Exam 2: Strategic Planning for Competitive Advantag

Diamonds that come from rebel African troops trying to get money for weapons are much cheaper than diamonds from countries that are not in conflict.A diamond retailer that ignores the pleas of human rights organizations not to sell the cheaper diamonds is creating a cost competitive advantage for itself.

Baths From the Past is a small company that sells reproduction sinks,bathtubs,toilets,and faucets for people who are trying to make their bathroom more stylish.The company's management is currently conducting a formal study of its current strengths and weaknesses by looking at the company's profit and sales histories and searching for opportunities and threats by studying consumer trends.Baths From the Past is conducting a(n):

Which of the following statements about a marketing plan is true?

U.S.-based Thermo Electron Corp.,the biggest maker of measurement instruments for medical laboratories,agreed to buy the radiation-monitoring products unit of Compagnie de Saint-Gobain for $30 million to gain European customers.Saint-Gobain of France is Europe's number 1 distributor of building materials,and its radiation monitoring unit did not support the company's mission statement.Thermo Electron engaged in a _____ strategy.

Making sure products are available when and where customers want them is the job of which element of the marketing mix?

Technol Medical Products makes specialty face masks to shield health-care workers from infection.Because it focuses on this narrow market,it is able to outsell its primary competitors-3M and Johnson & Johnson.Technol Medical products has a(n):

DaimlerChrysler discovered that many of its 2002 Prowlers automobiles had faulty fuel systems that could cause the vehicles to stall in traffic.Which one of the marketing mix strategies should the auto manufacturer use to alert buyers to this problem?

Knorr,manufacturer of soup,dip,and gravy mixes,printed on-package recipes,gave out coupons to existing customers,and created a recipe booklet that could be ordered with three UPC codes from three different Knorr products.All of these activities would be representative of a _____ strategy.

Strategic planning is most effective when managers view it as an annual exercise.

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?

Patents on allergy relief medications like Allegra and Claritin give the pharmaceutical companies that own the patents a(n)_____ for 17 years until the patent expires.

In 2004,Giorgio Armani,the Italian fashion group,announced plans to launch a $1 billion international luxury hotel chain containing ten hotels and four resorts before the end of 2015.This _____ will take advantage of an international trend toward luxury lifestyle consumerism and allow the company to achieve its growth objectives.

The acronym SBU refers to:

When a florist shop begins to sell burial caskets to its customers,it is engaged in product development.

Which of the following companies has a competitive advantage?

SCENARIOS Eastman Kodak Co. As the head of Eastman Kodak Co.,George M.C.Fisher devised a plan to save Kodak from being trapped in the slow growth photography industry,hobbled by huge debts,a dysfunctional management culture,and a dispirited workforce.At the time of his takeover of Kodak,the product development and sales functions for the company were scattered among divisions,and the business mission was ill-focused.Fisher envisioned a long-term strategy in which Kodak focused on its core competencies.By evaluating the pros and cons associated with its various businesses,Fisher decided that imaging was the key to the future.He then sold Kodak's health and household-products arms.He also assembled most of the corporate talent into one division and hired an experienced computer marketing executive to head it.Further,by stressing accountability,quality,and cycle time,Fisher began to transform Kodak's slow moving culture.Fisher believes Kodak could double its growth rate in photography,a tough challenge in a slow-growing market,by becoming more global and by challenging Fujifilm in China. -Refer to Eastman Kodak Co.By pruning product lines and assembling the corporate talent into one division,Fisher engaged in _____,which often results in a cost competitive advantage.

A situation analysis is a small part of the more all-encompassing SWOT analysis.

What is the difference between planning,strategic planning,and marketing planning?

Niche competitive advantages are quite common.

In 2004,Giorgio Armani,the Italian fashion group,announced plans to launch a $1 billion international luxury hotel chain containing ten hotels and four resorts before the end of 2015.Since this was Armani's first venture into the hotel industry,it would be an example of: