Case Based Reasoning System for Marketing Strategies Support

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For the last three years there has been a significant growth of telecommunications sector in Kenya. This is as a result of liberalization of the sector through issuing licenses to several private companies. This has brought competition in the telecommunications industry especially among mobile phone operators. Market leaders; Safaricom and Celtel are currently enjoying a large market share as compared to new entrants such as Telkom wireles. There is therefore a need for new entrants to generate and implement market strategies in order to closet he gap. The main purpose of this study was to address the problem  if marketing strategies evaluation within the context of telecommunication sector by developing a knowledge based decision support system model for marketing support to ensure that only competitive marketing strategies are implemented by new market entrants in telecommunication sector and improve strategy management process especially during marketing strategies formulation stage. A study was conducted through interviews in five major towns located in Kenya i.e. Nairobi, Kisumu, Eldoret, Mombasa and Kitale to determine the cause of low subscription rate. 10 mobile phone users were randomly selected from each of these towns. Interviews were also conducted in three mobile phone companies; Popote Wíreless, Cellucom and Telkom Kenya to establish how they evaluate their marketing strategies and the respondents of these companies were marketing professionals.

    Through documentation review various marketing strategies models were analyzed and two of them were used to develop a new model. The new marketing strategies model was then implemented using an information system model which was then evaluated through developing a prototyping and testing its effectiveness. This research found that new market entrants suffer low ratio f subscriptions due to market related problems. The study revealed that Telkom Company which is a new market entrant has 1% market share as compared to Safaricom with market share of 66%. It was found out that the main cause of low rate of subscriptions is due to market related problems. To solve this problem, new marketing strategies evaluating model was proposed and implemented using an information system model. The effectiveness of this model was evaluated using a prototype which was tested in three selected companies. Testing results showed that the model performance is determined by the number of previous cases stored in the case base. In addition, it was found that change of time does not affect the effectiveness of the model. It was therefore concluded that companies stand a better change in implementing successful marketing strategies if they first evaluate their strategies using this model. The study recommended that there is a need to keep a record of all marketing strategies that are implemented by companies so that such strategies can be used to evaluate any new strategy before it is implemented.

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