Brand managers often design strategies to achieve multiple objectives, but how managers choose among alternatives and consequently how multiple objectives should be incorporated into models of marketing strategy have received little attention. This paper explores the incorporation of multiple objectives into models of optimal marketing strategies. We focus on one marketing strategy issue, defensive marketing strategy, and develop a multi-objective marketing strategy model. We derive optimal changes in price and advertising spending given the defending brand's multiple objectives. Our analysis produces new descriptive insights about the links between decision making and competition, as well as new insights into defensive marketing strategy. We also discuss the potential for future work along these lines and extensions in other areas of marketing strategy.
- Marketing Strategy
- Multiple-Objective Decision Making
ASJC Scopus subject areas
- Business and International Management
- Economics and Econometrics