Mkting

Market Leader Strategy - Competitive Position Strategies

(1) expand total market demand (2) Protect current market (3) expand market share 1. Expand Total Market Demand - leading firm gains the most when total market expands a. New Users - untapped market segments b. New Uses - discovering and promoting new uses for product c. More usage - convince people to use the product more often or use more per occasion 2. Protect Market Share a. Fixing or preventing weaknesses that provide opportunities to competitors b. Maintaining consistent prices that provide value + value proposition c. Keeping strong customer relationships d. Promoting continuous innovation 3. Expand Market Share a. Increasingly profitability w/ increasing market share in served markets b. Producing high-quality products c. Creating good service experiences Building close relationships

Competitive Positions

*Market Leader*: 40% of Market, the firm with the largest market share Market Challenger: 30%, runner-up firms that are fighting hard to increase their market share; number two or three behind big ones *Market Followers*: 20%, other runner-up firms that want to hold their share without rocking the boat; content to stay as is, do not have a big growth strategy or plan to expand *Market Nichers*: 10%, firms that serve small segments not being pursued by other firms; can target sub segment or market; usually smaller firms with limited resources but can be smaller divisions of large firms (LL Bean targeting outdoorsy and casual sports people) or Blue Ocean Strategy (Cirque du Soilel, Soda Stream)

Michael Porter's four basic competitive positioning strategies - marketing strategies

*Overall cost distribution*: company works hard to achieve the lowest production and distribution costs low costs let the company price lower than its competitors and win a larger market share (i.e. Walmart and JetBlue) (lowest in cost) *Differentiation*: company concentrates on creating a highly differentiated product line and marketing program therefore, it comes across as the class leader in the industry (Nike and Caterpillar) (highest in perceived value) *Focus*: company focuses its effort on serving a few market segments well rather than going after the whole market (ie. Ritz Carlton, Bose) (best in serving some market segment) - To perform well, companies must pursue a clear strategy the firm that carries out that strategy the best will perform well - A firm without a clear strategy will not succeed *Middle-of-the-roaders*- firms that do not pursue a clear strategy (ie. Sears, Best Buy did not do well bc they did not stand out in either of the first three strategies)

technological environment

- Most dramatic force in changing the marketplace - New products, opportunities - Concern for the safety of new products

Market Nicher Strategy - Competitive Position Strategies

- Niching is profitable because... the market nicher ends up knowing the target customer group so well that it meets their needs better than other firms that casually sell to that niche nicher can then charge a substantial market over costs because of the added value (mass marketer=high volume, nicher=high margins) - Ideal niche: big enough to be profitable with high growth potential and little interest from competitors - Key is Specialization: thrive by meeting in depth the special needs of a well-targeted group; can specialize along market, customer, product or marketing mix lines Risks: niche may dry up or might grow to the point that it attracts larger competitors companies practice multiple niching: developing two or more niches bc it increases change for survival

Demographic environment: baby Boomers

- born 1946 to 1964 - the wealthiest generation in the US history

Demographic environment : generation X

- born 1965-1976 - High parental divorce rates - Cautious economic outlook - Less materialistic - Family comes first

Demographic Environment : Milennials ( gen Y or echo boomers)

- born 1977 and 2000 - Most financially strapped generation - Comfortable with technology

economic environment

- consists of factors that affect consumer purchasing power and spending patters. - industrial economies are richer markets - subsistence economies consume most of their own agriculture and industrial output

Changing in the workforce

- more educated, white collar

Goal (step 2 of marketing program)

-set goals and objectives presale (awareness) sale (volume, finance) post-sale (customer satisfaction, loyalty)

Best Mission Statement

...reflect an external focus on customer needs, not an internal focus on the company's current offering

Companywide Strategic Planning Steps (4)

1) define the organization's mission 2) set objectives 3) establish the business portfolio 4) develop growth strategies

Limitations of BCG Matrix

1) growth rate = market attractiveness? 2) relative market share = competitive strength? -can be hard to obtain reliable measures of market share and growth -assumes growth is uncontrollable

Two Dimensions of BCG growth-share matrix

1) market growth rate (market attractiveness) 2) relative market share (competitive strength)

Constructing Marketing Programs (6 steps)

1) situation analysis - SWOT analysis, BCG 2) goal - set goals and objectives 3) strategy - define target market and positioning 4) tactics - marketing mix (4 P's) 5) implementations - turn plans into actions 6) control - evaluate performance and monitor the environment

SWOT analysis (step 1 of marketing program)

1) strengths - internal capabilities 2) weaknesses - internal limitations 3) opportunities - external factors to exploit 4) threats - external factors that could damage goal: match company's strengths to attractive opportunities in the environment, while eliminating weaknesses and minimizing threats need sustainable competitive advantage! -cost, product differentiation, niche

What is the buyer decision process?

1. Recognize need 2. Information search 3. Evaluation of alternatives 4. Purchase decision 5. Postpurchase behavior

(Buyer Decision Process) What is need recognition?

1. buyer recognizes a problem; internal or external stimuli; cater a need Ex. empty stomach--> hungry

(Buyer Decision Process) What is information search?

2. consumer is stimulated to seek more information. Heightened attention or active search Sources: personal, commercial, public, experimental Ex. Marketers stimulate- locations

(Buyer Decision Process) What is alternative evaluations?

3. Consumer uses information to evaluate among brands. How he/she chooses (selection process) Ad gives all info/features to pick product Careful calculations and logic v. impulse and intuition

(Buyer Decision Process) What is purchase decision?

4. Consumer/buyer decides to buy the product Purchase intention v. purchase decision Ex. gives deadline for sale

(Buyer Decision Process) What is post-purchase behavior?

5. Stage in which consumer takes further action after the purchase Expectation vs. performance= satisfaction/dissatisfaction Cognitive dissonance- buyer discomfort caused by postpurchase conflict Ex. $ back guarantee Push over edge (compare, new information on features, may offer free product (samples) to influence decision) Know process--> influence to buy your product

(Characteristics Affecting Consumer Behavior) What are personal factors?

Age and life-cycle stages (becoming a parent) ex. Nissan (different options of cars) Economic Situation- personal income, savings, interest rates Lifestyle- person's pattern of living as expressed in his or her psychographics (AIO- activities, interests, opinions); products represent values and lifestyles Personality and Self Concept- Personality (the unique psychological traits that distinguish a person or group ex. extraverts vs. introverts); Brand personality- mix of human traits that may be attribute to a particular brand (we are what we have/brand association)

(Model of Consumer Behavior) What is the consumer market?

All individuals/households that buy goods services for personal consumption The environment: marketing stimuli (product, price, place, promotion) and other (economic, technological, social, cultural)--> Buyer's Black Box: Buyer's characteristics/ Buyer's decision process--> Buyer responses: Buyer's attributes and preferences; Purchase behavior: what, when, where, how much; Brand and company relationship behavior

Publics

Any group that has an actual or potential interest in or impact on an organization's ability to achieve its objectives Financial publics Media publics Government publics Citizen-action publics Local publics General public Internal publics

Competitive Marketing Strategies

Basic Competitive Strategies: - Michael Porter's Four Basic Competitive Positioning Strategies (overall cost distribution, differentiation, focus, middle-of-the-roaders) - Michael Treacy and Fred Wiersema Three Value Disciples (operational excellence, customer intimacy, product leadership) Competitive Position Strategies - Market leader - Market challenger - Market follower - Market nicher

(Psychological factors/perception) What are beliefs and attitudes?

Beliefs: descriptive thought a person holds about something Attitude: consistently favorable or unfavorable evaluations, feelings and tendencies toward an object or idea. Ex. German engineering is superior Ex. China- sweatshops

Selecting Competitors to Attack or Avoid - Competitor Analysis (3)

Can focus on one or several classes of competitors - Weak companies - most pick these; require fewer resources and less time, but may gain little - Strong companies - sharpen abilities, provide greater rewards, often can't avoid Customer Value Analysis: determines the benefits that target customers' value and how customers rate the relative value of various competitors' offers - Assessment of the company's and competitor's performance on the valued attributes - if the company delivers greater value on important attributes it can charge a higher price and earn higher profits or it can change the same price and gain more market share - if the company is seem as performing on a lower level on important attributes it must invest in strengthen those attributes or finding other important attributes where it can build a lead Finding Uncontested Market Space - Blue Ocean Strategy - Bloody "Red Ocean" - head-to-head competition, rivals fighting over a shrinking profit pool, most companies compete within this but isn't likely to create profitable growth in the future - Blue Ocean Strategy: should seek out unoccupied positions in uncontested market spaces, then try to create products and services for which there are no direct competitors o Goal: make competition irrelevant o IE. Cirque du Soleil - reinvented the circus, type of circus for adults that didn't exist before; also have to keep it fresh and not do the same show every day, keep reinventing IE Soda Stream

(Psychological factors/perception) What is learning?

Changes in behavior arising from experience Need to fix it or get more people to try despite past experiences ex. Happy Meals (unhealthy) promote--> expose and use for rest of life; consumer behavior Ex. provide MacBook to schools (use Apple products)

Designing a Competitive Intelligence System - Competitor Analysis

Collection, interpretation, distribution and use of competitor analysis - Functions of a competitive intelligence system: Identifies competitive information and the best sources of this information, continually collects information, Checks information for validity and reliability, interprets information, organizes information, sends key information to relevant decision makers, Responds to inquiries about competitors - Problems: gathering competitive intelligence can cost much money and time, so company must design a cost-effective competitive intelligence system Science of Market Research: Primary Research, Secondary Research (much is this bc not a lot of data out there)

Identifying Competitors

Competitors can include: - All firms making the same product or class of products - All firms making products that supply the same service - All firms competing for the same consumer dollars Industry point of view: might see themselves as being in the oil industry, pharmaceutical industry or beverage industry (ie. Pepsi seeing competitors as Coca-Cola, Dr Pepper) Market point of view: define competitors as companies that are trying to satisfy the same customer need or build relationships with the same customer group (ie. Pepsi seeing competitors as as anyone who provides customer with the need of "thirst-quenching," expanding competitors to include bottled water, energy drinks, fruit juice etc.) "Competitor Myopia"- a company is more likely to be "buried: by its latent (existing but not yet developed or manifest) competitors than its current ones (ie. It wasn't direct competitors that put an end to Western Union, Tower Records or Kodak)

What are the four types of buying behavior?

Complex Variety seeking Dissonance-reducing Habitual

The companies microenvironment: Customers

Consumer markets Business markets Reseller markets Government markets International markets

(Characteristics Affecting Consumer Behavior) What are factors that influence consumer behavior? Can marketers control above factors?

Cultural- culture, subculture, social class Social- Reference groups, family, roles and status Personal- age and life cycle stage, occupation, economic situation, lifestyle, personality and self- concept Psychological- motivation, perception, learning, beliefs and attitudes Buyer No- but need to be aware/account for them

__________ is the total combined values of all of the company's customers.

Customer equity

The company's Macroenvironment

Demographic, economic, natural, technological, political, cultural

Blue Ocean Strategy

Finding Uncontested Market Space - Bloody "Red Ocean" - head-to-head competition, rivals fighting over a shrinking profit pool, most companies compete within this but isn't likely to create profitable growth in the future - Blue Ocean Strategy: should seek out unoccupied positions in uncontested market spaces, then try to create products and services for which there are no direct competitors o Goal: make competition irrelevant o IE. Cirque du Soleil - reinvented the circus, type of circus for adults that didn't exist before; also have to keep it fresh and not do the same show every day, keep reinventing IE Soda Stream

Competitors

Firms must gain strategic advantage by positioning their offerings against competitors' offerings

Assessing Competitors - Competitor Analysis (2)

Four Parts: (1) Competitor's objectives, (2) Competitor's Strategies, (3) Competitors' strengths and weaknesses, (4) estimating competitor's reactions - what are they doing now, what might they do if we do something else 1) Competitor's objectives: know the relative importance that each competitor places on current profitability, market share growth, cash flow, technological leadership, service leadership etc. a) knowing mix of objects reveals whether the competitor is satisfied with its current situation and how it might react to different competitive actions (ie. A company that pursues low-cost leadership will react much more strongly to a competitor's cost-reducing manufacturing than to an increase in ads) b) must monitor its competitor's objectives for various segments (if finds a new segment, can be an opportunity, if plans to move into a new segment you are in, you are warned) 2) Competitor's Strategies: the more one firm's strategy resembles the another's, the more the two firms compete; competitors can be sorted into groups that pursue different strategies a) Strategic Group: a group of firms in an industry following the same or a similar strategy in a given target market (ie. GE and Whirlpool; Sub-Zero and Viking) i) Insights emerge: if a company enters a strategic group members of that group become key competitors; has to develop strategic advantages over companies to succeed ii) Competition: (1) most intense within a strategic group (2) rivalry among groups bc some strategic groups appeal to overlapping customer segments 3) Competitor's Strengths and Weaknesses: what can our competitors do? a) Companies gather data on each competitor's goals, strategies and performance over the past few years (hard to obtain) b) Benchmarking: comparing the companies products and processes to those of competitors or leading firms in other industries to identify best practices and find ways to improve performance 4) Competitor's Reactions: what will our competitors do? a) Anticipate how that competitor will act or react to a company move Each competitor reacts differently - some do not react quickly or strong to a competitive move, some react only to certain types of moves and not to others, some react swiftly and strongly to any action (P&G)

(Characteristics Affecting Consumer Behavior) What are social factors?

Groups and Social Networks: Membership (peer pressure), reference, aspirational groups (wants to be like); Opinion leaders (influentials or early adopters); brand ambassadors (ex. Oprah); Buzzmarketing (trending communication ex. American Idol); Online social networks (blogs, social networking sites, virtual world) Family (buy what your family buys) Roles and status- (marriage) Most important consumer to influence: mothers-to-be

Marketing intermediaries

Help the company to promote, sell and distribute its products to final buyers

(Types of Buying Behavior) What is dissonance-reducing buying behavior?

High involvement and few differences between brands Ex. booking a vacation (did I make the right choice?)

(Types of Buying Behavior) What is complex buying behavior?

High involvement and significant differences between brands Ex. buying a car (promotion)

Political and Social environment

Increased emphasis on ethics Socially responsible behavior Cause-related marketing

(Types of Buying Behavior) What is habitual buying behavior?

Low involvement and few differences between brands Ex. buying toothpaste (buying out of habit) (place)

(Types of Buying Behavior) What is variety-seeking buying behavior?

Low involvement and significant differences between brands Ex. buying shoes

Market Follower Strategy - Competitive Position Strategies

Market Follower Strategies 1. Market leader bears huge expenses of developing new products and markets, expanding distribution and educating the market can copy or improve on leader's products and programs w/ less investment 2. Play along with competitors and not rock the boat a. HOWEVER, not passive or copy of the leader: follower must know how to hold current customers and win fair share of new ones b. Right balance between following closely enough to win customers from the market leader and following at enough distance to avoid retaliation 3. Bring distinctive advantages - location, services, financing Keep costs and prices low or quality and services high

Competitive Position Strategies - Marketing Strategies

Market Leader Strategies: - Expand total market - Protect market share - Expand market share Market Challenger Strategies: - Full frontal attack - Indirect attack Market Follower Strategies: - follow closely - follow at a distance Market Nicher Strategies: - buy customer market, quality, price and service - multiple niching ***Classifications often do not apply to the whole company but only to its position in a specific industry per product or service - can use different strategies for different business units or products depending on the competitive situations of each

Increasing Diversity

Markets are becoming more diverse International National Includes: Ethnicity Gay and lesbian Disabled

Changing American Family

More people are: Divorcing or separating Choosing not to marry Choosing to marry later Marrying without intending to have children Increasing number of working women Increasing number of stay-at-home dads

(Characteristics Affecting Consumer Behavior) What are psychological factors?

Motivation- motive: a need sufficiently pressing to direct a person to seek satisfaction of the need; Maslow's theory (hierarchy of needs) Perception: process by which people select, organize and interpret information to form a meaningful picture of the world (experiences and culture) Ex. Effect future experiences (selective distortion) Learning Beliefs and attitudes

Suppliers

Provide the resources to produce goods and services Treat as partners to provide customer value

(Psychological factors/perception) What is selective retention?

Remember good points about a favored brand, and forget good points about competitors

Market Challenger Strategy - Competitive Position Strategies

Runner up companies who choose to challenge the market leader and other competitors must first define which competitors to challenge: 1. Challenge Market Leader a. High-risk but potentially high-gain b. Goal: to take over market leadership or to wrest more market share c. *Second-Mover Advantage*: challenger observes what has made the market leader successful and improves on it; can become leaders by imitating and improving the ideas of pioneering predecessors i. ie. Honda and Toyota - imitated and improved Chrysler's product to become market leader in minivan market ii. ie. McDonald's - imitated and improved White Castle to become market leader in fast-food system iii. Walmart - imitated and improved FedMart and Price Club 2. Avoid leader and challenge smaller firms a. Can challenge firms its own size or smaller local and regional firms that may be underfinanced and not serving their customers well b. Goal: put that company out of business c. IE. SABMiller - became the world's number two brewer by acquiring brands such as Miller Molson, Coors and other brands Can challenge in two ways... 1. Full Frontal Attack - challenges the competitor's strengths, tries to match the competitor's product, advertising, price, and distribution efforts (Pepsi challenging Coke, Ford challenging Toyota) 2. Indirect Attack - challenges the competitor's weaknesses or gaps in the competitor's market coverage; can carve out toeholds using tactics that established leaders have trouble responding to or choose to ignore a. Ie. Soda Steam against soft drink market leaders Ie. Redbull against soft drink market leaders - sells high-priced niche product in nontraditional distribution points (unconventional outlets that were under the radar of market leaders like nightclubs and bars)

Dogs

SBU - low market share in a low growth market (nobody wants that) strategy - maintain or divest, don't give too much investment

Stars (SBU and strategy)

SBU - products have a dominant market share in high-growth markets strategy - build into cash cow via investment

Cash Cows

SBU - products have a dominant market share in low growth market potential market strategy - maintain or harvest for cash to finance new stars

Question Marks

SBU - products have a low market share in high-growth markets strategy - build into stars via investment or reallocate funding and let become dogs

(Psychological factors/perception) What is selective distortion?

Tendency to interpret information to support what is already believed

(Psychological factors/perception) What is selective attention?

Tendency to screen out most of the information to which the person is exposed

(Model of Consumer Behavior) What is consumer buyer behavior?

The buying behavior of final consumers, purchasing for personal consumption Motivation, $, opinion, coupons, tastes/lifestyle

Actors in the microenviornment

The company, Suppliers, Marketing intermediaries, Competitors, Publics, Consumers

Competitor Analysis

The process of identifying, assessing, and selecting competitors - Three Steps: (1) identify the company's competitors (2) assessing the competitor's objectives, strategies, strengths and weaknesses, and reaction patterns (3) selecting which competitors to attach or avoid To plan effective marketing strategies: (1) it needs to find out all it can about its competitors (2) it must constantly compare its marketing strategies, products, prices, channels and promotions with those of competitors in this way it can find areas of potential competitive advantage and disadvantage

Views on responding

Uncontrollable: react and adapt to forces in the environment Proactive: aggressive action to affect forces in the environment Reactive: watching and reacting to forces in the environment

Michael Treacy and Fred Wiersema Three Value Disciples - marketing strategies

Value Disciples: more customer-centered classification, suggest companies gain leadership positions by delivering superior value to their customers in three strategies; must focus on one strategy while meeting industry standards for the rest (design entire value delivery network to single-mindedly support the chosen disciple - *Operational Excellence*: a company providing value by leading its industry in price and convenience by reducing costs and creating a lean and efficient value delivery system (Walmart, IKEA, ZARA) o Customers: want reliable good-quality products or services that are cheap and easy - *Customer Intimacy*: provides value by segmenting markets and tailoring products or services to match the needs of the targeted customers (Zappos, Ritz Carlton) o Specializes in satisfying unique customer needs through a close relationship with and intimate knowledge of the customer o Will do almost anything to build long-term costumer loyalty and to capture lifetime customer value o Customers: willing to pay premium to get what they want - *Product Leadership*: provides value by offering a continuous stream of leading-edge products or services; open to new ideas and solutions and bring them quickly to the market (Apple) o Aims to make its own and competing products obsolete Customers: want state-of-the-art products and services, regardless of the costs

"Competitor Myopia"

a company is more likely to be "buried: by its latent (existing but not yet developed or manifest) competitors than its current ones (ie. It wasn't direct competitors that put an end to Western Union, Tower Records or Kodak)

Strategic Group

a group of firms in an industry following the same or a similar strategy in a given target market (ie. GE and Whirlpool; Sub-Zero and Viking) i) Insights emerge: if a company enters a strategic group members of that group become key competitors; has to develop strategic advantages over companies to succeed ii) Competition: (1) most intense within a strategic group (2) rivalry among groups bc some strategic groups appeal to overlapping customer segments

Benchmarking

comparing the companies products and processes to those of competitors or leading firms in other industries to identify best practices and find ways to improve performance

Cultural Environment

consists of institutions and other forces that affect a society's basic values, perceptions, and behaviors

Microenviornment

consists of the actors close to the company that affect its ability to serve its customers, the company, suppliers, marketing intermediaries, customer markets, competitors, and publics

Macroenviornment

consists of the larger societal forces that affect the microenvironment—demographic, economic, natural, technological, political and cultural forces

Develop Growth Strategies (as a strategic planning step)

cos. must grow to 1) compete more effectively 2) satisfy their stakeholders 3) attract top talent -marketing shoulders the responsibility for achieving and managing profitable growth

Strategy (step 3 of marketing program)

define the target market -segmentation: group consumers by needs -targeting: choose the segment you will serve define market positioning -offering should be distinct and desirable compared to competing products -value proposition and differentiation - what superior value does your offering create for the target segment?

Marketing Myopia

defining the company's mission too narrowly - can cause managers to miss opportunities for growth

Customer Value Analysis

determines the benefits that target customers' value and how customers rate the relative value of various competitors' offers - Assessment of the company's and competitor's performance on the valued attributes - if the company delivers greater value on important attributes it can charge a higher price and earn higher profits or it can change the same price and gain more market share - if the company is seem as performing on a lower level on important attributes it must invest in strengthen those attributes or finding other important attributes where it can build a lead

Control (step 6 of marketing program)

evaluating actual performance (ROMI) comparing performance to objectives making adjustments

Establish the Business Portfolio (as a strategic planning step)

in designing business portfolios, cos. must 1) analyze current portfolio/ strategic business units (SBUs) and decide which SBUs should receive more, less, or no investment 2) develop strategies for growth and downsizing that will shape the future business portfolio

The marketing environment

includes the factors and forces outside marketing that affect marketing management's ability to build and maintain successful relationships with customers

Market Penetration (as a growth strategy)

increasing sales of current products to current market segments (existing product, existing market) -overuse of toothpaste

Demographic environment

involves people, and people make up markets

natural environment

natural resources that are needed as inputs by markets or that are affected by marketing activities

ROMI (return on marketing investment)

net return from a marketing investment divided by the costs of the marketing investment (estimated contributions - marketing investments)/ (marketing investments)

Changes in consumer spending: value marketing

offering financially cautious buyers greater value- the right combination of quality and service at a fair price

BCG Growth-Share Matrix

portfolio planning tool for assessing and prioritizing SBUs focuses on the potential for existing products to generate cash that the firm can use to invest in new/ existing products

Strategic Planning

process of developing and maintaining a strategic fit between the organization's goals and objectives and its changing marketing opportunities

Portfolio Analysis

process where management evaluates the products and businesses making up the co. resources are directed toward more profitable businesses - weaker ones are phased out/ sold

The __________ is the idea that consumers will favor products that offer the most quality, performance, and features; therefore, the organization should devote its energy to making continuous product improvements.

product concept

Strategic Business Unit (SBU)

relatively autonomous division of a company that operates as an independent enterprise with responsibility for a particular range of products/ activities can be a co. division, product line within a division, or a single product/ brand

Competitive Advantage

require delivering more value and satisfaction to target consumers than competitors - something that you have or do that creates value for your customers than your competitors, what you are doing to win customers - how companies analyze their competitors and develop successful customer value-based strategies for building and maintaining profitable relationships with customers: competitor analysis, competitive marketing strategies How to Gain Competitive Advantage: (1) Examine how a company's offer compares to that of its major competitors in each segment (2) Find a place in the market where it meets customer needs in a way rivals can't

The __________ is the idea that consumers will not buy enough of the firm's products unless the firm undertakes a large-scale selling and promotion effort.

selling concept

Market Development (as a growth strategy)

selling current products to new market segments (existing product, new market) -expand geographically, talk about dif benefits of product, advertise in dif media

Product Development (as a growth strategy)

selling new products to current market segments (new product, existing market) -offer new variation of same product -mini oreos

Demographic trends

shifts in age, family structure, geographic population, educational characteristics, and population diversity

Diversification (as a growth strategy)

starting up/ buying businesses outside of the firm's current products and market segments (new product, new market) -acquisitions

Mission Statement (as a strategic planning step)

statement of the organization's purpose - what it wants to accomplish in the larger environment -market-oriented and based on satisfying customer needs -meaningful and specific, yet motivating -emphasizes the company's strengths in the market -should NOT be stated in terms of sales/ profits

Tactics (4 P's) (step 4 of marketing program)

target consumers - Product & Price positioning - Promotion & Place

Demography

the study of human populations-- size, density, location, age, gender, race, occupation, and other statistics

SMART objectives (as a strategic planning step)

what the firm hopes to accomplish within a specific time frame, should support the cos. mission statement -Specific -Measurable -Attainable -Relevant -Time-bound Not always monetary!

Implementations (step 5 of marketing program)

who is responsible for what? what is the time line? what is the budget?