After the completion of planning stage of marketing plan, an organization has to go through next stage which is strategic options. It deals with various key issues that a firm needs to look at. They are marketing objectives, Strategic objectives, Marketing mix, STP (Segmentation, Targeting, Positioning) process, Distribution process and Value chain.
The phase 2 of the marketing plan for Nokia SIM cards deals with each of this. In order to diversify in to SIM cards market, Nokia needs to identify key issues that it has to deal with and the competitive advantage it needs to focus on to penetrate in the market and gain market share. The marketing objectives deal with increase in sales volume and profitability. Strategic objectives can be found out with the help of BCG matrix. Marketing Mix deals with the 4 P’s (Product, Price, Place, and Promotion). Distribution process deals with the ways in which Nokia can deliver its SIM cards to the customers and Value chain deals with the steps that needs to be undertaken in order to manufacture and deliver SIM cards to its customers.
MARKETING OBJECTIVES
It is defined as, ‘marketing goals that the business must achieve in order to meet its wider business objectives’. Some of the main marketing objectives of an organization are to increase its market share, differentiate its products from competitors, develop brand value among its customers, and introducing new products or services in the market. The strategic objectives of an organization can be measured with the help of BCG matrix. BCG matrix helps to measure an organizations business units or product lines.
Stars (Build): Stars represents an organization that has large market share in a rapidly growing industry and focuses on increasing sales and market share. In case of Nokia entering the mobile network market, they have dominated the Indian cell phone market for many years. But to maintain this lead in the service provider market they need to make huge investments to develop their R & D and also their supply chain department so that it can utilize its geographical reach to provide its mobile network service to people living in rural areas also which is still an untap mobile network market up to a certain extent.
Question Marks (Hold): It represents a firm which has a small market share in a high growth market and the objective is to maintain market share. In case of Nokia SIM cards, initially they need to penetrate in the market with cheaper rates than their competitors and provide service plans as per the needs of the customers. By implementing these strategies they will attract certain market share but whether they will sustain in the market is unknown.
Cash Cows (Harvest): It represents an organization that has small market share in a growing market and the objective is to maximize profit though its sales and market share is falling. In case of Nokia entering mobile network market, they will be new to the market and have a small amount of market share. If its growth is stable or declining due to much competition from competitors than it needs to maximize its profit by engaging into tie-ups with existing players.
Dogs (Divest): It represents a firm which has very small market share in a mature market. The objective is to wind up or sell its product rights to other organization. In case of Nokia SIM cards, if it fails to gain market share then it needs to sell its mobile network to other player in the market or else has to completely wind-up its business from the market.
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