Transcript Strategic Planning

Strategic Planning
• Strategic planning is the managerial decision
process that matches the organization’s
resources and capabilities to its market
opportunities for long-term growth
• Firms may become multi-product companies
with self-contained divisions
– Strategic Business Units (SBUs)
– Example: The Walt Disney Company
Management Levels
Strategic Planning at the
Corporate Level
• Defining the Organization’s Mission
• Establish Corporate Objectives
• Allocate Resources to the SBUs
Defining the Organization’s Mission
• A mission may begin with these questions:
– What business are we in?
– What customers should we serve?
– How should we develop the firm’s capabilities
and focus its efforts?
The Business Portfolio
• For firms with different SBUs, planning
also includes allocating resources among
the businesses
• Each SBU is a separate profit center within
the larger corporation
• Each SBU is responsible for its own costs,
revenues, and profits
BCG Matrix
Evaluating the Environment:
SWOT Analysis
Strengths/Weaknesses - internal issues
requiring management decisions
Opportunities/Threats – external
environmental events
Competitive Advantage
Turn a distinctive competency into a
differential benefit
• Differential benefits set products apart from
competitors’ products by providing something
unique that customers want
Identify what a firm does really well
• Distinctive competency - a firm’s capability that is
superior to that of its competitors
Product-Market Growth Matrix
The Marketing Management Process
Marketing Planning
Analyzing the Marketing Environment
Setting Marketing Objectives
Developing Marketing Strategies
Developing Marketing Strategies
Selecting a Target Market
Developing Marketing Mix Programs
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Product Strategies
Pricing Strategies
Promotion Strategies
Distribution Strategies
Executing the Marketing Plan
Implementing the Marketing Plan
The Marketing Budget
Organizing the Marketing Function
Controlling the Marketing Plan
Trend Analysis
Marketing Research