Strategic marketing management (examination) Term Paper

Strategic marketing management (examination) - Term Paper Example The culture of an organization may prove so hard to change when change facilitators think of a unitary culture for an organization. In real world, no company operates as a uniform whole, but various units of a company may display different culture, which make subcultures of an entire organization. Changing organizational culture demands a deep understanding of the existing culture and clear knowledge about what culture the management intends to inculcate in the company to replace the old culture. Therefore, planning should always be done based on existing corporate culture because employees are already familiar with what is expected of them and know what values the company embrace. For example, Google gives its employees the freedom to explore new ideas and staff members have easy access to co-founders as well as executives. If the company wanted to implement a culture that takes away the autonomy of employees in the way they work and create a barrier to founders and executive access , it is most likely that employees will rebel against the proposed change. Penetration pricing: under this pricing strategy the company decides to set artificially low prices for its products in order to attract more customers and establish loyalty among existing customers, thus expanding market share. For example, Apple can decide to set prices for it Smartphone lower than its competitors such as Samsung in order to regain its market share. The approach was utilized by France Telecom as well as Sky TV to widen their market share. Skimming pricing: Using this strategy, a company can set high initial price for its product and then gradually lowers the price of the product to gain more market share. For example, Apple Company may have set high price for its Smartphone then later reduced the price amidst competition so that it can make it available to low market end and increase the company’s market share. Franchising is a business