PART I: MARKETING STRATEGY Chapter 1: Why is … · Case Map for Iacobucci, MM: Marketing...

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Case Map for Iacobucci, MM: Marketing Management, 3rd Edition, (Cengage, 2013) This map was prepared by an editor at HBS Publishing, not by a teaching professor. Faculty at Harvard Business School were not involved in analyzing the textbook or selecting the cases and articles. Every case map provides only a partial list of relevant items from HBS Publishing. To search for alternatives, or to get more information on the cases listed below, visit our web site at www.hbsp.harvard.edu. PART I: MARKETING STRATEGY Chapter 1: Why is Marketing Management Important Abstract

Transcript of PART I: MARKETING STRATEGY Chapter 1: Why is … · Case Map for Iacobucci, MM: Marketing...

Page 1: PART I: MARKETING STRATEGY Chapter 1: Why is … · Case Map for Iacobucci, MM: Marketing Management, 3rd Edition, (Cengage, 2013) Pillsbury Cookie Challenge Allison Johnson, Natalie

Case Map for Iacobucci, MM: Marketing Management, 3rd Edition, (Cengage, 2013)

This map was prepared by an editor at HBS Publishing, not by a teaching professor. Faculty at Harvard Business School

were not involved in analyzing the textbook or selecting the cases and articles.

Every case map provides only a partial list of relevant items from HBS Publishing. To search for alternatives, or to get

more information on the cases listed below, visit our web site at www.hbsp.harvard.edu.

PART I: MARKETING STRATEGY

Chapter 1: Why is Marketing

Management Important

Abstract

Page 2: PART I: MARKETING STRATEGY Chapter 1: Why is … · Case Map for Iacobucci, MM: Marketing Management, 3rd Edition, (Cengage, 2013) Pillsbury Cookie Challenge Allison Johnson, Natalie

Case Map for Iacobucci, MM: Marketing Management, 3rd Edition, (Cengage, 2013)

Hocol

Elsa Margarita Uribe, Roberto Gutierrez, Andres Barragan Type: Social Enterprise Knowledge Network case Pub. Date: March 15, 2009 Product #: SKE141-PDF-ENG Length: 27p Teaching Note: Yes

This business case illustrates how Hocol competed in the exploration

and extraction of oil in Colombia. What distinguished this oil company

was the dynamic construction of a particular business model based on

a deep understanding of the external context, allowing the

simultaneous creation of economic value (profitability) and social value

(promotion of social development). Hocol conceived a business model

based on the conciliation and mutual reinforcement of different forces

that impacted its performance at different moments in its history. The

case describes the ability of Hocol to understand and transform

multiple contextual forces, adverse and convergent, to develop internal

capacities and to apply its business competencies to achieve positive

results in the economic, social and environmental realms. Hocol

designed a business model under the following principle: "the success

of the company is founded on the success of the people and groups

that surround it." While the company claimed "not to have a model," it

was clear that it was one of learning, experimentation and incremental

and permanent adaptation to the demands of its external context. The

conception of a business model with these characteristics redirected

the development of Hocol s activities, in particular the work of the

Government and Community Affairs and Industrial Protection team,

and shaped the activities of the Foundation wherever it operated.

Hocol maintained that to achieve better economic and social results it

needed to understand and manage a variety of pressures that

stemmed from the environment in which it worked. At the same time, it

needed to build internal resources and abilities that would allow it to

convert threats into opportunities and to respond to the expectations of

shareholders, sub-contractors, surrounding communities and other

stakeholders. In sum, Hocol sought to understand the evolution of

needs in the society of which it was a part and to help satisfy these

needs through strengthening community-based organizations and

governmental institutions.

Learning Objective: Business model as a cycle of positive feedback

among different forces that intervene in the creation of value.

Stakeholder management to reach more competitive surroundings and

greater well being. The socio-environmental dimension as part of the

competitive environment of a business. To identify the forces in the

environment and to observe their relationship with and impact on the

internal conditions of an organization. Openness towards the joint

generation of social and economic value, combining philanthropy with

profitability.

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Case Map for Iacobucci, MM: Marketing Management, 3rd Edition, (Cengage, 2013)

Fiat-Chrysler Alliance: Launching the Cinquecento in North America Gary P. Pisano, Phillip Andrews, Alessandro Di Fiore Type: HBS case Pub. Date: May 11, 2011 Product #: 611037-PDF-ENG Length: 24p Teaching Note: N/A

Fiat ended its 27-year absence in the North American automobile market when the first Cinquecento (500)-a very small, iconic Italian car that had strong sales in Europe-was delivered on March 10, 2011. The Italian automaker re-entered the market through an alliance with Chrysler, the American automaker Fiat acquired in April 2009. For Laura Soave, Chrysler Group's head of Fiat Brand North America, the first delivery marked a watershed in a journey that began 12 months before when she first took responsibility for re-launching the Fiat brand in North America. As the first product of the Fiat-Chrysler alliance, the outcome of the Cinquecento launch would indicate how the integration of operations, and in particular the sharing of technology, platforms, components, manufacturing plants, and distribution networks would drive the long-term health of both Fiat and Chrysler. This case looks at the various strategic and operational challenges Soave faced throughout the process. Learning Objective: The case can be used to explore: 1) approaches for new market entry into foreign markets, and the associate challenges of brand positioning 2) strategies for managing and integrating global alliance partnerships 3) leadership issues associated with corporate turnarounds.

TripAdvisor

Sunil Gupta, Kerry Herman Type: HBS case Pub. Date: Jan 24, 2011 Product #: 511004-PDF-ENG Length: 19p Teaching Note: N/A

By 2010, TripAdvisor was the largest travel site in the world operating in 24 countries and 16 languages, with listings for 455,000 hotels, 92,000 attractions and 564,000 restaurants in over 71,000 destinations worldwide. It had over 40 million reviews from 35 million unique monthly visitors who were contributing 21 new reviews every minute. Known for its hotel reviews, TA expanded into flights, vacation rentals and international markets like China. Each of these expansion paths provided unique opportunities as well as new challenges. In August 2010, Stephen Kaufer, CEO, was debating how to prioritize his growth plans for the company. Learning Objective: To understand how user-generated content (UGC) can be leveraged and what are the challenges of replicating that model in different countries (e.g., China) and different categories (e.g., vacation rentals and flights).

Homeless World Cup

George Foster, Jocelyn

Hornblower, Norm O’Reilly

Type: Stanford case

Pub. Date: Jun 04, 2010

Product #: E367

Length: 26p

Teaching Note: Yes

The case follows Mel Young, Founder and President of Homeless

World Cup, a non-profit organization whose mission is to eliminate

homelessness around the world. Homeless World Cup organizes

annual football (i.e. soccer) tournaments in host cities and through its

grassroots partner organizations, recruits and trains homeless people

to play in the events. The case highlights the early days of founding

and building the organization, including Young's inspiration for the

idea, and also covers the importance of branding and marketing and

the organization's relationship with Nike.

Learning Objective: This case aims to highlight an example of social

entrepreneurship and the role of cause marketing. The objective is to

guide students through a few of the many challenges that accompany

building and marketing a social (entrepreneurial) venture and asks

students to put themselves in the leader's shoes to make critical

decisions. The goal is to have students better understand the

management decision making process.

Chapter 2: Customer

Behavior Abstract

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Pillsbury Cookie Challenge Allison Johnson, Natalie Mauro Type: Ivey case Pub. Date: Jan 27, 2011 Product #: W11020-PDF-ENG Length: 14p Teaching Note: Yes

The Canadian Pillsbury ready baked goods cookie line is experiencing less than stellar performance, and the marketing manager is under pressure to make strategic decisions that will help turn around the segment. The marketing manager engages the help of the consumer insight team to conduct market research studies that will shed light on consumers and their attitudes, behaviours and preferences towards the product. The results from the market research studies are in, and the students, assuming the role of the marketing manager, must filter through them to determine how this information can be used to improve the performance of the cookie segment. More specifically, students will need to determine where the greatest opportunities lie, who the team should target, what brand messaging is the most relevant and what type of communication plan would be most effective. Learning Objective: The case highlights a common problem faced by marketers - how to improve the performance of a business. In addition to this aspect, the case focuses on how to attain and interpret consumer information. The following topics are covered in the case: Introduction to consumer insights and market research; Customer segmentation and targeting, and Brand positioning. This case is best suited for an Introduction to Marketing course (either HBA or MBA level) or a course that digs deeper into how firms can employ customer-oriented strategies, such as the Consumers and Customers course. The objectives are to: familiarize students with different types of consumer research and how it can help marketers make better business decisions; develop students' ability to recognize relevant customer insights and to show how these insights can help determine strategies; highlight ways to segment the market, other than by demographics; explore the ways in which marketing managers can improve business performance.

PatientsLikeMe: An Online Community of Patients Sunil Gupta, Jason Riis Type: HBS case Pub. Date: Feb 16, 2011 Product #: 511093-PDF-ENG Length: 22p Teaching Note: Yes

PatientsLikeMe (PLM) is an online community where patients share their personal experiences with a disease, find other patients like them, and learn from each other. The company was founded by Jamie and Ben Heywood when their 29-year-old brother was diagnosed with ALS or Lou Gehrig's disease. In less than five years, PLM has grown to 15 patient communities where over 80,000 patients discuss 19 diseases. In December 2010, PLM is discussing its planned launch of a General Platform that would expand the number of diseases covered from 19 to over 3,500. Is it the right move, and what does PLM need to do to make it a success? Learning Objective: To understand how an online community is built and monetized and to highlight the challenges in growing the platform to a larger scale.

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Vestas' World of Wind Thomas Steenburgh, Elena Corsi Type: HBS case Pub. Date: Mar 16, 2011 Product #: 511121-PDF-ENG Length: 38p Teaching Note: N/A

The wind turbine manufacturer Vestas launched the industry's first highly localized and customized new product launch campaigns which used also new tools such as web 2.0 platforms. Used to operate in a market where demand exceeded supply, Vestas had lost contact with its customer base and had a limited marketing budget, mainly used to finance global media advertisement campaigns. The world economic downturn which followed the U.S. credit crunch crisis of 2008 and the increased competition in the wind turbine market had brought about a sudden drop in Vestas orders of new turbines. Vestas thus decided to focus more on marketing and developed a new department, Global Marketing and Customer Insights. Morten Albaek was hired to manage and develop the department and to transform Vestas into the undisputed most customer focused company in the industry by 2012 and among the most customer centric B2B brand by 2015. He tested his new approach for the first time with the launch of their new V112 turbine for which he developed 72 customized campaigns targeting its main existing and potential customers and major stakeholders. Yet, had the campaign been effective in bringing Vestas closer to its customer base? Were they using the right tools? Learning Objective: The case should bring students to think about the importance for B2B companies of customer focused marketing approaches and evaluate the new marketing tools used by the company.

Paydiant Jose B. Alvarez, Elizabeth C. Williamson, James Weber Type: HBS case Pub. Date: Jan 24, 2011 Product #: 511065-PDF-ENG Length: 23p Teaching Note: N/A

Kevin Laracey, founder of Paydiant, needed to figure out how to launch a payment processing company with a new technology based on smart phones. Consumers had increasingly turned to electronic payment methods such as credit cards and debit cards to make purchases. Retailers, however, felt that major credit and debit card issuers had too much market power which was leading to higher costs for retailers to accept such payment forms. Consumers were increasingly adopting smart phones and using those phones to manage their lives. Market watchers believed that consumers would soon demand to use their smart phones to make purchases. Retailers liked this because it increased competition in the payments industry. Paydiant had developed a software-based product that required no new hardware for retailers and enabled consumers to use their smart phones to make purchases. The company needed to decide how to bring this new product to market. The case also describes the existing payment processing market structure, identifies some of its major players, and introduces some other new entrants into the payment industry. Learning Objective: This case will help students understand the difficulties involved in and potential strategies used in entering a retail environment as a supplier. The case is also helpful for students interested in learning about adoption of a technology where multiple players (e.g. retailers, banks, network owners, card issuers, and consumers) must all cooperate in order to allow for adoption.

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The NFL's Digital Media Strategy Anita Elberse, Kelsey Calhoun, Daven Johnson Type: HBS case Pub. Date: Oct 20, 2010 Product #: 511055-PDF-ENG Length: 19p Teaching Note: Yes

In late 2009, Brian Rolapp, senior vice president of media strategy and digital media for the NFL, was faced with the challenge of determining the league's strategic approach to the wireless market - and presenting his views to NFL team owners. What was the league's best strategy for the mobile space? The case describes the antecedents of what is widely regarded as a landmark deal for the NFL, its $780-million, four-year exclusive partnership with Verizon. Provides in-depth information on the NFL's digital media revenues, and relates those to the league's overall media and other revenues. Enables a rich discussion of new distribution opportunities and ensuing marketing and channel-management challenges. Learning Objective: To understand how sports industries, leagues, and teams are affected by and can capitalize on new forms of digital distribution; to assess viable business models for content owners and distributors in the context of online media.

Red Lobster David E. Bell, Jason Riis Type: HBS case Pub. Date: Sep 08, 2010 Product #: 511052-PDF-ENG Length: 26p Teaching Note: Yes

Red Lobster, a 40-year-old chain of seafood restaurants, has just completed some market research revealing an opportunity to shift their target customer segment. The chain is in the final stages of a 10-year plan of rejuvenation under CEO Kim Lopdrup. When he took over as CEO in 2004 the chain was closing restaurants and suffering declining same store sales and declining customer satisfaction. But in 2010, even in a recession, the fortunes of the chain are improving. A recently commissioned market research study has revealed, unexpectedly, that 25% of Red Lobster's customers are "experientials," people coming for a "good evening out" rather than Red Lobster's traditional core customer who came because of a craving for seafood. Should this news cause Lopdrup to do anything differently? Learning Objective: The case was written with three purposes in mind (i) to permit a discussion about segmenting customers (ii) as a general case about the marketing of restaurants and (ii) about the potential of seafood as a source of protein especially in light of the growth of aquaculture as a source.

Chapter 3: Segmentation Abstract

Porsche: The Cayenne Launch John Deighton, Jill Avery, Jeffrey Fear Type: HBS case Pub. Date: Feb 15, 2011 Product #: 511068-PDF-ENG Length: 22p Teaching Note: Yes

Can an online discussion forum supply insight into the evolution of

brand meaning? In 2003 Porsche launched a sport utility vehicle,

dividing Porsche purists from newcomers to the brand. Vocal members

of online and offline Porsche communities ridiculed the Cayenne SUV

and disapproved of the new breed of driver. Some opposed offering

Porsche Club membership to them, and some even refused to extend

the fraternal Porsche "wave" or headlight flashing to them on the road.

Porsche's values of speed, luxury, and a certain masculine zeal

resonated strongly with its devotees, while drivers of the Cayenne

(which came to be known as "the SUV for soccer moms") tended to be

safety-conscious, family-oriented, and conservative. Evolving debates

on forums allow a class to debate whether the brand had strayed too

far from its core values and was at risk.

Learning Objective: To facilitate understanding of the uses and

limitations of online forums as a source of consumer insight.

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Fiat-Chrysler Alliance: Launching the Cinquecento in North America Gary P. Pisano, Phillip Andrews, Alessandro Di Fiore Type: HBS case Pub. Date: May 11, 2011 Product #: 611037-PDF-ENG Length: 24p Teaching Note: N/A

Fiat ended its 27-year absence in the North American automobile

market when the first Cinquecento (500)-a very small, iconic Italian car

that had strong sales in Europe-was delivered on March 10, 2011. The

Italian automaker re-entered the market through an alliance with

Chrysler, the American automaker Fiat acquired in April 2009. For

Laura Soave, Chrysler Group's head of Fiat Brand North America, the

first delivery marked a watershed in a journey that began 12 months

before when she first took responsibility for re-launching the Fiat brand

in North America. As the first product of the Fiat-Chrysler alliance, the

outcome of the Cinquecento launch would indicate how the integration

of operations, and in particular the sharing of technology, platforms,

components, manufacturing plants, and distribution networks would

drive the long-term health of both Fiat and Chrysler. This case looks at

the various strategic and operational challenges Soave faced

throughout the process.

Learning Objective: The case can be used to explore: 1) approaches

for new market entry into foreign markets, and the associate

challenges of brand positioning 2) strategies for managing and

integrating global alliance partnerships 3) leadership issues associated

with corporate turnarounds.

Fortis Industries, Inc. (A) Rowland T. Moriarty Jr., David May, Gordon Swartz Type: HBS case Pub. Date: Dec 16, 2011 Product #: 511079-PDF-ENG Length: 18p Teaching Note: N/A

Fortis Industries' packaging division manufactures steel and plastic

strapping. In 2007, the company underwent a leveraged buyout. The

case focuses on the packaging division's need to maintain high

profitability in a declining market for steel strapping. Since 1998, Fortis

has been losing 1% per year of the steel strapping market. Since then,

there has also been significant erosion of prices. The division president

is faced with 1) decreasing price to increase market share, or 2)

maintain/increase cash flow. The specific decision revolves around the

potential adoption of a price-flex system that is designed to authorize

selective discounting by the division's sales personnel.

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Ontela PicDeck (A)

Mohanbir Sawhney, Kent

Grayson, Patrick Duprss, et al.

Type: Kellogg case

Pub. Date: Dec 01, 2009

Product #: KEL450

Length: 7p

Teaching Note: Yes

Ontela, a technology start-up company, has introduced an innovative

service called PicDeck that improves the mobile imaging experience

for wireless subscribers. Ontela sells PicDeck to wireless carriers, who

in turn private-label the service to their subscribers. Ontela must

decide which customer segments it should target for the service and

how to create a positioning strategy and a marketing communication

plan to promote it. It must also consider the value proposition of the

PicDeck service for wireless carriers (its direct customers), who need

to be convinced that the service will lead to higher monthly average

revenue per user (ARPU) and/or increased subscriber loyalty. Part A

of the case provides qualitative information on customer personae that

represent different customer segments. Students are asked to develop

a targeting and positioning strategy based on this qualitative

information. Part B provides quantitative data on customer preferences

that can be used to identify response-based customer segments, as

well as demographic and media habits information that can be used to

profile the segments. Students are asked to revise their

recommendations based on the additional quantitative data.

Learning Objective: The case reinforces the principles of data-driven

customer segmentation, discusses the appropriate criteria for selecting

segments, and provides a deeper understanding of the benefits and

drawbacks of different approaches to identifying and evaluating

segments. The case illustrates how the results of data-driven

segmentation may run counter to approaches that rely on "gut feel" or

qualitative information alone.

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Making Waves in Rural Kenya Sebastian Herrmann, Glenn Brophey, Denyse Lafrance-Horning Type: Ivey case Pub. Date: Jul 21, 2009 Product #: 909A15-PDF-ENG Length: 10p Teaching Note: N/A

The developers of a simple, inexpensive, locally produced rain water

harvesting system tackle the social marketing issues in the

undeveloped market of rural Kenya. The benefits of the product are

obvious but the poverty levels and entrenched traditions create

significant and unique marketing challenges.

Learning Objective: This case is best suited for advanced marketing

students. The case setting is unique and challenges students beyond

traditional textbook applications of core marketing concepts. In the

context of a foreign and undeveloped market, advanced marketing

students should explore the following issues: Understanding the

unique needs of various possible segments. Appreciating the impact of

social influences on the decision-making process. Creating awareness,

education and acceptance for new behavior and a new product

concept. This case is intended to push students beyond the

conventional application of marketing concepts. Students will be

introduced to the unique needs of the hardcore poor consumers in

rural Kenya and challenged to adapt marketing strategies to this

exceptional and undeveloped environment. Truly understanding

consumer needs and the various social influences in the problem-

solving process are central to this case.

Chapter 4: Targeting Abstract

The Ford Fiesta John Deighton, Leora Kornfeld Type: HBS case Pub. Date: Feb 15, 2011 Product #: 511117-PDF-ENG Length: 24p Teaching Note: N/A

Executives at Ford wondered if social media could be the marketing

solution for the launch of the youth-oriented 2010 Fiesta. But with

social media came a ceding of control. Some at the company believed

that if Ford was going to move beyond its conservative brand image for

the launch of the new subcompact chances had to be taken. Others

erred on the side of caution. Chantel Lenard, Ford's Group Marketing

Manager for Global Small Car and Midsize Vehicles and Connie

Fontaine, Manager of Brand Content and Alliances championed a new

approach for the new vehicle and set into motion a comprehensive 6-

month social media initiative targeting a younger, ethnically diverse,

and urban-based market, called "The Fiesta Movement". In doing so, a

large portion of the marketing campaign was handed over to 20 and

30-somethings across America, and Ford had to acclimate to a new

way of doing marketing. To what extent should the company guide the

activities and messages of their army of bloggers? The case is set two

months into the Movement, as the team evaluates the metrics from

YouTube, Twitter, Facebook, and their website, and wonder if they're

doing everything they need to do in order to make the Fiesta a success

with a new target market.

Learning Objective: To examine the variety of marketing techniques

in the new social media toolbox; is the ultimate objective to 'go viral', or

are there other metrics to consider when evaluating a social media-

based marketing campaign?

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Nike Football: World Cup 2010 South Africa Elie Ofek, Ryan Johnson Type: HBS case Pub. Date: May 31, 2011 Product #: 511060-PDF-ENG Length: 29p Teaching Note: N/A

Nike's Football division needs to devise a strategy to excel at the 2010

World Cup games in South Africa. Nike has gone from a niche player

in the market for football apparel and footwear in 1994 to a formidable

competitor to Adidas in 2008 (with revenues of over $1 billion for the

sport). The case traces how Nike has gone about making this

transformation and its activities at each of the World Cups since 1994.

For the upcoming World Cup in South Africa, Nike has decided to

change its target market focus and to use digital and social media

platforms to connect more extensively with consumers. In addition,

Nike plans to launch innovative new boots and engage in corporate

social responsibility and sustainability initiatives. The company has to

do so in light of competition from archrival Adidas and the pressure of

succeeding on the biggest stage in football, with billions of people

around the world watching. The case allows students to analyze how a

company can best integrate several value propositions into a cohesive

plan and how it can best communicate with its chosen target market. It

also allows for a rich discussion of the brand image the company

needs to portray to leverage success beyond the World Cup event.

Learning Objective: Devise a marketing strategy and communication

plan to reach a new target market; how to integrate and promote

several value propositions by the same company and use a high

profile event to build brand connection

L'Oreal: Global Brand, Local Knowledge Rebecca Henderson, Ryan Johnson Type: HBS case Pub. Date: Jun 08, 2011 Product #: 311118-PDF-ENG Length: 14p Teaching Note: Yes

Worldwide, and in the U.S. marketplace in particular, the French

cachet of L'Or al was one of its most powerful marketing tools.

However, with the opening up of emerging markets, L'Or al had to

cater to a diverse customer base: an aging population in the West,

ethnic groups, aspiring and younger customers in the East, emerging

markets, and growing interest in health and beauty care among men

all over the world. Employing both traditional and innovative marketing

techniques, L'Or al worked to double its customer base to two billion

by 2020 and increase to half from a third its share of sales from

emerging markets.

Learning Objective: To learn from and analyze the best practices of

L'Or al with regard to marketing. To examine how they use their strong

brand, traditional media, digital media, celebrity endorsements and

interactive marketing contests to reach a diverse array of loyal and

potential consumers. Also to examine how a large company shifts

marketing and messaging efforts around a changing world view and

changing global economics.

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Benecol Spread and Media Planning Richard Johnson, Robert I Carraway, Ervin R. Shames, Paul W. Farris Type: Darden case Pub. Date: Dec 03, 2010 Product #: UV2930-PDF-ENG Length: 21p Teaching Note: Yes

Benecol Spread, a cholesterol-lowering margarine, was a product with

unusual media-planning challenges. With a narrow target group and

unproven market potential, Johnson & Johnson needed to get the most

"bang for the buck" from its Benecol advertising. Would a media-

planning model (optimizer) requiring executives to quantify their

judgment on several key inputs be helpful in this process? A

spreadsheet accompanying the case allows students to weight the

target groups and to choose among different advertising vehicles to

form the best possible media plan.

Marketing Analysis Toolkit: Customer Lifetime Value Analysis, Spreadsheet Supplement Thomas Steenburgh, Jill Avery Type: HBS case Pub. Date: Jul 27, 2010 Product #: 511029-PDF-ENG Length: 9p Teaching Note: N/A

Customers are increasingly being viewed as assets that bring value to

the firm. Customer lifetime value is a metric which allows managers to

understand the overall value of their customer base and relate it to

three customer strategies firms employ: asset acquisition - attracting

new customers to the firm, asset maximization - maximizing the value

the firm extracts from each customer, and asset retention - retaining

existing customers for the long term. The note gives students a

foundation for analyzing marketing cases, as well as providing an

analytical structure and process for completing a marketing plan. The

note is accompanied by a free Excel worksheet which contains sample

problems, prebuilt Excel models to calculate customer lifetime value,

and charts and graphs which help visualize the results.

Learning Objective: To provide students with analytical tools that they

can use to more rigorously analyze marketing cases and decisions and

to develop a strategic marketing plan.

Marketing Analysis Toolkit: Market Size and Market Share Analysis Thomas Steenburgh, Jill Avery Type: HBS case Pub. Date: Feb 04, 2010 Product #: 510081-PDF-ENG Length: 7p Teaching Note: N/A

Marketers frequently need to estimate the size of their markets -- both

for existing products so that sales forecasts can be developed, and for

new products so that market opportunities can be assessed. This

toolkit enables students to size a market and generate a sales forecast

using a market build-up methodology. Students learn to measure

market demand and company demand and calculate market and

product penetration rates and market share. The note gives students a

foundation for analyzing marketing cases, as well as providing an

analytical structure and process for completing a marketing plan. The

note is accompanied by a free Excel worksheet (available only to

authorized faculty) which contains sample problems, pre-built Excel

models to calculate market size, market penetration, and market

share, and charts and graphs which help visualize the results.

Learning Objective: To provide students with analytical tools that they

can use to more rigorously analyze marketing cases and decisions and

to develop a strategic marketing plan.

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NFL UK Elie Ofek, David B. Godes, Peter Wickersham Type: HBS case Pub. Date: Mar 17, 2010 Product #: 510105-PDF-ENG Length: 32p Teaching Note: N/A

The NFL faces a decision on how to continue efforts to grow its

fanbase in the UK. The decision needs to take into account lessons

learned from previous NFL activities in Europe, market research on the

UK sports fan and the implications of any move on the U.S. fan.

Moreover, the decision should be couched within the broader context

of the NFL's goal to expand internationally. Alistair Kirkwood, head of

NFL UK, and Chris Parsons, VP of NFL International, must propose a

course of action that the London-based team can both execute and

that will receive the approval of the NFL's commissioner and owners.

Learning Objective: Examine the consumer and strategic implications

of taking a brand with a rich history and tradition in one country/culture

and exporting that to another country/culture (how can one "innovate

globally with a local tradition?)

Chapter 5: Positioning Abstract

Clean Edge Razor: Splitting Hairs in Product Positioning John A. Quelch, Heather Beckham Type: HBS case Pub. Date: Jan 19, 2011 Product #: 4249-PDF-ENG Length: 10p Teaching Note: Yes

After three years of development, Paramount Health and Beauty

Company is preparing to launch a new technologically advanced

vibrating razor called Clean Edge. The innovative new design of Clean

Edge provides superior performance by stimulating the hair follicles to

lift the hair from the skin, allowing for a closer shave. The company

has already decided to introduce Clean Edge into the men's market

where it has a strong presence. Jackson Randall, the product manager

for Clean Edge, struggles with how best to position the product for the

launch. One strategy is to release Clean Edge as a "niche" product,

targeting the high-end market of fastidious groomers looking for

superior skin care products. Another strategy is to release the product

into the highly competitive mainstream razor market where the product

can be positioned as the most effective razor available. Randall meets

internal resistance to the mainstream strategy from the product

manager for the company's current, but aging, mainstream razor

products and he must consider the effects of cannibalization in his

plan. Randall must recommend an optimal strategy and provide

supporting economic analysis of his decision--not just for Clean Edge,

but for its effect on the entire company.

Learning Objective: Explore issues associated with strategic product

positioning. Review new product development process and understand

the importance of evaluating product-company and product-market fit

in assessing new product opportunities. Understand the importance

and marketing implications of determining whether a new product is a

big breakthrough or a simple line extension.

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Porsche: The Cayenne Launch John Deighton, Jill Avery, Jeffrey Fear Type: HBS case Pub. Date: Feb 15, 2011 Product #: 511068-PDF-ENG Length: 22p Teaching Note: Yes

Can an online discussion forum supply insight into the evolution of

brand meaning? In 2003 Porsche launched a sport utility vehicle,

dividing Porsche purists from newcomers to the brand. Vocal members

of online and offline Porsche communities ridiculed the Cayenne SUV

and disapproved of the new breed of driver. Some opposed offering

Porsche Club membership to them, and some even refused to extend

the fraternal Porsche "wave" or headlight flashing to them on the road.

Porsche's values of speed, luxury, and a certain masculine zeal

resonated strongly with its devotees, while drivers of the Cayenne

(which came to be known as "the SUV for soccer moms") tended to be

safety-conscious, family-oriented, and conservative. Evolving debates

on forums allow a class to debate whether the brand had strayed too

far from its core values and was at risk.

Learning Objective: To facilitate understanding of the uses and

limitations of online forums as a source of consumer insight.

The Eleganzia Group Elie Ofek, Elena Corsi, Bharat Sajnani, Sorina Casian-Botez, Francesco Tronci Type: HBS case Pub. Date: Apr 18, 2011 Product #: 511115-PDF-ENG Length: 35p Teaching Note: N/A

Eleganzia Group management faces tough decisions heading into the

summer of 2010. With tourism on the decline due to the global

economic recession, General Manager Giannuzzi must decide how to

set prices at the Forte Village Resort, the Group's most well-known

property. His management team is further divided on whether the

pricing model at the resort should change to being all-inclusive (as

opposed to one where guests are charged for each additional activity

or dining option on a pay-as-you-go basis), and whether to convert a

large number of the 4-star rooms into 5-star suites. Recently acquired

properties, such as the Castel Monastero in Tuscany and the

Maddalena Hotel & Yacht Club in north Sardinia, pose a branding

challenge. Can all the properties, including the Forte Village, be

successfully brought under one umbrella brand, namely, Eleganzia?

Moreover, what should the character of each these new properties be?

Learning Objective: Pricing and Branding strategy in a luxury

consumption setting; balancing short term revenue with long term

brand goals.

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Reed Supermarkets: A New Wave of Competitors John A. Quelch, Carole Carlson Type: HBP Brief case Pub. Date: Jun 17, 2011 Product #: 4296-PDF-ENG Length: 12p Teaching Note: Yes

Reed Supermarkets is a high-end supermarket chain with operations

in several Midwestern states. Meredith Collins, vice president of

marketing, visits stores located in Columbus, Ohio, an important region

with the largest market and the greatest impact on revenue growth.

She is concerned about increased competition from dollar stores and

limited-assortment stores offering very low, appealing price points.

Reed's market research shows that as a result of the economic

downturn, customer loyalty is dwindling and consumers are willing to

go to multiple stores to get the best deals. Collins must decide whether

to change the current marketing and positioning plan in an effort to

increase market share to meet challenging corporate targets. Her

options include retreating from price competition and focusing on

quality or embracing more private-label brands and competing more

aggressively on price. She can also maintain the current positioning

and appeal to customers looking for a quality shopping experience.

The case contains an implicit quantitative assignment that instructors

can emphasize to the degree they choose.

Learning Objective: Explore elements of marketing strategy, market

segmentation, product differentiation, and product positioning for a

retail organization. Analyze and differentiate among conflicting

strategic perspectives. Understand the "cycle of retailing," which

suggests that new retail stores naturally evolve from low-price, low-

overhead stores to become upscale retailers offering additional

services and product lines.

Alpen Bank: Launching the Credit Card in Romania (Brief Case) V. Kasturi Rangan, Sunru Yong Type: HBS case Pub. Date: May 19, 2010 Product #: 4559-PDF-ENG Length: 8p Teaching Note: Yes

In 2006, the country manager for Alpen Bank in Romania, Gregory

Carle, considers whether to recommend the launch of a credit card

business. The firm rejected the idea several years earlier because of

poor economic conditions in Romania. However, Romania is

experiencing a period of economic growth after joining the European

Union and Carle believes it is time to reconsider the opportunity

despite continued skepticism within the company. Carle faces several

important decisions before he can present his plan to the head of

International Consumer Businesses. He must decide whether to

launch a credit card business in Romania, how to position the credit

card, and how to acquire new customers most effectively. This case is

appropriate for use in the product policy module of a general marketing

course, in a new product course, or in a services management course.

Students are required to complete a quantitative assignment as part of

case analysis.

Learning Objective: 1. To expose students to key elements of

services marketing, especially target market selection, acquisition cost,

and lifetime value of a customer. 2. To introduce students to

international marketing issues.

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Mary Kay Inc.: Asian Market Entry (B) John A. Quelch Type: HBS case Pub. Date: Jun 01, 2009 Product #: 509067-PDF-ENG Length: 1p Teaching Note: N/A

By 2008, over half of Mary Kay Cosmetics' $2.8 billion sales were from

outside the USA. Sales from China exceeded $500 million in 2008

through over 450,000 beauty consultants. China was Mary Kay

Cosmetics' second most important national market with revenues

growing at over 20 percent each year. In contrast, Mary Kay

Cosmetics had decided to exit the Japanese market in 2001.

Learning Objective: Brand Stretching; Adaptation in Emerging

Markets; Strategic Growth in Emerging Markets.

Verne Global: Building a Green Data Center in Iceland Thomas Steenburgh, Nnamdi Okike Type: HBS case Pub. Date: May 18, 2009 Product #: 509063-PDF-ENG Length: 28p Teaching Note: N/A

Verne Global, a pioneering startup created to build the first large-scale

data center in Iceland, faces critical challenges regarding its green

strategy. Verne Co-Founder Isaac Kato is tasked with evaluating how

the company can most successfully market and sell the green

components of its service offering. Using only renewable energy in its

data center facility, Verne can drastically reduce customers' carbon

emissions, enabling customers to meet emerging government

regulations and to capture the financial benefit of public goodwill

arising from green initiatives. But how valuable are Verne's green

benefits, and are they sufficient to compel customers to pay a premium

for Verne services? Further, how can Verne best integrate its green

strategy into its marketing and sales message? Finally, will Verne's

green benefits enable the company to overcome obstacles in the sales

process, or will they alternatively overcomplicate an already complex

sales message? Kato's decision allows discussion of the emerging role

of green marketing and sales and helps identify how a product or

service which is good for the environment can also be good for the

bottom line.

Learning Objective: To examine green marketing and sales in-depth,

with a focus on identifying the potential financial benefits of a green

service offering. This case encompasses a wide range of topics in

business marketing, including quantifying a customer value

proposition, defining the optimal marketing and sales strategy for an

innovative product or service, identifying key decision-makers within

the customer organization, and identifying potential obstacles to a

successful sale.

PART 2: PRODUCT POSITIONING

Chapter 6: Products: Goods

and Service

Abstract

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Marvel Enterprises, Inc. (Abridged) Anita Elberse Type: HBS case Pub. Date: Jan 24, 2011 Product #: 511097-PDF-ENG Length: 10p Teaching Note: Yes

The management team of Marvel Enterprises, known for its universe of

superhero characters that includes Spider-Man, the Hulk, and X-Men,

must reevaluate its marketing strategy. In June 2004, only six years

after the company emerged from bankruptcy, Marvel has amassed a

market value of more than $2 billion. Originally known as a comic book

publisher, the company now also has highly profitable toy, motion

picture, and consumer products licensing operations. However, doubts

about Marvel's business model and its growth potential continue to

exist. Had Marvel's winning streak been just a fluke? Was Marvel's

success dependent on a limited set of blockbuster characters, most

notably Spider-Man, and should Marvel continue to capitalize on those

characters? Or was it time to seek growth in a larger set of lesser

known characters? In exploring growth opportunities, was it wise for

Marvel to venture outside its current business model and move into

more capital-intensive activities? What marketing strategy would allow

Marvel to sustain its success in the coming years?

Learning Objective: To study a best-practice example of an

intellectual property (entertainment) licensing model. Also, to examine

sources of sustainability in industries characterized by products with

relatively short life cycles and explore how companies can build and

manage brand franchises.

Coca-Cola on Facebook John Deighton, Leora Kornfeld Type: HBS case Pub. Date: Feb 15, 2011 Product #: 511110-PDF-ENG Length: 11p Teaching Note: N/A

In late 2008, executives at Coca-Cola had to decide what to do with a

fan-created page on Facebook that had amassed over one million

followers in three months. From a legal point of view the fan-created

page was in violation of Facebook's terms of service, because a non-

copyright holder was using the imagery and logo associated with a

known brand. Facebook contacted Michael Donnelly, Group Director,

Worldwide Interactive Marketing for The Coca-Cola Company, to let

him know that he was in the position to take down the hugely popular

fan-created site or, conversely, he could take it over and make it an

official marketing channel for the company. Coke was already

revisiting its social media policies, with the Diet Coke and Mentos user-

generated video incident fresh in its memory. Those videos, which

featured elaborate geysers with Diet Coke as their main ingredient,

were among the most viewed online videos at the time but were not

initially sanctioned by the company. Donnelly knew that opening up the

brand to creative consumers was necessary, but he and his team had

to figure out how and to what extent they should do so while still

protecting one of the world's most valuable brands.

Learning Objective: To illustrate the changing marketing landscape

as social media evolves as a mass and mainstream marketing

platform.

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Porcini's Pronto: "Great Italian cuisine without the wait!" James L. Heskett, Richard Luecke Type: HBS Brief case Pub. Date: Apr 04, 2011Product #: 4277-PDF-ENG Length: 12p Teaching Note: Yes

Porcini's Inc. operates a chain of 23 full-service restaurants located

near shopping malls and downtown areas in the northeastern United

States. Known for providing excellent service, Porcini's serves high-

quality Italian cuisine made from fresh ingredients. Looking for

expansion opportunities, management considers launching a new

chain of lower-cost, limited-menu restaurants called Porcini Pronto.

The new outlets will be located along busy interstate highway exits in

the region and will serve outstanding Italian food at reasonable prices

to both travelers and local residents. Management is concerned that a

poor customer experience at Porcini Pronto could tarnish the

company's well-established and successful restaurant brand. The

management team asks the vice president of marketing to develop the

concept and to create an operating strategy for the new outlets. The

VP must also analyze three alternative expansion strategies before

management will make any commitments to the project. If Porcini's

builds and operates the new restaurants, the company will maintain

complete control of operations and the customer experience but

expansion will take a very long time. Franchising and syndication are

two other options which provide faster expansion but introduce the risk

of losing control of the brand. The VP must analyze the options and

make his final recommendation.

Learning Objective: Describe the role of HR programs and

measurement systems in supporting product and service quality.

Understand how employee selection and training, customer feedback,

product offerings, and other elements of a business concept must work

together to support both the strategy and the customer value

proposition. Identify the implications for product and service quality

associated with different growth alternatives including company

ownership, franchising, and syndication.

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Take-Two Interactive Software, Inc. Sunil Gupta, Kerry Herman Type: HBS case Pub. Date: Oct 13, 2010 Product #: 511002-PDF-ENG Length: 20p Teaching Note: N/A

In September 2010, faced with increasing threat from social game

companies such as Zynga, Ben Feder, the CEO of Take-Two

Interactive Software. Inc., had to decide the long-term strategy of his

video-game company. As a publisher of traditional video games for

Xbox 360, PlayStation 3 and Nintendo, Take-Two had several popular

video games, such as Grand Theft Auto, to its credit. However, the

video game industry was undergoing a major transition. In addition to

digital downloading and cloud gaming, casual and social games were

transforming the video game industry. Electronic Arts, one of Take-

Two's major competitors, acquired a social gaming company in

November 2009 for $400 million. In August 2010, Disney bought

another social gaming company for $763 million. Social games were

developed, marketed and monetized very differently from traditional

console games. Should Take-Two follow the lead of its competitors or

continue to focus on its core business?

Learning Objective: To understand how companies navigate through

the digital transition; to understand how development, marketing and

monetization differs across business models; to assess the economics

of traditional and new business models.

Understanding Buyer Choice/Rejection/Experience Processes for Complex Services: The Example of Montessori Private Schools Roger A. More Type: Ivey case Pub. Date: Feb 22, 2010 Product #: 910A02-PDF-ENG Length: 8p Teaching Note: N/A

This note develops a comprehensive new set of concepts to

understand buying processes of parents choosing among complex

educational services using the example of Montessori private schools.

Understanding Buyer Choice/Rejection/Experience Processes for Complex Business-to-Business High-Technology Product/Service Bundles: The Example of Nuclear Power Plants Roger A. More Type: Ivey case Pub. Date: Feb 22, 2010 Product #: 910A03-PDF-ENG Length: 9p Teaching Note: N/A

This note develops a comprehensive new conceptualization of the

complex processes that accompany large scale high technology

product/service bundles using the example of nuclear power plants.

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Understanding Buyer Choice/Rejection/Experience Processes for Complex High-Technology Consumer Products: The Example of Notebook Computers Roger A. More Type: Ivey case Pub. Date: Feb 22, 2010 Product #: 910A04-PDF-ENG Length: 13p Teaching Note: N/A

This note develops a comprehensive new set of concepts to

understand buyer behaviour for complex high technology consumer

products using the example of notebook computers.

Chapter 7: Brands Abstract

Rebranding Gallagher Rohit Deshpande, Keith Chi-ho Wong Type: HBS case Pub. Date: Jan 25, 2011 Product #: 511098-PDF-ENG Length: 12p Teaching Note: N/A

Steve Tucker, the Deputy CEO of Gallagher Group Limited (GGL), the

world's largest electric fence company, was about to present a new

branding strategy to the company's senior managers and Bill

Gallagher, Jr., CEO. After spending more than 18 months with brand

consultants, Tucker devised an umbrella brand strategy that would

instill a uniform brand across all three business units: Animal

Management Systems, Security Management Systems, and Fuel

Pumps, which marketed themselves under the respective brand

names of Gallagher, Cardax, Powerfence, and PEC. However, Tucker

knew that the unit heads believed the differences in their clienteles,

product categories, and distributor relationships made it impractical to

adopt one single brand. GGL's overseas distributors had also raised

concerns about a uniform brand. In many cases, GGL only owned

minority interests in these distributors and retained limited control over

their activities.

Learning Objective: Managing international distributors; managing

global branding.

Barcelo Hotels and Resorts (A) John T. Gourville, Marco Bertini Type: HBS case Pub. Date: Feb 18, 2011 Product #: 511108-PDF-ENG Length: 29p Teaching Note: N/A

Barcelo Hotels and Resorts must decide whether to allow its many

hotels to continue to undertake separate promotional campaigns or to

run, for the first time, a broad corporate-level promotion. Complicating

the decision is the fact that the many hotels in its portfolio vary greatly

in their character, clientele, positioning, and locations.

Learning Objective: Looks at the costs and benefits of a corporate

level branding and price promotion strategy. Also, when used with the

Harrah's case (HBS Case # 502-011), allows for a discussion of

centralized versus decentralized management of a portfolio of service

entities.

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Health Care Center for the Homeless: Changing with the Times Mary Conway Dato-on, Eileen Weisenbach Keller Type: Ivey case Pub. Date: Mar 08, 2011 Product #: 910A32-PDF-ENG Length: 12p Teaching Note: Yes

Bakari Burns, CEO of the Health Care Center for the Homeless

(HCCH), located in Orlando, Florida was faced with the daunting task

of rebranding the organization he lead. Burns knew the organization

experienced difficulty with recognition and marketplace distinction,

primarily due to the public's misperceptions about the relationship

between HCCH and the Coalition for the Homeless of Central Florida.

An external consulting team offered several recommendations for

change, including an amended name and redesign of all marketing

materials. This advice and changes in the external environment

provided an excellent opportunity to reposition and refocus the

organization. Recognizing the need for a new strategy and

implementing that strategy were not the same; Burns was not sure

how to lead the organization through the change process.

Learning Objective: The objectives of this case are to: Utilize internal

and external analysis as a means of understanding the current

situation and Burns' need to rebrand the organization; Understand how

brand orientation is critical to strategy for NPOs (nonprofit

organizations); Improve understanding of brand orientation through the

application and analysis of the construct to the subject NPO; Apply

Kotter's change model in order to understand Burns' role in introducing

and leading change toward the acceptance of the new brand image

and orientation; Facilitate discussion of the mission-driven nature of

social service organizations and social issues of homelessness and

health care. This case is suitable for use in undergraduate and first-

year graduate courses in change management and branding. The

detailed treatment of environmental analysis may also make the case

useful in marketing management or strategy courses. The contentious,

socially relevant issues of health care and homelessness make the

case particularly relevant to courses in public administration and

nonprofit management.

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Porcini's Pronto: "Great Italian cuisine without the wait!" James L. Heskett, Richard Luecke Type: HBP case Pub. Date: Apr 04, 2011 Product #: 4277-PDF-ENG Length: 12p Teaching Note: Yes

Porcini's Inc. operates a chain of 23 full-service restaurants located

near shopping malls and downtown areas in the northeastern United

States. Known for providing excellent service, Porcini's serves high-

quality Italian cuisine made from fresh ingredients. Looking for

expansion opportunities, management considers launching a new

chain of lower-cost, limited-menu restaurants called Porcini Pronto.

The new outlets will be located along busy interstate highway exits in

the region and will serve outstanding Italian food at reasonable prices

to both travelers and local residents. Management is concerned that a

poor customer experience at Porcini Pronto could tarnish the

company's well-established and successful restaurant brand. The

management team asks the vice president of marketing to develop the

concept and to create an operating strategy for the new outlets. The

VP must also analyze three alternative expansion strategies before

management will make any commitments to the project. If Porcini's

builds and operates the new restaurants, the company will maintain

complete control of operations and the customer experience but

expansion will take a very long time. Franchising and syndication are

two other options which provide faster expansion but introduce the risk

of losing control of the brand. The VP must analyze the options and

make his final recommendation.

Learning Objective: Describe the role of HR programs and

measurement systems in supporting product and service quality.

Understand how employee selection and training, customer feedback,

product offerings, and other elements of a business concept must work

together to support both the strategy and the customer value

proposition. Identify the implications for product and service quality

associated with different growth alternatives including company

ownership, franchising, and syndication.

Procter & Gamble: Marketing Capabilities Rebecca Henderson, Ryan Johnson Type: HBS case Pub. Date: Jun 10, 2011 Product #: 311117-PDF-ENG Length: 17p Teaching Note: Yes

P&G had become known and recognized as a marketing machine. It

was the largest advertiser in the world, with 2010 spending of $8.68

billion. From the company's early exploitation of broadcast media

(radio and television) for its soap products to more recent experiments

in digital media for its men's hygiene brand Old Spice, P&G was a

seasoned marketer with strong consumer research, a powerful

innovation network, and the world's largest financial commitment to

advertising.

Learning Objective: To learn from and analyze the best practices of

P&G the world's largest advertising spender and a renowned marketer

of consumer products. To understand their marketing strategies, where

marketing innovation is developed, how it is applied across different

categories and how marketing shifts with changes in structure and

culture.

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Herborist: A Chinese Personal Care Brand Goes Abroad Kevin Zhou, Grace Loo Type: Uni. of Hong Kong case Pub. Date: Jun 13, 2011 Product #: HKU927-PDF-ENG Length: 24p Teaching Note: Yes

Herborist, a high-end Chinese personal care brand, had been steadily

expanding its share in global markets since 2008. The brand

distinguished itself by integrating traditional Chinese medicine with

modern biotechnology and emphasising its green and organic

ingredients. Whereas Chinese were familiar with the concept, how

would Herborist sell it to consumers outside mainland China who were

used to using established Japanese brands, such as Shiseido and SK-

II, or western brands, such as Estee Lauder and Sisley? In 2001,

Herborist chose to enter the Hong Kong market and test its product in

this very competitive market that was dominated by the major

Japanese and western cosmetics brands. The company opened two

Herborist-branded stores in major shopping centres but was forced to

close them down two years later due to bad results. The company tried

again in 2007, this time distributing its products through the Hong Kong

personal health and beauty chain Mannings. In 2008, Herborist

entered the Paris market with the help of the cosmetics chain store

Sephora. Results were mixed; although some of its products became

top sellers, the overall sales figures were not very promising. By 2011,

Herborist was ready for the next step in its international expansion

plan. Which markets should it target and what strategy should it adopt?

Learning Objective: This case provides students with an opportunity

to explore the challenges faced by a personal care brand from an

emerging market in converting to a global brand and requires students

to analyze different markets and as well as different modes of market

entry strategy.

Taj Hotels, Resorts and Palaces Rohit Deshpande, Mona Sinha Type: HBS case Pub. Date: Sep 28, 2010 Product #: 511039-PDF-ENG Length: 16p Teaching Note: N/A

The Taj Hotels, Palaces, and Resorts introduced a new brand

architecture to counter lack of differentiation and confused positioning

of its mixed bag of brands. After launching an economy and an

upscale brand, it dithered over the launch of its upper upscale and

luxury brands. The case illustrates the marketing and organizational

challenges of a hybrid brand extension strategy that lies in between a

'house of brands' and a 'branded house'.

Learning Objective: To develop understanding of how brand

architecture is shaped by corporate growth.

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The Dannon Company: Marketing and Corporate Social Responsibility (A) Christopher Marquis, Pooja Shah, Amanda Tolleson, Bobbi Thomason Type: HBS case Pub. Date: Apr 01, 2010 Product #: 410121-PDF-ENG Length: 23p Teaching Note: Yes

At the end of 2009, The Dannon Company was considering pro

actively communicating its CSR efforts to consumers. With the strong

connection between Dannon's production of health foods and its

commitment to health and nutrition-based CSR activities,

communicating these activities to consumers could enhance the

company's success, but risked tainting its deeply ingrained CSR as a

marketing ploy. Dannon wanted to maintain its holistic approach to

social responsibility and commitment to social values. Dannon's CSR

focused on three areas: Nutrition and Health, People and Nature. The

case follows the perspectives of various stakeholders within the

organization, including members of the Marketing, Human Resources

and Corporate Affairs departments. Some of the specific questions

examined are: Should we communicate Dannon's CSR activities?

What would be the best means to do so? Should it be a corporate or

brand level campaign? How would the parent company, Danone,

respond? Can CSR remain sincere when being leveraged for PR

purposes?

Learning Objective: To discuss how a company develops,

implements and communicates a strategic corporate social

responsibility program that is aligned with the organization's business

operations and commitment to social values.

Classic Knitwear and Guardian: A Perfect Fit? (Brief Case) John A. Quelch, Patricia Girardi Type: HBP Brief case Pub. Date: Jun 18, 2010 Product #: 4217-PDF-ENG Length: 8p Teaching Note: Yes

Classic Knitwear manufactures and distributes casual apparel, either

unbranded or under a private-label brand name. Partly because

Classic has no brand recognition with consumers, gross margins are

low. To improve margins, the company considers partnering via a

licensing agreement with Guardian, a manufacturer of insect repellent

that has developed superior repellent technology for clothing. Unlike

Classic Knitwear, Guardian is a well-known and well-respected brand

in its target market of outdoor enthusiasts, and Classic Knitwear wants

to take advantage of this by selling the new clothing line under the

Guardian brand. The partnership presents many new opportunities for

Classic Knitwear along with many risks. The CEO wants a quick

decision in time for the company's upcoming investor call. The case

explores challenges in product development, brand management, and

consumer marketing. Students are required to complete a breakeven

analysis and estimate product demand based on data presented in the

case.

Learning Objective: To evaluate a new product opportunity in which

the firm built exclusively on manufacturing private label and unbranded

products enters into a partnership to launch a line of branded "value

added" products. To conduct a break-even analysis and to estimate

sales potential of a new opportunity.

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LeBron James Anita Elberse, Jeff McCall Type: HBS case Pub. Date: Jan 31, 2009 Product #: 509050-PDF-ENG Length: 4p Teaching Note: Yes

In 2005, to the astonishment of many sports industry insiders,

superstar basketball player LeBron James fired his agent and

established his own firm, LRMR, to handle all aspects of his business

ventures and marketing activities and named his childhood friend

Maverick Carter as the CEO. LRMR is tasked with turning James into

a global icon as well as help him reach his personal goal of becoming

basketball's first billionaire. In late 2008, James has entered various

lucrative endorsement deals, and is considering three exclusive

videogame endorsement opportunities from Electronic Arts, 2K

Games, and Xbox Live to add to his portfolio. Allows for a rich

discussion about how superstar athletes and other celebrities can

create and capture value from their brands as well as what role talent

agencies and other intermediaries play in that process. Provides in-

depth information on three endorsement opportunities that each

represent a common way in which talent can (choose to) get

compensated: through a fixed-fee payment, a bonus payment

structure, or a revenue-sharing agreement.

Learning Objective: To examine marketing issues and, more

specifically, celebrity endorsement opportunities in the context of a

world-class athlete. To explore ways in which superstars in the

creative industries create and capture value from their brands.

Manchester Products: A Brand Transition Challenge John A. Quelch, Heather Beckham Type: HBP Brief case Pub. Date: Jun 28, 2009 Product #: 4043-PDF-ENG Length: 11p Teaching Note: Yes

In January of 2005, Manchester Products Inc., a longtime leader in

office furniture that only recently entered into the home furniture

market, acquired Paul Logan's Furniture Division (PLFD). The

acquisition of PLFD made Manchester an instant market leader in

household furniture. A key factor in the value of PLFD has been the

name of the company founder -- arguably the premiere name in high-

end fashion and accessories, and a true lifestyle brand. However,

Manchester has acquired rights to use the Paul Logan brand name for

only three years. Jason Adams, VP of Marketing for Manchester, is

responsible for designing a plan to transition the brand from the Paul

Logan name to Manchester. He must develop the optimal timing and

sequencing of the brand transition, assess the implications, and

establish the appropriate mix of advertising and promotion programs to

support the transition.

Learning Objective: 1. Evaluate alternative product policies and

communications programs for implementing a brand transition. 2.

Discuss the horizontal and vertical stretching of a brand name in

relation to product line breadth and depth. 3. Evaluate the marketing

strategy behind an acquisition, including considerations of product-

company and product-market fit. and product-market fit.

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Fiat and Chrysler: Gaining on Global Automakers? Robert E. Spekman, Jacki Fritz Type: Darden case Pub. Date: Oct 06, 2009 Product #: UV2975-PDF-ENG Length: 21p Teaching Note: N/A

This case examines the formation of an alliance between Fiat and

Chrysler during the height of the financial crisis as a mechanism to

save Chrysler from liquidation. The case traces the events leading up

to the alliance, discusses the early stage issues with which the

partners have to deal, addresses some of the governance issues, and

examines the past merger between Chrysler and Daimler that ended in

a failure. The case presents a normative approach to alliance

management and conjectures about the success of the Fiat-Chrysler

alliance. We address whether Chrysler is a suitable partner and

whether there is a strong enough rationale for the alliance and whether

the two partners are compatible. Finally, the case explores the lessons

learned and the cautions that might derail the alliance.

Learning Objective: 1) Examine an alliance in the automotive industry

to see if the rationale for the alliance makes sense; 2) Explore the

alliance-formation process to see if the proper steps were taken during

the due diligence; 3) See what lessons can be gleaned from previous

mergers; 4) Understand better how alliances can be used to gain

competitive advantage.

Chapter 8: New Products Abstract

Serious Materials Thomas Steenburgh, Liz Kind Type: HBS case Pub. Date: Jan 18, 2011 Product #: 511111-PDF-ENG Length: 20p Teaching Note: N/A

Serious Materials is a start up who is moving into clean tech markets.

The company's first product, QuietRock, originated the sound proofing

drywall category and created a steady stream of revenue. It was now

considering how to expand its product line to compete in the rapidly

developing green building markets. How should Serious Materials go

to market when they launch their highly anticipated Serious Windows

and EcoRock product lines? What do they need to do to develop their

brand?

Learning Objective: How to create product line extensions in green

markets.

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Clean Edge Razor: Splitting Hairs in Product Positioning John A. Quelch, Heather Beckham Type: HBP Brief case Pub. Date: Jan 19, 2011 Product #: 4249-PDF-ENG Length: 10p Teaching Note: Yes

After three years of development, Paramount Health and Beauty

Company is preparing to launch a new technologically advanced

vibrating razor called Clean Edge. The innovative new design of Clean

Edge provides superior performance by stimulating the hair follicles to

lift the hair from the skin, allowing for a closer shave. The company

has already decided to introduce Clean Edge into the men's market

where it has a strong presence. Jackson Randall, the product manager

for Clean Edge, struggles with how best to position the product for the

launch. One strategy is to release Clean Edge as a "niche" product,

targeting the high-end market of fastidious groomers looking for

superior skin care products. Another strategy is to release the product

into the highly competitive mainstream razor market where the product

can be positioned as the most effective razor available. Randall meets

internal resistance to the mainstream strategy from the product

manager for the company's current, but aging, mainstream razor

products and he must consider the effects of cannibalization in his

plan. Randall must recommend an optimal strategy and provide

supporting economic analysis of his decision--not just for Clean Edge,

but for its effect on the entire company.

Learning Objective: Explore issues associated with strategic product

positioning. Review new product development process and understand

the importance of evaluating product-company and product-market fit

in assessing new product opportunities. Understand the importance

and marketing implications of determining whether a new product is a

big breakthrough or a simple line extension.

Porsche: The Cayenne Launch John Deighton, Jill Avery, Jeffrey Fear Type: HBS case Pub. Date: Feb 15, 2011 Product #: 511068-PDF-ENG Length: 22p Teaching Note: Yes

Can an online discussion forum supply insight into the evolution of

brand meaning? In 2003 Porsche launched a sport utility vehicle,

dividing Porsche purists from newcomers to the brand. Vocal members

of online and offline Porsche communities ridiculed the Cayenne SUV

and disapproved of the new breed of driver. Some opposed offering

Porsche Club membership to them, and some even refused to extend

the fraternal Porsche "wave" or headlight flashing to them on the road.

Porsche's values of speed, luxury, and a certain masculine zeal

resonated strongly with its devotees, while drivers of the Cayenne

(which came to be known as "the SUV for soccer moms") tended to be

safety-conscious, family-oriented, and conservative. Evolving debates

on forums allow a class to debate whether the brand had strayed too

far from its core values and was at risk.

Learning Objective: To facilitate understanding of the uses and

limitations of online forums as a source of consumer insight.

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Nanda Home: Preparing for Life After Clocky Elie Ofek, Jill Avery Type: HBS case Pub. Date: May 23, 2011 Product #: 511134-PDF-ENG Length: 27p Teaching Note: N/A

Gauri Nanda, the inventor of Clocky, the alarm clock that rolls off the

bed stand and forces its owner to find it, has to make critical decisions

regarding the future of her nascent company. As sales of Clocky show

signs of declining, she must decide whether to continue her focus on

the alarm clock category or to branch out into new categories. If the

former, the question is which segments to pursue and what features to

develop, and, if the latter, the question is whether the concept of

"humanizing technology" is something consumers would value in other

domains. In addition, Nanda must decide how to continue marketing

Clocky and its successors, given the potential for cannibalization.

Clocky's success was largely attributable to the media's intense

interest and coverage, and it is not clear such attention would carry

over to other new product endeavors. Students are presented with a

number of new product concepts and the findings from both qualitative

and quantitative market research. This allows for a rich discussion of

how managers can think creatively about consumer experiences to

inform their innovation strategies.

Learning Objective: Consider consumer input and market factors to

determine optimal next generation innovation strategies.

Ad-lider Embalagens, SA: Marketing Research for Drawstring Trash Bags in Brazil Rosane Gertner, Dennis Guthery, Richard Ettenson Type: Thunderbird case Pub. Date: Oct 18, 2009 Product #: TB0141-PDF-ENG Length: 21p Teaching Note: Yes

This case presents market research data concerning the launch of a

new drawstring trash bag in Brazil. Ad-lider, one of the leaders in the

Brazilian plastic bag industry, has purchased the production machinery

for producing the trash bag, and now must decide how the new

product should be launched. Data for focus groups and field interviews

are included for analysis. The case touches on many areas of

marketing, including new product development, marketing research,

and creating customer value.

Learning Objective: This is appropriate for both undergraduate and

graduate marketing classes. It's ideally suited for the marketing

research component of a marketing management class. Alternatively,

it's also appropriate for the market research session of the new

product development course or for a qualitative data session of a

marketing research course. The teaching note is useful for all three

purposes.

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Geox: Breathing Innovation into Shoes Ali Farhoomand, Havovi Joshi Type: Uni. Of Hong Kong case Pub. Date: Oct 18, 2009 Product #: HKU895-PDF-ENG Length: 29p Teaching Note: Yes

On 28 July 2009, the board of directors of Geox approved the footwear

and apparel company's half-year results, which showed consolidated

sales of US$653 million. This was a remarkable achievement and

recognition for a company that had only been in the business since

1995. In the early 1990s, inventor, entrepreneur and erstwhile

winemaker Mario Moretti Polegato, suffering from hot and sweaty feet,

used a pocketknife to cut holes in the soles of his sneakers, thereby

creating the first pair of "shoes that breathe". Convinced that his

creative solution could be transformed into a commercially successful

product, Polegato spent several years developing a breathable

membrane for shoes that allow the feet to breathe while remaining

watertight. When he succeeded in producing the prototype of such a

technology in the laboratory, he immediately patented it and began

marketing it to existing shoe manufacturers. However, none showed

any interest in his product. He thus decided to embark on his own, and

commenced manufacturing these "breathing" shoes under the Geox

brand name. Since then, Geox's innovative products have continued to

carve out a niche for themselves in the global footwear market. By

2002, the company had extended its "breathability" technology to

fabric and entered the apparel market. By 2009, after a mere 14 years,

Geox had become a global name and was ranked the world's second-

largest casual lifestyle footwear sector operator. The company

conducted its business in 68 countries around the world through over

10,000 multi-brand points of sale and 997 single-brand Geox shops.

By introducing yet another product to the established and intensely

competitive shoe industry, Geox had successfully demonstrated the

power of innovation. But like any other innovative company, Geox has

to fret about sustainability of its competitive advantage.

Learning Objective: This case stimulates discussion on creativity and

product innovation, and helps students understand how an innovative

product can disrupt a mature industry. The teaching objectives of this

case are: 1. To analyze how a creative innovation can impact existing

industry dynamics 2. To discuss the key principles for a new firm to

follow in introducing an innovative product and entering a mature

market successfully 3. To discuss the strategy such a firm needs to

adopt to maintain its presence in the market.

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Local Motors: Designed by the Crowd, Built by the Customer Michael I. Norton, Jeremy B. Dann Type: HBS case Pub. Date: Feb 19, 2010 Product #: 510062-PDF-ENG Length: 21p Teaching Note: N/A

In the wake of the meltdown among US auto manufacturers in 2009,

Jay Rogers - CEO of Local Motors - has a new approach for the

automotive industry: Decide which models are produced through

online design competitions, and then allow customers to "build their

own cars" from the winning designs. The case focuses on two key

issues: Can Local Motors build a thriving online design community at a

reasonable cost? And can customers be convinced to add their own

sweat and labor to the manufacturing process? The case is written

from the perspective of a start-up company seeking funding while

trying to implement a novel business concept.

Learning Objective: This case highlights the promises and pitfalls of

two increasingly common marketing tactics. First, the case explores

the concept of involving consumers and communities in the design of

one's products - inviting a broader discussion of similar initiatives such

as open-source collaborative efforts. Second, the case examines the

impact of involving customers in the manufacturing of one's products -

again part of a broader conversation about the increased push towards

allowing consumers to customize product offerings.

Emotiv Systems, Inc.: It's the Thoughts that Count Elie Ofek, Jason Riis, Paul Hamilton Type: HBS Premier case Pub. Date: Oct 15, 2009 Product #: 510050-PDF-ENG Length: 28p Teaching Note: Yes

Emotiv is getting ready to launch its innovative brain-computer

interfacing (BCI) technology. The company has developed a special

headset, called EPOC, and highly sophisticated software that can

translate a person's emotions, cognitive thoughts and facial

expressions into digital outcomes. Emotiv wants the technology to be

adopted by mainstream consumers and is leaning towards the video

game market as its primary initial target. However, it needs to decide

whether to continue efforts to convince one of the big three console

makers (PS3, Xbox 360, Wii) to enable the EPOC on their platform or

to settle for the PC gaming market. Alternatively, the company could

have chosen a number of different markets to focus on (such as

medical, military, market research). A host of additional marketing

decisions (pricing, channels, bundling a demo game) need to be made.

The case allows students to grapple with the issues of: selecting a

target application for the launch of an innovation; determining the

importance of having a big name partner for the launch by an unknown

start-up; considering the wisdom of taking a B2C rather than B2B

approach with a novel technology; using analogous products to

forecast demand and sales for a new technology.

Learning Objective: To analyze the launch strategy of a completely

novel technology: selection of target application and target market;

importance of big name partners for consumer adoption; forecasting

adoption pattern.

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Genzyme: The Renvela Launch Decision Tim Calkins, Lynn Harris Type: Kellogg case Pub. Date: Jul 01, 2009 Product #: KEL412-PDF-ENG Length: 14p Teaching Note: Yes

Pharmaceutical company Genzyme has created a new drug, Renvela,

which is a phosphate binder designed to be used primarily by patients

with kidney failure. Renvela is a slightly different version of Genzyme's

highly successful Renagel. Company executives must now decide how

best to launch Renvela. Should it replace Renagel? Should it be a

premium version of Renagel? Is it worth launching the product at all?

The case appears rather simple on the surface, but the questions are

challenging to work through.

Learning Objective: This case, launched with great success in the

2009 Kellogg Biotech and Healthcare Case Competition, can be used

to teach growth strategy and new product strategy. It also provides an

introduction to the pharmaceutical industry. Students will be given the

opportunity to think critically about the role of innovation, risk, and

ethics in healthcare-related firms.

Backchannelmedia: Making Television 'Clickable' Sunil Gupta, Kavita Shukla, Zach Clayton Type: HBS case Pub. Date: Apr 13, 2009 Product #: 509026-PDF-ENG Length: 19p Teaching Note: N/A

Backchannelmedia (BCM), a three year old start-up, intended to

completely disrupt the world of advertising by transforming the way

Americans watched television. BCM had developed a technology to

make television "clickable," enabling viewers to interact with the

content on their television screens. By April 2009, BCM had conducted

consumer studies and field tests and the results were very promising.

However, the industry was dominated by large players who could

impede the introductions of new technologies. BCM's founders would

have to make critical decisions about how quickly to roll-out their

technology, and to whom. Which industry players were allies? How

would BCM monetize the value they would create? Would investors

see as much potential in BCM as its founders? And how would the

company's cash constraints impact the strategy in the current

economic environment?

Learning Objective: To understand the adaption of innovations, and

the challenges faced by entrepreneurs.

PART 3: POSITIONING VIA PRICE, PLACE, PROMOTION

Chapter 9: Pricing

Abstract

Barcelo Hotels and Resorts (A) John T. Gourville, Marco Bertini Type: HBS case Pub. Date: Feb 18, 2011 Product #: 511108-PDF-ENG Length: 29p Teaching Note: N/A

Barcelo Hotels and Resorts must decide whether to allow its many

hotels to continue to undertake separate promotional campaigns or to

run, for the first time, a broad corporate-level promotion. Complicating

the decision is the fact that the many hotels in its portfolio vary greatly

in their character, clientele, positioning, and locations.

Learning Objective: Looks at the costs and benefits of a corporate

level branding and price promotion strategy. Also, when used with the

Harrah's case (HBS Case # 502-011), allows for a discussion of

centralized versus decentralized management of a portfolio of service

entities.

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ABICI Mukti Khaire, Elena Corsi, Elisa Farri Type: HBS case Pub. Date: Feb 18, 2011 Product #: 811085-PDF-ENG Length: 21p Teaching Note: N/A

The co-founder of an Italian, design based bicycle manufacturer

evaluates if reducing costs by outsourcing would impact its brand. The

company was founded in 2005 in Italy by three friends and in its first

five years, it had enjoyed steady growth and built a strong reputation

for producing high-quality city bicycles, appreciated for their retro-look

and style. Its country of origin had probably helped them exporting

their products as their bicycles were 100% made in Italy and the Made

in Italy label had a reputation of high quality, craftsmanship and

creativity. Yet their profit margins were relatively low as their

manufacturing costs were very high. Should they outsource their

production? If so, to China or to Eastern Europe? Was there some

other way to improve the profitability of the company?

Learning Objective: To help students understand the importance of

country of origin in export markets, and the challenges of reducing

costs by outsourcing and the impact it might have on a brand. It also

asks them to identify other ways to improve the profitability of a

company.

Groupon Sunil Gupta, Ray Weaver, Dharmishta Rood Type: HBS case Pub. Date: Mar 22, 2011 Product #: 511094-PDF-ENG Length: 23p Teaching Note: N/A

This case is set in early 2011 after a period of incredible customer and

revenue growth for Groupon. Reviewing Groupon's rise, the case

explores whether Groupon promotions are really good for local

merchants, whether Groupon can continue to thrive amid increasingly

intense competition, and the key reasons for the company's

remarkable early success.

Learning Objective: Help students understand the nature of a

blockbuster entrepreneurial success, and to critically evaluate

Groupon's value proposition for merchants and consumers.

The Eleganzia Group Elie Ofek, Elena Corsi, Bharat Sajnani, Sorina Casian-Botez, Francesco Tronci Type: HBS case Pub. Date: Apr 18, 2011 Product #: 511115-PDF-ENG Length: 35p Teaching Note: N/A

Eleganzia Group management faces tough decisions heading into the

summer of 2010. With tourism on the decline due to the global

economic recession, General Manager Giannuzzi must decide how to

set prices at the Forte Village Resort, the Group's most well-known

property. His management team is further divided on whether the

pricing model at the resort should change to being all-inclusive (as

opposed to one where guests are charged for each additional activity

or dining option on a pay-as-you-go basis), and whether to convert a

large number of the 4-star rooms into 5-star suites. Recently acquired

properties, such as the Castel Monastero in Tuscany and the

Maddalena Hotel & Yacht Club in north Sardinia, pose a branding

challenge. Can all the properties, including the Forte Village, be

successfully brought under one umbrella brand, namely, Eleganzia?

Moreover, what should the character of each these new properties be?

Learning Objective: Pricing and Branding strategy in a luxury

consumption setting; balancing short term revenue with long term

brand goals.

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Pricing Simulation: Universal Rental Car V2 John T. Gourville, Tom Nagle, John Hogan Type: Simulation Pub. Date: Aug 02, 2011 Product #: 7005-HTM-ENG Length: 120 min. Teaching Note: Yes

At a Florida rental car agency, students assume the role of a district

manager responsible for setting prices for rental cars across three

Florida cities: Miami, Orlando, and Tampa. Over 12 simulated months,

students must analyze price sensitivity between leisure and business

travelers and consider strategies that maximize rentals across

weekdays and weekends in each city. Demand for rental cars can vary

depending on the month and whether the location is more popular with

business or leisure travelers. Unrented cars have associated holding

costs while running out of cars is lost opportunity for profit. Students

can make periodic inventory adjustments among the locations to

match anticipated demand. The market for rental cars in Florida is

intensely competitive and students must also consider the likely

competitive response to their pricing decisions. Ultimately, students

must analyze the economic, seasonal, and competitive forces of the

rental car market and develop a pricing strategy to maximize the

cumulative profit for the firm. Students benefit from running the

simulation multiple times with increasing complexity. This single-player

simulation includes three pre-set scenarios or faculty can design

custom scenarios to meet specific learning objectives The second

release of this popular simulation retains the immersive experience of

the original while streamlining the information available to students and

the debrief tools for faculty.

Learning Objective: Understand the nature and dynamics of

consumer response to price (price elasticity). Account for demand

differences across customer segments and regions. Understand and

plan for seasonal variations in demand. Explore the impact of pricing

decisions on firm profitability. Use pricing strategies to optimize

inventory. Anticipate and understand competitive reactions to pricing

decisions. Understand how price and general economic conditions

affect overall market demand.

Fortis Industries, Inc. (A) Rowland T. Moriarty Jr., David May, Gordon Swartz Type: HBS case Pub. Date: Dec 16, 2010 Product #: 511079-PDF-ENG Length: 18p Teaching Note: N/A

Fortis Industries' packaging division manufactures steel and plastic

strapping. In 2007, the company underwent a leveraged buyout. The

case focuses on the packaging division's need to maintain high

profitability in a declining market for steel strapping. Since 1998, Fortis

has been losing 1% per year of the steel strapping market. Since then,

there has also been significant erosion of prices. The division president

is faced with 1) decreasing price to increase market share, or 2)

maintain/increase cash flow. The specific decision revolves around the

potential adoption of a price-flex system that is designed to authorize

selective discounting by the division's sales personnel.

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Marketing Analysis Toolkit: Pricing and Profitability Analysis Thomas Steenburgh, Jill Avery Type: HBS case Pub. Date: Jul 16, 2010 Product #: 511028-PDF-ENG Length: 8p Teaching Note: N/A

Pricing is one of the most difficult decisions marketers make and the

one with the most direct and immediate impact on the firm's financial

position. This toolkit will introduce the fundamental terminology and

calculations associated with pricing and profitability analysis. Users will

learn how to produce and interpret demand curves and calculate the

price elasticity of demand. The concepts of revenue, costs, and

contribution margin, gross margin, and net income will be introduced to

inform profitability analyses. Finally, retailer profitability metrics

including retailer margin and penny profit are discussed. The note

gives students a foundation for analyzing marketing cases, as well as

providing an analytical structure and process for completing a

marketing plan. The note is accompanied by a free Excel worksheet

which contains sample problems, prebuilt Excel models to calculate

demand curves, price elasticity, and profitability metrics for firms and

their channel partners, and charts and graphs which help visualize the

results.

Learning Objective: To provide students with analytical tools that they

can use to more rigorously analyze marketing cases and decisions and

to develop a strategic marketing plan.

Marketing Analysis Toolkit: Breakeven Analysis Thomas Steenburgh, Jill Avery Type: HBS case Pub. Date: Feb 04, 2010 Product #: 510080-PDF-ENG Length: 6p Teaching Note: N/A

Marketing managers are often called upon to make recommendations

for or against programs that cost money to implement. Before

expenditures are made, managers want to be sure that they will be

getting a return on their investment. One way of assessing this is by

calculating the breakeven point. In this note, we introduce the concept

of breakeven analysis and show how it is used to guide marketing

decision making. This analysis helps students assess the feasibility of

proposed fixed and variable marketing expenditures, the feasibility of

permanent pricing changes, and the feasibility of a new product

introduction. The note gives students a foundation for analyzing

marketing cases, as well as providing an analytical structure and

process for completing a marketing plan. The note is accompanied by

a free Excel worksheet which contains sample problems, pre-built

Excel models to calculate breakeven, and charts and graphs which

help visualize the results.

Learning Objective: To provide students with analytical tools that they

can use to more rigorously analyze marketing cases and decisions and

to develop a strategic marketing plan.

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Better World Books Michael I. Norton, Fiona Wilson, Jill Avery, Thomas Steenburgh Type: HBS case Pub. Date: Oct 21, 2010 Product #: 511057-PDF-ENG Length: 24p Teaching Note: N/A

Better World Books, a young start-up, provides a socially-conscious

alternative to Amazon, collecting and selling used books to keep them

out of the wastestream, while providing a portion of their profits to

support global literacy efforts. The case presents an emerging new

business model: the for profit "B corporation" designed to combine

profits and mission. Founder Xavier Helgesen struggles with how to

price his products to capture the value of their social good, how to

manage multiple channels of distribution, including selling direct to

consumers, and managing negative public perceptions of the social

impact of the business once the company turns profitable.

Learning Objective: To introduce a new type of business model

which combines for-profit and social mission. To explore the

challenges and opportunities associated with having a social mission.

Global Wine War 2009: New World versus Old Christopher A. Bartlett Type: HBS Premier case Pub. Date: Aug 13, 2009 Product #: 910405-PDF-ENG Length: 23p Teaching Note: Yes

The case contrasts the tradition-bound Old World wine industry with

the market-oriented New World producers, the battle for the US

market, the most desirable export target in 2009 due to its large, fast-

growing, high priced market segments. 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.

Learning Objective: To explore global industry analysis and

competitive dynamics.

Chapter 10: Channels of

Distribution and Logistics Abstract

WineInStyle Arar Han, George Foster Type: Stanford case Pub. Date: Jan 19, 2011 Product #: E401-PDF-ENG Length: 17p Teaching Note: Yes

Robert Eberhart is an American electronics executive living abroad in

Japan as market president. He's ready to move on to something new

and discovers that the changing distribution laws in Japan may provide

him a chance to upend the supply chain for California wines. Legal,

marketing, operational, and executive management challenges ensue.

Learning Objective: To demonstrate the beginnings and development

of a startup import-export business, and to illustrate management

challenges thereof.

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Rebranding Gallagher Rohit Deshpande, Keith Chi-ho Wong Type: HBS case Pub. Date: Jan 25, 2011 Product #: 511098-PDF-ENG Length: 12p Teaching Note: N/A

Steve Tucker, the Deputy CEO of Gallagher Group Limited (GGL), the

world's largest electric fence company, was about to present a new

branding strategy to the company's senior managers and Bill

Gallagher, Jr., CEO. After spending more than 18 months with brand

consultants, Tucker devised an umbrella brand strategy that would

instill a uniform brand across all three business units: Animal

Management Systems, Security Management Systems, and Fuel

Pumps, which marketed themselves under the respective brand

names of Gallagher, Cardax, Powerfence, and PEC. However, Tucker

knew that the unit heads believed the differences in their clienteles,

product categories, and distributor relationships made it impractical to

adopt one single brand. GGL's overseas distributors had also raised

concerns about a uniform brand. In many cases, GGL only owned

minority interests in these distributors and retained limited control over

their activities.

Learning Objective: Managing international distributors; managing

global branding

DBK: The Power of Direct Sales John Deighton, Sarah L. Abbott Type: HBP Brief case Pub. Date: Apr 19, 2011 Product #: 4284-PDF-ENG Length: 10p Teaching Note: Yes

The sales representatives at Designs by Kate (DBK) sell private label

jewelry at hosted parties and through online social media channels.

They are also responsible for recruiting, training, and managing new

sales reps. CEO and founder Kate Creevey designed the commission

plan to encourage sales reps to build teams and become "leaders" for

their teams. The strategy has been very successful over the

company's first five years. Now the CEO is concerned that growth in

top-line revenue is slowing, possibly due to an unwillingness by current

sales representatives to build and manage their own sales teams. A

survey reveals that many sales reps believe their incomes from jewelry

sales decline when they add members to their sales teams due to

increased competition for hosting parties within the same geographic

area. The CEO must revisit the commission structure to determine if it

is still an effective incentive. The case includes a quantitative

assignment that students should complete as part of case analysis.

Learning Objective: 1. Understand the importance of the perceptions

of incentives by sales representatives and the effect these perceptions

can have on company performance. 2. Explore the use of

compensation structure as a motivational tool for maximizing key

financial objectives. 3. Understand the value proposition associated

with a direct sales model.

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The Lao Coffee Industry: Implementing Vertical Integration for a Social Cause at Bolaven Farms Marta K Dowejko, Gilbert Wong Type: Uni. Of Hong Kong case Pub. Date: Jun 09, 2011 Product #: HKU933-PDF-ENG Length: 19p Teaching Note: Yes

Founded in 2007, Bolaven Farms is a coffee business with a social

purpose. Set up in Laos and Hong Kong, Bolaven Farms aims at

providing high-quality coffee to the worldwide public while helping to

alleviate poverty among coffee farmers in Laos. The business model

involves a full integration of the coffee supply chain, from planting the

coffee seed to selling the final branded product to wholesale and retail

customers. Consequently, farmers and the company benefit from

excluding intermediaries from the supply chain and keeping profit

margins for themselves. The company's vision of educating farmers

and providing them with higher income for their work is very compelling

to the public and was quickly picked up by the media. However, the

business model has yet to be tested. For one thing, once the farmers

graduate from the programme, they need employment assurance and

additional land to cultivate. For another, the coffee market is a mature

one, with many players and a multitude of competing and lower-priced

offers to choose from. People find the company's vision very inspiring,

but it is also very difficult to translate into viable actions. The company

has already invested US$4.0 million in the project, but is still a long

way from educating the public and finding customers willing to pay

premium prices for the coffee. Both ends of the supply chain need

further refinement, and Say is not willing to compromise on quality or

price. The case begins with an introduction of the coffee industry and

its practices. A description of Laos as a business environment for

Bolaven Farms follows. The case describes the development and

implementation of a business model that incorporates vertical

integration supported by social networks. It allows for an advanced

analysis of issues related to choosing an appropriate business model

and focuses on the risks related to future expansion and resulting from

the strategic choices of the entrepreneur.

Learning Objective: 1. To understand the role of social capital and a

value network in developing a new venture 2. To uncover Bolaven

Farms' strengths, weaknesses and performance in integrating its value

chain 3. To learn about the strengths and weaknesses of vertical

integration 4. To discuss the types of risks and difficulties that a new

venture faces while implementing its vision and mission.

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Nanda Home: Preparing for Life After Clocky Elie Ofek, Jill Avery Type: HBS case Pub. Date: May 23, 2011 Product #: 511134-PDF-ENG Length: 27p Teaching Note: N/A

Gauri Nanda, the inventor of Clocky, the alarm clock that rolls off the

bed stand and forces its owner to find it, has to make critical decisions

regarding the future of her nascent company. As sales of Clocky show

signs of declining, she must decide whether to continue her focus on

the alarm clock category or to branch out into new categories. If the

former, the question is which segments to pursue and what features to

develop, and, if the latter, the question is whether the concept of

"humanizing technology" is something consumers would value in other

domains. In addition, Nanda must decide how to continue marketing

Clocky and its successors, given the potential for cannibalization.

Clocky's success was largely attributable to the media's intense

interest and coverage, and it is not clear such attention would carry

over to other new product endeavors. Students are presented with a

number of new product concepts and the findings from both qualitative

and quantitative market research. This allows for a rich discussion of

how managers can think creatively about consumer experiences to

inform their innovation strategies.

Learning Objective: Consider consumer input and market factors to

determine optimal next generation innovation strategies.

Herborist: A Chinese Personal Care Brand Goes Abroad Kevin Zhou, Grace Loo Type: Univ. of Hong Kong case Pub. Date: May 23, 2011 Product #: HKU927-PDF-ENG Length: 24p Teaching Note: Yes

Herborist, a high-end Chinese personal care brand, had been steadily

expanding its share in global markets since 2008. The brand

distinguished itself by integrating traditional Chinese medicine with

modern biotechnology and emphasising its green and organic

ingredients. Whereas Chinese were familiar with the concept, how

would Herborist sell it to consumers outside mainland China who were

used to using established Japanese brands, such as Shiseido and SK-

II, or western brands, such as Estee Lauder and Sisley? In 2001,

Herborist chose to enter the Hong Kong market and test its product in

this very competitive market that was dominated by the major

Japanese and western cosmetics brands. The company opened two

Herborist-branded stores in major shopping centres but was forced to

close them down two years later due to bad results. The company tried

again in 2007, this time distributing its products through the Hong Kong

personal health and beauty chain Mannings. In 2008, Herborist

entered the Paris market with the help of the cosmetics chain store

Sephora. Results were mixed; although some of its products became

top sellers, the overall sales figures were not very promising. By 2011,

Herborist was ready for the next step in its international expansion

plan. Which markets should it target and what strategy should it adopt?

Learning Objective: This case provides students with an opportunity

to explore the challenges faced by a personal care brand from an

emerging market in converting to a global brand and requires students

to analyze different markets and as well as different modes of market

entry strategy.

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Franz Collection, Inc.: The Road From Subcontracting to Brand Marketing Lien-Ti Bei, Shih-Fen Chen Type: Ivey case Pub. Date: May 26, 2010 Product #: 910M30-PDF-ENG Length: 21p Teaching Note: Yes

The case describes the three-stage transformation of a Taiwanese

company - from an original equipment manufacturer (OEM) of small

gifts for Western European customers, to an original design

manufacturer (ODM) providing design and production of home d cor

and gifts to customers in Europe and the United States, to an own

brand manufacturing (OBM) company launching its brand of porcelain

tableware targeted at the global market. The story of Franz Collection

is a story of product outsourcing and international cooperation, where

OEM subcontractors in Asia have tried to set up their own marketing

channels and brand names to bypass their Western clients and appeal

directly to consumers. This case describes the managerial dilemmas in

establishing a global brand faced by manufacturers in Taiwan and the

neighbouring countries.

Nettwerk: Digital Marketing in the Music Industry John Deighton, Leora Kornfeld Type: HBS case Pub. Date: Oct 29, 2009 Product #: 510055-PDF-ENG Length: 20p Teaching Note: Yes

How is music marketed in the digital era? Nettwerk Music Group built

on its foundation as a social, grassroots marketer of music and artists,

and emerged as a leader in the Internet-enabled social media

environment. For most of the past decade Nettwerk CEO Terry

McBride let fans consume music on their own terms. He encouraged

file-sharing, the remixing of his artists' songs and videos, and an

environment in which "the audience is the record company." In the

digital marketplace compact discs mattered much less, said McBride.

"Digital assets" were the currency, in the form of ad, television, movie,

and videogame song placement, ringtones, mixes, and community-

created content. But new artist-label contracts were needed if digital

assets were going to flow freely. Moving away from the infrastructure

of the music business also meant having to do without the financial,

logistical, and promotional power of the major labels. To provide an

alternative to the muscle of the major labels, the company is launching

a venture capital project called "Polyphonic."

Learning Objective: The teaching objectives of the case are: - to

examine the mechanisms of social marketing in an era of widely

available digital tools - to analyze the use of traditional digital media

such as the Internet for such activities as ecommerce and promotion,

and new media tools such as blogs, YouTube, Facebook, My Space

and the collaborative, user/fan-based activities they enable - to

examine the 'long tail' argument as it pertains to the digital music

marketplace - to compare and contrast the relationship of old

media/broadcast media to the mass market with the resonance of new

media and fragmented, niche markets.

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Major League Baseball Advanced Media: America's Pastime Goes Digital Anita Elberse, Brett Laffel Type: HBS case Pub. Date: Mar 20, 2010 Product #: 510092-PDF-ENG Length: 24p Teaching Note: Yes

In January 2010, Bob Bowman, chief executive officer of Major League

Baseball Advanced Media -- MLB's digital arm -- is facing a number of

decisions related to its app for Apple's new iPad. For example, what

are the best name, price, and set of features for MLBAM's iPad app?

The case describes what is often seen as one of the most successful

paid-content businesses in sports and media. Provides in-depth

information on MLBAM's four main sources of revenues and relates

those to the league's overall revenues. It also describes the company's

online and mobile offerings in considerable detail and outlines the

choices facing MLB's offering for Apple's iPad device, enabling a rich

discussion of viable marketing strategies.

Learning Objective: To understand how sports industries, leagues,

and teams are affected by and can capitalize on new forms of digital

distribution; to assess viable business models for content owners and

distributors in the context of online media.

Bank of America: Mobile Banking Sunil Gupta, Kerry Herman Type: HBS Premier case Pub. Date: Mar 02, 2010 Product #: 510063-PDF-ENG Length: 22p Teaching Note: Yes

In January 2010, Jen McDonald, head of Bank of America

Corporation's (BoA) Digital Marketing group, was discussing the bank's

mobile strategy with Douglas Brown, senior vice president, Mobile

Product Development. BoA launched mobile banking in 2007 and

within three years it had 4 million active customers. This success

prompted line-of-business managers to request Jen and Doug to

include more functionality in the bank's mobile app that were specific

to their businesses such as credit cards and mortgages. Jen and Doug

had to decide how to leverage the mobile platform for various

businesses of the bank without creating confusion or increasing

complexity for the consumers. Recognizing the potential impact mobile

technology could have on the entire banking industry, they also had to

decide on how to position BoA's mobile banking in the long run.

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Zappos.com: Developing a Supply Chain to Deliver WOW! Michael Marks, Hau Lee, David W. Hoyt Type: Stanford case Pub. Date: Feb 13, 2009 Product #: GS65-PDF-ENG Length: 28p Teaching Note: Yes

Zappos was founded in 1999, during the Internet boom, to sell shoes

online. The company's founding premise was to provide the ultimate in

selection to its customers--all brands, styles, sizes, and colors. Zappos

organized all aspects of its business (including recruiting, culture, call

center, inventory, website, and supply chain) to provide the best

possible service--it wanted to "wow" everyone who interacted with the

company, from customers to employees to corporate partners. Zappos

grew rapidly, and by 2008 was profitable with net sales (after returns)

of about $650 million. The company faced a number of issues as it

looked forward. While it had penetrated only about 3 percent of the

U.S. market for shoes, Zappos had expanded its product lines to items

such as camping gear and video games. It needed to determine those

elements of its strategy had contributed to its success in shoes, and

whether it would be able to duplicate that success in other product

lines. It also needed to determine how it could scale its business--

much of the effort it had made to "wow" its customers was labor

intensive and expensive--could this be scaled to a company with

revenues of tens of billions? Finally, the economic landscape changed

dramatically in late 2008, with the financial market collapse and

recession. The service-intensive Zappos.com business was based on

sales at little to no discount, unlike many websites that relied on selling

at the lowest possible price. Would the company need to make

changes to respond to the changed economic environment, and if so,

what were those changes? The case provides an opportunity to

evaluate the core competences of an Internet retailer that has

experienced rapid, initial success. The case enables students to

consider supply chain issues, which are critical to the company's

success, in the broader context of the business: the bases of Zappos'

success, its core competencies, culture, and competitive environment.

Learning Objective: The case highlights an Internet retailer that has

grown rapidly, but faces significant issues, including scope of product

offerings, supply chain costs, customer service costs, and scalability.

The teaching objective of the case is to examine these issues, and the

considerations that the company must make in choosing a way

forward.

eBay Partner Network (A) Benjamin Edelman, Ian I. Larkin Type: HBS case Pub. Date: Sep 28, 2009 Product #: 910008-PDF-ENG Length: 14p Teaching Note: Yes

eBay considers adjustments to the structure and rules of its affiliate

marketing program, eBay Partner Network (ePN). In particular, eBay

reevaluates affiliate compensation structure, the role of bonuses for

especially productive affiliates, and the overall rationale for outsourcing

online marketing efforts to independent affiliates. The case presents

the history and development of ePN, ePN's importance to eBay, and

the mechanics of online affiliate marketing.

Learning Objective: Management of commission-based referral

systems, including their structure, implementation, and incentives.

Chapter 11: Advertising

Messages and Marketing

Communications

Abstract

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Trip Advisor Sunil Gupta, Kerry Herman Type: HBS case Pub. Date: Jan 24, 2011 Product #: 511004-PDF-ENG Length: 19p Teaching Note: N/A

By 2010, TripAdvisor was the largest travel site in the world operating

in 24 countries and 16 languages, with listings for 455,000 hotels,

92,000 attractions and 564,000 restaurants in over 71,000 destinations

worldwide. It had over 40 million reviews from 35 million unique

monthly visitors who were contributing 21 new reviews every minute.

Known for its hotel reviews, TA expanded into flights, vacation rentals

and international markets like China. Each of these expansion paths

provided unique opportunities as well as new challenges. In August

2010, Stephen Kaufer, CEO, was debating how to prioritize his growth

plans for the company.

Learning Objective: To understand how user-generated content

(UGC) can be leveraged and what are the challenges of replicating

that model in different countries (e.g., China) and different categories

(e.g., vacation rentals and flights).

Procter & Gamble: Marketing Capabilities Rebecca Henderson, Ryan Johnson Type: HBS case Pub. Date: Jun 10, 2011 Product #: 311117-PDF-ENG Length: 17p Teaching Note: Yes

P&G had become known and recognized as a marketing machine. It

was the largest advertiser in the world, with 2010 spending of $8.68

billion. From the company's early exploitation of broadcast media

(radio and television) for its soap products to more recent experiments

in digital media for its men's hygiene brand Old Spice, P&G was a

seasoned marketer with strong consumer research, a powerful

innovation network, and the world's largest financial commitment to

advertising.

Learning Objective: To learn from and analyze the best practices of

P&G the world's largest advertising spender and a renowned marketer

of consumer products. To understand their marketing strategies, where

marketing innovation is developed, how it is applied across different

categories and how marketing shifts with changes in structure and

culture.

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Health Care Center for the Homeless: Changing with the Times Mary Conway Dato-on, Eileen Weisenbach Keller Type: Ivey case Pub. Date: Mar 08, 2011 Product #: 910A32-PDF-ENG Length: 12p Teaching Note: Yes

Bakari Burns, CEO of the Health Care Center for the Homeless

(HCCH), located in Orlando, Florida was faced with the daunting task

of rebranding the organization he lead. Burns knew the organization

experienced difficulty with recognition and marketplace distinction,

primarily due to the public's misperceptions about the relationship

between HCCH and the Coalition for the Homeless of Central Florida.

An external consulting team offered several recommendations for

change, including an amended name and redesign of all marketing

materials. This advice and changes in the external environment

provided an excellent opportunity to reposition and refocus the

organization. Recognizing the need for a new strategy and

implementing that strategy were not the same; Burns was not sure

how to lead the organization through the change process.

Learning Objective: The objectives of this case are to: Utilize internal

and external analysis as a means of understanding the current

situation and Burns' need to rebrand the organization; Understand how

brand orientation is critical to strategy for NPOs (nonprofit

organizations); Improve understanding of brand orientation through the

application and analysis of the construct to the subject NPO; Apply

Kotter's change model in order to understand Burns' role in introducing

and leading change toward the acceptance of the new brand image

and orientation; Facilitate discussion of the mission-driven nature of

social service organizations and social issues of homelessness and

health care. This case is suitable for use in undergraduate and first-

year graduate courses in change management and branding. The

detailed treatment of environmental analysis may also make the case

useful in marketing management or strategy courses. The contentious,

socially relevant issues of health care and homelessness make the

case particularly relevant to courses in public administration and

nonprofit management.

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United Breaks Guitars John Deighton, Leora Kornfeld Type: HBS case Pub. Date: Jan 06, 2010 Product #: 510057-PDF-ENG Length: 13p Teaching Note: Yes

When social media propagate a complaint about poor customer

service, an international media event ensues. How do viral videos

spread and what can firms do about them? This case dissects an

incident in which a disgruntled customer used YouTube and Twitter to

spread a music video detailing United's mishandling of his $3,500

guitar and the company's subsequent refusal to compensate him. The

song was called "United Breaks Guitars." Within one week it received

3 million views and mainstream news coverage followed, with CNN,

The Wall Street Journal, BBC, the CBS Morning Show, and many

other print and electronic outlets picking up on the story. The

mechanics of viral propagation are uncovered and the limited

opportunities for response by the firm are revealed. The case supports

the notion of the Internet as an insurgent medium, better at attack than

at defense. Learning Objective: To examine the mechanisms of

social media and its effects on the perception of a company and its

brand. What strategies can companies deploy in order to operate

effectively when the power to craft messages and images is shared

between marketer and consumer?

Bank of America Sports Sponsorship Stephen A. Greyser, John L. Teopaco Type: HBS case Pub. Date: Aug 12, 2009 Product #: 910406-PDF-ENG Length: 19p Teaching Note: Yes

A major sports sponsor must decide on new, renewal, or withdrawal

from significant relations with teams/leagues/events, using a distinctive

approach to assessment.

Learning Objective: Decision-making on specific sponsorship

situations and understanding of sponsorship.

Giant Consumer Products: The Sales Promotion Resource Allocation Decision (Brief Case) Neeraj Bharadwaj, Phillip D. Delurgio Type: HBP Brief case Pub. Date: Jun 15, 2009 Product #: 4131-PDF-ENG Length: 14p Teaching Note: Yes

This case provides students with an opportunity to become familiar

with some major strategic issues that firms face when formulating and

implementing a sales promotion, including: cannibalization, brand

equity erosion, forward-buying, pass-through, and consumer

stockpiling. It also provides them an opportunity to utilize retail scanner

purchase data in order to evaluate the historical performance of sales

promotions. Based on calculating top-line revenue, marketing margin,

and return on marketing investment (ROMI) for prior promotions,

students can recommend the most financially and strategically

defensible initiative from a choice of several competing sales

promotions. The setting is the frozen foods category in the consumer

packaged goods industry.

Learning Objective: To provide students with a greater appreciation

of how such strategic issues as cannibalization, brand equity erosion,

forward-buying, pass-through, and consumer stockpiling can factor into

decision-making pertaining to sales promotion activity. To provide

students with an understanding of the multi-disciplinary nature of brand

management. To provide students with some insight into how annual

brand plans and sales promotions are developed and implemented. To

provide students with exposure to financial analytics, including return

on marketing investment (ROMI), commonly utilized by brand

managers at consumer packaged goods firms.

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The Power of Persuasion: An Exercise in Creating Persuasive Advertising Michael Parent, Leyland Pitt, Stacey Morrison Type: Ivey case Pub. Date: Jan 08, 2009 Product #: 909A01-PDF-ENG Length: 1p Teaching Note: Yes

Do subliminal cues have an effect on behavior? This question is at the

heart of many debates in advertising. In this exercise, students can

determine, through their own experience, the impact of subconscious

cues on their decisions. In this simulation, the instructor places a

number of specific cues throughout the building. Students, in turn, are

tasked with creating an advertising poster for a chain of children's play

centers. Inevitably, their posters incorporate some, and sometimes all,

of the cues. The exercise can lead to a deep and constructive

discussion on the effect of subconscious cues on consumers.

Learning Objective: The goal of this exercise is to allow students to

determine for themselves, through their own experience, the impact, if

any, of subconscious cues on their cognition. This exercise exposes

students, by way of their own susceptibility, to the influence that

subliminal visual cues can have on the creative process. Subliminal

persuasion is something that has been the subject of controversy in

both social psychology and the business world for over 100 years.

Psychologists and marketers have been debating whether perception

can occur without awareness or consciousness. Specifically, are there

things that people experience that influence their actions, despite

whether or not they are consciously or knowingly perceived? Using an

experiential learning pedagogy, this exercise introduces students to

how and why marketers may choose to use this technique and allows

for the students to decide for themselves whether they are believers or

critics. The experiment can also generate an in-depth discussion on

the ethical considerations inherent in marketing and advertising.

Teaching about subliminal persuasion in this way will help to

emphasize the practical nature of its usage, as well as allow for

students to debate the issue in terms of their own experiences with the

exercise. Furthermore, knowing what types of elements work in

subliminal persuasion will aid in understanding theories in consumer

behavior. The case is appropriate for courses in Marketing and

Advertising at both the undergraduate and graduate levels

Chapter 12: Integrated

Marketing Communications

and Media Choices

Abstract

BBVA Compass: Marketing Resource Allocation Sunil Gupta, Joseph Davies-Gavin Type: HBS case Pub. Date: Jan 27, 2011 Product #: 511096-PDF-ENG Length: 16p Teaching Note: Yes

BBVA Compass, the 15th largest commercial bank in the U.S., is a

part of the BBVA Group of Spain, the second largest bank in Spain

with $755 billion in assets. In December 2010, Frank Sottosanti, Chief

Marketing Officer of BBVA Compass, was reviewing the marketing

performance of the company and deciding how to allocate next year's

marketing budget across various offline and online channels.

Learning Objective: To highlight the challenges involved in allocating

marketing resources between (a) offline and online advertising, (b)

display and search advertising, and (c) various display ad networks.

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Vestas' World of Wind Thomas Steenburgh, Elena Corsi Type: HBS case Pub. Date: Mar 16, 2011 Product #: 511121-PDF-ENG Length: 38p Teaching Note: N/A

The wind turbine manufacturer Vestas launched the industry's first

highly localized and customized new product launch campaigns which

used also new tools such as web 2.0 platforms. Used to operate in a

market where demand exceeded supply, Vestas had lost contact with

its customer base and had a limited marketing budget, mainly used to

finance global media advertisement campaigns. The world economic

downturn which followed the U.S. credit crunch crisis of 2008 and the

increased competition in the wind turbine market had brought about a

sudden drop in Vestas orders of new turbines. Vestas thus decided to

focus more on marketing and developed a new department, Global

Marketing and Customer Insights. Morten Albaek was hired to manage

and develop the department and to transform Vestas into the

undisputed most customer focused company in the industry by 2012

and among the most customer centric B2B brand by 2015. He tested

his new approach for the first time with the launch of their new V112

turbine for which he developed 72 customized campaigns targeting its

main existing and potential customers and major stakeholders. Yet,

had the campaign been effective in bringing Vestas closer to its

customer base? Were they using the right tools?

Learning Objective: The case should bring students to think about

the importance for B2B companies of customer focused marketing

approaches and evaluate the new marketing tools used by the

company.

Demand Media John Deighton, Leora Kornfeld Type: HBS case Pub. Date: Mar 17, 2011 Product #: 511043-PDF-ENG Length: 18p Teaching Note: Yes

Google search had helped Demand Media grow to be a $1.9 billion

online publisher. Then, social media and smartphone apps began to

change the way people navigated the Internet. How should Demand

Media respond? The business ran on a radically new model in which a

stable of 10,000 freelance contributors supplied content, the Internet's

search engines brought it 75 million readers each month, and

advertising generated revenue. It took the guesswork out of content

production, with algorithms that indicated which topics were being

searched and created content accordingly. Demand treated its 5,000

online articles published per day as an investment, not a cost, a

reversal of the traditional media model. In addition to being able to

infer consumers' interests with its algorithm, the company had a

formula for estimating the lifetime value of each piece of content. As

the business models of print and broadcast media declined, Demand

had figured out how to leverage digital and social media tools to bring

down the costs of creating content and to find an audience. In spring

2011, executives at the five-year-old company were pleased with the

company's billion dollar IPO, the biggest Internet IPO since Google's,

but changes in consumer behavior on the Internet were obliging a

review of the model. Learning Objective: To examine the new forms

and models of content creation and distribution in the digital publishing

environment.

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DBK: The Power of Direct Sales John Deighton, Sarah L. Abbott Type: HBP Brief case Pub. Date: Apr 19, 2011 Product #: 4284-PDF-ENG Length: 10p Teaching Note: Yes

The sales representatives at Designs by Kate (DBK) sell private label

jewelry at hosted parties and through online social media channels.

They are also responsible for recruiting, training, and managing new

sales reps. CEO and founder Kate Creevey designed the commission

plan to encourage sales reps to build teams and become "leaders" for

their teams. The strategy has been very successful over the

company's first five years. Now the CEO is concerned that growth in

top-line revenue is slowing, possibly due to an unwillingness by current

sales representatives to build and manage their own sales teams. A

survey reveals that many sales reps believe their incomes from jewelry

sales decline when they add members to their sales teams due to

increased competition for hosting parties within the same geographic

area. The CEO must revisit the commission structure to determine if it

is still an effective incentive. The case includes a quantitative

assignment that students should complete as part of case analysis.

Learning Objective: 1. Understand the importance of the perceptions

of incentives by sales representatives and the effect these perceptions

can have on company performance. 2. Explore the use of

compensation structure as a motivational tool for maximizing key

financial objectives. 3. Understand the value proposition associated

with a direct sales model.

The NFL's Digital Media Strategy Anita Elberse, Kelsey Calhoun, Daven Johnson Type: HBS case Pub. Date: Oct 20, 2010 Product #: 511055-PDF-ENG Length: 19p Teaching Note: Yes

In late 2009, Brian Rolapp, senior vice president of media strategy and

digital media for the NFL, was faced with the challenge of determining

the league's strategic approach to the wireless market - and presenting

his views to NFL team owners. What was the league's best strategy for

the mobile space? The case describes the antecedents of what is

widely regarded as a landmark deal for the NFL, its $780-million, four-

year exclusive partnership with Verizon. Provides in-depth information

on the NFL's digital media revenues, and relates those to the league's

overall media and other revenues. Enables a rich discussion of new

distribution opportunities and ensuing marketing and channel-

management challenges.

Learning Objective: To understand how sports industries, leagues,

and teams are affected by and can capitalize on new forms of digital

distribution; to assess viable business models for content owners and

distributors in the context of online media.

Benecol Spread and Media Planning Richard Johnson, Robert I Carraway, Ervin R. Shames, Paul W. Farris Type: Darden case Pub. Date: Dec 03, 2010 Product #: UV2930-PDF-ENG Length: 21p Teaching Note: Yes

Benecol Spread, a cholesterol-lowering margarine, was a product with

unusual media-planning challenges. With a narrow target group and

unproven market potential, Johnson & Johnson needed to get the most

"bang for the buck" from its Benecol advertising. Would a media-

planning model (optimizer) requiring executives to quantify their

judgment on several key inputs be helpful in this process? A

spreadsheet accompanying the case allows students to weight the

target groups and to choose among different advertising vehicles to

form the best possible media plan.

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Matchstick Inc.: Word of Mouth Marketing (A) Ken Mark, Allison Johnson Type: Ivey case Pub. Date: Sep 17, 2010 Product #: 910A19-PDF-ENG Length: 3p Teaching Note: N/A

Matchstick Inc. (A) case introduces students to how brands are starting

to put in place non-traditional advertising, such as word-of-mouth

campaigns. The founder of Toronto-based Matchstick Inc. is working

on a campaign for the Ketel One vodka brand. Ketel One, managed by

Diageo, a global beverage firm, is trying to increase its awareness and

sales in the Canadian market. Ketel One's brand manager has turned

to Matchstick to generate awareness among its elusive target

audience.

Learning Objective: The cases introduces students to how brands

are starting to put in place non-traditional advertising, such as word-of-

mouth campaigns.

Infineon Raceway (Sears Point Raceway): Marketing in the Motorsports World George Foster, Norm O'Reilly, David W. Hoyt Type: Stanford case Pub. Date: Jun 15, 2010 Product #: SPM41-PDF-ENG Length: 44p Teaching Note: Yes

This case describes the history, operations, and economics of Infineon

Raceway (Sears Point Raceway) in Sonoma, California, and the

challenges facing the racetrack as a result of the economic recession

of 2008-9. The racetrack's most important race is a NASCAR Sprint

Cup event. It also hosts IndyCar, NHRA drag races, and other events.

Speedway Motorsports Inc. purchased the track in 1996, and made

substantial a capital investment to improve the spectator experience.

The track is heavily dependent, financially, on corporate sponsorship.

Its naming rights agreement with Infineon Technologies was expiring in

2012, and many of its other corporate sponsors were cutting back or

ending their sponsorships due to economic stress. The case describes

the advantages of corporate sponsorship, and the ways in which a

company can utilized sponsorship to build its brand, reward and

motivate employees, drive retail traffic to stores and distributors, and

entertain customers. The case includes a 10 page appendix with

background information of the basic types of motor racing and

descriptions of major racetracks in California.

Learning Objective: This case provides the basis for discussion of

marketing in the motorsports industry, particularly as it applies to

facilities. The concepts of sponsorship renewal, title sponsorship,

activation and sponsorship evaluation are also implicated. If the facility

component of the case is emphasized, it could be adapted to a facility

management course as well. Finally, the case could be used to

supplement material in a sport finance course related to revenue

generation through sponsorship.

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Air France Internet Marketing: Optimizing Google, Yahoo!, MSN, and Kayak Sponsored Search Mark Jeffery, Lisa Egli, Andy Gieraltowski, Jessica Lambert, Jason Miller, Liz Neely, Rakesh Sharma Type: Kellogg case Pub. Date: Mar 06, 2009 Product #: KEL319-PDF-ENG Length: 18p Teaching Note: Yes

Rob Griffin, senior vice president and U.S. director of search for Media

Contacts, a communications consulting firm, is faced with the task of

optimizing search engine marketing (SEM) for Air France. At the time

of the case, SEM had become an advertising phenomenon, with North

American advertisers spending $9.4 billion in the SEM channel, up

62% from 2005. Moving forward, Griffin wants to ensure that the team

keeps its leading edge and delivers the results Air France requires for

optimal Internet sales growth. The case centers upon Air France's and

Media Contacts' efforts to find the ideal SEM campaign to provide an

optimal amount of ticket sales in response to advertising dollars spent.

This optimal search marketing campaign is based on choosing

effective allocation of ad dollars across the various search engines, as

well as selecting appropriate keywords and bid strategies for

placement on the search result page for Internet users. In determining

the optimal strategy, the case presents background information on the

airline industry as well as the Internet search options available at the

time, including Google, Microsoft MSN, Yahoo!, and Kayak.

Additionally, background information is provided on SEM and its

associated costs and means of measuring the successfulness of each

marketing effort. The case illustrates how one must first determine the

key performance indicators for the project to guide analysis and enable

comparison of various SEM campaigns. Cost per click and probability

to produce a sale differ among publishers. Therefore, using a portfolio

application model's quadrant positions can be used to determine

optimal publisher strategies. Additionally, pivot tables help illustrate

campaigns and strategies that have historically been most successful

in meeting Air France's target Internet sales. Multiple

recommendations on how Media Contacts can assist Air France in

improving its SEM strategy can be derived from the data provided.

Learning Objective: Students learn how to optimally leverage the

Internet in generating customer sales in a cost-effective manner.

Students will analyze and manipulate a variety of data using pivot

tables to determine optimal strategies for obtaining maximum total

online bookings through the various online channels available. Using a

portfolio application model, students can determine an optimal

publisher strategy and complete copy improvement analysis.

Air France Internet Marketing: Optimizing Google, Yahoo!, MSN, and Kayak Sponsored Search Exhibit Spreadsheet, Spreadsheet Supplement Mark Jeffery, Lisa Egli, Andy Gieraltowski, Jessica Lambert, Jason Miller, Liz Neely, Rakesh Sharma Type: Kellogg case Pub. Date: Mar 06, 2009 Product #: KEL321-XLS-ENG Length: N/A

Subjects Covered: Customer relationship management; Customer

retention; Customer satisfaction; Global business; International

business; Internet; Internet marketing; Marketing communications

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HubSpot: Inbound Marketing and Web 2.0 Thomas Steenburgh, Jill Avery, Naseem Dahod Type: HBS Premier case Pub. Date: May 15, 2009 Product #: 509049-PDF-ENG Length: 21p Teaching Note: Yes

This case introduces the concept of inbound marketing, pulling

customer prospects toward a business through the use of Web 2.0

tools and applications like blogging, search engine optimization, and

social media. Students follow the growth of HubSpot, an

entrepreneurial venture which, in its quest for growth, faces significant

challenges including: developing market segmentation and targeting

strategies to decide which customer to serve and which to turn away,

configuring pricing strategies to align with the value delivery stream

customers experience, and determining whether inbound marketing

programs can generate enough scale or whether traditional outbound

marketing methods need to be employed to accelerate growth.

Learning Objective: To explore the opportunities and challenges

presented by an emerging Web 2.0 inbound marketing model of

marketing communications pertaining to segmentation and targeting,

pricing, and driving growth for an entrepreneurial start-up.

Sony and the JK Wedding Dance John Deighton, Leora Kornfeld Type: HBS case Pub. Date: Dec 22, 2009 Product #: 510064-PDF-ENG Length: 9p Teaching Note: Yes

Executives at Sony Music Entertainment faced a dilemma: a user-

generated video featuring controversial artist Chris Brown's music was

netting millions of views per week on YouTube. Sony held the

copyright to the song, and was entitled to issue a takedown notice to

the party that uploaded the video. How should Sony act? This case

looks at the issues faced by marketers in an environment in which

consumers disseminate content without the assistance, or approval, of

gatekeepers.

Learning Objective: To examine the new opportunities to create

value for fans, and in turn companies, that arise in the dynamic social

media environment. The role and positioning of the marketer shirts as

new consumer attitudes and behaviors are brought about by popular

participatory media destinations such as YouTube, blogs, and Twitter.

Chapter 13: Social Media Abstract

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Coca-Cola on Facebook John Deighton, Leora Kornfeld Type: HBS case Pub. Date: Feb 15, 2011 Product #: 511110-PDF-ENG Length: 11p Teaching Note: N/A

In late 2008, executives at Coca-Cola had to decide what to do with a

fan-created page on Facebook that had amassed over one million

followers in three months. From a legal point of view the fan-created

page was in violation of Facebook's terms of service, because a non-

copyright holder was using the imagery and logo associated with a

known brand. Facebook contacted Michael Donnelly, Group Director,

Worldwide Interactive Marketing for The Coca-Cola Company, to let

him know that he was in the position to take down the hugely popular

fan-created site or, conversely, he could take it over and make it an

official marketing channel for the company. Coke was already

revisiting its social media policies, with the Diet Coke and Mentos user-

generated video incident fresh in its memory. Those videos, which

featured elaborate geysers with Diet Coke as their main ingredient,

were among the most viewed online videos at the time but were not

initially sanctioned by the company. Donnelly knew that opening up the

brand to creative consumers was necessary, but he and his team had

to figure out how and to what extent they should do so while still

protecting one of the world's most valuable brands.

Learning Objective: To illustrate the changing marketing landscape

as social media evolves as a mass and mainstream marketing

platform.

The Ford Fiesta John Deighton, Leora Kornfeld Type: HBS case Pub. Date: Feb 15, 2011 Product #: 511117-PDF-ENG Length: 24p Teaching Note: N/A

Executives at Ford wondered if social media could be the marketing

solution for the launch of the youth-oriented 2010 Fiesta. But with

social media came a ceding of control. Some at the company believed

that if Ford was going to move beyond its conservative brand image for

the launch of the new subcompact chances had to be taken. Others

erred on the side of caution. Chantel Lenard, Ford's Group Marketing

Manager for Global Small Car and Midsize Vehicles and Connie

Fontaine, Manager of Brand Content and Alliances championed a new

approach for the new vehicle and set into motion a comprehensive 6-

month social media initiative targeting a younger, ethnically diverse,

and urban-based market, called "The Fiesta Movement". In doing so, a

large portion of the marketing campaign was handed over to 20 and

30-somethings across America, and Ford had to acclimate to a new

way of doing marketing. To what extent should the company guide the

activities and messages of their army of bloggers? The case is set two

months into the Movement, as the team evaluates the metrics from

YouTube, Twitter, Facebook, and their website, and wonder if they're

doing everything they need to do in order to make the Fiesta a success

with a new target market.

Learning Objective: To examine the variety of marketing techniques

in the new social media toolbox; is the ultimate objective to 'go viral', or

are there other metrics to consider when evaluating a social media-

based marketing campaign?

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PatientsLikeMe: An Online Community of Patients Sunil Gupta, Jason Riis Type: HBS case Pub. Date: Feb 16, 2011 Product #: 511093-PDF-ENG Length: 22p Teaching Note: Yes

PatientsLikeMe (PLM) is an online community where patients share

their personal experiences with a disease, find other patients like them,

and learn from each other. The company was founded by Jamie and

Ben Heywood when their 29-year-old brother was diagnosed with ALS

or Lou Gehrig's disease. In less than five years, PLM has grown to 15

patient communities where over 80,000 patients discuss 19 diseases.

In December 2010, PLM is discussing its planned launch of a General

Platform that would expand the number of diseases covered from 19 to

over 3,500. Is it the right move, and what does PLM need to do to

make it a success?

Learning Objective: To understand how an online community is built

and monetized and to highlight the challenges in growing the platform

to a larger scale.

Groupon Sunil Gupta, Ray Weaver, Dharmishta Rood Type: HBS case Pub. Date: Mar 22, 2011 Product #: 511094-PDF-ENG Length: 23p Teaching Note: N/A

This case is set in early 2011 after a period of incredible customer and

revenue growth for Groupon. Reviewing Groupon's rise, the case

explores whether Groupon promotions are really good for local

merchants, whether Groupon can continue to thrive amid increasingly

intense competition, and the key reasons for the company's

remarkable early success.

Learning Objective: Help students understand the nature of a

blockbuster entrepreneurial success, and to critically evaluate

Groupon's value proposition for merchants and consumers.

EMC2: Delivering Customer Centricity Thomas Steenburgh, Jill Avery Type: HBS case Pub. Date: Apr 04, 2011 Product #: 511124-PDF-ENG Length: 24p Teaching Note: N/A

This case introduces the concept of customer centricity and traces its

development at EMC, the world's leading data storage hardware and

information management software company. EMC's customers had

historically relied on EMC salespeople to guide them through the

complex, consultative buying process. However, with the rise of social

media, prospective customers are getting more of the information they

require earlier in the purchase process online. As they do so, their

physical interactions with EMC salespeople are decreasing, while their

digital interactions are increasing. Given the changing business

environment, BJ Jenkins, senior vice president of Global Marketing,

faces significant challenges as he tries to maintain EMC's culture of

customer centricity. These include 1) translating EMC's platinum

service levels, designed to appeal to the world's largest companies, to

small businesses and B2C customers, 2) understanding how the

replacement of physical interaction with digital interaction in the

consultative selling process affects EMC's business, and 3) managing

a VAR sales model that distances EMC from its customers.

Learning Objective: The case allows students to grapple with the

strategic and tactical decisions that accompany sales management

and customer management strategy in a B2B technology setting. It

also allows them to understand the shifting landscape of social media

and how it enables and constrains customer relationship management

and the practice of customer centricity.

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DBK: The Power of Direct Sales John Deighton, Sarah L. Abbott Type: HBP Brief case Pub. Date: Apr 19, 2011 Product #: 4284-PDF-ENG Length: 10p Teaching Note: Yes

The sales representatives at Designs by Kate (DBK) sell private label

jewelry at hosted parties and through online social media channels.

They are also responsible for recruiting, training, and managing new

sales reps. CEO and founder Kate Creevey designed the commission

plan to encourage sales reps to build teams and become "leaders" for

their teams. The strategy has been very successful over the

company's first five years. Now the CEO is concerned that growth in

top-line revenue is slowing, possibly due to an unwillingness by current

sales representatives to build and manage their own sales teams. A

survey reveals that many sales reps believe their incomes from jewelry

sales decline when they add members to their sales teams due to

increased competition for hosting parties within the same geographic

area. The CEO must revisit the commission structure to determine if it

is still an effective incentive. The case includes a quantitative

assignment that students should complete as part of case analysis.

Learning Objective: 1. Understand the importance of the perceptions

of incentives by sales representatives and the effect these perceptions

can have on company performance. 2. Explore the use of

compensation structure as a motivational tool for maximizing key

financial objectives. 3. Understand the value proposition associated

with a direct sales model.

foursquare Mikolaj Jan Piskorski, Thomas R. Eisenmann, Jeffrey J. Bussgang, David Chen Type: HBS case Pub. Date: Jan 24, 2011 Product #: 711418-PDF-ENG Length: 24p Teaching Note: N/A

The cofounders of foursquare are deciding how to respond to

competitive threats and scale up the organization. Foursquare was a

location-based online service that allowed users to "check in" to a

location using an application on a smartphone. Foursquare kept track

of a user's check-ins, shared them with users' friends, and unlocked

"Specials" that gave users discounts at nearby locations. Within a year

and a half of its founding the company had 45 employees and over 5

million users and was valued in excess of $100 million. However,

many competitors, including Facebook, Twitter, and Yelp, developed

competitive services requiring foursquare to respond.

Learning Objective: To illustrate the promise of geo-location

technologies and examine principles of lean start-up technologies.

Matchstick Inc.: Word of Mouth Marketing (A) Ken Mark, Allison Johnson Type: Ivey case Pub. Date: Sep 17, 2010 Product #: 910A19-PDF-ENG Length: 3p Teaching Note: N/A

Matchstick Inc. (A) case introduces students to how brands are starting

to put in place non-traditional advertising, such as word-of-mouth

campaigns. The founder of Toronto-based Matchstick Inc. is working

on a campaign for the Ketel One vodka brand. Ketel One, managed by

Diageo, a global beverage firm, is trying to increase its awareness and

sales in the Canadian market. Ketel One's brand manager has turned

to Matchstick to generate awareness among its elusive target

audience.

Learning Objective: The cases introduces students to how brands

are starting to put in place non-traditional advertising, such as word-of-

mouth campaigns.

PART 4: POSITIONING: ASSESSMENT THROUGH THE

CUSTOMER LEN

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Chapter 14: Customer

Satisfaction and Customer

Relationships

Abstract

State Bank of India: Transforming a State Owned Giant Rajiv Lal, Rachna Tahilyani Type: HBS case Pub. Date: Mar 28, 2011 Product #: 511114-PDF-ENG Length: 38p Teaching Note: N/A

February 2011: O.P. Bhatt reflected contentedly on his five-year term

as Chairman of State Bank of India (SBI), India's largest commercial

bank. He had led SBI on a journey of transformation from an old,

hierarchical, transaction oriented, government bank to a modern,

customer focused, and technologically advanced universal bank. In

2006, when Bhatt assumed leadership, SBI had been losing market

share for over two decades to private and foreign banks. Analysts and

industry observers had predicted that at the prevailing growth rates

ICICI Bank, a private bank launched in 1994, would overtake SBI in

terms of deposits in four years. However, by 2010, SBI had more than

doubled its profits, deposits and advances; regained market share and

won the Asian Banker Achievement award for the strongest bank in

the Asia Pacific region.

Learning Objective: Demonstrate successful turnaround and

increased revenues by focusing on customer management and

relationships.

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American Well: The Doctor Will E-See You Now Elie Ofek, Ron Laufer Type: HBS case Pub. Date: Mar 30, 2010 Product #: 510061-PDF-ENG Length: 28p Teaching Note: Yes

What is next for healthcare IT provider American Well, whose

innovative Online Care technology allows physicians to deliver care to

patients online in real time? Using American Well's platform, patients

with non-emergency health concerns can communicate with

physicians online or by phone and receive advice or even a diagnosis

without having to visit the physician's office. American Well's co-

founders, Ido Schoenberg and Roy Schoenberg, believe this platform

will reduce the cost of care delivery, create new revenue-earning

opportunities for providers, and contribute to a more efficient,

convenient healthcare delivery system. While the platform could

benefit insurers, providers, employers, and patients alike, the company

has only marketed to a few health insurance companies to date. In

November 2009, three insurers have adopted the technology and

American Well expects several more to do so over the next 12 months.

As the company plans to accelerate adoption by health insurers, it is

also considering other growth options. Is it too early to commit

resources to developing and marketing American Well's second-

generation product, which facilitates real-time connectivity between

primary care physicians and specialists? Should American Well pursue

new markets in the U.S., such as hospitals, chains of clinics, and

pharmacies, or even expand internationally? In a broader sense,

American Well's technology solves the economic obstacle of time and

place by connecting excess supply (of physician capacity) with excess

demand (for patient care). Could this model be adapted to other

industries, such as legal and accounting services? Alternatively,

should American Well continue to focus solely only on its primary

product and on becoming the leader in the Online Care Industry?

Learning Objective: Examine how a novel service, in the context of

healthcare, should think about its next-generation offerings and

markets.

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Green Hills Market Loyalty Program James Lattin, Meredith P. Jensen Type: Stanford case Pub. Date: Apr 20, 2009 Product #: M318-PDF-ENG Length: 29p Teaching Note: N/A

With the competitive 2007 holiday season approaching, Gary Hawkins

(CEO of Green Hills Market, an independent grocery retailer in

Syracuse, NY) was looking for a promotional program that would keep

his best customers coming to Green Hills for all of their holiday meal

shopping. Hawkins knew that his larger competitors (such as Price

Chopper, Wegmans, and Wal-Mart) would use their size and buying

power to procure products at the lowest possible cost, enabling them

to offer rock bottom prices. Hawkins was looking for a program that

would take advantage of Green Hills' proprietary systems for tracking

customers' buying patterns and shopping preferences. The

promotional program under consideration was a continuity program, in

which shoppers earned points that could be redeemed for pieces of

Arzberg porcelain. Hawkins and his team needed to establish their

objectives for the holiday season and decide whether or not the

Arzberg promotion was right for Green Hills Market. The case can be

accompanied by a data set ("M318 Green Hills Data Set") that

captures weekly expenditures by a sample of 1000 households

shopping at Green Hills Market before, during, and after the Arzberg

promotional program. The students can use these data (and other

information available in the case) to examine how well the Arzberg

promotion actually worked. "M318 Green Hills Data Set" can be

obtained from [email protected].

Learning Objective: This case is intended for use in a course on

marketing; the focus here is on reward programs and customer loyalty.

Students are first asked to consider whether or not a particular

promotional program (one in which shoppers earn points that they can

redeem for pieces of Arzberg porcelain) is appropriate for Green Hills

Market. The students must take into account promotional program

costs, savings, expected redemption rates, etc., in making their

determination. The case then presents results from the Arzberg

program and asks whether or not the promotion was successful.

Chapter 15: Marketing

Research Tools Abstract

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Pillsbury Cookie Challenge Allison Johnson, Natalie Mauro Type: Ivey case Pub. Date: Jan 27, 2011 Product #: W11020-PDF-ENG Length: 14p Teaching Note: Yes

The Canadian Pillsbury ready baked goods cookie line is experiencing

less than stellar performance, and the marketing manager is under

pressure to make strategic decisions that will help turn around the

segment. The marketing manager engages the help of the consumer

insight team to conduct market research studies that will shed light on

consumers and their attitudes, behaviours and preferences towards

the product. The results from the market research studies are in, and

the students, assuming the role of the marketing manager, must filter

through them to determine how this information can be used to

improve the performance of the cookie segment. More specifically,

students will need to determine where the greatest opportunities lie,

who the team should target, what brand messaging is the most

relevant and what type of communication plan would be most effective.

Learning Objective: The case highlights a common problem faced by

marketers - how to improve the performance of a business. In addition

to this aspect, the case focuses on how to attain and interpret

consumer information. The following topics are covered in the case:

Introduction to consumer insights and market research; Customer

segmentation and targeting, and Brand positioning. This case is best

suited for an Introduction to Marketing course (either HBA or MBA

level) or a course that digs deeper into how firms can employ

customer-oriented strategies, such as the Consumers and Customers

course. The objectives are to: familiarize students with different types

of consumer research and how it can help marketers make better

business decisions; develop students' ability to recognize relevant

customer insights and to show how these insights can help determine

strategies; highlight ways to segment the market, other than by

demographics; explore the ways in which marketing managers can

improve business performance.

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Nanda Home: Preparing for Life After Clocky Elie Ofek, Jill Avery Type: HBS case Pub. Date: May 23, 2011 Product #: 511134-PDF-ENG Length: 27p Teaching Note: N/A

Gauri Nanda, the inventor of Clocky, the alarm clock that rolls off the

bed stand and forces its owner to find it, has to make critical decisions

regarding the future of her nascent company. As sales of Clocky show

signs of declining, she must decide whether to continue her focus on

the alarm clock category or to branch out into new categories. If the

former, the question is which segments to pursue and what features to

develop, and, if the latter, the question is whether the concept of

"humanizing technology" is something consumers would value in other

domains. In addition, Nanda must decide how to continue marketing

Clocky and its successors, given the potential for cannibalization.

Clocky's success was largely attributable to the media's intense

interest and coverage, and it is not clear such attention would carry

over to other new product endeavors. Students are presented with a

number of new product concepts and the findings from both qualitative

and quantitative market research. This allows for a rich discussion of

how managers can think creatively about consumer experiences to

inform their innovation strategies.

Learning Objective: Consider consumer input and market factors to

determine optimal next generation innovation strategies.

Procter & Gamble: Marketing Capabilities Rebecca Henderson, Ryan Johnson Type: HBS case Pub. Date: Jun 10, 2011 Product #: 311117-PDF-ENG Length: 17p Teaching Note: Yes

P&G had become known and recognized as a marketing machine. It

was the largest advertiser in the world, with 2010 spending of $8.68

billion. From the company's early exploitation of broadcast media

(radio and television) for its soap products to more recent experiments

in digital media for its men's hygiene brand Old Spice, P&G was a

seasoned marketer with strong consumer research, a powerful

innovation network, and the world's largest financial commitment to

advertising.

Learning Objective: To learn from and analyze the best practices of

P&G the world's largest advertising spender and a renowned marketer

of consumer products. To understand their marketing strategies, where

marketing innovation is developed, how it is applied across different

categories and how marketing shifts with changes in structure and

culture.

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Red Lobster David E. Bell, Jason Riis Type: HBS case Pub. Date: Sep 08, 2010 Product #: 511052-PDF-ENG Length: 26p Teaching Note: Yes

Red Lobster, a 40-year-old chain of seafood restaurants, has just

completed some market research revealing an opportunity to shift their

target customer segment. The chain is in the final stages of a 10-year

plan of rejuvenation under CEO Kim Lopdrup. When he took over as

CEO in 2004 the chain was closing restaurants and suffering declining

same store sales and declining customer satisfaction. But in 2010,

even in a recession, the fortunes of the chain are improving. A recently

commissioned market research study has revealed, unexpectedly, that

25% of Red Lobster's customers are "experientials," people coming for

a "good evening out" rather than Red Lobster's traditional core

customer who came because of a craving for seafood. Should this

news cause Lopdrup to do anything differently?

Learning Objective: The case was written with three purposes in

mind (i) to permit a discussion about segmenting customers (ii) as a

general case about the marketing of restaurants and (ii) about the

potential of seafood as a source of protein especially in light of the

growth of aquaculture as a source.

Flare Fragrances Company, Inc: Analyzing Growth Opportunities (Brief Case) John A. Quelch, Lisa D. Donovan Type: HBP Brief case Pub. Date: Sep 08, 2010 Product #: 4550-PDF-ENG Length: 11p Teaching Note: Yes

Flare Fragrances, a manufacturer of perfumes for women, faces a

growth challenge in a difficult economic environment. CEO Joely

Patterson outlines two growth opportunities for her marketing staff to

evaluate. One involves launching a new scent -- and possibly

separating it from the trusty "umbrella brand" that comprises Flare's

other scents; the other involves deepening Flare's penetration into the

drugstore channel. In Patterson's view, the firm can pursue the first

opportunity, the second, or both -- but it must do something . In helping

Patterson to assess the opportunities, the marketing team must

consider a wide range of factors, including brand management,

consumer demographics, and positioning and pricing issues. The case

requires students to complete a quantitative assignment as part of

case analysis.Key topics include product line management, product

positioning, and new product launch.

Learning Objective: 1. To explore multiple considerations in

generating stronger growth from a well-established consumer products

business. 2. To develop quantitative skills necessary for systematic

analysis and comparison of multiple growth opportunities.

PART 5: CAPSTONE

Chapter 16: Marketing

Strategy

Abstract

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foursquare Mikolaj Jan Piskorski, Thomas R. Eisenmann, Jeffrey J. Bussgang, David Chen Type: HBS case Pub. Date: Jan 24, 2011 Product #: 711418-PDF-ENG Length: 24p Teaching Note: N/A

The cofounders of foursquare are deciding how to respond to

competitive threats and scale up the organization. Foursquare was a

location-based online service that allowed users to "check in" to a

location using an application on a smartphone. Foursquare kept track

of a user's check-ins, shared them with users' friends, and unlocked

"Specials" that gave users discounts at nearby locations. Within a year

and a half of its founding the company had 45 employees and over 5

million users and was valued in excess of $100 million. However,

many competitors, including Facebook, Twitter, and Yelp, developed

competitive services requiring foursquare to respond.

Learning Objective: To illustrate the promise of geo-location

technologies and examine principles of lean start-up technologies.

The Generics Pharmacy Jim Kayalar Type: Ivey case Pub. Date: Apr 12, 2011 Product #: W11061-PDF-ENG Length: 16p Teaching Note: Yes

The price of pharmaceuticals in the Philippines is second only to Japan

in Asia and one of the highest in the world despite the Philippines

being a less developed country and nearly half of its population living

on US$2 a day. The case illustrates how The Generics Pharmacy a

local pharmaceutical company challenged the existing industry

business model and became the largest pharmaceutical retailer in the

country within a period of only three years. Under the strategic

leadership of CEO Benjamin Liuson, The Generics Pharmacy

succeeded in formulating a superior value proposal by focusing on the

supply and demand side constructs at the bottom of the pyramid and

bringing affordable high quality medicines within reach of low income

individuals. Superior leadership, management and strategic initiative

succeeded in integrating and balancing tenets of corporate social

responsibility, entrepreneurial foresight and resource based strategy to

catapult the company into a leadership position.

Learning Objective: The case can be best positioned for use in a

strategic management/leadership class. The case can be used to

teach the strategic management process, and it utilizes the value

chain, SWOT, life cycle, Ansoff, and scenario planning tools.

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Fiat-Chrysler Alliance: Launching the Cinquecento in North America Gary P. Pisano, Phillip Andrews, Alessandro Di Fiore Type: HBS case Pub. Date: May 11, 2011 Product #: 611037-PDF-ENG Length: 24p Teaching Note: N/A

Fiat ended its 27-year absence in the North American automobile

market when the first Cinquecento (500)-a very small, iconic Italian car

that had strong sales in Europe-was delivered on March 10, 2011. The

Italian automaker re-entered the market through an alliance with

Chrysler, the American automaker Fiat acquired in April 2009. For

Laura Soave, Chrysler Group's head of Fiat Brand North America, the

first delivery marked a watershed in a journey that began 12 months

before when she first took responsibility for re-launching the Fiat brand

in North America. As the first product of the Fiat-Chrysler alliance, the

outcome of the Cinquecento launch would indicate how the integration

of operations, and in particular the sharing of technology, platforms,

components, manufacturing plants, and distribution networks would

drive the long-term health of both Fiat and Chrysler. This case looks at

the various strategic and operational challenges Soave faced

throughout the process.

Learning Objective: The case can be used to explore: 1) approaches

for new market entry into foreign markets, and the associate

challenges of brand positioning 2) strategies for managing and

integrating global alliance partnerships 3) leadership issues associated

with corporate turnarounds.

Google in China (A) John A. Quelch, Katherine E. Jocz Type: HBS case Pub. Date: Jan 21, 2010 Product #: 510071-PDF-ENG Length: 13p Teaching Note: Yes

In January 2010, Google threatened in a public statement to stop

censoring its search results on its google.cn website, as required by

Chinese authorities. Should Google exit China? Or attempt a

compromise with the Chinese government?

Learning Objective: To discuss whether or not to exit a multinational

market in response to a crisis in relations with the host government.

Google in China (B) John A. Quelch Type: HBS case Pub. Date: Apr 01, 2010 Product #: 510110-PDF-ENG Length: 1p Teaching Note: Yes

In a January 2010 public statement, Google threatened to stop

censoring its search results on its Google.cn website, as required by

Chinese authorities. Should Google exit China? Or attempt a

compromise with the Chinese government?

Learning Objective: To discuss whether or not to exit a multinational

market in response to a crisis in relations with the host government.

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Soren Chemical: Why is the New Swimming Pool Product Sinking? (Brief Case) V. Kasturi Rangan, Sunru Yong Type: HBP Brief case Pub. Date: Apr 09, 2010 Product #: 4188-PDF-ENG Length: 8p Teaching Note: Yes

Topics include distribution channels, pricing, and new product

marketing. Jen Moritz, the marketing manager for Soren Chemical Co.

is struggling with the poor sales performance of Coracle, a new clarifier

for residential swimming pools. The performance is puzzling because

Coracle is chemically similar to another Soren product that has sold

well for treatment of larger pools. Soren distributes the other product

B2B through "chemical formulators" serving the commercial pools

market -- but Soren uses wholesale distributors to sell Coracle. Given

the slow start in establishing Coracle as a consumer brand, Moritz

suspects that the go-to-market strategy may be flawed, but she is

unsure where the problem lies; she examines channel strategy,

distribution partners, the Coracle pricing scheme, the threat of

competitors' offerings, and other potential problem sources.

Learning Objective: 1. Examine the interactive nature of the elements

of the marketing mix, i.e. the impact of pricing and branding policy on

the incentives of channel partners 2. Evaluate different approaches to

pricing, including value pricing, competitive parity pricing, and

customer indifference pricing (cannibalization) 3. Understand the

trade-offs in new product marketing between an ideal strategy and

what is actually feasible and affordable

Natura: Exporting Brazilian Beauty Bruce McKern, Leonardo Yamamoto, Daniela Bouissou, David W. Hoyt Type: Stanford case Pub. Date: Jan 20, 2010 Product #: IB92-PDF-ENG Length: 41p Teaching Note: N/A

This case describes the development and international expansion of

Natura, a Brazilian cosmetics company. The company was founded in

1969, and developed products using environmentally sustainable

practices, and that were distributed using a direct sales model. The

company was highly successful in the Brazil, despite the challenging

Brazilian economy. Natura had successfully entered the Mexican and

French markets. In 2008, it considered entering the U.S. market. The

case describes the company's growth, its principles of environmental

and social responsibility, its culture and organization, and its

international expansion to 2008. It describes the U.S. market, and the

challenges and opportunities that Natura would face if it tried to

expand into the U.S.

Learning Objective: This case can be used to discuss ways that local

factors can be used to create a company well suited to prosper in the

local culture. When entering a foreign market, these unique attributes

can distinguish the company from its competition, but must be made

relevant to the market being entered. The case allows students to

learn about Natura's experience in Mexico and France, and evaluate

ways in which it may successfully compete in the U.S. market.

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Paradise Vacations Jonathan Michel, Mark Vandenbosch Type: Ivey case Pub. Date: Jun 26, 2009 Product #: 908A09-PDF-ENG Length: 10p Teaching Note: N/A

In February 2008, the president of Vacances Paradis Inc. (Paradise)

was assessing his options for the company's competitive strategy for

the future. Paradise was Quebec's market leader in the tour operating

industry but was facing a significant challenge: FunTours Holidays

(FunTours) had stolen a sizeable portion of Ontario's market share in

only two years and was planning on conquering the Quebec market for

the 2008/09 winter season. FunTours' aggressive strategy was to

provide large capacity at low prices, thus creating a price war and

decreased margins. The president had to consider how to meet

FunTours' threat in the face of several challenges: the tour industry

was fundamentally changing as a result of shifting from traditional

travel agents towards Internet distribution; limited differentiation in

product offering forced competing on price; and a growing customer

base as more people could afford travel. Price had emerged as the

dominant criteria for travelers and a huge consideration for tour

operators. The president wondered which strategy would be best for

the company's short- and long-term viability.

Learning Objective: The teaching objectives are: To develop a

strategic approach to competition and its effects on the industry, the

company and the customer; To develop analytical and decision-

making skills in the creation of a competitive pricing strategy; To

highlight the importance of strategic alliances between competitors and

suppliers; To build an understanding for competitive approaches in

undifferentiated markets.

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Nashville Predators: Marketing Strategy for an NHL Franchise June Cotte, Jamie Duncan Type: Ivey case Pub. Date: Mar 12, 2009 Product #: 909A06-PDF-ENG Length: 30p Teaching Note: Yes

In summer 2008, the Nashville Predators' management team was

considering the strategy behind marketing the team. They thought it

prudent to investigate the feasibility of opportunities in other hockey

markets throughout North America, should a new owner want to move

the team. Management had to consider both financial returns and on-

ice success. They needed to create a comprehensive strategy, starting

from a recommended location, and moving through specific

recommendations on promotions, pricing and customer focus. To help

create their strategy, the management team performed the following:

developed a comprehensive tactical marketing plan, including income

projections; identified the marketing challenges of operating in very

different markets; recognized that the choice of a city location largely

constrained the remaining decisions and tactics. Using this

information, the management team could now identify their next steps,

and what future plans should include.

Learning Objective: The teaching objectives for this case include the

following: To illustrate to students to the creation of a comprehensive

tactical marketing plan, including income projections To promote an

understanding of the marketing challenges of operating in very

different markets To demonstrate the importance of consistency. For

example, the choice of a city location largely constrains, and thus

determines, the remaining decisions and tactics that are both possible

and logical. The case can be successfully used in a marketing

management course or in a course on promotion management. The

entertainment focus of the firm makes the case suitable for a course

on services, leisure and entertainment management. For all

applications, this case provides a data-mining exercise: what's

happening and what the next steps should be.

Chapter 17: Marketing Plans Abstract

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Marvel Enterprises, Inc. (Abridged) Anita Elberse Type: HBS case Pub. Date: Jan 24, 2011 Product #: 511097-PDF-ENG Length: 10p Teaching Note: Yes

The management team of Marvel Enterprises, known for its universe of

superhero characters that includes Spider-Man, the Hulk, and X-Men,

must reevaluate its marketing strategy. In June 2004, only six years

after the company emerged from bankruptcy, Marvel has amassed a

market value of more than $2 billion. Originally known as a comic book

publisher, the company now also has highly profitable toy, motion

picture, and consumer products licensing operations. However, doubts

about Marvel's business model and its growth potential continue to

exist. Had Marvel's winning streak been just a fluke? Was Marvel's

success dependent on a limited set of blockbuster characters, most

notably Spider-Man, and should Marvel continue to capitalize on those

characters? Or was it time to seek growth in a larger set of lesser

known characters? In exploring growth opportunities, was it wise for

Marvel to venture outside its current business model and move into

more capital-intensive activities? What marketing strategy would allow

Marvel to sustain its success in the coming years?

Learning Objective: To study a best-practice example of an

intellectual property (entertainment) licensing model. Also, to examine

sources of sustainability in industries characterized by products with

relatively short life cycles and explore how companies can build and

manage brand franchises.

BBVA Compass: Marketing Resource Allocation Sunil Gupta, Joseph Davies-Gavin Type: HBS case Pub. Date: Jan 27, 2011 Product #: 511096-PDF-ENG Length: 16p Teaching Note: Yes

BBVA Compass, the 15th largest commercial bank in the U.S., is a

part of the BBVA Group of Spain, the second largest bank in Spain

with $755 billion in assets. In December 2010, Frank Sottosanti, Chief

Marketing Officer of BBVA Compass, was reviewing the marketing

performance of the company and deciding how to allocate next year's

marketing budget across various offline and online channels.

Learning Objective: To highlight the challenges involved in allocating

marketing resources between (a) offline and online advertising, (b)

display and search advertising, and (c) various display ad networks.

Inspiratica Web Services Roger A. More, Rocky Campana Type: Ivey case Pub. Date: Mar 08, 2011 Product #: W11050-PDF-ENG Length: 20p Teaching Note: N/A

Inspiratica Web Services was started by one owner in 2006, and since

then the company was realizing six figure sales, had offices in

downtown London, Ontario, hired six staff and expanded its product

offering to a complete web services package. The owner was just

finishing university and he finally would have time to fully commit to his

business. The purpose of this case is to teach students how to make a

strategic market plan for a company. It focuses on managing a

company's portfolio by looking at opportunities in the market,

determining where competition is in the market and determining a

pricing model that would match the target customer.

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Marketing Planning at Just Us! Cafes Sara Loudyi, Julia Sagebien, Normand Turgeon, Ian McKillop Type: Ivey case Pub. Date: Aug 26, 2009 Product #: 909A14-PDF-ENG Length: 21p Teaching Note: Yes

Jeff and Debra Moore are the founders of Just Us!, a fair trade coffee

cooperative, retailer and wholesaler. Just Us!'s mission is to actively

promote fair trade and its benefits for producers in developing

countries. The Moores have maintained a strong commitment to

educating consumers while building strong brand identity and

upholding constant growth. To support the main distribution channel in

grocery stores, management opened four caf s (two each in Wolfville

and Halifax) and distributed products on university campuses. Just

Us!'s overall sales continued to grow, but sales were leveling off. In

addition, the prevailing economic climate in Canada and increasing

competition were worrying the founders. Recently, the Moores hired a

new marketing director who was required to incorporate unique

knowledge of fair trade practices, ethical purchasing and social

entrepreneurship, combine it with typical growth-driven marketing

decisions and ultimately propose a marketing plan that would

consolidate coffee shop operations.

Learning Objective: This case would be best suited for an MBA-level

introduction to marketing, marketing strategy or marketing

management course. It may also be presented in other marketing

courses at the graduate and undergraduate levels. The case provides

a great deal of industry and company information and the kind of

qualitative analysis that is required to make strategic decisions about

the distribution practices of Just Us! products and the consolidation of

the coffee shops' operations. It illustrates to students: The concepts of

fair trade, ethical purchasing, sustainable and equitable economic

development, and cooperatives as a form of ownership. Examples of

successful social entrepreneurs and how they manage tensions

between values and growth. Some of the requirements of success in

the fair trade market such as strong corporate culture, consistent brand

equity and clear positioning. Typical marketing decisions of companies

that aim to fuel their growth. Students can use the strategic knowledge

gained to propose a marketing plan for Just Us! for the year 2009. The

goal is to stimulate sales growth, while respecting the values of Just

Us! as a cooperative and a promotion agent of fair trade.

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GPS-To-Go Takes on Garmin Donald Pillittere Type: Ivey case Pub. Date: Dec 11, 2009 Product #: 909A27-PDF-ENG Length: 9p Teaching Note: N/A

"GPS-to-GO is a successful company that has a wealth of brilliant

researchers and scientists who have created advanced global

positioning systems (GPSs) for complex air-traffic control and logistics

systems. Now, the vision of one of the up and coming managers is to

use GPS-to-GO's knowledge to dominate the consumer market with

premium-priced and feature-rich GPS units. Even though GPS-to-GO

is far ahead in terms of GPS technology, the consumer market

demands low-cost units and yearly follow-on products, which requires

drastically different skills than GPS-to-GO's typical five- to 10-year

cost-plus government projects. One of the managers is tasked with

how to meet the cost target and market window for the new product,

while working with the same engineering group that caused the unit

manufacturing problem and launch delays in the first place. The key

issues concern 1) engineering-centric companies and their culture,

business strategies and processes for managing new product

development 2) the implications these strategies and processes have

on addressing the needs of customers, shareholders and employees in

a totally new market segment 3) the role managers can play in making

critical decisions with a keen eye on roadblocks to success, such as

culture, inadequate skills and overly optimistic and myopic visionaries.

Learning Objective: The potential audience for the GPS-toGO business

case is graduate students in MBA, executive MBA and executive

education programs taking courses in managing new product

commercialization, managing technology and innovation, strategic

thinking, operations management and leadership. Juniors and seniors in

undergraduate business programs can also benefit from the business

case. The case has several learning objectives: To discuss specific

challenges faced by corporations in their ability to utilize cross-functional

teams in order to develop and launch new products in unfamiliar markets

that require different skills and order-winning criteria. The case gives

students the opportunity to experience a realistic and difficult business

decision of the sort that today's managers face daily -- a decision that

requires careful analysis with often incomplete information when the

expectation of the receiving audience is for an outcome that is assured; To

give students a realistic understanding of team dynamics, individual

motivations and challenges (technical and human resources) faced by

project teams in successfully commercializing a new product (or service);

To help enhance students' ability to analyze a business problem with both

quantitative and qualitative data, ensure it is in line with the corporate

strategy and gain the team's and management's commitment to proceed.