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SECTION III. BUILDING THE BUSINESS PLAN: MARKETING AND FINANCIAL CONSIDERATIONS ——————————————————————————————————————————————————————————————————————— Chapter 8 Building a Powerful Marketing Plan Part One: Learning Objectives 1. Describe the principles of building a guerrilla marketing plan and explain the benefits of preparing one. 2. Explain how small businesses can pinpoint their target markets. 3. Discuss the role of market research in building a guerrilla marketing plan and outline the market research process. 4. Describe how a small business can build a competitive edge in the marketplace using guerrilla marketing strategies: customer focus, quality, convenience, innovation, service, and speed. 5. Discuss the marketing opportunities the Internet offers entrepreneurs and how to best take advantage of them. 6. Discuss the “four Ps” of marketing—product, place, price, and promotion—and their role in building a successful marketing strategy. Part Two: Chapter Outline – At a glance PowerPoint Slides: 8.1 – 8.52 Introduction I. Building a Guerrilla Marketing Plan II. Pinpointing the Target Market III. Determining Customer Needs and Wants Through Market Research IV. Plotting a Guerrilla Marketing Strategy Customer Relationship Marketing: Focus on the Customer Devotion to Quality Attention to Convenience Concentration on Innovation Dedication to Service Emphasis on Speed V. Marketing on the World Wide Web VI. The Marketing Mix and the Product Life Cycle Chapter 8 127 PPT 8.1 PPT 8.2–8.4 PPT 8.5, 8.6 PPT 8.7–8.12 PPT 8.13 PPT 8.14–8.22 PPT 8.23–8.27 PPT 8.28–8.30 PPT 8.31–8.33 PPT 8.34–8.36 PPT 8.37, 8.38 PPT 8.39–8.42 PPT 8.43, 8.44 PPT 8.45–8.52 Part Three: Lesson Plan Introduction Creating a solid business plan improves an entrepreneur’s odds of building a successful company. The business plan captures many of the topics discussed, and in addition, it includes a concise statement of how an entrepreneur plans to achieve success in the marketplace. This section focuses on building the marketing plan. PPT 8.1 I. Building a Guerrilla Marketing Plan Marketing is the process of creating and delivering desired goods and services to customers and involves all of the activities associated with winning loyal customers. PPT 8.2 Guerilla marketing strategies are unconventional, low-cost, creative techniques – small companies can get more “bang” from their marketing bucks. The required marketing investment is scaled to fit the often limited marketing resources of the organization. PPT 8.3 A guerilla marketing plan should accomplish four objectives: PPT 8.4 1. It should determine customer needs and wants through market research. 2. It should pinpoint the specific target markets the company will serve. 3. It should analyze the firm's competitive advantages and build a marketing strategy around them. 4. It should help create a marketing mix that meets customer needs and wants. II. Pinpointing the Target Market Target markets are the specific groups of customers at whom the company aims its goods or services. Pinpointing the target market offers greater marketing efficiency. Mass marketing techniques of the past are expensive and risky. The marketing strategy can then be built to reach that specific targeted group that has the highest propensity to buy and be an ongoing customer. PPT 8.5 Target customers must permeate the entire business—merchandise, music, layout, décor, Web site, and the total experience. PPT 8.6 Market research can be invaluable to better understand, segment, and identify target markets. Chapter 8 128 III. Determining Customer Needs and Wants Through Market Research Market research serves as the foundation for the marketing plan. Its objective is to learn how to improve the level of satisfaction for existing customers and to find ways to attract new customers. By performing some basic market research, small business owners can detect key demographic and market trends. Market research does not have to be time consuming, complex, or expensive to be useful. Demographics are the characteristics and trends of a population including age, income, gender (composition), education, household size, race, and ethnicity. For example, we can quickly gain information regarding the growth rate of U.S. populations by many criteria, such as race. PPT 8.7 Discussion Opportunity: What might this graph (PPT 8.7) tell us about potential unmet needs of the highest growth segments of the U.S. population? (This may be one of several opportunities to visit www.census.gov to demonstrate depth of demographic information available at this site.) Market research is the vehicle for gathering this information and can avoid basing your marketing plan on assumptions rather than facts. PPT 8.8 Tracking trends can be a valuable and affordable way to get a pulse on markets. Faith Popcorn, a marketing consultant and author, offers tips to help spot significant trends: PPT 8.9 Read as many current publications as possible Watch the top ten TV shows See the top ten movies Talk to at least 150 customers a year about what they're buying and why Talk with the 10 smartest people you know Listen to your children—What trends are they tracking? Market research begins with defining the objective and collecting the data. PPT 8.10 This is based on successful one-to-one marketing that: Collects information on your existing customers Identifies your best customers Enhances your products and services Welcomes customer complaints Offers exceptional quality Understands your customers’ buying cycle Calculates the long-term value of customers Chapter 8 129 PPT 8.11 Conducting market research involves four steps: PPT 8.12 Step 1: Define the objective Step 2: Collect the data Step 3: Analyze and interpret data Step 4: Draw conclusions and act In addition to the text YOU BE THE CONSULTANT – Data Mining: A Sure Bet for Harrah’s Harrah’s Entertainment, the parent company to 26 gambling casinos in 13 states, experienced a significant increase in market share and profitability through their collection, analysis, and use of statistical data. Former Harvard professor Gary Loveman, once a consultant to Harrah’s, devised a system that allows the company to really know its customers and to market accordingly. “This is the replacement of intuition and hunch with science,” says Loveman. ——————————————————————————————— Q1. Work with a group of your classmates in a brainstorming session to identify other industries that could benefit from a data collection and mining system like the one Harrah’s uses so effectively. In what ways could those businesses use data to become more effective marketers? Q2. Discuss the ethical issues that Harrah’s faces as a result of its data collection and mining efforts. Q3. What benefits does Harrah’s gain from its efforts? What benefits do Harrah’s customers gain? ——————————————————————————————— A1. Students will identify many different businesses that would benefit from market research and should clearly connect and convert the information to marketing efforts that address customers’ wants and needs. A2. Gambling can become a serious addiction that adversely affects the lives of people. A3. Harrah’s is able to use their knowledge to offer their customers exactly what they want in terms of gambling, entertainment, and accommodations—much to the delight and satisfaction of both parties. Discussion Opportunity: Select a business and talk about how one would begin working through the four steps of conducting market research. 1. Define the objective What are the primary objectives of the business? 2. Collect the data How would we begin collecting data? 3. Analyze and interpret data How might we make sense of that information? 4. Draw conclusions and act What conclusions and actions might that support? Chapter 8 130 In addition to the text YOU BE THE CONSULTANT – “What Would Tommy Wear? A group of entrepreneurs living on Florida’s Gulf Coast created an imaginary figure named Tommy Bahama. Tommy’s handsome, successful, and stylish image was transformed into a line of apparel aimed at 35- to 65-year-old men. The partners experienced a few years of frustration with unsuccessful and changing market strategies and financial challenges until they finally opened their own model store in Naples, Florida, that featured a combination restaurant and clothing outlet. That successful venture led to the opening of 17 more “restaurant-retail compounds.” The partners are pursuing international sales opportunities and the prospect of opening a hotel and golf resort. And it all began with the question, “What Would Tommy Wear?” ——————————————————————————————— Q1. Work with a group of your classmates in a brainstorming session to identify brands whose names have faded. Q2. Use the resources of your library and the World Wide Web to research one of the brands you identified. What went wrong? What caused the brand to lose its popularity? Q3. What lessons from the Tommy Bahama success story should the managers of the brand you identified have used to avoid problems? Q4. What advice would you offer the partners about keeping the Tommy Bahama brand going strong? ——————————————————————————————— A1. Students will think of and learn a valuable lesson from several now defunct companies. A2. Students’ responses should focus on the connection between customers’ specific needs and wants and their selected company's failures to offer and market the “right” products or services. A3. Students’ answers should address both the marketing and entrepreneurial flexibility and perseverance of the partners. A4. Students will offer a variety of marketing strategies for the partners to consider. IV. Plotting a Guerrilla Marketing Strategy: How to Build a Competitive Edge A competitive edge is attained when customers perceive that one organization’s products or services are superior to those of its competitors. Successful entrepreneurs often use the special advantages that flow from their companies’ small size to build a competitive advantage over their larger rivals. One way these companies can do this is through relationship marketing, or customer relationship management, referred to as CRM. PPT 8.13 Chapter 8 131 Relationship marketing involves the following five steps: PPT 8.14–8.16 1. Collect meaningful customer information and compile it as a database 2. Mine the database to identify “best” customers 3. Use the information to develop lasing relationships with “best” customers 4. Attract more customers who fit the “best” customer profile 5. Stay in contact with customers between sales There are four levels of customer sensitivity, beginning at the base of the “steps” in the illustration: PPT 8.17 Level 1: Customer Awareness Level 2: Customer Sensitivity Level 3: Customer Alignment Level 4: Customer Partnership Guerrilla marketing strategies complement this and propose that a company: PPT 8.18 1. Find a niche and fill it 2. Don’t just sell, entertain 3. Strive to be unique; create an identity for your business 4. Connect with customers on an emotional level The unique selling proposition offers a key customer benefit of a product that sets it apart from its competition. It answers the question: “What’s in it for me?” The unique selling proposition should be communicated consistently and often! PPT 8.19 Guerilla marketing strategies can be instrumental in building a brand for your business in a number of ways as long as you always focus on the customer. PPT 8.20–8.22 We can think about this process in five steps and apply guerilla marketing strategies to each: 1. Focus on the customer 2. Devotion to quality 3. Concentration on innovation 4. Dedication to service 5. Emphasis on speed Chapter 8 132 Focus on the customer allows you to optimize your marketing and profitability potential. PPT 8.23, 8.24 Every business depends on customer satisfaction. If you can't take care of your customers, someone else will. The Principles of Customer Experience Management (CEM) address the need to establish: PPT 8.25 An intimate understanding of each customer’s needs, want preferences, and peculiarities A personal, customer-specific message in marketing, sales, service, and advertising A consistent, courteous, and professional treatment by everyone A responsive, rapid handing of requests, questions, problems, and complaints Helpful information and advice delivered proactively The involvement of caring, well-trained people Long-term view of the company/customer relationship with an emphasis on sustaining an ongoing relationship Frequent and visible demonstrations of commitment to nurturing this relationship A focus on the customer can directly correlate to higher customer retention rates and is based on the response to these four questions: PPT 8.26 1. What are we doing right? 2. How can we do that even better? 3. What have we done wrong? 4. What can we do in the future? Guerrilla marketing strategies help to attain customer focus in a direct and economical manner. PPT 8.27 Devotion to quality is another point of differentiation. Quality goods and services are a prerequisite for survival. Today quality is more than just a slogan. Businesses buy into operational strategies like total quality management (TQM) where quality is in the product or service and in every other aspect and component of the business as well. It is important to understand how customers (American customers and others) define quality in the products and services they purchase. PPT 8.28–8.30 Attention to convenience is an important part of this relationship experience. Customers want convenience. Studies show that customers rank convenience at the top of their purchasing criteria. Successful companies must show that it is easy for customers to do business with them. Chapter 8 133 Areas of customer convenience include: Location Hours Delivery services Payment options Transaction efficiency Additional “extra” experiences Product bundling Product adaptation Communication efficiency PPT 8.31–8.33 Concentration on innovation is a key to future success. In order to keep up with changing markets, small businesses must be innovative. Small businesses are frequently leaders in innovation even though they may lack resources compared to larger businesses. PPT 8.34–8.36 Dedication to service and to consistent customer satisfaction is one way to achieve the goal of “customer astonishment.” Dedication to service deals with these twelve attributes: PPT 8.37, 8.38 Listening Defining a “superior space” Setting standards and measurements for performance Examining your service cycle Hiring the right employees Training those employees to deliver superior service—every time! Empowering employees Treating employees with respect and value Using technology to provide improved service Rewarding superior service Getting top managers’ support Viewing developing stellar customer service as an investment, not an expense Emphasis on speed enables companies to be competitive and reduce the time it takes to develop, design, manufacture, and distribute a product, which results in reduced costs, increased quality, and increased market share. PPT 8.39–8.42 Chapter 8 134 Discussion Opportunity: What businesses do you know of that provide this high quality, exceptional type of an experience? Why did those businesses come to mind? What have they done to create that perception? In addition to the text YOU BE THE CONSULTANT – The Power of the Little Blue-and-White Boxes Jiffy baking products (the little blue-and-white boxes), once a sideline operation of the Chelsea Milling Company commands over 50 percent of its market. The company seems to defy modern day business practices by remaining privately held and by not advertising. That strategy has paid off handsomely by allowing the company to maintain a low overhead and a small management team that can make decisions and take actions efficiently. The result is a high-quality product with strong demand and a price that no one can beat. The third generation family business owner has upgraded the company’s manufacturing facilities and general business practices and now has the company exploring a variety of new markets (exporting, institutional markets, and food service). ——————————————————————————————— Q1. What is the basis for Chelsea Milling’s marketing strategy? How effective is it? Q2. How easily could a competitor duplicate Chelsea’s marketing strategy for Jiffy? Q3. How successful do you think a company launching a product such as Jiffy today would be if it never advertised? Q4. How would you evaluate the opportunities Chelsea Milling faces for Jiffy products? ——————————————————————————————— A1. The basis for the company’s marketing strategy is cost efficiency. It is very effective because many of its customers are price-sensitive shoppers. A2. Under the right business conditions, a competitor could start locally with the same strategy and grow it over time. Students should be encouraged to present and defend their options. A3 and A4: Same answer as above. V. Marketing on the World Wide Web The Internet is a vast network that links computers around the globe via the World Wide Web. A small business Web site can enable it to sell its products around the world. It is a phenomenal commercial opportunity that offers businesses a worldwide marketing and distribution system. The Internet is the “Great Equalizer” for entrepreneurs in a world of larger and more powerful competitors. PPT 8.43 Chapter 8 135 Today’s business students and entrepreneurs are on the frontier of an industry and market that will likely see tremendous growth in the next few years. The opportunity is now. We will talk more about the power of the Web throughout the course and how it is continuing to change the face of business. PPT 8.44 VI. The Marketing Mix The “four Ps” of the marketing mix are essential elements in developing a solid marketing strategy and an executable marketing plan. PPT 8.45 1. Product 2. Place—or distribution 3. Price 4. Promotion Establishing a sound marketing strategy—that fits the resources and objectives of the organization—is a critical aspect of the plan and future for the business. Discussion Opportunity: Some marketing experts have added “service” to the four Ps. This addition is based on the premise that the quality of service—particularly exceptional service—can influence buyer behavior and customer loyalty. This is most evident in markets where products are mature and are considered as commodities. Would you consider service as an important addition to the four Ps? If so, why? The product life cycle plays an important role in the marketing mix. It is important to realize that the five stages of the PLC impact marketing strategy. The five stages of the product life cycle are: 1. Introductory PPT 8.46 2. Growth and acceptance PPT 8.47 3. Maturity and competition PPT 8.48 4. Market saturation PPT 8.49 5. Product decline PPT 8.50 Channels of distribution for consumer goods, or the “place” aspect of the four Ps, may be direct—manufacturer to consumer—or through a more complex channel delivery system that involves wholesalers, distributors, and/or retailers. PPT 8.51 Channels of distribution for industrial goods, or the “place” for business-to-business dealings, may be direct or simply through a single wholesaler. PPT 8.52 Chapter 8 136 Part Four: Suggested Answers to Chapter Discussion Questions 1. Define the marketing plan. What lies at its center? The marketing plan focuses the company's attention on the customer and recognizes that satisfying the customer is the foundation of every business. Its purpose is to build a strategy for success with a focus on the customer. 2. What objectives should a marketing plan accomplish? The marketing plan has four objectives: 1. Determining customer needs and wants through market research 2. Pinpointing specific target markets the small company will serve 3. Analyzing the firm's competitive advantages and building a marketing strategy around them 4. Helping to create a marketing mix that meets customer needs and wants 3. How can market research benefit a small business owner? List some possible sources of market information. Market research provides the foundation for the marketing plan. By performing basic market research, small business owners can identify key demographic and market trends. Possible sources of market information include: 1. Current publications 2. Top ten shows 3. Top ten movies 4. Customers 5. Smart people you know 6. Children 4. Does market research have to be expensive and sophisticated to be valuable? Explain. No, market research does not have to be expensive and sophisticated to be valuable. For example, for most business owners, information is often floating around. It is a matter of collecting and organizing the data to make it valuable. Chapter 8 137 5. Describe several market trends and their impact on small business. Six market trends that affect small business include: 1. Increasing population diversity offers special challenges to business owners. 2. Changing family patterns will force marketers to rethink their strategies. 3. Greater environmental and health concerns have consumers more focused on the environmental impact of the products and services they buy. 4. Emergence of “premium” and “discount” niches as an increasing number of lower income households force more buyers to become bargain shoppers. 5. Surge in “baby boomers” and the elderly results in changing needs for those consumers. 6. Greater emphasis on social responsibility has a growing number of consumers buying products associated with a cause they care about. 7. Slower growing markets and shorter product life cycles require businesses to focus on narrow niches, understand customer needs and wants, and give them value. 6. Why is it important for small business owners to define their target markets as part of their marketing strategies? Small businesses must be more focused on the types of customers they want to target. Small firms are ideally suited to reach market segments that their larger rivals overlook or consider too small to be profitable. A clear, concise target market allows a small business to increase its marketing efficiency and be profitable. 7. What is a competitive advantage? Why is it important for a small business owner to create a plan for establishing one? A competitive advantage is an aggregation of factors that sets a company apart from its competitors. Developing a strategic plan allows a small business to differentiate itself from other companies. Developing a strategic plan allows the small company to meet the customers’ needs of today, while looking one step ahead to what they will need tomorrow. 8. Describe how a small business owner could use the following sources of a competitive advantage: Focusing on a niche: Target a specific segment of the population that your business can efficiently serve—senior citizens. Entertaining: Offer a service that customers enjoy and actively seek out— gambling. Chapter 8 138 Striving to be unique: The latest look in body piercing and tattoos. Creating an identity for the business: A name or a song that everyone associates with your product. Connecting with customers on an emotional level: Environmentally safe products. Focusing on the customer: Specialized exercise equipment for disabled people. Focusing on the customer: Health and beauty aids—hair coloring. Devotion to quality: Specialty food products. Attention to convenience: Business location. Concentration on innovation: Battery powered blenders. Dedication to service: Installation and maintenance of product lines. 9. One manager says, “When a company provides great service, its reputation benefits from a stronger emotional connection with its customers, as well as from increased confidence that it will stand behind its products.” Do you agree? Explain. If so, describe a positive service experience you have had with a company and your impressions of that business. What are the implications of a company providing poor customer service? Describe a negative service experience you have had with a company and your impressions of that business. How likely are you to do business with that company again? It is true in most cases that a great service experience creates a bond, confidence in the product or service, and the desire to be a repeat customer. Students will share their positive and negative service experiences and comment on the business implications of each. 10. Consumer behavior expert and retail consultant Paco Underhill says, “A [retail] store is a 3-D brand. Everything that’s there has to be there for a reason.” Do you agree? Explain. Yes, the most successful retail stores create a complete 3-D retail and entertainmentlike experience. From their merchandise, the store layout, the music, the atmosphere, their complementary Web site—it all is tailored to communicate a consistent look, feel, and message that appeals most to their target market. Ultimately, the total “entertailing” experience catches the attention of customers and encourages them to shop longer and buy more goods and services. This 3-D brand approach further differentiates the business, enhances customer loyalty, and impacts profitability. b. Find two retail stores in the local area – one that offers a good example of a 3D brand and one that does not. Prepare a one-page summary explaining your reasoning for selecting these two stores. Chapter 8 139 Discuss and compare the stores presented and highlight the reasons these stores came to mind for the students. 11. What marketing potential does the World Wide Web offer small businesses? What does it take for a company to market successfully using the Web? The Web is a vast network connecting the world’s computers and information sources. With its ability to display colorful graphics, sound, animation, video and text, the Web allows small business companies to equal and even surpass their larger rival’s Web presence. It offers businesses a worldwide marketing and distribution system. Successful companies must have a marketing strategy that will get them a high volume of Web attention and recognition and a line of products and services that people want to buy. 12. Explain the concept of the marketing mix. What are the four Ps? Applying the concept of the marketing mix requires a company to conduct useful market research and to develop and market each of the four Ps—Product, Price, Place, and Promotion. 13. List and explain the stages in the product life cycle. How can a small firm extend its product’s cycle? The stages include: the introductory stage, the growth stage, maturity, market saturation, and decline. A focus on product innovation and change, as well as the development of more stable products versus fad merchandise, can extend the product life cycle. 14. With a 70 percent customer retention rate (average for most U.S. firms, according to the American Management Association), every $1 million of business in 2000 will grow to more than $4 million by the year 2010. If you retain 80 percent of your customers, the $1 million will grow to a little over $6 million. If you can keep 90 percent of your customers, that $1 million will grow to more than $9.5 million. What can the typical small business do to increase its customer retention rate? Practice the company philosophy of dedication to service, customer satisfaction, and customer astonishment. Chapter 8 140 Part Five: Lecture or Critical Thinking Case Studies Text Cases The following cases presented in the text may be used for lecture and further consideration of the topics presented in this chapter. Case #2: Timbuk2 www.timbuk2.com Timbuk2 took a huge risk to pull out of a large, established retailer that promised huge sales volumes. The trade-off was to seek out larger numbers of smaller, boutique retailers and reach a different, more affluent target market. The motivation to pursue this strategy was to enable the company to better control their brand image as a higher end, more elite product offering larger margins and, ultimately, sustainable profitability. Case #4: WindVest www.windvest.com Identifying new domestic and international markets is a focus for this growing company. The case offers information that may provide insight into the U.S. expansion with the dilemma of entering the European market looming ahead. The organization will benefit from having a good marketing plan as they consider these options and develop their marketing strategy. Their Web site offers an interesting and progressive e-commerce approach to marketing products to this targeted audience. Case #9: TerraCycle www.terracycle.net This unique “green all over” product has demonstrated impressive marketing success by tapping into major retailers Wal-Mart and Home Depot. With a distinct point of differentiation in a highly competitive area, TerraCycle’s management team continues to base their product development and design on guerilla marketing research as they connect with their environmentally conscious customers. Case #10: Handmark www.handmark.com This dominate PDA software player became concerned about the shifting technological trend as this technology was now being integrated into cell phones. Their research combined with a keen observation of these trends motivated them to reposition the business, modify their product capabilities, and create strategic alliances with cell phone manufacturers to open new opportunities. Additional Case The following case titled “Are We Making the Grade?” is in addition to the student text. Chapter 8 141 Are We Making the Grade? On the surface, Granite Rock Company looks like any other small, family-owned construction material supplier. However, a closer examination reveals a highly sophisticated, quality-conscious, customer-oriented industry leader in what is ordinarily considered a commodity business. Granite Rock quarries produce concrete, asphalt, sand, and gravel; they sell brick, drywall, cinder block, and masonry tools. On average, Granite Rock customers pay a 6 percent premium over competitors' prices. How, then, does Granite Rock maintain its leadership position in such a cutthroat industry? “Our competitors tend to see price as the main wedge,” says general manager Wes Clark. “We are not low price, but we are high value.” Selling value can be a successful marketing strategy if customers recognize and are willing to pay for it. Granite Rock concentrates on understanding exactly how its customers define such nebulous terms as value, quality, and service. The company also regularly monitors its performance (from the customer's perspective) and feeds all of this information directly to its workforce. Here's how Granite Rock's customer satisfaction system works. Every three or four years, the company conducts an extensive survey of its customers to determine their needs and wants and what factors are most important to them when choosing a supplier. Granite Rock sends a report card to customers each year, asking them to grade their top three suppliers on these factors. The factors include various measures of product quality and customer service, and the grades range from A (“the best”) to F (“terrible”), with a “No Opinion” option. Granite Rock then combines the results of the survey with those from the report cards to generate a Customer Service Graph. The graph has two axes: the importance axis and the performance axis. The importance axis depends on the results of the extensive customer survey. (In its most recent survey, Granite Rock found that on-time delivery and product quality were most important to customers, whereas credit terms and salespeople's skills were least important.) The performance axis plots the results of the report card. The company's grade is determined by adding the number of A’s and B’s it gets. Questions 1. What benefits does Granite Rock's customer satisfaction system offer to its customers and to the company itself? 2. Which areas of the Customer Service Graph would be most and least important to Granite Rock? Why? Source: Adapted from Edward O. Welles, “How're We Doing?” Inc., May 1991, pp.80-83. Chapter 8 142 Part Six: The Business Disc Open The Business Disc and go to the “Reference” menu item at the top of your screen. Click on the “Marketing/Advertising/Selling” topic and you will find four subtopics: “Advertising a Small Business,” “Creative Selling: The Competitive Edge,” “Marketing Research,” and “Sales Marketing Strategy for Start-up Businesses.” What steps can business owners take to become effective marketers, even if they lack the resources of their larger, more established competitors? Review the marketing concepts presented in Chapter 8 and outline the steps of the guerrilla marketing plan you intend to implement in your business. From that perspective, consider the following questions: What type of market research do you plan on conducting? How will you reach your target market based on your available resources? What is your unique selling proposition and how will you communicate that through your advertising and promotional activities? Part Seven: Supplemental Readings Dell, Michael, “Thrive in a Sick Economy,” Business 2.0, December 2002/January 2003, p. 88. Kerin, Roger A. and Peterson, Robert A. Strategic Marketing Problems: Cases and Comments, 11th ed. Upper Saddle River, NJ: Pearson Prentice Hall, 2007. Kotler, Philip and Armstrong, Gary. Marketing: An Introduction, 8th ed. Upper Saddle River, NJ: Pearson Prentice Hall, 2007. Kotler, Philip, Bowen, John T. and Makens, James C.. Marketing for Hospitality and Tourism, 4th ed. Upper Saddle River, NJ: Pearson Prentice Hall, 2006. Best, Roger. Market-Based Management, 4th ed. Upper Saddle River, NJ: Pearson Prentice Hall, 2005. Additional online supplemental readings and reference materials regarding marketing plans are available at www.prenhall.com/scarborough under the “Chapter 8” tab. Chapter 8 143