Marketing Chapter 2

Front 1

Strategic Planning

Back 1

The process of developing and maintaining a stategic fit between the organization's goals and capabilities and its changing marketing opportunities. It involves defining a clear company mission, setting supporting objectives, designing a sound business portfolio, and coordinating functional strategies.

Front 2

Mission Statement

Back 2

A statement of the organization's purpose--what it wants to ccomplish in the larger environment.

Front 3

Business portfolio

Back 3

The collection of businesses that make up the company.

Front 4

Portfolio analysis

Back 4

A tool by which management indentifies and evaluates the vcarious businesses making up the company.

Front 5

Strategic Business Unit (SBU)

Back 5

A unit of the company that has a separate mission and objectives and that can be planned independently from other company businesses.

Front 6

Growth-share matrix

Back 6

A portfolio-planning method that evaluates a company's strategic business units in terms of their market growth rate and relative market share. SBU's are classified as stars, cash cows, question marks, or dogs.

Front 7

Product/market Expansion Grid

Back 7

A portfolio-planning tool for identifying company growth opportunities through market penetration, market development, product development, or diversification.

Front 8

Market penetration

Back 8

A strategy for company growth by increasing sales of current products to current market segments without changing the product.

Front 9

Market development

Back 9

A strategy for company growth by indentifying and developing new market segments for current company products.

Front 10

Product Development

Back 10

A strategy for company growth by offering modified or new products to current market segments.

Front 11

Diversification

Back 11

A strategy for company growth through starting up or acquiring businesses outside the company's current products and markets.

Front 12

Downsizing

Back 12

Reducing the business portfolio by eliminating products or business units that are not profitable or that no longer fit the company's overall strategy.

Front 13

Partner Relationship Management

Back 13

Working closely with partners in other company departments and outside the company to jointly bring greater vlue to customers.

Front 14

Value Chain

Back 14

The series of departments that carry out value-creating activities to design, produce, market, deliver, and support a firm's products.

Front 15

Value-delivery market

Back 15

The network made up of the company, suppliers, distributors, and ultimately customers who "partner" with each other to improve the performance of the entire system.

Front 16

Marketing Process

Back 16

The process of (1) analyzing marketing opportunities, (2) selecting target markets, (3) developing the marketing mix, and (4) managing the marketing effort.

Front 17

Market Segmentation

Back 17

Dividing a market ino distinct groups of buyers who have disctinct needs, characteristics, or behavior and who might require separate products or marketing mixes.

Front 18

Target marketing

Back 18

The process of evaluating each market segment's attractiveness and selecting one or more segments to enter.

Front 19

Market positioning

Back 19

Arranging for a product to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers.

Front 20

Marketing Mix

Back 20

The set of controllable tactical marketing tools--product, price, place, and promotion--that the firm belnds to produce the response it wants in the target market.

Front 21

Marketing Strategy

Back 21

The marketing logic by which the business unit hopes to achieve its marketing objectives.

Front 22

Marketing Implementation

Back 22

The process that turns marketing strategies and plans into marketing actions in order to accomplish strategic marketing objectives.

Front 23

Four P's vs. Four C's

Back 23

Product, Price, Place, Promotion vs. Customer solution, Customer cost, Convenience, Communication

Front 24

Marketing Control

Back 24

The process of measuring and evaluating the results of marketing strategies and plans and taking corrective action to ensure that objectives are achieved.

Front 25

Marketing Audit

Back 25

A comprehensive, systematic, independaent, and periodic examination of a company's environment, objectives, strategies, and activites to determine problem areas and opportunities and to ecommend a plan of action to improve the company's marketing performance.