Marketing Myopia Essay Example | Topics and Well Written Essays - 750 words

Marketing Myopia - Essay ExampleMarketing Myopia, written by Theodore Levitt, was published in the Harvard Business Review. It won the McKinsey yield in 1960. This is a business article that asks the question, What business argon you really in? It talks about the strategy of doing business and marketing. Levitt argues that for a business to do better, focus should non be on selling harvest-tides to customers. Rather focus should be on the customer postulate and meeting those ineluctably. According to the writer, most businesses that do not grow, or whose growth keeps declining micturate a management problem. This management is of the masking executives of a order since they are the policy makers and implementers. For a long time, companies have been focusing on the kind of products they think suits the customers. This has led to failures of this company or stagnating growth, to say the least. Theodore Levitt is remarkably insightful in arguments about the failure of managemen t. It is argued that the failure is with the top executives whose work is to make policies. An example is given of the transportation industry, where railroad has been replaced by other means of transport that meet the needs of the customers. The railroad failed to meet the needs of the customer. This is because they had a impose on _or_ oppress definition for their business, which is product oriented. They instead should have defined it as customer oriented. The second example is Hollywood, whose focus was in production of movies and not providing entertainment. They have since been overtaken by TV, which meets the needs of the customer by providing entertainment. Levitts other examples are of companies whose orientation is customer based. They are nylon and glass-based companies respectively. They have both customer and product advantages that emanate from their excellent technical competence. They apply this technical competence to make sure the products produced are of quality. The focus is on the customers needs but not on the product. They apply excellent technical competence to fulfill those needs. In his examples, Theodore Levitt compares different companies that are in different sectors of an economy. The writer is critical in arguing that at that place is an error of analysis in judging companies according to their products. Success of a company is not on the product, which is a narrow way of classification. Companies die because of a need of imaginativeness in the management and a lack of will to fulfill the needs of the customer. A railroad industry lacks the imaginativeness to fulfill the needs of the customer, which in this case is transportation. This point is made clearly and shows that companies that have narrowed down their product line are doomed to fail for having a wrong business definition. This gives a serious point for management to think, evaluate their business strategy, applicability, survival, and plan appropriately. The writer a rgues intuitively that the success of a company is sometimes attributed to lack of competition. These companies have since gone under a shadow. Why is that? The dry cleaning companies have been replaced with other customer-friendly companies that discovered how to reduce the amount of dry cleaning essential for clothes. The use of chemical additives and synthetic fibers is about to make dry cleaning obsolete. Another company that the writer examined is in the electric utilities. They have no competition, yet, they are not growing. This is because other companies are replacing electricity lines with a small cell electricity transmitter. Grocery stores, on the other hand, have been replaced with large handcuffs of supermarkets. It is argued that the growth industry is non-existent. Arguably, there exist companies that create and capitalize on growth opportunities. The self-deceiving cycle thrives on the ever-expanding population, lack of competition, mass production, and product foc us. A company can focus on mass production of goods to meet an expanding populatio