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Chapter 7. Weaving Marketing into the Fabric of the Firm Eaton. Business Marketing. Objectives Role of Marketing in a learning organizational environment Internal Partnerships Partnering Process for Internal Partnerships Internal Partnership Skills for Marketing Managers.
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Chapter 7 Weaving Marketing into the Fabric of the Firm Eaton
Business Marketing Objectives • Role of Marketing in a learning organizational environment • Internal Partnerships • Partnering Process for Internal Partnerships • Internal Partnership Skills for Marketing Managers
The Fabric of the Firm Organizational Culture Collectively held values, ideology, and social processes imbedded in the firm.
COMPONENTS OF MARKET ORIENTATION • Establish a corporate culture where every employee values their customers • Listening to the voice of the customer throughout the entire company • Developing superior skills to understand and satisfy customers 7-4
Market Oriented Companies • What is a Market Orientation? • Highest priority on profitable creation and maintenance of superior customer value while considering the interests of other key stakeholders. • Provides norms for behavior regarding development of and responsiveness to market information • How market orientation impacts performance[Ex. 7-1, p. 195] • Market sensing • Spanning processes
Internal Partnering to Create a Market Orientation • Internal partnering carries the voice of the customer • Order Fullfillment Process, Critical Spanning Capability • [Ex. 7-2, p. 198] • Internal vs external partnering[Ex. 7-3, p. 200] • Customer Satisfaction -> Supragoal
Internal Partners Marketing Interfaces, Ex. 7-3, p. 200 • Manufacturing • Make to stock • Make to order • Engineer to order • Finance • Purchasing
Partnerships in Marketing Integrating Marketing Efforts • Clear Strategic Decisions • Personnel Stability • Compensation • Organizational Structure Organizational Structure – Marketing Partners Customer Focused Team structure [Ex. 7-5, p. 206] • Structure and Formal Communication[Ex. 7-6, p. 206; Ex. 7-7, p. 204]
Communication in a Functional Organ. Structure, Ex. 7-6, p. 206
Marketing Orientation and Organizational Learning Known requisites Organizational Learning Further Defined Organizational Learning and Competitive Advantage - need to learn faster than the competition Competency Trap
How Marketing Learns [Ex. 7-7, p. 208] • Cognitive Mapping • Experiments • Learning Laboratories • Scenarios • Case Studies • Strategic Planning • Learning from others • A Commitment to Learning
CREATING NEW KNOWLEDGE:THE TOOLS • COGNITIVE MAPPING • Finding links of cause and effect through exploring beliefs and assumptions • EXPERIMENTS • Research that tests cognitive maps • LEARNING LABORATORIES • A time and space that is set aside for sharing and learning through experiments, scenarios - simulations, models, case studies, strategic planning, and role playing • LEARNING FROM OTHERS • Getting knowledge from partners, consultants, seminars, and competitors. 7-19
HOW BUSINESS TO BUSINESS MARKETERS LEARN, Ex. 7-7, p. 208 THE THREE-STEP PROCESS Exhibit 7-7 7-20
The Learning Market-Oriented Individual Important Internal Partnering Skills • Finance and Accounting Skills • Questioning and Listening • Negotiation • Create a Sense of Urgency • What is Negotiated • Be Prepared
IMPORTANT INTERNALPARTNERING SKILLS • FINANCE AND ACCOUNTING SKILLS - helps communicate with other managers and make better decisions • QUESTIONING AND LISTENING - helps understand needs of others • NEGOTIATION – helps resolve conflicts • ANALYTICAL SKILLS – helps apply meaning to numbers 7-22