Downsizing = when a company abandons businesses that are unprofitable or that no longer fit the strategy

Some reasons for downsizing = Products no longer fit with the strategy , Entering areas where it lacks experience. , Changing market environment making some products / markets less profitable

work closely with partners in other company departments to form an effective internal value chain

partner effectively with other companies in the marketing system to form a competitively superior external value delivery network.

Value delivery network = made up of the company, suppliers, distributors, and ultimately customers who partner with each other to improve performance of the entire system

Market Segmentation is the process of dividing a market into distinct groups of buyers who have different needs, characteristics, or behaviors and who might require separate marketing strategies or mixes

Market segment is a group of consumers who respond in a similar way to a given set of marketing efforts.

Market targeting is the process of evaluating each market segment’s attractiveness and selecting one or more segments to enter. A company can target ▪ only one segment that major competitors ignore. ▪ several related segments with the same basic wants. ▪ all market segments, offering a complete range of products

Market positioning is the arranging for a product to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers

Marketing mix is the set of controllable, tactical marketing tools— product, price, place, and promotion—that the firm blends to influence the demand for its producs

Product : Customer solution Acceptability

Price : Customer cost Affordability

Place : Convenience Accessibility

Promotion: Communication Awarenes

Managing Marketing: Analysis, Planning, Implementation, and Control

S W O T = Analysis Strengths (S), Weaknesses (W)Opportunities (O), and Threats (T)

S W O T: is a framework used to evaluate a company's competitive position and to develop strategic planning

Marketing Implementation = Turning marketing strategies and plans into marketing actions to accomplish strategic marketing objective

Marketing Control = set specific marketing goals , measures performance in the marketplace , evaluate the causes of differences between expected and performance, take corrective action to close the gaps between goals and performance.

Return on Marketing Investment (Marketing R O I) = Net return from a marketing investment divided by the costs of the marketing investment .

**ROI=**Measurement of the profits generated by investments in marketing activities

The growth- share matrix define 4 types of SBUs= Starts, cash cows, question marks, dogs

Starts: requiring heavy investment to finance rapid growth (hight market growth rate and hight relative market share)

Cash cows: are established and successful SBUs requiring less investment to mantain the market(low market growth rate and hight relative market share)

Question marks: requiring a lot of cash to hold their share (hight market growth rate and low relative market share)

Dogs: may generate enought cash to mantain themselves but do not promise to be a large source of cash (low market growth rate and low relative market share)

Steps in strategic planning = Defining the company mission, Setting company objectives and goals, Designing the business portfolio, Planning marketing and other functional strategies

The strategic plan defines the company’s overall mission and objectives

Marketing-major activities = manage a customer-driven marketing strategy and the marketing mix.

Marketing strategy = consists in deciding which customer it will serve (segmentation and targeting ) and how (differentation and positioning)

To find the best marketing strategy = the company engages in marketing analysis, planning, implementation and control

Marketing Analysis : provides information and evaluations needed for all marketing activities.

Planning = develop strategic plans, and develop marketing plans

Implementation = turn the marketing plan into action

Control = measure results, evaluate results, take corrective action

Marketers are using customer-centred measures of marketing impact such as = customer acquisition, customer retentio, customer lifetime value , customer equity

Business portfolio: the collection of business and product that make up the company (the best one fits the company`s strengths and weaknesses to opportunities in environment)