian state of Chhattisgarh, faced cumbersome brand-building activities and maintenance of its brand equity. Competitors began taking market share from Crown's well-established brand. Crown added new brands to its portfolio in response to its competitors' activities. Would it be fruitful for the company to opt for an umbrella brand in a particular segment or continue to add new names to its product portfolio? How would the company develop an action plan to beat competitors, choose a brand name for its new product, and build strong brand equity?

Chapter 16: Harnessing the Organization •

DBS Transformation (A-C): Becoming a World-Class Multinational Bank (IMD-7-1836): This case series examines the two-stage transformation of DBS 2009- 2017. In both stages the bank places the customer as the centre of its thinking about how to structure, resource and play in the market. In 2009 DBS was an underperforming national bank with overseas branches, losing traction and lacking a compelling strategy. Under new leadership the A case describes the initial implementation of its turnaround strategy with the objective of creating a competitive world class multinational bank. DBS must decide which overseas market to focus on and how to enter. It raises the issue of the role of the fintechs in shaping the future of banking and its likely impact on the bank's strategy. The B case describes DBS's digital pure-play entry into the Indian market, its strategic reset now with an ambition to be like a 22,000 person start up prompted by its assessment of what the fintech landscape populated by the likes of Alibaba/ant financial. The case describes significant progress but asks whether this is sufficient given how the industry is evolving. The C case describes the company's progress up to 2017 and highlights why Euromoney named DBS as the World's Best Digital bank. It asks whether this progress is sufficient in given the amount of sectoral change.

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Royal DSM (A-C): Creating a Chief Marketing Officer (CMO) Position in a B2B Firm (IMD-7-1646): This three-part case series examines the change management challenge of putting corporate marketing at the top of the corporate executive suite (C-suite) agenda in a business-to-business (B2B) multinational. It follows the four-year journey, from 2010 to 2014, of Mauricio Adade, the newly appointed chief marketing officer (CMO) of Royal DSM - a global leader in life sciences and material sciences headquartered in the Netherlands. The case series, together with the video supplement, delves into the issues faced by the company’s top leadership, including Adade, in its effort to transform a diversified industrial company into an organization with best-in-class marketing and sales capabilities. Case A begins by highlighting the culture and organizational structure of Royal DSM and the decision to raise the profile of headquarters-based corporate marketing, with the appointment of Adade in 2010. It discusses the marketing and sales excellence project launched by the new CMO during his first year at the helm and concludes by putting the spotlight on the resistance posed by the company’s most powerful stakeholders: the business group leaders. Case B focuses on the implementation journey during the period 2011-2014. Adade and his team adopted a new plan of action and positioned the corporate marketing department as a

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partner that worked with the business groups to deliver projects with quantifiable results. Did the new strategy work? Case C provides an update on the replacement of Adade (announced in December 2014) and allows for a discussion on the challenges that lie ahead for the new CMO and the organization as a whole. BEST PRACTICE CASES IN EACH CHAPTER With the exception of the first chapter, each chapter contains two contemporary best practice case studies that examine how one international company and one digital company have implemented the principles in the book. A set of discussion questions are offered that will allow instructors to extend the analysis in class. Answers to these questions are contained in “Best Practice Teaching Notes.” A summary of these cases are listed below. Chapter Chapter 2

Chapter 6 Chapter 7

Best Digital Practice case Glossier: Using Beauty to Talk Back to Consumers T-Mobile: The Un-Carrier BeMyGuest: Experience Economy in Asia Kraft Mac and Cheese: A Stealth Marketing Approach CVS: In the Healthcare Business Panera 2.0

Chapter 8

Netflix Customer Loyalty Machine

Chapter 9 Chapter 10

Chapter 13 Chapter 14 Chapter 15 Chapter 16

REI’s #OptOutside Brand Identity How Sephora Creates Beauty Across Brand Touchpoints Chiquita Banana Growing the Audience for Hamilton Adobe’s Subscription Model Mars + Alibaba Microsoft Acquires Skype Itaú Unibanco

Chapter 17

LinkedIn’s Greatest Assets

Chapter 3 Chapter 4 Chapter 5

Chapter 11 Chapter 12

Best International Practice case P&G Customer Analysis Guides Marketing Communications in China Xiaomi: Less is More Cholula: America’s Hottest Sauce How Airbnb Managed Uncertainty in the Sharing Economy Tetra Pak How Electricity Wizard Manages its Funnel How Starbucks Rewards Reward Starbucks This Girl Can: Building Awareness Lifebuoy Maersk Tanita Wanglaoji Tea Gillette India Target Canada The Philips Journey to Customer Centricity Apple: Building the World’s Most Valuable Brand

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