Marketing Principles & Concepts Chapter 2

Discipline: Marketing

Type of Paper: Question-Answer

Academic Level: Undergrad. (yrs 3-4)

Paper Format: APA

Pages: 1 Words: 275


    Marketing Principles & Concepts Chapter 2

Strategic planning   the process of developing and maintainging a strategic fit between the organization's goals and capabilities and its changing marketing opportunities

Mission Statement    a statement of the organization's purpose-what it wants to accomplish in the larger environment

Business Portfolio   the collection of businesses and products that make up the company.

Portfolio analysis   the process by which management evaluates the products and businesses that make up the company

Growth-share matrix   a portfolio-planning method that evaluates a company's SBUs in terms of market growth rate and relative market share.

Product/market expansion grid    a portfolio-planning tool for identifying company growth opportunities through market penetration, market development, product development, or diversification.

Market penetration   company growth by increasing sales of current products to current market segments without changing the product.
market development   company growth by identifying and developing new market segments for current company products

Product development   company growth by modified or new products to current market segments

diversification   company growth through starting up or acquiring businesses outside the company's current products and markets

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

Value delivery network    a network composed of the company, suppliers, distributors, and ultimately, customers who partner with each other to improve the performance of the entire system in delivering customer value. 

Marketing Strategy   the marketing logic by which the company hopes to create customer value and achieve profitable customer relationships

Market Segmentation   Dividing a market into distinct groups of buyers who have different needs, characteristics, or behaviors and who might require separate marketing strategies or mixes.

Market segment   a group of consumers who respoond in a similar way to a given set of marketing efforts

Market targeting    the process of evaluating each market segment's attractiveness and selecting on or more segments to enter.

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

Differentiation    Actually differentiating the market offering to creat superior customer value.

Marketing Mix   The set of tactical marketing tools-products, price, place, and promotion-that the firm blends to produce the response it wants in the target market.

SWOT Analysis    Strengths: Internal capabilities that may help a company reach its objectives. Weaknesses: Internal limitations that may interfere with a company's ability to achieve its objectives. Opportunities: External factors that the company may be able to exploit to its advantage. Threats: Current and emerging external factors that may challenge the company's performance.

Marketing Implementation   turning marketing strategies and plans into marketing actions to accomplish strategic marketing objectives

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

Marketing return on investment (or Marketing ROI)    The net return from a marketing investment divided by the costs of the marketing investiment