Chapter 2 Flashcards
New marketing challenges
Information technology Nonprofit Globalization Changing world economy- privatization, liberal export and import policies, growing middle class, and emerging economies Target marketing
Customer relationship management
Must be concerned with the lifetime value of the customer.
Takes more time to attract new customer than to keep a current customer satisfied.
Key is to attract retain and grow customers.
Strategic planning process
Involves developing an overall company strategy for long-run survival and growth
Process involves
Defining a mission
Setting company objectives
Designing a business portfolio
Planning functional strategies
Market growth
The demand for a product
Market share
Sales for specific companies brand in the market
Industry attractiveness is similar to
Growth rate
Business strength is similar to
Market share
Industry attractiveness factors
Market size, growth rate, competition, profit margins and technology
Business strength factors
Market share, product quality, brand factors, opportunities and threats
Market penetration
Trying to grow their sales with existing products and customers.
— aggressive promotion, price cut, selling to more places, improving product without developing new one
Product development
Develop new products for exsist ing customers
— newer phones, new cars, new version of word
Market development
Grow existing products to new customers/markets
—moving disney to Japan
Diversification
Brand new products and new customers.
— sony
Functions of marketing
Buying, selling, storing, financing, standardization/grading, risk taking, transporting, market information
