Marketing Chapter 2

5 C's (environmental analysis)

1. company 2. customers 3. competition 4. collaborators 5. context

BCG matrix : investment strategies

1. grow 2. maintain/hold 3. harvest 3. digest

Which of the following is NOT one of the steps in strategic performance evaluation? a. Establishing a timetable for implementation b. Measuring actual performance c. Comparing actual performance with established standards d. Modifying the marketing strategy, if necessary e. Establishing performance standards

A

market opportunity

A combination of circumstances and timing that permits an organization to take action to reach a particular target market EX: To illustrate, Tommy Hilfiger saw an opportunity in the underserved market for clothing for children and adults with disabilities.

Business unit strategies

A division, product line, or other profit center within the parent company EX: PepsiCo, for example, has SBUs for Frito-Lay, Quaker, and North American Beverages as well as global divisions for its products Each SBU sells a distinct set of products to an identifiable group of customers and each competes with a well-defined set of competitors.

market

A group of individuals and/or organizations that have needs for products in a product class and have the ability, willingness, and authority to purchase those products

BCG matrix (market growth matrix)

A helpful business tool, based on the philosophy that a product's market growth rate and its market share are important considerations in determining its marketing strategy To develop such a tool, all of the company's SBUs and products are integrated into a single matrix and compared and evaluated to determine appropriate strategies for individual products and overall portfolio strategies. Managers use this model to determine and classify each product's expected future cash contributions and future cash requirements (product market growth (low to high), relative market share (high to low)

marketing plan

A written document that specifies the activities to be performed to implement and evaluate the organization's marketing strategies 1. Developing a clear and well-written marketing plan, though time-consuming, is important. It provides a uniform marketing vision for the firm and is the basis for internal communications. 2. It delineates marketing responsibilities and tasks and outlines schedules for implementation. 3. The plan presents objectives and specifies how resources are to be allocated to achieve them. 4. the marketing plan helps marketing managers monitor and evaluate the performance of a marketing strategy.

swot analysis

Assessment of an organization's strengths, weaknesses, opportunities, and threats depicts the SWOT analysis as a four-cell matrix and shows how marketers must seek to convert weaknesses into strengths, threats into opportunities, and match internal strengths with external opportunities to develop competitive advantages. Strengths and weaknesses are internal factors that can influence an organization's ability to satisfy target markets. (strengths= competitive advantages.... weaknesses= limitations a company faces in developing or implementing a marketing strategy) opprotunities refer to favorable conditions in the environment that could produce rewards for the organization if acted upon threats are barriers that could prevent the company from reaching its objectives

Which of the following is NOT a component of the marketing plan? a. Marketing strategies b. Executive summary c. Marketing implementation d. Business analysis e. SWOT analysis

Business analysis

Southwest is known for its culture of "luv" and its fun-loving approach. This is an example of which of the following? a. Marketing objective b. Business-unit strategy c. Corporate mission d. Corporate identity e. Corporate strategy

Corporate identity

The unique symbols, personalities, and philosophies that support all corporate activities including strategic planning and marketing are best described as _______. a. corporate strategy b. mission statement c. market share d. SWOT analysis e. corporate identity

Corporate identity

strategic performance evaluation

Establishing performance standards, measuring actual performance, comparing actual performance with established standards, and modifying the marketing strategy, if needed

The marketing implementation section of the marketing plan outlines how the company will achieve its objectives.

False

Which of the following competitive growth strategies strives to increase sales of current products in new markets? a. Market share b. Market penetration c. Product development d. Market development e. Diversification

Market development

market penetration techniques

Price◦New/updated features◦More advertising◦Packaging innovation

T or F: The marketing plan provides a framework to stimulate thinking and provide strategic direction

TRUUUEEE BISHHHH

strategic windows

Temporary periods of optimal fit between the key requirements of a market and the particular capabilities of a company competing in that market EX: (market opportunity)

market share

The percentage of a market that actually buys a specific product from a particular company

Strategic Marketing Management

The process of planning, implementing, and evaluating the performance of marketing activities and strategies, both effectively and efficiently (effectively anf efficiently are key concepts to understanding this term)

core competencies

Things a company does extremely well, which sometimes give it an advantage over its competition

When conducting a SWOT analysis, which of the following are barriers that could prevent an organization from reaching its objective? a. Strengths b. Threats c. Opportunities d. Weaknesses e. Market opportunity

Threats

strategic planning

a company establishes an organizational mission and formulates goals, a corporate strategy, marketing objectives, and a marketing strategy.

mission statement

a long-term view, or vision, of what the organization wants to become. For instance, Facebook's mission, "to give people the power to build community and bring the world closer together," speaks to the company's desire to transform the way the world communicates MUST ANSWER TWO QUESTIONS :Who are our customers? and What is our core competency?

market penetration

a strategy of increasing sales in current markets with current products EX: Coca-Cola, for example, boosted sales due to a promotion that offered soft-drink bottles and cans labeled with hundreds of different personal names, song lyrics, and phrases such as "Friends," "Family," and "BFF." The personalized labels were especially popular with younger consumers, who shared photos of personalized bottles on Instagram along with the hashtag #shareacoke

market penetration examples

advertise product in a different way use celebrity endorsement change packaging do a 4/5 deal

what are corporate strategy planners concerned with?

broad issues such as organizational culture, competition, differentiation, diversification, interrelationships among business units, and environmental and social issues.

corporate strategy

determines the means for utilizing resources in the functional areas of marketing, production, finance, research and development, and human resources to achieve the organization's goals.

which strategy is the riskiest?

diversification

Which of the following provides an overview of the entire marketing plan so that readers can quickly identify the key issues and their roles in the planning and implementation process? a. Marketing implementation b. SWOT analysis c. Executive summary d. Performance evaluation e. Environmental analysis

executive summary

Conducting a SWOT analysis comes immediately before the establishment of corporate and business-unit strategies.

false... thats so awkward if you thought it was true .. haha

ansof diversification matrix

includes market development, diversification, market penetration and product development... (existing products vs. new products)

diversification

is a strategy of developing new products to be sold in new markets. allows firms to make better and wider use of their managerial, technological, and financial resources. Coca-Cola employed a diversification strategy when it introduced Gold Peak, a line of iced tea products that capitalized on the growing demand for beverages other than sweetened sodas. The ad presents two flavors of Gold Peak iced tea in front of a cooler in the back of a pickup truck, suggesting that the beverage is a good choice to accompany leisure activities. That idea is reinforced by the ad's tagline, "You make memories. We'll make the home-brewed taste."

product development

is a strategy of increasing sales by improving present products or developing new products for current markets. EX: Perhaps the most common example of product development occurs in the automotive industry, in which car manufacturers regularly introduce redesigned or completely new models to their current markets.

market development

is a strategy of increasing sales of current products in new markets Arm & Hammer, for example, successfully introduced its baking soda, the firm's basic product, into new markets for use as a carpet deodorizer, as a freshener for litter boxes, as a laundry detergent, as deodorant, and as a toothpaste. Market development also occurs when a company introduces its products into international markets for the first time.

effectiveness (strategic marketing management)

is the degree to which long-term customer relationships help achieve an organization's objectives.

Which of the following is based on the philosophy that a product's market growth rate and its market share are important considerations in determining marketing strategy? a. Product-market matrix b. Market growth/market share matrix c. Mission-goal matrix d. Sales analysis e. SWOT analysis

market growth/market share matrix

When the right combination of circumstances and timing permits an organization to take action to reach a particular target market, there exists a(n) _______. a. weakness b. competitive advantage c. core competencies d. market opportunity e. strategic window

market opportunity

Which of the following provides a uniform marketing vision for the firm and is the basis for internal communications? a. Performance standard b. Mission statement c. Marketing plan d. Marketing strategy e. Target market

marketing plan

Google has written down the following: "to organize the world's information and make it universally accessible and useful." This is most likely a part of Google's _______. a. marketing plan b. corporate strategy c. mission statement d. strengths e. marketing objective

mission statement

WHAT IS THE FIRST LEVEL OF STRATEGIC PLANNING?

mission statement

what are the levels of strategic planning?

mission statement, corporate strategy, business unit strategy, marketing strategy, marketing mix elements (production, distribution, promotion, pricing)

The strategic planning process begins with _______. a. business-unit strategies b. SWOT analysis c. organizational mission and goals d. marketing objectives e. finance objectives

organizational mission and goals

what does a corporate strategy do?

outlines the scope of the business and such considerations as resource deployment, competitive advantages, and overall coordination of functional areas. EX: When John Flannery took over as CEO of General Electric (GE) in 2017, for example, he refocused the century-old corporation on three core divisions—aviation, power, and health care. Implementing this strategy required directing the huge firm's resources toward those areas and potentially divesting some weaker divisions, such as lighting and locomotives, in order to maximize growth in the core businesses

Efficiency (strategic marketing management)

refers to minimizing the resources an organization uses to achieve a specific level of desired customer relationships.

Through the process of _________ , a company establishes an organizational mission and formulates goals, a corporate strategy, marketing objectives, and a marketing strategy

strategic planning

business strategy drives market decision.........

the organization (who are we) 1. values (what are our beliefs) 2. mission (what do we want to be) direction (where) - what is our business> - SBUs and portfolio analysis - what are our goals? Strategic planning - the 5 C's analysis - SWOT - diversification analysis (ansoff matrix) - what are our objectives... where are we now? ... how will we achieve our objectives?

overall goal of Strategic marketing management

the overall goal of strategic marketing management is to facilitate highly desirable customer relationships and to minimize the costs of doing so.

corporate identity

their unique symbols, personalities, and philosophies—to support all corporate activities, including strategic planning and marketing. For example, Slack, a cloud-based team collaboration service, has established this mission: "To make people's working lives simpler, more pleasant, and more productive." This statement drives Slack's strategies and activities

why do we use the BCG matrix?

to determine the investment strategy for the market

steps of the strategic planning process

which begins with the establishment or revision of an organization's mission and goals. The corporation and individual business units then develop strategies to achieve these goals. The company performs a detailed analysis of its strengths and weaknesses and identifies opportunities and threats within the external marketing environment. Next, each functional area of the organization (marketing, production, finance, human resources, and so forth) establishes its own objectives and develops strategies to achieve them, which must support the organization's overall goals and mission and should be focused on market orientation