Unformatted text preview: LOOMS Synthesis 2. What is marketing myopia? If a movie theater company had a myopic orientation, how might it
state its business purpose? If the movie theater company avoided a myopic orientation, how
would its business purpose change?
Defining a business in terms of goods and services rather than in terms of the benefits customers
seek is called marketing myopia, which implies a narrow, short-term orientation. This orientation
can threaten the survival of an organization. If a movie theater had a myopic orientation, it might
state its business as “selling tickets to movies.” A better business statement for the theater would
be “to provide convenient entertainment.”
KEY: CB&E Model Strategy OBJ: 02-2 TOP: AACSB MSC: BLOOMS Synthesis 3. What is an SBU? If properly created, what characteristics should an SBU have?
SBU is an acronym for strategic business unit, defined as a subgroup of a single business or
collection of related businesses within the larger organization. A popular technique for managing
large, heterogeneous organizations is to divide the firm into SBUs. When properly created, an
SBU will have the following characteristics:
a distinct mission and specific target market
control over its own resources
its own competitors
plans independent of other SBUs in the
organization PTS: 1
KEY: CB&E Model Strategy OBJ: 02-2 TOP: AACSB MSC: BLOOMS Synthesis 4. What is a SWOT analysis? How does it relate to strategic planning?
The SWOT acronym represents the four components of a situation analysis, the second step in
strategic business planning. SWOT stands for strengths, weaknesses, opportunities, and threats.
Strengths and weaknesses are internal components of the organization that should be analyzed,
while opportunities and threats are characteristics of the external environment that should be
analyzed. With the SWOT analysis, the company is determining its present status, its current
capabilities, and its future expectations.
KEY: CB&E Model Strategy OBJ: 02-3 TOP: AACSB MSC: BLOOMS Synthesis 5. What is environmental scanning? Name four environmental forces that affect marketing decision
Environmental scanning is the collection and interpretation of information about forces, events,
and relationships in the external environment that may affect the future of the organization. It
helps identify market opportunities and threats and provides guidelines for the design of
marketing strategy. Important forces include those that are:
political and legal
KEY: CB&E Model Research OBJ: 02-3 TOP: AACSB MSC: BLOOMS Synthesis 6. What is a marketing objective? Name three criteria for good marketing objectives. Use the
criteria to write an objective for a business with which you are familiar.
A marketing objective is a statement of what is to be accom...
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This document was uploaded on 09/29/2013.
- Fall '13