PRINCIPLES OF MARKETING

CHAPTER 2 ASSESSMENT

Video Case 2: IBM: Using Strategy to Build a “Smarter Planet”

Synopsis: IBM was founded in 1911, when several business machine companies merged to form the

Computing-Tabulating-Recording Company (CTR). The company had 1,300 employees and sold scales, time

recorders, meat and cheese slicers, and tabulators. In 1914, Thomas J. Watson, Sr. joined the company as

general manager and implemented several important business practices including a focus on customer service,

conservative dress for salespeople, development of large-scale custom-built solutions for businesses, and a

positive, professional outlook communicated by his favorite slogan “THINK.”

As CTR grew it offered new products such as an electric adding machine and a punch card press, and, as a

result, it adopted the name International Business Machines from one of its Canadian subsidiaries. Blue covers

on the computers, blue letters in the IBM logo, and dark blue suits worn by IBM salespeople, led to the now

popular company nickname, “Big Blue.” Today, Fortune magazine ranks IBM as the 18th

largest company in

the United States with sales of $99.8 billion and 426,000 employees in more than 200 countries. Forbes

magazine ranks IBM as the fourth most valuable brand in the world.

In support of its mission IBM developed an overarching strategy called “Building a Smarter Planet.” The

Smarter Planet initiative is designed for clients who value IBM’s industry and process expertise, systems

integration capability, and research capacity. In addition, IBM created a Smarter Planet marketing plan to

describe the company’s view of the next era of information technology and its impact on business and society.

STEPS TO COMPLETE THE CHAPTER 2 VIDEO CASE STUDY

Step 1: Download/Save the Case Study Template and Upload it to GoogleDocs

1. Access the template from the Wiki, save to your network folder and upload to GoogleDocs using the

following steps:

a. Go to the Internet

b. Access our class WIKI (https://businessandmarketing.pbworks.com/w/page/56831218/FrontPage)

c. Click on HVCC – Principles of Marketing

d. Click on – Chapter 2: Developing Successful Marketing and Organizational Strategies

e. Click on – Chapter 2 Assessment – Video Case 2 – IBM: Using Strategy to Build a “Smarter Planet”

f. Click on – Video Case 2 Template

g. Click “Download” – Open the file

h. Save the file to your computer

i. Close the file

j. Go to your gmail account and log in

k. Click on “Drive” on the top menu bar

l. Click on your Principles of Marketing folder

m. Click on the button to the right of the “Create” button in the top left hand corner of the screen

n. Click “Files” then select the “Video Case 2 Template” from your computer

o. Click create and share and continue with the upload

p. This is the file that you will use to complete your case study and is the document that I will be grading.

q. **Please note: I will NOT accept case studies that are printed and handed in or handwritten. All

case studies must be completed/submitted using GoogleDocs**

PRINCIPLES OF MARKETING

CHAPTER 2 ASSESSMENT

Video Case 2: IBM: Using Strategy to Build a “Smarter Planet” (con’t)

Step 2: Read the Case Study and Gather Additional Information from the Website

1. Read Video Case 2 – IBM: Using Strategy to Build a “Smarter Planet” on pp. 46-47 in the textbook

2. Visit our class Wiki and watch the IBM Video.

a. Go to the Wiki (https://businessandmarketing.pbworks.com/w/page/56831218/FrontPage)

b. Click on HVCC – Principles of Marketing

c. Click on - Chapter 2: Developing Successful Marketing and Organizational Strategies”

d. Click on - Chapter 2 Assessment – Video Case 2 – IBM: Using Strategy to Build a “Smarter Planet”

e. Click on the link next to IBM Video (This will bring you to the book publishers website)

f. When you are at the Marketing Online Learning Website click on the link for IBM: Using Strategy to

Build a “Smarter Planet”

g. The video will then launch

3. Visit the IBM website at www.ibm.com for additional information/research.

Step 3: Complete Your Analysis of the Case

Directions: Using the case study in the textbook as well as the information from the video and the IBM

website, answer the following questions:

1. IBM’s Business Strategy, Core Values and Mission Statement (5 points each = 25 points)

a. What is IBM’s “Smarter Planet” business strategy?

b. List and explain IBM’s core values?

c. What is DIBM’s mission statement?

d. Provide an analysis/comparison of IBM’s core values and mission statement. Does the mission

statement support the core values and vice versa? Is the mission statement clear, concise,

inspirational, focused and long-term? Explain in detail (using information from the website and

textbook) that back up your answer.

e. How does IBM’s strategy relate to their mission and values?

2. SWOT Analysis (20 points – see each question for point value)

Using the chart in the template and the SWOT Analysis Entries Worksheet:

a. Complete a SWOT Analysis for IBM’s Smarter Planet initiative. (15 points)

b. What are the relevant trends to consider for the next three to five years? (5 points)

3. Communication Strategy (5 points each = 10 points)

a. How can IBM communicate its strategy to companies, cities and governments? Identify and

explain at least one strategy for each (companies, cities and governments).

b. How is Watson a part of the communication strategy?

4. Initiative Benefits (5 points each = 10 points)

Identify and explain the benefits of the Smarter Planet initiative to:

a. Society

b. IBM

5. Results Measurement (5 points) a. How should IBM measure the results of the Smarter Planet strategy?

PRINCIPLES OF MARKETING

CHAPTER 2 ASSESSMENT

Video Case 2: IBM: Using Strategy to Build a “Smarter Planet” (con’t)

Step 4: Finalize Case Study (5 points)

1. Verify to make sure you have completed all sections/questions of the case study

2. Check your spelling, grammar, mechanics, etc.

**COUNTS AS A TEST GRADE OUT OF 75 POINTS**

DUE DATES

Date Assigned: Friday, October 04, 2013

Revision/Review Due Date: Sunday, October 13, 2013

Final Due Date: Wednesday, October 16, 2013

**Please note: Case studies for revisions will not be accepted if the FIRST COMPLETED

DRAFT is not full completed in GoogleDocs by the end of the day on Sunday, October 13.**