Copyright Goodheart-Willcox Co., Inc. Review and Assessment CHAPTER 2 Chapter Summary Section 2.1 Researching a Marketing Plan LO 2.1-1 State the purpose of a marketing plan. A marketing plan is a document that describes business and marketing goals and the strategies and tactics that will be used to achieve them. The market planning function is responsible for creating an actionable marketing plan designed to achieve business goals. LO 2.1-2 Define situation analysis and s identify its components. The situation analysis evaluates internal and external environments as they relate to marketing and sales. A SWOT analysis identifies company strengths, weaknesses, opportunities, and threats the business faces. An environmental scan is an analysis of the external factors that affect the success of business. LO 2.1-3 Explain a target market. A target market is the specific group of customers at which a company aims its products and services. These are the people whose wants and needs are fulfilled by the products a business offers. They are the people most likely to buy the goods or services. LO 2.1-4 Describe a competitive analysis. A competitive analysis is used to compare the strengths and weaknesses of a product or company that competes with a business. This information helps marketers determine how the company will compete to gain its share of sales in the market. Section 2.2 Developing a Marketing Plan LO 2.2-1 Identify components of the opening section of a marketing plan. The opening section provides an overview and a snapshot of the business with information from the business plan. This section is usually divided into Executive Summary and Business Description subsections. LO 2.2-2 Describe the analysis section of the marketing plan. The analysis section provides detailed information about the market and sales analyses that have been performed. This detail is necessary to understand both the environment in which the business is operating and the business goals to be met. LO 2.2-3 Discuss marketing strategy. Marketing strategies are the decisions made to execute the marketing plan and meet the goals of the business. They include establishing goals, identifying the target market, defining components of the marketing mix, and defining the product positioning. LO 2.2-4 State the purpose of the action plan for a marketing plan. The action plan is a list of the marketing tactics with detailed plans to execute each tactic. It ensures the marketing efforts remain on track and funds are spent wisely. Three components of an action plan include a timeline, budget, and metrics. Check Your Marketing IQ Now that you have completed the chapter, see what you have learned about marketing by taking the chapter posttest. The posttest is available at www.g-wlearning.com/marketing/./ Review Your Knowledge 1. State the purpose of a marketing plan. 2. Define situation analysis and identify its s components. 3. Explain a target market. 33