Help
Options
Didn't know it?
click below
click below
Knew it?
click below
click below
Don't Know
Remaining cards (0)
Know
retry
shuffle
restart
0:00
Embed Code - If you would like this activity on your web page, copy the script below and paste it into your web page.
Normal Size Small Size show me how
Normal Size Small Size show me how
MKTG 5200
Chapter 4: Developing Competitive Advantage & Strategic Focus
| Question | Answer |
|---|---|
| SWOT analysis | a situation analysis tool that lists internal strengths and weaknesses, as well as external opportunities and threats |
| examples of strengths and weaknesses | finances, HR, production facilities and capacity, market share, customer perceptions, product quality and availability, organizational communication |
| examples of opportunities and threats | customers, competition, economic factors, social trends, technology, government regulations |
| major benefits of SWOT analyses | 🔸simplicity 🔸low costs 🔸flexibility 🔸integration and synthesis |
| what it means for a SWOT analysis to be flexible | comprehensive systems, which makes repeated uses smooth and efficient, feeding info into the SWOT framework |
| what it means for a SWOT analysis to have integration and sythesis | 🔸combines quantitative and qualitative info 🔸combines widely-known and brand new info 🔸deals with diverse info sources |
| common criticisms of the SWOT analysis | encourages making lists without considering the issues sterile academic exercise of classifying data and info |
| making a SWOT analysis productive | 🔸 focused on a single product 🔸search for competitors 🔸collab with other departments 🔸issues from customer and employees' view 🔸direct causes for each SWOT issue 🔸separate internal from external 🔸have a disruptive mindset |
| disruptive mindset | involves using experimental tactics that change how brands reach and market to their target audience, challenging the status quo |
| When looking for competitors in a SWOT analysis, the brand competitor is the most important. TRUTH or FALSE? | FALSE. All four competitors must be researched (brand, product, generic, and total budget). |
| what managers should consider from customers' perspectives | 🔸their beliefs about the firm 🔸what they think about product quality, customer service, price and value, convenience, and promotional messages compared to competitors 🔸external environment's effect on them 🔸how issues rank in importance |
| Analyzing customers' perspectives means studying internal customers--i.e. employees and other stakeholders--as well. TRUTH or FALSE? | TRUTH. Other stakeholders can include investors, the general public, and government officials. |
| major types of resources that cause the SWOT | 🔸financial 🔸intellectual 🔸legal (patents, trademarks, contracts) 🔸human 🔸organizational 🔸informational 🔸insight (data sources, AI, analytics) 🔸relational 🔸reputational (branding) |
| right-side-up thinking | a business viewpoint based on known facts and information, forming the basis of SWOT analysis |
| upside-down thinking | a disruptive mindset that assesses what could change in the environment that might transform current strengths into weaknesses and vice versa |
| outside-in thinking | a disruptive mindset that applies strength-to-weakness/ weakness-to-strength thinking to the competition |
| Whenever you see this card, review Exhibit 4.5 on page 93 of the textbook, which shows different types of SWOT | Quiz yourself to name three examples of SWOT from each section. |
| Strengths and weaknesses exist either because of-- | 🔸resources possessed--or not--by the firm 🔸the nature of key relationships with customers, employees, or other firms |
| capability | a strength that meets customers' needs, which a manager can leverage as a competitive advantage |
| first 4 issues a marketer must address when appraising a SWOT analysis | 🔸S's and W's addressing customer's needs 🔸meet goals & objectives by matching S's with O's 🔸investing resources to turn W's into S's and T's into O's 🔸unconvertible W's become limitations, which should be minimized |
| second 2 issues a marketer must address when appraising a SWOT analysis | 🔸using upside down thinking to assesses S's and W's for potential market disruptions 🔸using outside in thinking to assess O's and T's for chances at new competitive advantages |
| SWOT matrix (p. 96-97) | a graphic helping marketers rank SWOT issues, with S's and O's having scores of +1 to +3, and W's and T's having scores of -1 to -3, then each being multiplied by 1, 2, or 3 in importance for a final rating; highest or lowest ratings = greatest influence |
| Whenever you see this card, review Exhibit 4.9 on pages 98 and 99 of the textbook, which shows different examples of competitive advantages. | Quiz yourself by naming two examples of competitive advantages from each section. |
| Competitive advantage equals-- | operational excellence + product leadership + customer intimacy |
| operational excellence | efficiency of operations and processes, including lower costs leading to lower prices |
| product leadership | ability to develop the most advanced and highest quality products; tending to excel in technological development |
| customer intimacy | ability to develop long-term customer relationships by seeking their input on making better products or solving customer concerns |
| The most successful firms excel in just one of the three types of competitive advantages, then manages customer perceptions of it. TRUE or FALSE? | TRUTH |
| Whenever you see this card, review Exhibit 4.10 on page 101 listing core competencies for competitive advantage strategies. | Quiz yourself by naming at least one competency and one common attribute from each strategy. |
| strategic focus | the overall concept or model that guides the firm as it weaves various marketing elements into a coherent strategy; usually tied to its competitive advantages, can compensate for weaknesses, or change over time |
| general directions for strategic efforts/SWOT (p. 102 & 103) | 🔸aggressive - many S's and O's 🔸diversified - many S's and T's 🔸turnaround - many W's and O's 🔸defensive - many W's and T's |
| strategy canvas | a visualization of the firm's strategy relative to other firms in the industry |
| things goals should be | 🔸attainable 🔸consistent & compatible 🔸comprehensive 🔸involve some degree of intangibility |
| What does it mean for a goal to be comprehensive? | Each department should make its own goals pertaining to its role in achieving the overarching goal. |
| Examples of intangible goals include hiring more employees or boosting sales. TRUTH or FALSE? | FALSE. Those are tangible. Intangible goals are broader and motivational, e.g. training the most innovative employees or creating the most effective products. |
| things objectives should be | 🔸attainable 🔸continuous or discontinuous 🔸have a specific time frame 🔸assigning responsibility |
| What does it mean for objectives to be continuous or discontinuous? | Continuous objectives are similar or identical to previous objectives, including in magnitude. Discontinuous objectives significantly elevate performance levels or bring in new factors. |
| Discontinuous objectives require more analysis and linkage to strategic planning than continuous objectives. TRUTH or FALSE? | TRUTH |
| Objectives with longer time frames should have occasional reminders to employees and don't necessarily require feedback. TRUTH or FALSE? | FALSE. Reminders and feedback should both be on a regular basis. |
| What are Porter's _____ forces? | - competition in the industry/rivalry - potential new entrants - supplier power - customer/buyer power - substitute threats |
| What are Porter's 5 Forces used for? | They help managers and analysts understand the competitive environment and the firm's position in the industry. |
| What are some downsides of Porter's 5 Forces Model? | - findings are only short-term - exacerbated by globalization - tendency to analyze a company instead of the industry - forces not seen as overlapping |
| What makes Porter's 5 Forces Model different from a SWOT analysis? | Porter's Model is used mainly to look at the competitive environment. SWOT analyses are used to look at competitive AND internal environments. |
Created by:
Sunny_the_Muse
Popular Marketing sets