Marketing Principles: Strategic Planning, Marketing Environment, and Global Marketing

Vocabulary flashcards covering company-wide strategic planning, customer-driven marketing strategy, micro- and macroenvironments, the marketing process, marketing research, and global marketing economic context.

Strategic Planning (Corporate Level)

The broader, company-wide planning steps undertaken at the corporate level, consisting of defining the company mission, setting company objectives and goals, and designing the business portfolio.

Product-Oriented Business Definition

A business definition focused strictly on selling specific physical products or technical services rather than fulfilling underlying consumer needs (e.g., Starbucks defining itself as 'We sell coffee and snacks').

Market-Oriented Business Definition

A customer-focused statement defining a company in terms of satisfying customer needs and experiences (e.g., Starbucks defining itself as 'We sell the "Starbucks Experience," one that enriches people's lives one moment, one human being, one extraordinary cup of coffee at a time').

Market Segmentation

The step in designing a customer-driven marketing strategy that involves dividing the total market into smaller segments.

Market Targeting

The process of selecting the specific customer segment or segments to enter.

Differentiation

The process of differentiating the market offering to create superior customer value.

Positioning

The process of positioning the market offering in the minds of target customers.

Microenvironment

The immediate actors close to the company that affect its ability to serve its customers, consisting of the company, suppliers, marketing intermediaries, competitors, publics, and customers.

Customers (in the Microenvironment)

The most important actors in a company's microenvironment, whom the entire value delivery system aims to serve and build strong relationships with.

Macroenvironment

The larger societal forces that affect the entire microenvironment, categorized into demographic, economic, natural, technological, political, and cultural forces.

The Marketing Process

A five-step consumer-focused process: (1) understand the marketplace and customer needs and wants, (2) design a customer value-driven marketing strategy, (3) construct an integrated marketing program that delivers superior value, (4) build profitable relationships and create customer delight, and (5) capture value from customers in return to create profits and customer equity.

Marketing Information Sources

The three avenues marketers obtain data and consumer insights from: internal data, marketing intelligence, and marketing research.

Marketing Research Process

A systematic four-step sequence consisting of: (1) defining the problem and research objectives, (2) developing the research plan for collecting information, (3) implementing the research plan—collecting and analyzing the data, and (4) interpreting and reporting the findings.

Major International Marketing Decisions

The sequential global marketing decision framework: looking at the global marketing environment, deciding whether to go global, deciding which markets to enter, deciding how to enter the market, deciding on the global marketing program, and deciding on the global marketing organization.

Two Key Economic Dimensions (Global Marketing)

The economic dimensions critical to assessing international markets: the level of industrial development and the pattern of income distribution.

Subsistence Economy

An economy where much of the population engages in agriculture, consumes a large fraction of their agricultural output, and sells or barters the rest for access to simple goods and services.

Higher-Income Economies

Economies such as the US, Japan, South Korea, and the EU that act as major importers and exporters of goods and services, whose large middle classes make them attractive markets for both business and consumer offerings.