Strategy

Marketing Strategy Analysis

If Sprott School of Business chooses to expand its part-time MBA program in Ottawa, it should first decide on how to target and position this program.

We can find that one of the financial incentives motivating prospective people to apply to the part-time MBA program is the availability of employer reimbursement for some or all of their tuition. As figure 3 shows, 30% percent of part-time MBA programs expect that their students will have 60% to 89% employer funding. So we can conclude there are two segments to apply for the part-time MBA programs. One is groups that tuition paid by individuals and groups that tuition paid by employers.

Tuition paid by individuals

If Sprott School of Business choose groups that tuition paid by individuals as target consumers, it will focus on the people with a job who want to seeks for future development. These people could be anyone who has a job now and want to make the promotion through the part-time MBA program. In addition, some people also want to improve their net-working through contact with other business person. According to the figure 1, after finishing part-time MBA program, people will receive almost 60% increase base salaries per year. So, one of the key characteristics of this group is the large market size. Sprott School of Business can regard all the middle-level employees in Ottawa as target. (Because we cannot obtain some information and statistics, here we assume the part-time MBA potential consumers will be 500 per year, and the contribution margin of one person will be 60 %.)

This group has higher income which can support their tuition. However, they are also sensitive to the price. Because the tuition of part-time MBA is more expensive than other programs and they should pay the fees by themselves, this group will be pay attention to the quality of the part-time MBA program and determine whether it deserve such high tuition. In addition, this group focuses on the...