2-4: Developing Marketing Objectives and Marketing Strategies

sustainable competitive advantage

- an advantage that the competition cannot copy - Requires flexibility in the marketing mix when facing uncertain competitive environments

flexibility

- permits the org to alter the marketing mix in response to changes in market conditions, competition, and customer needs - Has a positive influence on organizational performance

marketing strategy

- the selection of a target market and the creation of a marketing mix that will satisfy the needs of target-market members - Marketing strategy ensures that the firm has a plan in place to achieve its marketing objectives - Articulates the best use of the company's resources to achieve its marketing objectives - Directs resource deployment so as to boost competitive advantage - Key variable in strengthening organizational competitiveness - May need to be adapted as the environment changes

consistency

- All marketing-mix decisions should be consistent with the business-unit and corporate strategies - Allows the org to achieve its objectives on all 3 levels of planning

selecting the Target market

- May be the most important decision a company makes in the strategic planning process and is crucial for strategic success - Target market must be chosen before the org can adapt its marketing mix to meet the customers' needs and preferences - Evaluate how entry could affect the company's sales, costs, and profits - Accounting and info systems can be used to track revenues and costs by customer - The firm should offer rewards to managers and employees who focus efforts on profitable customers - Firms should develop teamwork skills that promote a flexible customer orientation that allows the firm to adapt to changes in the marketing environment - Marketers should determine whether a selected target market aligns with the company's overall mission and objectives

marketing objectives should possess certain characteristics:

- Should be expressed in clear, simple terms - Should be measurable - Should specify a time frame for its accomplishment - Should be consistent with both business-unit and corporate strategies

creating the marketing mixes

- Using all relevant info available to conduct in-depth research allows a firm to select the most appropriate target market, which is the basis for creating a marketing mix that satisfies the needs of that market - An org should analyze demo info, customer needs, preferences, and behaviors with respect to product design, pricing, distribution, and promo - Marketing mixes should have 2 additional characteristics: consistency and flexibility

marketing objectives

- a statement of what is to be accomplished through marketing activities - Can be given in terms of product introduction, product improvement or innovation, sales volume, profitability, market share, pricing, distribution, advertising, or employee training activities - Should be achievable and use company resources effectively, and successful accomplishment should contribute to the overall corporate strategy