Marketing Management, 16th Edition

Setting a Goal

Defining the goal that the company aims to achieve sets the marketing plan in motion. The goal can be regarded as the beacon that guides all company activities. Two key decisions are involved in setting a goal: identifying the focus of the company’s actions and specifying the performance benchmarks to be achieved. These decisions are discussed in more detail next.

Defining the Goal Focus

The goal’s focus defines the desired outcome of the company’s activities, an important criterion of a firm’s success. Based on their focus, goals can be monetary or strategic.

• Monetary goals are based on such outcomes as net income, profit margins, earnings per share, and return on investment. For-profit firms use monetary goals as their primary ...