Turnaround Management. Adjusting the Marketing Mix to the Challenges of the Turnaround Process

Table of Contents

1 Introduction

1.1 Statement of the problem

1.2 Objective of the assignment

1.3 Structure of the assignment

2 Turnaround management

2.1 Corporate crisis as basis for the necessity of turnaround management

2.1.1 Strategic crisis

2.1.2 Earnings crisis

2.1.3 Liquidity crisis

2.2 Turnaround process

2.2.1 Crash phase

2.2.1.1 Securing liquidity

2.2.1.2 Short-term measures

2.2.1.3 Coordination of stakeholder’s interests and confidence-building

2.2.1.4 Nomination of persons responsible

2.2.2 Initialization of the turnaround

2.2.3 Realization of the concept

2.2.4 Consolidating the company

2.3 Critical remarks

3 Marketing as a corporate process

3.1 Marketing analysis

3.2 Marketing objectives

3.3 Marketing strategy

3.3.1 Market area strategy

3.3.2 Market stimulation strategy

3.3.3 Market parceling strategy

3.3.4 Market areal strategy

3.4 The Marketing Mix

3.4.1 Product

3.4.1.1 Product quality

3.4.1.2 Product design

3.4.1.3 Branding

3.4.1.4 Services

3.4.1.5 Program policy

3.5 Price

3.5.1 Defining the list price

3.5.1.1 Cost-oriented pricing

3.5.1.2 Demand-oriented pricing

3.5.1.3 Competition-oriented pricing

3.5.2 Price policy strategies

3.5.3 Price discrimination

3.5.4 Discount policy

3.5.5 Payment and delivery terms

3.5.6 Credit policy

3.6 Place

3.6.1 Acquisitive distribution

3.6.1.1 Direct distribution

3.6.1.2 Indirect distribution

3.6.2 Marketing-logistics

3.6.2.1 Delivery service

3.6.2.2 Order processing

3.6.2.3 Stock keeping

3.7 Promotion

3.7.1 Advertising

3.7.2 Public relations

3.7.3 Personal selling

3.7.4 Sales promotion

3.8 Controlling

3.9 Critical remarks

4 Adjusting the marketing mix to the challenges of turnaround management

4.1 Adjusting the product

4.1.1 Adjusting the product quality

4.1.2 Adjusting the product design

4.1.3 Adjusting the branding

4.1.4 Adjusting the services

4.1.5 Adjusting the program policy

4.2 Adjusting the price

4.2.1 Adjusting the list price

4.2.2 Adjusting the discount policy

4.2.3 Adjusting the payment and delivery terms

4.2.4 Adjusting the credit policy

4.3 Adjusting the place

4.3.1 Adjusting the acquisitive distribution

4.3.2 Adjusting the marketing logistics

4.4 Adjusting the promotion

4.4.1 Adjusting the advertising

4.4.2 Adjusting public relations

4.4.3 Adjusting personal selling

4.4.4 Adjusting sales promotion

5 Conclusion

5.1 Achievement of objectives

5.2 Outlook

Objectives and Research Themes

The primary objective of this work is to examine how the marketing mix and its individual elements can be strategically adjusted to address the specific challenges of a corporate turnaround process. The analysis explores how marketing measures can contribute to overcoming a crisis and securing the long-term success of an enterprise.

• Analysis of corporate crisis stages and the necessity of turnaround management.
• Examination of the marketing mix as a practical tool within the turnaround framework.
• Investigation of adjustments for the four key elements: product, price, place, and promotion.
• Evaluation of risks and effects associated with marketing-based turnaround measures.

Excerpt from the Book

Summary of Chapters

1 Introduction: Discusses the impact of the global economic crisis on companies and introduces the relevance of turnaround management and marketing in navigating these challenges.

2 Turnaround management: Outlines the stages of a corporate crisis (strategic, earnings, liquidity) and the consecutive phases of a turnaround process, including the "crash phase."

3 Marketing as a corporate process: Details the conceptual framework of marketing, exploring marketing strategy, the four Ps (product, price, place, promotion), and the importance of coordination.

4 Adjusting the marketing mix to the challenges of turnaround management: Examines specific, practical adjustments to product, price, distribution, and promotion strategies that companies can undertake to support a successful turnaround.

5 Conclusion: Summarizes the findings on how marketing mix adjustments serve as effective, though risk-laden, tools in a turnaround, and provides an outlook on future research needs.

Keywords

Turnaround Management, Corporate Crisis, Marketing Mix, Product Policy, Price Policy, Distribution, Promotion, Strategic Crisis, Earnings Crisis, Liquidity Crisis, Market Stimulation, Rebranding, Customer Satisfaction, Crisis Management, Organizational Restructuring.

Frequently Asked Questions

What is the core focus of this research?

The research examines the relationship between marketing activities and turnaround management, specifically how adjustments to the marketing mix can help stabilize and recover a company in crisis.

What are the central thematic fields?

The work covers corporate crisis theory, the phases of the turnaround process, and the detailed application of the marketing mix (product, price, place, promotion) as a strategic instrument for business recovery.

What is the primary research question?

The assignment seeks to determine how the four elements of the marketing mix can be subdivided and adjusted to reveal starting points for concrete, effective measures within the framework of a company's turnaround process.

Which scientific methodology is employed?

The study uses a conceptual analysis approach, drawing upon existing academic literature to define crises and marketing strategies, supplemented by real-world case studies to demonstrate practical applications.

What topics are discussed in the main part of the work?

The main part analyzes the stages of corporate crises, the components of the marketing mix (product, price, place, promotion), and provides specific examples of how these elements were adjusted by companies like Puma, Marks & Spencer, and Philips.

Which keywords best characterize the work?

Key terms include Turnaround Management, Corporate Crisis, Marketing Mix, Product Policy, Price Policy, Distribution, Promotion, Strategic Crisis, Earnings Crisis, and Liquidity Crisis.

How does a strategic crisis differ from a liquidity crisis in this context?

A strategic crisis involves an inadequate market alignment, whereas a liquidity crisis is the final, most dangerous stage where a company can no longer meet financial liabilities and faces the threat of bankruptcy.

Why are real-world examples like Ford or Puma included?

These examples illustrate the practical relevance of theoretical concepts, showing how specific marketing adjustments—such as rebranding or changing product design—contributed to the real-world success of a turnaround.