CPM Marketing Plan & SWOT Analysis 2 — Questions and Answers
Question 1: Which section of a marketing plan typically defines the target market segments and their characteristics?
- Financial projections
- Market analysis (Correct answer)
- Implementation timeline
- Budget allocation
Correct answer: Market analysis
The market analysis section identifies and describes target segments, including demographics, psychographics, and buying behavior.
Question 2: In SWOT analysis, a new regulation that limits a competitor's advertising is best classified as:
- Weakness
- Threat
- Opportunity (Correct answer)
- Strength
Correct answer: Opportunity
A regulation that restricts a competitor creates a competitive advantage for your firm, making it an external opportunity.
Question 3: A company discovers its customer retention rate is below the industry average. Where does this belong in a SWOT analysis?
- Opportunity
- Threat
- Strength
- Weakness (Correct answer)
Correct answer: Weakness
Low customer retention is an internal deficiency that puts the company at a disadvantage, classifying it as a weakness.
Question 4: What is the primary purpose of a marketing audit conducted before creating a marketing plan?
- To set the advertising budget
- To evaluate past and current marketing performance (Correct answer)
- To hire marketing staff
- To select distribution channels
Correct answer: To evaluate past and current marketing performance
A marketing audit systematically examines the company's marketing environment, objectives, strategies, and activities to identify strengths and areas for improvement.
Question 5: Which strategy in the TOWS matrix matches internal weaknesses with external threats?
- SO (Maxi-Maxi) strategy
- ST (Maxi-Mini) strategy
- WO (Mini-Maxi) strategy
- WT (Mini-Mini) strategy (Correct answer)
Correct answer: WT (Mini-Mini) strategy
The WT (Mini-Mini) strategy focuses on minimizing weaknesses while avoiding threats, often through defensive or retrenchment actions.
Question 6: A marketing plan's executive summary should be written:
- Before the situational analysis
- After all other sections are complete (Correct answer)
- Simultaneously with financial projections
- Before setting marketing objectives
Correct answer: After all other sections are complete
The executive summary condenses the entire plan and is most accurately written after all sections are complete, even though it appears first.
Question 7: When a SWOT analysis reveals a match between a company's strength and a market opportunity, the recommended strategic approach is:
- Divest and exit the market
- Pursue an aggressive growth strategy (Correct answer)
- Retrench to core competencies
- Focus solely on threat mitigation
Correct answer: Pursue an aggressive growth strategy
Strength-Opportunity (SO) combinations support aggressive growth strategies that leverage internal capabilities to capture external opportunities.
CPM Marketing Plan & SWOT Analysis 2
Which section of a marketing plan typically defines the target market segments and their characteristics?