BUAD Exam 1

5 stages of purchase decision process

1. Problem recognition 2. Information search 3. Alternative evaluation 4. Purchase decision 5. Postpurchase behavior

Basic formula for a value proposition

a headline sub-headline list of key benefits image

physical, social, temporal, task, or antecedent: Momentary conditions such as shopping when tires or anxious, buying a product on impulse

antecedent

brand, industry, form, or generic: similar products/services to the same consumers, at the time price (toyota and honda)

brand

what are the four different types of competition

brand, industry, form, generic

(star, cash cow, question mark, dog): a product with low growth and a high market share. Cash cows have a large share of a shrinking market. Although they generate a lot of cash, they do not have a long-term future.

cash cow

* Suppose that you notice that the tread on your car tires is dangerously low and you decide that you need to purchase a new set of tires for your own safety. The list of brand names that you consider before making this purchase is known as your ________. consideration set evaluative criteria cognitive dissonance

consideration set

what are the four components of marketing

creating communicating delivering exchanging

* In the United States, there are two major political parties whose members disagree with each other on a variety of issues. Both Republicans and Democrats view one another as being part of a(n) ______ group. aspiration membership reference involvement dissociative

dissociative

Diversification Analysis (Ansoff's Matrix)- Market penetration, Market development, Product development, or Diversification: Involves entering new markets with new products or doing something outside a firm's current businesses

diversification

(star, cash cow, question mark, dog): a product with low growth and low market share. Dogs do not make much money and do not have a promising future. Companies often get rid of dogs. However, some companies are hesitant to classify any of their products as dogs. As a result, they keep producing products and services they shouldn't or invest in dogs in hopes they'll succeed.

dog

Jane goes to buy a laptop. There are 53 available models in the world. Jane has heard of 12 of these models, of which she is considering buying 4 models. In this example, what is the number 12 referred to as? disliked set evaluation of alternatives evoked set consideration set

evoked set

Coca-cola sees all other beverage makers as competition based on (brand, industry, form, or generic)

form

brand, industry, form, or generic: all companies that manufacture products that supply the same service (toyota vs harley- companies that get you from point a to point b)

form

brand, industry, form, or generic: all companies that compete for the same consumer dollar

generic

I am considering buying a new SUV like the Subaru Outback. Another SUV that would not likely compete head-to-head like the Porsche Cayenne, which is at a significantly higher price point, best represents which type of competition?

industry

brand, industry, form, or generic: all companies making the same product (all car companies)

industry

College students have never been seen as a strong segment of the market for Home Depot. In effort to better meet the needs of this segment, Home Depot is advertising in the student newspaper website. Reaching this additional segment is best described as: product development diversification market development market penetration

market development

Diversification Analysis (Ansoff's Matrix)- Market penetration, Market development, Product development, or Diversification: Focuses on entering new markets with existing products (new markets: any new groups of customers such as different age groups, new geographic areas, or international markets)

market development

Diversification Analysis (Ansoff's Matrix)- Market penetration, Market development, Product development, or Diversification: Focuses on increasing a firm's sales of its existing products to its existing customers, often offer consumers special promotions or low prices

market penetration

Which of the following is an example of brand competition? Toyota vs. Samsung Samsung Inc. Vs. Oracle Inc. Mountain Dew vs. Sprite Coca Cola vs. Florida Orange

moutain dew vs sprite

what are the four P's? (internal factors of marketing)

product price promotion place

Diversification Analysis (Ansoff's Matrix)- Market penetration, Market development, Product development, or Diversification: Involves creating new products for existing customers

product development

(star, cash cow, question mark, dog): a product with a low share of a high-growth market. Managers must decide whether to invest in them and hope they become stars or gradually eliminate or sell them.

question mark/problem child

(star, cash cow, question mark, dog): a product with high growth and a high market share. To maintain the growth of their star products, a company may have to invest money to improve them and how they are distributed as well as promote them.

star

*Green River is an organization that operates as two distinctive businesses: one as a retailer, and one that wholesales an exclusive range of merchandise to department stores. Each business is called a _____. (division, strategic business unit (SBU), profit center, department)

strategic business unit (SBU)