MKT4580 Chapter 4 Flashcards Preview

MKT 4580 Chapter 1 > MKT4580 Chapter 4 > Flashcards

Flashcards in MKT4580 Chapter 4 Deck (16):
1

SWOT Analysis is a....

Framework for organizing and utilizing the pieces of data and information gained from the situation analysis. It is simplistic, it helps lower cost, enhances the strategic plan, gives the ability to integrate and synthesis diverse info., and fosters collaboration and helps open exchange between different functional areas. A good strategy is about matching the firm’s strengths to the available opportunities.

2

Three Basic strategies for competitive advantages

Operational excellence
Product leadership
Customer intimacy

3

Four major directions for strategic focus (using SWOT)

Aggressive
Diversification
Turnaround
Defensive

4

Aggressive

Internal strength/external opportunities

5

Diversification

Internal strengths/external Threats

6

Turnaround

Internal Weaknesses/External opportunities

7

Defensive

Internal Weaknesses/External Threats

8

Red Ocean vs. Blue Ocean

-A red ocean strategy is like Michael Porters strategy.
-Red ocean strategy used in industries with known market space & too many competitors
- Red ocean strategy you can only use differentiation OR low cost.
-The goal is to beat the competition to increase your market shares.
-A Blue Ocean strategy it is like Michael Porters strategy but is more advanced.
-Blue Ocean strategy is used in industries with new market space and their competition is Irrelevant.
-Blue ocean strategy you can have both differentiation AND be a low cost provider.
-Blue Ocean Strategy defines good strategy as having Focus, Divergence, and Compelling Tagline.

9

Strategy Canvas

-Indentifies factors that the industry currently competes on and what customers receive from existing product offerings (captured by the horizontal axis – suppliers & buyers)
-Identifies the offering level received by buyers for each factor (captured by the vertical axis – Substitute, new entrants, established rivals).
-Identifies a company’s relative performance across its industry’s factors of competition (captured by the value curve).

10

The value curve of the Strategy Canvas captures...

a company's relative performance across its industry's factors of competition

11

The Vertical axis of the strategy canvas captures...

The offering level received by buyers for each factor

12

The vertical axis of the strategy canvas consist of what attributes

Substitute, new entrants, established rivals

13

The horizontal axis of the strategy canvas captures

the factors that the industry currently competes on and what customers receive from existing product offerings

14

The horizontal axis of the strategy canvas consist of what attributes

Suppliers and Buyers

15

What are the Four actions framework

Eliminate
Reduce
Raise
Create

16

Developing Goals vs Objectives

-Marketing goal is a broad statement and desired accomplishment that inquire having attainability, consistency, comprehensiveness, and intangibility.
-Marketing objectives must be specific,benchmarking measure progress toward the achievement of marketing goals and should be attainable, continuity, time frame, and assignment of responsibility.