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Marketing Vice
President
Advertising and
Marketing Marketing
Sales New Product
Administration Sales Manager Research
Promotion Manager
Manager Manager
Manager
Additional specialists can be
added as-
• Customer Service Manager
• Marketing Planning Manager
• Marketing Logistics Manager
• Internet Marketing manager
Advantages
Simplicity
•
Answerability
•
Administration
•
Disadvantages
• Challenge to develop a working relation
• Inadequate planning
• One superior for many specialists
Geographic Organization
• Geographic Lines
• National Sales Manager
• Regional Sales Manager
• Zonal/Branch Manager
Product or Brand Management
Organization
• Variety of Products.
• Another layer of Management.
• Product Manager supervises product
category Managers.
• Product Manager emanating out to various
departments.
Advertising
Research Agency Promotion
&
Development
Services
Packaging Media
Product
Publicity Legal
Manager
Purchasing Fiscal
Sales Force
Advantages
• Specifically Brand Managers.
• Expert in their Product area.
• Manage a Brand for a Short Time.
• Focus on building Market Share.
Disadvantages
• Not have enough authority.
• Rely on Persuasion of other departments.
• Rarely achieve Functional Expertise.
• Costly.
• More focus on building market share not on
Customer relationship.
Market Management
Organization
• Companies that produces many products blowing into
many markets.
• Customer falls into different user groups with different
buying preferences and practices.
• “Canon” sells its fax machines to Consumers, Business
and Govt. Markets.
• “U.S Steel” sells its steel to Railroad, Construction and
Public Utility Industries.
Matrix Management Organization
• Many products flowing into many markets.
• Multiproduct, Multimarket company.
• Costly
• Creates conflicts.
• Cost of supporting all the managers.
• Questions about where authority and responsibility
should reside.
Product Management
Sales Management
Sales Manager
(North)
Sales Manager
(South)
Sales Manager
(East)
Sales Manager
(West)
•Evolution of Marketing Organization in
Indian Firms
•The Manufacturing Era : In this government decided that what
and how much had to be produced. When the government initiated the
Five Year Plan, the country had to import almost everything and hence
the focus was on creating a manufacturing base in the core sector and
also in other areas. Hence, while public sector units were created in
product groups like steel, cement, petrochemicals etc., private sector
units came forward to set up up-stream units. Since licenses are
required to set up manufacturing units and governmental policy’s focus
was on providing the basic needs of the teeming millions in the
country .
Structure of Marketing Organization in The
Manufacturing Era
Chairman/Managing
Director
Sales/
Purchase
Distribution
.The Sales Era : As India entered in 1970’s, the scenario started
changing. Though government continued to suspect the foreign private
investment and the import policy was still restricted, domestic firms were
allowed to enter many sectors. Example, in commercial steel tube
manufacturing, may units like Bharat Steel Tubes, Jain Steel Tube,
Zenith Steel Tube, and so on were allowed to set up shop and thus
complement to the Indian Tube Company’s manufacturing base.
Structure of Marketing Organization in
The Sales Era
Chairman/Managing
Director
(B)
Chief Executive
Chairman
Staff
Line Operations Engineering Production
Services
Customer
Warehousing Sales Force Product Service
Service
Transport Inventories
Importance of Marketing Organization