Market oriented strategic planning is described as the process of developing and sustaining a workable link between a company’s objectives, expertise and resources and the altering market opportunities (Kotler, P). Developing market strategies is a complex task, which requires deep study and analysis of the current market opportunities.
The market world of today faces a new threat and opportunity, the Internet. It is a threat for those who have still not utilized it for direct marketing of their products and services and an opportunity for those have initiated this step. Internet has facilitated sales and marketing of numerous products of different companies. However, the use of Internet to develop marketing channels has also be a reason for the decline of sales of brick and mortar retailers. This era is the era of speed, sophistication and ease. Today people find it more comfortable to order things via Internet.
According to the situation in the provided material about a company whose product line is as competitive of that as the leader in the computer industry DELLTM Computers, the retailers should be satisfied with the answer that even though the company would introduce and use a system similar to the one used be Hewlett-Packard TM but it would not affect their share of the business as they would be provided with web orders that the company gets and the retailers would be responsible for their completion and shipment.
This would earn them sales commissions according to a percentage that can be negotiated between the company and the retailers. And hence it would deprive them of their customers.
The company should formulate and implement a system that is similar to the one used by Hewlett-Packard TM so it does not loose 60% person sales earned due to its retailers which if lost can be a great loss to the business of the company. This system would be equally beneficial for both the company and its retailers.
NSW Small business(2006) Marketing Strategy. Retrieved on November 2nd 2006
Kotler, P. (2002). Marketing Management. Prentice Hall. Eleventh Edition. ISBN: 8120320832