Chapter 2 Flashcards
Strategic Planning
The process of establishing an organizational mission and formulating goals, corporate strategy, marketing objectives, marketing strategy, and a marketing plan.
Marketing Strategy
A plan of action for identifying and analyzing a target market and developing a marketing mix to meet the needs of that market.
Marketing Plan
A written document that specifies the activities to be performed to implement and control the organization’s marketing activities.
Core Competencies
Things a company does extremely well, which sometimes gives it an advantage over its competition.
Market Oppurtunity
A combination of circumstances and timing that permits an organization to take action to reach a particular target market.
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.
Competitive Advantage
The result of a company matching a core competency to opportunities is has discovered in the marketplace.
SWOT Analysis
Assessment of an organization’s strengths, weaknesses, opportunities, and threats.
Mission Statement
A long-term view, or vision, of what the organization wants to become.
Marketing Objective
A statement of what is to be accomplished through marketing activities.
Corporate Strategy
A strategy that determines the means for utilizing resources in the various functional areas to reach the organization’s goals.
Strategic Business Unit (SBU)
A division, product line, or other profit center within the parent company.
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.
Market Share
The percentage of a market that actually buys a specific product from a particular company.
Market Growth/Market Share Matrix
A helpful business tool, based on the philosophy that a product’s market growth rate and it’s market share are important considerations in determining its marketing strategy.
Sustainable Competitive Advantage
An advantage that competition cannot copy.
Marketing Planning
The systematic process of assessing marketing opportunities and resources, determining marketing objectives, defining marketing strategies, and establishing guidelines for implementation and control of the marketing program.
Marketing Implementaion
The process of putting marketing strategies into action.
Intended Strategy
The strategy the organization decides on during the planning phase and wants to use.
Realized Strategy
The strategy that actually takes place.
External Customers
Individuals who patronize a business–the familiar definition of “customers.”
Internal Customers
The company’s employees.
Internal Marketing
A management philosophy that coordinates internal exchanges between the organization and its employees to achieve successful external exchanges between the organization and its customers.
Total Quality Management (TQM)
A philosophy that uniform commitment to quality in all areas of the organization will promote a culture that meets customer’s perceptions of quality.
Benchmarking
Comparing the quality of the company’s goods, services, or processes with that of its best-performing competitors.
Empowerment
Giving customer-contact employees authority and responsibility to make marketing decisions without seeking approval of their supervisors.
Centralized Organization
A structure in which top-level managers delegate little authority to lower levels.
Decentralized Organization
A structure in which decision-making authority is delegated as far down the chain of command as possible.
Marketing Control Process
Establishing performance standards, evaluating actual performance by comparing it with established standards, and reducing the differences between desired and actual performance.
Performance Standard
An expected level of performance against which actual performance can be compared.
