Marketing Midterm Ch.2

Front 1

business planning

Back 1

an ongoing process of making decisions that guides the firm both in the short term and for the long term

Front 2

business plan

Back 2

a plan that includes the decisions that guide the entire organization

Front 3

marketing plan

Back 3

a document that describes the marketing environment, outlines the marketing objectives and strategy, and identifies who will be responsible for carrying out each part of the marketing strategy

Front 4

business ethics

Back 4

rules of conduct

Front 5

code of ethics

Back 5

written standards of behavior to which everyone in the organization must subscribe

Front 6

strategic planning

Back 6

a managerial decision process that matches an organization's resources and capabilities to its market opportunities for long-term growth and survival

Front 7

SBU

Back 7

Strategic business units- individual units within the firm that operate like seperate businesses, with each having its own mission, business objectives, resources, managers, and competitors

Front 8

functional planning

Back 8

a decision process that concentrates on developing detailed plans for strategies and tactics for the short term, supporting an organization's long-term strategic plan

Front 9

operational planning

Back 9

a decision process that focuses on developing detailed plans for day-to-day activities that carry out an organization's functional plans

Front 10

mission statement

Back 10

a formal statement in an organization's strategic plan that describes the overall purpose of the organization and what it intends to acheive in terms of its customers, products, and resources

Front 11

Situation analysis

Back 11

an assessment of a firm's internal and external environments

Front 12

internal environment

Back 12

the controllable elements inside an organization, including its people, its facilities, and how it does things that influence the operations of the organization

Front 13

SWOT analysis

Back 13

Strengths, Weaknesses, Opportunities, Threats- an analysis of an organization's strengths and weaknesses and the opportunities and threats in its external environment

Front 14

external environment

Back 14

the uncontrollable elements outside and organization that may affect its performance either positively or negatively

Front 15

business portfolio

Back 15

the group of different products or brands owned by an organization and characterized by different income-generating and growth capabilities

Front 16

portfolio analysis

Back 16

a management tool for evaluating a firm's business mix and assessing the potential of an organization's strategic business units

Front 17

BCG growth-market share matrix

Back 17

a portfolio analysis model developed by the Boston Consulting Group that assesses the potential of successful products to generate cash that a firm can then use to invest in new products

Front 18

stars

Back 18

SBUs with products that have a dominant market share in high-growth markets

Front 19

cash cows

Back 19

SBU's with a dominant market share in a low-growth-potential market

Front 20

question marks (aka problem children)

Back 20

SBU's with low market shares in the fast-growth markets

Front 21

dogs

Back 21

SBU's with a small share of a slow-growth market. They are businesses that offer specialized products in limited markets that are not likely to grow quickly

Front 22

market penetration strategies

Back 22

growth strategies designed to increase sales of existing products to current customers, nonusers, and users of competitive brands in served markets

Front 23

market development strategies

Back 23

growth strategies that introduce existing products to new markets

Front 24

product development strategies

Back 24

growth strategies that focus on selling new products in existing markets

Front 25

diversification strategies

Back 25

growth strategies that emphasize both new products and new markets

Front 26

5 steps of strategic planning

Back 26

1) Define the mission
2) Evaluate the internal and external environment
3) Set organizational or SBU objectives
4) Establish the business portfolio
5) Develop growth strategies

Front 27

4 steps in market planning

Back 27

1) Perform a Situtation Analysis
2) Set Marketing Objectives
3) Develop Marketing Strategies
4) Implement and Control the Marketing Plan

Front 28

control

Back 28

a process that entails measuring actual performance, comparing this performance to the established marketing objectives, and then making adjustments to the strategies or objectives on the basis of this analysis

Front 29

Objectives must be...

Back 29

specific and measurable
attainable and sustainable

Front 30

ROMI

Back 30

return on marketing investment- Quantifying just how an investment in marketing has an impact on the firm's success, financially and otherwise

Front 31

action plans

Back 31

individual support plans included in a marketing plan that provide the guidance for implementation and control of the various marketing strategies within the plan. Action plans are sometimes referred to as "marketing programs"

Front 32

Action plans help managers...

Back 32

Assign responsibility
Create a time line
Set a budget
Decide on measurments and controls

Front 33

Operational plans

Back 33

Plans that focus on the day-to-day execution of the marketing plan. Operational plans include detailed directions for the specific activities to be carried out, who will be responsible for them, and time lines for accomplishing the tasks