Chapter 2

Strategic Planning
• Strategic planning is defined as:
• “The process of developing and maintaining a strategic
fit between the organization’s goals and capabilities and
its changing marketing opportunities.”

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Cont.

• Planning activities occur at the business

unit, product, and market levels, and
include:
• Defining the purpose and mission
• Setting objectives and goals
• Designing the business portfolio
• Developing detailed marketing and
functional strategies.
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Cont.

• Mission statements should . . .

• serve as a guide for what the
organization wants to accomplish.
• be “market-oriented” rather than
“product-oriented”.
• be neither too narrow, nor too broad.
• fit with the market environment.
• be motivating.
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Strategic Planning

• Mission statements guide the development of

objectives and goals.
• Objectives are developed at each level in the
organization hierarchy.
• Strategies are developed to accomplish these
objectives.

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Example of vision statement
Example of mission statement
Cont.
• Vision (the dream) • Mission (the what and why)
• Healthy children • "To promote child health and
• Safe streets, safe development through a
neighbourhoods comprehensive family and
community initiative to give equal
rights to all children .
 Cont.
• Goals/Objectives (how much • Strategies (the how)
of what will be accomplished • use social marketing to
by when) promote ….
• By the year 2026, increase by • Start training program
30% the percentage of
families that own their home. • Provide mentoring , offer
scholarship

• Tactics
• Approach :
• They are the actions you
• About price take to make it all happen.
• About quality • Day to day operations
Strategic Planning
• Business product portfolio:
“the collection of businesses
and products that make up
the company.”
• Designing the business portfolio
is a key element of the strategic planning process.

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Cont.

• Identify strategic
Portfolio Design business units (SBUs)
• Assess each SBU:
• Step 1: • The BCG growth-share
Analyze the current matrix classifies SBUs
into one of four
business portfolio categories using the:
• Market growth rate
• SBU’s relative market
share within the
market.

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 Strategic Planning
Boston consulting group(BCG) Growth-
Share Matrix
High Relative Low Relative
High Market Share Market Share
Market
Growth
Stars Question
Marks

Cash Dogs
Low Cows
Market
Growth

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Cont.
Strategic Planning
• Determine the future
Portfolio Design role of each SBU and
choose the appropriate
• Step 2: resource allocation
Shape the future strategy:
business portfolio • Build
• Hold
• Harvest
• Divest
• SBUs change positions
over time
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Strategic Planning

• Designing the business portfolio also

involves:
• Developing strategies for growth by
identifying, evaluating, and selecting
promising new market opportunities.
• Product/market expansion grid
• Developing strategies for downsizing
the business portfolio.
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Strategic Planning

Product/Market Expansion Grid or

ANSOFF MATRIX
Existing Products New Products

Existing Market Product Development

Markets Penetration

New Market Development

Diversification
Markets

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Marketing strategy and marketing mix
• The strategic planning
Key Elements and business portfolio analysis
processes help to identify and
• Analyzing marketing evaluate marketing opportunities
opportunities
and threats .

• The purpose of the marketing

process is to help the firm plan how
to capitalize on these opportunities.

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Managing marketing strategy and mix

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SWOT analysis
• A SWOT analysis is a simple but powerful framework that evaluates a business from
four perspectives: strengths, weaknesses, opportunities, and threats.
• And it can help you assess almost any aspect of your business. To help you make more
informed decisions.
• In short, a SWOT analysis asks you to list (and analyse) the following:
• What’s working for your business (strengths)
• What’s not working (weaknesses)
• The external factors your business could capitalize on (opportunities)
• The external factors that could harm your business (threats)
• It’s a simple brainstorming exercise that helps you uncover strategic ways to improve
your business.
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 Cont.
• Internal Factors
• Internal factors are the aspects of your business within your control. They include resources, capabilities, skills, assets, and competitive advantages.
• And they can be divided further into two categories: strengths and weaknesses.

Strengths
• Strengths are the positive attributes that give you an advantage over competitors. They’re the things that you do well, you’re proud of, and help you
stand out.
• Some examples of strengths are:
• A loyal customer base
• A strong brand reputation
• A unique product or service
• A skilled and motivated team
• A high-quality website

Weaknesses
• Weaknesses are your business’s negative attributes that limit your performance or hinder your growth. They’re the things you need to improve, fix, or
avoid.
• Some examples of weaknesses are:
• A lack of financial resources
• A high turnover rate
• A weak online presence
• A low customer satisfaction rate
• A low-quality product or service
Cont.
• External Factors
• External factors are the aspects of your business that are outside of your control. These can include trends/events, economic changes
etc .
• And they can also be divided into two categories: opportunities and threats.
• Opportunities
• Opportunities are favourable situations or conditions you can leverage to achieve your business goals. In other words, things you can use
to your advantage or benefit from.
• Some SWOT analysis opportunities examples are:
• A growing demand for your product or service
• A new market segment or niche
• A new technology that automates routine tasks
• A new partnership or collaboration
• Threats
• Threats are unfavourable situations or conditions that can harm your business. They’re risks or challenges you need to recognize.
• Some examples of threats are:
• A declining demand for your product or service
• A new competitor or alternative
• A new technology that makes one of your services obsolete
• A negative publicity campaign
• A change in regulation or policy
• Now that you know about the different components, let’s take a look at exactly how to do a SWOT analysis.
Swot analysis

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Cont. :
Swot analysis of
coca cola
Cont.
• Please open and read this link about SWOT analysis

• https://www.semrush.com/blog/swot-analysis-examples/
The Marketing Process
• The segmentation process
Key Elements divides the total market
into market segments.
• Selecting target
• Target marketing
markets determines which
segment(s) are pursued.
• The market positioning for
the product is then
determined.

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The Marketing Process
• Competitor analysis (26 ) guides
Key Elements competitive marketing strategy
development.
• Developing the • Strategy leads to tactics by way
marketing mix of the marketing mix: (27)
• The “Four Ps” – product, price,
place, promotion (seller
viewpoint)
• The “Four Cs” – customer
solution, cost, convenience,
and communication (customer
viewpoint)

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Competitor analysis
The four P’s of marketing mix

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The Marketing Process
• Marketing analysis
Key Elements • Provides information helpful
in planning, implementation,
• Managing the and control

marketing effort (28) • Marketing planning (29)

• Strategies and tactics
• Marketing implementation
• Turns plans into action
• Marketing control
• Marketing audit

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Marketing analysis , planning , implementation and
control

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Contents of marketing plan

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Cont. :
Thank you

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