MKT 202
CHAPTER 2
Strategic Planning Process
The process of maintaining a strategic fit between the company’s resources and abilities and changing
marketing opportunities.
1. Mission statement: an invisible hand that guides companies.
Characteristics of mission statements:
a. Market Oriented
b. Realistic
c. Specific
d. Complying with the market
environment
e. Distinctive competencies
f. Motivating
2. Designing a business portfolio
a. Business portfolio: collection of businesses that make up the company
b. Strategic Business Unit: independent business units operating in the
company
o Attractiveness
o Strength
c. The BCG Matrix
Star
Cash Cow
Question Marks
Dogs
d. Based on the positions of the SBUs, companies can decide to
Hold
Build
Harvest
Divest
3. Developing Strategies for Growth
a. Product/Market Expansion Grid
Market Penetration
Market Development
Downsizing
Product Development
Diversification
4. Marketing Strategies and Marketing Mix
Fig 2.4 Understand the interrelationships of marketing strategy and marketing mix
a. Market Segmentation
b. Targeting
c. Market Differentiation and Positioning
5. Develop and integrated marketing mix
a. Fig 2.5
b. Buyers perception as the 4P’s into 4Cs