Chapter 2: Company and Marketing Strategy — Partnering to Build Customer Value

and Engagement

This chapter focuses on how companies develop marketing strategies that align with their
broader business goals and how they work with internal and external partners to create value
for customers.

🟩 What is Company-Wide Strategic Planning?

Strategic planning is the process by which a company matches its goals and capabilities with
emerging market opportunities. It’s not just about marketing — it involves all levels and
departments of a company working together to create long-term customer value and
profitable growth.

✅ The 4 Steps of Company-Wide Strategic Planning

1. Defining the Company Mission

A mission statement defines the organization’s purpose — what it wants to accomplish in

the larger environment. A good mission is:

 Market-oriented
 Realistic and specific
 Motivating
 Focused on customers and their needs

🇧🇩 Example (Bangladesh):

BRAC’s Mission Statement:

“To empower people and communities in situations of poverty, illiteracy, disease, and social
injustice.”

This is clearly customer- and community-oriented, not product-oriented. Instead of saying

"we provide microfinance," BRAC emphasizes empowerment, which allows flexibility in
their operations (health, education, finance, etc.).

2. Setting Company Objectives and Goals

Once the mission is set, the company needs to translate it into strategic objectives and
measurable performance goals at all levels:

 Corporate-level goals: growth, profitability, sustainability

 Departmental goals: e.g., marketing, operations, finance

🇧🇩 Example (Bangladesh):

Aarong (BRAC Enterprise):

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  Strategic goal: Increase market share in the premium local fashion segment.
 Marketing goal: Increase digital engagement by 30% in one year.
 Operations goal: Open 5 new stores outside Dhaka.

This alignment ensures that every department is working toward the overall mission.

3. Designing the Business Portfolio

This step involves analyzing and evaluating the different businesses or product lines the
company owns and deciding where to invest.

Tools:

 BCG Matrix (Stars, Cash Cows, Question Marks, Dogs)

 Ansoff Matrix (Market penetration, market development, product development,
diversification)

🇧🇩 Example (Bangladesh):

PRAN-RFL Group:

 Has multiple product lines: snacks, beverages, plastic products, electronics.

 BCG Matrix analysis:
o Star: PRAN Juice (high growth, high share)
o Cash Cow: RFL plastic furniture
o Question Mark: PRAN dairy products
o Dog: Low-performing product lines may be discontinued

This helps PRAN allocate resources to profitable units and withdraw from weak areas.

4. Planning Marketing and Other Functional Strategies

At this step, each business unit or department (like marketing, operations, HR, finance)
creates its own strategy to support the broader goals.

 Marketing develops a customer value-driven strategy

 This includes segmentation, targeting, positioning, and the marketing mix (4Ps)

🇧🇩 Example (Bangladesh):

Nagad (Digital Financial Service):

 Corporate goal: Reach 100 million users in 5 years

 Marketing strategy: Focus on low-income rural customers by offering easy account
setup via NID
 Promotional strategy: Use Bangla-language influencers and grassroots campaigns

Here, marketing is aligned with the company’s mission and growth goals.

✅ Summary Table (with Bangladesh Examples):

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Step Description Bangladesh Example
1. Mission Company’s purpose and values BRAC: Empowering the poor
Aarong: Digital growth and store
2. Objectives & Goals Measurable targets at all levels
expansion
Analyze and allocate across PRAN-RFL: Stars (Juice), Cash
3. Business Portfolio
businesses/products Cows (Plastic)
4. Marketing & Departmental strategies to support Nagad: Targeting rural users
Functional Strategy company goals with local campaigns

Explanation of how to design business portfolios and develop growth strategies

🟩 PART 1: Designing the Business Portfolio

A business portfolio is the collection of businesses and products that make up the company.
The goal is to direct resources toward more profitable businesses and phase out or fix
weaker ones.

✅ Steps in Business Portfolio Design:

1. Analyze the Current Business Portfolio

To evaluate strategic business units (SBUs), companies often use the Boston Consulting
Group (BCG) Growth-Share Matrix.

🔹 BCG Matrix Categories:

Category Market Growth Market Share Strategy

Stars High High Invest for future growth
Cash Cows Low High Harvest to fund other units
Question Marks High Low Invest selectively or divest
Dogs Low Low Maintain or divest

🇧🇩 Example: PRAN-RFL Group (Bangladesh)

Product Line Category Justification

PRAN Juice ⭐ Star High market share in a fast-growing beverage market
RFL Plastic
💰 Cash Cow Stable, high-revenue, mature market
Furniture
❓ Question Growth in demand, but low market share compared to
PRAN Dairy
Mark Aarong, Milk Vita
Low-selling
🐶 Dog Slow growth and little market interest
gadgets

2. Decide How to Allocate Resources

 Invest in Stars to maintain leadership

 Use Cash Cows to fund Stars and Question Marks

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  Evaluate and either grow or remove Question Marks
 Consider phasing out Dogs

🟩 PART 2: Developing Growth Strategies

To identify new opportunities, Kotler introduces the Product/Market Expansion Grid

(Ansoff Matrix):

✅ Ansoff’s Product/Market Expansion Grid

Strategy Products Markets Focus BD Example

Market Increase sales to Grameenphone adds more
Existing Existing
Penetration current markets minutes/MBs for same price
Market Aarong expands to Chattogram
Existing New Enter new markets
Development & Sylhet
Product Offer new products Meena Bazar launches organic
New Existing
Development to current users items
New products in Bashundhara launches tissue &
Diversification New New
new markets baby diapers

🔹 1. Market Penetration

Increase usage among existing customers.

Example:
Bkash offers cashback and rewards for repeat users to increase frequency of transactions.

🔹 2. Market Development

Target new market segments or geographic areas.

Example:
Aarong opens stores in smaller cities and begins targeting younger customers via social
media.

🔹 3. Product Development

Create new or improved products for existing customers.

Example:
PRAN introduced flavored milk and health drinks targeting kids in urban schools.

🔹 4. Diversification

Start or acquire new businesses in completely new areas.

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Example:
Bashundhara Group, originally in paper and cement, diversified into baby products and
food packaging.

✅ Summary: Bangladesh Perspective

Step Tool Used Bangladeshi Example

PRAN’s Juice (Star), RFL Plastics (Cash
Analyze business units BCG Matrix
Cow)
Allocate resources wisely Strategic investment Invest in Stars, divest Dogs
Identify growth Aarong entering new regions, Bkash
Ansoff Matrix
opportunities rewards
Implement growth strategy Product/Market Fit Meena Bazar with organic lines

🚀 Final Thoughts

By designing a balanced business portfolio and using tools like the BCG Matrix and
Ansoff Grid, Bangladeshi companies can ensure sustainable growth and competitive
advantage — especially in a fast-changing and increasingly digital economy.

Explanation of marketing’s role in strategic planning and how marketing works with its
partners to create and deliver customer value

🟩 1. Marketing’s Role in Strategic Planning

✅ What is Strategic Planning?

Strategic planning is the process of developing and maintaining a fit between the
organization’s goals and its changing marketing opportunities.

✅ Role of Marketing in Strategic Planning:

Marketing plays both a guiding and supporting role in strategic planning:

🔹 a) Providing Market Insights

 Marketing helps identify opportunities in the market by analyzing customer needs,

behaviors, and trends.
 It ensures that the company’s overall strategy is customer-focused.

🇧🇩 Example:

Daraz Bangladesh uses customer data and online shopping behavior to advise the company
on which product categories (e.g., electronics, groceries) to expand or prioritize.

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🔹 b) Shaping Strategy

 Marketing contributes to mission setting, goal development, and strategic planning

by aligning product and brand decisions with customer value.

🇧🇩 Example:
BRAC’s Aarong helped shape BRAC’s enterprise strategy by promoting inclusive fashion
and rural artisanship, turning it into a high-value social enterprise.

🔹 c) Driving Customer Engagement

 Marketing plans and executes strategies that engage customers, building loyalty and
long-term profitability.

🇧🇩 Example:
Grameenphone’s “Bondhu” package was developed based on youth feedback — a
strategic decision to strengthen engagement with young users.

🔹 d) Delivering Profitable Customer Relationships

 Marketing ensures that all departments align around delivering value to customers
profitably.

🇧🇩 Example:
Pathao aligns its tech, customer service, and logistics departments around the marketing
team’s vision to improve customer satisfaction and app usability.

🟩 2. Partnering with Others to Deliver Customer Value

Kotler highlights that marketing does not act alone — it partners across the company
(internally) and with other firms (externally) to create a value delivery network.

✅ a) Partnering with Other Company Departments (Internal Collaboration)

Marketing must coordinate with departments like:

 R&D → product design

 Finance → pricing strategy
 Operations → service delivery
 IT → digital tools

🇧🇩 Example:
Shwapno Superstores:

 Marketing works with supply chain & logistics to ensure products are fresh and
delivered on time.
 Marketing insights help inventory managers decide what seasonal products to stock.

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✅ b) Partnering with External Partners (Value Delivery Network)

The value delivery network includes:

 Suppliers
 Distributors
 Retailers
 Marketing agencies
 Delivery partners

🇧🇩 Example:
Nagad (mobile financial service):

 Partners with Bangladesh Post Office (offline agents)

 Telecom operators (user authentication)
 Banks and government (salary/stipend disbursements)
 Marketing team works with all partners to ensure branding, trust, and service
consistency.

🟦 Summary Table: Bangladesh Perspective

Area Explanation Bangladesh Example

Marketing in Helps define customer-focused mission Aarong aligning artisan
Strategic Planning and goals welfare with business
Providing Market Uses research and data to guide product Daraz recommending
Insight or market decisions categories to scale
Shaping Company Influences corporate decisions toward Grameenphone targeting
Strategy customer-centric growth youth with custom plans
Works with other departments to deliver Shwapno coordinating with
Internal Partnering
seamless customer experience logistics
External Partnering Collaborates with suppliers, agencies, Nagad + Post Office + Banks
(Value Network) distributors to co-create customer value + Telcos

🏁 Final Note:

Marketing is not just about advertising — it is a core strategic function that helps
companies in Bangladesh and globally to:

 Understand customers
 Design winning strategies
 Partner across functions and firms
 Deliver lasting customer value and competitive advantage

Explanation of the elements of a customer value–driven marketing strategy and mix,

along with the forces that influence them

🟩 Customer Value–Driven Marketing Strategy

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A customer value–driven marketing strategy focuses on delivering superior value to
selected customers. It involves two main stages:

✅ 1. Selecting Customers to Serve

This includes two key activities:

a) Market Segmentation

Dividing the market into distinct groups of buyers with different needs, characteristics, or
behaviors.

🇧🇩 Example:
Grameenphone segments its market into:

 Youth users
 Rural users
 Corporate clients
 Premium internet users

b) Market Targeting

Evaluating each market segment’s attractiveness and selecting one or more segments to enter.

🇧🇩 Example:
Bkash targets low-income and unbanked populations, especially in rural areas, making
mobile banking accessible through basic phones and agents.

✅ 2. Deciding on a Value Proposition

How will the company differentiate itself and position in the market?

a) Differentiation

Offering unique value that stands out from competitors.

🇧🇩 Example:
Aarong differentiates through ethically sourced, handcrafted clothing made by rural artisans.

b) Positioning

Arranging the offering in the minds of target consumers.

🇧🇩 Example:
Teer (City Group) positions itself as a provider of high-quality, pure food products —
often supported by ads showing mothers choosing Teer for family health.

🟩 The Marketing Mix (4Ps)

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Once the strategy is set, the company designs a marketing mix — the set of tactical tools to
deliver value to the target market.

✅ The 4Ps:

Element Definition Bangladeshi Example

The goods/services offered to meet Walton offers locally assembled affordable
Product
customer needs electronics
Nagad offers free account opening and
Price Amount charged for the product
minimal transfer fees
How the product is Shwapno uses retail stores + home delivery
Place
delivered/distributed in cities
Communicating product value to Bashundhara promotes products via TV
Promotion
target customers ads, billboards, and Facebook

🟩 Forces That Influence Marketing Strategy and Mix

Kotler also outlines several external and internal forces that impact marketing decisions.

✅ External Forces (Macroenvironmental):

1. Demographic
Bangladesh’s youth-heavy population drives demand for mobile, fashion, and tech.

Example: EduTech platforms like 10 Minute School target students using digital tools.

2. Economic
Income levels influence pricing and targeting strategies.

💰 Example: Walton prices refrigerators and TVs affordably for the middle-income group.

3. Technological
Rapid digitization is reshaping business.

📱 Example: Pathao uses mobile apps to connect users with riders and food delivery.

4. Political & Legal

Government policies, taxes, import duties affect strategy.

🏛 Example: Bkash adapted to Bangladesh Bank’s digital KYC regulations.

5. Cultural & Social

Values, religion, traditions impact marketing.

🕌 Example: During Ramadan, brands like Pran offer religiously themed campaigns and
packaging.

✅ Internal Forces (Microenvironmental):

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 1. The Company
Marketing must align with company-wide mission and departments.

🤝 Example: Aarong’s marketing team works with artisans and BRAC management for
sustainable sourcing.

2. Suppliers
Affect product availability and costs.

🛒 Example: Foodpanda depends on local restaurants and delivery agents.

3. Marketing Intermediaries
Help promote, sell, and distribute.

🏬 Example: UCB Bank partners with local agents for rural banking access.

4. Competitors
Strategy must adapt to rival offerings.

⚔️Example: Nagad competes with Bkash using lower transaction fees and faster service.

🟦 Summary Table

Component Explanation Bangladeshi Example

Segmentation Divide market into groups Grameenphone’s youth vs rural plans
Targeting Select segments to serve Bkash targets unbanked customers
Differentiation Offer something unique Aarong’s artisan-sourced fashion
Positioning Create image in customer’s mind Teer = purity and health
Product What’s offered to meet needs Walton’s affordable electronics
Set pricing based on value and
Price Nagad’s low-fee model
market
Place Distribute product efficiently Shwapno’s stores and delivery
Promotion Communicate offering effectively Bashundhara’s ads on social and TV
Economic shifts, tech trends, govt
Influencing Forces External and internal environment
policies

Overview of marketing management functions, elements of a marketing plan, and the

importance of measuring and managing marketing return on investment (ROI)

🟩 Marketing Management Functions

Marketing management is the process of planning and executing the conception, pricing,
promotion, and distribution of ideas, goods, and services to create exchanges that satisfy
individual and organizational goals.

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Key Functions include:

1. Market Research and Analysis

o Understanding customer needs, market trends, and competitors.
o Example: Daraz Bangladesh continuously analyzes online shopping behavior
to tailor promotions and product offerings.
2. Market Segmentation, Targeting, and Positioning (STP)
o Dividing the market into segments, selecting target customers, and positioning
the product.
o Example: Grameenphone targets urban youth and rural customers differently
with customized plans.
3. Product Development and Management
o Designing and improving products to meet customer needs.
o Example: Walton develops affordable home appliances suited for middle-
income Bangladeshi families.
4. Pricing Strategy
o Setting prices based on costs, demand, competition, and value.
o Example: Nagad offers competitive pricing and transaction fees to attract low-
income users.
5. Promotion and Communication
o Creating awareness and persuading customers via advertising, PR, and digital
marketing.
o Example: Bashundhara Group runs TV and social media campaigns to
promote its products.
6. Distribution and Channel Management
o Ensuring product availability via retail stores, e-commerce, or direct sales.
o Example: Shwapno combines physical stores with home delivery services.
7. Customer Relationship Management (CRM)
o Building long-term relationships with customers.
o Example: Pathao uses app-based loyalty programs to retain riders and users.

🟩 Elements of a Marketing Plan

A marketing plan is a written document outlining marketing activities and strategies.

Key elements include:

1. Executive Summary
o Brief overview of the plan.
2. Situational Analysis
o Market analysis, SWOT (Strengths, Weaknesses, Opportunities, Threats)
analysis.
o Example: Analyzing how Aarong leverages rural artisans while facing
competition from cheaper imports.
3. Marketing Objectives
o Clear, measurable goals.
o Example: Bkash aiming to increase active users by 20% in one year.
4. Marketing Strategy
o Target market selection, positioning, and marketing mix (4Ps).

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 o Example: Teer focuses on purity and health in its product positioning.
5. Budgeting
o Allocation of resources.
o Example: Nagad dedicates budget to digital campaigns and agent
commissions.
6. Implementation Plan
o Action plans, timelines, and responsibilities.
7. Evaluation and Control
o Measuring performance and making adjustments.

🟩 Importance of Measuring and Managing Marketing ROI

What is Marketing ROI?

 Return on Investment (ROI) measures the profit generated from marketing activities
relative to the costs incurred.

Why is it important?

1. Accountability
o Justifies marketing spending by linking activities to financial results.
o Example: Daraz measures ROI on flash sales and targeted ads to optimize
budgets.
2. Resource Allocation
o Helps decide where to invest more or cut back.
o Example: Aarong tracks ROI of different campaigns (online vs. offline) to
focus on the most profitable channels.
3. Improving Marketing Effectiveness
o Identifies which tactics deliver best results.
o Example: Grameenphone uses ROI data to refine their youth campaigns.
4. Strategic Decision-Making
o Supports long-term planning with data-driven insights.
o Example: Bkash uses ROI analysis to expand agent networks efficiently.

🟦 Summary Table: Bangladesh Perspective

Marketing Management
Description Bangladesh Example
Function
Understanding customers and Daraz's customer behavior
Market Research
competition analysis
Grameenphone's urban vs rural
Segmentation & Targeting Choosing market segments
plans
Product Development Designing products Walton's affordable appliances
Pricing Setting prices Nagad's low transaction fees
Bashundhara’s TV & social
Promotion Advertising and communication
campaigns
Distribution Delivery of products Shwapno's stores and delivery
Customer Relationship Building loyalty Pathao’s loyalty program

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Marketing Management
Description Bangladesh Example
Function
Management
Executive summary, analysis, Bkash’s growth objectives and
Marketing Plan Elements
objectives, etc. budget
Marketing ROI Measure and optimize Daraz, Aarong, Grameenphone
Importance marketing investments using ROI data

Would you like me to prepare a sample marketing plan template for a Bangladeshi
company or a visual guide on marketing ROI concepts?

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