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CHAPTER 2 Strategic Planning for Competitive Advantage
This chapter begins with the learning outcome summaries, followed by a set of lesson plans for you to use
to deliver the content in Chapter 2. Lecture (for large sections) on page 4
• Company Clips (video) on page 6
• Group Work (for smaller sections) on page 8
Review and Assignments begin on page 9
Review questions
Application questions
Application exercise
Ethics exercise
Video assignment
Case assignment
Great Ideas for Teaching Marketing from faculty around the country begin on page 20
Chapter 2 ♦ Strategic Planning for Competitive Advantage

Chapter 2 ♦ Strategic Planning for Competitive Advantage1
LEARNING OUTCOMES
2-1 Understand the importance of strategic planning

Strategic planning is the basis for all marketing strategies and decisions. These decisions affect the allocation of
resources and ultimately the financial success of the company.
1 2
- Define strategic business units (SBUs)
Each SBU should have these characteristics: a distinct mission and a specific target market; control over resources;
its own competitors; a single business; plans independent from other SBUs in the organization. Each SBU has its
own rate of return on investment, growth potential, and associated risks, and requires its own strategies and funding.
3
-3 Identify strategic alternatives and know a basic outline for a marketing plan
Ansoff’s opportunity matrix presents four options to help management develop strategic alternatives: market
penetration, market development, product development, and diversification. In selecting a strategic alternative,
managers may use a portfolio matrix, which classifies strategic business units as stars, cash cows, problem children
(or question marks), and dogs, depending on their present or projected growth and market share. Alternatively, the
GE model suggests that companies determine strategic alternatives based on the comparisons between business
position and market attractiveness. A marketing plan should define the business mission, perform a situation
analysis, define objectives, delineate a target market, and establish components of the marketing mix. Other
elements that may be included in a plan are budgets, implementation timetables, required marketing research efforts,
or elements of advanced strategic planning.
1
-5 Describe the components of a situation analysis
In the situation (or SWOT) analysis, the firm should identify its internal strengths (S) and weaknesses (W) and also
examine external opportunities (O) and threats (T). When examining external opportunities and threats, marketing
managers must analyze aspects of the marketing environment in a process called environmental scanning. The six
macroenvironmental forces studied most often are social, demographic, economic, technological, political and legal,
and competitive.
2
-6 Identify sources of competitive advantage
There are three types of competitive advantage: cost, product/service differentiation, and niche. Sources of cost
competitive advantage include experience curves, efficient labor, no frills goods and services, government subsidies,
product design, reengineering, production innovations, and new methods of service delivery. A product/service
differentiation competitive advantage exists when a firm provides something unique that is valuable to buyers beyond
just low price. Niche competitive advantages come from targeting unique segments with specific needs and wants.
The goal of all these sources of competitive advantage is to be sustainable.
3
-7 Explain the criteria for stating good marketing objectives
Objectives should be realistic, measurable, time specific, and compared to a benchmark. They must also be consistent
and indicate the priorities of the organization. Good marketing objectives communicate marketing management
philosophies, provide management direction, motivate employees, force executives to think clearly, and form a basis
for control.

1
-4 Develop an appropriate business mission statement
The firm’s mission statement establishes boundaries for all subsequent decisions, objectives, and strategies. A
mission statement should focus on the market(s) the organization is attempting to serve rather than on the good or
service offered.
2
these market segments is performed. After the market segments are described, one or more may be targeted by the
firm.
2-9 Describe the elements of the marketing mix

The marketing mix is a blend of product, place, promotion, and pricing strategies (the four Ps) designed to produce
mutually satisfying exchanges with a target market. The starting point of the marketing mix is the product
offering— tangible goods, ideas, or services. Place (distribution) strategies are concerned with making products
available when and where customers want them. Promotion includes advertising, public relations, sales promotion,
and personal selling. Price is what a buyer must give up in order to obtain a product and is often the most flexible of
the four marketing mix elements.
1
-8 Discuss target market strategies

Targeting markets begins with a market opportunity analysis, or MOA, which describes and estimates the size and
sales potential of market segments that are of interest to the firm. In addition, an assessment of key competitors in

2-10 Explain why implementation, evaluation, and control of the marketing plan are necessary
Before a marketing plan can work, it must be implemented—that is, people must perform the actions in the plan. The
plan should also be evaluated to see if it has achieved its objectives. Poor implementation can be a major factor in a
plan’s failure, but working to gain acceptance can be accomplished with task forces. Once implemented, one major
aspect of control is the marketing audit, and ultimately continuing to apply what the audit uncovered through postaudit
tasks.
2-11 Identify several techniques that help make strategic planning effective
First, management must realize that strategic planning is an ongoing process and not a once-a-year exercise. Second,
good strategic planning involves a high level of creativity. The last requirement is top management’s support and
participation.
TERMS
cash cow market development niche competitive advantage

competitive advantage market opportunity analysis (MOA) planning
control market penetration portfolio matrix
cost competitive advantage marketing audit problem child (question mark)
diversification marketing mix (four Ps) product development
dog marketing myopia product/service differentiation
environmental scanning marketing objective competitive advantage
evaluation marketing plan star
experience curves marketing planning strategic business unit (SBU)
implementation marketing strategy strategic planning
mission statement sustainable competitive advantage
SWOT analysis
LESSON PLAN FOR LECTURE
Brief Outline and Suggested PowerPoint Slides:
Learning Outcomes and Topics PowerPoint Slides

LO1 Understand the importance of strategic planning 1: Strategic Planning for Competitive
2: Advantage
2-1 The Nature of Strategic Planning 3: Learning Outcomes
Learning Outcomes
4: Learning Outcomes
5: The Nature of Strategic Planning
6: Strategic Planning is…

LO2 Define strategic business units (SBUs) 7: 8: Strategic Business Units
Characteristics of Strategic Business Units
2-2 Strategic Business Units (SBUs)
LO3 Identify strategic alternatives and know a basic outline 9: Strategic Alternatives
for a marketing plan 10: Ansoff’s Opportunity Matrix
11: Exhibit 2.1: Ansoff’s Opportunity Matrix

Another document from Scribd.com that is
random and unrelated content:
W. M. Torrens,
Empire in Asia: How we came by it,
chapter 26.
OUDE: A. D. 1763-1765.
English war with the Nawab.
See INDIA: A. D. 1757-1772.
----------OUDE: End--------
OUDE, The Begums of, and Warren Hastings.
See INDIA: A. D. 1773-1785.
----------OUDENARDE: Start--------
OUDENARDE: A. D. 1582.
Siege and capture by the Spaniards.
See NETHERLANDS: A. D. 1581-1584.
Taken by the French and restored to Spain.
See FRANCE: A. D. 1659-1661.
Taken by the French.
See NETHERLANDS (THE SPANISH PROVINCES): A. D. 1667.
Ceded to France.
See NETHERLANDS (HOLLAND): A. D. 1668.
Restored to Spain.
See NIMEGUEN, THE PEACE OF.
Surrendered to Marlborough and the Allies.
Marlborough's victory.
OUDENARDE: A. D. 1745-1748.
Taken by the French, and restored.
See NETHERLANDS (AUSTRIAN PROVINCES): A. D. 1745;

and AIX-LA-CHAPELLE; THE CONGRESS.
----------OUDENARDE: End--------
OUDH.
See OUDE.
OUIARS,
OUIGOURS, The.
See AVARS.
OUMAS,
HUMAS, The.
See AMERICAN ABORIGINES: MUSKOGEAN FAMILY.
OUR LADY OF MONTESA, The Order of.
This was an order of knighthood founded by King Jayme II., of

Aragon, in 1317.
S. A. Dunham,
History of Spain and Portugal,
volume 4, page 238 (American edition).
OURIQUE, Battle of (1139).
See PORTUGAL: A. D. 1095-1325.
OVATION, The Roman.
See TRIUMPH.
OVIEDO, Origin of the kingdom of.
See SPAIN: A. D. 713-737.
OVILIA.
See CAMPUS MARTIUS.
OXENSTIERN, Axel: His leadership in Germany.
See GERMANY: A. D. 1632-1634.
OXFORD, The Headquarters of King Charles.
See ENGLAND: A. D. 1642 (OCTOBER-DECEMBER).
OXFORD, Provisions of.
A system or constitution of government secured in 1258 by the

English barons, under the lead of Earl Simon de Montfort. The
king, Henry III., "was again and again forced to swear to it,
and to proclaim it throughout the country. The special
grievances of the barons were met by a set of ordinances
called the Provisions of Westminster, which were produced
after some trouble in October 1259."
W. Stubbs,
The Early Plantagenets,
page 190.
The new constitution was nominally in force for nearly six

years, repeatedly violated and repeatedly sworn to afresh by
the king, civil war being constantly imminent. At length both
sides agreed to submit the question of maintaining the
Provisions of Oxford to the arbitration of Louis IX. of
France, and his decision, called the Mise of Amiens, annulled
them completely. De Montfort's party thereupon repudiated the
award and the civil war called the "Barons' War" ensued.
C. H. Pearson,
History of England in the Early and Middle Ages,
volume 2, chapter 8.
ALSO IN:
W. Stubbs,
Select Charters,
part 6.
See ENGLAND: A. D. 1216-1274.
OXFORD, OR TRACT ARIAN MOVEMENT, The.
"Never was religion in England so uninteresting as it was in

the earlier part of the 19th century. Never was a time when
thought was so active, criticism so keen, taste so fastidious;
and which so plainly demanded a religion intellectual,
sympathetic, and attractive. This want the Tractarian, or
Oxford movement, as it is called, attempted to supply. … But
the Tractarians put before themselves an aim far higher than
that. They attempted nothing less than to develope and place
on a firm and imperishable basis what Laud and the Non-Jurors
had tried tentatively to do; namely, to vindicate the Church
of England from all complicity with foreign Protestantism, to
establish her essential identity with the Church of the
Apostles and Fathers through the mediæval Church, and to place
her for the first time since the Reformation in her true
position with regard to the Church in the East and the West. …
Naturally the first work undertaken was the explanation of
doctrine. The 'Tracts for the Times,' mainly written by Dr.
Newman and Dr. Pusey, put before men what the writers believed
to be the doctrine of the Church of England, with a boldness
and precision of statement hitherto unexampled. The divine
Authority of the Church. Her essential unity in all parts of
the world. The effectiveness of regeneration in Holy Baptism.
The reality of the presence of our Lord in Holy Communion. The
sacrificial character of Holy Communion. The reality of the
power to absolve sin committed by our Lord to the priesthood.
{2408}
Such were the doctrines maintained in the Tractarian writings.
… They were, of course, directly opposed to the popular
Protestantism of the day, as held by the Evangelical party.
They were equally opposed to the Latitudinarianism of the
Broad Church party, who—true descendants of Tillotson and
Burnet—were under the leadership of men like Arnold and
Stanley, endeavouring to unite all men against the wickedness
of the time on the basis of a common Christian morality under
the guardianship of the State, unhampered by distinctive
creeds or definite doctrines. No two methods could be more
opposite."
H. O. Wakeman,
History of Religion in England,
chapter 11.
"The two tasks … which the Tractarians set themselves, were to

establish first that the authority of the primitive Church
resided in the Church of England, and second, that the
doctrines of the English Church were really identical with
those of pre-Tridentine Christianity. … The Tractarians'
second object is chiefly recollected because it produced the
Tract which brought their series to an abrupt conclusion
[1841]. Tract XC. is an elaborate attempt to prove that the
articles of the English Church are not inconsistent with the
doctrines of mediæval Christianity; that they may be
subscribed by those who aim at being Catholic in heart and
doctrine. … Few books published in the present century have
made so great a sensation as this famous Tract. … Bagot,
Bishop of Oxford, Mr. Newman's own diocesan, asked the author
to suppress it. The request placed the author in a singular
dilemma. The double object which he had set himself to
accomplish became at once impossible. He had laboured to prove
that authority resided in the English Church, and authority,
in the person of his own diocesan, objected to his
interpretation of the articles. For the moment Mr. Newman
resolved on a compromise. He did not withdraw Tract XC., but
he discontinued the series. … The discontinuance of the
Tracts, however, did not alter the position of authority. The
bishops, one after another; 'began to charge against' the
author. Authority, the authority which Mr. Newman had laboured
to establish, was shaking off the dust of its feet against
him. The attacks of the bishops made Mr. Newman's continuance
in the Church of England difficult. But, long before the
attack was made, he had regarded his own position with
dissatisfaction." It became intolerable to him when, in 1841,
a Protestant bishop of Jerusalem was appointed, who exercised
authority over both Lutherans and Anglicans. "A communion with
Lutherans, Calvinists, and even Monophysites seemed to him an
abominable thing, which tended to separate the English Church
further and further from Rome. … From the hour that the see
was established, his own lot was practically decided. For a
few years longer he remained in the fold in which he had been
reared, but he felt like a dying man. He gradually withdrew
from his pastoral duties, and finally [in 1845] entered into
communion with Rome. … A great movement never perishes for
want of a leader. After the secession of Mr. Newman, the
control of the movement fell into the hands of Dr. Pusey."
S. Walpole,
History of England from 1815,
chapter 21 (volume 4).
ALSO IN:
J. H. Newman,
History of my Religious Opinions (Apologia pro Vita Sua).
J. H. Newman,
Letters and Correspondence to 1845.
R. W. Church,
The Oxford Movement.
W. Palmer,
Narrative of Events Connected with
the Tracts for the Times.
T. Mozley,
Reminiscences.
Sir J. T. Coleridge,
Life of John Keble.
OXFORD UNIVERSITY.
See EDUCATION, MEDIÆVAL: ENGLAND, and after.
OXGANG.
See BOVATE.
OXUS, The.
Now called the Amoo, or Jihon River, in Russian Central Asia.
OYER AND TERMINER, Courts of.
See LAW, CRIMINAL: A. D. 1285.
P.
PACAGUARA, The.
See AMERICAN ABORIGINES: ANDESIANS.
PACAMORA, The.
See AMERICAN ABORIGINES: ANDESIANS.
PACHA.
See BEY.
PACIFIC OCEAN:
Its Discovery and its Name.
The first European to reach the shores of the Pacific Ocean

was Vasco Nuñez de Balboa, who saw it, from "a peak in Darien"
on the 25th of September, 1513 (see AMERICA: A. D. 1513-1517).
"It was not for some years after this discovery that the name
Pacific was applied to any part of the ocean; and for a long
time after parts only of it were so termed, this part of it
retained the original name of South Sea, so called because it
lay to the south of its discoverer. The lettering of the early
maps is here significant. All along from this time to the
middle of the 17th century, the larger part of the Pacific was
labeled 'Oceanus Indicus Orientalis,' or 'Mar del Sur,' the
Atlantic, opposite the Isthmus, being called 'Mar del Norte.'
Sometimes the reporters called the South Sea 'La Otra Mar,' in
contradistinction to the 'Mare Oceanus' of Juan de la Cosa, or
the 'Oceanus Occidentalis' of Ptolemy, as the Atlantic was
then called. Indeed, the Atlantic was not generally known by
that name for some time yet. Schöner, in 1520, terms it, as
does Ptolemy in 1513, 'Oceanus Occidentalis'; Grynæus, in
1532, 'Oceanus Magnus'; Apianus, appearing in the Cosmography
of 1575, although thought to have been drawn in 1520, 'Mar
Atlicum.' Robert Thorne, 1527, in Hakluyt's Voy., writes'
Oceanus Occiden.'; Bordone, 1528, 'Mare Occidentale'; Ptolemy,
1530, 'Occean Occidentalis'; Ramusio, 1565, Viaggi, iii. 455,
off Central America, 'Mar del Nort,' and in the great ocean,
both north and south, 'Mar Ociano'; Mercator, 1569, north of
the tropic of cancer, 'Oceanius Atlanticvs'; Hondius, 1595,
'Mar del Nort'; West-Indische Spieghel, 1624, 'Mar del Nort';
De Laet, 1633, 'Mar del Norte'; Jacob Colon, 1663, 'Mar del
Nort'; Ogilby, 1671, 'Oceanus Atlanticum,' 'Mar del Norte,'
and 'Oceanus Æthiopicus'; Dampier, 1699, 'the North or
Atlantick Sea.' The Portuguese map of 1518, Munich Atlas, iv.,
is the first upon which I have seen a name applied to the
Pacific; and there it is given … as 'Mar visto pelos
Castelhanos,' Sea seen by the Spaniards. … On the globe of
Johann Schöner, 1520, the two continents of America are
represented with a strait dividing them at the Isthmus.
{2409}
The great island of Zipangri, or Japan, lies about midway
between North America and Asia. North of this island … are the
words 'Orientalis Oceanus,' and to the same ocean south of the
equator the words 'Oceanus Orientalis Indicus' are applied.
Diego Homem, 1558, marks out upon his map a large body of
water to the north-west of 'Terra de Florida,' and west of
Canada, and labels it 'Mare leparamantium.' … Colon and Ribero
call the South Sea 'Mar del Svr.' In Hakluyt's Voy. we find
that Robert Thorne, in 1527, wrote 'Mare Australe.' Ptolemy,
in 1530, places near the Straits of Magellan, 'Mare
pacificum.' Ramusio, 1565, Viaggi, iii. 455, off Central
America, places 'Mar del Sur,' and off the Straits of
Magellan, 'Mar Oceano.' Mercator places in his atlas of 1569
plainly, near the Straits of Magellan, 'El Mar Pacifico,' and
in the great sea off Central America 'Mar del Zur.' On the map
of Hondius, about 1595, in Drake's' 'World Encompassed,' the
general term 'Mare Pacificvm' is applied to the Pacific Ocean,
the words being in large letters extending across the ocean
opposite Central America, while under it in smaller letters is
'Mar del Sur.' This clearly restricts the name South Sea to a
narrow locality, even at this date. In Hondius' Map, 'Purchas,
His Pilgrimes,' iv. 857, the south Pacific is called 'Mare
Pacificum,' and the central Pacific 'Mar del Sur.'"
H. H. Bancroft,
History of the Pacific States,
volume 1, pages 373-374, foot-note.
PACTA CONVENTA, The Polish.
See POLAND: A. D. 1573.
PACTOLUS, Battle of the (B. C. 395).
See GREECE: B. C. 399-387.
PADISCHAH.
See BEY; also CRAL.
----------PADUA: Start--------
PADUA: Origin.
See VENETI OF CISALPINE GAUL.
PADUA: A. D. 452.
Destruction by the Huns.
See HUNS: A. D. 452;

also VENICE: A. D. 452.
PADUA: 11-12th Centuries.

Rise and acquisition of Republican independence.
See ITALY: A. D. 1056-1152.
PADUA: A. D. 1237-1256:
The tyranny of Eccelino di Romano.
The Crusade against him.
Capture and pillage of the city by its deliverers.
See VERONA: A. D. 1236-1259.
PADUA: A. D. 1328-1338.
Submission to Can' Grande della Scala.
Recovery from his successor.
The founding of the sovereignty of the Carrara family.
See VERONA: A. D. 1260-1338.
PADUA: A. D. 1388.
Yielded to the Visconti of Milan.
See MILAN: A. D. 1277-1447.
PADUA: A. D. 1402.
Struggle of Francesco Carrara with Visconti of Milan.
See MILAN: A. D. 1277-1447;

and FLORENCE: A. D. 1390-1406.
PADUA: A. D. 1405.
Added to the dominion of Venice.
See ITALY: A. D. 1402-1406.
PADUA: A. D. 1509-1513.
In the War of the League of Cambrai.
Siege by the Emperor Maximilian.
See ITALY: A. D. 1510-1513.
----------PADUA: End--------
PADUCAH: Repulse of Forrest.
See UNITED STATES OF AMERICA:

A. D. 1864 (APRIL: TENNESSEE).
PADUS, The.
The name by which the river Po was known to the Romans.

Dividing Cisalpine Gaul, as the river did, into two parts,
they called the northern part Transpadane and the southern
part Cispadane Gaul.
PÆANS.
"The pæans [among the ancient Greeks] were songs of which the
tune and words expressed courage and confidence. 'All sounds
of lamentation,' … says Callimachus, 'cease when the Ie Pæan,
Ie Pæan, is heard.' … Pæans were sung, not only when there was
a hope of being able, by the help of the gods, to overcome a
great and imminent danger, but when the danger was happily
past; they were songs of hope and confidence as well as of
thanksgiving for, victory and safety."
K. O. Müller,
History of the Literature of Ancient Greece,
volume 1, page 27.
PÆONIANS, The.
"The Pæonians, a numerous and much-divided race, seemingly

neither Thracian nor Macedonian nor Illyrian, but professing
to be descended from the Teukri of Troy, … occupied both banks
of the Strymon, from the neighbourhood of Mount Skomius, in
which that river rises, down to the lake near its mouth. … The
Pæonians, in their north-western tribes, thus bordered upon
the Macedonian Pelagonia, —in their northern tribes upon the
Illyrian Dardani and Autariatæ,—in the eastern, southern and
south-eastern tribes, upon the Thracians and Pierians."
G. Grote,
History of Greece,
part 2, chapter 25.
Darius, king of Persia, is said to have caused a great part of

the Pæonians to be transported to a district in Phrygia, but
they escaped and returned home.
PAGANISM: Suppressed in the Roman Empire.
See ROME: A. D. 391-395.
PAGE.
See CHIVALRY.
PAGUS.
See GENS, ROMAN;

also, HUNDRED.
PAIDONOMUS, The.
The title of an officer who was charged with the general
direction of the education and discipline of the young in
ancient Sparta.
G. Schömann,
Antiquities of Greece: The State,
part 3, chapter 1.
PAINE, Thomas, and the American Revolution.
See UNITED STATES OF AMERICA: A. D. 1776 (JANUARY-

JUNE)
KING GEORGE'S WAR MEASURES.
PAINTED CHAMBER.
See WESTMINSTER PALACE.
PAINTSVILLE, Battle of.
See UNITED STATES OF AMERICA:

A. D. 1862 (JANUARY-FEBRUARY: KENTUCKY-TENNESSEE).
PAIONIANS, The.
See ALBANIANS.
PAIRS, Legislative.
See WHIPS, PARTY.
PAITA: A. D. 1740.
Destroyed by Commodore Anson.
See ENGLAND: A. D. 1739-1741.
PAITA, The.
See CASTE SYSTEM OF INDIA.

PALACE, Origin of the name.
The house of the first of the Roman Emperors, Augustus, was on

the Palatine Hill, which had been appropriated by the nobility
for their residence from the earliest age of the republic. The
residence of Augustus was a quite ordinary mansion until A. U.
C. 748 (B. C. 6) when it was destroyed by fire. It was then
rebuilt on a grander scale, the people contributing, in small
individual sums—a kind of popular testimonial—to the cost.
Augustus affected to consider it public property, and gave up
a large part of it to the recreation of the citizens. His
successors added to it, and built more and more edifices
connected with it; so that, naturally, it appropriated to
itself the name of the hill and came to be known as the
Palatium, or Palace.
C. Merivale,
History of the Romans,
chapter 40.
PALÆOLITHIC PERIOD.
See STONE AGE.
{2410}
PALÆOLOGI, The.
The family which occupied the Greek imperial throne, at Nicæa

and at Constantinople, from 1260, when Michael Palæologus
seized the crown, until the Empire was extinguished by the
Turks in 1453.
E. Gibbon,
Decline and Fall of the Roman Empire,
chapter 62 (Genealogical table).
ALSO IN:
Sir J. E. Tennant,
History of Modern Greece.
PALÆOPOLIS,
PALÆPOLIS.
See NEAPOLIS.
PALÆSTRA, The.
See GYMNASIA, GREEK.
PALAIS ROYAL, The.
See FRANCE: A. D. 1642-1643.
----------PALATINATE OF THE RHINE: Start--------
PALATINATE OF THE RHINE.

PALATINE ELECTORATE.
The Palatine Electorate or Palatinate (Pfalz in German), arose

in the breaking up of the old Duchy of Franconia.
See FRANCONIA;
also PALATINE COUNTS,
and GERMANY: A. D. 1125-1152.
PALATINATE OF THE RHINE: A. D. 1214.

Acquisition by the Wittelsbach or Bavarian House.
The House of Wittelsbach (or Wisselbach), which acquired the

Duchy of Bavaria in 1180, came also into possession of the
Palatinate of the Rhine in 1214 (see BAVARIA: A. D.
1180-1356). In the next century the two possessions were
divided. "Rudolph, the elder brother of Louis III. [the
emperor, known as Louis the Bavarian] inherited the County
Palatine, and formed a distinct line from that of Bavaria for
many generations. The electoral dignity was attached to the
Palatine branch."
Sir A. Halliday,
Annals of the House of Hanover,
volume I, page 424.
PALATINATE OF THE RHINE: A. D. 1518-1572.

The Protestant Reformation.
Ascendancy of Calvinism.
"The Electors Palatine of the Rhine might be justly regarded,

during the whole course of the 16th century, as more powerful
princes than those of Brandenburg. The lower Palatine, of
which Heidelberg was then the capital, formed a considerable
tract of country, situate on the banks of the Rhine and the
Neckar, in a fertile, beautiful, and commercial part of
Germany. … The upper Palatinate, a detached and distant
province situated between Bohemia, Franconia, and Bavaria,
which constituted a part of the Electoral dominions, added
greatly to their political weight, as members of the Germanic
body. … Under Louis V., Luther began to disseminate his
doctrines at Heidelberg, which were eagerly and generally
imbibed; the moderate character of the Elector, by a felicity
rare in that age, permitting the utmost freedom of religious
opinion, though he continued, himself, to profess the Catholic
faith. His successors, who withdrew from the Romish see,
openly declared their adherence to Lutheranism; but, on the
accession of Frederic III., a new ecclesiastical revolution
took place. He was the first among the Protestant German
princes who introduced and professed the reformed religion
denominated Calvinism. As the toleration accorded by the
'Peace of religion' to those who embraced the 'Confession of
Augsburg,' did not in a strict and legal sense extend to or
include the followers of Calvin, Frederic might have been
proscribed and put to the Ban of the Empire: nor did he owe
his escape so much to the lenity or friendship of the
Lutherans, as to the mild generosity of Maximilian II., who
then filled the Imperial throne, and who was an enemy to every
species of persecution. Frederic III., animated with zeal for
the support of the Protestant cause, took an active part in
the wars which desolated the kingdom of France under Charles
IX.; protected all the French exiles who fled to his court or
dominions; and twice sent succours, under the command of his
son John Casimir, to Louis, Prince of Condé, then in arms, at
the head of the Hugonots."
Sir N. W. Wraxall,
History of France, 1574-1610,
volume 2, pages 163-165.

The Elector at the head of the Evangelical Union.

Acceptance of the crown of Bohemia by the Elector.

The Elector placed under the ban of the empire.
Devastation and conquest of his dominions.
The electoral dignity transferred to the Duke of Bavaria.

Temporary recovery by Gustavus Adolphus.
Obstinate bigotry of the Elector.

Death of Frederick V.
Treaty with the Swedes.
Nominal restoration of the young Elector.

Division in the Peace of Westphalia.
Restoration of the Lower Palatinate to the old Electoral Family.
Annexation of the Upper to Bavaria.
The recreated electorate.
See GERMANY: A. D. 1648.

In the Coalition against Louis XIV.
Ravaged by Turenne.
See NETHERLANDS (HOLLAND): A. D. 1672-1674; and 1674-

1678.

Encroachments by France upon the territory of the Elector.
See FRANCE: A. D. 1679-1680.

The claims of Louis XIV. in the name of the Duchess of Orleans.

The second devastation and the War of the League of Augsburg.
See FRANCE: A. D. 1689-1690, and after.

The Peace of Ryswick.
Restitutions by France.
See FRANCE: A. D. 1697.

The Upper Palatinate restored to the Elector.
PALATINATE OF THE RHINE: A: D. 1709-1710.

Emigration of inhabitants to England,
thence to Ireland and America.
See PALATINES.

The Upper Palatinate ceded to the Elector of Bavaria
in exchange for Sardinia.
See UTRECHT: A. D. 1712-1714.

Transferred in great part to Baden.

Revolution suppressed by Prussian troops.
----------PALATINATE OF THE RHINE: Start--------
PALATINATES, American.
See MARYLAND: A. D. 1632;

NEW ALBION;
MAINE: A. D. 1639;
NEWFOUNDLAND: A. D. 1610-1655;
NORTH CAROLINA: A. D. 1669-1693.
PALATINE, Counts.
In Germany, under the early emperors, after the dissolution of

the dominion of Charlemagne, an office came into existence
called that of the 'comes palatii'—Count Palatine. This office
was created in the interest of the sovereign, as a means of
diminishing the power of the local rulers.
{2411}
The Counts Palatine were appointed as their coadjutors, often
with a concurrent and sometimes with a sole jurisdiction.
Their "functions were more extensive than those of the ancient
'missi dominici.' Yet the office was different. Under the
Carlovingian emperors there had been one dignitary with that
title, who received appeals from all the secular tribunals of
the empire. The missi dominici were more than his mere
colleagues, since they could convoke any cause pending before
the ordinary judges and take cognisance of more serious cases
even in the first instance. As the missi were disused, and as
the empire became split among the immediate descendants of
Louis le Debonnaire, the count palatine (comes palatii) was
found inadequate to his numerous duties; and coadjutors were
provided him for Saxony, Bavaria, and Swabia. After the
elevation of Arnulf, however, most of these dignities ceased;
and we read of one count palatine only—the count or duke of
Franconia or Rhenish France. Though we have reason to believe
that this high functionary continued to receive appeals from
the tribunals of each duchy, he certainly could not exercise
over them a sufficient control; nor, if his authority were
undisputed, could he be equal to his judicial duties. Yet to
restrain the absolute jurisdiction of his princely vassals was
no less the interest of the people than the sovereign; and in
this view Otho I. restored, with even increased powers, the
provincial counts palatine. He gave them not only the
appellant jurisdiction of the ancient comes palatii, but the
primary one of the missi dominici. … They had each a castle,
the wardenship of which was intrusted to officers named
burgraves, dependent on the count palatine of the province. In
the sequel, some of these burgraves became princes of the
empire."
S. A. Dunham,
History of the Germanic Empire,
volume 1, pages 120-121.
PALATINE, The Elector.
See GERMANY: A. D. 1125-1152;

and PALATINATE OF THE RHINE.
PALATINE, The English Counties.

"The policy of the Norman kings stripped the earls of their
official character. They ceased to have local jurisdiction or
authority. Their dignity was of a personal nature, and they
must be regarded rather as the foremost of the barons, and as
their peers, than as a distinct order in the state. … An
exception to the general policy of William [the Conqueror] as
to earldoms was made in those governments which, in the next
century, were called palatine. These were founded in Cheshire,
and perhaps in Shropshire, against the Welsh, and in the
bishopric of Durham both to oppose the Scots, and to restrain
the turbulence of the northern people, who slew Walcher, the
first earl bishop, for his ill government. An earl palatine
had royal jurisdiction within his earldom. So it was said of
Hugh, earl of Chester, that he held his earldom in right of
his sword, as the king held all England in right of his crown.
All tenants-in–chief held of him; he had his own courts, took
the whole proceeds of jurisdiction, and appointed his own
sheriff. The statement that Bishop Odo had palatine
jurisdiction in Kent may be explained by the functions which
he exercised as justiciary."
W. Hunt,
Norman Britain,
pages 118-119.
"The earldom of Chester has belonged to the eldest son of the

sovereign since 1396; the palatinate jurisdiction of Durham
was transferred to the crown in 1836 by act of Parliament, 6
Will. IV, c. 19."
W. Stubbs,
Constitutional History of England,
chapter 9,
section 98, footnote (volume 1).
See, also, PALATINE, THE IRISH COUNTIES.
PALATINE, The Hungarian.

See HUNGARY: A. D. 1301-1442.
PALATINE, The Irish Counties.
"The franchise of a county palatine gave a right of exclusive

civil and criminal jurisdiction; so that the king's writ
should not run, nor his judges come within it, though judgment
in its courts might be reversed by writ of error in the king's
bench. The lord might enfeoff tenants to hold by knights'
service of himself; he had almost all regalian rights; the
lands of those attainted for treason escheated to him; he
acted in every thing rather as one of the great feudatories of
France or Germany than a subject of the English crown. Such
had been the earl of Chester, and only Chester, in England;
but in Ireland this dangerous independence was permitted to
Strongbow in Leinster, to Lacy in Meath, and at a later time
to the Butlers and Geraldines in parts of Munster. Strongbow's
vast inheritance soon fell to five sisters, who took to their
shares, with the same palatine rights, the counties of Carlow,
Wexford, Kilkenny, Kildare, and the district of Leix, since
called the Queen's County. In all these palatinates, forming
by far the greater portion of the English territories, the
king's process had its course only within the lands belonging
to the church."
E. Hallam,
Constitutional History of England,
chapter 18 (volume 3).
PALATINE HILL, The.

The Palatine City.
The Seven Mounts.
"The town which in the course of centuries grew up as Rome, in

its original form embraced according to trustworthy testimony
only the Palatine, or 'square Rome' (Roma quadrata), as it was
called in later times from the irregularly quadrangular form
of the Palatine hill. The gates and walls that enclosed this
original city remained visible down to the period of the
empire. … Many traces indicate that this was the centre and
original seat of the urban settlement. … The 'festival of the
Seven Mounts' ('septimontium'), again, preserved the memory of
the more extended settlement which gradually formed round the
Palatine. Suburbs grew up one after another, each protected by
its own separate though weaker circumvallation and joined to
the original ring-wall of the Palatine. … The 'Seven Rings'
were, the Palatine itself; the cermalus, the slope of the
Palatine in the direction of the morass that in the earliest
times extended between it and the Capitoline (velabrum); the
Velia, the ridge which connected the Palatine with the
Esquiline, but in subsequent times was almost wholly
obliterated by the buildings of the empire; the Fagutal, the
Oppius, and the Cispius, the three summits of the Esquiline;
lastly, the Sucusa, or Subura, a fortress constructed outside
of the earthern rampart which protected the new town on the
Carinae, in the low ground between the Esquiline and the
Quirinal, beneath S. Pietro in Vincoli. These additions,
manifestly the results of a gradual growth, clearly reveal to
a certain extent the earliest history of the Palatine Rome. …
The Palatine city of the Seven Mounts may have had a history
of its own; no other tradition of it has survived than simply
that of its having once existed. But as the leaves of the
forest make room for the new growth of spring, although they
fall unseen by human eyes, so has this unknown city of the
Seven Mounts made room for the Rome of history."
T. Mommsen,
History of Rome,
book 1, chapter 4 (volume 1).
See, also, QUIRINAL;

and SEVEN HILLS OF ROME.
{2412}
PALATINES: A. D. 1709-1710.
Migration to Ireland and America.
"The citizens of London [England] were astonished to learn, in

May and June, 1709, that 5,000 men, women and children,
Germans from the Rhine, were under tents in the suburbs. By
October the number had increased to 13,000, and comprised
husbandmen, tradesmen, school teachers and ministers. These
emigrants had deserted the Palatinate, owing to French
oppression and the persecution by their prince, the elector
John William, of the House of Newburgh, who had become a
devoted Romanist, though his subjects were mainly Lutherans
and Calvinists. Professor Henry A. Homes, in a paper treating
of this emigration, read before the Albany Institute in 1871,
holds that the movement was due not altogether to unbearable
persecutions, but largely to suggestions made to the Palatines
in their own country by agents of companies who were anxious
to obtain settlers for the British colonies in America, and
thus give value to the company's lands. The emigrants were
certainly seized with the idea that by going to England its
government would transport them to the provinces of New York,
the Carolinas, and Pennsylvania. Of the latter province they
knew much, as many Germans were already there. … Great efforts
were made to prevent suffering among these poor people;
thousands of pounds were collected for their maintenance from
churches and individuals all over England; they were lodged in
warehouses, empty dwellings and in barns, and the Queen had a
thousand tents pitched for them back of Greenwich, on
Blackheath. … Notwithstanding the great efforts made by the
English people, very much distress followed this unhappy
hegira. … Numbers of the younger men enlisted in the British
army serving in Portugal, and some made their own way to
Pennsylvania. … The Lord Lieutenant of Ireland petitioned the
Queen that some of the people might be sent to him, and by
February, 1710, 3,800 had been located across the Irish Sea,
in the province of Munster, near Limerick. … Professor Homes
recites in his monograph that they 'now number about 12,000
souls, and, under the name of Palatinates, continue to impress
a peculiar character upon the whole district they inhabit.' …
According to 'Luttrell's Diary,' about one-tenth of the whole
number that reached England were returned by the Crown to
Germany." A Swiss land company, which had bought 10,000 acres
of land from the Lords Proprietors of Carolina, "covenanted
with the English authorities for the transfer of about 700 of
these poor Heidelberg refugees to the colony. Before the end
of the year they had arrived with them at a point in North
Carolina where the rivers Neuse and Trent join. Here they
established a town, calling it New-Berne, in honor of Berne,
Switzerland. … It has not been found possible to properly
account for all the 13,000 Palatines who reached England.
Queen Anne sent some of them to Virginia, settling them above
the falls of the Rappahanock, in Spottsylvania County, from
whence they spread into several adjoining counties, and into
North Carolina. … After the Irish transportation, the largest
number that was moved in one body, and probably the final one
under government auspices, was the fleet-load that in the
spring of 1710 was despatched to New York. … A fleet of ten
ships set sail with Governor Hunter in March, having on board,
as is variously estimated, between 3,000 and 4,000 Germans. …
The immigrants were encamped on Nut, now Governor's Island,
for about three months, when a tract of 6,000 acres of the
Livingston patent was purchased for them, 100 miles up the
Hudson, the locality now being embraced in Germantown,
Columbia County. Eight hundred acres were also acquired on the
opposite side of the river at the present location of
Saugerties, in Ulster County. To these two points most of the
immigrants were removed." But dissatisfaction with their
treatment and difficulties concerning land titles impelled
many of these Germans to move off, first into Schoharie
County, and afterwards to Palatine Bridge, Montgomery County
and German Flats, Herkimer County, New York, to both of which
places they have affixed the names. Others went into
Pennsylvania, which was for many years the favorite colony
among German immigrants.
A. D. Mellick, Jr.,
The Story of an Old Farm,
chapter 4.
ALSO IN:
C. B. Todd,
Robert Hunter and the Settlement of the Palatines
(Memorial History of the City of New York,
volume 2, chapter 4).
PALE, The English.
"That territory within which the English retreated and

fortified themselves when a reaction began to set in after
their first success [under Henry II.] in Ireland," acquired
the name of the Pale or the English Pale. But "that term did
not really come into use until about the beginning of the 16th
century. In earlier times this territory was called the
English Land. It is generally called Galldacht, or the
'foreigner's territory,' in the Irish annals, where the term
Galls comes to be applied to the descendants of the early
adventurers, and that of Saxons to Englishmen newly arrived.
The formation of the Pale is generally considered to date from
the reign of Edward I. About the period of which we are now
treating [reign of Henry IV.—beginning of 15th century] it
began to be limited to the four counties of Louth, Meath,
Kildare, and Dublin, which formed its utmost extent in the
reign of Henry VIII. Beyond this the authority of the king of
England was a nullity."
M. Haverty,
History of Ireland,
pages 313-314, foot-note.
See IRELAND: A. D. 1169-1175; and 1515.
PALE, The Jewish, in Russia.
See JEWS: A. D. 1727-1880, and 19TH CENTURY.
PALE FACES, The (Ku-Klux Klan).
See UNITED STATES OF AMERICA: A. D. 1866-1871.
PALENQUE, Ruins of.
See MEXICO, ANCIENT;

and AMERICAN ABORIGINES: MAYAS.
----------PALERMO: Start--------
PALERMO: Origin.
See PANORMUS;
also SICILY: EARLY INHABITANTS.
PALERMO: A. D. 1146.
Introduction of silk culture.
See BYZANTINE EMPIRE: A. D. 1146.
The Sicilian Vespers.
See ITALY (SOUTHERN): A. D. 1282-1300.
PALERMO: A. D. 1848-1849.
Expulsion of the Neapolitan garrison.
Surrender to King "Bomba."
See ITALY: A. D. 1848-1849.
Capture by Garibaldi and his volunteers.
Bombardment by the Neapolitans.
See ITALY: A. D. 1859-1861.
{2413}
----------PALESTINE: Start--------
PALESTINE:
Early inhabitants.
See
AMALEKITES;
AMMONITES;
AMORITES;
HITTITES;
JEWS: EARLY HEBREW HISTORY;
MOABITES; PHILISTINES; PHŒNICIANS.
PALESTINE:
Name.
After the suppression of the revolt of the Jews in A. D. 130,

by Hadrian, the name of their province was changed from Judæa
to Syria Palæstina, or Syria of the Philistines, as it had
been called by Herodotus six centuries before. Hence the
modern name, Palestine.
See JEWS: A. D. 130-134.
PALESTINE:
History.
See
EGYPT: about B. C. 1500-1400;
JEWS;
JERUSALEM;
SYRIA;
CHRISTIANITY;
MAHOMETAN CONQUEST AND EMPIRE;
CRUSADES.
----------PALESTINE: End--------
PALESTRO, Battle of (1859).
See ITALY: A. D. 1856-1859.
PALFREYS,
PALAFRENI.
See DESTRIERS.
PALI.
"The earlier form of the ancient spoken language [of the Aryan
race in India], called Pali or Magadhi, … was introduced into
Ceylon by Buddhist missionaries from Magadha when Buddhism
began to spread, and is now the sacred language of Ceylon and
Burmah, in which all their Buddhist literature is written."
The Pali language is thought to represent one of the stages in
the development of the Prakrit, or common speech of the
Hindus, as separated from the Sanskrit, or language of the
learned.
See SANSKRIT.
M. Williams,
Indian Wisdom,
introduction, pages xxix-xxx, foot-note.
PALILIA, Festival of the.
"The festival named Palilia [at Rome] was celebrated on the

Palatine every year on the 21st April, in honour of Pales, the
tutelary divinity of the shepherds, who dwelt on the Palatine.
This day was held sacred as an anniversary of the day on which
Romulus commenced the building of the city."
H. M. Westropp,
Early and Imperial Rome,
page 40.
PALLA, The.
See STOLA.
PALLADIUM, The.
"The Palladium, kept in the temple of Vesta at Rome, was a

small figure of Pallas, roughly carved out of wood, about
three feet high. Ilos, King of Troy, grandfather of Priam,
after building the city asked Zeus to give him a visible sign
that he would take it under his special protection. During the
night the Palladium fell down from heaven, and was found the
next morning outside his tent. The king built a temple for it,
and from that time the Trojans firmly believed that as long as
they could keep this figure their town would be safe; but if
at any time it should be lost or stolen, some dreadful
calamity would overtake them. The story further relates that,
at the siege of Troy, its whereabouts was betrayed to Diomed,
and he and the wily Ulysses climbed the wall at night and
carried it off. The Palladium, enraged at finding itself in
the Grecian camp, sprang three times in the air, its eyes
flashing wildly, while drops of sweat stood on its brow. The
Greeks, however, would not give it up, and Troy, robbed of her
guardian, was soon after conquered by the Greeks. But an
oracle having warned Diomed not to keep it, he, on landing in
Italy, gave it to one of Æneas' companions, by whom it was
brought into the neighbourhood of the future site of Rome.
Another legend relates that Æneas saved it after the
destruction of Troy, and fled with it to Italy, where it was
afterwards placed by his descendants in the Temple of Vesta,
in Rome. Here the inner and most sacred place in the Temple
was reserved for it, and no man, not even the chief priest,
was allowed to see it except when it was shown on the occasion
of any high festival. The Vestals had strict orders to guard
it carefully, and to save it in case of fire, as the welfare
of Rome depended on its preservation."
F. Nösselt,
Mythology, Greek and Roman,
page 3.
PALLESCHI, The.
See FLORENCE: A. D. 1498-1500.
PALLIUM, The.
"The pallium, or mantle of the Greeks, from its being less

cumbersome and trailing than the toga of the Romans, by
degrees superseded the latter in the country and in the camp.
When worn over armour, and fastened on the right shoulder with
a clasp or button, this cloak assumed the name of
paludamentum."

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CHAPTER 2 Strategic Planning for Competitive Advantage

Chapter 2 ♦ Strategic Planning for Competitive Advantage

2-1 Understand the importance of strategic planning

Chapter 2 ♦ Strategic Planning for Competitive Advantage

2-9 Describe the elements of the marketing mix

Chapter 2 ♦ Strategic Planning for Competitive Advantage

Chapter 2 ♦ Strategic Planning for Competitive Advantage

cash cow market development niche competitive advantage

LESSON PLAN FOR LECTURE

Brief Outline and Suggested PowerPoint Slides:

Learning Outcomes and Topics PowerPoint Slides

6: Strategic Planning is…

Chapter 2 ♦ Strategic Planning for Competitive Advantage

See INDIA: A. D. 1757-1772.

OUDE, The Begums of, and Warren Hastings.

See INDIA: A. D. 1773-1785.

See NETHERLANDS: A. D. 1581-1584.

See FRANCE: A. D. 1659-1661.

See NETHERLANDS (THE SPANISH PROVINCES): A. D. 1667.

See NETHERLANDS (HOLLAND): A. D. 1668.

See NETHERLANDS: A. D. 1706-1707.

See NETHERLANDS: A. D. 1708-1709.

See NETHERLANDS (AUSTRIAN PROVINCES): A. D. 1745;

See AMERICAN ABORIGINES: MUSKOGEAN FAMILY.

OUR LADY OF MONTESA, The Order of.

This was an order of knighthood founded by King Jayme II., of

OURIQUE, Battle of (1139).

See PORTUGAL: A. D. 1095-1325.

OVATION, The Roman.

OVIEDO, Origin of the kingdom of.

See SPAIN: A. D. 713-737.

See CAMPUS MARTIUS.

OXENSTIERN, Axel: His leadership in Germany.

See GERMANY: A. D. 1632-1634.

OXFORD, The Headquarters of King Charles.

See ENGLAND: A. D. 1642 (OCTOBER-DECEMBER).

OXFORD, Provisions of.

A system or constitution of government secured in 1258 by the

The new constitution was nominally in force for nearly six

See ENGLAND: A. D. 1216-1274.

OXFORD, OR TRACT ARIAN MOVEMENT, The.

"Never was religion in England so uninteresting as it was in

"The two tasks … which the Tractarians set themselves, were to

See EDUCATION, MEDIÆVAL: ENGLAND, and after.

Now called the Amoo, or Jihon River, in Russian Central Asia.

OYER AND TERMINER, Courts of.

See LAW, CRIMINAL: A. D. 1285.

See AMERICAN ABORIGINES: ANDESIANS.

See AMERICAN ABORIGINES: ANDESIANS.

The first European to reach the shores of the Pacific Ocean

PACTA CONVENTA, The Polish.

See POLAND: A. D. 1573.

PACTOLUS, Battle of the (B. C. 395).

See GREECE: B. C. 399-387.

See VENETI OF CISALPINE GAUL.

See HUNS: A. D. 452;