Unit code: MMK331

Unit name: COMPETITIVE MARKETING

STRATEGY

Semester: 1, 2004

Unit prerequisite: MMK177 or MMK277

UNIT OUTLINE

UNIT OVERVIEW

Nature of the unit

This unit is concerned with marketing strategy planning. The focus is on marketing strategy
formulation.
The unit examines the nature of rivalry and the formulation of a marketing strategy plan
based on competitive position. This approach uses context as a basis for developing a
marketing strategy plan.
The concepts, framework and processes required to formulate a marketing strategy plan
based on competitive position are analysed. This is in contrast to the usual approach to
marketing strategy planning which focuses on customer value.

Learning objectives

1. To develop marketing strategy planning skills at an advanced level that will allow
participants to formulate an effective marketing strategy plan based on competitive
position.
2. To increase participants knowledge and understanding of the competitive forces
facing marketing strategy formulation and implementation.

Content

1. Competitive Marketing Strategy - Concepts and Principles

Economic models of competition, the development of models for strategy and the role
of management in developing and implementing strategy.

2. Dominant Position Strategies

Strategies for market expansion and profit building. The use of multibrand strategies,
maximising market potential within a profitable market. Strategic flexibility for profit
and dominance protection.
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3. Market Leader Strategies

Developing market leadership position, attacking the market leader, product market
repositioning.

4. Strategies for the Challenger and Follower

Strategies for market dominance seeking flanking and leadership position. Breaking
monopolistic competition through restructuring the market.

5. Growth Strategies for Product/Market Specialists

Competitive strategy based on gradual growth in the market. Regional brand

expansion, competing against larger competitors

6. Strategy Implementation, Evaluation and Review

Performance evolution and strategic direction.

The Deakin Advantage

In planning this unit, we have sought to contribute to the “Deakin Advantage”.

This refers to the expectation that our courses of study will provide students with the
opportunity to:

• acquire and be able to work with a systematic body of knowledge, based on the
highest standards of scholarship and research, to a level of mastery appropriate to the
level of their award;
• develop an understanding of professional, industrial and social contexts of their
discipline;
• gain the ability to identify, gather, retrieve and operate on textual, graphical and
numerical information; and
• gain the following personal skills:

- a good standard of oral and written communication and presentation;

- a capacity for teamwork and collaboration;
- an ability for critical thinking, analysis and problem solving;
- organisational and personal management skills;
- information technology literacy; and
- a capacity for lifelong learning and an appreciation of its necessity.

Most of the teaching and learning activities in this unit will use and expand your knowledge
and skills in a manner that develops some or all of these attributes. We suggest that you
record in your professional portfolio those activities that contribute to the Deakin Advantage,
using the points listed above as headings.
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For example, among the activities the unit tasks for this semester include the use of the DSO
conferencing system (IT skills); working on a major case study that allows for group work
( planning and working as a co-operative team on a major task); provision for a tutorial
contribution and DSO, email and telephone contact (oral presentation skills using appropriate
technologies); use of prescribed text and other materials as well as the provision of lectures
(acquiring and being able to work with a systematic body of knowledge and developing your
ability for critical thinking); and the use of activities, review questions and case studies
( understanding professional, industrial and social contexts of your discipline).

Learning approach
One two hour lecture and one one hour tutorial per week.
This course puts strong emphasis on case studies, class exercises and tutorial participation as
well as self assessment.

Tutorial participation

You are required to prepare for tutorial work so that you can make a worthwhile and
significant contribution to class discussion.
Tutorial attendance is essential for the whole of the tutorial if you wish to obtain
good results in this unit.

In this type of unit where the answer to questions is not black or white and where
solutions rely on judgement, intuition and creativity class interaction is a very good way
of increasing participants awareness of problems and possible approaches to problem
solutions
Class participations ideas which tend to differ widely from each other will force students
to re-examine their perceptions and look for a more effective way of solving management
problems. Students will be encouraged to have their say with no risk of ridicule.

Self assessment

Self-assessment is based on questions and case studies.

The purpose of these activities is to give you an opportunity, as you progress through the
course to assess your understanding of significant points.

Suggested answers provided in tutorials will give you feedback on your performance in
comprehending or in applying specific or general knowledge. You should therefore devote
considerable effort to the self-assessment questions and case study analysis and solution.

Learning resources

The prescribed textbook for this unit is:

Brown L., 1997, Competitive Marketing Strategy, Nelson Australia, Melbourne.

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Reference books
Adcock D., 2000, Marketing Strategies for Competitive Advantage, John Wiley, New York.

Bradmore D.,1996, Competitive Advantage- Concepts and Cases, Prentice Hall, Sydney.

Czepiel, J.A. 1992, Competitive marketing Strategy, Prentice Hall, Englewood Cliffs.

Day, George S.,1990, Marketing Driven Strategy, Process for Creating Value, The Free
Press, New York.

Doyle P.,1994, Marketing Management and Strategy, Prentice Hall, New York.

Ferrell O.,Hartline M., Lucas G., 2000, Marketing Strategy,2nd Edition, Harcourt, Fort
Worth

Jain, S., 2000, Marketing Planning and Strategy, 6th edition, South-Western Publishing Co,
Cincinnati.

Porter, M.E.,1985, Competitive Advantage, The Free Press, New York.

Reed, P., 2003 , Marketing Planning and Strategy, 3rd edition, Harcourt Brace Joranovich
Publishers, Sydney.

Sudharshan D, 1995, Marketing Strategy-Relationships Offerings Timing & Resource

Allocation, Prentice Hall, Englewood Cliffs.

Walker O., Boyd H., Larreche J.C.,1996, Marketing Strategy-Planning and Implementation,
Richard Irwin, Chicago.

Walker O., Boyd H., Mullins J., Larreche J., 2003, Marketing Strategy- A Decision Focused
Approach, Mc Graw Hill/Irwin Boston

Periodicals
As with other fields of study, marketing is undergoing continual and sometimes dramatic
change. Accordingly, the reading of articles in the professional and commercial journals or in
the general media will assist you to maintain an up to date view of contemporary marketing
thought and practice.
The following journals are worth reading:

Business Review Weekly

Professional Marketing
Harvard Business Review
Journal of Marketing Management
Journal of Strategic Marketing
Journal of Marketing
Journal of the Academy of Marketing Science

Study Guide/Readings
In this unit there is no study guide or readings.
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Staff and contact details

Unit chair and unit coordinator

Jerry Soldatos

Room: C 522
Phone: 9244 6591
E-mail : soldatos@deakin.edu.au

Assessment

Assessment tasks

Assignment: Case study 30%

Final examination 70%
--------
Total 100%

Please note that the assignment is compulsory and must be submitted.

Assignment weighting cannot be transferred onto the final exam weighting.

Make sure you read the assignment submission policy in the section ‘Assignment submission
and assessment policy’.

To help you with preparing your assignment make sure you read ‘Additional case study
information’.

The assignment must be submitted as a group assignment.

You do not have to pass the exam in order to pass the unit.
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Assignment: Case study

Due date: See tutorial schedule

Marks : 30%

Word limit: 2500 words.

Please indicate the number of words on the front page of your assignment.

Required
Read your chosen case study. Once you have read the case study answer the following
questions:

1. What is the organisations current competitive position?

2. Set the objectives that specify the competitive position to be achieved and the
required market share, revenue and profit.

3. Evaluate the competitive marketing strategy options available to the organisation.

4. Which competitive marketing strategy options would you recommend and why?

Provide your tutor with written answers to the case study questions. The assignment must
address the four (4) questions as shown above. Within each question you must choose only
the most critical issues to discuss and address in depth. You should weight your answers and
allocate your attention according to the number of critical issues in each question.

Provide a brief overview of the case study and a presentation of your case study assignment
solution to the tutorial class and participate in the tutorial discussion with your study group.

PLEASE NOTE: This unit treats the concepts and principles of marketing at an
advanced level. Therefore it is necessary to obtain guidance from the tutor in preparing
this assignment.
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Determination of the assignment grade

The assignment will be marked as a whole peace of work.

Each of the four questions will NOT be market separately.

Therefore it is not appropriate for group members to answer a question in isolation

from the group.

Marks will be allocated on the following basis:

1. The extent that the students have applied the relevant theory.
2. The clarity and depth of the strategic analysis and problem definition.
3. The clarity and depth of the strategic options analysis.
4. The quality of the recommendations.

Final Examination

The examination will be based on the whole unit and will be three hours in duration.
You will not be allowed to take any notes or references into the examination room.
You will be advised later in the semester about the date and place of the examination.

The examination will probably consist of a number of essay-type questions. A limited choice
of questions for example three out of five will be offered. A short case study may also be
included.

You will be advised at the end of the lecture period as to the structure of the exam
paper.

In answering exam questions students are expected to illustrate their answers by

referring to case studies discussed in tutorials.

MARKS WILL BE LOST WHERE THIS DOES NOT OCCURE.

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Assignment submission and assessment policy

The assignment is a group assignment to be presented to the tutorial class on the scheduled
day. The presentation is not to exceed 15 minutes. The length of the written assignment must
not exceed the word limit.
The assignment should be typed all sheets should be stapled together at the top left-hand
corner. Plastic covers are not required.

One complete copy of the written assignment must be given to the tutor for assessment on the
day of presentation. Marks will be deducted for late submission at the rate of one per working
day.

Once the semester program is formulated, students will not normally be permitted to change
the date of the scheduled case study presentation and written submission.

No extensions will be considered for the assignment submission due date unless a written
request is submitted and negotiated with the unit chair/coordinator prior to the submission
due date.

Assignments submitted late without an extension being granted will not be marked.

Your results and assessors comments will be returned to you normally within 21 days of the
due date.

Group work has advantages and disadvantages

Some advantages are that it develops communication and leadership skills. In addition it
expands your capacity to teamwork and prepares you for the communal aspects of the
workplace. Group work enhances your ability to resolve conflict.

Some disadvantages are that it is difficult to identify and evaluate the contribution of each
student. Students may ‘bludge’ and this de-motivates other group members who may see the
assessment as unfair. It may be difficult for students to get together and they see the
assignment as time consuming. Group dynamics may be such that the group does not
function properly.

The case study group members are responsible for the group functioning appropriately.
If there are problems in the group you must alert your tutor well before the assignment
is submitted so that corrective action can be taken.

For the group to work effectively each group member must make an equal contribution. The
group will need to elect a chairperson for the group who will direct and integrate group
work. This person will indicate at the front of the written assignment the percentage of the
group mark that each group member should receive. For example if all group members
contributed equally, each will receive 100% of the group mark. If a group member has
contributed only 80%, then that person will receive 80% of the final mark.
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Guide to presenting your case study solution to the tutorial class

1. Group members must go to the front of the tute room in order to make their
presentation.

2. Not all group members need to present. However all group members must be
present in the front of the tutorial room.

3. The presenters must use overheads that are typed. The writing must be large
enough for the tutorial members to read from their position in the tutorial room.

4. Do not use more than 6 or 7 overheads in your presentation. Use the material on
the overhead to help you structure your presentation.

5. Present only key points not the whole assignment.

6. Do not simply read the whole assignment to the tutorial class.

7. As indicated above the presentation of your case study solution must not exceed
the time limit. This excludes class discussion time. If tutorial members do not ask
any questions at the conclusion of your presentation you must ask the class
members at least 3 questions to encourage class discussion.

8. You will need to practice your presentation at least once before you present to the
tutorial class to make sure you are properly organised.

9. Speak slowly and clearly. At no stage should you have your back to the tutorial
class when presenting your case study solution.
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Additional case study information

• Do not update the case study facts.

• When analysing the case study ask yourself what part of the competitive
marketing strategy theory do you need to apply.

• It is important to remember that the theory provides the framework as well as

the tools and process for solving case study questions. Problem solving through
decision making must be based on the appropriate theory.

• The purpose of the case study assignment is to apply the theory. It is your
laboratory work. The case study is concerned with the application of the theory
in a specific context.

• A case study is not a research paper. Do not reproduce theory or give references
to theory. Assume we know the theory.

• Do not use dot points in your assignment. Please write your answers in essay
form.

• Please do not combine assignment questions.

• There is no need to provide an executive summary, introduction or conclusion.

• Do not repeat case study facts. Assume we know the case study facts. Your task
is analyse the case study facts. To analyse means to pull the facts apart, look for
relationships from which you can draw conclusions and make predictions.

• You must begin work on your assignment at least three weeks before the due
date.
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Plagiarism and other forms of cheating

Plagiarism is the copying of another persons ideas or expressions without appropriate

acknowledgement and presenting these ideas or forms of expression as your own. It includes
not only written works such as books or journals but data or images that may be presented in
tables, diagrams, designs, plans, photography, film, music, formula, web sites and computer
programs. Plagiarism also includes the use of (or passing off) the work of lecturers or other
students as your own.

Plagiarism is a form of cheating that the University regards as an extremely serious academic
offence. The penalties associated with plagiarism are severe and extend from cancelling all
marks for the specific assessment item or for the entire unit through to exclusion from your
course. These penalties are detailed in Part 2 of Regulation 4.1 (1) Student Discipline.

It is important to realise, however, that it is not cheating to use the work of others in your
work. On the contrary- well-constructed essay or report should normally refer to and build on
the work of others for positioning, supporting and strengthening your work and advancing
knowledge. Plagiarism occurs when due recognition and acknowledgement of the work of
others is not provided.

Therefore whenever you are using another persons research or ideas (whether by direct
quotation or by paraphrasing) you must appropriately cite the source. If you ever in doubt
about the most appropriate form of referencing, you should consult your lecturer or Student
Life.

Unauthorised collaboration is a related form of cheating. Unauthorised collaboration involves

working with others with the intention of deceiving examiners about who actually completed
the work. If there has been any collaboration in preparing any individual assessment items,
this must be disclosed. In the case of group project work, lecturers provide guidelines on
what level of collaboration is appropriate and how the work of each participant in the project
is to be presented. If you have any doubt about what constitutes authorised and unauthorised
collaboration you should consult your lecturer.

Academic Skills – Understanding Academic Requirements

Written Style Requirements

Written assessment tasks can vary from unit to unit. It is important that you understand what
is required of a particular writing style to maximise your chances of academic success.
Examples of writing styles used for assessment in the Faculty of Business and law include
assignments, essays, case studies and reports.

The following link to Student Life website provides instruction on all of theses different
writing styles: www.deakin.edu/studentlife/academic skills/undergraduate/index.php
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Referencing requirements

Referencing involves acknowledging original sources of information when producing written

work. By referencing correctly, you not only give weight to any arguments or statements
made in your work, but also avoid plagiarism.

The following link to the Student life website provides a comprehensive guide on ‘How to
Reference Your Writing’ (downloadable):
www.deakin.edu.au/studentlife/academic skills/undergraduate/handouts/reference.php

The following Library website provides a virtual tutorial on referencing and has an online
quiz:
www.deakin.edu.au/library/tutorials/smartsearcher/

Oral Presentation requirements

It is important for you to understand what is required and how to prepare an oral presentation.

The following link to Student Life website provides useful tips for successful presentations:

www.deakin.edu.au/studentlife/academic skills/undergraduate/handouts/class pres.php

Exam Preparation

The examination is an important part of assessment. It is imperative that you learn how to
prepare for the examination and how to best use your time during the examination so that you
can attain academic success.

The following link to Student Life website provides valuable information about how best to
prepare and sit for an examination:

www.deakin.edu.au/studentlife/academic skills/undergraduate/handouts/exams.php#

Further Information

The Division of Student Life provides free on-campus academic skills workshops including:
Organising and Time Management skills; English Language Class: How to Avoid Plagiarism:
Working in Groups; Your First Assignment; Lectures and Tutorials; and Writing University
Assignments.

See the following website for further details and dates of workshops:
www.deakin.edu.au/studentlife/academic skills/oncampus workshops/index.php
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MMK 331 COMPETITIVE MARKETING STRATEGY :LECTURE SCHEDULE
SEMESTER 1 2004

Week Week Topic Section/ Page

Number Commencing Chapter
1 1 March The Concept of Competitive Strategy --------

2 8 March Competitive Marketing Strategy Section 1 1

Framework and Process 1 5
3 15 March Strategic Analysis- Concepts and Models 2 30

4 22 March Competitive Marketing Strategy and 3 64

Competitive Position
5 29 March Dominant Position Strategies Section 2 91
Market Expansion and Profit Building
Strategies 4 102
6 5 April
Brand Strategies to Build and Defend 5 126
Dominance

7 12 April
Strategic Flexibility to Protect Dominance 6 150
and Profit

8 26 April Non Dominance: Market Leader Strategies Section 3 179

Repositioning Strategies for Leadership 7 187
Attaching the Market Leader 8 212

9 3 May Non Dominance: Challenger and Follower Section 4 239

Strategies
Restructuring the Market to Create a New 9 245
Force
Flanking Strategies and Cost Leadership 10 274
10 10 May Section 5 315
Growth Strategies for Niche Competitors
Competitive Infiltration Strategies to Build 11 321
a Specialised Position
Expanding Regional Brands 12 348
11 17 May Flexible Strategies for Low-Cost Niche 13 373
Competitors

12 24 May Strategy Evaluation, Implementation and Section 7 489

Review
Strategy Implementation and Review 17 492
Revision of MMK331

NB: THIS LECTURE SCHEDULE MAY BE SUBJECT TO MINOR CHANGES

TUTORIAL SCHEDULE

Week Week Case study Text Group/s to lead case Questions

number commencing page study discussion for review
number and
discussion

1 8 March Form Groups for

Semester Work/
Discussion
2 15 March Course assessment
discussion

3 22 March Case study discussion Exercise 1

4 29 March Case study discussion Exercise

2 and 3
5 5 April Case study discussion Exercise
4 and 5
6 12 April Case study discussion Exercise 6

7 26 April Case study discussion Exercise 7

8 3 May Colgate-Palmolive – 141 Exercise 8

the toothpaste market
icon

9 10 May Hewlett-Packard – 227 Exercise 9

challenging the
computer giants

10 17 May Lion Nathan – 234 Exercise

attaching CUB 10

11 24 May Cussons – the Uniliver 262 Exercise

and Colgate battle 11 and 12

12 31 May Bi-Low – building a 378 Exercise

low cost niche 13

NB: THIS TUTORIAL SCHUDULE MAY BE SUBJECT TO MINOR CHANGE