Exam 2: Strategic Planning for Competitive Advantage

What is environmental scanning? Name four environmental forces that affect marketing decision-making.

Novartis,a Swiss drug maker,is planning to purchase a majority stake in Zhejiang Tianyuan Bio-Pharmaceutical Company,a Chinese vaccine maker.Novartis has agreed to pay $125 million for the company that holds a 3% share of China's $1 billion vaccines market.The market for vaccines is growing 20% or more in developing nations of Asia,Africa,and Australasia.In the past,vaccine use has been limited to basic shots against diseases such as polio,tuberculosis,and measles,but as the economies of these countries grow,government and private healthcare spending focuses on preventing diseases such as hepatitis B,cholera and rotavirus,tetanus,and others.Some critics are against the acquisition,claiming that prices will increase.Novartis claims it is not interested in raising prices but rather to expand Tianyuan's product offering -Refer to Novartis.Novartis assessed the opportunity presented by the growing potential markets in developing countries and determined it was consistent with its internal quality production processes and extensive R&D capabilities.This assessment process in which Novartis learned this about the environment is called a:

Identify four common reasons for failing to achieve a marketing objective.

Delta Faucet Company Masco is the name of a well-recognized company in the construction industry.It produces cabinetry,furniture,lighting,and plumbing fixtures for the upper-end homeowner and builder.One of the divisions of Masco is the Delta Faucet Company,which is the leader in the faucet industry.Delta Faucet was founded in 1955.Over the decades,it has developed a legacy based on well-crafted,high-quality products.Since the 1970s,Delta has focused its energies on building loyalty with the builder marketplace.Research in 2002 showed that while builders respect the Delta faucet for its quality,durability,and dependability,household consumers were not enamored with Delta products.Due to the number of new magazines and television programs devoted to home style,homeowners wanted faucets that were chic and stylish.This was not the image of the Delta Faucet.To change its image,Delta Faucet began a marketing program in which it committed itself to developing new products to appeal to homeowners.It adopted a new slogan,"Beautifully Engineered." -Refer to Delta Faucet Company.Delta's development of a new slogan represents a change in the _____ element of its marketing mix.

Le Feast is a catering company that has developed a marketing plan designed to make it the largest caterer in the country within the next two decades.Which of the following will be useful to the company to evaluate how successful its efforts have been at the end of the first decade?

Walmart realizes a _____ using its relationships with suppliers to give customers low prices and good customer service.

A _____ is defined as a statement of what is to be accomplished through marketing activities.

All of the following are characteristics of a good objective EXCEPT:

As marketers gain more experience in marketing a product,costs tend to decrease,which is an example of the maturity effect.

DeFeet International started as a cyclist sock company.The founder,Shane Cooper,said that the existing socks for cyclists were just not of great quality so he made socks for his cycling team by knitting them inside out.The socks were of special materials aimed at giving the cyclist the most comfortable fit.These socks were not the traditional white socks but bright,bold,and flashy colored socks with cool graphics.These high tech socks were priced around $10 a pair.Their web site says "DeFeet is Made for Driven Soles." Soon cycling elites like Lance Armstrong and Greg LeMond were sporting the DeFeet brand.The company branched into running,hiking and snow gear.Their products include socks,armskins,calfskins,boxer briefs,gloves,and shirts for the serious athlete.They also have a custom department where socks,armskins,and gloves can be customized with any motif including sponsor types of logos like Michelin,Pabst Blue Ribbon,or BP.Even kids can enjoy DeFeet's high quality socks.DeFeet's products can be found in retailers across the world,in more than twenty countries,like Israel,Australia,Belgium and the United States.More than two-dozen online retailers also carry their products. -Refer to DeFeet International.What kind of competitive advantage would you say DeFeet has?

The set of unique features of a company and its products that are perceived by the target market as significant and superior to the competition is known as a(n):

Which of the following strategies would be most appropriate for a dog?

What is a SWOT analysis? How does it relate to strategic planning?

When McDonald's introduced yogurt parfaits,entrée salads,and fruit to offer their current customers more healthy options,the company was engaging in a _____ strategy.

Zipcar is a car rental service found in many metropolitan areas.It targets people who take mass transit or carpool to work but who occasionally need a car to run errands,visit the doctor,or check on a sick child.Zipcar is one of a few companies currently providing cars that can be rented by the hour.Zipcar has created a(n)_____ advantage.

Delta Faucet Company Masco is the name of a well-recognized company in the construction industry.It produces cabinetry,furniture,lighting,and plumbing fixtures for the upper-end homeowner and builder.One of the divisions of Masco is the Delta Faucet Company,which is the leader in the faucet industry.Delta Faucet was founded in 1955.Over the decades,it has developed a legacy based on well-crafted,high-quality products.Since the 1970s,Delta has focused its energies on building loyalty with the builder marketplace.Research in 2002 showed that while builders respect the Delta faucet for its quality,durability,and dependability,household consumers were not enamored with Delta products.Due to the number of new magazines and television programs devoted to home style,homeowners wanted faucets that were chic and stylish.This was not the image of the Delta Faucet.To change its image,Delta Faucet began a marketing program in which it committed itself to developing new products to appeal to homeowners.It adopted a new slogan,"Beautifully Engineered." -Refer to Delta Faucet Company.While new home construction is not growing as rapidly as it once did,the number of homeowners who are remodeling bathrooms and kitchens is growing.According to the portfolio model,Masco would consider Delta a(n):

_____ show costs declining at a predictable rate as experience with a product increases.

Novartis,a Swiss drug maker,is planning to purchase a majority stake in Zhejiang Tianyuan Bio-Pharmaceutical Company,a Chinese vaccine maker.Novartis has agreed to pay $125 million for the company that holds a 3% share of China's $1 billion vaccines market.The market for vaccines is growing 20% or more in developing nations of Asia,Africa,and Australasia.In the past,vaccine use has been limited to basic shots against diseases such as polio,tuberculosis,and measles,but as the economies of these countries grow,government and private healthcare spending focuses on preventing diseases such as hepatitis B,cholera and rotavirus,tetanus,and others.Some critics are against the acquisition,claiming that prices will increase.Novartis claims it is not interested in raising prices but rather to expand Tianyuan's product offering -Refer to Novartis.Novartis is creating and maintaining a fit between its objectives and resources and evolving market opportunities in developing countries.Novartis is engaging in:

There is an overabundance of apartments in Atlanta.Post Properties,the owner of many of the metropolitan area's largest apartment complexes,has reduced its rent so it can fill vacant apartments.Which marketing mix element did Post Properties change to create more demand for its apartments?

Yildiz Holding of Turkey purchased Godiva Chocolates from Campbell's Soup Company.Campbell's sold one of its: