Chapter 2

Question 1

Profit

Answer 1

The reward to a for-profit organization for the risk it undertakes in marketing its offerings

Question 2

Kinds of organizations

Answer 2

• For profit
• Nonprofit
• Government agencies

Question 3

Strategy

Answer 3

An organization’s long term course of action that delivers a unique customer experience while achieving its goals

Question 4

Board of ditectors

Answer 4

Oversees the three levels of strategy in organizations corporate, strategic business unit, and functional

Question 5

Corporate level

Answer 5

Top management that directs over strategy for the entire organization

Question 6

Strategic business unit level

Answer 6

Subsidiary division or unit of an organization that markets a set of related offerings to a clearly defined target market

Question 7

Functional level

Answer 7

Groups of specialists create value for the organization

Question 8

Core values

Answer 8

Fundamental, passionate, and enduring principles that guide an organization

Question 9

Mission

Answer 9

Statement or vision of an organization’s function in society

Question 10

Organizational culture

Answer 10

Set of values, ideas, attitudes, and behavioral norms that is learned and shared among the members of an organization

Question 11

Business

Answer 11

Underlying industry or market sector of an organizations’s offering

Question 12

Goals (objectives)

Answer 12

Statement of an accomplishment of a task to be achieved, often by a specific time

Question 13

Market share

Answer 13

Ratio of fim’s sales to the total sales of all firms in the industry

Question 14

Marketing plan

Answer 14

A road map for the marketing activities of an organization for a specified future time period

Question 15

Marketing dashboard

Answer 15

Visual computer display of essential marketing information

Question 16

Marketing metric

Answer 16

A measure of the value or trend of a marketing action or result

Question 17

Why use Data visualization?

Answer 17

(1) spot deviations from plans during the evaluation phase

(2) Take corrective actions

Question 18

How to set strategic direction

Answer 18

Ask: (1) Where are we now? (2) Where do we want to go?

Question 19

Core competencies

Answer 19

Special capabilities- the skills, technologies, and resources that distinguish it from other organizations and provide customer value

Question 20

Competitive advantage

Answer 20

Unique strength relative to competitors that provides superior returns, often based on quality, time, cost, or innovation

Question 21

Business portfolio analysis

Answer 21

A technique that managers use to quantify performance measures and growth targets of their firms’ strategic business units

Question 22

Market growth rate

Answer 22

Annual rate of growth of the (Strategic Business Unit) SBU’s industry

Question 23

Relative market share

Answer 23

Sales of the SBU divided by the sales of the largest firm in the industry

Question 24

Question marks

Answer 24

SBU’s with low share of high-growth markets

Question 25

Stars

Answer 25

SBU's with high share of high-growth markets that may need extra cash to finance their own rapid future growth

Question 26

Cash cows

Answer 26

SBU's that generate large amounts of cash, far more than they can use

Question 27

Dogs

Answer 27

SBU's with low shares of slow-growth markets

Question 28

Diversification analysis

Answer 28

Technique a firm uses to search for growth opportunities from among current and new products and markets

Question 29

Market penetration

Answer 29

A marketing strategy to increase sales of current products in current markets

Question 30

Market development

Answer 30

Marketing strategy to sell current products to new markets

Question 31

Product development

Answer 31

Marketing strategy of selling new products to current

Question 32

Diversification

Answer 32

Marketing strategy of developing new products and selling them in new markets

Question 33

Strategic marketing process

Answer 33

An approach whereby an organization allocates its marketing mix resources to reach its target markets

Question 34

Planning phase of strategic marketing process

Answer 34

(1) situation analysis (SWOT) (2) Market-product focus and goal setting (3) Marketing program

Question 35

Situation analysis

Answer 35

Taking stock of where a firm or product has been recently, where it is now, and where it is headed

Question 36

SWOT analysis

Answer 36

Acronym: Describing an organization's appraisal of its internal strengths and weaknesses and its external opportunities and threats

Question 37

Market segmentation

Answer 37

Aggregating of potential buyers into groups that have common needs and will respond similarly to a marketing action

Question 38

Points of difference

Answer 38

Those characteristics of a product that make it superior to competitive substitutes

Question 39

Implementation phase

Answer 39

(1) obtaining resources (2) Designing the marketing organization (3) defining precise tasks, responsibilities, and deadlines (4) Executing the marketing program designed in the planning phase

Question 40

Marketing strategy

Answer 40

The means by which a marketing goal is to be achieved

Question 41

Marketing tactics

Answer 41

Detailed day to day operational decisions essential to the overall success of marketing strategies