Chapter Nine Chapter Nine Competitive Advantage and Marketing Research
Dec 28, 2015
TOP 9 LIST FOR BUSINESS PLAN PROJECTSTOP 9 LIST FOR BUSINESS PLAN PROJECTSTOP 9 LIST FOR BUSINESS PLAN PROJECTSTOP 9 LIST FOR BUSINESS PLAN PROJECTS
1. Custom made corn heads, Rusty Olson2. Contract hunting lodge, Mike Johnson3. Pooling of ag inputs, Dana Morgan4. Hunting guide service, Brent Neighbor5. Crop injury specialists, Joshua Berg6. Precision planting, Thomas Book7. Springer, grain wagon latch, Stephanie Creese8. Adventure travel consulting, Francis Lorenz9. Machinery and grain storage, Patrick Newlon
GROUP 1GROUP 1ADVENTURE TRAVEL CONSULTINGADVENTURE TRAVEL CONSULTING
GROUP 1GROUP 1ADVENTURE TRAVEL CONSULTINGADVENTURE TRAVEL CONSULTING
• Francis Lorenz
• Eric Vangorp
• Aarron Osterhaus
• Tyson Kaldenberg
• Tyler Rees
GROUP 2GROUP 2Springer, Latch for Wagon ChuteSpringer, Latch for Wagon Chute
GROUP 2GROUP 2Springer, Latch for Wagon ChuteSpringer, Latch for Wagon Chute
• Stephanie Creese
• Brent Bonner
• Darrick Hall
• Laura Northway
• Marc Oostenink
Group 3Group 3Crop Injury SpecialistsCrop Injury Specialists
Group 3Group 3Crop Injury SpecialistsCrop Injury Specialists
• Joshua Berg
• Daniel Severs
• Ryan Jones
• Ramon Kuntz
• Trent Kuntz
Group 4Group 4Precision PlantingPrecision Planting
Group 4Group 4Precision PlantingPrecision Planting
• Thomas Book
• Benjamin Furman
• David Eisenman
• Ryan Sauer
• Sam Behrens
Group 5Group 5Contract Hunting LodgeContract Hunting Lodge
Group 5Group 5Contract Hunting LodgeContract Hunting Lodge
• Mike Johnson
• Adam Gittins
• Bryan Bradley
• Clinton Veren
• John Lyle
Group 6Group 6Machinery and Grain StorageMachinery and Grain Storage
Group 6Group 6Machinery and Grain StorageMachinery and Grain Storage
• Patrick Newlon
• Chris Steinkamp
• Matthew Willimack
• Patrick Kuehn
• Quinn Showalter
• Terrance Wood
Group 7Group 7Hunting Guide ServiceHunting Guide Service
Group 7Group 7Hunting Guide ServiceHunting Guide Service
• Brent Neighbor
• Brett Moffatt
• David Curren
• Holly Blackford
• Leslie Miller
Group 8Group 8Pooling of Ag. InputsPooling of Ag. Inputs
Group 8Group 8Pooling of Ag. InputsPooling of Ag. Inputs
• Dana Morgan
• Adam McKain
• Judd Gross
• Reid Weiland
• Tory Hetland
• Victor Dobroff
Group 9Group 9Custom Made Corn HeadsCustom Made Corn Heads
Group 9Group 9Custom Made Corn HeadsCustom Made Corn Heads
• Rusty Olson
• Amanda Taylor
• John Peterson
• Reid Swanson
• Steven King
Chapter FocusChapter FocusChapter FocusChapter Focus
• Define competitive advantage
• Demonstrate the importance and benefits of having a competitive advantage
• Describe three ways to create a competitive advantage for your business
• Explain the purpose of the marketing research process and steps involved in putting it into practice
• Illustrate what marketing research can do for your small business
The Five Forces for CompetitionThe Five Forces for CompetitionThe Five Forces for CompetitionThe Five Forces for Competition
Threat of NewEntrants
Bargaining Power of Suppliers
Bargaining Power of Buyers
Threat of Substitute
Products or Services
Rivalry AmongExisting
Competitors
Fig. 9-1
Competitive Advantage CycleCompetitive Advantage CycleCompetitive Advantage CycleCompetitive Advantage Cycle
Luck
Failure ofCompetitor
ExternalFactors
SuperiorSkills
SuperiorResources
InternalFactors
CompetitiveAdvantage
Superior ProfitPerformance
Fig. 9-2
Market Research Expenditures (1 of 2)Market Research Expenditures (1 of 2)Market Research Expenditures (1 of 2)Market Research Expenditures (1 of 2)
One month to 6 months
49%
Less than one month24%
Seven to 12 months
14%
More than one year13%
Time spent on market research beforelaunching most recent new product or service:
Fig. 9-3a
Market Research Expenditures (2 of 2)Market Research Expenditures (2 of 2)Market Research Expenditures (2 of 2)Market Research Expenditures (2 of 2)
$1,000 to $5,00032%
Less than $1,00036%
More than $25,000
10%
$11,000 to $25,000
5% $6,000 to $10,000
17%
Out-of-pocket money spenton the market research:
Fig. 9-3b
Market Research ProcessMarket Research ProcessMarket Research ProcessMarket Research Process
IdentifyProblem
Developa Plan
CollectData
AnalyzeData
Draw Con-
clusions
Fig. 9-4
Matrix of Customer Needs and Matrix of Customer Needs and TypesTypes
Matrix of Customer Needs and Matrix of Customer Needs and TypesTypes
Unspoken
Spoken
Served Unserved
Cu
sto
mer
Nee
ds
Markets
Existingproducts
orservices
New opportunitiesfor products/
services
Fig. 9-5
Marketing ResearchMarketing ResearchMarketing ResearchMarketing Research
• Determine potential customers
• Determine their demographics
• Determine their buying habits
• Determine if they will buy your products or services
• Determine the competition
• Determine your potential sales
Marketing ResearchMarketing ResearchMarketing ResearchMarketing Research
• Trends in the industry– Trade journals– Trade associations– Statistics
• Status of the competition– Market share– Financial situation– Vulnerabilities
Marketing Research MethodsMarketing Research MethodsMarketing Research MethodsMarketing Research Methods
• Secondary data– WWW– Government data– Commercial data
• Survey of Buying Power
• CACI
• Claritas
– Trade associations
Marketing Research MethodsMarketing Research MethodsMarketing Research MethodsMarketing Research Methods
• Primary data– Surveys
• Phone• Mail• In person
– Test marketing
– Focus groups
– Beta users
– Analogues