Business and Marketing Planning Assessment - Coursework Example

Business and marketing planning assessment The Two Approaches to Strategy: Planned and Emergent Approaches The processes of developing strategy for any activity in the organization vary across the entire business engagements and depending on circumstances. However, the core approaches to strategy entail that of planned and emergent approaches. These two approaches transverse various strategy approaches for employing in the management and planning processes. In depth, emergent approach to strategy entails a pattern of activity within the organization that develops over time in the absence of specified mission and goals. The emergent strategy, also called realized strategy differs accordingly from planned approach to strategy (Paley, 2007, p 21). Emergent entails a set of activities, actions and behaviours, which occur consistently over time creating a pattern that the organization did not intend from its original planning of strategy. As the organisation realises the unintended strategy the results of the activity match the intended course of the organisation, aligning with its goals although not actually planned. Mintzberg in his publication, “The rise and Fall of Strategic Planning”, defined the approach as a complementary development towards the planned approach to strategy (Mintzberg, 1994, p 108). The emergent approach can occur in the organisations in varied circumstances. For instance, emergent strategy can occur in an organisation in cases where the environment imposes a certain pattern on the organisation leading to adoption of the actions and behaviours. Thus, this approach relies on external imposing factors to define the course of action of the organisation, which develops into an executable strategy for the organisation. The planned approach to planning is notably the most influential and widely used approach to strategy development and planning. This strategy as simply defined in “The Rise and Fall of Strategic Planning”, Mintzberg described the approach as entailing a set or course of activities that a person or an organisation adopts towards achieving a specific, predetermined goal or outcome (Mintzberg, 1994, p 110). This deliberate setting of the actions to determine the outcome of the action affecting the organization constitutes the planning process; hence, planned approach to strategy. The deliberate description of the collective vision and goal or intention of the organization in most cases is as a result of the leadership planning. This realisation is essential in determining the approach to strategy. These two approaches as Mintzberg describes them constitute a vast capacity of the organisation in establishing a successful plan in either action, including marketing frameworks. How the two approaches assist or impede the marketing planning process in view of the two approaches, it is notable that no approach is conclusively better than the other. Notably, each of the two approaches has its advantages and limitations; therefore, the need to consider each in defining the ultimately suitable approach to employ in formulating the management strategy of the organisation. Notably, in defining the deliberate strategy, they occur naturally as imposed on the organisation, and contain several aspects, which make them essential in marketing planning process (Finlay, 2000, p 19). The planned approach facilitates clarity of the intended purpose of the action taken, unlike the emergent approach. This corresponds to the meaning that where the marketing planning process is clear and explicit to understand, it is easier for the actors to identify and work towards a collective purpose, minimising the level of deviation from the intended objective. The planned approach helps the marketing plan to focus on the desired outcome, facilitating the organization participants with clear and unambiguous sense of direction (Mintzberg, 1994, p 114). However, the planned approach can also impede the planning processes in that the fixation on specified and purposed outcomes increases the organisations rigidity and lowers the responsiveness speed in the event of changes occurring or arising the need of change due to operating environment changes. Thus, it impedes marketing planning process as Mintzeberg notes from psychology that articulation of fixed strategy impedes the willingness to change from that plan. Thus, planned approach to strategy significantly impedes the planning process with respect to the organisation purpose. The emergent approach to strategy is consistent with a stream of actions that influence the environment leading to positive feedback or considerable success in adopting the particulate course of action. In considering the marketing planning process, this approach provides a notable advantage over the planned approach. In facilitating the marketing planning process, the emergent approach facilitates a degree of flexibility and responsiveness which is absent in deliberate strategies (Finlay, 2000, p 27). Using this strategy will allow the organisation participants to factor in changes and adjust to patterns in reaction to the outcomes present in the actions they engage. Thus, this action is essential in facilitating the establishment of a successful marketing plan for the organisation where the operating environment is dynamic in the essential factors impacting the marketing process. However, it may impede the marketing planning process in aspects where the organisation needs rigidity for efficacy and customer satisfaction (Finlay, 2000, p 33). For instance, in financial organisations, the emergent strategy impedes the planning process as the activity includes remarkably sensitive matter of funds. Thus, in such considerations, the emergent strategy is not efficient to employ in the marketing planning process. Moreover, it is uneconomical to implement where the changes causing the emergent approaches course of action are unpredictable and cause short-term effect. Why the balance is required and varies depending on circumstances Reflecting the advantages of each of the two approaches, it follows that the planned approach provides significance in clarity of purpose and establishing unambiguous focus on the organisation objectives (Finlay, 2000, p 48). Similarly, the emergent approach facilitates the stakeholders with flexibility and adjusting to the behavioural partners in response to the feedback received from the course of particular actions (Finlay, 2000, p 56). Therefore, the consideration of the situation for the approach is essential in determining the most appropriate strategy to apply. The need to realize the marketing planning objective alongside other organisational goals is key to choosing the means of employing the approaches. Notably, circumstances vary as the environment of organisation operation varies. For instance, in the case scenario of a financial institution, it is essential to keep planned strategy to ensure customer satisfaction and efficacy in achieving the delivery of service. However, it is notable that unforeseen financial constraints occur in the economy forcing the firms to necessitate a rapid re-thinking and structuring of the marketing plan. Therefore, in such a scenario, both planned and emergent approaches prove workable in collaboration to facilitate the organisational goals (Finlay, 2000, p 72). Enacting the planned approach in addressing the course of activity in the financial institution will maintain order and rigidity in the organisation culture. Similarly, to encompass the changes in the operating environment, the organisation may incorporate the emergent approach to accommodate flexibility and respond to the feedback received from the particulate course of the activities of the plan. Therefore, in this consideration, it is essential to strike a balance between the two approaches, to ensure success in the planning process of the organisation. Describing the two frameworks: Game theory and Driving Markets In establishing a successful strategy in business, it is essential to shape actively the game in which you participate rather than just playing the game in the field. Therefore, the essence of success in business is embodied in playing the right game. Game theory as a framework came into play in 1994, this framework entails tow essential considerations, the first being that the rule-based games, where the players in the game interact based on the rules of engagement (Brandenburger, 1995, p 58). These rules emanate from factors such as trade agreements, covenants and contracts. The second consideration entails freewheeling games, in which the players are free to engage, interacting without any constraints. For instance, in this consideration, the buyers and sellers transact in unstructured fashion creating value (Brandenburger, 1995, p 64). This complexity of the business mix necessitates the need to establish a defining limit for the engagement process. The game theory identifies the key players in the business industry as the customers, suppliers, complements and substitutes. These players are key in establishing the course of the framework and defining the core competence of the activities engaged (Prahalad, 1990, p 83). Therefore, with respect to these players and the associated developments, the organisation has the alternatives of either changing the game or the players to achieve the intended purpose of the action as engaged. The game theory as a systemic channel of understands the behaviour and roles of the players within the situations where the fortunes incorporated are interdependent (Brandenburger, 1995, p 68). Notably, the game strategy involves a social exchange in economic interactions where each of the players gains benefits. The idea in this framework is to create a win-win opportunity for the players as they engage in the market. The approach of the game theory is multifaceted, incorporating various key elements. These elements include the participants, benefit of participants, rules of the game, the strategy and range of the game. The participants as the stakeholders interact accordingly adding value to the marketing structures and strategies as engaged in the organisation or company (Brandenburger, 1995, p 70). These elements work consistently towards the core objectives of the marketing planning process, ensuring success of the business in consideration. The framework of driving markets entails two essential dimensions constituting the market structure and the market behaviours. In the processes of marketing planning, understanding the target market is key to the success of the measures and plans to implement to achieve the conceptualized outcomes of the plan. Therefore, this framework explores the two key dimensions of the marketing process, which entail understanding the market structure and the market behaviour (Jaworski, Kohli & Sahay, 2000, p 28). The market, which also implies the industry within which the organization acts, entails the set of players and their attached roes, which the market analysts call the value chain. Notably, in this framework, the procedures of accepting the current market structures as they exists and acting within the confines of the existing players restrictions does not eliminate or modify their roles (Jaworski, Kohli & Sahay, 2000, p 32). Therefore, driving the markets as a framework of action in the industry refers to the essentials where the organisation proactively changes the composition of the players in the market to enter the industry in consideration. Moreover, the organisation in question also changes the market structure in fundamental changing aspects as the players in the industry. The market behaviours evaluate the behaviours of the players in the value chain to establishing the actors for driving the markets. This dimension of the driving markets is key in understanding and managing the value chain which includes all players such as competitors, distributors, suppliers and complimentary. This focuses on the competitive environment with respect to the changing perceptions of the customers. Thus, the driving markets refer to these considerations in the changing composition, behaviours and roles of the players in the market (Jaworski, Kohli & Sahay, 2000, p 39). Driving markets incorporates a multiplicative function in aspects of the number of changes as well as the magnitude of those changes. Thus, these considerations facilitate the understanding of the driving markets as a framework of action in marketing processes within any given organisation. Comparing the effectiveness of the frameworks in assisting marketers to find balance between the two approaches Comparing the two frameworks, that is game theory framework and the driving markets framework, in the process of facilitating the marketers in balancing the planned and emergent approaches, the situation the business faces is a key determinant. It is essential to note that the market incorporates varied stakeholders, and some cases, a single organisation may possess a vast share of the market; hence, controlling the entire market. In this view, the planned approach proves essential in this course as the dynamics of the market are controlled by the organisation with a vast share of the markets. However, in the considerations where external factors determine the dynamics of the markets, the marketers ought to strike balance in engaging the planned and emergent approaches to marketing processes (Paley, 2007, p 56). Therefore, the game theory and driving markets frameworks constitute essential elements of understanding these dynamics in the market to facilitate successful planning process. For instance, the game theory creates a win-win opportunity for the marketers with respect to the first game play, where there are rules of engagement. In this consideration, the planned approach is the appropriate approach to use. However, in the freewheeling consideration, the emergent approach is appropriate for the marketers to employ as it incorporates the dynamic aspects of the markets (Paley, 2007, p 87). Similarly, the driving markets effectively facilitate the selecting of the emergent approach for the marketers as it creates an understanding of the changes in behaviour and roles of the participants in the markets. Thus, both frameworks are key in facilitating the marketers to select the appropriate approach to strategy in marketing planning process. References Brandenburger, Adam M.( 1995). Right game : use game theory to shape strategy Vol. 73, no. 4 (Jul./Aug. 1995), pp. 57-71 Finlay, P. N. (2000). Strategic management: an introduction to business and corporate strategy. Harlow, Financial Times Prentice Hall. Jaworski B., Kohli K. A., & Sahay A., ( 2000). A Market-Driven Versus Driving Markets Journal of the Academy of Marketing Science 2000 28: 45. DOI: 10.1177/0092070300281005 Mintzberg, Henry.( 1994), Fall and rise of strategic planning. Harvard business review. Vol. 72, no. 1 (Jan./Feb. 1994), pp. 107-114. Prahalad, C. K.( 1990). Core competence of the corporation. Harvard business review. v. 68, no. 3 (May/Jun. 1990), pp. 79-91 Paley, N. (2007). The marketing strategy desktop guide. London, Thorogood. Read More