NATIONAL UNIVERSITY OF SINGAPORE School of Business Department of Marketing MKT3416 Business-to-Business Marketing Instructor: Associate Professor Lau Geok

Theng Office: BIZ1 Mochtar Riady Building 08-10 Tel: 6516-3179 Fax: 6779-5941 E-mail: geoktheng@nus.edu.sg Semesters II, 2011/2012

Session:

Course Objectives This course seeks to acquaint participants with the basic concepts, tools and frameworks in business-to-business marketing. Participants are exposed to the unique challenges in operating in the business market and provided with opportunities to carry out marketing analysis and to make marketing decisions in the business marketing context. This course will be taught in an application-oriented fashion. The various business marketing management concepts and principles will be taught through brief lectures, class discussions, class exercises and videos. The participants will learn how to make business marketing decisions, solve business marketing problems and develop business marketing plans through individual analysis, class discussion and group presentation of marketing cases as well as group involvement in a business marketing project. Required Text Lau Geok Theng, Business Marketing: An Asian Perspective, McGraw Hill, 2007. Reference Text Michael D. Hutt and Thomas W. Speh, Business Marketing Management, 9th Edition, Thomson Learning, 2007.

Course Outline Session 1

10 Jan

Topic Course Introduction. Case Analysis Introduction to Business Marketing Management. Business Buying Process and Behavior. Chapter 1

Assignment

2
17 Jan

Chapters 1 & 2 Leonidas C. Leonidou, Industrial Buyers Influence Strategies: Buying Situation Differences, Journal of Business and Industrial Marketing, 20, 1, 2005, 33-42. Chinese New Year

31 Jan

Field Trip to Eurocopter South East Asia Value Assessment in Business to Business Market

Wait at Mochtar Riady building basement pick up area at 12.00 sharp. James C. Anderson, James A Narus and Wouter van Rossum, Customer Value Propositions in Business Markets, Harvard Business Review, March 2006. James C. Anderson and James A Narus, Business Marketing: Understand What Customers Value, Harvard Business Review, November-December 1998. Analyse Case: Optical Distortion (A). Class Discussion.

7 Feb

5
14 Feb

Market Analysis Market Segmentation

Chapters 3 & 4 Stanley F Slater and Eric M Olsen, A Fresh Look at Industry and Market Analysis Business Horizon, 45, 1, January-February 2002, pp. 15-22. Analyze Case: Vinraj Mini Tractor: Is Small Beautiful? Class Discussion. Term Break

28 Feb

Marketing Strategies and ECommerce in the Business Market. Meeting with Eurocopter Management Staff

Chapters 5 & 6 How Companies are Benefiting from Web 2.0, McKinsey Global Survey Results, 2009. Analyse Case: Global Sources Ltd: The Evolution of
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B2B. Individual Assignment A. Group Presentation I. 7

6 Mar

Managing Product Strategies Chapter 7 and Decisions in the Business Market. Klaus Backhaus, Michael Steiner, and Kai Lugger, To Invest or Not to Invest in Brands? Drivers of Brand Relevance in B2B Market Industrial Marketing Management, 40, 2011, p. 1082-1092. Analyse Case: Microsofts Go-to-Market Strategy for Azure in India. Individual Assignment B. Group Presentation II.

8
13 Mar

Managing Pricing Strategies Chapter 8 and Decisions in the Business Market Kostis Indounas, Successful Industrial Service Pricing, Journal of Business and Industrial Marketing, 24, 2, 2009, pp. 86-97. Analyse Case: Atlantic Computer: A Bundle of Pricing Options Individual Assignment C. Group Presentation III.

20 Mar

Managing Channel and Sales Force Strategies and Decisions in the Business Market

Chapter 9 & 10 John M Abele, William K. Caesar and Roland H John, Rechanneling Sales, The McKinsey Quarterly, 2003, No 3, pp. 2-13. Analyse Case: Cisco System: Managing the Go to Market Evolution Individual Assignment D. Group Presentation IV.

10
27 Mar

Negotiations in the Business Market. Negotiation Exercise.

Chapter 8. David A Lax and James K. Sebenius, 3-D Negotiation: Playing the Whole Game, Harvard Business Review, November 2003. James K. Sebenius, Six Habits of Merely Effective Negotiators, Harvard Business Review, April 2001.

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3 Apr

Managing Marketing Communications in the Business Market.

Chapter 11 B2B ContentMarketing: 2010 Benchmarks, Budgets and Trends

(http://www.contentmarketinginstitute.com/wp-content/uploads/2010/09/B2B_Trends_2010.pdf)

Analyse Case: Cisco System: Launching the ASR1000 Series Router Using Social Media Marketing. Individual Assignment E. Group Presentation V. 12
10 Apr

Test

13
14 Apr (Sat)

Eurocopter Project Presentation and Report

Written Report Due Today Presentation by All Team Members (15 minutes) Formal Wear Required

Course Assessment Individual Attendance and Class Participation (20%) Students are encouraged to participate actively in every class, whether the discussion is on topics or subject matters related to business marketing management, or on the analysis of marketing problems or recommendations on strategies represented in a case situation. It is felt that participants will learn more by debating and examining issues and decisions in an active discussion format rather than passively listening to a lecturer. Participants will not be allowed to operate their notebooks, PDAs or other communication devices in class. All computer notebooks should be kept closed in class. Please take notes by hand. Individual Case Report (20%) Each student will be assigned a case. They have to analyse the case assigned to them and submit a report [maximum 12 pages, A-4, single-spacing, font size 12-points] during the class session when their assigned case will be discussed or presented. Individual End of Term Test (20%) The test will consist of short essay questions. It will be open book. Group Case Presentation (15%) Students will be formed into groups of about four to six members each. Each group will be assigned a case and group members have to analyse their assigned case and submit a one-page executive summary of their key analysis and recommendations as well as give a presentation [maximum 20 minutes, 20 powerpoint slides]. Please submit a hardcopy of your executive summary and your powerpoint notes [2 slides per page] before you make your presentation. All members must present. Group Projects (25%) Participants will be formed into groups of about four to six members each. Each group will be assigned one of the following topics related to the business of Eurocopter SE Asia (www.eurocoptersea.com.sg): Topic One: Developing the EMS Market in South-East Asia Is there an opportunity in the emergency medical services (EMS) market in South-East Asia? What is the existing market status? What are the business models applied (public, private, semi-public)? What types of aircrafts are being operated (rotary and/or fixed wings)? What are the different perspectives and constraints? What are your recommended strategies? What is the priority? How can Eurocopter develop and lobby this segment in the Philippines, Taiwan, Indonesia
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and Singapore? How can the company protect itself from competition? What would be the key factor for success? Topic Two: Singapore Market Eurocopter has established its South-East Asian headquarters in Singapore. The civilian market in Singapore is not developed yet. Only ST Aerospace is operating one Eurocopters light single engine EC120 B. Considering the potential of Singapore as a hub and operating platform, identify the viability of this market. The first thoughts go to emergency medical services (EMS), commercial (tourism, pilot harbour, charter, ENG) and private segments. What strategy would you recommend (business models, partnerships, etc)? Which of the above segment should be considered a priority? Who are or will be the likely players? What should be Eurocopters positioning? What are the constraints? Topic Three: How to Gain Visibility and Market Share in Indonesia Eurocopter has been established since 1998 in Jakarta. Different strategic local partnerships (PTDI, PT Dirgantara Indonesia) has been sealed. Despite our efforts, our competitors are selling more aircrafts and gaining overall visibility in the country. What is wrong? How can we fix this situation? What can we do differently to revive customers engagement about the Eurocopter brand and products? Topic Four: Developing the Business and Private Segments in South-East Asia Eurocopter forecasts that 60% of its sales would come from the VIP segment. You are required to study three different luxury markets: car, yacht and private jet. How do they address their high net worth individuals? How do they differentiate? What are the solutions that Eurocopter need to implement to be able to tap into this market with the best tools available? Provide your recommendations for approaching this high-end market and implementation plans. Your recommendations should include the development of a showroom in Eurocopters facility and a mobile one as well. Each group has to submit a written report [maximum 25 pages, A-4, single-spacing, font size 12-points] and give a presentation [maximum 15 minutes; 20 powerpoint slides] for the project. All members must present.

Case Questions Optical Distortion (A)

1.

What customer value does the contact lens product for chicken provide to the farmers? What factors will influence the adoption of the product by the farmers? Will getting the farmers to adopt the product be an easy or difficult task? Why? How big is the potential market for this product? How can the market be segmented? Which segments should the company focus their efforts on? Why? What factors would you consider in the pricing decision for the product? What price would you set for the product? At the price you suggest, what is the breakeven point?

2. 3.

Vinraj Mini Tractor: Is Small Beautiful?

1.

Analyze the tractor market in India. What are the key characteristics? Who are the customers? Who are the different players? What are the key success factors? Compare Vinrajs mini-tractor with other similar offerings in the market. What are its strengths and weaknesses? How would you segment and analyze the tractor market in India? Which segment should Vinraj target? What strategies should Vinraj pursue for the targeted segment?

2.

3.

Global Sources Ltd: The Evolution of B2B

1.

Examine the evolution of Global Sources over its 30-year history. What are the various distinct stages and how has its strategy developed over time? What is the companys value proposition and what key factors determine its success? Analyze the five main online B2B models. What are their key challenges and attributes? Examine the competitors and the opportunities and threats posed by them. Should Global Sources compete with them independently? Is there any opportunity for a buyout, partnership, etc? What will be the future online B2B landscape be like? What should be Global Sources strategies?

2.

3.

4.

Microsofts Go-to-Market Strategy for Azure in India

1.

Examine the cloud computing market in India. What are the opportunities and challenges? What are the different segments and what are the attractive aspects of each segment? Describe and evaluate Microsofts Azure offerings in India. What are the strengths and weaknesses of the offerings and what opportunities and threats are there? Should Microsoft launch Azure in India? Why?
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2.

3.

If Microsoft launch Azure in India, what marketing strategies and marketing mix, including pricing, should be adopted?

Atlantic Computer: A Bundle of Pricing Options 1. 2. What factors influence the pricing decision for the Atlantic bundle (the new Tronn server and the PESA software tool)? What are the different pricing options available to Atlantic Computer and what are the advantages and disadvantages of these options? What pricing option and decision would you recommend? Why? What top line revenue implications will arise as a result of your recommended pricing strategy? How will Matzer, Cadenas sales force, targeted customers and Ontarios Zinks senior management likely react to your recommended pricing strategy? Cisco System: Managing the Go to Market Evolution 1. 2. 3. 4. How have Ciscos channels evolved in the last 10 to 15 years? Why have they evolved that way? What does the future look like? What is your assessment of the pyramid model in Figure A of the case? How can this model be successful? How would you evaluate Ciscos current channel system? What are some of the current problems? How can the current system be improved? How should Cisco distribute the VoIP products? Through voice VARs? Or data VARs? Or both?

3.

Cisco System: Launching the ASR1000 Series Router Using Social Media Marketing. 1. What are the value propositions of the ASR1000? Who are the customers and what do you know about their characteristics and behavior? How will these two considerations affect the launch and communications of the new product? Examine and evaluate the campaign design. What is your view of using a 100% digital and social media and leaving out the traditional print and television media? Evaluate the campaign goals and tactics. Examine and evaluate the campaign execution and results. What are the positive and negative aspects of the campaign? What lessons can be learnt for future similar campaigns?

2.

3.