MKT Ch 3
self regulation
An alternative to government control whereby an industry attempts to police itself.
____is a movement to increase the influence, power, and rights of consumers in dealing with institutions.
Consumerism
Social Responsibility
The idea that organizations are part of a larger society and are accountable to that society for their actions. 3 concepts: 1) profit responsibility 2) stakeholder responsibility 3) societal responsibility
caveat emptor
The legal concept of "let the buyer beware" that was pervasive in the American business culture prior to the 1960s.
disposable income
The money a consumer has left after paying taxes to use for necessities such as food, housing, clothing, and transportation.
economy
Pertains to the income, expenditures, and resources that affect the cost of running a business and household.
Discretionary income
The money that remains after paying for taxes and necessities.
ethics
The moral principles and values that govern the actions and decisions of an individual or group.
Internet of Things
The network of products embedded with connectivity-enabled electronics.
environmental scanning
The process of continually acquiring information on events occurring outside the organization to identify and interpret potential trends.
triple bottom line
The recognition of the need for organizations to improve the state of people, the planet, and profit simultaneously if they are to achieve sustainable, long-term growth.
culture
The set of values, ideas, and attitudes that are learned and shared among the members of a group. -socializing force that dictates what is morally right and just
gross income
The total amount of money made in one year by a person, household, or family unit. Also known as money income at the Census Bureau.
Which of the following are included in culture?
Values Ideas attitudes
Oligopy
a common industry structure, occurs when a few companies control the majority and find industry sales
monopolistic competition
a market structure in which many companies sell products that are similar but not identical -substitutable products
An example of ________, is the elimination of passwords based on facial or fingerprint recognition.
authentication technology
A company's ______ can be described as the set of values, ideas, and attributes that is learned and shared among its members.
culture
Social forces include _________ characteristics of the population and its culture.
demographic
Describing a population with characteristics like age, gender, ethnicity, and income is referred to as
demographics
The moral values that govern the actions and decisions of an individual or group and serve as guidelines on how to act rightly and justly when faced with a moral dilemma are referred to as ______. Multiple choice question.
ethics
stakeholder responsibility
focuses on the obligations an organization has to those who can affect achievement of its objectives
Clayton Act
forbids certain actions that are likely to lessen competition, although no actual harm has yet occurred
A good marketer can identify potential opportunities by paying close attention to environmental ________; it is important to continuously monitor the business environment in which a company operates.
forces
Those born during the "baby bust" when the number of children born each year was declining are part of which generational cohort?
gen x
To get a comprehensive look at your competition, you should consider firms that
provide a product that satisfies the same specific need as yours does.
societal responsibility
refers to obligations that organizations have (1) to the preservation of the ecological environment and (2) to the general public.
An environmental scan will include ____forces impacting a business by way of state and federal laws that may restrict its activities. (one word)
regulatory
Which environmental force consists of restrictions state and federal laws place on business with regard to the conduct of its activities?
regulatory
Because culture is a socializing force that dictates what is morally right, moral standards are
relative to particular societies
Sherman Antitrust Act (1890)
1) forbids contracts, combinations, or conspiracies in retraint of trade 2. forbids actual monopolies or attempts to monopolize trade and commerce
1. pure competition 2. Monopolistic comp 3. Oligopoly 4. Monopoly EXAMPLES
1. Wheat, grains, and rice 2. coffee tea 3. cell phone carriers 4. water, electricity, natural gas
Baby boomers are those people born between the years
1946 and 1964.
Gen Z
1997-2012
code of ethics
A formal statement of ethical principles and rules of conduct.
consumerism
A grassroots movement started in the 1960s to increase the influence, power, and rights of consumers in dealing with institutions.
pure monopoly
A market structure in which one firm sells a unique product, into which entry is blocked, in which the single firm has considerable control over product price, and in which nonprice competition may or may not be found.
Moral idealism
A personal moral philosophy that considers certain individual rights or duties as universal, regardless of the outcome.
utilitarianism
A personal moral philosophy that focuses on "the greatest good for the greatest number" by assessing the costs and benefits of the consequences of ethical behavior.
marketspace
An information- and communication-based electronic exchange environment mostly occupied by sophisticated computer and telecommunication technologies and digital offerings.
JFK's Consumer Bill of Rights
An outline presented by President John F. Kennedy in 1962 that codified the ethics of exchange between buyers and sellers, including the rights to safety, to be informed, to choose, and to be heard.
Which generational cohort was born between 1946 and 1964?
Baby Boomers
The best known self-regulatory group is the
Better Business Bureau
multiculural marketing
Combinations of the marketing mix that reflect the unique attitudes, ancestry, communication preferences, and lifestyles of different races.
sustainable development
Conducting business in a way that protects the natural environment while making economic progress. 1) companies benefit from favorable word of mouth 2) outperform irresponsible companies
___incorporates the set of values, ideas, and attitudes that are learned and shared among the members of a group.
Culture
demographics
Describing a population according to selected characteristics such as age, gender, ethnicity, income, and occupation.
whistle-blowers
Employees who report unethical or illegal actions of their employers
_____ is the generational cohort that includes Americans born between 1981 and 1996.
Generation Y
Gen Y
Includes the 62 million Americans born between 1981 and 1996. Also called the echo-boom. -increasing pop -Millennials
baby boomers
Includes the generation of 76 million children born between 1946 and 1964.
Which of the following are among the goals of environmental scanning?
Interpreting and identifying trends Continually acquiring information on external events
technology
Inventions or innovations from applied science or engineering research.
Which of the following are the broad categories that should be considered when analyzing the components of an environmental scan?
Macroeconomic conditions Consumer income
green marketing
Marketing efforts to produce, promote, and reclaim environmentally sensitive products.
cause marketing
Occurs when the charitable contributions of a firm are tied directly to the customer revenues produced through the promotion of one of its products.
regulation
Restrictions state and federal laws place on a business with regard to the conduct of its activities.
sustainable marketing
The effort to meet today's (global) economic, environmental, and social needs without compromising the opportunity for future generations to meet theirs.
Which of the following environmental forces is most likely to result in replacement of existing products or companies?
Technology
1. Intranets and 2. Extranets
Technology platforms that increase integration and expedite the flow of information 1. to communicate with the organization 2. to communicate with suppliers, distributors, partners
electronic commerce
The activities that use electronic communication in the inventory, promotion, distribution, purchase, and exchange of products and services. Also called e-commerce.
competition
The alternative firms that could provide a product to satisfy a specific market's needs.
Economic espionage
The clandestine collection of trade secrets or proprietary information about a company's competitors. -include trespassing, theft, fraud...etc
social forces
The demographic characteristics of the population and its culture.
Consumerism is ____
a movement to increase the power and rights of consumers in dealing with institutions
Gen X
also called baby bust, includes the 55 million people born between 1965 and 1980. Also called the baby bust. -declining pop
Self-regulation is
an alternative to government control in which industry attempts to police itself
The marketspace is defined as
an electronic exchange environment with computer technologies and digitized offerings.
Select three characteristics that describe Generation X?
born between 1965 and 1980 often called the "baby bust" generation supportive of racial and ethnic diversity
The Sherman Antitrust Act and the Clayton Act were passed to protect
competition
Which environmental force refers to the alternative firms that could provide a product to satisfy a specific market's needs?
competition
Gross, disposable, and discretionary are three components related to
consumer income
Microeconomic vs Macroeconomics
consumer vs economy
Even when a product is well-suited for its intended targets, it won't be sold if
consumers don't have the necessary income
Technology is causing a change in the customer assessment of value because its cost is plummeting, resulting in
consumers focusing instead on quality, service, and relationships with the retailer
The Generation Y cohort is also referred to as the
echo-boomers
Which component of an environmental scan pertains to the income, expenditures, and resources affecting the cost of running a business or household?
ecomomy
The performance of the __________ can be measured using the GDP, the rate of unemployment, or price changes.
economy
The_____ is one of five components of an environmental scan because businesses are impacted by forces such as inflation, productivity, and consumer income. (one word)
economy
The process of continually acquiring information on events occurring outside the organization to identify and interpret potential trends is called
environmental scanning
FTC Act of 1914
established the FTC as an organization to police unfair methods of competition and unfair or deceptive practices in commerce
The moral principles and values that govern the actions and decisions of an individual or group are referred to as . (one word)
ethics
profit responsibility
holds that companies have a simple duty: to maximize profits for their owners or stockholders
Which two of the following are macroeconomic factors?
inflation gross domestic product
Environmental scanning is necessary for an organization to
interpret trends that may be a source of opportunity
What is considered a human rights abuse by an American company may be viewed as an acceptable business practice in China, which illustrates that___
moral standards are relative to particular societies
A ________ is described with demographics.
population
Robinson-Patman Act
prevents unfair price discrimination by ensuring that the seller offer the same price terms to customers at a given level of trade
In the United States, the majority of new jobs are generated by _______ businesses.
small
The majority of the competitive landscape in this country is made up of
small businesses
The demographic characteristics of a population and its culture are the basis of the ________ forces of the environment.
social
environmental forces
social, economic, technological, competitive, regulatory (some easy things can really (help))
Which of the following environmental forces refers to inventions or innovations from applied science or engineering research?
technology
The right to be informed and the right to choose, as both pertain to the exchange process in marketing, are part of
the Consumer Bill of Rights.
The act that makes it unlawful to discriminate in prices charged to different purchasers of the same product is called
the Robinson-Patman Act
pure competition
the market structure that exists when there are many small businesses selling one standardized product
An information- and communication-based electronic exchange environment occupied by computer technologies and digitized offerings is called
the marketspace
corporate culture
the set of values, attitudes, and ideas learned and shared among members of an organization
Using technology for the development of new products creates _____ for customers.
value
What are the newest forms of technological changes that are occurring now?
wearable technology biotechnology blockchain
