Download Strategic Planning and the Marketing Process and more Lecture notes Marketing in PDF only on Docsity! Strategic Planning and the Marketing Process Chapter Two Formal Planning • Many companies operate without formal plans, yet these plans can provide many benefits such as: – Encouraging management to think ahead systematically. – Forcing managers to clarify objectives and policies. – Better coordination of company efforts. – Clearer performance standards for control. – Helping the company to anticipate and respond quickly to environmental changes and sudden developments. Market Oriented Realistic Fit Market Environment Distinctive Competencies Motivating Specific Characteristics of a Good Mission Statement: A Mission Statement is a Statement of the Organization’s Purpose. Defining the Company’s Business and Mission Setting Company Objectives and Goals Marketing Strategy Marketing Strategy Marketing Objective # 1 Marketing Strategy Marketing Objective # 2 Marketing Strategy Marketing Strategy Marketing Objective # 3 Mission Statement Designing the Business Portfolio • The business portfolio is the collection of businesses and products that make up the company. • The company must: – analyze its current business portfolio or Strategic Business Units (SBU’s) – decide which SBU’s should receive more, less, or no investment – develop growth strategies for adding new products or businesses to the portfolio Product/ Market Expansion Grid Market Penetration: making more sales to current customers without changing its products. – How? Add new stores in current market areas, improve advertising, prices, service or store design. Product/ Market Expansion Grid Market Development: develop new markets for its current products. – How? Identify new demographic or geographic markets. Product/ Market Expansion Grid Product Development: offering modified or new products to current markets. – How? New styles, colors, or modified products.
