Study your flashcards anywhere!

Download the official Cram app for free >

  • Shuffle
    Toggle On
    Toggle Off
  • Alphabetize
    Toggle On
    Toggle Off
  • Front First
    Toggle On
    Toggle Off
  • Both Sides
    Toggle On
    Toggle Off
  • Read
    Toggle On
    Toggle Off
Reading...
Front

How to study your flashcards.

Right/Left arrow keys: Navigate between flashcards.right arrow keyleft arrow key

Up/Down arrow keys: Flip the card between the front and back.down keyup key

H key: Show hint (3rd side).h key

A key: Read text to speech.a key

image

Play button

image

Play button

image

Progress

1/21

Click to flip

21 Cards in this Set

  • Front
  • Back
What is strategic group?
A group of firms following the same strategy in a given market.
Which three variables should a company monitor when analyzing competitors?
1) Share of Market
2) Share of Mind
3) Share of Heart
Share of Market is
the competitor's share of the target market.
Share of Mind is
the percentage of customers who named the competitor in responding to the statement, "Name the first company that comes to mind in this industry"
Share of Heart is
the percentage of customers who named the competitor in responding to the statement, "Name the company from which you would prefer to buy the product"
Name the five Competitive Forces?
1) Threat of intense segment rivalry.
2) Threat of new entrants.
3) Threat of substitute products.
4) Threat of buyers' growing bargaining power.
5) Threat of suppliers' growing bargaining power.
Classifying firms by the roles they play in the target market are:
1) Leader
2) Challenger
3) Follower
4) Nicher
What is an Industry?
Industry is a group of firms that offer a product or class of products that are close substitutes for one another.
How are Industries Classified?
1) number of sellers and degree of Product differentiation.
2) presence or absence of entry mobility, and exit barriers.
3) cost structure.
4) degree of vertical integration.
5) degree of globalization.
What can the market leader do to defend its terrain?
Continuous Innovations
Number of Sellers and degree of differntiation gives rise to which four Industry Types?
1) Pure Monopoly
2) Oligopoly
3) Monopolistic Competition
4) Pure Competetion
To prepare an effective marketing strategy, a company must study
competetors as well as actual and potential customers.
Once a company identifies its primary competitors, it must ascertain their
strategies, objectives, strengths, and weaknesses.
Which defense strategies can a dominant firm use?
1) Position Defense
2) Flank Defense
3) Preemptive Defense
4) Counteroffensive Defense
5) Mobile Defense
6) Contraction Defense
What is Position Defense?
involves occupying the most desirable market space in the minds of the consumers, making a brand almost impregnable.
What is Flank Defense?
the market leader should also erect outposts to protect a weak front or possibly serve as an invasion base for counterattack.
What is Preemptive Defense?
wage a guerilla action across the market - hitting one competition here, another there - and keep everyone off balance; or it can try to achieve a grand market envelopment.
What is Counteroffensive Defense?
the leader can meet the attacker frontally or hit its flank or lauch a pincer movement.
What is Mobile Defense?
the leader stretches its domain over new territories that can serve as future centers for defense and offense through market broadening and market diversification.
What is Contraction Defense (Strategic Withdrawal)?
giving up weaker territories and reassigning resources to stronger territories.
To prepare an effective marketing strategy, a company must study
competetors as well as actual and potential customers.