Markstrat: Online Marketing Strategy Simulation

Prof. Suman Modwel
Spring -- 1 credit
 
MARKSTRAT is a simulation that has been designed for teaching strategic marketing concepts. Used in combination with more traditional training methods such as lectures, discussions or case studies, it has proved its worth as a very effective tool for learning strategic concepts such as brand portfolio strategy; segmentation and positioning strategies; as well as operational "4P" marketing. It emphasizes the strategic perspective by demonstrating that tactical decisions cannot be effective without first defining explicit portfolio, market segmentation and product strategies. That marketing mix decisions are secondary to strategic decisions is a basic learning in this simulation.

Five teams will make marketing mix and marketing strategy decisions in successive simulated periods, after analyzing the consequences of their past actions. Segmentation and positioning issues, managing a choice of product lines, envisaging dynamic interaction between marketing, market research and R&D and product life-cycle management are the highlights of Markstrat. It should provide an extremely interactive simulated environment for practicing "hands-on" many of the marketing and business strategy concepts discussed in earlier courses. The Markstrat model incorporates the latest theories of market and competitive behavior. Teams are in direct competition in the simulated world. Detailed market and competitive data are available and sophisticated analysis tools like benchmarking, multidimensional scaling, and conjoint analysis are provided to turn market research data into coherent information.

Conceptual underpinnings of these marketing research tools is provided, and frequent references to  real examples of segmentation and positioning are made to link them to the learning inside the virtual Markstrat world.

Another learning that comes through rather powerfully is the crucial importance of effective team working to manage the decision making process amidst a mass of marketing research data and analysis tools within tight time constraints, all this being a good reflection of the realities of actual business.