Strategic Planning

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Strategic Planning

• Strategic planning is the managerial decision
  process that matches the organizations 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

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Management Levels
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Strategic Planning at the Corporate Level

• Defining the Organizations Mission
• Establish Corporate Objectives
• Allocate Resources to the SBUs

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Defining the Organizations Mission

• A mission may begin with these questions
• What business are we in?
• What customers should we serve?
• How should we develop the firms capabilities and
  focus its efforts?

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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

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BCG Matrix
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Evaluating the Environment SWOT Analysis

• Strengths/Weaknesses - internal issues requiring
  management decisions
• Opportunities/Threats external environmental
  events

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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 firms capability that
  is superior to that of its competitors

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Product-Market Growth Matrix
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The Marketing Management Process
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Marketing Planning

• Analyzing the Marketing Environment
• Setting Marketing Objectives
• Developing Marketing Strategies

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Developing Marketing Strategies

• Selecting a Target Market
• Developing Marketing Mix Programs
• Product Strategies
• Pricing Strategies
• Promotion Strategies
• Distribution Strategies

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Executing the Marketing Plan

• Implementing the Marketing Plan
• The Marketing Budget
• Organizing the Marketing Function
• Controlling the Marketing Plan
• Trend Analysis
• Marketing Research