SHS

Principles of Marketing
Module 4

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Principles of Marketing
Grade 11: Module 4
First Edition, 2021

Copyright © 2021
La Union Schools Division
Region I

All rights reserved. No part of this module may be reproduced in any form without
written permission from the copyright owners.

Development Team of the Module

Author: Kay Owen L. Boado, T-III

Editor: SDO La Union, Learning Resource Quality Assurance Team

Illustrator: Ernesto F. Ramos Jr., P II

Management Team:

Atty. Donato D. Balderas, Jr.

Schools Division Superintendent

Vivian Luz S. Pagatpatan, Ph.D

Assistant Schools Division Superintendent
German E. Flora, Ph.D, CID Chief

Virgilio C. Boado, Ph.D, EPS in Charge of LRMS

Lorna O. Gaspar, EPS in Charge of ABM
Michael Jason D. Morales, PDO II
Claire P. Toluyen, Librari

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 Target

As we study and immerse ourselves in

“Principles of Marketing” in the process, it is
necessary to know some Marketing Principles
and Strategies. The course deals with the
principles and practices in marketing goods
and services. It also focuses on the
development of integrated marketing
programs that will help grow the business.

After going through this module you are expected to:

Distinguish between strategic and marketing planning in terms of objectives and

processes. ABM_PM11-IE-I-9

Subtasks:
1. Define strategic and marketing planning.
2. Identify situations where strategic and marketing planning is involved.
3. Use strategic and marketing planning in real-life situations.
4. Compare and contrast strategic planning and marketing planning.

Before going on, check how much you know about this topic. Answer
the pre-test on the next page in a separate sheet of paper.

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 Jumpstart

For you to understand the lesson well, do the following activities.

Have fun and good luck!

Directions: Choose appropriate answer inside the box and write your answers in a
separate sheet of paper.

MARKETING STRATEGY MARKETING CONTROL STRATEGIC PLANNING

MARKETING PLAN LONG-RANGE PLAN

__________________1. Sets the stage for the marketing plan. It starts with its overall
purpose and mission. These guide the formation of
measurable corporate objectives.
__________________2. A written statement identifying the primary factors and forces
affecting the organization which includes long-term objectives,
marketing strategies, and the resources required.
__________________3. It refers as the evaluation of marketing performance and
outcomes in order to determine if the marketing goals have
been met.
__________________4. It is driven by your strategy, your marketing plan is the
execution; the roadmap of tactical marketing efforts that help
you achieve your marketing goals.

__________________5. Shaped by your business strategy, your marketing strategy is

your purpose; it's the offering you deliver, how you will deliver
it and why your marketing efforts will help you achieve your
company’s mission and strategic goals.

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 Discover

STRATEGIC PLANNING VERSUS TACTICAL PLANNING

STRATEGIC PLANNING

Marketing Guru, Philip Kotler (2003), defined strategic planning as a process

of developing and maintaining a strategic fit between the organization’s goals and
capabilities and its changing marketing opportunities.

STRATEGIC MARKETING VS. TACTICAL MARKETING

Strategic Planning is a broad process that can address the entire business,
or a portion of the business such as marketing while Marketing planning is
written based from strategic plans.

STRATEGIC PLANNING
1. Strategy is a plan from reaching a specific goal.
2. In business, a strategy is a broad goal, such as increasing sales or market
share or creating an image for the business.
3. When creating marketing plans start with broad strategies and support it with
specific tactics.
4. Planning is the process of predicting future events and conditions and of
determining the best way to attain the goals and objectives of the organization.
5. Strategic Planning is a management process of creating and maintaining fit
between the objectives and resources of the organization and the changing
market opportunities.

Most companies usually prepare annual plans, long-range plans and strategic
plans:
1. The annual plan is a short-term plan that describes the current situation,
company objectives, and the strategy for the year, the action program,
budgets and controls.

2. The long-range plan describes the primary factors and forces affecting the
organization during the next several years. It includes the long-term
objectives, the main marketing strategies used to attain them, and the
resources required. This long-range plan is reviewed and updated each
year so that the company always has a current long-range plan. The
company's annual and long-range plans deal with current businesses and
how to keep them going.
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 3. The strategic plan involves adapting the firm to take advantage of
opportunities in its constantly changing environment. It is the process of
developing and maintaining a strategic fit between the organization's goals
and capabilities and its changing marketing opportunities.
A strategic plan is for established businesses, organizations and business owners
that are serious about growing their organization.
• Key market trends,
• Key target segments,
• The value required by each segment,
• How the company intends to create value,
• With a clear prioritization of marketing objectives and strategies, together with
financial consequences.

Marketing Strategy - Shaped by your business strategy, your marketing strategy is

your purpose; it's the offering you deliver, how you will deliver it and why your
marketing efforts will help you achieve your company’s mission and strategic goals.
Once you have your strategy, only then will you be able to develop an effective
marketing plan according to The Laire Group Team published at
www.lairedigital.com

MARKETING PLAN
A marketing plan is a business document written for the purpose of
describing the current market position of a business and its marketing strategy for
the period covered by the marketing plan. Marketing plans usually cover a period of
one to five years.
A marketing plan is a comprehensive document or blueprint that outlines a
company's advertising and marketing efforts for the coming year. It describes
business activities involved in accomplishing specific marketing objectives within a
set time frame.

Marketing Strategy Marketing Plan

• The “Why” Behind your • The Road Map the Execution
Marketing Efforts “Plan”
• Its purpose is to describe how • Its purpose is to lay out your
your marketing goals will help marketing campaign efforts on a
you achieve your business goals tactical level
• What offering you will deliver, • What you will do, where you will
who you will deliver, who you will do it, when you will implement
deliver it to, how you will deliver and how you will track success.
it and who your competitors are.
• It helps you make the most of • It supports yours strategy and is
your investment, keep your the action plan you’ll uses to
marketing focused, and measure implement your marketing
your sales results. efforts.
Source: The Laire Group Team | April 23, 2018 lairegroup.com

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Parts of Marketing Plan

1. Executive Summary – presents the highlight of the plan. It is the overview of

the proposed plan.
2. Current Marketing Situation - provides data on the present product, its market,
and how products are distributed and promoted.
3. Environment Analysis - discusses the various external factors that affect the
marketability of the product. This defines the product’s strength and
weaknesses, as well as the various threats and opportunities facing the
product.
4. Objectives - consist of marketing goals in the area of sales, target market,
positioning, market share, and profit.
5. Marketing Strategies - consist of the company’s game plan, indicating how
objectives will be achieved.
6. Action Programs - indicate the steps that the company would undertake to
ensure that marketing strategies would achieved. It include identifying the
persons involved, the timeframe, and the budget.
7. Budget – is an important component that puts into details the cost of
implementing the marketing plan.
8. Controls – indicate how progress will be monitored and reviewed by the
management.

Process of Strategic Planning

1. Drafting the Company’s Mission
2. Setting of Company’s Objectives
3. Designing the Company’s Business Portfolio

Strategic and Marketing versus Tactical Marketing

• This become the basis of long-Term plan used in strategic marketing

• To accomplish the long-term goal, marketers also develop short term action
plan and do tactical marketing.
• Strategic marketing considers the long-term goals of your company such
as expanding your business, exploring new demographics, or creating a
new brand. Therefore, it needs the insight of your financial department
who can analyze if you have adequate funds to realize your goals.
• Tactical marketing often involves generating leads, building websites,
placing ads, and following up. It includes advertising, sales promotions,
and other activities that directly support your strategic marketing plan.
And because your strategic marketing plan included establishing a budget,
tactical planning preparation should consider its financial limitations in
carrying out these activities.

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 Strategic planning sets the stage for the marketing plan. It starts with its
overall purpose and mission. These guide the formation of measurable corporate
objectives. A corporate audit then gathers information on the company, its
competitors, its market and the general environment in which the firm competes.
A SWOT analysis gives a summary of the strengths and weaknesses of the
company together with the opportunities and threats it faces. Next, headquarters
decides what portfolio of businesses and products is best for the company and
how much support to give each one.

This helps to provide the strategic objectives that guide the company's various
activities. Then each business and product unit develop detailed marketing and
other functional plans to support the companywide plan. Thus, marketing
planning occurs at the business-unit, product and market levels. It supports
company strategic planning with more detailed planning for specific marketing
opportunities.

Explore
Here are some enrichment activities for you to work on to master and
strengthen the basic concepts you have learned from this lesson.

Enrichment Activity 1: FIND ME IN THE BOX!

MARKETING STRATEGY CONTROL STRATEGIC PLANNING
MARKETING PLAN LONG-RANGE PLAN

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Assessment 1: WHICH IS ME?!

Directions: Write SMP if the statement is TRUE about Strategic and Marketing
Planning. If it is incorrect write the correct word/s to make the statement correct.
Use separate sheet of paper for your answers.

1. Through strategic planning, the company decides what it wants to do with

each business unit. Marketing planning involves deciding marketing
strategies that will help the company attain its overall strategic objectives.
Marketing, product or plans are at the center of this.

2. Implementation turns strategic plans into actions that will achieve the
company's objectives. People in the organization that work with others both
inside and outside the company implement marketing plans.

3. Strategic Planning helps to provide the strategic objectives that guide the
company's various activities. Thus, marketing planning occurs at the
business-unit, product and market levels. It supports company strategic
planning with more detailed planning for specific marketing opportunities.

4. Through marketing planning, the company decides what it wants to do with

each business unit. Marketing planning involves deciding marketing
strategies that will help the company attain its overall strategic objectives.
Marketing, product or brand plans are at the center of this.

5. Marketing Strategy consists of measuring and evaluating the results of plans

and activities and taking corrective action to make sure objectives are being
achieved. Analysis provides information and evaluations needed for all the
other activities.

Deepen

Great job! You have understood the lesson. Are you

now ready to summarize?

Direction: Read and analyze the selection. Answer the question that follows.

The rapidly evolving threat around the COVID-19 virus, commonly referred to
as coronavirus, is impacting the business and investor community across the
world. The global and interconnected nature of today’s business environment
poses serious risk of disruption of global supply chains that can result in
significant loss of revenue and adversely impact global economies. The impact on
the global economy may increase depending on the extent of geographic spread
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of the virus. However, the pandemic has already negatively impacted the global
economy as a whole. Source: https://www.ey.com/en_gl/covid-19/covid-19-and-
pandemic-planning--how-companies-should-respond

Questions:
1. What are the negative impacts of COVID-19 virus to the following?
a. Students
b. Community
c. Economy (local, national and global)
2. Cite a business that is making an out-of the-box strategic and marketing
planning in this pandemic. Explain briefly. Use separate sheet of paper for
your answer.

Rubric:
Content Excellent Very Good Good Poor Very
(5 pts) (4pts) (3pts) (2pts) Poor
(1pt)
Content Answer is Answers is Answers is not Answer is Answer
comprehensive, accurate and completely partial or does not
accurate, and complete. Key stated and key incomplete. address
complete. Key points were points are Questions not the
ideas were stated and addresses but adequately question.
clearly stated, supported. not supported. answered.
explained and
well supported.

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 Gauge

ANSWER ME, PLEASE?

Directions: Read carefully each item. Use a separate sheet for your answers. Write
only the letter of the best answer for each test item.

1. What is a comprehensive document or blueprint that outlines a company's

advertising and marketing efforts for the coming year. It describes business
activities involved in accomplishing specific marketing objectives within a set
time frame?
A. Annual Plan B. Long-range Plan
C. Marketing Plan D. Strategic Plan
2. What part of a marketing plan that discusses the various external factors that
affect the marketability of the product. This defines the product’s strength and
weaknesses, as well as the various threats and opportunities facing the
product?
A. Current Market Situation B. Environment Analysis
C. Executive Summary D. Objectives
3. What part of a marketing plan that consist of the company’s game plan,
indicating how objectives will be achieved?
A. Current Market Situation B. Environment Analysis
C. Executive Summary D. Objectives
4. Which of the following involves generating leads, building websites, placing
ads, and following up. It includes advertising, sales promotions, and other
activities that directly support your strategic marketing plan. And because
your strategic marketing plan included establishing a budget, tactical
planning preparation should consider its financial limitations in carrying out
these activities?
A. Annual Plan B. Long-range Plan
C. Marketing Plan D. Tactical Marketing
5. What is the process of predicting future events and conditions and of
determining the best way to attain the goals and objectives of the organization?
A. Controlling B. Marketing C. Planning D. Staffing
6. Which of the following that gives a summary of the strengths and weaknesses of
the company together with the opportunities and threats it faces. Next,
headquarters decides what portfolio of businesses and products is best for the
company and how much support to give each one?
A. Executive Summary B. PESTLE Analysis
C. SWOT Analysis D. Tactical Planning

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7. Which of the following that involves adapting the firm to take advantage of
opportunities in its constantly changing environment. It is the process of
developing and maintaining a strategic fit between the organization's goals and
capabilities and its changing marketing opportunities?
A. Annual Plan B. Long-range Plan
C. Marketing Plan D. Strategic Plan

8. What is the process of developing and maintaining a strategic fit between the
organization’s goals and capabilities and its changing marketing opportunities?
A. Annual Planning B. Marketing Planning
C. Long-range Planning D. Strategic Planning

9. What is the indication of the steps that the company would undertake to ensure
that marketing strategies would achieved? It include identifying the persons
involved, the timeframe, and the budget?
A. Action Programs B. Budget
C. Controls D. Objectives

10. What is a business document written for the purpose of describing the current
market position of a business and its marketing strategy for the period covered
by the marketing plan. Marketing plans usually cover a period of one to five
years?
A. Annual Plan B. Long-range Plan
C. Marketing Plan D. Tactical Marketing
11. What is shaped by your business strategy, your marketing strategy is your
purpose; it's the offering you deliver, how you will deliver it and why your
marketing efforts will help you achieve your company’s mission and strategic
goals?
A. Marketing strategy B. Marketing plan
C. Planning D. Strategic planning

12. Which of the following sets the stage for the marketing plan?
A. Annual Planning B. Long-range Planning
C. Marketing Planning D. Strategic Planning

13. Which of the following considers the long-term goals of your company such as
expanding your business, exploring new demographics, or creating a new brand.
Therefore, it needs the insight of your financial department who can analyze if
you have adequate funds to realize your goals?
A. Action Programs B. Budget
C. Controls D. Strategic Marketing

14. Which of the following that provides data on the present product, its market, and
how products are distributed and promoted?
A. Current Market Situation B. Environment Analysis
C. Executive Summary D. Objectives

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15. Which of the following consist of marketing goals in the area of sales, target
market, positioning, market share, and profit?
A. Current Market Situation B. Environment Analysis
C. Executive Summary D. Objectives

Great job! You are almost done with this module.

References:
The Laire Group Team, (2018) Marketing Plan versus Marketing Strategy Retrieved from
https://www.lairegroup.com/blog/marketing-plan-vs-marketing-strategy

Williamson, Will (2020), Traditional Vs Contemporary Marketing Strategies, Retrieved

fromhttps://blog.jdrgroup.co.uk/digital-prosperity-blog/traditional-vs- contemporary-
marketing- strategies

MEDINA, ROBERTO G. (2008), Principles of marketing revised edition REX Bookstore.

Armstrong, Gary (2013). Marketing: An introduction 11th, Global ed. Harlow, England:
Pearson

Microsoft Dynamics 365, (2015, July 16). RELATIONSHIP Marketing Strategies and
tools Retrieved from https://www.powerobjects.com/blog/2015/07/16/9-
relationship-marketing-strategies-and-tools/

COVID-19 and pandemic planning: How companies should respond, (March 19, 2020) – Retrieve
from https://www.ey.com/en_gl/covid-19/covid-19-and- pandemic-planning--how-
companies-should-respond

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 14
ENRICHMENT ACTIVITY 1: FIND ME IN THE BOX:
ASSESSMENT 1: WHICH IS ME?!
1. Correct
2. Correct
3. Planning
4. Strategic Planning
5. Control
GAUGE:
1. C
2. B.
3. D.
4. D.
5. C.
6. C.
7. B.
8. D.
9. A.
10. C.
11. A.
12. D.
13. D.
14. A.
15. D.
Answer Key