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Effectual marketing planning for new ventures

Abstract

Current marketing theories largely follow the rational planning school and base marketing planning activities upon a strategic pursuit of an optimal market outcome. While extant theory aligns with the motivations of large corporations in established markets, it offers little benefit to marketers in new ventures. We address this gap directly and propose a new concept of effectual marketing planning, which is based on a logic of control and specifically addresses the challenges facing new ventures. Our construct of effectual marketing planning contains five key elements that increase the value of marketing planning for new ventures. We conclude by offering propositions as to how effectual marketing planning can improve new venture performance.

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Notes

  1. 1.

    Sarasvathy (2001, p. 245) describes the difference between causation and effectuation as follows: Causation processes take a particular effect as given (an unmet market need in our case) and focus on selected means to create that effect (finding outside investment to exploit the discovered unmet need). Effectuation processes take a set of means as given (What I know, whom I know, and what I can create under these constraints) and focus on a set of possible effects that can be created with that set of means. (Parentheses and Italics added by the authors).

  2. 2.

    GoodFoodz.com is a fictitious name given to protect the anonymity of a real company that provided access for a case study.

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Correspondence to Peter S. Whalen.

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Whalen, P.S., Holloway, S.S. Effectual marketing planning for new ventures. AMS Rev 2, 34–43 (2012). https://doi.org/10.1007/s13162-012-0026-5

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Keywords

  • Marketing planning
  • Effectuation
  • New ventures
  • Uncertainty