Chapter 2 Flashcards
(39 cards)
One key to long-term financial performance is to establish a _____.
sustainable competitive advantage
Product excellence _____.
occurs by having products with high perceived value and effective branding and positioning
What are the examples of strengths that could be identified in a SWOT analysis?
Strong brand recognition and a reliable network of spokespeople.
Revenues and profits are commonly used ____ to assess performance.
metrics
What are reasons why strategic planning may NOT occur sequentially?
- When new logical alternatives arise
- When a situation analysis necessitates that the mission statement be revised
- When the implementation plan cannot move forward because there are too few resources
A _____ strategy introduces a new product or service to a new market segment, one that the firm has NOT yet targeted.
diversification
What growth strategy is being used when a company that makes protein bars for long-distance runners starts selling the same bars to busy parents as a quick breakfast?
Market development
A smartphone manufacturer makes a new smartwatch that pairs well with its existing phones. This is an example of which growth strategy?
Product development
What are the main purposes of metrics during the final step of the marketing planning process?
To predict what will happen and to explain why things happened
A sustainable competitive advantage _____.
is something that can be maintained for a long time and is not easily copied
Firms that achieve a sustainable competitive advantage through their merchandise and service offerings, and through effective branding and positioning, are doing so using _____ excellence.
product
Which statement about strategic planning is true?
The process can move back and forth between steps, depending on the situation
In a(n) _____ diversification opportunity, the current target market and/or marketing mix shares something in common with the new opportunity.
related
A metric is a ____ that quantifies a trend, dynamic, or characteristic.
measuring system
A portfolio analysis involves which of the following?
Management allocates its resources to products with the greatest potential to be profitable and management evaluates the firm’s various products and businesses.
A market penetration strategy, as one of the possible growth options, may be achieved by which of the following?
Encouraging current customers to patronize the firm and the brand more often
A company that has successfully built a wall around its position in the market, making it hard for competitors outside the wall to enter the market and compete, is an example of a company that has established _______.
a competitive advantage
A _____ identifies a firm’s target markets, a related marketing mix, and the bases upon which the firm plans to build a sustainable competitive advantage.
marketing strategy
Which type of excellence is achieved through efficient operations, excellent supply chain management, and strong relationships with suppliers?
Operational excellence
A competitive advantage based on location _____.
is sustainable when real estate is difficult or expensive to obtain
In _____ analysis, management evaluates the firm’s various products and businesses, then allocates resources according to potential profit outlook.
portfolio
A market _____ growth strategy focuses on increasing sales of the firm’s current products to its current target markets.
penetration
The purpose of a marketing strategy is to maximize short-term profits.
False
Locational excellence is particularly important for which type of firm?
Retailers
