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The Association of Business Executives
QCF

Strategic Marketing
Management
Examiner’s Report and Suggested Answers

Unit Title:

Strategic Marketing Management

Unit Code:

6SMM

QCF Level:

6

Date of
Examination:

June 2014

Structure of paper: Answer all three sections
Section A: Answer all four questions

Q1
Q2
Q3
Q4

Section B: Answer one question

Either Q5 or Q6

Section C: Answer one question

Either Q7 or Q8

Introduction
Although the overall standard of candidate scripts appears very similar to previous diets
there has been a substantial reduction in pass rates
...

(a) Critically assess the benefits of developing marketing objectives
...
These include:
 They give a clear direction to the personnel involved
o Everyone knows exactly what is expected of them and how they are supposed to be
working
...

 They can create unity
o A common goal unites people
...

 They allow for measurement and achievement
o Because the objectives are SMART and specify targets and time scales, monitoring
can be carried out to check progress
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 They can reduce risk
o If all staff knows what they are working towards, there will be less risk of ‘mavericks’
doing what they think is best, rather than what has been laid down by the objectives
...
The ability to
make decisions away from the higher level can save time and can enhance the
capabilities of lower-level managers
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Assess
why this might be the case
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There are a number of
reasons for this
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Apathy

If the staff in an organisation are demotivated they will not be interested in new
objectives as they will see them as just another ploy to get them to work harder
...
This is the ‘If it works why fix it?’ syndrome
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Organisational culture
o A lack of marketing orientation in an organisation can prevent objectives from being
formulated
...
If the
future is not taken into consideration this can end in disaster
...
You need to have excellent information about where you are now if you
are going to create effective objectives
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o







Examiner’s comments:
Part (a) Here candidates were required to critically assess the benefits of developing
marketing objectives
...
It is very important that candidates identify the command words used in
questions and do exactly what is asked for
...

Part (b) This question required candidates to assess why some organisations find it difficult
to develop good marketing objectives
...
The better candidates identified and assessed a number of reasons
and these included the fear of failure, apathy, enjoying success and therefore new objectives
are not seen as necessary, the organisational culture, lack of knowledge, skills and time etc
...

At a recent conference a speaker said, “In the future marketing managers must be
aware of the ‘language of the boardroom’, which is predominantly financial, and be
able to justify the potential of their programmes to create shareholder value
...

Suggested answer:
Candidates are asked to critically evaluate this statement
...

It requires a conclusion from the evaluation
...
A new marketing culture needs to develop whereby decisions need to be based on
rigorous analysis and testing, rather than gut-feel and guess work
...

 The days have gone when marketers could get away with ‘not doing numbers
...

 Marketers must be well-versed in the ‘language of the boardroom’ which is
predominately financial
...

 A wide range of financial measures are available to aid marketing decision-making and
the days have long gone when marketers could justify their marketing activities without
supporting financial data
...
Certainly marketers must have a good understanding of finance but
this must not be at the expense of their marketing skills
...
This must not be dampened by overly strict
financial constraints
...

 Today many directors and shareholders seek short-term gains and yet some marketing
activities are of a longer time-line
...

Conclusion
Most candidates are likely to agree that marketers must better understand finance and use
financial measures to aid decision making
...
More attention is required in this area and it will
remain an important topic for examination
...

This question required candidates to critically evaluate a statement about shareholder value
...
Again I must stress that candidates MUST do exactly
what the examiner asks for
...

Other candidates totally failed to critically evaluate
...
Here candidates were required to explain the arguments for supporting
the statement and disagreeing with it
...

Finally very few candidates demonstrated a clear understanding of shareholder value and
therefore achieved very few marks
...


Question 3
Learning Outcome 5: Understand how strategic marketing can be applied to a range of
business contexts including the small to medium-sized sector
...

Suggested answer:
This is a very straightforward question which simply requires candidates to identify and
discuss the ways an SME can enter overseas markets
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The main methods for entry for SMEs are as
follows:
 Exporting
o This is primarily selling domestically developed and produced goods and services
abroad
...
Domestically
delivered or developed niche services can be marketed or delivered internationally
from a domestic location
...

 International supply chain of a MNE
o Another entry method is the participation in the supply chain of a multi-national
enterprise (MNE) and this can lead to an SME piggybacking on the MNEs
international development
...

Examiner’s comments:
This was a straightforward question about how SMEs might enter overseas markets
...
The majority of candidates were able to list the
various ways that this might be achieved, however many answers were limited by lack of
discussion
...


Question 4
Learning Outcome 6: Understand the impact that technological advances have on strategic
marketing and be able to incorporate such advances into strategic marketing plans
...

Suggested answer:
It is important here that candidates provide a balanced view and show clearly the
advantages and disadvantages of using the Internet as an advertising medium
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 Interactivity is possible
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 Can advertise on other’s web pages
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 Very large potential audience
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 High information content is possible on own web pages
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 Audience not guaranteed
...

 Relies on browser or search engine finding the page
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 Some people still do not use the Internet and some do not have easy access
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 Creativity limitation
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The answer should conclude with a brief discussion
...

Examiner’s comments:
This was a topical question requiring candidates to critically evaluate the use of the Internet
as an advertising medium
...
Whilst there were some very good answers, far too
many candidates either failed to critically evaluate or ignored an ‘advertising medium’
...
Consequently many candidates achieved low marks
...


Section B
Question 5
Learning Outcome 2: Understand the importance of strategic marketing analysis and
research and how today’s global, dynamic, and highly competitive business environment
influences the process of strategic development and marketing planning
...

Suggested answer:
The key elements of a marketing research plan are:











Outline the problem
o E
...
research into buying patterns or trends in market size
...
Objectives should be measurable
...

Decide how the research will be carried out
o Questionnaires, the internet, panels etc
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Implement the plan
o Set everything in motion
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Monitor and control
o Make sure everything is being done on time and within the budget
...


Examiner’s comments:
Candidates were required to outline the various elements of a market research plan and
explain the main constraints
...


Question 6
Learning Outcome 2: Understand the importance of strategic marketing analysis and
research and how today’s global, dynamic, and highly competitive business environment
influences the process of strategic development and marketing planning
...

Suggested answer:
Michael Porter’s view of defining the nature of the competitive arena is particularly useful to
the marketing manager for scoping the nature of the market place
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The threat to new entrants
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The bargaining power of buyers
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Examiner’s comments:
This question required candidates to apply Porter’s Five Forces framework to an
organisation of choice
...
At level 6 it is important that candidates have a good
understanding of relevant theory and can apply it in a practical marketing situation
...


Section C
Question 7
Learning Outcome 1: Understand the broad concepts and processes of strategic
development and marketing planning and the associated theoretical models and
frameworks
...

Suggested answer:
Corporate social responsibility is the term used to describe the level of awareness shown by
companies of their social responsibility and the values exhibited with regard to the societal
impact of strategic marketing decisions
...

Those in support of CSR say that organisations have responsibilities to be good ‘corporate
citizens’ and should seek to improve society and safeguard the environment
...

 Business is part of society and it is in the long-term interest of the business to be socially
responsible
...

 Businesses employ skilled and capable people who have the capability to address wider
social issues
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 All stakeholders, including businesses, take responsibility to at least try to address social
issues
...

The arguments against CSR include:
 That CSR is a distraction from managements’ responsibility to add value to shareholders
...

 Business is not the appropriate vehicle with which to address the wider issues in society
...

 Business should not be allowed any more power and influence in society
...

 Management is employed because of their management skills and are not primarily
suited to engage in the wider issues
...
The marketing
manager who does not incorporate CSR into his/her plan is unlikely to be successful
...
This was a quite a
popular question
...
This question required very clear
arguments for CSR and clear arguments against CSR
...

Again, candidates must read the question very carefully and answer every part of the
question
...

(a) Identify the key tools or techniques of internal marketing
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A complaints telephone or internet hotline
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A corporate blog
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In-house newsletters, magazines or videos
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360 degree appraisal
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Team building away days
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Suggested answer:
Wilson & Gilligan (2005) suggest that an effective internal marketing programme is likely to
be characterised by the following:
 An acceptance of its importance by senior management
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 The development and communication of clear values
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 A commitment to staff development and training
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 The development of strong teams
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 The development of effective feedback systems so that the programme can be
monitored
...

Part (a) Candidates were simply required to identify the key tools or techniques of internal
marketing
...
Very few acceptable answers were provided
...

Part (b) Here candidates were required to assess the characteristics of an effective internal
marketing programme
...
The
characteristics expected included such things as an acceptance of its importance by senior
management, a willingness to change, the development and communication of clear values,
the empowerment of staff, a commitment to staff development and training, the development
of strong teams, the development of effective feedback systems etc
...


Conclusions
As is usually the case with all Level 6 papers, where colleges and candidates have fully
prepared for the examination good results are achieved, however there are many colleges
where candidates have clearly not undertaken sufficient work and consequently this leads to
poor results
...
Where many let themselves
down however, is by not reading the question in sufficient detail and consequently failing to
answer every part of the question
...

Recommendations to candidates and tutors for future examinations:
My comments remain similar to those made in previous reports
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1
...
It is vital that all parts of the syllabus are
thoroughly studied
...
Tutors must pay more attention to the financial aspects of strategic marketing as this
is a consistently weak area
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Ideally all colleges should set a mock examination so that candidates practice in
examination techniques and time management
...
Candidates must read all questions very carefully and answer every part of the
question
...
Candidates must identify the command words and do exactly what the examiner asks
for
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6
...

Candidates must be able to show how theory is used in practice
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Candidates should seek to produce quality not quantity
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8
...
If they are asked for they must be given
...
Please write legibly
...




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