Mktg 317
Ch 3 – Strategic Planning for Competitive Advantage
Strategic planning: the managerial process of creating and maintaining a fit between the organization’s objectives and resources and the evolving market opportunities. Goal is long-run profitability and growth. Two questions: what is the organization’s main activity at a particular time? How will the organization reach its goals? Achieve strategic planning through a marketing plan.
Planning: process of anticipating future events and determining strategies to achieve organizational objectives in the future. Marketing planning involves designing activities relating to marketing objectives and the changing marketing environment.
Marketing myopia: defining a business in terms of goods and services rather than in terms of the benefits that customers seek (business mission statements that are stated too narrowly suffer this).
Strategic Business Unit (SBU): a subgroup of a single business or a collection of related businesses within a larger organization. For example, Kraft foods can have SBU’s for each business which include breakfast foods, desserts, petfood etc.
Marketing objective: statement of what is to be accomplished through marketing activities. They need to be realistic, measurable and time specific. It must be consistent with and indicate the priorities of the organization. It communicates marketing management philosophies and provide direction for lower level marketing managers; can also service as motivators by creating goals for employees to strive toward; form a basis of control.
SWOT (Strengths & Weaknesses: production costs, marketing skills, financial resources, image, technology) (Opportunities & threats: social, demographic, economic, technological, political/legal, competitive). Environmental scanning: collection and interpretation of info about forces, events, and relationships in .the external environment that may affect the future of the organization or implementation of marketing plan.
Strategic planning: the managerial process of creating and maintaining a fit between the organization’s objectives and resources and the evolving market opportunities. Goal is long-run profitability and growth. Two questions: what is the organization’s main activity at a particular time? How will the organization reach its goals? Achieve strategic planning through a marketing plan.
Planning: process of anticipating future events and determining strategies to achieve organizational objectives in the future. Marketing planning involves designing activities relating to marketing objectives and the changing marketing environment.
Marketing myopia: defining a business in terms of goods and services rather than in terms of the benefits that customers seek (business mission statements that are stated too narrowly suffer this).
Strategic Business Unit (SBU): a subgroup of a single business or a collection of related businesses within a larger organization. For example, Kraft foods can have SBU’s for each business which include breakfast foods, desserts, petfood etc.
Marketing objective: statement of what is to be accomplished through marketing activities. They need to be realistic, measurable and time specific. It must be consistent with and indicate the priorities of the organization. It communicates marketing management philosophies and provide direction for lower level marketing managers; can also service as motivators by creating goals for employees to strive toward; form a basis of control.
SWOT (Strengths & Weaknesses: production costs, marketing skills, financial resources, image, technology) (Opportunities & threats: social, demographic, economic, technological, political/legal, competitive). Environmental scanning: collection and interpretation of info about forces, events, and relationships in .the external environment that may affect the future of the organization or implementation of marketing plan.