Abstract
ABSTRACT The purpose of this study is to extend the role of computers in market planning and help the marketing manager in his/her marketing decisions. Competition level in every sector has increased much more than in the past, therefore, it has become very important for the firms to make the correct decisions in making optimum utilization of their scarce and valuable resources. For this purpose, a computerized market plan is developed. The result of this study is a software based on theoretical and practical cases as explained in the text in detail. It contains three modules for making pricing decisions and one module for export market selection. The first three modules of this software is interdependent and the results of the first module are used as input to the second module. The results obtained by using the pricing decisions created by the second module are input to the third module which is designed for monitoring market plans. The software starts by displaying a main menu which indicates the available options. In other words, each one of the four module is selected from the main menu. The user can continue using all of the modules as many times without exiting from the software. In the first module, the respective price/cost to market shares is evaluated. In other words, the market share of the product for a given price level is calculated. At the same time, if a predetermined market share for the individual product of a firm is desired, then, this module provides the corresponding price level of the product to reach the the market share goal. The second module uses the results of the first one and creates a profitability matrix for up to three products of the firm at hand. Data internal to the firm is also used in this process. iiThe performance of the firm and the difference between the results obtained and the market plan, is monitored in the third module. This module provides a final report showing deviations from the market plan and is used as a tool for evaluating the current situation of the firm. If the results obtained differs from the market plan, then, corrective action must be taken immediately to keep pace with the marketing plan. The fourth and the final module is an independent part of the total software and is used for selecting the best promising export market opportunities for the individual products of a firm. This module provides the user a sorted list of export markets going from best to worst by comparing the attributes of these markets entered by the user. The study also covers and explains the theory used in developing the software and at the same time, practical examples on how to use the software are also introduced by using the data of a textile firm to show the benefits that can be obtained. This study helps the marketing manager by giving, firstly, the price/cost versus market share graph (which is very important in pricing decisions) and, secondly, the profitability matrix of the firm corresponding to the sales of (resource usage ratios) its products. Moreover, the marketing manager can get immediate feedback about the current conditions of his/her firm and the difference between it and the market plan. This kind of information makes it possible to modify market plans, keep pace with the current conditions and give management enough time to correct any invalid marketing approach. The study does not stop by only extending the theory introduced and give the user only a theoretical base, (which most times is useless in terms of availability, usability and practicability), it introduces the software and gives the user the option to use the approach for the products of his/her firm. The interested reader can go into theory and iiiexamine what kind of approach is used in this text, but, this study is also important for the user interested only in using the results (the software) for his/her benefit. The software developed is run for Birko-Koyunlu factory, a textile firm producing carpet, cotton yarn and wool yarn. The results obtained in terms of market share versus price/cost graphs and profitability matrix for probable sales of products (resource usage ratios) in intervals of 10 % going from 0 % to 100 % is explained in detail. The profitability matrix is very important because the marketing manager can get the profitability of the firm immediately for respective resource usage ratios (sales) for the products of the firm. The transactions of an hypothetical firm is used as data for the third module designed for monitoring market plans, and the results are explained. The fourth module is designed for selecting best export markets for an individual product. This module is run for the product carpet of Birko-Koyunlu factory and the data of eleven European Community countries is used as input for possible export markets. Appendixes A, B, C and D introduce the detailed analysis, the source, the flowchart and the identification of variables for the first, second, third and the fourth modules respectively of the software developed as a result of this study. IV