1
Table of contents
Week 1
1. What are EEs? 2
2. The Rise of the Emerging Markets 2
3. Framework and Business objective 3
4. Marketing objective and source of volume 4
5. STP Marketing 5
6. Brand positioning 6
7. Westjohn & Magnussen (2017) 7
8. Zhou et al. (2010) 9
Week 2
1. The new emerging market multinationals disrupting markets and building brands 11
2. International expansion strategy – segment and country choice 12
3. Sheth (2011) article 13
4. Guest lecture: the 7-dimension model of national culture by Trompenaars 13
5. Trompenaars (1996) 15
Week 3
1. Tactical execution – 4P’s: Product 16
2. Sheth (2011) - video by teacher about the article 17
3. Tactical execution – 4P’s: Promotion 18
4. Book Chapter 1: Choosing Consumer Segments and Expanding Internationally 19
5. Book Chapter 2: Strategic Competency Building 22
6. Chapter 9: Key Takeaways 23
7. Zarantonello et al. (2013) 23
Week 4
1. Tactical execution – 4P’s: Price 24
2. Tactical execution – 4P’s: Place 25
3. Kumar et al. (2015) 26
4. Guest lecture: Pieter de Vuyst 27
5. Pallini & Dewulf 28
Week 5
1. Guest lecture: Franc Bogovic 30
, 2
WEEK 1
1. What are EEs?
What are emerging economies?
• An emerging market economy is one in which the country is becoming (in transition) a developed
nation often driven by relatively high economic growth and a rapid expansion of trade and investment
flows
• EEs are home to a growing middle class of customers – this can be especially attractive for inward
investment.
• As per capita incomes rise, so too does saving and investment (to sustain the growth) as a share of
GDP
• This can stimulate further growth
Who are the leading emerging economies?
• Although there is not unanimous agreement on what
precisely defines an emerging economy, in 2018 the
following countries were classed by the International
Monetary Fund as emerging:
o Brazil, Chile, China, Colombia
o Hungary, Indonesia, India, Malaysia
o Mexico, Peru, Philippines, Poland, Russia
o South Africa, Thailand and Turkey.
The rapid rise of transnational corporations from/whose base is in
emerging market countries
• China Mobile
• Alibaba
• Tata Group
• Infosys
• Geely Auto
• Huawei
5 synoptic points about emerging countries
1. The center of gravity in the world economy is changing – most growth comes from emerging
countries
2. There is a global battle for talented and skilled people – open economies tend to do better in the long
run (because they attract a lot of talented people)
3. Fast-growing countries put more pressure on the environment (water scarcity, energy security), but
many are not leading the way with renewable investment and research
4. Fast-changing comparative advantage is likely to widen trade imbalances and fuel protectionist
sentiment
5. Capital flows where the risk-adjusted expected returns are the highest – a big challenge to higher
income & older advanced countries!
2. The Rise of the Emerging Markets
After the cold war, the world economy was dominated by the G7: the seven most developed economies in the
world (USA, UK, Japan, Italy, Germany, France, Canada).
A new group of developing economies was rising to prominence, the E20 countries (Russia, China, India,
Brazil, Mexico, Thailand, South Africa, Philippines, Iran, Saudi Arabia, …). They are some of the most dynamic
economies in the world today, spread across every continent. Though united by shared potential, the E20 are
split along every demographic, economic and political dimension. These 20 countries represent the future of
the world’s economy.
, 3
The E20’s growth isn’t limited to impressive GDP figures: contrary to popular belief that this GDP growth is
driven principally by the outsourcing and investment of foreign multinationals, the indigenous companies of
the E20 have shown growth just as impressive as their parent economies. These Emerging Market
Multinationals (eMNCs) are increasingly drivers of the world’s economy. Of particular note are the eMNCs of
China, which have in the last decade truly established themselves on the world stage. In 2005, Chinese
corporations made up only 26 of the Global Fortune 500. But just as China’s GDP has rocketed upwards, so
too have the number of Chinese based Global Fortune 500 companies: by 2015, China had 108 of the top 500
and 11 of the top 50. Only the US has more top 500 corporations and looking forward, this may not be true
for long.
Though we cannot be certain what the future holds for the E20, the growth of these countries, their
economies and their corporations is without a doubt the most dynamic development of the economic world.
3. Framework and Business Objective
Big picture framework
This is a framework that is designed to help you
analyze and address many marketing problems
that you will face during your career.
à primary touch point to meet the challenges of
marketing
4 Questions to identify business objective
1. Who are we? (fundamental entity)
2. What are we good at? (core competence)
3. Where are we going? (goal)
4. What is our main business? (core business)
The answers should be specific and actionable. Every executional decision should align with the primary
business objective.
1. Who are we? (fundamental entity)
• Within the big picture framework, brand is distinguished from fundamental entity
• Fundamental entity: the brand level of conducting strategic analysis
• The question of who we are is essential and highly strategic
Implications of branding strategy
• Customers: how do our customers think of us?
• Company: how do we organize our brands?
• Competition: when we do competitive analysis, who is included in our competitive?
The choice of fundamental entity affects the entire marketing and organizational strategy
, 4
The brand level for which we conduct a strategic analysis.
• Brand: a collection of beliefs – a core belief the customer holds about the product or service, and a
compilation of memories, experiences, observations, information, and stories from others that
support and reinforce the core belief.
The branding strategies and the relation to the fundamental
entity
2. What are we good at? (core competence)
• The skill set that uniquely distinguished one company from
another
• Drives every decision and helps develop a sustainable, as
opposed to temporary competitive advantage
• Marketers should take advantage of corporate core
competences.
3. What is our main business? (core business)
The focus of a company’s activity: newspaper OR information; automotive OR transportation.
How would this make a difference?
4. Where are we going? (goals)
• The primary purpose of a goal is to serve as a decision aid
• The second function of a goal is to define performance criteria
• Every goal should be measurable, time-dependent, single-minded, realistic and integrated (link to
higher- and lower-level objectives)
à can help us uncover inconsistency between tactics and the overall strategic goal
4. Marketing Objective and Source of Volume
“There is only one valid definition of business purpose: to create a customer.” – Peter Drucker, the practice of
management
Marketing objective
• The first goal of any firm is to acquire customers.
• Due to attrition, firms must replace customers to sustain growth.
• Customer acquisition requires substantial time and money.
• A high customer retention rate indicates
o the overall health of the firm
o product/service performance
o customer loyalty.
Three types of loyalty
• Head
• Heart
• Hands
Strategic choices
1. Acquisition Activities
• The goal for any acquisition expenditure is to obtain a long-termcustomer.
• The key metric for determining the value of customer acquisition is the CLV calculation.
• Acquisition activities create brand awareness, brand trial, and product switching.
2. Retention Activities
• The goal is to keep along-term customer.
• Customer loyalty programs (frequent flyer rewards)
Table of contents
Week 1
1. What are EEs? 2
2. The Rise of the Emerging Markets 2
3. Framework and Business objective 3
4. Marketing objective and source of volume 4
5. STP Marketing 5
6. Brand positioning 6
7. Westjohn & Magnussen (2017) 7
8. Zhou et al. (2010) 9
Week 2
1. The new emerging market multinationals disrupting markets and building brands 11
2. International expansion strategy – segment and country choice 12
3. Sheth (2011) article 13
4. Guest lecture: the 7-dimension model of national culture by Trompenaars 13
5. Trompenaars (1996) 15
Week 3
1. Tactical execution – 4P’s: Product 16
2. Sheth (2011) - video by teacher about the article 17
3. Tactical execution – 4P’s: Promotion 18
4. Book Chapter 1: Choosing Consumer Segments and Expanding Internationally 19
5. Book Chapter 2: Strategic Competency Building 22
6. Chapter 9: Key Takeaways 23
7. Zarantonello et al. (2013) 23
Week 4
1. Tactical execution – 4P’s: Price 24
2. Tactical execution – 4P’s: Place 25
3. Kumar et al. (2015) 26
4. Guest lecture: Pieter de Vuyst 27
5. Pallini & Dewulf 28
Week 5
1. Guest lecture: Franc Bogovic 30
, 2
WEEK 1
1. What are EEs?
What are emerging economies?
• An emerging market economy is one in which the country is becoming (in transition) a developed
nation often driven by relatively high economic growth and a rapid expansion of trade and investment
flows
• EEs are home to a growing middle class of customers – this can be especially attractive for inward
investment.
• As per capita incomes rise, so too does saving and investment (to sustain the growth) as a share of
GDP
• This can stimulate further growth
Who are the leading emerging economies?
• Although there is not unanimous agreement on what
precisely defines an emerging economy, in 2018 the
following countries were classed by the International
Monetary Fund as emerging:
o Brazil, Chile, China, Colombia
o Hungary, Indonesia, India, Malaysia
o Mexico, Peru, Philippines, Poland, Russia
o South Africa, Thailand and Turkey.
The rapid rise of transnational corporations from/whose base is in
emerging market countries
• China Mobile
• Alibaba
• Tata Group
• Infosys
• Geely Auto
• Huawei
5 synoptic points about emerging countries
1. The center of gravity in the world economy is changing – most growth comes from emerging
countries
2. There is a global battle for talented and skilled people – open economies tend to do better in the long
run (because they attract a lot of talented people)
3. Fast-growing countries put more pressure on the environment (water scarcity, energy security), but
many are not leading the way with renewable investment and research
4. Fast-changing comparative advantage is likely to widen trade imbalances and fuel protectionist
sentiment
5. Capital flows where the risk-adjusted expected returns are the highest – a big challenge to higher
income & older advanced countries!
2. The Rise of the Emerging Markets
After the cold war, the world economy was dominated by the G7: the seven most developed economies in the
world (USA, UK, Japan, Italy, Germany, France, Canada).
A new group of developing economies was rising to prominence, the E20 countries (Russia, China, India,
Brazil, Mexico, Thailand, South Africa, Philippines, Iran, Saudi Arabia, …). They are some of the most dynamic
economies in the world today, spread across every continent. Though united by shared potential, the E20 are
split along every demographic, economic and political dimension. These 20 countries represent the future of
the world’s economy.
, 3
The E20’s growth isn’t limited to impressive GDP figures: contrary to popular belief that this GDP growth is
driven principally by the outsourcing and investment of foreign multinationals, the indigenous companies of
the E20 have shown growth just as impressive as their parent economies. These Emerging Market
Multinationals (eMNCs) are increasingly drivers of the world’s economy. Of particular note are the eMNCs of
China, which have in the last decade truly established themselves on the world stage. In 2005, Chinese
corporations made up only 26 of the Global Fortune 500. But just as China’s GDP has rocketed upwards, so
too have the number of Chinese based Global Fortune 500 companies: by 2015, China had 108 of the top 500
and 11 of the top 50. Only the US has more top 500 corporations and looking forward, this may not be true
for long.
Though we cannot be certain what the future holds for the E20, the growth of these countries, their
economies and their corporations is without a doubt the most dynamic development of the economic world.
3. Framework and Business Objective
Big picture framework
This is a framework that is designed to help you
analyze and address many marketing problems
that you will face during your career.
à primary touch point to meet the challenges of
marketing
4 Questions to identify business objective
1. Who are we? (fundamental entity)
2. What are we good at? (core competence)
3. Where are we going? (goal)
4. What is our main business? (core business)
The answers should be specific and actionable. Every executional decision should align with the primary
business objective.
1. Who are we? (fundamental entity)
• Within the big picture framework, brand is distinguished from fundamental entity
• Fundamental entity: the brand level of conducting strategic analysis
• The question of who we are is essential and highly strategic
Implications of branding strategy
• Customers: how do our customers think of us?
• Company: how do we organize our brands?
• Competition: when we do competitive analysis, who is included in our competitive?
The choice of fundamental entity affects the entire marketing and organizational strategy
, 4
The brand level for which we conduct a strategic analysis.
• Brand: a collection of beliefs – a core belief the customer holds about the product or service, and a
compilation of memories, experiences, observations, information, and stories from others that
support and reinforce the core belief.
The branding strategies and the relation to the fundamental
entity
2. What are we good at? (core competence)
• The skill set that uniquely distinguished one company from
another
• Drives every decision and helps develop a sustainable, as
opposed to temporary competitive advantage
• Marketers should take advantage of corporate core
competences.
3. What is our main business? (core business)
The focus of a company’s activity: newspaper OR information; automotive OR transportation.
How would this make a difference?
4. Where are we going? (goals)
• The primary purpose of a goal is to serve as a decision aid
• The second function of a goal is to define performance criteria
• Every goal should be measurable, time-dependent, single-minded, realistic and integrated (link to
higher- and lower-level objectives)
à can help us uncover inconsistency between tactics and the overall strategic goal
4. Marketing Objective and Source of Volume
“There is only one valid definition of business purpose: to create a customer.” – Peter Drucker, the practice of
management
Marketing objective
• The first goal of any firm is to acquire customers.
• Due to attrition, firms must replace customers to sustain growth.
• Customer acquisition requires substantial time and money.
• A high customer retention rate indicates
o the overall health of the firm
o product/service performance
o customer loyalty.
Three types of loyalty
• Head
• Heart
• Hands
Strategic choices
1. Acquisition Activities
• The goal for any acquisition expenditure is to obtain a long-termcustomer.
• The key metric for determining the value of customer acquisition is the CLV calculation.
• Acquisition activities create brand awareness, brand trial, and product switching.
2. Retention Activities
• The goal is to keep along-term customer.
• Customer loyalty programs (frequent flyer rewards)
