Strategic Marketing for Vestas: Analysis, Evaluation and Approaches

This report discusses strategic marketing for Vestas, a company that designs, manufactures, installs, and services wind turbines. It includes an analysis of external factors, competitive analysis, and critical strategic marketing approaches. The report also explores growth strategies that Vestas can use to achieve success and growth.

Strategic Marketing

Table of Contents
INTRODUCTION...............................................................................................................3
MAIN BODY......................................................................................................................3
TASK 1................................................................................................................................3
Analysis of the Strategic Marketing Context...................................................................3
Key Contextual Factor Analysis and Evaluation.............................................................4
Critical Market Context Analysis....................................................................................5
TASK 2................................................................................................................................6
Company Analysis and Evaluation..................................................................................6
Marketing Resources and Capabilities............................................................................7
Analysis of Marketing Assets..........................................................................................7
Critical Resources and Capabilities (Non-Marketing)....................................................7
Competitive Advantage and Competitive Positioning....................................................8
TASK 3................................................................................................................................9
Determination and Evaluation of the Critical Strategic Marketing Approaches.............9
Value-Driven Strategy...................................................................................................10
Innovation Strategies.....................................................................................................10
How to use this approach...............................................................................................11
CONCLUSION..................................................................................................................12
REFERNCES:....................................................................................................................13
Books and Journals:.......................................................................................................13

INTRODUCTION
Strategic marketing is the process in which an organisation is setting goals,
objectives and procedure that how a company can achieve their desired results. Strategic
marketing is used by an organisation for the purpose of making their company more
competitive so that they can beat the competition effectively. It is actually using of
marketing discipline for developing and maintaining of competitive advantage
(Carmichael and O’Brien, 2020). There are many factors that influence organisation's
functions and operations positively or negatively. In order to reduce the negative impact,
it is very necessary for company that they should perform a strategic management
process that includes strategy evaluation, strategy execution and internal organisation
analysis. In this context, Vestas is the company that has a partnership for sustainable
energy solutions. They are designing, manufacturing, installing and servicing wind
turbines. A company wants to become global leaders so they need to understand the role
play of strategic marketing. Along with this, this report will be discussing some important
theories and models in order to achieve their desired result.
MAIN BODY
TASK 1
Analysis of the Strategic Marketing Context
Strategic marketing is defined as the concept which is focusing on use of
marketing discipline in order to achieve organisational goals and objectives. It considered
some important elements that are target market, services that offer by organisation, and
how to promote and price (Sharpe and Hanson, 2020). In the case of Vestas, they are
targeting to become the global leader of sustainable energy solutions. It is identified that
this company is doing very well in the market but due to many external factors they have
to use some important strategic marketing models so that they can promote their goods in
an effective way. For that purpose, Vestas need to critically identifying and analysing the
external environment factors that affect their organisation.

Key Contextual Factor Analysis and Evaluation
It is crucial for Vestas that they should analyse the factors that affect on their
organisation's operations and functions. Vestas is targeting that they become a global
leader but there are many factors that affects their goals and objectives. So that's why
they have to use strategic marketing in order to achieve their goals and objectives. There
are some factors that are mentioned below that come from external environment:
Competition
It is identifying that day by day the competition is increasing due to new entrants
in the market. This is very necessary for Vestas that they should reduce the competition
with their products (Qureshi, Aziz and Mian, 2017). Company should evaluate the
strategies of their competitors so that they can modify their strategies that affect on their
success and growth. One important reason of competition is now every organisation
makes a budget for spending on their marketing tools. As they understand the importance
of marketing tools such as marketing mix, STP, etc. due top this, people are getting aware
about the products and services of organisation that increase competition in global
market.
Corporate social responsibility
It is identifying by that corporate social responsibility becomes the factors that
affect on organisation's operations. As now company needs to make the marketing
strategy in such a way so that they can promote their goods and services in a sustainable
way. This is the reason that why now organisation is required to use strategic
management.
From the discussion of above external factors, there are some more factors that
affect organisational success and growth. So some additional factors are mentioned below
that should be considered by organisation:
Factors Importance
Environment Factors It is very necessary for Vestas that they should considered
environment factors as they are manufacturing wind turbine
(Hollebeek and Andreassen, 2018). So they required to analyse the
environment in order to produce products.

Technological Factors It is the factor that is very essential for Vestas as they are using many
technologies and machineries in order to manufacture wind turbines.
If they are updating their technologies then they will overcome with
the challenges.
These factors give a great impact on marketing strategy of organisation. That's
why it is necessary for them to analyse the external environment that creates barriers in
the path of success and growth.
Critical Market Context Analysis
After analysis of external environment, now it becomes crucial for an organisation
that they need to analyse their market from which they run their business. In simple
words, organisation is required to analyse the industry where many other competitors are
available that creates barriers for company (Chiang and et. al., 2018). They are also
investing too much in their marketing strategy and that's why it is necessary to critically
evaluate the competitive analysis and evaluation. This will helps in analysing the
situations that face by organisations while they are running their business. It also helps in
taking a competitive advantage by making or modifying their existing strategies. So there
is a discussion of competitive analysis is mentioned below.
Competitor & Competitive Context Analysis and Evaluation
It is very necessary for Vestas that they should consider some important points
while they are doing a competitive analysis. All elements that should be considered by
organisation are mentioned below:
Climate
Market climate is the behaviour of market price by organisations for a particular
time. It sis identifying by Vestas that sometimes price is going up and down. Price up is
known as long direction and price down is known as short direction (Francis, 2017). This
is very necessary for Vestas that they should analyse the market price so that they can
decide prices of their products at which they offer to the consumers.
Clusters

It is the process in which an organisation identifying the groups in which seller
selling the same products and services. This is a crucial step for the competitor analysis
as they find out the competitors in this step.
KeyCompetitors
Vestas is the manufacturer of wind turbines that are selling goods and services in
the global market. Some important key competitors are Titan Wind Energy, Orsted,
Envision, Goldwind, Inox Wind, Konсar Steel Structures, Suzlon and Nordex. Vestas
needs to analyse the strategy of their competitors as they are facing a huge competitors at
global level (Carlini and et. al., 2021). When any organisation is starting to target global
level then it will definitely increasing the competition due to globalisation so that's why it
is necessary for them to analyse their strategies.
Competitor profiling
Competitor profiling is the important part of competition analysis in which an
organisation need to find out the data of their competitors related to their products and
services. For example, if competitors of Vestas have not presence of online market then
Vestas can easily fill this gap ad take a competitive advantage.
Competitive Positioning
It refers to how organisation differentiates their business from others and creates
value for them. It is actually carving of competitive landscape.
TASK 2
Company Analysis and Evaluation
Vestas is manufacturing and designing wind turbines and promoting in the
market. But for that purpose, they need to evaluate their resources and capabilities then
they will formulate a strategy in minimum resources as Vestas is known for Global
sustainability energy solutions (Tsipursky). One thing that should be considered in the
strategy formulation of marketing is company should analyse their existing resources and
then take decisions. For that purpose there is discussion that mentioned in below section
about the marketing resources and capabilities which is necessary to decide.

Marketing Resources and Capabilities
Marketing resources are consists of all necessary resources that helps to make a
marketing strategy in an effective way. It is necessary to ensure by Vestas that they
should pool all the resource which required by organisations in the process of formulating
strategy. Resources can be types that are tangible and intangible resources. Tangible
resources include materials, location, machinery, land, processes and capital, whereas
intangible resources include knowledge, brand image, intellectual property, expertise and
reputation. In addition to this, it is necessary for organisation that they should know about
their capabilities so that they can take decision about what they have to be improving in
order to achieve their goals and objectives (Balsarini, Lambert and Ryan, 2020). It is
identifying in the case of Vestas that they have some capabilities of expertise which
comes from their resources. They are excellent for the sustainable development which is
not only beneficial to people but also for organisation. So that's why they have a
capability to use limited resources in an effective way. It is identifying that Vestashas an
opportunity to use the RBV model which is the acronym resource based view so that they
can effectively analyse their resources very well.
Analysis of Marketing Assets
Now company needs to analyse their marketing assets which include emails, sales
letters, videos, images, website content, brochures, blog posts, etc. These are the
important assets that used by organisation in their business environment so that they can
promote their products effectively. Vestas should use these assets for the purpose of
making their strategy effective and manage by monitoring and controlling them that
every asset is doing a right work or not. It is necessary for Vestas that they should use
both traditional as well as modern marketing methods so that they can promote their
products more widely. In modern marketing methods they should use digital marketing
techniques that include social media marketing, content marketing, etc. as these are the
important elements or techniques of marketing.
Critical Resources and Capabilities (Non-Marketing)
Vestas should analyse their resources which are non marketing as these are
necessary in formulation of strategy (Chung and Kuo, 2018). It is very important for an
organisation that they should analyse their non marketing resources that includes

financial resource, human resource, etc. Company needs to be ensuring that these
resources should be enough so that strategy can be formulated. Human resource is one of
the important resources who perform their duties in order to achieve their goals and
objectives. When Vestas is formulating strategy then they need human resources who
made the strategies. Human resources are the person that formulate and implement
strategy. They are also responsible for managing the marketing strategy so that they can
ensure the success of marketing strategy (Kavtidze, 2021). Financial resources are
necessary as they help to make a budget so that company can estimate the requirement of
capital that need in the process of implementing strategy. In marketing strategy,
organisation is required to collect finance from different sources as they need while they
are using marketing tools such as traditional and modern. Traditional tool require funds
for giving the ad in newspapers, TV, etc. Whereas modern tool requires fund in order to
invest in social media marketing campaigns, etc.
Competitive Advantage and Competitive Positioning
Competitive advantage is defined as the advantage that taken by organisation due
to the differentiate products and services. It is analysing that company needs to innovate
their products and marketing strategy so that they can take competitive advantage. It is
very necessary for organisation that they should innovate their marketing strategy which
helps to compete with other organisation but for that purpose they have to analytethe
market demand and then put some changes. For taking a competitive advantage, it is
necessary for Vestas that they should analyse competitive positioning. Competitive
positioning is the term which is refers to the differentiation of organisation' products and
strategy that makes different from other organisation. With the help of competitive
positioning customers get attracted as they are looking different from others. It is
identified that generally people are attracting towards different things so that's why
competitive positioning is very necessary (Beraha and et. al., 2018). Company needs to
formulate strategies accordingly. A good positioning needs to be considered some
important points that are mentioned below:
 market profile
 customer segments
 competitive analysis

 method for delivering value
With the help of these considerations, Vestas is able to take a competitive
advantage. In addition to this, they also need to ensure that all resources should available
in the business so that they can achieve their objectives and goals.
TASK 3
Determination and Evaluation of the Critical Strategic Marketing Approaches
After analysis of external factors and competitive analysis, it is analysed that
Vestas is facing challenge of competition and sustainable development in the market.
Day by day the external environment is getting very dynamic that create problems for
organisation. External factors need to overcome by organisation with the help of strategic
marketing. The reason behind this is their competitors are using very effective strategy
which creates challenges for organisation as they require managing their strategy of
marketing.Their competitors' marketing strategy influence organisational operations and
functions. That’s why it is necessary for them to improve their strategy formulation with
managing their strategy (Serrat, 2017). This can be done with the help of proper
monitoring and controlling the strategy in which company ensures that Vestas is
effectively implemented there is strategy in order to achieve the desired result. In addition
to this, organisation needs to use some growth strategies so that their marketing strategy
is become effective which results in success and growth of company.
For the purpose of growth strategy, Vestas has an opportunity to use BCG matrix
which is very efficient in order to determine growth options for future success. This
strategy helps organisation to improve their existing strategy by analysing the market. For
that purpose, they are categorised market into four categories which include dog, star,
cow and question mark. By analysing the market of organisation, Vestasis able to
determine which growth option they need to choose that helps in future success and
growth. So company needs to determine growth options for the future success. There is
some more strategy which is mentioned that helps Vestas to grow their business in an
effective way. It also assists in determining the future success and growth.

Value-Driven Strategy
It is the most effective marketing strategy which aims that organisation put efforts
for generating value to their customers. This is very effective for Vestas as they can
easily attract their customers due to creation of value for them (Stewart and Morgan,
2020). It requires a commitment from organisation that they always add value for the
customers. In the case of Vestas, they are currently adding value to their customers
through sustainable development. They are doing very well in order to develop
sustainable energy solutions which become a part of value driven strategy. With the help
of value driven strategy, Vestas is able to increase their customer base and customer
loyalty which is very necessary for the success of organisation.
Innovation Strategies
Innovation strategies are necessary for organisation when they have to reduce
competition threat. Vestas is facing a competition challenge in the market which can
reduce with the help of applying innovation strategies. Innovation is the key of success
and that’s why company should always focus on innovate their product and process. For
that purpose, it is necessary to use some innovation and strategies which are mentioned
below:
Proactive
This is the strategy in which organisation becomes a market leader as they take
advantage of first mover as none of the company could take a step of innovating their
products and process (Link, 2019). In this strategy, generally organisation faces many
challenges and risk as they have no idea about them.
Reactive
This strategy is choosing by organisation which focuses on copying the proven
strategy. It reduces the risk and challenges that face by the proactive organisation. It is
cost effective.
Active
Active innovation strategies are involving to defend the existing technologies in
the process of preparing the market. This approach uses broad source of knowledge but
they have medium to low risk.
Passive

It is the approach in which organisation innovate their products and services when
other organisation already used those strategies. It is analysed that company has no risk
but it shows a duplication of other company strategy so that’s why it reduces the chances
of success and growth.
From the discussion of innovation strategies, it is necessary for organisation that
they should choose those innovation strategies which are suitable for them. It depends on
the situation of organisation. In addition to this, company should analyse the challenges
when they are looking for using or adopting a strategy. For that purpose they have to
analyse the market risk and challenges which are mentioned below:
 Company is facing the challenge of sustainability as their main goal is providing
sustainable energy solutions to the global market. It is not easy for organisation as
it requires the expertise of research and development department.
 In addition to this, Vestas is facing the challenge of increasing the prices of tariffs
that it ultimately increases the price of organisational products.
How to use this approach
For the purpose of applying value driven strategy, Vestas needs to identify their
target audience and then segmented into the similar groups with the help of applying STP
approach. After that they have to formulate a strategy which is fitted to the product of
organisation. Then Vestas need to use Omni channel strategy for customer engagement in
order to touch with the touch point of customers. After that company need to invest
customer market experience, so that they can offer their services to their customers. By
taking feedback from the customers, Vestas is able to improve their marketing strategy
that reduces the gap.
Innovation strategies can be applied by organisation when a company has a
capability to innovate their products as they use high cost in initial period. So they have
to considered many important functions in which they include funds, human resource,
etc. After analysing the competitive strategy, a company can choose innovation strategy
and apply in the business practices.

CONCLUSION
It can be concluded from the above discussion that strategic management is an
important term which needs to understand by all organisations so that they can achieve
their goals and objectives. In this respect, company should apply some theoretical models
of strategic marketing after analysing the situation of market. This will helps in making
the problems easy and also assists them to overcome from challenges of external
environment. It also analysed that for an effective strategic management company
required to analyse their resources and then use some strategic marketing approach that
include value driven and innovation strategy.

REFERNCES:
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