marketing test two

buyer decision process

1. Need recognition 2. Information search 3. Evaluation of alternatives 4. Purchase decision 5. Post-purchase behavior

concentrated marketing

A market-coverage strategy in which a firm goes after a large share of one or a few segments or niches

Build product awareness among early adopters and dealers

Introduction

Offer a basic product

Introduction

which of the following types of products is likely to be priced the lowest

convenience products

buying behavior of final consumers

individuals and households that buy goods and services for personal consumption

The use of commercial marketing concepts and tools in programs designed to influence individuals behavior to improve their well being and that of their community is called ________ marketing

social

__________ is the degree to which the innovation is difficult to understand or use

complexity

We define differentiation as:

Differentiating the market offering to create superior customer value.

In the MARS Marketing Management Simulation, if you change the attributes of a product while it is still in research and development, the money previously spent on that project will:

Disappear, and you will have to start over with a new project

concept testing

testing new product concepts with a group of target consumers to find out if the concepts have strong consumer appeal

In the marketing of products and services, what is a line extension?

Using a successful brand name to introduce additional items in a given product category under the same brand name, such as new flavors, forms, colors, added ingredients, or package sizes.

In the Mars Marketing management simulation, your product line is

Variable in that you can modify existing products. Variable that you can create new products

under what circumstances might it be wise for a company to do little or no test marketing?

When the costs of developing and introducing the product are low

product development

company growth by offering modified or new products to current market segments

Introduction

when the new product is distributed and ready for purchase

In the MARS Marketing Management Simulation, you set which of the following prices?

wholesale and retail

laggards

consumers who like to avoid change and rely on traditional products until they are no longer available

The concept of intermarket segmentation as it pertains to marketing is defined as:

Forming segments of consumers who have similar needs and buying behavior even though they are located in different countries.

the same for less

Gives a good deal Used by discount stores that offer deep discounts based on superior purchasing power and lower-cost operations

Laggards

decline

more for less

Best winning proposition Very difficult for companies to sustain such best-of-both positioning

Mass marketers, such as target and venture stores, often ignore market segment differences and target the whole market with one offer. What is their approach to segmentation

Undifferentiated marketing

derived demand

Business demand that ultimately comes from (derives from) the demand for consumer goods.

less for much less

Meeting consumers' lower performance or quality requirements at a much lower price

In marketing how is customer-centered new-product development defined?

New-product development that focuses on finding new ways to solve customer problems and create more customer-satisfying experiences.

A product line is considered to be too short if the manager can _______

Increase profits by adding items

Use heavy sales promotion to entice trail

introduciton

create product awareness and trial

introduction

low sales

introduction

specialty products

items that the consumer makes a special effort to search out and buy

Buyer's Black Box

Buyer's characteristics Buyer's decision process

private brand

a brand name owned by a wholesaler or a retailer

national brands

brands that the producer owns and markets

Requirements for Effective Segmentation

1. Measurable 2. Accessible 3. Substantial 4. Differentiable 5. Actionable

Private brand (or store brand) pertains to the marketing of products and services by definition as:

A brand created and owned by a reseller of a product or service.

In marketing and buyer behavior, the term "new task" refers to?

A business buying situation in which the buyer purchases a product or service for the first time.

Subculture

A group of people with shared value systems based on common life experiences and situations

In marketing, the definition of differentiated (segmented) marketing is?

A market coverage strategy in which a firm decides to target several market segments and designs separate offers for each.

Undifferentiated marketing would be defined as:

A market-coverage strategy in which a firm decides to ignore market segment differences and go after the whole market with one offer.

The definition of concentrated marketing is:

A market-coverage strategy in which a firm goes after a large share of one or a few submarkets.

In the marketing of products and services, what is the definition of a brand?

A name, term, sign, symbol, design or combination of these that identifies the products or services of one seller or group of sellers and differentiates them from those of competitors.

In marketing how is sequential product development defined?

A new-product development approach in which one company department works to complete its stage of the process before passing the new product along to the next department and stage.

The concept of lifestyle in marketing is defined as?

A person's pattern of living as expressed in his or her activities, interests and opinions

The concept of target market as it pertains to marketing is defined as:

A set of buyers sharing common needs or characteristics that the company decides to serve.

In marketing, we define consumer market as?

All the individuals and households that buy or acquire goods and services for personal consumption.

A competitive advantage in marketing is defined as:

An advantage over competitors gained by offering consumers greater value, either through lower prices or by providing more benefits that justify higher prices.

In marketing how is team-based new-product development defined?

An approach to developing new products in which various company departments work closely together, overlapping the steps in the product-development process to save time and increase effectiveness.

In marketing, we define a service as:

Any activity or benefit that one party can offer to another that is essentially intangible and does not result in the ownership of anything.

In marketing, we define a product as:

Anything that can be offered to a market for attention, acquisition, use, or consumption that might satisfy a want or need.

In the MARS Marketing Management Simulation, the results of your marketing mix decisions:

Are affected by the decisions made by other teams

The concept of learning in marketing is defined as

Changes in an individual's behavior arising from experience.

In the MARS Marketing Management Simulation, demand is highly seasonal. This means that:

Demand fluctuates from period to period in a regular pattern

Pediacertain pet supplies divides the pet market according to the owners race, occupation, income, and family life cycle. What type of segmentation is this?

Demographic

more for the same

High quality at lower prices Can be used to attack a more-for-more positioning

_________ describes changes in an individuals behavior arising from experience

Learning

In the application of marketing products and services, how is "interactive marketing" defined?

Marketing by a service firm that recognizes that perceived service quality depends heavily on the quality of buyer-seller interaction.

In the application of marketing products and services, the term "internal marketing" is defined as:

Marketing by a service firm to orient and motivate its customer-contact employees and all the supporting service people to work as a team to provide customer satisfaction.

James calls in a department manager to assist in the purchase of industrial equipment. He is considering a change in product specifications, terms, and possibly suppliers. This is most likely a ___________ situation

Modified rebuy

In terms of their value proposition, Nike's positioning strategy is:

More for more

A company has only one product line: all the company manufactures is supercomputers. This one product line is also the company's ________. a) Marketing mix b) Brand equity c) Product mix d) Branding strategy

Product mix

early adopters

People who adopt new products early, choose new products carefully, and are viewed as "the people to check with" by later adopters

In marketing and buyer behavior, the term 'opinion leader' refers to?

Person within a reference group who, because of special skills, knowledge, personality, or other characteristics, exerts social influence on others.

Mike Myer's company has standardized the size of its paper bags so that each bag can be used in five to seven different store departments. This approach to cost reduction is most likely to have take place in the _____ stage of the business buying process. a) supplier search b) product specification c) general need description d) problem recognition e) Proposal solicitation

Product specification

more for more

Provides the most upscale product or service Charges a higher price to cover the higher costs

The term local marketing refers to:

Tailoring brands and promotions to the needs and wants of local customer groups' cities, neighborhoods, and even specific stores.

Nationwide Clothing Company is a manufacturer of all things winter — scarves, gloves, hats, and snow boots. In developing new products they often release their new product line to Nebraska first, as it is known to snow there as early as October. These products are only released regionally first, to ensure product effectiveness and sufficient product demand. What stage in the New-Product Development Process is the Nationwide Clothing Company currently exhibiting? a) Idea Screening b) Marketing Strategy Development c) Commercialization d) Test Marketing

Test marketing

In the marketing of products and services, what is the definition of packaging?

The activities of designing and producing the container or wrapper for a product.

Which of the following statements about buying centers is true?

The buying center may involve informal participants who are not obvious to sellers

The term service-profit chain as it applies to marketing products and services is defined as:

The chain that links service firm profits with employee and customer satisfaction.

middle majority

The daytime television audience made up mostly of upper middle-class women.

In marketing, we define the business buying process as?

The decision process by which business buyers determine which products and services their organizations need to purchase and then find, evaluate, and choose among alternative suppliers and brands.

consumer buying behavior

The decision processes and purchasing activities of people who purchase products for personal or household use and not for business purposes

The concept of social marketing is defined as:

The design, implementation, and control of programs seeking to increase the acceptability of a social idea, cause, or practice among a target group.

In marketing, we define new-product development as:

The development of original products, product improvements, product modifications, and new brands through the firm's own R&D efforts.

Value proposition as it relates to segmentation, targeting and positioning is:

The full positioning of a brand; the full mix of benefits upon which it is positioned.

Adoption process as the term relates to marketing and buyer behavior is defined as?

The mental process through which an individual passes from first hearing about an innovation to final adoption.

In marketing, brand equity is defined as:

The positive differential effect that knowing the brand name has on customer response to the product/service or its marketing.

Silk skin cosmetics is advertising its newest line of eye makeup. Made from all-natural ingredients the products are hypoallergenic. they are selling the products in specially designed tubes that make it easier to apply to the skin. Which of the following is the core product value for silk skins line of eye makeup

The possibility of having beautiful eyes

The term Micromarketing refers to:

The practice of tailoring products and marketing programs to suit the tastes of specific individuals and locations; includes local marketing and individual marketing.

The concept of perception in marketing is defined as?

The process by which people select, organize, and interpret, information to form a meaningful picture of the world.

In marketing, the definition of market targeting is?

The process of evaluating each market segment's attractiveness and selecting one of more segments to enter.

The concept of culture as used in marketing is defined as:

The set of basic values, perceptions, wants, and behaviors learned by a member of society from family and other important institutions.

Order-routine specification

The stage of the business buying process in which the buyer writes the final order with the chosen supplier(s), listing the technical specifications, quantity needed, expected time of delivery, return policies, and warranties.

In marketing, the concept of problem recognition is defined as?

The stage of the business buying process when someone in the company recognizes a problem or need that can be met by acquiring a specific product or service. Can result from internal or external stimuli.

In marketing, we define product position as:

The way the product is defined by consumers on important attributes; the place the product occupies in consumers' minds relative to competing products.

straight rebuy

a business buying situation in which the buyer routinely reorders something without any modifications

modified rebuy

a business buying situation in which the buyer wants to modify product specifications, prices, terms, or suppliers

product concept

a detailed version of the new product idea stated in meaningful consumer terms

product line

a group of closely related product items

social class

a group of people with similar backgrounds, incomes, and ways of living

decline stage

a long-run drop in sales

maturity stage

a period during which sales increase at a decreasing rate

business analysis

a review of the sales, costs, and profit projections for a new product to find out whether these factors satisfy the company's objectives

licensed brand

a well-known brand that sellers pay a fee to use

The markets you have chosen to serve in four western states can be effectively reached and served. you would tell the marketing manager that these segments are

accessible

product line filling

adding more items within the present range of the line

product mix

all products that an organization sells

Consumer Market

all the individuals and households that buy or acquire goods and services for personal consumption

buying center

all the individuals and units that play a role in the purchase decision-making process

In terms of product differentiation, how many benefits should a company aggressively promote to the target market?

as many benefits as the product has

Cognitive dissonance as it pertains to marketing is defined as?

buyer discomfort caused by postpurchase conflict

Systems selling as the concept pertains to marketing is defined as?

buying a packaged solution to a problem from a single seller

product value analysis

carefully analyzing a product's or service's components to determine if they can be redesigned and made more effectively and efficiently to provide greater value

factors affecting consumer behavior

cultural, social, personal, psychological

become more selective; phase out unprofitable outlets

decline

cut-price

decline

declining sales

decline

phase out weak items

decline

reduce expenditure and milk the brand

decline

reduce to level needed to retain hard core loyals

decline

reduce to minimal level

decline

marketing strategy development

designing an initial marketing strategy for a new product based on the product concept

Income segmentation

dividing a market into different income segments

Gender segmentation

dividing a market into different segments based on gender

psychographic segmentation

dividing a market into different segments based on social class, lifestyle, or personality characteristics

Behavioral Segmentation

dividing a market into segments based on consumer knowledge, attitudes, uses of a product, or responses to a product

occasion segmentation

dividing the market into segments according to occasions when buyers get the idea to buy, actually make their purchase, or use the purchased item

which of the following represents an internal source of new product ideas

employees

line extension

extending an existing brand name to new forms, colors, sizes, ingredients, or flavors of an existing product category

brand extension

extending an existing brand name to new product categories

In the MARS Marketing Management Simulation, the maximum number of products that any firm can have on the market at one time is:

four

In the Mars marketing management simulation, the largest demand for your products occurs in the

fourth quarter

Offer product extensions, service, warranty

growth

build awareness and interest in the mass market

growth

build intensive distribution

growth

early adopters

growth

maximize market share

growth

price to penetrate market

growth

rapidly rising sales

growth

reduce to take advantage of heavy consumer demand

growth

build selective distribution

intoduction

Commercialization

introducing a new product into the market

innovators

introduction

use cost plus

introduction

In the MARS Marketing Management Simulation, what happens to your budget money if you do not spend it all?

it drops to the bottom line

shopping products

items for which the consumer compares several alternatives on criteria such as price, quality, or style

unsought products

items that the consumer does not know about or knows about but does not initially want

convenience products

items that the consumer purchases frequently, conveniently, and with a minimum of shopping effort

product line stretching

lengthening the product line beyond its current range

in a perfect world, everyone would drive a Mercedes is used by Mercedes advertising. the slogan is an attempt by Mercedes to ensure its product occupies a clear, distinctive and desirable place relative to competing products

market positioning

Which of the following is the right order of the four steps to design a customer driven market strategy

market segmentation, targeting, differentiation, and positioning

build more intensive distribution

maturity

diversify brand and models

maturity

increase to encourage brand switching

maturity

maximize profit while defending market share

maturity

middle majority

maturity

peak sales

maturity

price to match or beat competitors

maturity

stress brand differences and benefits

maturity

Multibrands

new brand name, existing product category

product line width

number of different product lines the company carries

In the MARS Marketing Management Simulation, the minimum time required to get a product through research and development so that it can be placed on the market is:

one decision period

which of the following is not a product attribute

price

consumer products

products purchased by the ultimate consumer

Industrial Products

products purchased for further processing or for use in conducting a business

Idea Screening

screening new product ideas to spot good ones and drop poor ones as soon as possible

service inseparability

services are produced and consumed at the same time and cannot be separated from their providers

service intangibility

services cannot be seen, tasted, felt, heard, or smelled before they are bought

service perishability

services cannot be stored for later sale or use

product line pricing

setting the price steps between various products in a product line based on cost differences between the products, customer evaluations of different features, and competitors' prices

Which of the following is most likely to be an example of a shopping product

television

growth stage

the PLC stage in which a product's sales start climbing quickly

awareness

the buyer becomes aware of the product

business buying process

the decision process by which business buyers determine which products and services their organizations need to purchase and then find, evaluate, and choose among alternative suppliers and brands

New Product Development

the development of original products, product improvements, product modifications, and new brands through the firm's own product development efforts

test marketing

the limited introduction of a product and a marketing program to determine the reactions of potential customers in a market situation

adoption process

the mental process through which an individual passes from first hearing about an innovation to final adoption

product line length

the number of items in the product line

product line depth

the number of product items in a product line

business buying behavior

the purchasing of products by producers, resellers, governmental units, and institutions

Service variability means that ________.

the quality of services depends on who provides them as well as when, where, and how they are provided

service variability

the quality of services may vary greatly depending on who provides them and when, where, and how they are provided

performance review

the stage of the business buying process in which the buyer assesses the performance of the supplier and decides to continue, modify, or drop the arrangement

Proposal solicitation

the stage of the business buying process in which the buyer invites qualified suppliers to submit proposals

Supplier Selection

the stage of the business buying process in which the buyer reviews proposals and selects a supplier or suppliers

supplier search

the stage of the business buying process in which the buyer tries to find the best vendors

idea generation

the systematic search for new product ideas

Innovators

those buyers who want to be the first to have the new product or service

Product mix length refers to the ________.

total number of items a company carries within its product lines

group

two or more people who interact to accomplish individual or mutual goals

In the MARS Marketing Management Simulation, the company sales force is organized on what basis?

type of retailer

shampoo marketers segment buyers as light, medium, or heavy product users. This is an example of __________ segmentation

user rate