Marketing strategies at hierarchy levels : monograph

Federal State Budgetary Educational Institution 
of Higher Education 
«THE RUSSIAN PRESIDENTIAL ACADEMY OF NATIONAL 
ECONOMY AND PUBLIC ADMINISTRATION»
NORTH-WEST INSTITUTE OF MANAGEMENT
Saint Petersburg
2023
О. Е. Sergeeva
MARKETING STRATEGIES  
AT HIERARCHY LEVELS
Monograph

©  О. Е. Sergeeva, 2023
© NWIM RANEPA, 2023
UDC	338.1
LBC 65.29
C 32
Published by the decision of the Editorial and Publishing Council 
of the North-West Institute of Management of RANEPA.
Protocol No. 3, dated 16.11.2023
Reviewers:
Lebedeva M. E. — Professor, Doctor of Economics, Scientific Supervisor of the Postgraduate 
School of the International Banking Institute. A. Sobchak;
Buga A. V. — Professor of Economic Sciences, General Director of LLC “St. Petersburg 
Institute of Independent Expertise and Evaluation”
Sergeeva O. E.
C 32	 	
Marketing strategies at hierarchy levels : monograph / O. E. Sergeeva. — 
SPb. : NWIM RANEPA Publ., 2023. — 68 p.
ISBN 978-5-89781-781-8
Тhe monograph presents up-to-date scientific material on the problem of choosing 
the most profitable business for the enterprise. It shows the totality of analytical research 
needed to solve this problem. The work specifies conditions that suggest the enterprise 
to adjust its specialization. The correction is aimed at optimizing the use of resources 
of the economic entity on macro-, meso- and microlevels.
The work may be of interest to management specialists in the fields of economics, 
management, marketing and finance.
UDC 338.1
LBC 65.29
ISBN 978-5-89781-781-8

TABLE OF CONTENTS
INTRODUCTION. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . . . . . . . . . . . . . . . . . . . . . . . . . . 	
5
1.	 MACRO LEVEL OF PREFERRED BUSINESS CHOICE. .  .  .  .  .  .  .  . . . . . . . . 	
7
1.1.	 Situational analysis of the marketing environment business .  .  .  .  .  . . . . . . . 	
8
1.2.	 Selecting a preferred prospective industry  .  .  .  .  .  .  .  .  .  .  .  .  . . . . . . . . . . . . . . 	 10
1.3.	 Algorithm of business boundary setting process at macro-, meso-  
	
and micro-marketing levels  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . . . . . . . . . . . . . . . . . . . 	 13
2.	 MESO-LEVEL CHOICE OF PREFERRED BUSINESS ENTERPRISE. .  . . 	 16
2.1.	 Boundaries of possible business unit specialisation within an industry .  . . 	 16
2.2.	Strategic choice of business unit specialisation within an industry .  .  . . . . 	 19
2.3.	Corporate portfolio analysis .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . . . . . . . . . . . . . . . . . . . 	 22
2.4.	Selection of competitive positions .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . . . . . . . . . . . . . . . . 	 25
2.5.	Organisation, development, diversification of product lines .  .  .  .  .  . . . . . . . 	 27
2.6.	Optimisation of market strategy according to the life cycle stage .  .  .  . . . . 	 29
2.7.	 Balancing a firm’s corporate portfolio  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . . . . . . . . . . . . . . 	 31
2.8.	Corporate portfolio business renewal strategies .  .  .  .  .  .  .  .  .  .  . . . . . . . . . . . . 	 32
2.9.	Identifying efficient and unpromising businesses .  .  .  .  .  .  .  .  .  .  . . . . . . . . . . . 	 33
3.	 MICRO-LEVEL IMPLEMENTATION OF THE PREFERRED  
	
BUSINESS ENTERPRISE. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . . . . . . . . . . . . . . . . . . . . . 	 37
3.1.	 Contents of the work to select the product-market combination  .  .  .  . . . . 	 37
3.2.	Consumer segments of the product market of our business .  .  .  .  .  . . . . . . . 	 39
3.3.	Selecting the preferred target segment for business .  .  .  .  .  .  .  .  .  . . . . . . . . . . 	 41
3.4.	Positioning the products and services of our business  .  .  .  .  .  .  .  . . . . . . . . . 	 44
3.5.	Optimising market strategies and updating the life cycle  
	
of the product-market combination  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . . . . . . . . . . . . . . . 	 45

Sergeeva O. E. Marketing strategies at hierarchy levels
3.6.	Differentiation of business products by values art .  .  .  .  .  .  .  .  .  . . . . . . . . . . . 	 46
3.7.	 Definitions of the systemic characteristics of art inherent  
	
in goods and services called masterpieces .  .  .  .  .  .  .  .  .  .  .  .  .  . . . . . . . . . . . . . . 	 47
3.8.	A synthesis of the selective notion of art as a way of creating goods  
	
and services that connoisseurs want to admire again and again .  .  .  . . . . . 	 51
3.9.	Identifying the properties of art that should be used  
	
to create the use value of masterpieces .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . . . . . . . . . . . . . . 	 53
3.10.	 Choosing a company’s marketing strategy based on statistical  
	
game theory .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . . . . . . . . . . . . . . . . . . . . . . . . . 	 55
CONCLUSION. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 	 60
LITERATURE. .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 	 64

INTRODUCTION
The efficiency of a company’s business operations is to a large extent 
determined by
• the right choice of business content;
• the optimal application of its own sources of competitive advantage;
• the possibilities of the region in which it is based;
• the existing education system is a source of competitive intellectual 
capital;
• the use of art as a way of differentiating modern goods and services.
The integrated use of these factors will ensure that goals, strategies, plans 
and processes are aligned with the current business environment. Human, 
structural and customer intellectual capital, when developed and competitive, 
will create the necessary conditions to achieve and maintain a leading business position.
Optimal business choice is focused on the systemic role of the target 
consumer and symmetrical mutual interest of the producer to produce the 
best product for him/her. Management decisions related to business selection 
and adjustment are made at the initial stage of assessing alternatives to meet 
the needs and requirements of consumers, as well as later on in the expansion of the business market and updating its life cycle through the introduction of a new product. During these processes, it is necessary to optimise 
the use of our resources at macro, meso and micro marketing levels.
In terms of the scale of management decision-making, it is useful 
to consider the problem of shaping and improving a business at the 
marketing level:
• strategic;
• tactical;
• instrumental.
In this case, taking into account the organisational structure of the 
company, strategic marketing will be characterised by a set of headline works. 
The strategic marketing is based on the results of the analysis of the internal 
and external business environment in order to align the strategy and plans 
of the company with its resources and opportunities. Strategic marketing is 
based on the analysis of the internal and external business environment in 

Sergeeva O. E. Marketing strategies at hierarchy levels
order to bring the strategy and plans of the company in line with its resources and the opportunities open to it.
Tactical marketing focuses on short-term, periodic optimisation of market processes at the micro-marketing level. Tactical solutions are also implemented when it is necessary to align the market strategy of a product and 
market combination with the lifecycle of its business. In doing so, it is 
advisable to take into account the percentage of the segment the product is 
aimed at.
Instrumental decisions, which are a consequence of the tactical ones, are 
made at the micro-marketing level. Instrumental marketing provides the 
final form of implementation of the marketing strategy of the productmarket combination. This strategy is completed by the detailed development 
of the tools of the marketing mix.

1.	 MACRO LEVEL OF PREFERRED BUSINESS CHOICE
The theory and practice of market economy, generalized and reinterpreted, are reflected in an innovative marketing philosophy focused on finding effective solutions to problems affecting the interests of economic actors. 
These problems are conditioned by the fact that human (consumer) needs 
are steadily increasing and the physical resources of the market product 
(producer) are limited. A successful market player efficiently solves the problematic contradiction between limited physical resources and unlimited change 
in needs through the development and implementation of intellectual capital. As a result, the apparatus of ensuring the competitiveness of production 
is improved by optimising the boundaries of its business in a timely manner. 
Otherwise, the market entity becomes uncompetitive and is driven out of the 
market, ceding its market share to a more efficient one.
The marketing management system of business product development, 
manufacturing and sales transforms increased demand into the basis of an 
intelligent and innovative product that ensures its satisfaction even when 
other factors of production are limited. Effective innovative marketing solutions are needed at the micro, meso and macro levels of business detailing.
At the macro-marketing level, we have to decide on the sector in which 
we expect to make the best use of our resources. At the meso-marketing 
level, within the chosen industry, we should select the preferred product line 
of the industry market for our business. Then, on the micro-marketing 
level, we have to decide on the target segment and the respective product 
and market combination that will be most profitable for us to sell. Marketing 
management is aimed at selecting businesses and optimizing management 
decisions based on information about the micro and macro environment. 
Analyzing micro- environmental factors, correcting them and using them to 
one’s own advantage, taking into account favorable macro-environmental 
factors, is the craft of the marketer.
The marketing practitioner should be able to effectively manage the 
micro-environmental factors and competently adapt production to the favorable macro-environmental factors. The marketing practitioner should effectively manage the micro-environmental factors, competently adapt his production to the favourable macro-environmental factors and, by skillfully