Exam 2: Strategic Planning for Competitive Advantage

Novartis 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,which holds a 3 percent share of China's $1 billion vaccines market.The market for vaccines is growing 20 percent or more in the developing nations of Asia,Africa,and Austral ia.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 in expanding Tianyuan's product offerings. -Refer to Novartis.By acquiring Tianyuan,Novartis will be offering vaccines,a product that it currently offers in its existing markets,to new markets for the company.This is an example of which strategic alternative?

Yard Whimzees,a Statesboro,Georgia,sign business,began by making wooden signs for residential use to announce births,anniversaries,and such.The company then turned to the business market by making signs for businesses.Creating signs for a new market is an implementation of a _____ strategy.

A written document that acts as a guidebook of marketing activities for the marketing manager is known as the:

The marketing mix refers to a unique blend of marketing variables known as the four Ps.Name and briefly describe each of the 4 Ps.

After learning that many of their customers were shopping at a nearby health-food store for free-range chickens and organic produce,IGA grocery stores began stocking more organic items.IGA adjusted its market strategy based on:

LaRosa's is a popular and successful Italian restaurant chain located in the Cincinnati,Ohio area.It is found only in the "tri-state area" of southwestern Ohio,northern Kentucky,and southeastern Indiana.For over 50 years,this strategy has given the restaurant a:

Developing a cost competitive advantage can enable a firm to deliver superior customer value.

Since gas prices have soared and consumers have cut back on their spending on new trucks and SUVs,Ford Motor Corporation is transforming several of its plants to create small cars.Ford has engaged in:

In theory,an SBU should have its own resources for handling basic business functions.

Golden Valley Microwave Foods,Inc.is the manufacturer of ACT II popcorn.In its early years,the company had trouble financing the development and marketing of products for the microwave,so it chose to participate in a financial arrangement in which it agreed that it would not sell ACT II popcorn in supermarkets or grocery stores.Which element of the marketing mix was most influenced by this arrangement?

The typical starting point of any firm's marketing mix is the:

A business unit that usually generates more than it needs to maintain its market share is called a(n)_____ in the portfolio matrix.

A popular technique for managing a large organization with different technologies and markets is to divide it into:

The marketing of organic cotton tee-shirts for Life is good's existing customers would be an example of a _____ strategy.

Of the following,what is the most useful objective for Purina cat food?

A firm's mission statement should answer the question,"What products do we produce best?"

The _____ is the unique blend of product,place,promotion,and pricing strategies designed to produce mutually satisfying exchanges with a target market.

BMW offers customers a four-year,50,000 mile maintenance cost-free program called "BMW Ultimate Service." The service includes free replacement of brake pads and rotors,wiper blades,scheduled maintenance,oil changes,and roadside maintenance.This marketing gives BMW a:

A subgroup of a single business or a collection of related businesses within the larger organization is called a(n):

Wendy's 99¢ Everyday Value Menu offers several of the chain's most popular menu items for 99 cents each.This strategy reflects a change in the _____ element of its marketing mix.