Flashcards in Chapter 3: Strategic Planning for Competitive Advantage Deck (27)
The process of anticipating future events and determining strategies to achieve organizational objectives in the future.
The managerial process of creating and maintaining a fit between the organization's objectives and resources and evolving market opportunities.
The entire set of situational conditions, both internal (strengths and weaknesses) and external (opportunities and threats), within which a business operates.
Strategic business unit (SBU)
A subgroup of a single business or a collection of related businesses within the larger organization.
A statement of the firm's value based on a careful analysis of benefits sought by present and potential customers and an analysis of existing and anticipated environmental conditions.
Identifying internal environment of strengths (S) and weaknesses (W) as well as external opportunities (O) and threats (T).
The collection and interpretation of information about forces, events, and relationships in the external environment that may affect the future of the organization or the implementation of the marketing plan.
A marketing strategy that tries to increase market share among existing customers, using existing products.
A marketing strategy that involves attracting new customers to existing products.
A marketing strategy that entails the creation of new products for current customers.
A strategy of increasing sales by introducing new products into new markets.
Key unique strengths that are hard to imitate and underlie the functioning of an organization.
The set of unique features of a company and its products that are perceived by the target market as significant and superior to the competition.
Cost competitive advantage
Being the low-cost competitor in an industry while maintaining satisfactory profit margins.
Curves that show costs declining at a predictable rate as experience with a product increases.
Product/service differentiation competitive advantage
The provision of a unique benefit that is valuable to buyers beyond simply offering a low price.
Niche competitive advantage
The advantage achieved when a firm seeks to target and effectively serve a single segment of the market.
Sustainable competitive advantage
An advantage that cannot be copied by the competition.
The activities of selecting and describing one or more target markets and developing and maintaining a marketing mix that will produce mutually satisfying exchanges with target markets.
A statement of what is to be accomplished through marketing activities.
Market opportunity analysis (MOA)
The description and estimation of the size and sales potential of market segments that are of interest to the firm and the assessment of key competitors in these market segments.
A unique blend of product, price, place, and promotion, strategies designed to produce mutually satisfying exchanges with a target market.
Product, price, place, and promotion, which together make up the marketing mix.
The process that turns a marketing plan into action assignments and ensures that these assignments are executed in a way that accomplishes the plan's objectives.
Gauging the extent to which the marketing objectives have been achieved during the specified period.
Provides the mechanisms both for evaluating marketing results in light of the plan's objectives and for correcting actions that do not help the organization reach those objectives within budget guidelines.