ISBN: 9781292106083
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Marketing Management, 3e (e-Book VS 12m)

By Philip Kotler


The classic Marketing Management is an undisputed global best-seller – anencyclopaediaof marketing considered by many as the authoritative book on the subject. This third European edition keeps the accessibility, theoretical rigour and managerial relevance – the heart of the book - and adds:

  • A structure designed specifically to fit the way the course is taught in Europe.
  • Fresh European examples which make students feel at home.
  • The inclusion of the work of prominent European academics. 
  • A focus on the digital challenges for marketers.
  • An emphasis on the importance of creative thinking and its contribution to marketing practice.
  • New in-depth case studies, each of which integrates one of the major parts in the book. 

This textbook covers admirably the wide range of concepts and issues and accurately reflects the fast-moving pace of marketing in the modern world, examining traditional aspects of marketing and blending them with modern and future concepts.

A key text for both undergraduate and postgraduate marketing programmes.


Part 1 Understanding marketing management


Chapter 1 Introduction to marketing


The value of marketing

Making marketing central

The scope of marketing

What is marketing?

Marketing during challenging economic times

Marketing’s role in creating demand

The new European marketing realities



Social responsibility

A dramatically changed marketplace

Changing channels

Exploring the range of business philosophies

The production philosophy

The product philosophy

The selling philosophy

The marketing philosophy

The holistic marketing philosophy

Overview of marketing management


Chapter 2 Understanding marketing management within a global context


What is management?

The process of management

Why is management difficult?

What is marketing management?

The core marketing management skills

Managing across the organisation

Managing networks, relationships and interactions

Managing innovation and change

Understanding global marketing management

Deciding whether to go abroad

Deciding how to enter the market

Deciding which markets to enter

Deciding on standardised or adapted marketing

Managing in developing markets


Chapter 3 Developing marketing strategies and plans


Marketing and customer-perceived value

Business environment paradigm change

The value delivery process

The value chain

Core competencies

A holistic marketing orientation and customer-perceived value

The central role of corporate strategic planning

Corporate and divisional strategic planning

Defining the corporate mission

Relationship between missions and visions

Organisation and organisational culture

Defining the business

Assigning resources to each strategic business unit

Building the corporate business portfolio – assessing growth opportunities

Guidelines for concentric diversification

Guidelines for horizontal diversification

Guidelines for conglomerate diversification

Business unit strategic planning

The business mission

SWOT analysis

Critique of conventional SWOT analysis

Goal formulation

Strategic formulation

Programme formulation and implementation

Feedback and control

The nature and content of a marketing plan

Contents of the marketing plan

Sample marketing plan: €uromart



Chapter 4 Managing digital technology in marketing


Digital technologies in marketing

Understanding digital marketing

The range of technologies in marketing

Informational and interaction perspectives

Managing digital technologies

Selection of digital technologies

Supporting the adoption of digital technologies

Exploitation of digital technologies

Uniting marketing and IT staff

Understanding the digital customer: web, social and mobile

The web

Understanding social networking

Mobile and smartphones

Part 1 Case study: Virgin Atlantic


Part 2 Capturing marketing insights


Chapter 5 The changing marketing environment and information management


The company environment

The marketing environment

Analysing the macroenvironment

The sociocultural and demographic environment

The economic environment

The social–cultural environment

The ecological and physical environment

The technological environment

The political–legal environment

Managing the marketing information system

Components of a modern marketing information system

Internal records

The marketing intelligence system

Databases, data warehousing and data mining


Chapter 6 Managing market research and forecasting


The marketing research system

The marketing research process

Step 1: define the problem, the decision alternatives and the research objectives

Step 2: develop the research plan

Step 3: collect the information

Step 4: analyse the information

Step 5: present the findings

Step 6: make the decision

Overcoming barriers to the use of marketing research

Measuring marketing productivity

Marketing-mix modelling

Forecasting and demand measurement

The measures of market demand

A vocabulary for demand measurement

Estimating current demand

Estimating future demand


Chapter 7 Analysing consumer markets


The study of consumer behaviour


Social groups

The individual consumer

The interaction between dimensions

Key psychological processes

Motivation: Freud, Maslow, Herzberg




Perspectives on consumer behaviour

The behaviourist perspective

The information-processing perspective

The emotional perspective

The cultural perspective

A multi-perspective approach

The buying decision process: the five-stage model

Problem recognition

Information search

Evaluation of alternatives

Purchase decision

Post-purchase behaviour

Other theories of consumer decision making

Level of consumer involvement

Behavioural decision theory and behavioural economics

Decision heuristics


Mental accounting

Profiling consumer product buying and usage behavior


Chapter 8 Analysing business markets


What is organisational buying?

The business market versus the consumer market

Buying situations

Systems buying and selling

Participants in the business buying process

The buying centre

Buying centre influences

Targeting firms and buying centres

The purchasing/procurement process

Stages in the buying process

Problem recognition

General need description and product specification

Supplier search

Proposal solicitation

Supplier selection

Order-routine specification

Performance review

Managing business-to-business relationships

The role of uncertainty in business relationships

Transaction cost economics

Network theory

Vertical coordination

Institutional and government markets


Chapter 9 Dealing with competition


Competitive forces

Identifying competitors

Analysing competitors



Strengths and weaknesses

Selecting competitors

Selecting customers

Competitive strategies for market leaders

Expanding the total market

Protecting market share

Expanding market share

Other competitive strategies

Market-challenger strategies

Market-follower strategies

Market-nicher strategies

Balancing customer and competitor orientations

Competitor-centred companies

Customer-centred companies

Competing in an economic downturn

Explore the upside of increasing investment

Get closer to customers

Review budget allocations

Put forth the most compelling value proposition

Fine-tune brand and product offerings

Part 2 Case study: Cheese odour marketing


Part 3 Connecting with customers


Chapter 10 Seeking and developing target marketing differentiation strategies


Levels of market segmentation

Segment group marketing

Niche marketing

Local marketing

Individual marketing

Bases for segmenting consumer markets

Geographic segmentation

Demographic segmentation

Life stage


Psychographic segmentation

Behavioural segmentation

Bases for segmenting business markets

Market targeting

Effective segmentation criteria

Evaluating and selecting market segments

Additional considerations

Creating differentiation and positioning strategies


Establishing category membership

Choosing PoPs and PoDs

Creating PoPs and PoDs

Perceptual or positioning mapping

What can positioning analysis do for a company’s business?

Positioning maps

Developing a positioning strategy


Developing and communicating a differentiation strategy

Cost leadership

Distinctive superior quality

Cost leadership and differentiation

Differentiation strategies

The purpose of positioning


Chapter 11 Creating customer value, satisfaction and loyalty


Building customer value

Customer-perceived value

Building customer satisfaction

Brand inertia and brand loyalty

Total customer satisfaction

Market offering quality dimension

Maximising customer lifetime value

Customer profitability

Customer lifetime value – conceptual dream or real-time activity?

Cultivating customer relationships

Customer relationship management

Attracting and retaining customers

Building customer loyalty

Improving loyalty

Developing loyalty programmes

Recapturing customers

The experience economy

The value experience

The empowered customer

Interactive marketing

Complexity of markets

Emotional turn


Chapter 12 Creating and managing brands and brand equity


Understanding branding

What is a brand?

The roles of brands

Managing brands: consumers and channels

Strategic brand management decisions

Creating and managing brand identities: names, logos, slogans and images

Managing individual or house brand names

Managing brand extensions

Managing brand portfolios

Brand reinforcing and revitalisation

Leveraging secondary associations

Growing, sustaining and managing brand equity


Chapter 13 Digital and global brand management strategies


What is a digital brand?

Digital branding as a core management requirement

Understanding the digital brand experience

Understanding the new consumer decision journey

Branding and social networking

Linking social networking and the consumer decision journey

Customer-managed brands

Digital brand communities

Online brand communities’ member characteristics

Managing global brands

Factors leading to increased global branding

Managing iconic global brands

Operating a global brand strategy

Branding in developing economies

Celebrity branding

How to use celebrities successfully

Countries and places as brands

Part 3 Case study: San Pellegrino


Part 4 Shaping and pricing the market offering


Chapter 14 Designing, developing and managing market offerings


Product life-cycle marketing strategies

Product life cycles

Style, fashion and fad life cycles

Marketing strategies: the introduction stage and the pioneer advantage

Marketing strategies: the growth stage

Marketing strategies: the maturity stage

Marketing strategies: the decline stage

Evidence on and critique of the product life cycle concept

Critique of the product life cycle concept

Market evolution





Product (market offering) characteristics and classifications

Product levels: the customer-perceived value hierarchy

Product/market offerings classifications


Market offering differentiation

Design differentiation

Service differentiation

Product and brand relationships

The product/market offering hierarchy

Product/market offering systems and mixes

Product-line analysis

Product line length

Product-mix pricing

Co-branding and ingredient branding

Packaging, labelling, warranties and guarantees



Warranties and guarantees


Chapter 15 Introducing new market offerings


New market offering options

Make or buy?

Types of new product

Challenges in new product/market offering development

The innovation imperative

New product/market offering success

New product/market offering failure

Organisational arrangements

Budgeting for new product development

Organising new product/market offering development

Managing the development process, Stage 1: ideas

Process stages

Idea generation

Idea screening

Managing the development process, Stage 2: concept to strategy

Concept development and testing

Marketing strategy development

Business analysis

Managing the development process, Stage 3: prototype to commercialisation

Product and market development

Market testing

Commercialisation and launch

The consumer adoption process

Stages in the process

Factors influencing the process


Chapter 16 Developing and managing pricing strategies


Understanding pricing

A changing pricing environment

How companies price

Consumer psychology and pricing

Setting the price

Step 1: selecting the pricing objective

Step 2: determining demand

Step 3: estimating costs

Step 4: analysing competitors’ costs, prices and offers

Step 5: selecting a pricing method

Step 6: selecting the final price

Adapting the price

Geographical pricing (cash, countertrade, barter)

Price discounts and allowances

Promotional pricing

Differentiated pricing

Initiating and responding to price changes

Initiating price cuts

Initiating price increases

Responding to competitors’ price changes

Part 4 Case study: Burberry


Part 5 Communicating value


Chapter 17 Designing and managing marketing communications


The role of marketing communications

The changing marketing communication environment

Marketing communications, brand equity and sales

The communications process models

Developing effective communications

Identify the target audience

Determine the communications objectives

Design the communications

Select the communications channels

Establishing the total marketing communications budget

Financial considerations

Deciding on the marketing communications mix

Characteristics of the mix

Factors in setting the mix

Measuring results

Managing the integrated marketing communications (IMC) process

Coordinating media

Implementing IMC

IMC or interconnected programmatic marketing communication?

The growing importance of social media

Media planning – revolution or evolution?


Chapter 18 Managing mass and personal communications


Developing and managing an advertising programme

Setting objectives

Deciding on the advertising budget and developing the advertising campaign

Managing media matters

Evaluating advertising effectiveness

Sales promotion

Setting objectives

Advertising versus sales promotion

Major decisions

Events, experiences, public and press relations

Setting objectives

Major sponsorship experiences

Creating experiences

Major decisions in marketing public relations

Marketing public relations

Major decisions in marketing press relations

Direct marketing

Setting objectives

The benefits of direct marketing

Direct marketing issues

Catalogue marketing


Other media for direct response marketing

Public and ethical issues

Interactive marketing

Brave new world requires a deeper understanding of consumers

Placing advertisements and promotions online

Developing and managing the sales force

Setting objectives and strategy

Sales force management issues

Key principles of personal selling

The six steps of selling

Relationship activity

Relationship marketing

Part 5 Case study: H&M


Part 6 Delivering value


Chapter 19 Designing and managing integrated marketing channels and global value networks


Marketing channels and value networks

The importance of channels

What is the role of marketing channels?

Channel functions and flows

Channel levels

Service-sector channels

Channel-design decisions

Analysing customer needs and wants

Establishing objectives and constraints

Identifying major channel alternatives

Evaluating major channel alternatives

Channel-management decisions

Selecting channel members

Evaluating channel members

Modifying channel design and arrangements

Channel modification decisions

Global channel considerations

Channel integration and systems

Vertical marketing systems

Managing conflict, cooperation and competition

Types of conflict and competition

Managing channel conflict

Integrating multichannel and omnichannel marketing systems

Online, mobile and digital channel management

Pure-click or online-only companies

Online and brick-and-click companies

Mobiles and smartphones

Location-based mobile


Chapter 20 Managing process, people and physical evidence


Process design and management

A service process blueprint

Managing flexibility within the service design

Managing variability

The service process and customer satisfaction

Managing efficiency within the service process

Managing people at the customer interface

Training service personnel

Hiring service personnel

Service personnel failure and recovery

Customer participation

Co-creation of value

Level of engagement

Managing the role of the customers

Managing the physical evidence and experience environment

Senses management within the experience environment

Managing digital technology at the customer interface

Managing the internet at the customer interface

Self-service kiosks

RFID at the customer interface

Part 6 Case study: Apple Stores


Part 7 Managing marketing implementation and control


Chapter 21 Implementing marketing management


Restructuring marketing practices

Internal marketing

Critique of internal marketing

Organising the marketing department

Relations with other departments

Building a creative marketing organisation

Taking the creative approach

Building a creative culture

Creativity – a mystical gift for some or something for all?

Maintaining momentum

Marketing implementation


Methodology and making room for creativity

Foster a creative marketing culture

Socially responsible marketing

Corporate social responsibility

Socially responsible business models

Cause-related marketing

Cause-marketing benefits and costs

Social marketing

Ethnic marketing

Green marketing

Digital and traditional marketing are inseparable

Reach and display

Marketing revisited

The marketing manager’s key tasks

Marketing morphs to greater focus on customer engagement, involvement and experience

Getting started


Chapter 22 Managing marketing metrics


The need for marketing metrics

What marketing metrics should do

The chain of marketing productivity

Measuring the past, the present or the future

Measuring marketing performance and productivity

Counting-based metrics

Accounting-based metrics

Outcome metrics

Corporate social responsibility

Marketing dashboards

Part 7 Case study: Unilever


Appendix: Apricot marketing plan and exercises