marketing chapter 3

Acts for protecting competition

(1) Sherman Antitrust Act (2) Clayton Act (3) Robinson-Patman Act

Sherman Antitrust Act

this act forbids (1) contracts, combinations, or conspiracies in restraint of trade and (2) actual monopolies or attempts to monopolize any part of trade or commerce

Lanham Act

this act provides for registration of a company's trademarks

self-regulation

where an industry attempts to police itself

factors that drive competition

(1) entry (2) the bargaining power of buyers and suppliers (3) existing rivalries (4) substitution possibilities

environmental trends arise from 5 sources

(1) social (2) economic (3) technological (4) competitive (5) regulatory forces

metropolitan divisions

If a metropolitan statistical area contains a population of 2.5 million or more, it may be subdivided into smaller areas

Clayton Act

This act forbids certain actions that are likely to lessen competition, although no actual harm has yet occurred

culture

incorporates the set of values, ideas, and attitudes that are learned and shared among members of a group

consumerism

a grassroots movement started in the 1960s to increase the influence, power, and rights of consumers in dealing with institutions

marketspace

an information and communication based electronic exchange environment mostly occupied by sophisticated computer and telecommunication technologies and digitalized offerings

electronic commerce

any activity that uses some form of electronic communication in the inventory, exchange, advertisement, distribution, and payment of goods and services

generation cohorts

baby boomers, generation x, and generation y are examples of

baby boomers

born between 1946 and 1964. Their participation in the workforce has made them the wealthiest generation in U.S. history

generation x

born between 1965 and 1976. Also referred as the baby bust, because the number of children born each year was declining. This is a generation of consumers who are self-reliant, supportive of racial and ethnic diversity, and better educated than any previous generation.

generation y

born between 1977 and 1994. Also referred to as the echo-boom or baby boomlet. This was a period of increasing births, which resulted from baby boomers having children. This generation has an influence on music, sports, computers, video games, and all forms of communication and networking. Members of this generation are interested in distinctive, memorable, and personal experiences and are very adept at managing their lives to create a work-life balance.They are strong-willed, passionate about the environment, and optimistic.

regulation

consists of restrictions state and federal laws place on business with regard to the conduct of its activities

demographics

describing a population according to selected characteristics such as age, gender, ethnicity, income, and occupation

metropolitan statistical area

has at least one urbanized area of 50,000 or more people and adjacent territory that has a high degree of social and economic integration

micropolitan statistical area

has at least one urbanized cluster of at least 10,000 but less than 50,000 people and adjacent territory that has a high degree of social and economic integration

Federal Trade Commission (FTC) Act of 1914

has been concerned with deceptive or misleading advertising and unfair business practices and has the power to (1) issue cease and desist orders (2) order corrective advertising

pure competition

in which there are many sellers and they each have a similar product

disposable income

is the money a consumer has left after paying taxes to use for necessities such as food, housing, clothing, and transportation

monopolistic competition

many sellers compete with substitutable products within a price range

oligopoly

occurs when a few companies control the majority of industry sales

pure monopoly

occurs when only one firm sales the product

social forces

of the environment include demographic characteristics of the population and its values

blended family

one formed by merging two previously separated units into a single household

economy

pertains to the income, expenditures, and resources that affect the cost of running a business and household

technology

refers to inventions or innovations from applied science or engineering research

competition

refers to the alternative firms that could provide a product to satisfy a specific market's needs

millennials

refers to younger members of Generation Y and sometimes to Americans born since 1994

green technologies

such as SmartGrid infrastructure, online energy management, and consumer-generated energy (ex. home wind turbines) will gain widespread acceptance among American consumers

value consciousness

the concern for obtaining the best quality, features, and performance of a product or service for a given price

discretionary income

the money that remains after paying taxes and necessities and is used for luxury items

environmental scanning

the process of continually acquiring information on events occurring outside the organization to identify and interpret potential trends

gross income

the total amount of money made in one year by a person, household, or family unit

barriers to entry

which are business practices or conditions that make it difficult for new firms to enter the market

multicultural marketing programs

which are combinations of the marketing mix that reflect the unique attitudes, ancestry, communication preferences, and lifestyles of different races

biotechnology

will be used to develop genetically modified crops to create enough food for growing world population

social networks

will become social platforms that provide functionality, community, and identity well beyond the value provided by traditional corporate websites

"Natural user interfaces"

will utilize gesture, touch, and voice to change the way we interact with and control computers and complicated machines