company & marketing strategy Flashcards
What is strategic planning?
Refers to the process of developing and maintaining a strategic fit between organisational goals, capabilities and its changing marketing opportunities.
Mission statement
Refers to what the company wants to achieve now.
Vision statement
what the company wants to achieve in the future.
Name the product/market expansion grid.
Market penetration
Market development
Product Development
Diversification
Market penetration
Refers to increasing sales of existing products to existing markets without changing the product.
Market development
Refers to identifying and developing new markets for existing products.
Product development
Offers modified or new products to existing markets.
Diversification
Start up or acquire businesses outside the company’s existing products and markets.
Strengths
Refers to internal capabilities that may help a company reach its objectives.
Strong brand name
Wide distribution network/ Extensive global supply chain
Strong financial resources
Weaknesses
Internal limitations that may interfere with a company’s ability to achieve its objectives.
Slow response to changes
Non-creative promotion
Poor location
Poor quality products
Opportunities
Refers to external factors that the company may be able to exploit to its advantage.
New markets
New distribution channels
New consumer trends
Technological changes
Threats
Refers to current and emerging external factors that may challenge the company’s performance.
New competitors
Competitors’ new products
Government Regulations
Economic environment
What are the criteria of a good mission statement?
Market oriented.
Satisfy customer’s needs and wants.
Should not be defined in terms or products or services.
Should not be defined in terms of profit or sales.
Motivating.
Emphasis on company’s strengths.
What are the steps for strategic marketing?
- Define mission statement.
- Set goals and objectives.
- Design business portfolio.
- Develop marketing strategy.
