Dicision level of strategy

Let us begin with corporate level strategy which has the largest domain. By definition, corporate
level strategy concerns itself with the whole corporation as a unit and consequently, aims to
answer the purpose or the mission of the organization.

Corporate level strategy makers analyze the commonalities of various business units and work to
add value to the whole system besides individual growth of participating business units. In other
words, corporate level strategy takes a view at the overall scope of an organization and how to
enhance stakeholder value. Issues concerning the introduction of new products or expansion into
new markets or segments are all a part of this strategic level. Assessing the value of a business
unit in the overall portfolio of activities is also a corporate level decision alongside optimal
resource allocation for units.

Corporate level strategy forms the trunk of the strategic decision tree and the management has to
be fully aware of its implications as well as the sensitivity of all succeeding strategies, no matter
at what level. It is of prime importance that corporate level strategy is fully aligned with the
overall vision of the organization and the values and expectations of stakeholders. Any deviation
can result in serious repercussions for the management as also the stakeholders. A detailed
analysis of corporate level strategy shall be dealt with in detail later.

Business level strategies are essentially positioning strategies whereby businesses tend to secure
for themselves an identity and position in the market. The aim here is to increase the business
value for the corporate and stakeholders by increasing the brand awareness and value perceived
by the customers. If we understand products or a services offered by a business unit as a deck of
cards, then we can safely decipher that businesses do not have many suits to play with.

In fact, they can either focus on pricing or product differentiation to increase the perceived
customer value. It is a different thing that for either of the suit there are many parameters that
need to be studied which is a painstakingly complex and time consuming process.

The third level of strategy is the operational level which primarily is concerned with successfully
implementing the strategic decisions made at Corporate and business unit level through optimal
utilization of resources and competencies of the business unit. This level of strategy is extremely
significant in shaping the success of other strategies as it translates strategic decisions into
strategic actions by directly impacting the design of operational processes and networks.

A thorough understanding of the three levels of strategy makes their strong co-dependence and
non-hierarchical nature evidently clear. All strategies have to be in complete harmonization with
each other since the success of one is inseparably linked to the other. So instead of being in a
top-down order, the inter-linking can be visualized as a triangle with the three corners
representing the three levels. The impact of one node on the other is judged by the flexibility of
their relationship which further depends upon the success of the adopted business framework.
In A Board Culture of Corporate Governance, business author Gabrielle O'Donovan defines
corporate governance as 'an internal system encompassing policies, processes and people, which
serves the needs of shareholders and other stakeholders, by directing and controlling
management activities with good business savvy, objectivity, accountability and integrity. Sound
corporate governance is reliant on external marketplace commitment and legislation, plus a
healthy board culture which safeguards policies and processes.

O'Donovan goes on to say that 'the perceived quality of a company's corporate governance can
influence its share price as well as the cost of raising capital. Quality is determined by the
financial markets, legislation and other external market forces plus how policies and processes
are implemented and how people are led. External forces are, to a large extent, outside the circle
of control of any board. The internal environment is quite a different matter, and offers
companies the opportunity to differentiate from competitors through their board culture. To date,
too much of corporate governance debate has centred on legislative policy, to deter fraudulent
activities and transparency policy which misleads executives to treat the symptoms and not the
cause.

It is a system of structuring, operating and controlling a company with a view to achieve long
term strategic goals to satisfy shareholders, creditors, employees, customers and suppliers, and
complying with the legal and regulatory requirements, apart from meeting environmental and
local community needs.

Report of SEBI committee (India) on Corporate Governance defines corporate governance as the
acceptance by management of the inalienable rights of shareholders as the true owners of the
corporation and of their own role as trustees on behalf of the shareholders. It is about
commitment to values, about ethical business conduct and about making a distinction between
personal & corporate funds in the management of a company.” The definition is drawn from the
Gandhian principle of trusteeship and the Directive Principles of the Indian Constitution.
Corporate Governance is viewed as business ethics and a moral duty..

The Strategic Planning Process

In today's highly competitive business environment, budget-oriented planning or

forecast-based planning methods are insufficient for a large corporation to survive and
prosper. The firm must engage in strategic planning that clearly defines objectives and
assesses both the internal and external situation to formulate strategy, implement the
strategy, evaluate the progress, and make adjustments as necessary to stay on track.
 Mission &
      Objectives      

  Environmental  
Scanning

Strategy
    Formulation     

Strategy
 Implementation  

      Evaluation      
& Control

The Strategic Planning Process

Mission and Objectives

The mission statement describes the company's business vision, including the
unchanging values and purpose of the firm and forward-looking visionary goals that
guide the pursuit of future opportunities.
Guided by the business vision, the firm's leaders can define measurable financial and
strategic objectives. Financial objectives involve measures such as sales targets and
earnings growth. Strategic objectives are related to the firm's business position, and
may include measures such as market share and reputation.

Environmental Scan

The environmental scan includes the following components:

 Internal analysis of the firm

 Analysis of the firm's industry (task environment)
 External macro environment

The internal analysis can identify the firm's strengths and weaknesses and the external
analysis reveals opportunities and threats. A profile of the strengths, weaknesses,
opportunities, and threats is generated by means of a SWOT analysis

An industry analysis can be performed using a framework developed by Michael Porter

known as Porter's five forces. This framework evaluates entry barriers, suppliers,
customers, substitute products, and industry rivalry.

Strategy Formulation

Given the information from the environmental scan, the firm should match its strengths
to the opportunities that it has identified, while addressing its weaknesses and external
threats.

To attain superior profitability, the firm seeks to develop a competitive advantage over
its rivals. A competitive advantage can be based on cost or differentiation. Michael
Porter identified three industry-independent generic strategies from which the firm can
choose.

Strategy Implementation

The selected strategy is implemented by means of programs, budgets, and procedures.

Implementation involves organization of the firm's resources and motivation of the staff
to achieve objectives.

The way in which the strategy is implemented can have a significant impact on whether
it will be successful. In a large company, those who implement the strategy likely will be
different people from those who formulated it. For this reason, care must be taken to
communicate the strategy and the reasoning behind it. Otherwise, the implementation
might not succeed if the strategy is misunderstood or if lower-level managers resist its
implementation because they do not understand why the particular strategy was
selected.

Evaluation & Control

The implementation of the strategy must be monitored and adjustments made as

needed.

Evaluation and control consists of the following steps:

1. Define parameters to be measured

2. Define target values for those parameters
3. Perform measurements
4. Compare measured results to the pre-defined standard
5. Make necessary changes

The McKinsey 7S Framework

Ensuring that all parts of your organization work in harmony

How do you go about analyzing how well your organization is positioned to achieve its intended
objective? This is a question that has been asked for many years, and there are many different
answers. Some approaches look at internal factors, others look at external ones, some combine
these perspectives, and others look for congruence between various aspects of the organization
being studied. Ultimately, the issue comes down to which factors to study.

While some models of organizational effectiveness go in and out of fashion, one that has
persisted is the McKinsey 7S framework. Developed in the early 1980s by Tom Peters and
Robert Waterman, two consultants working at the McKinsey & Company consulting firm, the
basic premise of the model is that there are seven internal aspects of an organization that need to
be aligned if it is to be successful.

The 7S model can be used in a wide variety of situations where an alignment perspective is
useful, for example to help you:

 Improve the performance of a company.

 Examine the likely effects of future changes within a company.
 Align departments and processes during a merger or acquisition.
 Determine how best to implement a proposed strategy.
The Seven Elements

The McKinsey 7S model involves seven interdependent factors which are categorized as either
"hard" or "soft" elements:

Hard Elements Soft Elements

Strategy Shared Values

Structure Skills

Systems Style

Staff

"Hard" elements are easier to define or identify and management can directly influence them:
These are strategy statements; organization charts and reporting lines; and formal processes and
IT systems.

"Soft" elements, on the other hand, can be more difficult to describe, and are less tangible and
more influenced by culture. However, these soft elements are as important as the hard elements
if the organization is going to be successful.

The way the model is presented in Figure 1 below depicts the interdependency of the elements
and indicates how a change in one affects all the others.

Let's look at each of the elements specifically:

  Strategy: the plan devised to maintain and build competitive advantage over the competition.
 Structure: the way the organization is structured and who reports to whom.
 Systems: the daily activities and procedures that staff members engage in to get the job done.
 Shared Values: called "superordinate goals" when the model was first developed, these are the
core values of the company that are evidenced in the corporate culture and the general work
ethic.
 Style: the style of leadership adopted.
 Staff: the employees and their general capabilities.
 Skills: the actual skills and competencies of the employees working for the company.

How to Use the Model

Now you know what the model covers, how can you use it?

The model is based on the theory that, for an organization to perform well, these seven elements
need to be aligned and mutually reinforcing. So, the model can be used to help identify what
needs to be realigned to improve performance, or to maintain alignment (and performance)
during other types of change.

Whatever the type of change - restructuring, new processes, organizational merger, new systems,
change of leadership, and so on - the model can be used to understand how the organizational
elements are interrelated, and so ensure that the wider impact of changes made in one area is
taken into consideration.

You can use the 7S model to help analyze the current situation (Point A), a proposed future
situation (Point B) and to identify gaps and inconsistencies between them. It's then a question of
adjusting and tuning the elements of the 7S model to ensure that your organization works
effectively and well once you reach the desired endpoint.

Sounds simple? Well, of course not: Changing your organization probably will not be simple at
all! Whole books and methodologies are dedicated to analyzing organizational strategy,
improving performance and managing change. The 7S model is a good framework to help you
ask the right questions - but it won't give you all the answers. For that you'll need to bring
together the right knowledge, skills and experience.

When it comes to asking the right questions, we've developed a Mind Tools checklist and a
matrix to keep track of how the seven elements align with each other. Supplement these with
your own questions, based on your organization's specific circumstances and accumulated
wisdom.

7S Checklist Questions

Here are some of the questions that you'll need to explore to help you understand your situation
in terms of the 7S framework. Use them to analyze your current (Point A) situation first, and
then repeat the exercise for your proposed situation (Point B).
Strategy:

 What is our strategy?

 How do we intend to achieve our objectives?
 How do we deal with competitive pressure?
 How are changes in customer demands dealt with?
 How is strategy adjusted for environmental issues?

Structure:

 How is the company/team divided?

 What is the hierarchy?
 How do the various departments coordinate activities?
 How do the team members organize and align themselves?
 Is decision making and controlling centralized or decentralized? Is this as it should be, given
what we're doing?
 Where are the lines of communication? Explicit and implicit?

Systems:

 What are the main systems that run the organization? Consider financial and HR systems as well
as communications and document storage.
 Where are the controls and how are they monitored and evaluated?
 What internal rules and processes does the team use to keep on track?

Shared Values:

 What are the core values?

 What is the corporate/team culture?
 How strong are the values?
 What are the fundamental values that the company/team was built on?

Style:

 How participative is the management/leadership style?

 How effective is that leadership?
 Do employees/team members tend to be competitive or cooperative?
 Are there real teams functioning within the organization or are they just nominal groups?

Staff:

 What positions or specializations are represented within the team?

 What positions need to be filled?
 Are there gaps in required competencies?

Skills:
 What are the strongest skills represented within the company/team?
 Are there any skills gaps?
 What is the company/team known for doing well?
 Do the current employees/team members have the ability to do the job?
 How are skills monitored and assessed?

What Is An Environmental Scan?

Whether you are planning a trip, or an excursion to buy groceries, or the direction of a
corporation, you need to consider the larger external environment. For example, you
want to go grocery shopping in the next town. You'd like to get this done as quickly as
possible. So, you turn on the radio to listen to the traffic report. Oops. There's been an
accident on the highway you usually take to get to the store. What do you do? You plan
to take an alternate route that will keep you out of the traffic jam. You've done a
limited form of environmental scan.

In terms of organizations and strategic planning, an environmental scan involves

considering the factors that will influence the direction and goals of your organization.
And, it includes consideration of both present and future factors that might affect the
organization, since, of course, we're planning for the future, not just the present.

For example, an environmental scan might project that in the next ten years, the
number of people (potential customers) between the ages of 18-24 will increase from
30% to 40%. That's important information if we want to decide what kinds of new
products we might consider introducing into the marketplace. Should we work on
developing products targeted at a dwindling seniors population? Or should we develop
products to take advantage of the shift to a youth dominated market. The environmental
scan forces us to look at these factors.

While some suggest the environmental scan should address only factors external to the
organization (e.g. markets, legislation and government actions, demographics,
marketing trends, etc)

An internal environmental scan involves looking at the present capabilities of the

organization (infrastructure, hardware, personnel, abilities, structure, etc) and that
information can be compared to what the organization WILL need in the future to
achieve its strategic goals.
Mission Statements & Vision Statements
Unleashing the power of purpose

Vision Statements and Mission Statements are the inspiring words chosen by successful leaders
to clearly and concisely convey the direction of the organization. By crafting a clear mission
statement and vision statement, you can powerfully communicate your intentions and motivate
your team or organization to realize an attractive and inspiring common vision of the future.

“Mission Statements” and “Vision Statements” do two distinctly different jobs.

A Mission Statement defines the organization's purpose and primary objectives. Its prime
function is internal – to define the key measure or measures of the organization’s success – and
its prime audience is the leadership team and stockholders.

Vision Statements also define the organizations purpose, but this time they do so in terms of the
organization’s values rather than bottom line measures (values are guiding beliefs about how
things should be done.) The vision statement communicates both the purpose and values of the
organization. For employees, it gives direction about how they are expected to behave and
inspires them to give their best. Shared with customers, it shapes customers’ understanding of
why they should work with the organization.

First we look at creating mission statements. Then we create vision statements.

Mission Statement Creation

1. To create your mission statement, first identify your organization’s “winning idea”.
This is the idea or approach that will make your organization stand out from its competitors, and
is the reason that customers will come to you and not your competitors (see tip below).
2. Next identify the key measures of your success. Make sure you choose the most important
measures (and not too many of them!) 
3. Combine your winning idea and success measures into a tangible and measurable goal. 
4. Refine the words until you have a concise and precise statement of your mission, which
expresses your ideas, measures and desired result.

Vision Statement Creation

Once you’ve created your mission statement, move on to create your vision
statement:

1. First identify your organization’s mission. Then uncover the real, human value in that mission

2. Next, identify what you, your customers and other stakeholders will value most about how your
organization will achieve this mission. Distil these into the values that your organization has or
should have.
 3. Combine your mission and values, and polish the words until you have a vision statement
inspiring enough to energize and motivate people inside and outside your organization.

BCG Growth-Share Matrix

Companies that are large enough to be organized into strategic business units face the
challenge of allocating resources among those units. In the early 1970's the Boston Consulting
Group developed a model for managing a portfolio of different business units (or major product
lines). The BCG growth-share matrix displays the various business units on a graph of the
market growth rate vs. market share relative to competitors:

      BCG Growth-Share Matrix

Resources are allocated to business units according to where they are situated on the grid as
follows:

 Cash Cow - a business unit that has a large market share in a mature, slow growing
industry. Cash cows require little investment and generate cash that can be used to
invest in other business units.

 Star - a business unit that has a large market share in a fast growing industry. Stars may
generate cash, but because the market is growing rapidly they require investment to
maintain their lead. If successful, a star will become a cash cow when its industry
matures.
  Question Mark (or Problem Child) - a business unit that has a small market share in a
high growth market. These business units require resources to grow market share, but
whether they will succeed and become stars is unknown.

 Dog - a business unit that has a small market share in a mature industry. A dog may not
require substantial cash, but it ties up capital that could better be deployed elsewhere.
Unless a dog has some other strategic purpose, it should be liquidated if there is little
prospect for it to gain market share.

Limitations

The growth-share matrix once was used widely, but has since faded from popularity as more
comprehensive models have been developed. Some of its weaknesses are:

 Market growth rate is only one factor in industry attractiveness, and relative market share
is only one factor in competitive advantage. The growth-share matrix overlooks many
other factors in these two important determinants of profitability.

 The framework assumes that each business unit is independent of the others. In some
cases, a business unit that is a "dog" may be helping other business units gain a
competitive advantage.

 The matrix depends heavily upon the breadth of the definition of the market. A business
unit may dominate its small niche, but have very low market share in the overall industry.
In such a case, the definition of the market can make the difference between a dog and a
cash cow

ansoff's product / market matrix

The AnsoffGrowth matrix is a tool that helps businesses decide their product and market growth
strategy.
Ansoff’s product/market growth matrix suggests that a business’ attempts to grow depend on whether
it markets new or existing products in new or existing markets.

The output from the Ansoff product/market matrix is a series of suggested growth strategies that set
the direction for the business strategy. These are described below:

Market penetration

Market penetration is the name given to a growth strategy where the business focuses on selling
existing products into existing markets.

Market penetration seeks to achieve four main objectives:

• Maintain or increase the market share of current products – this can be achieved by a
combination of competitive pricing strategies, advertising, sales promotion and perhaps more
resources dedicated to personal selling

• Secure dominance of growth markets

• Restructure a mature market by driving out competitors; this would require a much more
aggressive promotional campaign, supported by a pricing strategy designed to make the market
unattractive for competitors
• Increase usage by existing customers – for example by introducing loyalty schemes
A market penetration marketing strategy is very much about “business as usual”. The business is
focusing on markets and products it knows well. It is likely to have good information on
competitors and on customer needs. It is unlikely, therefore, that this strategy will require much
investment in new market research.

Market development

Market development is the name given to a growth strategy where the business seeks to sell its
existing products into new markets.

There are many possible ways of approaching this strategy, including:

• New geographical markets; for example exporting the product to a new country

• New product dimensions or packaging: for example

• New distribution channels

• Different pricing policies to attract different customers or create new market segments

Product development

Product development is the name given to a growth strategy where a business aims to introduce
new products into existing markets. This strategy may require the development of new
competencies and requires the business to develop modified products which can appeal to
existing markets.

Diversification

Diversification is the name given to the growth strategy where a business markets new products
in new markets.

This is an inherently more risk strategy because the business is moving into markets in which it
has little or no experience.

For a business to adopt a diversification strategy, therefore, it must have a clear idea about what
it expects to gain from the strategy and an honest assessment of the risks.

Gap Analysis

Gap analysis is a very useful tool for helping marketing managers to decide upon marketing
strategies and tactics. Again, the simple tools are the most effective. There's a straightforward
structure to follow. The first step is to decide upon how you are going to judge the gap over time.
For example, by market share, by profit, by sales and so on.
This will help you to write SMART objectives. Then you simply ask two questions - where are
we now? and where do we want to be? The difference between the two is the GAP - this is how
you are going to get there. Take a look at the diagram below. The lower line is where you'll be if
you do nothing. The upper line is where you want to be.

What is Gap Analysis?

Your next step is to close the gap. Firstly decide whether you view from a strategic or an
operational/tactical perspective. If you are writing strategy, you will go on to write tactics - see
the lesson on marketing plans. The diagram below uses Ansoff's matrix to bridge the gap using
strategies:

Strategic Gap Analysis

You can close the gap by using tactical approaches. The marketing mix is ideal for this. So
effectively, you modify the mix so that you get to where you want to be. That is to say you
change price, or promotion to move from where you are today (or in fact any or all of the
elements of the marketing mix).

Tactical Gap Analysis

 Network Layers

The layered concept of networking was developed to accommodate changes in technology.

Each layer of a specific network model may be responsible for a different function of the
network. Each layer will pass information up and down to the next subsequent layer as data
is processed.

The OSI Network Model Standard

The OSI network model layers are arranged here from the lower levels starting with the
physical (hardware) to the higher levels.

1. Physical Layer - The actual hardware.

2. Data Link Layer - Data transfer method (802x ethernet). Puts data in frames and ensures
error free transmission. Also controls the timing of the network transmission. Adds frame
type, address, and error control information. IEEE divided this layer into the two following
sublayers.
1. Logical Link control (LLC) - Maintains the Link between two computers by
establishing Service Access Points (SAPs) which are a series of interface points. IEEE
802.2.
2. Media Access Control (MAC) - Used to coordinate the sending of data between
computers. The 802.3, 4, 5, and 12 standards apply to this layer. If you hear
someone talking about the MAC address of a network card, they are referring to
the hardware address of the card.
3. Network Layer - IP network protocol. Routes messages using the best path available.
4. Transport Layer - TCP, UDP. Ensures properly sequenced and error free transmission.
5. Session Layer - The user's interface to the network. Determines when the session is begun
or opened, how long it is used, and when it is closed. Controls the transmission of data
during the session. Supports security and name lookup enabling computers to locate each
other.
6. Presentation Layer - ASCII or EBCDEC data syntax. Makes the type of data transparent to
the layers around it. Used to translate date to computer specific format such as byte
ordering. It may include compression. It prepares the data, either for the network or the
application depending on the direction it is going.
7. Application Layer - Provides services software applications need. Provides the ability for
user applications to interact with the network.

Many protocol stacks overlap the borders of the seven layer model by operating at multiple
layers of the model. File Transport Protocol (FTP) and telnet both work at the application,
presentation, and the session layers.

The Internet, TCP/IP, DOD Model

This model is sometimes called the DOD model since it was designed for the department of
defense It is also called the TCP/IP four layer protocol, or the internet protocol. It has the
following layers:

1. Link - Device driver and interface card which maps to the data link and physical layer of the
OSI model.
2. Network - Corresponds to the network layer of the OSI model and includes the IP, ICMP,
and IGMP protocols.
3. Transport - Corresponds to the transport layer and includes the TCP and UDP protocols.
4. Application - Corresponds to the OSI Session, Presentation and Application layers and
includes FTP, Telnet, ping, Rlogin, rsh, TFTP, SMTP, SNMP, DNS, your program, etc.

Please note the four layer TCP/IP protocol. Each layer has a set of data that it generates.

1. The Link layer corresponds to the hardware, including the device driver and interface card.
The link layer has data packets associated with it depending on the type of network being
used such as ARCnet, Token ring or ethernet. In our case, we will be talking about ethernet.
2. The network layer manages the movement of packets around the network and includes IP,
ICMP, and IGMP. It is responsible for making sure that packages reach their destinations,
and if they don't, reporting errors.
3. The transport layer is the mechanism used for two computers to exchange data with
regards to software. The two types of protocols that are the transport mechanisms are TCP
and UDP. There are also other types of protocols for systems other than TCP/IP but we will
talk about TCP and UDP in this document.
4. The application layer refers to networking protocols that are used to support various
services such as FTP, Telnet, BOOTP, etc. Note here to avoid confusion, that the application
layer is generally referring to protocols such as FTP, telnet, ping, and other programs
designed for specific purposes which are governed by a specific set of protocols defined
with RFC's (request for comments). However a program that you may write can define its
own data structure to send between your client and server program so long as the program
you run on both the client and server machine understand your protocol. For example
when your program opens a socket to another machine, it is using TCP protocol, but the
data you send depends on how you structure it.

Data Encapsulation, a Critical concept to be understood

When starting with protocols that work at the upper layers of the network models, each set of
data is wrapped inside the next lower layer protocol, similar to wrapping letters inside an
envelope. The application creates the data, then the transport layer wraps that data inside its
format, then the network layer wraps the data, and finally the link (ethernet) layer encapsulates
the data and transmits it.

Each network layer either encapsulates the data stream with additional information, or manages
data handling or come part of the connection.
topology
In computer networking, topology refers to the layout of connected devices. This article introduces the
standard topologies of networking.

Topology in Network Design

Think of a topology as a network's virtual shape or structure. This shape does not necessarily correspond
to the actual physical layout of the devices on the network. For example, the computers on a home LAN
may be arranged in a circle in a family room, but it would be highly unlikely to find a ring topology there.

 bus
 ring
 star
 tree
 mesh

Bus Topology
Bus networks (not to be confused with the system bus of a computer) use a common backbone to
connect all devices. A single cable, the backbone functions as a shared communication medium that
devices attach or tap into with an interface connector. A device wanting to communicate with another
device on the network sends a broadcast message onto the wire that all other devices see, but only the
intended recipient actually accepts and processes the message.

Ethernet bus topologies are relatively easy to install and don't require much cabling compared to
the alternatives. 10Base-2 ("ThinNet") and 10Base-5 ("ThickNet") both were popular Ethernet
cabling options many years ago for bus topologies. However, bus networks work best with a
limited number of devices. If more than a few dozen computers are added to a network bus,
performance problems will likely result. In addition, if the backbone cable fails, the entire
network effectively becomes unusable.

Ring Topology
In a ring network, every device has exactly two neighbors for communication purposes. All messages
travel through a ring in the same direction (either "clockwise" or "counterclockwise"). A failure in any
cable or device breaks the loop and can take down the entire network.

To implement a ring network, one typically uses FDDI, SONET, or Token Ring technology.
Ring topologies are found in some office buildings or school campuses.
Star Topology
Many home networks use the star topology. A star network features a central connection point called a
"hub" that may be a hub, switch or router. Devices typically connect to the hub with Unshielded Twisted
Pair (UTP) Ethernet.

Compared to the bus topology, a star network generally requires more cable, but a failure in any
star network cable will only take down one computer's network access and not the entire LAN.
(If the hu b fails, however, the entire network also fails.)

Tree Topology
Tree topologies integrate multiple star topologies together onto a bus. In its simplest form, only hub
devices connect directly to the tree bus, and each hub functions as the "root" of a tree of devices. This
bus/star hybrid approach supports future expandability of the network much better than a bus (limited
in the number of devices due to the broadcast traffic it generates) or a star (limited by the number of
hub connection points) alone.

Mesh Topology
Mesh topologies involve the concept of routes. Unlike each of the previous topologies, messages sent
on a mesh network can take any of several possible paths from source to destination. (Recall that even
in a ring, although two cable paths exist, messages can only travel in one direction.) Some WANs, most
notably the Internet, employ mesh routing.

A mesh network in which every device connects to every other is called a full mesh. As shown in the
illustration below, partial mesh networks also exist in which some devices connect only indirectly to
others.
Summary

Topologies remain an important part of network design theory. You can probably build a home
or small business computer network without understanding the difference between a bus design
and a star design, but becoming familiar with the standard topologies gives you a better
understanding of important networking concepts like hubs, broadcasts, and routes.

Basic point-to-point data link

A traditional point-to-point data link is a communications medium with exactly two endpoints
and no data or packet formatting. The host computers at either end had to take full responsibility
for formatting the data transmitted between them. The connection between the computer and the
communications medium was generally implemented through an RS-232 interface, or something
similar. Computers in close proximity may be connected by wires directly between their
interface cards .

When connected at a distance, each endpoint would be fitted with a modem to convert analog
telecommunications signals into a digital data stream. When the connection used a
telecommunications provider, the connections were called a dedicated, leased, or private line.
The ARPANET used leased lines to provide point-to-point data links between its packet-
switching nodes, which were called Interface Message Processors.

Modern point-to-point links

More recently (2003), the term point-to-point telecommunications relates to wireless data
communications for Internet or Voice over IP via radio frequencies in the multi-gigahertz range.
It also includes technologies such as laser for telecommunications but in all cases expects that
the transmission medium is line of sight and capable of being fairly tightly beamed from
transmitter to receiver. Today (2009) there are online tools to help users find if they have such
line of sight, one example is the PTP estimator from AlphiMAX.

The telecommunications signal is typically bi-directional, either time division multiple access
(TDMA) or channelized.
In hubs and switches, a hub provides a point-to-multipoint (or simply multipoint) circuit which
divides the total bandwidth supplied by the hub among each connected client node. A switch on
the other hand provides a series of point-to-point circuits, via microsegmentation, which allows
each client node to have a dedicated circuit and the added advantage of having full-duplex
connections.

Brand

A brand is the identity of a specific product, service, or business[1][page  needed]. A brand can take
many forms, including a name, sign, symbol, color combination or slogan. The word brand
began simply as a way to tell one person's cattle from another by means of a hot iron stamp. A
legally protected brand name is called a trademark. The word brand has continued to evolve to
encompass identity - it affects the personality of a product, company or service.

A concept brand is a brand that is associated with an abstract concept, like breast cancer
awareness, rather than a specific product, service, or business. A commodity brand is a brand
associated with a commodity.

Got milk? is an example of a commodity brand

The importance of brand and image

The brand and image of a business are vital to its success. Strong brands can generate customer
trust, which is particularly important in e-commerce where there are often concerns over privacy
and security.

There are several branding options. You could use an existing brand name, create a new internet
brand name or co-brand with another business. Closely linked to these decisions is the choice of
domain name for your website.

Using existing brand names

Using an existing brand name can make sense if the brand is well known and has a strong
reputation. However, you risk jeopardising your brand's good name if your new venture is not
successful.
Definitions of brand on the Web:

 trade name: a name given to a product or service

 a recognizable kind; "there's a new brand of hero in the movies now"; "what make of car
is that?"
 burn with a branding iron to indicate ownership; of animals
 identification mark on skin, made by burning
 stigmatize: to accuse or condemn or openly or formally or brand as disgraceful; "He
denounced the government action"; "She was stigmatized by society because she had a
child out of wedlock"
 a piece of wood that has been burned or is burning
 mark with a brand or trademark; "when this product is not branded it sells for a lower
price"
 mark: a symbol of disgrace or infamy; "And the Lord set a mark upon Cain"--Genesis
 post: mark or expose as infamous; "She was branded a loose woman"
 sword: a cutting or thrusting weapon that has a long metal blade and a hilt with a hand
guard

Creating a new brand

If you want to create a new e-commerce brand then a good name is extremely important. Some
factors to consider when selecting a new brand name are that it should:

 suggest something about the product

 be short and memorable
 be easy to spell
 translate well into other languages
 have an available domain name

Co-branding

Co-branding occurs when two businesses put their brand name on the same product. This
practice is quite common on the internet and has proved to be a good way to build brand
recognition.
Five brand success factors

An efficient and scalable business model combined with innovation is necessary to stay ahead of
the competition. But individually these are not sufficient to make a successful global brand. Five
further overlapping components are required:

1. A great brand experience

Brand experience is not limited to the product or service. Every contact with the brand counts.

2. A clear and consistent positioning

People need to know what a brand stands for. That's why an established and successful
marketing campaign should not be abandoned simply for the sake of saying something new.
When change is required, the challenge is to re-interpret the brand positioning in a way that is
appropriate to the current time and culture.

3. A sense of dynamism

Innovation is key to brand success but it is not limited to the functional benefits of the brand. A
brand that sets the trends rather than reacting to them is likely to be seen as different and more
popular.

4. A sense of authenticity

Today consumers in developed countries have a finely tuned sense for what is true and authentic
versus shallow and contrived. They are still drawn to brands with a strong heritage.

5. A strong corporate culture

Today people seek out brands that display their values by the actions they take. In industries with
a strong customer-service component it is particularly important that everyone involved with the
brand understands and embodies its values.

Which brand epitomizes these success factors? Apple. In the 2008 Millward Brown BrandZ™
Top 100 Most Powerful Brands ranking, Apple's brand value increased 128 percent as a result of
strong business growth based on innovation and strong customer loyalty.

Brand Equity
A brand is a name or symbol used to identify the source of a product. When developing a new
product, branding is an important decision. The brand can add significant value when it is well
recognized and has positive associations in the mind of the consumer. This concept is referred to
as brand equity.

What is Brand Equity?

Brand equity is an intangible asset that depends on associations made by the consumer. There are
at least three perspectives from which to view brand equity:

 Financial - One way to measure brand equity is to determine the price premium that a
brand commands over a generic product. For example, if consumers are willing to pay
$100 more for a branded television over the same unbranded television, this premium
provides important information about the value of the brand. However, expenses such as
promotional costs must be taken into account when using this method to measure brand
equity.

 Brand extensions - A successful brand can be used as a platform to launch related

products. The benefits of brand extensions are the leveraging of existing brand awareness
thus reducing advertising expenditures, and a lower risk from the perspective of the
consumer. Furthermore, appropriate brand extensions can enhance the core brand.
However, the value of brand extensions is more difficult to quantify than are direct
financial measures of brand equity.

 Consumer-based - A strong brand increases the consumer's attitude strength toward the
product associated with the brand. Attitude strength is built by experience with a product.
This importance of actual experience by the customer implies that trial samples are more
effective than advertising in the early stages of building a strong brand. The consumer's
awareness and associations lead to perceived quality, inferred attributes, and eventually,
brand loyalty.

Strong brand equity provides the following benefits:

 Facilitates a more predictable income stream.

 Increases cash flow by increasing market share, reducing promotional costs, and allowing
premium pricing.
 Brand equity is an asset that can be sold or leased.

However, brand equity is not always positive in value. Some brands acquire a bad reputation that
results in negative brand equity. Negative brand equity can be measured by surveys in which
consumers indicate that a discount is needed to purchase the brand over a generic product.

Building and Managing Brand Equity

In his 1989 paper, Managing Brand Equity, Peter H. Farquhar outlined the following three stages
that are required in order to build a strong brand:
 1. Introduction - introduce a quality product with the strategy of using the brand as a
platform from which to launch future products. A positive evaluation by the consumer is
important.

2. Elaboration - make the brand easy to remember and develop repeat usage. There should
be accessible brand attitude, that is, the consumer should easily remember his or her
positive evaluation of the brand.

3. Fortification - the brand should carry a consistent image over time to reinforce its place
in the consumer's mind and develop a special relationship with the consumer. Brand
extensions can further fortify the brand, but only with related products having a perceived
fit in the mind of the consumer.

Alternative Means to Brand Equity

Building brand equity requires a significant effort, and some companies use alternative means of
achieving the benefits of a strong brand. For example, brand equity can be borrowed by
extending the brand name to a line of products in the same product category or even to other
categories. In some cases, especially when there is a perceptual connection between the products,
such extensions are successful. In other cases, the extensions are unsuccessful and can dilute the
original brand equity.

Brand equity also can be "bought" by licensing the use of a strong brand for a new product. As in
line extensions by the same company, the success of brand licensing is not guaranteed and must
be analyzed carefully for appropriateness.

Managing Multiple Brands

Different companies have opted for different brand strategies for multiple products. These
strategies are:

 Single brand identity - a separate brand for each product. For example, in laundry
detergents Procter & Gamble offers uniquely positioned brands such as Tide, Cheer,
Bold, etc.

 Umbrella - all products under the same brand. For example, Sony offers many different
product categories under its brand.

 Multi-brand categories - Different brands for different product categories. Campbell

Soup Company uses Campbell's for soups, Pepperidge Farm for baked goods, and V8 for
juices.

 Family of names - Different brands having a common name stem. Nestle uses Nescafe,
Nesquik, and Nestea for beverages.

Brand equity is an important factor in multi-product branding strategies.

Protecting Brand Equity

The marketing mix should focus on building and protecting brand equity. For example, if the
brand is positioned as a premium product, the product quality should be consistent with what
consumers expect of the brand, low sale prices should not be used compete, the distribution
channels should be consistent with what is expected of a premium brand, and the promotional
campaign should build consistent associations.

Finally, potentially dilutive extensions that are inconsistent with the consumer's perception of the
brand should be avoided. Extensions also should be avoided if the core brand is not yet
sufficiently strong.

Brand personality

Just like people, all brands have a personality. Whether it is shallow and instrumental or deep,
emotionally charged and carefully managed.
This personality is crucial. Why? To put it boldly: personality is a key issue in our society. Look
at politics: the popularity of politicians and government leaders is personality based. It is not
about their identity, it is not about their views, which are elements of the overall concept that
matter most: their personality. Was Tony Blair so successful because of his identity, his views, or
his overall personality?

In my view, the situation for brands is no different. It is all about personality. Personality is the
concept to give life to a brand, to manage ‘identity and image’, to create likeability.

Identity <-> Personality

So what is the main difference between identity and personality? Lets set the record straight: of
course they are not complete opposites, like Mars and Venus. It has to do with a fundamentally
different approach. Identity as a term refers to background and facts in most languages. Your
identity is about characteristics you share with others, like the country and culture you come
from, your race, your religion, and facts, like the place where you live.

In communication it mostly refers to your true inner self - as a company or a brand. To quote
Kapferer: “Having an identity means being who you are, following your own, determined, but
individual path”. Be who you are. This is the paradigm of identity.

The concept of brand personality combines inside-out and outside-in; identity and image. A
personality has it’s roots in the identity but is strongly externally focused. It is not ‘be who
your are’. Personality is: Become who you should be.

In the words of Carl Jung: “Personality is the supreme realisation of the innate idiosyncrasy of a
living being. It is an act of courage flung in the face of life, the absolute affirmation of all that
constitutes the individual, the most successful adaptation to the universal conditions of existence,
coupled with the greatest possible freedom of self-determination.”
[C.G. Jung, 1875-1961]

In psychology, three elements are defined as a part of personality:

-private personality (thoughts, feelings, fantasies, ambitions, talents)
-public personality (how you want others to see you)
-attributed personality (how others see you)

The private personality overlaps identity; the public and attributed personalities indicate the
external aim and nature of personality.

Identity -> Personality

In historic perspective, the shift from identity to personality was organic and logical. Identity-
based thinking was a logical reaction to marketing-based thinking. Forgive me for dropping
names, but in many dynamic processes, I use the theory of dialectic development of the German
philosopher Georg Hegels to explain the developments that took place: thesis -> antithesis ->
synthesis. It also applies in this matter: the thesis is marketing (outside-in), the antithesis is
identity (inside-out), the synthesis is personality.

This is an ongoing process that, fortunately, never stops. I am curious to see what will come
next.

The use of brand personality

OK, now we have established the logic behind the concept of brand personality: what should we
do with it? We use brand personality to bring brand strategy to life. Don’t forget, consumers
demand a brand of flesh and blood. The consumer will treat your brand like you treat the
consumer. If your brand has no personality and no warmth, the consumer will treat it likewise:
zero loyalty, high price sensitivity.

The fact of the matter is that brand-strategy models are extremely important to modern business.
But they are an intellectual piece of work, not necessarily a practical one. They are vital in telling
what a brand should be all about and why; but less useful in helping professionals finding out
how they should manage to achieve, follow and contribute to this strategy in the day-to-day
business environment.

The brand personality should be clearly defined; like you would describe the personality of a real
person. Obviously this does not apply to every brand. You can choose other verbal concepts to
express the brand personality. It is most important to define a brand personality without using
any professional lingo.

Use peoples language, simple words, create a lively picture of a personality that is absolutely
clear to anyone. It will be a big contribution to what I call the internal governance of your brand.
It brings you beyond the strategic words that are too abstract to manage a brand in daily business
and beyond the strict guidelines that are too inflexible.
The power of paradox

One essential thing I would like to add to this outline about personality is the power of paradox.
The point is that organisations are not one-dimensional, markets are not one-dimensional, people
and personalities are not one-dimensional. So.....: why should a brand strategy be worded in one-
dimensional keywords? Why is it that three or four keywords should stand for the eternal truth
about the brand? Life isn’t as simple as that. And you limit yourself from a commercial
perspective. Unless, maybe, you are talking about a very simple fast-moving consumer product.
Any brand with more richness and complexity (and therefore: power) in its personality can
achieve more by crossing the line of one-dimensional key words.

Right now I am involved in the strategic development of a European brand. One of the keywords
of the brand strategy is ‘innovative’. This word is meaningful and meaningless at the same time.
After reading and talking about the project we defined the paradox ‘innovative - mainstream’ to
replace the singleminded ‘innovative’. And then you feel energy: a brand that should be
innovative and mainstream. That is much more like real life, much more exiting, much more
strength and power. And: much easier to conduct creative reviews in developing the brand and to
organise internal governance once the brand is on the market. I can tell you from experience.

If you determine and define precisely the two or three fields of paradox that are crucial to your
brand; you will have a unique and strong compass to build and conduct it.

Note to all readers:

Apart from your opinion, I am interested in interesting examples of what I am writing about
articles or remote literature that I should know of (please be specific, up to the page)

Brand image
 is the current view of the customers about a brand. It can be defined as a unique bundle of
associations within the minds of target customers. It signifies what the brand presently stands for.
It is a set of beliefs held about a specific brand. In short, it is nothing but the consumers’
perception about the product. It is the manner in which a specific brand is positioned in the
market. Brand image conveys emotional value and not just a mental image. Brand image is
nothing but an organization’s character. It is an accumulation of contact and observation by
people external to an organization. It should highlight an organization’s mission and vision to all.
The main elements of positive brand image are- unique logo reflecting organization’s image,
slogan describing organization’s business in brief and brand identifier supporting the key values.

Brand image is the overall impression in consumers’ mind that is formed from all sources.
Consumers develop various associations with the brand. Based on these associations, they form
brand image. An image is formed about the brand on the basis of subjective perceptions of
associations bundle that the consumers have about the brand. Volvo is associated with safety.
Toyota is associated with reliability.

The idea behind brand image is that the consumer is not purchasing just the product/service but
also the image associated with that product/service. Brand images should be positive, unique and
instant. Brand images can be strengthened using brand communications like advertising,
packaging, word of mouth publicity, other promotional tools, etc.

Brand image develops and conveys the product’s character in a unique manner different from its
competitor’s image. The brand image consists of various associations in consumers’ mind -
attributes, benefits and attributes. Brand attributes are the functional and mental connections with
the brand that the customers have. They can be specific or conceptual. Benefits are the rationale
for the purchase decision. There are three types of benefits: Functional benefits - what do you do
better (than others ),emotional benefits - how do you make me feel better (than others), and
rational benefits/support - why do I believe you(more than others). Brand attributes are
consumers overall assessment of a brand.

Brand image has not to be created, but is automatically formed. The brand image includes
products' appeal, ease of use, functionality, fame, and overall value. Brand image is actually
brand content. When the consumers purchase the product, they are also purchasing it’s image.
Brand image is the objective and mental feedback of the consumers when they purchase a
product. Positive brand image is exceeding the customers expectations. Positive brand image
enhances the goodwill and brand value of an organization.

Celebrity branding

Celebrity branding is a type of branding, or advertising, in which a celebrity uses his or her
status in society to promote a product, service or charity. Celebrity branding can take several
different forms, from a celebrity simply appearing in advertisements for a product, service or
charity, to a celebrity attending PR events, creating his or her own line of products or services,
and/or using his or her name as a brand. The most popular forms of celebrity brand lines are for
clothing and fragrances. Many singers, models and film stars now have at least one licensed
product or service which bears their name.

Lately there has been a trend towards celebrity voice-overs in advertising. Some celebrities have
distinct voices which are recognizable even when they not present on-screen. This is a more
subtle way to add celebrity branding to a product or service. And example of such an advertising
campaign is Sean Connery voice-over for Level 3 Communications.

More recently, advertisers have begun attempting to quantify and qualify the use of celebrities in
their marketing campaigns by evaluating their awareness, appeal, and relevance to a brand's
image and the celebrity's influence on consumer buying behavior.

For example, Omnicom agency Davie Brown Entertainment has created an independent index
for brand marketers and advertising agencies that determines a celebrity’s ability to influence
brand affinity and consumer purchase intent. According to the Wall Street Journal, the Davie-
Brown Index (DBI) will "enable advertisers and ad-agency personnel to determine if a particular
public figure will motivate consumers who see them in an ad to purchase the product
advertised."

Celebrity branding is a global phenomenon and it assumes paramount importance in developing

countries like India where celebrities are given the status of demi Gods by the masses. There is a
certain correlation between successful celebrity branding and brand endorsements. There's a
book by Kisholoy Roy (an Indian who has been deeply investigating the world of brands and
branding for quite some years now) that has been successful in highlighting the above
phenomenon. The book's titled Celebrity Branding and Brand Endorsements - An Insight.

With the increased visibility of social networking celebrities are being created in new mediums
daily. Cyberlebrities often use the internet as a resource to follow celebrity branding trends. Once
great resource is TheBrandCoach.com. The site has proven to offer insight into the successes and
pitfalls of celebrity brands.

Good layout helps to make your writing attractive to read. A good document is easy to look at
and easy to read.  Keep the format and appearance simple and clear.  Here are some tips to give
your text a good appearance.

LAYOUT

 Use clear, short and specific headings and subheadings to guide your reader through the text.
 Use bold text instead of underlined text in headings.
 Use Mixed Case instead of ALL CAPITALS in headings.
 Do not justify text to the right if it leaves ugly spaces between words.s
 Use single-spaced text for letters, memos and reports.
 Avoid dividing words at the end of lines if possible.  Too many end-of-line divisions cause the
reader difficulty or even confusion.  For example:
  Never leave fewer than three letters at the end of a line or the beginning of the next line if you
are dividing words.
 Do not use several different typefaces or type sizes on one page.
 Use block paragraphs (without indents) and a line between paragraphs for general business
writing.
 Try to avoid breaking paragraphs between pages of typed text, especially if you leave one line of
a paragraph on the previous or next page.
 Make sure you leave the reader plenty of white space.  Have adequate margins, headings and
footers.  Don't crowd your page.
 Don't overuse long paragraphs.  Use short paragraphs.  A good guide in business writing is to
keep the average below six lines.
 Use dot points to break up lists – but don't overuse this technique. Readers need sentences and
paragraphs to read through your text and to follow your message

Steps to Media Planning

Every media plan begins with target audience. The target audience can be classified in terms of age, sex,
income, education, occupation and other variables. The audience can also be classified as children
teenagers, yound adults, office goers, newly married couples,parents, grandparents,etc.  i.e DECIDING
ON TARGET MARKETS

The classification of the target audience helps the media planner to understand the media consumption
habits, and accordingly choose the most appropriate media or media-mix The media planner can also
select the most appropriate programme (in case of radio and TV) to insert advertisement.

Matching media and market

Advertisers must always attempt to match the profile of the target market with the demographic
characteristics of a given medium’s audience.Let us consider an example of cigarette advertising. The
target market for this is men in the age group of 25 to 60 years. The advertiser would consider placing
ads in magazines having a predominantly male readership. Advertising in magazines having a
predominantly female readership would be mostly wasteful for this product. It may be true that rarely
does any magazine have a 100 percent male readership. Even so, when selecting a predominantly men’s
magazine, the advertiser would minimize wasteful expenditure, Some media, such as general interest
consumer magazines and newspapers, network radio and television offer to an advertiser the means of
transmitting ad messages to a cross-section of the consumer market. Against this, some other media,
such as spot radio and television, special interest magazines, business publications, and some business
newspapers offer the means of reaching selective group of audience. The selectivity offered by some
media is useful for advertisers, for it enables them to reach a distinct target market with minimum
waste. In fact, a great deal of information on the media about their demographic characteristics is
provided by the media themselves.The objective of any media planner is to achieve the best possible
matching of the media and the market.

DECIDING ON MEDIA OBJECTIVES:

The media planner has to decide on the media objectives. Media objectives often are stated in terms of
reach, frequency, gross rating points and continuity.

Media objectives

You can contribute most to the media process in the definition of objectives (what you want the plan to
accomplish). Before media planning can start, companies have to define the marketing objectives of the
product/ idea proposed to be advertised.

For example, if a professional camera manufacturer decides to launch an automatic camera to expand
his market, his marketing objective would be to reach those segments of the population who are photo
enthusiasts but do not want to be hassled by the intricacies of operation of professional cameras, the
fun loving people who want to capture moments of joy and togetherness. The manufacturer may also
target the existing professional camera users to consider a replacement in order to have the pleasure of
an automatic camera, which obviously will be faster, having mastered the manual one. The marketing
objective, hence, would be to extend distribution into new geographic markets or income groups as also
the current users of cameras

The following could be the media objectives

 To reach photo enthusiasts of that age and income group who are the chief purchasers.
 To concentrate the greatest weight in urban areas where the target audience would normally be
found and where new ideas gain a quicker response.
 To provide advertising support at a consistent level except when it needs extra weight during
announcements and the holiday season, when such target buyers are planning to visit exotic
places or to meet their kith and kin.
 To select those media, which will help strengthen the creative strategy and help demonstrate
convenience, ease of shooting and, of course, excellent results. The “Hot Shot” camera with
the’Khatak’ sound became an instant success with the photo enthusiasts in the late eighties in
India.
 To reach target buyers through those media to gain greater frequency and lesser cost per
opportunity

Media objectives are built around answers to five questions: who, when, where, how often, and in what
way?

MEDIA EVALUATION 

After the objectives are defined there is a need to evaluate each media in order to reach a conclusion
about the type of media that will be most effective for the accomplishment of the objectives.
The objects of the evaluation are:

 To see which media are feasible.

 To pick the main medium.
 To prepare for the decision on how it should be used.
 To see whether there are suitable supporting media if required.

Creative suitability:

There may be obvious reasons why a particular medium is especially suitable for the campaign or
another is unsuitable, a coupon is to be included or the absence of colour is critical. Often the
preference of the creative group is not backed up by concrete evidence but they have strong views
nevertheless about the media to use and those not to use.

The agency is not in the business of reaching consumers with exposures of advertisements (which tend
to be the media department’s natural criterion), but in the business of selling the product. So if the
creative choice looks at all reasonable in media terms, it is usually sensible for the planning to accept it.

Sometimes the creative choice is unreasonable and may have been reached without full consideration of
the alternatives.

An idea:

Sometimes a media idea, or better an idea which involves media and creative content, is ‘obviously’
right or simply a novelty, which is expected to attract attention and so work. A press advertisement in
the shape of the product, using publications that have never before carried this type of advertising, a
radio commercial announcing ‘officially’ there is now no shortage of the product, a TV commercial that
starts with silence and black screen, a poster that looks like a shop window and so on. Sometimes a
change is as good as an increased budget.

Proven effectiveness:

When there is evidence that a particular medium is the most efficient, the choice is obvious. The
evidence may come from the tests on our own product or from a study of competitor’s activities.

The advertiser often insists on using the same medium as before, even without testing its effectiveness.
The best predictor of an advertising schedule is the schedule for the previous year. This is not always
laziness. It is partly because the media scene is not very different from year to year: media change is
dictated by a major shift in the market place, a new medium, a new definition of the target, or a new
advertising idea. Advertisers resist change because it involves more risk than to continue with a proven,
viable strategy.
Availability and timing:

The type of product or copy claim may prevent the use of a medium- this is most likely to rule out TV, on
which, for example cigarettes are not advertised. The flexibility required by the advertiser, for example
being able to cancel or change advertising at a few days’ notice, may also rule out a medium-for
example it may make colour press impossible.

Competition:

“We can’t come off the box, that’s where our competitors are.”

‘Look, there’s no advertising for this product in women’s magazines: let’s dominate there.’

Of the two policies- match the competition or avoid it- the first is more common in media choice. This
may be because the main purpose of the advertising is defensive- to reassure existing buyers and
reassure existing buyers and diffuse competitors’ attacks. It may also be a fear of leaving him to
dominate a medium. Or the medium normally chosen is simply the most suitable for that product group.
Or the consumer and the trade have come to expect the advertising to be in that medium and look for it
there, so it works best there.; on the same principle, shops often do better together in the High Street
than scattered over the town.

These arguments apply to large advertisers: McDougalls will not leave spillers to be the only large flour
manufacturer on TV, nor Cadburys leave TV to Mars. But for the small budgets it could be inefficient to
hit competition at knee-level. A small advertiser might do better to dominate a less used medium.

CHOOSING AMONG MAJOR MEDIA TYPES:

The media planner has to know the capacity of the major media types to deliver reach, frequency, and
impact. The major advertising media along with their costs, advantages, and limitations are to be well
understood. Every media plan requires that specific media types be selected – Doordarshan, Direct mail,
satellite TV, newspapers, magazines, etc. Media planners must consider several variables before
choosing among major types:

Target –audience media habits:

This is the most important factor. Housewives watch more of television, whereas, working women go for
magazines. Again television programmes have different viewers. For instance, “world this week” is
viewed by teenagers and young adults. Therefore, it would be advisable to advertise during “World this
week” such products which are of interest to teenagers and young adults. Radio and television are the
most effective media for reaching teenagers.

Products:
Products that require demonstration can suit for television. For example, the demonstration of the use
of a vacuum cleaner by Eureka Forbes. Financial advertising such as new issue of shares is good in
newspapers. Women's dresses are best shown in color magazines, and Polaroid cameras a best
demonstrated on television. Media types have different potentials for demonstration, visualization,
explanation, believability, and color.

Again there are media restrictions on certain products. For instance, alcoholic drinks and cigarettes
cannot be advertised in press as well as on DD and AIR, hence these two options are totally ruled out.

Message:

The type of message dictates the type of media. For example, an ad that features technical information
is best suited for specific magazines. Again, an ad from retailer announcing major sale on discount
requires more of local newspapers.

Cost Factor:

Television is very expensive, where as, radio is very economical. However, cost is not the only factor,
even if it is calculated on the basis of cost per- person reached. The impact of the media is to be taken
into account.

SELECTING SPECIFIC MEDIA VEHICLES

Once a decision is made on media types, specific media vehicles within each medium must be chosen.
For instance, the media planner may take a decision to select only magazines. The question now appears
in which magazines. There are several classes of magazines- General interest like Reader’s digest,
Women Interest magazines like Femina, Savvy, Elle, Business interest magazines like Business India,
Business Today. If the decision is to select Business Interest Magazines- then the media planner may
consider the following:

 Business India
 Business World
 Fortune India
 Dalal Street Journal
 Business Today
 Advertising & Marketing

Building Brand Personality

In a situation where customers have a choice, their satisfaction with your brand goes only
so far, and you may find that their loyalty to you is fickle. Brand equity by itself is an
intangible asset. Its development depends on associations made by other companies,
consumers as well as the media.

Brand Personality is one of the core dimensions of brand equity. Brand personality refers
to the emotional side of a brand image. It is created by all experiences of consumers with a
brand, but advertising plays a dominant role in personality creation. Brand personality
and brand attributes, when combined, represent the image that a brand has in consumer’s
minds. A company's brand personality can be thought of as the objective descriptors,
attributes, or characteristics consumers apply to a company, e.g., reliable, good quality,
well established, honest, and competent, etc.

For developing a strong brand personality, companies need to know two known points of
reference before they can develop their creative solution. The first point of reference is a
crystal clear picture of their business goals and objectives. The second step is the clear
understanding of customer’s opinions, wants, and needs. Companies must learn and clearly
understand the consumer's feelings, habits, motivations, insecurities, prejudices, and
desires. They must understand how their brand fits into their life and how they might
respond to different branding messages.

According to the Aaker’s framework for building brand personality, brand personality
revolves around customers’ ideologies reading their self expression about a brand, their
relationship with brands and the functional benefits derived from their preferred brands.
These ideologies lead to stronger customer association with brands leading to brand
loyalty.

Even in our usual research, we look for ways to dig deep beneath the typical surface
answers. This can be done by asking the customers to discuss their association/involvement
with a brand. Such exercises make it easier for customers to respond and companies to
analyze where their brand's personality stands now and where the desired brand
personality should be.

How to build Brand Personality:

Building strong brand personality requires special focus on advertising and packaging.

Advertising:

 The contents shown in the ads communicate a very strong message that leaves a very
strong and lasting impression in customers’ minds

Packaging:
Second major component of brand personality is the packaging factor. It communicates
much about brand personality e.g. color association - Golden/Silver colors are used to
represent premium products.

The crux is that the creation of a brand personality is becoming more and more important
for companies as they try and reach out to customers. As competition becomes harder for
nearly all companies, it is becoming more and more important to have that little extra;
something that makes you different from your competitors. All elements of the promotional
mix need to be used to develop and sustain customer perceptions. Initially, the challenge is
to build awareness, then to develop the brand personality and reinforce the perception.

Building strong brand personality results in strong brand equity which leads to brand
loyalty. Of course, all the research shows that to build customer loyalty utilities must
continue working to close performance gaps that exist between what customers want from
their utility and what they perceive they get. But if utilities want to move up from earning
customer satisfaction to building customer loyalty, they must devote far greater efforts on
closing communications gaps that exist between their performance and customer
perceptions of the value-added, branded utility itself.

 Outline:

I. The Importance of Branding

II. When Should You Brand?
III. Types of Brands
IV. What Goes Into a Brand?
V. What's in a Name?
VI. Brand Positioning
VII. Building Brand Personality
VIII. Strengthening Your Core Brand
IX. Creating an Online Identity
X. Resources

Copywriting

Copywriting is the use of words to promote a person, business, opinion or idea. Although the
word copy may be applied to any content intended for printing (as in the body of a newspaper
article or book), the term copywriter is generally limited to promotional situations, regardless of
the medium (as advertisements for print, television, radio or other media). The word copywriting
is regularly used as a noun or gerund, and copywrite is sometimes used as a verb by
professionals. The author of newspaper or magazine copy, for example, is generally called a
reporter or writer or a copywriter.
Thus, the purpose of marketing copy, or promotional text, is to persuade the reader, listener or
viewer to act — for example, to buy a product or subscribe to a certain viewpoint. Alternatively,
copy might also be intended to dissuade a reader.

Copywriting can appear in direct mail pieces, taglines, jingle lyrics, web page content (although
if the purpose is not ultimately promotional, its author might prefer to be called a content writer),
online ads, e-mail and other Internet content, television or radio commercial scripts, press
releases, white papers, catalogs, billboards, brochures, postcards, sales letters, and other
marketing communications media. It can also appear in social media content including blog
posts, tweets, and social networking site posts.

Content writing on websites is also referred to as copywriting, and may include among its
objectives the achievement of higher rankings in search engines. Known as "organic" search
engine optimization (SEO), this practice involves the strategic placement and repetition of
keywords and keyword phrases on web pages, writing in a manner that human readers would
consider normal.

MEDIA BUDGET

And so as a social media agency from here we are either a) given a baseline amount and then
asked what we can do with it or b) asked our recommendations and then to propose a budget
amount from there. Regardless of either, the following are typical questions that we ask to
narrow this down a bit (some elaborated from Jim’s previous post).

1) What are your overall objectives and campaign timeframe? If the whole objective is to
achieve a drastic spike in sales or promote a limited time offer, we believe more of your budget
should be allocated to advertising. Social media is a slower burn, and you will just be
disappointed.

2) How much is your overall marketing budget? To put things into perspective. the average
cost of TV production for a 30 second spot is around $303,000 just to make it: not to mention
media costs to run it. With this in mind, you may want to produce one less spot for a campaign,
and re-allocate these funds towards a very decent social media campaign with a longer life-span.

3) What tactics are you using already and how are they working? How your current efforts
are working should determine how much you can reallocate to social media. Is your direct mail
initiative working? What is your ROI on your current advertising model? What is the result of
your interactive budget? Take a hard look at what results you are getting with traditional
methods.

4) What are your internal resources? To put it simply- your internal resources will determine
your social media budget amount. If you have appropriate staff that can devote time to social
media, you may find that you only need the set-up and development of a social media strategy or
tools to get the campaign going. If you don’t, a social media budget will likely be higher to
include the actual execution.