0302170 – PRINCIPLES OF MARKETING
CASE STUDY
COURSE INSTRUCTOR: DR. NARJES HAJ SALEM
Due date: Midnight April 14, 2020
Please read carefully the following instructions:
 This assignment will replace the midterm exam and will count for 25% of the final grade in the Principles of Marketing course.  The student must complete the assessment individually.  By submitting it answer in Blackboard, the student acknowledges that he/she did not receive any help to solve the assessment neither copied the answer from someone else.  The answers will be ‘Saassigned’. If the percentage of plagiarism exceeds 20%, the student will be given a Zero in the assessment.  Please type your answer in Word format, Times news Roman 12, Space 1.5. A PDF file will not be accepted. Don’t forget to include a cover page with your full name and ID.  Please number the questions and answer them in order.  Please save your answer document using your ID number (exp: U1813589. docx), then submit your answer using Blackboard, no email will be accepted.
Case study: PI-O’s
Please read the following case and answers all the questions
For more than 35 years, PI-O’s has been one of the nation’s go-to venues for children’s birthday parties and rainy afternoon outings. Operating under the slogan “Where a kid can be a kid,” there are more than 575 PI-O’s locations in 47 states in the USA and 10 foreign countries. Their goal is to provide a fun and safe environment for children aged under 12 years to play and families to create memories, but in 2015 PI-O’s made improvements not for the children, but for the parents. “Your average kid who comes to PI-O wants to come 11 times a year; they come three times a year. The difference between that and the 11 times a year they want to come is the mom and dad veto,” said Tom Leverton, CEO of LEL Entertainment, Inc. “What we’ve been doing over the past couple of years especially is trying to address the mom and dad needs.” To that end, PI-O’s expanded their menu to include items geared to more advanced culinary of tastes of the parents, such as the Cali Alfredo pizza and the BBQ Chicken Pizza, Caesar and Club whole-wheat wraps, BBQ Chicken Ciabatta sandwiches. They also added dessert churros served with salted caramel and white chocolate icing. “Kids are at the heart of everything we do at PI-O ‘s, but kids don’t come alone, and we want to make sure parents have just as enjoyable an experience as the kids do, especially when it comes to the food,” said Leverton. The new adult menu has been promising for PI-O’s, but they aren’t stopping there. In 2016, they began testing additional menu items in select markets. The Orlando, Florida market has seen the addition of giant chocolate chip cookies to the menu. They are also testing a Honey Mustardbourbon wing sauce, multigrain Italian Chicken and Chicken Caesar flatbreads, and gluten-free pizza dough. In March 2016, PI-O’s debuted a lunchtime all-you-can-eat buffet to address the issue of customer frequency. The buffet is $3.99 for children and $5.99 for adults. They are also testing half-priced games on Tuesday evenings in the Dallas market. PI-O decided also to introduces a loyalty card that will give one free entry after 5 visits and a discount of 10 % in the foods for regular customers.
Please answers all the questions in order 1. Which marketing management concepts PI-O managers seem to follow? Justify your answer. (3 marks)

2. Based on the case, do you think that PI-O applies Customer Relationship Marketing approaches? Explain your answer. (3 marks)

3. How PI-O expanded its business portfolio? Which growth strategy they used (market penetration, market development, product development or diversification)? Justify your answer. (3 marks)

4. What is the consumer segment targeted by PI-O? (2 marks)

5. Based on the case, what segmentation variable(s) PI-O is currently using to segment their market? Explain your answer. (3 points)

6. What target strategy being used by PI-O? Explain your answer. (3 points)

7. Explain how PI-O is trying to differentiate their business from the competition? (4 points)

8. Taking into account the characteristic good mission statement, write a mission statement for PI-O (4 points)