Marketing Strategies and Analysis: Raytheon Company Case Study Report

This report provides a detailed marketing analysis of the Raytheon Company, examining its strengths, weaknesses, and competitive position within the defense and aerospace industries. It identifies Raytheon's strong financial standing and successful international ventures as key strengths, while also acknowledging declining cash flow and a diminishing brand image as weaknesses. The report then delves into Raytheon's competitive strategy, highlighting its focus on core defense markets and innovative capacities. It reviews the company's marketing objectives, emphasizing their alignment with corporate goals centered around customer focus, growth, people, productivity, and overall mission. The analysis further extends to Samsung, exploring market segmentation approaches and the application of the marketing mix in product positioning. Finally, the report analyzes a Raytheon product, Global Sensors, using the three levels of product framework, emphasizing the core benefits and the significance of augmented product services in the overall offer. The report concludes with a discussion of the company’s marketing strategies and its ability to reach the target consumers.

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1. For your organization or an organization of your choice:
 Identify a number of relevant marketing strength and weaknesses.
 Interpret these by asking what these strength / weaknesses suggest about the
marketing strategies available to the organization?
Analyzing marketing strengths and weaknesses normally suggests to an enterprise its outstanding
aspects and areas where some improvements are needed (Speth & Probert, 2015). Raytheon
Company, for instance, has a series of marketing strengths and weaknesses worth discussing. Two
most relevant strengths are strong financials and successful international or global venture (Raytheon
, 2011).
1. Strong financials
Raytheon Company is an international leader in government solutions and defense. It has
approximately 15,000 individual contracts and apart from that it has a robust contractor for the
United State government. It is worth noting that 50% of Raytheon contracts originate from the
United States Department of Defense, (abbreviated as DOD) (U.S. Department of Defense, 2017).
This corporation has a well-built financial position. It is among the establishments that have a strong
and balanced portfolio of services and products. Raytheon has as well been able to develop its
earnings per share, (EPS), incessantly for the past around five years notwithstanding the decrease in
revenue (Raytheon , 2011). Raytheon’s cash flows are as well sturdy which enable management to
carry out management operations with much ease.
2. Successful international venture
For the past few years, Raytheon has successfully developed its global presence. It has the leading
development in foreign military commodities and services implying that the demand for its products
and services is growing rapidly in the international marketplace (Company, 2019).
Some of Raytheon’s marketing weaknesses include declining cash and diminishing brand image.

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 Declining cash
Despite its strong financial position, Raytheon Company has recently reported deteriorating revenues
and earnings. This means that this corporation’s ability to compete effectively in the market is
dwindling and might completely deter its operations in the global market (Quintilone, 2018).
 Diminishing brand image
Generating sales might be tougher in the coming years since Raytheon brand is being considered
weak in some of its target markets. Due to the declining cash, this company has poor promotional
strategies.
Owing to its strong financial base and successful global presence Raytheon can be said to have a
robust general game plan for reaching individuals and converting them into consumers of the
products and services that the business is providing. However, its marketing strengths might be offset
by a number of weaknesses Raytheon Company is facing currently. It might end up relying on
ineffective marketing strategies which might worsen the situation.
2. Determine your organization’s competitive position and strategy.
Competitive position refers to the value Raytheon offers, its products or services relative to the other
offerings in a market. According to Raytheon’s Porter Five Forces, the company has put up a
sustainable competitive advantage in the Defense Products & Services industry. Its innovative
capacities have enabled it to reduce pressure in the market by reducing costs, lowering pricing
strategies and providing their customers with a wide array of varieties to choose from. What is more,
Raytheon has built effective barriers to protect its competitive edge and thwart the efforts of new
entrants in the Aerospace/Defense Products & Services industry. This company’s outstanding
competitive advantage has allowed it to outperform its competitors ( Fern Fort University, 2018).

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Its strategy is to spotlight on major strategic pursuits, assurance, technology and mission to guard
and grow its competitive position in what is called it four core defense markets (Raytheon Company,
2018):
 Sensing: Expanding away from conventional RF/EO to novel development focus areas;
 Effects: Expanding past kinetic energy-based armaments;
 C3I: Growing market presence through its global-class solutions, products, technology and;
expand knowledge
 Management; Mission Support: Expanding past product support, training, and engineering
services.
3. Review the marketing objectives of your organization. What (and how clear) is the
connection between the marketing objectives and the corporate objectives? If your
organization does not have marketing objectives, try writing somewhat would help fulfill
some of the corporate objectives.
Marketing objectives refer to the goals Raytheon has set when promoting its products or services to
prospective consumers which are supposed to be accomplished within a given timeline. In other
words, marketing objectives are the marketing strategies Raytheon Company has put up in order to
attain its overall organizational objectives. Some of the company’s marketing objectives include:
(Raytheon Company, 2018)
Customer − be looked upon as a Customer Focused company where interests of every customer are
given the first priority.
Growth − develop income faster than the entire market. Develop high-quality performance in
enhancing cash flow. Implement well and with inescapability.
People − Retaining and attracting international-class talent whilst offering better-quality
opportunities for worker development. Handle every employee with reverence. Leverage the
Raytheon’s diversity or multiplicity efforts as a competitive edge, continuing the company’s

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leadership in diversity.
Productivity: Advance return on invested capital ROIC for Raytheon corporation. Take Raytheon’s
Six Sigma to another echelon, further engaging partners and customers. Deliver better predictability
and value through the Capability Maturity Model® Integration (CMMI®), Earned Value
Management System (EVMS), and Integrated Product Development System (IPDS) (Raytheon
Company, 2018).
Corporate objectives in Raytheon are statements of purpose that offer the fundamental direction for
its activities in pursuit of its mission. It corporate objectives are in line with the aforementioned
marketing objectives. The company’s corporate objectives are summarized in its mission: To be the
most admired defense and aerospace systems supplier through world-class people and technology
(Raytheon Company, 2018).
4. Think of an organization of your choice, which involves in trading mobile phones. Explain
the various approaches used in segmenting markets and also describe how the marketing
mix is used to position your products in a market.
Samsung Electronics Co., Ltd is among the leading companies dealing in mobile phone and other
electronic appliances. Samsung targeting, segmentation, and positioning comprises of a collection of
activities carried out in a sequence manner (Dudovskiy, 2017). These activities comprise the
quintessence of Samsung marketing strategies. Segmentation in Samsung encompasses dividing
targeted population into various groups on the basis of their mutual distinctiveness. Segmentation is
conducted based on various characteristics such as region, density, age, gender, and lifecycle stage.
Samsung uses the following types of positioning (Dudovskiy, 2017):
 Imitative positioning. Samsung Company is renowned for imitating its major competing
firm, Apple in functionalities, product in design, and marketing strategy.
 Multi-segment positioning: This Corporation targets more than one segment simultaneously

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by providing more than a few packages of services and products. For instance, there are quite
a lot of variations of Samsung SMART Signage proficient displays with dissimilar screen
resolutions, functionalities, and sizes, and eventually with dissimilar price tags. Therefore,
Samsung fulfills the wants and needs of customers with varying financial capacities.
 Anticipatory positioning. Particular Samsung commodities and services such as mobile
image sensors at present have low turnover. Nevertheless, these products have been enhanced
with an expectation that the earnings shall surge in the future.
Marketing Mix of Samsung Company assess the company/ brand that covers 4Ps (Place,
Promotion, Product, Price,) and demarcates the Samsung marketing strategy and positioning.
Samsung invests adequately in research and development in order to convey the best products to
its clientele. These include mobile devices, Samsung home appliances, TV/AV, information
technology, and memory/storage. The company uses proper pricing strategies such as skimming
and competitive pricing. Samsung sells its products and services directly to the service dealers
and retailers. Promotion is among the strongest pillar in the marketing mix of this corporation. It
believes that advertising is most excellent type of promotion to connect prospective clients and
position the brand. This marketing mix enables Samsung to occupy the best position in the
market.
5. Analyze a product or service offered by your organization in terms of the three levels of
product. What is the core benefit? How important are product services at the augmented
product level to the overall ‘offer’?
The three levels of product are core value, actual product, and augmented product (Claessens,
2015). A given product is more than what the purchaser can actually see. What a customer
purchases is a multifaceted collection of benefits which aim to satisfy his/her needs. This implies
that whenever a marketer develops a product, he/she must identify its core benefits, what
customers want or need, and what problems he wants to solve using the product.

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Core customer value: The core customer value, responds to the query: What is the purchaser
actually purchasing? What does the customer in actuality seeking? Customers, for instance, will
purchase Global Sensors produced by Raytheon Company to help them provide state of the art
mission systems, optical technologies, and electronics.
Actual product: The product the customers buy from Raytheon after considering various factors,
their needs and wants is Global Sensors.
Augmented product: This is built around the actual product and the core value. It just provides
supplementary consumer benefits and services. Apart from its basic uses, Global sensors at the
overall offer provide commanders and soldiers situational alertness, control and command and
precision targeting, developing their protection and escalating their performance.
Global Sensors manufactured in Raytheon Company have some core benefits that outdo those
produced by competing companies. They, for example, provide the buyer with a state of the art
mission systems, optical technologies, and electronics.

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References
Fern Fort University, 2018. Raytheon Company Porter Five Forces Analysis. [Online]
Available at: http://fernfortuniversity.com/term-papers/porter5/analysis/2458-raytheon-company.php
[Accessed 21 march 2019].
Claessens, M., 2015. Three Levels Of Product – Core Value, Actual Product, Augmented Product.
[Online]
Available at: https://marketing-insider.eu/three-levels-of-product/
[Accessed 21 March 2019].
Company, R., 2019. Global Presence. [Online]
Available at: https://www.raytheon.com/ourcompany/global
[Accessed 21 march 2019].
Dudovskiy, J., 2017. Samsung Segmentation, Targeting and Positioning: multi-segment, imitative
and anticipatory. [Online]
Available at: https://research-methodology.net/samsung-segmentation-targeting-positioning-multi-
segment-imitative-anticipatory/
[Accessed 21 March 2019].
Quintilone, D., 2018. Raytheon: Hit Hard By Defense Sell-Off, Patience Will Reward Shareholders.
[Online]
Available at: https://seekingalpha.com/article/4224205-raytheon-hit-hard-defense-sell-patience-will-
reward-shareholders
[Accessed 21 March 2019].
Raytheon , 2011. Raytheon 2011 A nnual Report, s.l.: Raytheon .
Raytheon Company, 2018. Raytheon. [Online]
Available at:

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http://media.corporate-ir.net/media_files/irol/84/84193/RTN_CorpOverview_IR_010410.pdf
[Accessed 21 March 2019].
Speth, C. & Probert, C., 2015. The SWOT analysis develop strengths to decrease the weaknesses of
your business. s.l.:Namur 50Minutes.
U.S. Department of Defense, 2017. Contracts for Aug. 7, 2017. [Online]
Available at: https://dod.defense.gov/News/Contracts/Contract-View/Article/1270908/
[Accessed 21 March 2019].