1. Learning Objectives Chapter 5: Analyzing Marketing Opportunities
Define the terms situation, market, and feasibility analysis.
Explain the relationship and differences between situation, market, and feasibility analysis.
Explain the five benefits of doing a situation analysis.
List in order and describe the steps in a situation analysis.

2. Learning Objectives Chapter 5: Analyzing Marketing Opportunities
List in order and describe the six major steps in a market analysis.
List and describe the four additional steps in a feasibility analysis.

3. Situation Analysis
A study of the marketing strengths, weaknesses, and opportunities of an existing business or other type of organization.

4. Market Analysis and Feasibility Analysis
A study of the potential demand for a new hospitality or travel business. It determines if market demand is large enough.
Feasibility Analysis
A study of the potential demand and economic feasibility of a business; it includes a market analysis and a few additional steps.

5. Relationship of Situation, Market and Feasibility Analyses
The relationship among these three techniques is chronological (time).
The situation analysis should build upon the findings of the market or feasibility analysis.
Each situation analysis should build upon the previous year’s situation analysis.

6. Three Analysis Techniques are Related over Time
Situation Analysis #3
Situation Analysis #2
Situation Analysis #1
Market or Feasibility Analysis
Time

7. Difference between a Situation, and a Market or Feasibility Analysis
A situation analysis determines the strengths and weaknesses of an existing organization or business.
A market or feasibility analysis investigates a proposed new business and its market potential and economic feasibility.

8. Difference between a Situation, and a Market or Feasibility Analysis
Situation and market analysis have same steps, but in a different order.
Market and feasibility analysis have the same first six steps, but the feasibility analysis involves four additional steps.

9. Benefits of Doing a Situation Analysis
Focuses attention on strengths and weaknesses.
Assists with long-term planning.
Helps in the development of marketing plans.
Puts a priority on marketing research.
Has spin-off benefits.

10. Steps in a Situation Analysis
Marketing environment analysis
Location and community analysis
Primary competitor analysis
Market potential analysis
Services analysis
Marketing position and plan analysis

11. Steps in a Market Analysis
Marketing environment analysis
Market potential analysis
Primary competitor analysis
Location and community analysis
Services analysis
Marketing position and plan analysis

12. Difference between Situation and Market Analysis
SITUATION ANALYSIS
Marketing environment
Location and community
Primary competitor
Market potential
Services
Marketing position/plan
MARKET ANALYSIS
Marketing environment
Market potential
Primary competitor
Location and community
Services
Marketing position/plan

13. Four Additional Steps in a Feasibility Analysis
The six steps in a market analysis plus:
Pricing analysis
Income and expense analysis
Development cost analysis
Analysis of return on investment and economic feasibility