ABSTRACT
This chapter discusses the major areas concerned with developing a market strategy. It identifies and initiates the steps needed to convert market strategies into action. Managing market demand is a key factor to successful performance. Managing market demand requires flexibility, good timing, and extensive use of competitive analysis. For example, Chrysler Corp. used a pruning strategy during its period of revitalization in the early 1980s. It pulled out of European markets and then selected key markets with the successful K cars, while harvesting profits during the succeeding years. Though obviously simplified, the execution of the strategy through a five-year period can be recorded as one of the greatest turnarounds in business history. Thus, the applications of market demand strategy connect directly to the strategies of concentration and segmentation as they relate to expanding or contracting your presence in a selected market.
