Exam 3: Strategic Planning for Competitive Advantage

The SWOT acronym refers to a firm's analysis of its:

A diversification strategy entails increasing sales by introducing new products into new markets.

Subgroups of a single business or collection of related businesses within a larger organization are referred to as:

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 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 in expanding Tianyuan's product offerings. -Refer to Novartis.If Novartis goes through with the purchase of Tianyuan,it will become a subgroup of its overall pharmaceutical business and organization.Tianyuan will then be considered a _____ of Novartis.

Arizona Tea is marketed by Vultaggio & Sons.Vultaggio & Sons took a basic drink and put it into unusual bottles with elaborate designs.The wide-mouthed,long-necked bottles are now considered to be trendsetters in the new age beverage industry,and customers often buy the tea just for the bottle.The success of Arizona Tea is based on:

iTunes has a(n)_____,as they have exclusive agreements with some of the most sought after music corporations that other digital music stores do not have.

Niche competitive advantages are quite common.

The manufacturer of Macho brand martial arts products was implementing a strategic plan when it sponsored a local karate tournament for teenagers.

The Heritage Bank is unaware of all the many tools available that will let marketers examine a firm's processes and identify potential areas for improvement.This firm wants to examine all of its goals,strategies,and structure to ensure it's on the right track and doing things well.Heritage has hired you as an outside consultant to recommend a plan of action.What do you suggest and why?

All of the following are basic strategies resulting from a portfolio analysis EXCEPT:

_____ provides the mechanisms for evaluating marketing results in light of the plan's objectives and for correcting actions that do not help the organization reach those objectives within the budget guidelines.

Earl is starting a new bank.Before the opening day,Earl had a meeting with all employees.He discussed their mission,defined objectives for the bank for the coming years,and shared who their target market is.He talked about their product offerings and where their future branches would be located.Earl is sharing the bank's:

A planning manager visiting a company's health and beauty aids division discovers the division has no effective method for allocating resources,nor for evaluating actual results against planned results.His suggestion to the division would likely be to prepare a:

What is marketing myopia? If a movie theater company had a myopic orientation,how might it state its business purpose? If the movie theater company avoided a myopic orientation,how would its business purpose change?

DeFeet International 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 were 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. Products include socks, armskins, calfskins, boxer briefs, gloves, and shirts for the serious athlete. DeFeet has a custom department where socks, armskins, and gloves can be personalized 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 20 countries like Israel, Australia, Belgium, and the United States. More than two dozen online retailers also carry DeFeet products. -Refer to DeFeet International.DeFeet's _____ is what its customers give up to obtain their apparel.

Land O'Lakes makes a light butter with canola oil that has 60 percent less cholesterol and 50 percent less fat and calories than butter.This marketing gives the product a:

Name and describe the three requirements for effective strategic planning.

DeFeet International 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 were 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. Products include socks, armskins, calfskins, boxer briefs, gloves, and shirts for the serious athlete. DeFeet has a custom department where socks, armskins, and gloves can be personalized 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 20 countries like Israel, Australia, Belgium, and the United States. More than two dozen online retailers also carry DeFeet products. -Refer to DeFeet International.What is DeFeet's most likely target market strategy?

Which of the following categories in the portfolio matrix is a market leader and growing fast?

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 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 respected 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 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.