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An overview of various frameworks for evaluating marketing and business cases. The four ps framework is useful for analyzing marketing strategies of products and services, while the four cs and five cs frameworks are helpful for analyzing new product introductions and industry analysis. The bcg matrix is a well-known tool for analyzing a company's market position and growth strategy.
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The Four Ps This is a useful framework for evaluating marketing cases. It can be applied to both products and services. The Four Ps consist of:
Price
The price a firm sets for its product/service can be a strategic advantage. For example, it can be predatory (set very low to undercut the competition), or it can be set slightly above market average to convey a "premium" image. Consider how pricing is being used in the context of the case presented to you.
Product
The product (or service) may provide strategic advantage if it is the only product/service that satisfies a particular intersection of customer needs. Or it may simply be an extension of already existing products, and therefore not much of a benefit. Try to tease out the value of the product in the marketplace based on the case details you have been given.
Position/Place
The physical location of a product/service can provide an advantage if it is superior to its competition, if it is easier or more convenient for people to consume, or if it makes the consumer more aware of the product/service over its competition. In the context of a business case, you may want to determine the placement of the product or service compared to its competition.
Promotion
With so much noise in today's consumer (and business to business) marketplace, it is difficult for any one product/service to stand out in a category. Promotional activity (including advertising, discounting to consumers and suppliers, celebrity appearances, etc.) can be used to create or maintain consumer awareness, open new markets, or target a specific competitor. You may want to suggest a promotional strategy in the context of the case you are presented relative to the promotional activity of other competing products/services.
The Four Cs The Four Cs are especially useful for analyzing new product introductions and for industry analysis.
Customers
How is the market segmented? What are the purchase criteria that customers use?
Competition
What is the market share of the clients? What is its market position? What is its strategy? What is its cost position? Does he/she have any market advantages?
Cost
What kind of economies of scale does the client have? What is the client's experience curve? Will increased production lower cost?
Capabilities
What resources can the client draw from? How is the client organized? What is the production system?
The BCG Matrix The BCG Matrix, named after the Boston Consulting Group (BCG), is perhaps the most famous 2x2 matrix. The matrix measures a company's relative market share on the horizontal axis and its growth rate on the vertical axis.