Strategic Marketing Management Report: Sahara Petrochemicals

This report provides a comprehensive analysis of strategic marketing management, focusing on its importance and application within Sahara Petrochemicals Corporation (SPC). The report explores the strategic marketing process, emphasizing the need for adaptability and the establishment of clear objectives. It details the relationship between corporate strategy and strategic marketing, highlighting how marketing initiatives drive sales and build brand image. The report also examines various strategic marketing planning models, including SWOT analysis and Ansoff's matrix, to assess SPC's strengths, weaknesses, opportunities, and threats. Furthermore, the report discusses the impact of changes in the external environment, internal analysis, and strategic responses to emerging themes. The report also details the use of marketing techniques for growth, creating marketing objectives, and analyzes the advantages of relationship marketing. Overall, the report provides a detailed overview of strategic marketing principles and their practical application within the context of SPC.

Strategic marketing
management

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Importance of strategic marketing....................................................................................1
1.2 Process that is used in strategic management...................................................................2
1.3 Relationship between corporate strategy and strategic marketing...................................3
TASK 2............................................................................................................................................4
2.1 Various models used in strategic marketing planning......................................................4
2.2 Link in Marketing tactics and strategic positioning.........................................................6
2.3 Analysation of advantages of relationship marketing......................................................7
TASK 3............................................................................................................................................8
3.1 Use of marketing techniques for growth..........................................................................8
3.2 Plan to use Marketing strategy.........................................................................................9
3.3 Creation of marketing objectives....................................................................................10
TASK 4..........................................................................................................................................11
4.1 Impact of changes in external environment....................................................................11
4.2 Internal analysis to identify current strengths and weaknesses......................................11
4.3 strategic marketing responses to key emerging themes.................................................12
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14

INTRODUCTION
In the ongoing competitive market it is very important that strategic marketing should be
adopted. In the market there are many advantages which can be availed by the company due to
the competition and choosing the best among them is the process of strategic marketing
(Varadarajan, 2010). There are various resources which are available and will be allocated so
that they can be used for this purpose. In the given report various aspects in this relation will be
discussed in context of sahara petrochemicals corporation. In this the process that will be used
will be explained together with the models that are used in planning. In this Various analysis
such as SWOT or porters five forces will be used to analyse the opportunities and the position of
the company in the market. The impact of the various factors that will have to dealt with by the
organisation will also be considered in the report presented below.
TASK 1
1.1 Importance of strategic marketing.
In any business there is an important factor that should be considered and it is strategic
management. In a business there is a need of development of the strategies and they are required
to modified on the regular basis so that all the changes that take place can be incorporated in
them (Jaakkola and et. al., 2010). With the help of strategic marketing management the process
will be carried out and companies objectives will be established.
Strategic marketing is the process in which the skills that will be required shall be of high
value by which such strategies will be formulated that will help in gaining advantage in the
competitive market. Sahara petrochemical is a well known business and there are many
competitors which are present and it is required to carry out its processes in such a manner by
which it will be able to deal with them in the best manner. This method of strategic marketing
will be helpful for it as by this the additional benefit will be obtained in comparison to the others.
This will also be useful for it in the achievement of the organisational goals which are decided in
advance.
In this the targets are identified which are required to be achieved and by which Sahara
petrochemicals corporation will be able to obtain the growth and it will be ensured that company
will survive in long run. The company is dealing in petrochemicals and is maintaining its
position in the market. For achieving this competition that is present is used in the positive
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manner so that the advantage of it can be gained. With the help of the management the goals of
the company are achieved in the most effective and efficient manner and will be able to achieve
the position above all in the market. With the help of the planning the needs and requirements of
the consumers will be identified and the company will be able to provide them with the best
quality products. Also the expectations of the stakeholders will be met which is very important as
by that only company will be able to establish its brand image in the whole market. So from this
discussion it can be said that marketing management is very much necessary and it has a great
role to be played in any organisation by which the success will be achieved and growth will be
ensured.
1.2 Process that is used in strategic management.
In order to carry out any management there is a process that will be required to be
followed and for that it is needed that proper planning should be done (Hanna and Rowley,
2011). For this it will be required by the SPC to conduct a market analysis in which the needs of
the market and the trend that is going on the market will be identified.
After this it will be required that proper objectives that are to be achieved will be set and
by which the future performance will be improved. The various factors by which the the strategy
will be affected are required to be taken into consideration so that they can be identified and the
impact of them can be understood in the better manner and the adverse impact can be eliminated.
In any business there are various options that will be available with them which can be
used in this process and by which objectives can be achieved in this process the best among them
will be selected. In the marketing process there will be mainly three phases that will be required
to be followed. It will include planning phase, implementation phase and evaluation phase. In
them the plan will be made and then it will have to be implemented in the most appropriate
manner so that goals can be attained. After that it should be noted that evaluation of the process
should be made so that it can be checked that whether it has been properly followed or not. If not
then the reasons will be discovered and steps will be planned so that the problems can be
removed.
There are various steps which will have to be undertaken in the planning process and they
are described in detail below:
1. Mission: In this step the mission of the business is identified that means the reason for
which the business has been established and what will be the advantage which will be
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gained by the consumers with the help of it. the future aspects or the goals of the business
will be described under this.
2. Situational analysis: Uner this the position of the company is identified. It is done with
the help of the various tehniques such as SWOT. By this the strengths and other aspects
of the business will be determined and it will be calculated that what are the resources
which are available with the organisation and how they can be used for the best
advantage of the company. The analysis of the external environment will also be done
under this.
3. Objectives: Here the goals that are to be achieved with the help of the process will be set
and by this the managers will be having an idea regarding the measures that shall be
taken so that the decided targets can be accomplished and the company can be benefited.
4. Evaluation: In this the strategy which will be used will be determined and here the market
which will be target shall be decided. Only the identification will not be enough after this
they shall be properly implemented and then evaluation shall be carried out so that it can
be monitored.
1.3 Relationship between corporate strategy and strategic marketing.
Corporate strategy is the manner in which the work in the organisation shall be carried
out so that the goals of the business can be attained. There is an important relation among the
corporate strategy and the strategic marketing as the main aim which is involved in the corporate
sector is to earn the maximum amount of profits and for that it will be needed that proper
measures shall be taken by which this can be made possible. By the marketing company will be
able to increase its sales and also the image will be created among the customers which will also
be adding to the revenue. By them the objective of the SPC will be achieved.
Corporate strategy and strategic marketing are two important aspects to be used in any
business and they both are interconnected which means that it will be required that both should
be analysed in proper manner as they will be affecting each other (Henneberg, Naudé and
Mouzas, 2010). The manner in which the work is carried out in SPC with the help of which all
the plans and goals are achieved is the strategy. It is the process by which the it will be specified
that how is the work to be conducted so that success can be achieved and also in this it will be
specified that competition will be required to be faced and the position that is to be maintained in
the long run. In this process strategic marketing will be used which will be helpful in
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development of the strategy and then attainment of the objectives. Without the help of it it will
not be possible to develop a good strategy and the business will not be able to achieve the
success.
In SPC the work is conducted in the manner by which there will no harm that will be
made to the environment and also the care of the employees is increased so that less accidents
take place (Merrilees, Rundle-Thiele and Lye, 2011). There is certain amount of risk which is
involved in the business and it will be reduced as the company is following the proper strategy
and marketing.
TASK 2
2.1 Various models used in strategic marketing planning.
In order to achieve the objectives it will be required that proper planning should be
undertaken and for this there will be various aspects that will have to be analysed. In this various
analysis will have to be conducted so that it can be identified that whether the work is being
conducted in efficient manner or not (Weerawardena and Mavondo, 2011). There are various
goals and it should be noted that the activities which are carried out should be such by which
they can be achieved.
There various models that can be used by SPC in the process of planning and two of them
will be SWOT analysis and Ansoff's matrix. SWOT is the method in which the strengths and
weaknesses together with the threats and opportunities that will be faced by the company will be
identified. It has been provided below in relation to SPC:
Strengths:
In case of SPC there are various strengths that are present with it such as it is having
experience workforce who will be performing their work with full efficiency (Hakala, 2011).
Also highly skilled professionals are available which will be using innovative ideas for the
further growth. It is providing good quality products by which it is having good customer base
and as customers are satisfied they will be using the products of the company and company will
be able to retain them for longer period of time.
Weaknesses:
The company is having many weaknesses such as for the funds its is using external
sources on which the interest will be required to be paid. Also there are loans which are taken by
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it and the rate at which loan is taken is high and by this there will be many liabilities that will be
required to met by it.
Opportunities:
The main opportunities are that there are new markets in which expansion can be
considered and the company will be able to increase its earnings even further (Wilden, Gudergan
and Lings, 2010). Its current earnings are at a constant increase which is a good sign. There are
chances of the launch of new products which can be provided in the new as well as existing
market. New technology os coming now a days which can be used by it so that it can use it in its
production process by which the overall cost can be reduced.
Threats:
The company will have to deal with the various threats such as the cost of raw material
that is used by the company are increasing and also the labour cost is also rising by which the
cost will be raised and this will be not good as there will be risk that whether it will be able to be
recovered or not and if not then company will have to face the losses.
The company is having various options through which new products can be developed
and it will be required to select the best among them by which the company will be able to
maximise its earnings and growth can be achieved. For this purpose Ansoff matrix will be used.
In this there are four strategies that can be used in business. They are as follows:
Market penetration: This the stage in which the existing products of the company are sold by it
to its existing customers. In this the market share will be increased in relation to the existing
products and this will be done by using the promotion and advertisements (Jüttner, Christopher
and Godsell, 2010). The competitors will be driven out so that the share occupied by them will
be met by the company itself.
Market development: This is the growth strategy in which the focus is provided on expanding
the market in relation to current products. For this new channels for distribution can be used and
also the products can be exported to new countries. Customers can be attracted by using various
new strategies by which new market will be created.
Product development: In this the new products will be supplied in the existing market which
means that the products will be developed and the market will remain same. In this SPC will be
required to use new technologies so that advanced product can be developed by which sales can
be increased. For this purpose it will be required that the research should be conducted.
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Diversification: In this the market is diversified by introducing new product in the new market.
As there is no knowledge with the company in relation to the new market so it will prove to be
very risky situation. For this it will be needed that SPC should have a view that there are chances
of the profit that can be made with the help of the diversification that is being carried out.
2.2 Link in Marketing tactics and strategic positioning.
Marketing tactics are the tools with the use of which the company will be able to use the
available resources in such a manner by which the market share of the company will be increased
and growth will be achieved (Nath, Nachiappan and Ramanathan, 2010). The position of the
company will be improved by this and this will be because the needs of the customers will be
given importance and they will be fulfilled in the best possible manner. In the business there are
three aspects that should be considered in the marketing which are:
 segmentation: In this it is identified that which segment of the market will be targeted and
what will be the factor that will be considered for this and the characteristics of each will
be determined. In this the whole market will be divided among various segments which
can be done on different basis and that involves geographic, demographic or behavioural.
The main segment in the SPC will be ib relation to the petrochemical products and such
market will be chosen n which the scope of the growth will be maximum.
 Targeting: The target market or the segment from the identified will be selected and all
the focus will be given on that particular segment. In this the customers who will be
targeted will be decided and also the group which will be involved such as in the current
case manufacturing will be requiring various material so those products will also be taken
on the priority basis.
 Positioning: In this marketing mix will be developed for the segment that have been
selected and the product will be developed. By this the segment will be grown and the
price and other factors will be considered. In this the position of the product will be
identified which means that the customers among which it will be promoted and for this
decision will be made. By that the market share of the business will be increased in long
term.
The strategic positioning and tactics are connected with each other as by the help of the tactics
the position in the market will be improved and company will be able to establish itself. The
growth will be achieved in the long run and there will be constant increase in the market share
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that will be maintained and the position will get even more stronger. The tactics which will be
used by the company will be the one which will be describing the position of the business in the
market. By using them such measures will be undertaken which will provide the aid to the
organisation in the development of good value among the market. The position that will eb
achieved will be providing help in the achievement of the targets.
2.3 Analysation of advantages of relationship marketing.
Relationship marketing is the process in which the steps are taken by which the loyal
customers will be made that means the products will be provided in such a manner and also the
promotion will be carried out by which the consumers loyalty will be maintained. This is all
done so that its benefit can be achieved in the long run. The min focus will never be on the short
term achievements rather the motive will be to have a long period gain.
For the achievement of success and retaining it for the long period of time it is necessary
that the strong relation shall be developed between the company and consumers. For this purpose
the marketing plan is made in such a manner by which it will be achieved and the relationships
will be improved. It is very important to develop friendly relations as then only company will be
able to understand the views of the customers and by that they will be able to communicate with
them in a proper manner. With the help of this there needs and requirements will be identified
that is very necessary as then only the products will be made as per their preferences.
As the product will be as per the specification of the customers so by that their level of
satisfaction will be improved which will prove to be beneficial for them. Also with the help of
this company will be able to face the competition in an effective manner as the loyal customers
will be made and they will be satisfied with the services of the company so they will not move to
the services of the competitors. So by this company will be able to retain the customers and the
risk in this relation will be reduced significantly. In SPC also the relations are maintained at good
level which proves that it will be achieving growth and there will further scope for the
development. By the help of this SPC will be getting the benefit as if he loyalty of the customers
will be obtained then the company will not have to face the risk of the competition as it will be
sure that there are very minimal chances that the customers will not be considering the option of
moving to the other manufacturers. The competition risk will therefore be managed in the most
appropriate manner with the help of this.
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TASK 3
3.1 Use of marketing techniques for growth.
In the oil industry there is a lot of competition which is faced and also there is a great
scope for the growth that can be utilised by the company. For this purpose there are various
techniques that will be used by sahara petrochemicals corporation so that growth can be
achieved.
The main technique that can be used is the conduction of research which will be done
before undertaking the marketing activities. In this it will be identified that what all the the
markets in which the growth can be achieved and which are the people who should be targeted.
In this the customers those will be willing to accept the new products together with the current
ones will be identified. This process is known as targeting.
Marketing mix is the another technique in which a proper mix is made in which the price,
product, people and place will be identified (Morrish, Miles and Deacon, 2010). The product that
will be delivered will be identified together with the price at which it will be provided. The
market in which it will be made available will be selected in which there will be opportunity of
the growth. Company provides good quality products which is the main chance that can be
utilised as consumers will be willing to use its products.
The other manner that will be used is the evaluation in which the activities and the
strategies that will be used by the company will be evaluated and by that it will be measured and
it will be ascertained that whether the work is competed in the proper manner of not and the
objectives have been identified or not. If there will be some shortcoming in that then it will be
identified and the corrective actions will be undertaken.
By using all these SPC will be able to achieve the growth and also all the opportunities
that are available in this regard will be used in the best possible manner.
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from this graph it can be ascertained that that the company is able to achieve the growth
as there was a decline in 8it but after that increase can be noticed in it which is at very high level
and this is all due to the use of the various techniques by which the adverse impact of the
different factors has been removed.
3.2 Plan to use Marketing strategy.
In the business there are various strategies that are available which can be used by the
company and plan will be made in relation to them that how they will be used by which SPC will
be able to obtain the benefits. In the changing environment there are various requirements that
are required to be met and in them there are various options that can be used. With the help of
them business will be able to survive and will be carried on for long period of time and will be
able to deal with the available competition in the market.
For this it will be required that leadership should be achieved in relation to the cost so
that most of the market can be captured and by this the share of the company will be increased.
This will be because the sales will be increased if the cost will be reduced which will be
advantageous for the company.
The company should made such products that will be different from the others and will
add certain such features which will make its product look above the others (Liao, Chang and
Katrichis, 2011). By this the demand will be increased as customers will be preferring the
products of the company.
The main things that will have to be noted in it are the core competencies which include
its highly skilled employees and the quality of the product that is maintained by the company.
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