Participants in the IMC Process
      Advertiser (Client)
      Advertiser (Client)
      Advertising agency
      Advertising agency
      Media organizations                    Direct-             Sales 
      Media organizations                     Direct-             Sales 
                                            response           promotion 
                                            response           promotion 
      Marketing                             agencies           agencies
      Marketing                             agencies            agencies
      communications 
      communications 
      specialist 
      specialist 
      organizations                           Public 
      organizations                           Public          Interactive 
                                            relations          Interactive 
                                             relations         agencies
                                              firms             agencies
      Collateral services                      firms
      Collateral services
                             © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
               Advertising Department Under
               Centralized System
                                                          PPrreessiiddeentnt
                                                           PPrreessiiddeentnt
                                                                                     RReeseseaarrcchh  
                                                                                     RReeseseaarrcchh  
                                                                                          aannd d               HHuummaann  
         PPrrooduduccttiioonn       FFiinnaannccee         MMaarrkkeettiinngg              aannd d              HHuummaann  
         PPrrooduduccttiioonn        FFiinnaannccee         MMaarrkkeettiinngg       dedevveelloopp--        rresesoouurrcceses
                                                                                      dedevveelloopp--        rresesoouurrcceses
                                                                                        memenntt
                                                                                         memenntt
                                               MMaarrkketetiinng g                                 PPrrooduductct  
                    AAdvdveerrttiisisinngg     MMaarrkketetiinng g          SSaalleess             PPrrooduductct  
                     AAdvdvererttiissiinngg     rreseseeaarrchch             SSaalleess           plplaannnniinngg
                                                 rreseseeaarrchch                                 plplaannnniinngg
                                                © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
         Pros & Cons of Centralization
        + Positive                                       - Negative
        + Positive                                       - Negative
            BBeetttteerr 
            BBeetttteerr                                    LLesess s gogoaall
      cocommmmuunniicacattiioonnss                          LLesess s gogoaall
       cocommmmuunniicacattiioonnss                       iinnvvoollvveememenntt
                                                          iinnvvoollvveememenntt
            FFewewerer                The
            FFeewweerr                The
          peperrssoonnnneell    Centralized
          perperssoonnnneell    Centralized                  LLoonngegerr
                                   System                    LLoonngegerr
                                   System                rreesposponnsese  ttiimmee
                                                         rresespoponnsese  ttiimmee
          CCoonnttiinnuuiittyy
          CCoonnttiinnuuiittyy
            ooff  ssttaaff
            ooff  ssttaaff
                                                            Can’t do
                                                             Can’t do
                                                        multiple product 
           MMoorree  ttoopp                             multiple product 
           MMoorree  ttoopp                                   lines
        mmaannaagegemmeenntt                                   lines
        mmaannaagegemmeenntt  
         iinnvvoollvvememeenntt
         iinnvvoollvvememeenntt
                             © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
         Decentralized Brand Management 
         System
                                    Corporate
                                                    Research       Human
    Production       Finance        Marketing         and         resources
                                                  development
               Sales         Product                       Marketing
                           management                       services
                      Brand           Brand
                     manager         manager       Advertising
                                                                   Marketing
                    Ad agency       Ad agency      department      research
                                             Sales           Package
                                           promotion         design
                                        Merchandising
                             © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin
         Pros & Cons of Decentralization
        + Positive                                       - Negative
        + Positive                                       - Negative
                                                           IInneeffeeccttiivvee  
        CCoonncceennttrraatteded                           InIneeffeeccttiivvee  
        CCoonncceennttrraatteded                       dedecicisisioonn  mmaakikinngg  
          aatttteennttiioonn                            dedecicisisioonn  mmaakikinngg  
           aatttteennttiioonn
       RRaapipid d prprooblbleemm     The              InIntterernnaall  ccoonnflifliccttss  
        RRaapipid d prprooblbleemm     The              InIntterernnaall  ccoonnflifliccttss  
          rreesspoponnssee      Decentralized
           rreesspoponnssee     Decentralized
                                    System
                                    System
                                                        Misallocation of 
                                                        Misallocation of 
                                                         Misallocation of 
                                                         Misallocation of 
          InIncrcreeaasseedd                                  funds
                                                             funds 
           InIncrcreeaasseedd                                 funds
                                                              funds 
          fleflexxiibibilliittyy
           fleflexxiibibilliittyy
                                                             Lack of
                                                             Lack of
                                                            Authority
                                                            Authority
                             © 2007 McGraw-Hill Companies, Inc., McGraw-Hill/Irwin