Strategic Marketing: Topic 3

Which factors would indicate the rivalry amongst competitors is HIGH?

• Market growth is LOW

• Exit barriers are LOW

• Number of competitors is LOW

• Entry barriers are HIGH

Which is NOT one the five forces Michael Porter refers to?

• Threat of New Innovations

• Buyer Power

• Rivalry amongst Competitors

• Supplier Power

Which is NOT an assumption of the Product Lifecycle?

• Product or category decline is inevitable

• Conditions and threats vary along the way

• Products have a limited lifespan

• The cycle follows a predictable pattern

Strategic Groups are:

• All are correct

• Where firms/brands within an industry follow similar strategies

• Aimed at similar customers or customer groups

• Have barriers of mobility that prevent firms moving to other groups

The purpose of Porter's Value Chain analysis is:

• To understand the unique combination of the things that the company and only the company can do

• Understanding where unique advantages (in terms of superior consumer value or cost advantages) are realized in the firm

• Ensure the supply chain is efficient

• Allocate profit into activity types

There are a number of market forecasting techniques that can be used to assist in making this judgement; these fall into three main categories:

• Judgmental techniques

• Behavioural outcomes

• Experimental design

• Observational

The basic formular to calculate market size is:

• S = N x L x R

• S = F x L x R

• N = S x L x R

• S = N x L x P

When an industry reaches maturity in its life cycle….

• Competition stabilizes

• Rapid sales growth

• Marketing support cut

• Little competition

The consumer analysis framework includes:

• Who, why, how, why, when and where

• Who, why, how, why, when

• Where, who, why, how

• Where, why, how, who, way

Barriers of mobility are…

• Factors that would prevent firms/brands moving from one group to another

• Firms/brands within an industry following similar strategies, aimed at similar customers or customer groups.

• Factors that make it impossible for a firm to change

• Firms/brands that prevent the movement of competitor firms/brands