Tingnan ang lahat ng mga set ng pag-aaral

Test 1

Pataasin ang iyong marka sa homework at exams ngayon gamit ang Quizwiz!

2 Strategic planning process

1) define company mission 2) set company objectives and goals 3) design business portfolio 4) plan marketing and other functional strategies

1) marketing process

1) understand marketplace + customer wants/needs 2) design customer value-driven marketing strategy 3) construct an integrated marketing program that delivers superior value 4) engage, build relationships, and customer delight 5) capture value from customers to create profit

Baby Boomers

1946-1964, control 70% of nation's disposable income, make up 26% of population

Generation X

1965-1976, family first, career second, skeptical and sensible

Millennials

1977-2000, financially strapped, comfort with digital technology, frugal, practical, mobile, and impatient Echo Boomers, Generation Y

Generation Z

2000 and after, represent tomorrow's markets, fluent in tech

2 marketing mix

4 P's blended together to produce desired market response (Price, promotion, place, product)

A marketer who wishes to gain insight into the demographics and attitudes of consumers who buy their product would likely ask Nielsen to perform which type of research? A. Descriptive research B. Primary data C. Causal research D. Secondary data E. Exploratory research

A popular football player at a college who is able to influence the buying decisions of fans would best be described as a(n) __________. A. opinion leader influence B. membership group influence C. family role influence D. aspirational group influence E. word-of-mouth influence

As with many companies, NutriSystem's marketing strategy hopes to achieve a brand community. Which of the following would be an example of NutriSystem's brand community? A. Its customer interaction through social media, blogs, and website content. B. It offers free shipping to new customers. C. It uses social media to post product pictures. D. It uses online banner advertising. E. It utilizes mass email blasts.

A company's mission statement should be focused on __________. A. customers B. objectives and goals C. sales D. investment E. profit

Burger King's Satisfries are most likely marketed to which type of customer market? A. Consumer B. Government C. Retailer D. Business E. International

Burger King's offering of healthier French fries is most closely related to building relationships with which of the following microenvironment actors? A. The customers B. The company C. The suppliers D. The public E. The marketing intermediaries

Burger King's target demographic for its Satisfries was most notably mothers of young children. Which of the following demographics was Burger King most likely targeting? A. Millennials B. Gen Zers C. Generation Z D. Baby boomers E. Generation X

Consumer purchases are influenced strongly by certain characteristics which include all of the following except __________. A. cognitive B. cultural C. psychological D. personal E. social

Eskimo Joe's food, logo products, and overall experience keeps customers loyal and coming back time and time again. Such customer loyalty increases __________________. A. Customer lifetime value B. Marketing myopia C. Partner relationship management D. Sustainable marketing E. Market offerings

Freedom from defects and consistency in delivering a targeted level of performance is an attribute of product's __________. A. conformance quality B. support services C. labeling D. branding E. packaging

Hospital purchasing agents should prefer __________. A. food vendors with low prices and quality products B. considerable documentation from suppliers C. open-bid purchasing D. a negotiated contract E. to give contracts to the lowest bidder

In which type of competition do fast-food restaurants operate? A. Monopolistic competition B. Pure monopoly C. Oligopolistic competition D. Private unregulated monopoly E. Private regulated monopoly

Infomercials are a form of marketing considered a part of __________. A. direct-response television marketing B. catalog marketing C. mobile marketing D. telemarketing E. real marketing

Kevin Kern described Konica/Minolta's use of commercials, newspapers, social media, and other media to control the marketing message. Which marketing concept was he referring to? A. Marketing mix B. Product development C. Company objectives and goals D. Diversification E. Marketing strategy

Major factors for changing the face of today's marketing communications include all of the following except __________. A. marketers are going for mass marketing B. digital media have provided new communication tools C. marketing strategies are changing D. digital technology is causing remarkable changes E. consumers are changing

NutriSystem includes Facebook, Twitter, blogs, and Instagram in its marketing strategy. This indicates that NutriSystem is involved in which type of marketing? A. Social media B. Direct-mail only C. E-tailer D. Online-only E. Search engines

Shortages of certain raw materials is a major trend related to the __________ environment. A. natural B. political C. social D. technological E. economic

The branding strategy of launching a product or service as a national or store brand is considered a __________. A. brand sponsorship B. brand value C. co-branding D. brand positioning E. brand equity

The microenvironment consists of all of the following except __________. A. demographics B. competitors C. publics D. suppliers E. companies

The most basic determinant of a person's wants and behavior are embedded in a consumers __________. A. culture B. reference groups C. subculture D. personal characteristics E. social factors

The step in designing a customer value-driven marketing strategy in which a company divides a market into distinct groups of buyers is known as market __________. A. segmentation B. targeting C. positioning D. differentiation E. identifying

To do e-procurement, companies can conduct __________, in which they put their purchasing requests online and invite suppliers to bid for the business. A. reverse auctions B. company buying site C. extranet link D. trading exchanges E. intranet link

Under the previous CEO, Konica/Minolta's management determined it was time to invest in __________ by offering new products to the technology market. A. product development B. market penetration C. market development D. partner relationship management E. diversification

What is the unique positioning of Sprout? A. The channel is marketed to both children and their parents and airs 24 hours a day. B. The channel is educational. C. The channel is marketed to tweens. D. The channel is entertaining. E. The channel is marketed to elderly persons.

When Sam Farber started OXO and launched never-before-seen products that were targeted at people with dexterity problems, in which stage of buyer-readiness was his target market? A. Awareness B. Conviction C. Liking D. Purchase E. Preference

Which element of the marketing communications mix does OXO most heavily utilize? A. Direct marketing B. Sales promotion C. Advertising D. Personal selling E. Public relations

Which of the following best describes the type of product Plymouth Rock Assurance offers? A. Shopping product B. Specialty product C. Unsought product D. Capital items E. Convenience product

Which of the following forms of products are considered as services? A. Airline travel B. Apple iPhone C. Advice from a family doctor D. Starbucks coffee E. Toyota Camry

Which of the following is not considered one of the links in the service profit chain? A. Buyer-seller interaction B. Greater service value C. Satisfied and loyal customers D. Internal service quality E. Satisfied and productive service employees

Which of the following statements does not apply to the description of prices? A. In recent decades price factors have gained increasing importance. B. Price remains one of the most important elements that determine a firm's market share. C. Pricing is the number-one problem facing many marketing executives. D. Historically, price has been the major factor affecting buyer choice. E. Price is the amount of money charged for a product or a service.

Which budget-setting method does OXO utilize? A. Affordable B. Percentage-of-competition C. Percentage-of-sales D. Objective-and-task E. Competitive parity

Why should companies use mobile marketing responsibly? A. Companies risk angering already ad-weary consumers. B. Mobile marketing may stimulate immediate buying. C. Mobile marketing may provide unwanted incentives when consumers are just going to make a choice. D. Mobile marketing engages customers anywhere, anytime during the buying and may affect the relationship-building process. E. Today's rich-media mobile ads can create substantial engagement and impact.

__________ reverses the usual process of first designing a new product, determining its cost, and then asking, "Can we sell it for that?" A. Target costing B. Value-added pricing C. Good-value pricing D. Cost-based pricing E. Customer value-based pricing

1 Value Proposition

A brand's value proposition is the set of benefits or values it promises to deliver to consumers to satisfy their needs. Homewood Suites by Hilton wants you to "Make yourself at home." Meanwhile, the Hyatt Regency brand declares that sometimes "It's good not to be home." Such value propositions differentiate one brand from another. They answer the customer's question: "Why should I buy your brand rather than a competitor's

Shopping product

A consumer product that the customer, in the process of selecting and purchasing, usually compares on such attributes as suitability, quality, price, and style. Consumers spend much time and effort in gathering information and making comparisons. Examples include furniture, clothing, major appliances, and hotel services.

Branded community website

A website that presents brand content that engages consumers and creates customer community around a brand.

Any paid form of nonpersonal presentation and promotion of ideas, goods, or services by an identified sponsor. Includes?

Advertising Includes broadcast, print, online, mobile, outdoor, and other forms.

Advertising

Any paid form of nonpersonal presentation and promotion of ideas, goods, or services by an identified sponsor. Includes broadcast, print, online, mobile, outdoor, and other forms.

An extra product around the core benefit and actual product by offering additional consumer services and benefits. Ex?

Augmented Value Ex: The iPad is more than just a digital device. It provides consumers with a complete connectivity solution. Thus, when consumers buy an iPad, Apple and its resellers also might give buyers a warranty on parts and workmanship, quick repair services when needed, and web and mobile sites to use if they have problems or questions.

According to the stimulus-response model of buyer behavior, marketing and other stimuli enter the consumer's __________ and produce certain responses. A. cultural shifts B. black box C. behavior D. curiosity E. subculture

As marketers adopt richer but more fragmented media and promotion mixes to reach their diverse markets, they risk creating a communications hodgepodge for consumers. To prevent this, companies have adopted the concept of __________. A. personal selling B. integrated marketing communications (IM C. sales promotion D. advertising E. public relations

Blood donations to the Red Cross are considered __________ products. A. industrial B. unsought C. convenience D. specialty E. shopping

Business legislation has been enacted for a number of reasons which include all of the following except __________. A. protecting interests of society B. developing a code of ethics C. protecting companies from each other D. protecting consumers from unfair business practices E. to make firms take responsibility for the social costs of their production or products

Customer relationship building blocks consist of __________. A.the four Ps of marketing B.customer value and satisfaction C.price and promotion D.product and place E.social and product marketing

Each department can be thought of as a link in the company's __________. A. market segmentation B. value chain C. delivery network D. marketing mix E. marketing management

Eskimo Joe's is an important part of the community, including customers' lives and customer involvement, which indicates Eskimo Joe's is involved in _________________. A. Promotion B. Customer engagement marketing C. Exchange D. Marketing myopia E. Customer satisfaction

Hammerpress utilizes different pricing strategies than other printing companies, which sell printers to the home-printing market at a low price point and then sell the continual ink cartridge purchases at a high price point. Which type of pricing strategy is this? A. Market skimming pricing B. Captive product pricing C. Discount and allowance pricing D. Product bundle pricing E. Promotional pricing

IMG World provides college students with new, relevant media, making which stage of the consumer buyer behavior process easier for the consumer? A. Postpurchase behavior B. Information search C. Need recognition D. Purchase decision E. Evaluation of alternatives

If the product passes both the concept test and the product test, the next step is __________. A. business analysis B. test marketing C. product development D. idea screening E. concept development

In addition to selling food, drink, and a variety of items that feature its popular logo, Eskimo Joe's offers its customers a valuable experience, known as its ______________. A.Marketing myopia B.Market offering C.Demands D.Needs E.Wants

Institutional markets are __________. A. affected by organizational factors B. characterized by low budget, captive patrons C. subject to frequent shifts in procurement personnel D. characterized by considerable documentation E. carefully watched by outside publics

In __________pricing, the company sells a product or service at two or more prices, even though the difference in prices is not based on differences in costs. A. dynamic B. segmented C. promotional D. discount and allowance E. psychological

Many companies view the marketing environment as a(n) __________ element to which they must react and adapt. A. demographic B. uncontrollable C. cultural D. economic E. controllable

Marketers should carefully consider public policy issues and regulations regarding all of the following except __________. A. product warranties. B. product development C. acquiring or dropping products D. patent protection E. product quality and safety

Market __________ evaluates each market segment's attractiveness and selects one or more segments to serve. A. relationships B. targeting C. differentiation D. segmentation E. positioning

Netflix recruits "Grammasters," influencers who have large Instagram followings. They travel around the world taking photos and creating videos. This is an example of using __________ as a personal communication channel. A. broadcast media B. buzz marketing C. display media D. print media E. online media

Nielsen gathers data on millions of people to help marketers gain __________ to use to create strategic marketing decisions. A. internal databases B. customer insights C. big data D. marketing information systems E. competitive marketing intelligences

NutriSystem uses direct-mail marketing for its products geared toward men. Which of the following is not an advantage of direct-mail marketing? A. It is flexible. B. It is less expensive than mass media. C. It is personalized. D. It permits high target-market selectivity. E. It allows easy measurement of results.

One of the disadvantages of product and service standardization for international market is __________. A. less product design costs B. varying worldwide market C. less manufacturing costs D. consistent worldwide image E. less variety of products.

Prior to becoming Plymouth Rock Assurance, the company marketed three different insurance companies: High Point, Plymouth Rock, and Pallasades. Rebranding the three names into one, Plymouth Rock Assurance, was one part of the overall objective of constantly improving the quality of services and business products. This overall process is known as which of the following? A. Performance quality B. Total quality management C. Conformance quality D. Quality consistency E. Quality level

Sprout markets to preschool-aged children and their parents. Which type of segmentation is Sprout most likely using? A. Psychographic B. Demographic C. Behavioral D. Gender E. Usage

Techniques that can be used by sellers for avoiding customers' perception of price gouging includes all of the following except __________. A. adjust quality B. low-price fighter items C. increase prices D. reduce prices E. improve perceived value

The major activity in strategic planning is the analyses of a business __________. A. unit B. portfolio C. experience D. goal or objective E. plan

The name Plymouth Rock Assurance identifies the company as the seller of its services and products, which is also known as which of the following? A. Product line B. Brand C. Package D. Logo E. Label

The objective of __________ research is to gather preliminary information that will help define the problem and suggest hypotheses. A. primary B. exploratory C. secondary D. descriptive E. causal

The specific data that Nielsen provides to its clients for a specific purpose that has not been completed before, is most likely which type of data? A. Exploratory B. Primary C. Causal D. Secondary E. Descriptive

The video indicated that a company in China was manufacturing the first batch of the shoes. This is indicative of which stage of the new product development process? A. Marketing strategy development B. Commercialization C. Idea screening D. Idea generation E. Concept testing

The video indicated that the shoes would be sold for $120 to $150 per pair. At which stage of the new product development process was this decision most likely made? A. Concept testing B. Marketing strategy development C. Test marketing D. Commercialization E. Product development

The winning value proposition by discount stores such as Walmart and Best Buy can be categorized as __________. A. more for more B. the same for less C. more for the same D. less for much less E. more for less

Through a company invites broad communities of people into the innovation process. A. acquisition B. crowdsourcing C. concept development D. idea screening E. concept testing

Using a(n) __________ marketing strategy, a firm might decide to ignore market segment differences. A. differentiated B. undifferentiated C. micromarketing D. individual E. local

When does the habitual buying behavior occur? A. When consumers are highly involved with an expensive, infrequent, or risky purchase B. Under conditions of low-consumer involvement and little significant brand difference C. When consumers recognize that there is a need D. When consumers recognize that there is a problem E. When there is low consumer involvement but significant perceived brand differences

Which of the following statements discussing big data is not true? A. Companies can gain timely customer information. B. Marketers can access and easily sift through the data once it is available. C. Big data provides a lot more information than the managers can digest. D. Companies that effectively tap the available glut of data can gain rich, customer insights. E. Data can be collected from blogs, tweets, and social media.

Which type of message appeal does OXO utilize? A. Emotional B. Rational C. Irrational D. Moral E. Logical

_________ is the systematic monitoring, collection, and analysis of publicly available information about consumers, competitors, and developments in the marketplace. A. Big data B. Competitive marketing intelligence C. Internal database D. USAA database E. Competitor database

__________ involves evaluating each market segments attractiveness and selecting one or more segments to enter. A. Market segmentation B. Market targeting C. Market differentiation D. Market positioning E. Marketing mix

__________ is the first stage of the product life cycle. A. Growth B. Product development C. Introduction D. Decline E. Maturity

generations/ cohorts

Baby boomers - 1946-1964, control 70% of nation's disposable income, make up 26% of population generation x - 1965-1976, family first, career second, skeptical and sensible millennials - 1977-2000, financially strapped, comfort with digital technology, frugal, practical, mobile, and impatient generation z - 2000 and after, represent tomorrow's markets, fluent in tech

A website that presents brand content that engages consumers and creates customer community around a brand.

Branded Community Website

Public relations

Building good relations with the company's various publics by obtaining favorable publicity; building up a good corporate image; and handling or heading off unfavorable rumors, stories, and events. Public relations includes press releases, sponsorships, events, and webpages.

Distinctions between business and consumer markets

Business: far fewer but larger buyers, inelastic and more fluctuating demand, derived demand (derives demand from consumer good) more decision participants more professional purchasing effort more complex buying decisions

The internal factors affecting consumer decisions. Internal factors?

Buyer's Black Box Environment/stimuli is perceived by buyer. Buyer's black box is their characteristics and decision process. Buyer then responds to environment. Internal factors: The buyer's characteristics influence how he or she perceives and reacts to the stimuli. These characteristics include a variety of cultural, social, personal, and psychological factors. Second, the buyer's decision process itself affects his or her behavior. This decision process—from need recognition, information search, and alternative evaluation to the purchase decision and postpurchase behavior—begins long before the actual purchase decision and continues long after.

have formal authority to select the supplier and arrange terms of purchase. Buyers may help shape product specifications, but their major role is in selecting vendors and negotiating. In more complex purchases, buyers might include high-level officers participating in the negotiations.

Buyers

systems (solutions) selling

Buying a packaged solution to a problem from a single seller, thus avoiding all the separate decisions involved in a complex buying situation.

A(n) __________ stance by companies toward the marketing environment is preferred over a reactive stance. A. passive B. active C. proactive D. controllable E. competitive

Amazon and GEICO set themselves apart with their smooth-functioning direct delivery strategy referred to as __________ differentiation. A. people B. product C. channel D. services E. image

A brand's __________ involves the set of benefits or values it promises to deliver to consumers. A.marketing management B.market segmentation C.value proposition D.target marketing E.customer management

IMG World's products and services are geared toward colleges and students, the students of which may be considered young achievers. This designation can be best described as which influential factor of consumer buying behavior? A. Occupation B. Family role C. Age and life stages D. economic situation E. Social class

If Brady, the owner of Hammerpress, strategically discounts the price of all gift cards by 20% during the holidays and runs a campaign to encourage gift card purchases, he is implementing which type of pricing? A. Product bundle pricing B. Psychological C. Promotional D. Market penetration pricing E. Segmented

Konica/Minolta hopes to create customer value through its mission, strategic goals and objectives, marketing mix, and other marketing tools. This collective effort is known as Konica/Minolta's __________. A. market differentiation B. market targeting C. marketing strategy D. market segmentation E. marketing mix

Many companies manage detailed information about individual customers by using all of the following methods except __________. A. customer relationship management B. marketing analytics C. collecting and storing huge amounts of data D. customer touch points E. big data analytics

NutriSystem maintains a website that engages consumers and includes videos, blogs, activities, and other features that build closer customer relationships and generate engagement. This indicates that NutriSystem employs a(n) __________. A. marketing website B. viral marketing program C. brand community website D. online advertising website E. email marketing portal

Prior to the merging of three distinct insurance company names into one new name, which of the following best describes the branding strategy used? A. Brand extension B. Brand engagement C. Mulitbrands D. Line extension E. Co-branding

Q1 In the final step of the five-step marketing model, companies __________. A.create customer value B. build strong customer relationships C. reap the rewards of creating customer value D. work to understand consumers E. capture customer value

Small businesses and not-for-profit organizations can obtain good marketing insights through __________. A. big data B. MIS C. observation research D. causal research E. exploratory research

The decision to offer Satisfries to customers is most closely aligned with their understanding of the changes in which of the following environments? A. The technological environment B. The legal environment C. The cultural environment D. The global environment E. The political-social environment

The marketing research industry is considering several options for responding to intrusion and privacy issues, which includes all of the following except __________. A. "respondent bill of rights" initiatives B. providing value in exchange C. sharing information widely D. appointing a privacy officer E. "your opinion counts" initiatives

The __________ concept holds that consumers will favor products that are available and affordable. A.product B.marketing C.production D.societal marketing E.selling

Through the years, Eaton has shifted from selling strictly components to solving its customers' problems with more tailored offerings. This is an example of _________. A. modified rebuy B. non-modified rebuy C. solutions selling D. new task E. straight rebuy

When Eaton's customers became aware that they needed solutions for power management, energy savings, green technologies, and LEED certification, they were in which phase of the business buying process? A. General need description B. Proposal solicitation C. Problem recognition D. Performance review E. Product specification

Which of the following statements does NOT describe price? A. Price is the sum of all the values that customers give up to gain the benefits of having or using a product or service. B. Prices can be changed quickly. C. Price is the only element in the marketing mix that represents costs. D. Price remains one of the most important elements that determine a firm's market share and profitability. E. Price is one of the most flexible marketing mix elements.

Within the growth-share matrix, "cash cows" are __________. A. high-growth, high-share businesses or products B. low-growth, low-share business units in high-growth markets C. low-growth, high-share businesses or products D. high-share businesses in slow-growth markets E. low-growth, low-share businesses and products in high-growth markets

__________ behavior occurs when consumers are highly involved with an expensive, infrequent, or risky purchase but see little difference among brands. A. Complex buying B. Variety-seeking buying C. Dissonance-reducing buying D. Habitual buying E. Post-purchase

__________ includes the final order with the chosen supplier or suppliers and lists other required items. A. Product specification B. Supplier search C. Order-routine specification D. Vendor-managed inventory E. Performance review

__________ is/are considered a consumer-controlled digital media. A. Viral marketing B. Brand community websites C. Blogs D. Contextual advertising E. Online videos

__________ means that the quality of services depends on who provides them as well as when, where, and how they are provided. A. Service perishability B. Service profitability C. Service variability D. Service intangibility E. Service inseparability

he __________ environment consists of economic factors that affect consumer purchasing power and spending patterns. A. social B. political C. economic D. technological E. natural

__________ are distribution channel firms that help the company find customers or make sales for them. A. Marketing services agencies B. Financial intermediaries C. Resellers D. Financial publics E. Physical distribution firms

__________ development focuses on finding new ways to solve customer problems. A. Slow-but-sure product B. Sequential product C. Customer-centered new product D. Step-by-step product E. Team-based new product

__________ is a measure of the brand's ability to capture consumer preference and loyalty. A. Brand management B. Brand value C. Brand equity D. Brand sponsorship E. Brand positioning

__________ is the act of obtaining a desired object from someone by offering something in return. A.Want B.Need C.Exchange D.Demand E.Satisfaction

__________ plays a key role in the company's strategic planning. A. Human Resources B. Accounting C. Marketing D. Operations E. Finance

to test hypotheses about cause-and-effect relationships.

Causal Research

Internal databases

Collections of consumer and market information obtained from data sources within the company's network. Accessed more quickly and cheaply than other information sources. Because internal information is often collected for other purposes, it may be incomplete or in the wrong form for making marketing decisions. Data also age quickly; keeping the database current requires a major effort. Finally, managing and mining the mountains of information that a large company produces require highly sophisticated equipment and techniques.

Systematic monitoring, collection, and analysis of publicly available information about consumers, competitors, and developments in the marketplace. What is the goal? Techniques?

Competitive Marketing Intelligence Goal: is to improve strategic decision making by understanding the consumer environment, assessing and tracking competitors' actions, and providing early warnings of opportunities and threats. Techniques: range from observing consumers firsthand to quizzing the company's own employees, benchmarking competitors' products, online social media. Much competitor intelligence can be collected from people inside the company—executives, engineers and scientists, purchasing agents, and the sales force. The company can also obtain important intelligence information from suppliers, resellers, and key customers. Intelligence seekers can also pour through any of thousands of online databases.

Most basic level of customer value. When designing products, marketers must first define the basic, problem-solving benefits or services that consumers seek.

Core Customer Value Addresses the question: What is the buyer really buying? Ex: A woman buying lipstick buys more than lip color. Charles Revson of Revlon saw this early: "In the factory, we make cosmetics; in the store, we sell hope."

omni channel

Creating a seamless cross-channel buying experience that integrates in-store, online, and mobile shopping.

minor stimuli that determine when, where, and how the person responds. ex?

Cues The camera buyer might spot several camera brands in a shop window, hear of a special sale price, or discuss cameras with a friend.

the most basic cause of a person's wants and behavior. Growing up in a society, a child learns basic values, perceptions, wants, and behaviors from his or her family and other important institutions.

Culture

culture, subculture, social class

Culture - the most basic cause of a person's wants and behavior. Human behavior is largely learned. Growing up in a society, a child learns basic values, perceptions, wants, and behaviors from his or her family and other important institutions. Subculture - groups of people with shared value systems based on common life experiences and situations. Subcultures include nationalities, religions, racial groups, and geographic regions. social class - society's relatively permanent and ordered divisions whose members share similar values, interests, and behaviors.

The overall process of building and maintaining profitable customer relationships by delivering superior customer value and satisfaction. The key to building lasting customer relationships is to create superior customer value and satisfaction

Customer Lifetime Value

Customer Relationship Management

Factors Influencing Price

Customer value perceptions, costs, and competitor strategies. Internal factors: company's overall marketing strategy, objectives, marketing mix, organizational considerations. External factors: nature of the market and demand and other environmental factors.

Factors influencing price

A business buying situation in which the buyer reorders something without any modifications is known as a __________ A. buying center B. systems solution C. new task D. straight rebuy E. modified rebuy

A large ink jet printing company enters the letter press market and sells its printing services at a loss just to drive Hammerpress out of business. This is an example of _________. A. deceptive pricing B. price fixing C. price confusion D. predatory pricing E. price discrimination

Advantages of mobile marketing include all of the following except __________. A. mobile marketing provides on-the-go product information, price comparisons, advice, and reviews from other consumers B. the surge in mobile web traffic has made mobile marketing a must for most brands C. marketers use mobile marketing to engage customers anywhere, anytime during the buying and relationship-building process D. mobile marketing may risk irritating consumers E. companies use mobile marketing to stimulate immediate buying

A fast-food restaurant determines the cost of producing its chicken nuggets then adds a percentage to that cost to determine the price charged to consumers. This indicates that the restaurant is utilizing which of the following pricing strategies? A. Competition-based pricing B. Target return pricing C. Target costing D. Cost-plus pricing E. Break-even pricing

Business markets have demand that __________. A. does not change for products B. does not change for services C. is elastic D. is inelastic E. is rigid at all times

Candace Cabe created the Day to Night shoe based on an idea she had, and then asked a group of women to provide feedback regarding the idea. Which step of the new product process does this most likely represent? A. Marketing strategy development B. Test marketing C. Idea screening D. Concept testing E. Idea generation

Companies can allow key customers and value-network members to access account, product, and other data through __________. A. big data B. CRM C. intranets D. extranets E. MIS

Companies that make products that must be used along with a main product are using __________. A. product line pricing B. by-product pricing C. product bundle pricing D. captive-product pricing E. optional-product pricing

Compared to the mainstream buying public, Hispanic consumers tend to be deeply __________ oriented, making this a special characteristic and behavior. A. promotion B. brand C. income D. family E. quality

Hammerpress must decide how to price the standard run-rate items it sells, such as business cards, wedding invitations, and posters. Which type of pricing strategy is this? A. Product bundle pricing B. Market skimming pricing C. Market penetration pricing D. Product line pricing E. Discount and allowance pricing

In order to achieve depth of awareness of the OXO brand, which of the following media strategies does the company utilize? A. Non-personal: display B. Non-personal: online C. Non-personal: print D. Personal: social media E. Non-personal: broadcast

In the product adoption process, __________. A. consumers respond depending on their characteristics B. consumers are innovators C. consumers respond at different rates D. there are five stages E. consumers respond based on product characteristics

John Deere does very little promoting of its lawn mowers, garden tractors, and other residential consumer products to final consumers. Instead, John Deere's sales force works with Lowe's, The Home Depot, and other channel members. This is an example of using __________for promotion. A. direct and digital media B. advertising C. public relations D. a push strategy E. a pull strategy

Market skimming prices are preferred in all of the following conditions except __________. A. competitors should not be able to enter the market easily and undercut the high price B. the costs of producing a smaller volume cannot be so high that they cancel the advantage of charging more C. enough buyers must want the product at that price D. an initial low price is set by the companies E. the product's quality and image must support its higher price

Nielsen gathers consumer insights through a variety of ways, including consumer tracking and panels. Which type of research is Nielsen engaged in during these examples? A. Mail questionnaires B. Focus groups C. Telephone surveys D. Online marketing research E. Causal research

Nielsen is engaged in the collection and analysis of information about consumers, competitors, and developments in the marketplace. This systematic monitoring is known as __________. A. internal databases B. big data C. marketing information systems D. competitive marketing intelligence E. customer insight

One of the challenges of social media marketing is that social media __________. A. are immediate and timely B. are targeted and personal C. facilitate engagement and social sharing D. are largely user controlled E. are interactive and complex

Prior to changing its product offerings and realigning its business units, managers at Konica/Minolta most likely first performed which of the following to determine those units that were profitable and those that should be phased out or realigned? A. Define the company mission. B. Set company goals. C. Set company objectives. D. Perform a portfolio analysis. E. Create specific marketing strategies.

Profits increase during the __________ stage of the product life cycle. A. introduction B. product development C. maturity D. growth E. decline

Q2 The first step in strategic planning involves __________. A. developing a marketing plan B. designing a business portfolio C. developing functional plans D. defining the company's mission E. setting objectives and goals

Some sellers use 00-cent endings on regularly priced items and 99-cent endings on discount merchandise. This is an example of pricing referred to as __________. A. segmented pricing B. geographical pricing C. promotional pricing D. psychological pricing E. dynamic pricing

Sprout has created a unique market offering by integrating its programs with both children and parents. This unique offering that creates superior customer value is known as __________. A. positioning B. undifferentiated marketing C. market segmentation D. differentiating E. market targeting

Sprout segmented the market by targeting parents of preschoolers who wished to have an educational and entertaining experience for and with their children. Which type of segmentation does this describe? A. Psychographic B. Income C. Usage rate D. Benefits sought E. Demographic

Students purchasing items with the college logo most likely represent consumers involved in which type of buying behavior? A. Complex B. Postpurchase dissonance C. Dissonance-reducing D. Habitual E. Variety-seeking

The first task for a communicator in preparing marketing communications is to __________. A. collect feedback B. select the media C. determine the communication objectives D. identify the target audience E. find highly credible sources to deliver messages

The goal of the competition-based pricing is __________. A. to increase value and lower prices to beat competition B. to increase customers' price perceptions C. to beat competitors' prices D. not to match or beat competitors' price E. to match competitors' prices

The key to Hammerpress's capability to meet its customers' needs and budget goals, while maintaining its profitability, lies in which of the following pricing tactics? A. International pricing B. Geographic pricing C. Psychological pricing D. Dynamic pricing E. Promotional pricing

The most common form of marketing organization is __________. A. product management organization B. customer management organization C. geographic organization D. functional organization E. product organization

The pricing method in which sellers combine several products and offer a reduced price is known as __________. A. product line pricing B. captive-product pricing C. by-product pricing D. product bundle pricing E. optional-product pricing

There are a number of influences on the buying organization and buying center that can impact how and what is purchased by a business. For Eaton's customers, the economic crises in 2008 would be classified as what type of influence? A. Individual B. Procedural C. Organizational D. Environmental E. Interpersonal

The "echo boomers" is another name for __________. A. Generation X B. marketer's dream C. baby boomers D. millennials E. Generation Z

The __________ environment is the most dramatic force shaping the destiny of the markets and marketing. A. political B. natural C. social D. technological E. economic

To which category of the marketing communication mix do sales presentations, trade shows, and incentive programs belong? A. Sales promotion B. Public relations C. Advertising D. Personal selling E. Direct and digital

Under __________, the market consists of many buyers and sellers trading in a uniform commodity. A. a pure monopoly B. target competition C. monopolistic competition D. pure competition E. oligopolistic competition

What is the first step in marketing research process? A. Develop a research plan. B. Interpret the findings. C. Report the findings. D. Define the problem. E. Implement the research plan.

When companies set their promotion budgets to match competitor's outlays, they are using the __________ method. A. push-and-pull B. objective-and-task C. affordable D. competitive-parity E. percentage-of-sales

Which is the fastest-growing digital marketing platform? A.Sustainable marketing B.Not-for-profit marketing C.Social media marketing D.Mobile marketing E.Social marketing

Which of the following best describes Sprouts competitive advantage? A. The company's psychographic segmentation B. The company's demographic segmentation C. Sprout's value proposition D. Sprout's overall customer value E. Sprout's product position

Which of the following was likely not a reason NutriSystem decided to use direct and digital media? A. Online advertising spending has decreased dramatically in the last decade. B. Consumers spend more time and money online than ever before. C. It is estimated that, by the year 2019, 29 percent of total U.S. ad spending will be mobile advertising. D. Consumers spend less time and money online than ever before. E. Last year, mobile ad spending grew by 66 percent.

__________ are members of the buying center who help define specifications and provide information for evaluating alternatives. A. Gatekeepers B. Deciders C. Users D. Influencers E. Buyers

__________is a type of identity theft that uses deceptive emails and fraudulent online sites. A. Pop-unders B. Direct-response TV commercial C. Snapchat D. Phishing E. Spam

__________ refers to activities that communicate the merits of the product and persuade target customers to buy it. A. Segmentation B. Positioning C. Differentiation D. Promotion E. Targeting

have formal or informal power to select or approve the final suppliers. In routine buying, the buyers are often the deciders, or at least the approvers.

Deciders

Dividing the market into segments based on variables such as age, life-cycle stage, gender, income, occupation, education, religion, ethnicity, and generation.

Demographic Segmentation

human populations in terms of size, density, location, age, gender, race, occupation, and other statistics

Demographic environment (generational marketing, changing family structure, geographic shifts in population, education changes, increasing diversity)

derives from the demand for consumer goods.

Derived Demand

describe things, such as the market potential for a product or the demographics and attitudes of consumers who buy the product.

Descriptive Research

Focused marketing programs

Designed to engage customers and build customer relationships in more narrowly defined micromarkets.

actually differentiating the market offering to create superior customer value.

Differentiation

Engaging directly with carefully targeted individual consumers and customer communities to both obtain an immediate response and build lasting customer relationships. Includes?

Direct and Digital Marketing Includes direct mail, email, online and social media, mobile marketing, etc

starting up or buying businesses outside of current products and markets

Diversification

psychographic segmentation

Dividing a market into different segments based on lifestyle or personality characteristics.

demographic segmentation

Dividing the market into segments based on variables such as age, life-cycle stage, gender, income, occupation, education, religion, ethnicity, and generation.

Although a "customer-centered" firm seeks to deliver high customer satisfaction relative to competitors, it __________. A.can increase satisfaction by lowering prices compared to its competitors B.attempts to gain customer satisfaction at all cost to ward off competition C.can increase satisfaction by increasing its services compared to its competitors D.attempts to maximize customer satisfaction E.does not attempt to maximize customer satisfaction

Any paid form of nonpersonal presentation and promotion of ideas, goods, or services by an identified sponsor is considered __________. A. public relations B. sales promotion C. direct and digital marketing D. personal selling E. advertising

Candace Cabe likely had several different ideas for a convertible high-heel, but sifted through each idea until she found the one that was most marketable. Which step of the new development process did this most likely occur in? A. Test marketing B. Business-analysis stage C. Product development D. Concept testing E. Idea screening

Consumer motivation, perception, and learning are related to the __________ factors influencing consumer behavior. A. cultural B. personal C. social D. subcultural E. psychological

Developing product specifications follows __________ in the business buyer decision process. A. performance review B. supplier search C. supplier selection D. proposal solicitation E. general need description

Disadvantages of direct marketing to sellers include __________. A. personalize products and services B. target small groups of customers C. speedy alternative to reach markets D. learn more about customers' tastes E. interaction with limited number of customers

Eaton sells only to businesses and focuses on the electrical, hydraulics, aerospace, and vehicle markets. When the economic crises hit in 2008, consumers began cutting back, and as a result, Eaton's customers needed to cut costs and scale back operations. This, in turn, impacted Eaton's sales, which is known as __________. A. buyer and seller dependencies B. problem recognition C. complex buying process D. a straight rebuy E. derived demand

Federal legislation on __________ states that sellers must set prices without talking to competitors. A. discriminatory pricing B. interstate commerce C. trade-restrain D. deceptive pricing E. price-fixing

In SWOT analyses, the favourable factors or trends in the external environment that the company may be able to exploit to its advantage are referred to as __________. A. weaknesses B. strengths C. threats D. targets E. opportunities

In its efforts to offer healthier options, Burger King hopes to attract mothers away from McDonald's and into Burger King. By providing the Satisfries, Burger King is reacting to which of the following environments? A. The legal environment B. The technological environment C. The political-social environment D. The global environment E. The competitive environment

Instead of going after a small share of a large market, a firm goes after a large share of a smaller niche segment. This type of marketing strategy is known as __________. A. micromarketing B. segmented marketing C. differentiated marketing D. undifferentiated marketing E. concentrated marketing

Konica/Minolta focuses one of its business units on medical and healthcare groups. These groups make up one of Konica/Minolta's __________. A. marketing mix B. positioning C. market analysis D. differentiation E. market segment

MIS begins and ends with information users. Which of the following statements is not an advantage of MIS? A. MIS interacts with the information users to assess information needs. B. MIS interacts with the marketing environment to develop needed information. C. MIS helps users in making management decisions. D. MIS helps users to analyze and use the information to develop customer insights. E. MIS may provide information to external partners, such as suppliers, resellers, or marketing services agencies.

MIS interacts with information users in several ways which include all of the following except __________. A. assessing information needs B. helping to conduct marketing research C. helping to develop customer insights D. providing marketing intelligence activities E. providing concise information

Market penetration prices are preferred in all of the following conditions except __________. A. the penetration price must maintain its low-price position B. the low price must help keep out the competition C. the market must be highly price sensitive so that a low price produces more market growth D. the production and distribution costs must decrease as sales volume increases E. enough buyers must want the product at a higher price

New product development starts with __________. A. prototype development B. idea screening C. concept development D. concept testing E. idea generation

Priceline.com sells its services through __________. A. personal selling B. direct mail C. direct and digital marketing D. mass marketing E. direct marketing as a supplementary channel

Q1 What is marketing? A. Marketing deals with telling and selling.Ma B. The aim of marketing is to make selling necessary. C. Marketing is only selling and advertising. D. Marketing deals primarily with TV commercials. E. Marketing is a process of creating customer value.

Techniques that can be used by sellers for avoiding customers' perception of price gouging includes all of the following except __________. A. price increases should be supported by company communications telling customers why prices B. the company can shrink the product or substitute less-expensive ingredients instead of raising the price C. maintaining a sense of fairness surrounding any price increase D. the company should consider ways to meet higher costs or demand without raising prices E. rationing products to customers

The basic concept underlying marketing is that of __________. A.customer demand B.customer wants C.customer experience D.customer relationship E.customer needs

The first group marketers try to bring their new products to the attention to are potential __________. A. early mainstream B. lagging adopters C. late mainstream D. early adopters E. innovators

The hottest growth area for the retailer Home Depot in the U.S. market has been attributed to __________. A. direct-mail marketing B. face-to-face selling C. telemarketing D. catalog marketing E. online sales

The owners of Eskimo Joe's understand the customers' needs and wants by sensing and responding to those needs, indicating that Eskimo Joe's assumes which philosophy? A. Production concept B. Selling concept C. Product concept D. Target marketing concept E. Marketing concept

The rapidly expanding use of e-procurement in business-to-business deals provides several advantages; however, one of the disadvantages is __________. A. it shaves transaction costs B. it eliminates paperwork C. it reduces time between order and delivery D. it helps finds better supply sources E. it pits suppliers against one another

The __________ environment consists of institutions and other forces that affect a society's basic values. A. social B. political C. economic D. natural E. cultural

The company's choice of its name, Plymouth Rock Assurance, and its motto, open double quoteMore Than Just Insurance,close double quote indicates the company is attempting to position itself in a particular manner. Which of the following would most likely be the intended position of the company? A. The nation's premier insurance company B. Increased brand sponsorship C. Increased product mix other than insurance D. Less expensive than its competitors E. Superior customer service through its products and services

What does the Privacy Promise of the DMA members involve? A. The Direct Marketing Association deals with controlling all businesses practicing direct, database, and interactive marketing. B. The Privacy Promise requires that members remove the names of members who do not remove the names of consumers who do not wish to receive mail, phone, or email offers. C. The Privacy Promise requires that all DMA members follow privacy rules. D. All companies must honor consumer requests to opt out of receiving further solicitations. E. All companies must agree to notify customers when any personal information is rented, sold, or exchanged with others.

What is predatory pricing? A. Setting prices without talking to competitors B. Sellers offering the same price terms to customers at a given level of trade C. A manufacturer requiring dealers to charge a specified retail price for its product D. Selling below cost to unload excess inventory E. Selling below cost with the intention of punishing a competitor

When Eaton worked with the University of Notre Dame on its new engineering building to improve its energy efficiency and earn LEED credits, Eaton engaged with a number of people at Notre Dame to finalize the partnership and solidify terms and conditions associated with the agreement. Which of the following people in the buying center would have affected Notre Dame's buying decision (for example, define specs and provide information on evaluating alternatives)? A. Buyers B. Gatekeepers C. Deciders D. Users E. Influencers

Which of the following best describes Burger King's pricing strategy regarding its chicken nuggets during McDonald's Monopoly promotion? A. Break-even pricing B. Value-added pricing C. Cost-plus pricing D. Cost-based pricing E. Competition-based pricing

Which of the following best describes the highest price that a customer is willing to pay for a fast-food chain's products? A. Promotion of the product B. Government regulation of prices C. Cost of the product to the company D. The location of the fast-food restaurant E. Customer perception

Which of the following is true of a new product in the introduction stage, such as the Day to Night heels? A. Word of mouth increases. B. Product lines and extensions are created. C. Sales climb quickly. D. Promotion spending is relatively low. E. Profits are generally negative due to the high cost of R&D.

Which of the following statements is not a difference between business markets and consumer markets? A. Business demand is a derived demand. B. The buying process is more formalized. C. The buying decision involves more professionals. D. Buyers face more complex buying decisions. E. The market is very small and limited.

With regard to supply and demand, which of the following best represents the intentions of the fast-food company's slash on prices? A. Demand will remain the same. B. Demand will increase for competitors. C. Supply will increase for competitors. D. Supply will remain unchanged. E. Demand will increase for its products.

__________ helps the seller to segment markets. A. Product design B. Packaging C. Product style D. Product quality E. Branding

__________ segmentation divides buyers into different segments based on lifestyle or personality characteristics. A. Gender B. Benefit C. Behavioral D. Income E. Psychographic

__________ segmentation divides buyers into segments based on their knowledge, attitudes, uses, or responses to a product. A. Psychographic B. Occasion C. Gender D. Demographic E. Behavioral

__________ uses buyers' perceptions of value as the key to pricing. A. Cost-based pricing B. High-low pricing C. Value-added pricing D. Good-value pricing E. Customer value-based pricing

Direct and digital marketing

Engaging directly with carefully targeted individual consumers and customer communities to both obtain an immediate response and build lasting customer relationships. Includes direct mail, email, online and social media, mobile marketing, etc

Buyer's black box

Environment is perceived by buyer. Buyer's black box is their characteristics and decision process. Buyer then responds to environment. The buyer's characteristics influence how he or she perceives and reacts to the stimuli. These characteristics include a variety of cultural, social, personal, and psychological factors. Second, the buyer's decision process itself affects his or her behavior. This decision process—from need recognition, information search, and alternative evaluation to the purchase decision and postpurchase behavior—begins long before the actual purchase decision and continues long after.

to gather preliminary information that will help define the problem and suggest hypotheses.

Exploratory Research

Designed to engage customers and build customer relationships in more narrowly defined micromarkets.

Focused Marketing Programs

control the flow of information to others. For example, purchasing agents often have authority to prevent salespersons from seeing users or deciders. Other gatekeepers include technical personnel and even personal secretaries.

Gatekeepers

market development

Identifying and developing new markets for current products

Help define specifications and also provide information for evaluating alternatives. Technical personnel are particularly important influencers.

Influencers

Collections of consumer and market information obtained from data sources within the company's network. Advantages/Disadvantages

Internal Databases Advantages: Accessed more quickly and cheaply than other information sources. Disadvantages: Because internal information is often collected for other purposes, it may be incomplete or in the wrong form for making marketing decisions. Data ages quickly; keeping the database current requires a major effort. Managing and mining the mountains of information that a large company produces require highly sophisticated equipment and techniques.

Identifying and developing new markets for current products

Market Development

make more sales with current line in current market

Market Penetration

systematic design, collection, analysis, and reporting of data relevant to a specific marketing situation facing an organization.

Market Research

process by which companies engage customers, build strong customer relationships, and create customer value in order to capture customer value in return

Marketing Marketing = value creation and exchange

achieving organizational goals depends on knowing the needs and wants of target markets and delivering the desired satisfactions better than competitors do. Customer focus and value are the paths to sales and profits. Instead of a product-centered make-and-sell philosophy, the marketing concept is a customer-centered sense-and-respond. Outside-in.

Marketing Concept

consists of people and procedures dedicated to assessing information needs, developing the needed information, and helping decision makers use the information to generate and validate customer and market insights

Marketing Information Systems (MIS)

the mistake of paying more attention to the specific products a company offers than to the benefits and experiences produced by these products

Marketing Myopia Ex) A manufacturer of quarter-inch drill bits may think that the customer needs a drill bit. But what the customer really needs is a quarter-inch hole.These sellers will have trouble if a new product comes along that serves the customer's need better or less expensively. The customer will have the same need but will want the cheaper/better option.

Marketing and environmental stimuli

Marketing stimuli: 4 P's Environmental stimuli: social, cultural, economic, technological

Stimuli

Marketing stimuli: 4 P's Environmental stimuli: social, cultural, economic, technological Stimuli is perceived by buyer and buyer reacts to it depending on their black box.

buyer wants to modify product specifications, prices, terms, or suppliers.

Modified Rebuy The "in" suppliers may become nervous and feel pressured to put their best foot forward to protect an account. "Out" suppliers may see the modified rebuy situation as an opportunity to make a better offer and gain new business.

Core customer value

Most basic level of customer value. Addresses the question: What is the buyer really buying? When designing products, marketers must first define the core, problem-solving benefits or services that consumers seek. A woman buying lipstick buys more than lip color. Charles Revson of Revlon saw this early: "In the factory, we make cosmetics; in the store, we sell hope."

Creating a seamless cross-channel buying experience that integrates in-store, online, and mobile shopping.

Omni Channel

Online communities where people socialize or exchange information and opinions. Range from blogs and message boards to social media sites and even communal shopping sites.

Online Social Networks

show consumer perceptions of their brands versus those of competing products on important buying dimensions. Ex?

Perceptual Positioning Maps Ex: large luxury SUVs: The position of each circle on the map indicates the brand's perceived positioning on two dimensions: price and orientation (luxury versus performance). The size of each circle indicates the brand's relative market share.

Personal presentation by the firm's sales force for the purpose of engaging customers, making sales, and building customer relationships. Includes?

Personal Selling Includes sales presentations, trade shows, and incentive programs.

Personal selling

Personal presentation by the firm's sales force for the purpose of engaging customers, making sales, and building customer relationships. Includes sales presentations, trade shows, and incentive programs.

arranging for a market offering to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers.

Positioning

Importance of Price

Price is the only element in the marketing mix that produces revenue; all other elements represent costs. Price is also one of the most flexible marketing mix elements. Unlike product features and channel commitments, prices can be changed quickly.

Importance of price

4 P's of Marketing

Price, Place, Promotion, Product

Consumers will favor products that offer the most in quality, performance, and innovative features. Can lean to?

Product Concept Can lean to marketing myopia by focusing on only product improvement (don't build a better mousetrap, build a better mouse solution).

offering new or modified products to current market

Product Development

The course that a product's sales and profits take over its lifetime.

Product Life Cycle

Product Life Cycle Stages

Product development - begins when the company finds and develops a new product idea. During product development, sales are zero, and the company's investment costs mount. Introduction - period of slow sales growth as the product is introduced in the market. Profits are nonexistent in this stage because of the heavy expenses of product introduction. Growth - period of rapid market acceptance and increasing profits. Maturity - period of slowdown in sales growth because the product has achieved acceptance by most potential buyers. Profits level off or decline because of increased marketing outlays to defend the product against competition. Decline - period when sales fall off and profits drop

Augmented value

Product planners must build an augmented product around the core benefit and actual product by offering additional consumer services and benefits. The iPad is more than just a digital device. It provides consumers with a complete connectivity solution. Thus, when consumers buy an iPad, Apple and its resellers also might give buyers a warranty on parts and workmanship, quick repair services when needed, and web and mobile sites to use if they have problems or questions.

4 P's of Marketing

Product, place, promotion, price

1) Production Concept Product Concept Selling Concept Marketing concept Societal Marketing Concept

Production - consumers will favor products that are available and highly affordable. Therefore, management should focus on improving production and distribution efficiency. Can lead to marketing myopia by losing sight of customer needs. Product - consumers will favor products that offer the most in quality, performance, and innovative features. Can lean to marketing myopia by focusing on only product improvement (don't build a better mousetrap, build a better mouse solution). Selling - consumers will not buy enough of the firm's products unless it undertakes a large-scale selling and promotion effort. Typically practiced with unsought goods—those that buyers don't normally think to buy (ex, life insurance). Dangerous because it focuses on what the company makes and not what the market wants. Marketing - achieving organizational goals depends on knowing the needs and wants of target markets and delivering the desired satisfactions better than competitors do. Customer focus and value are the paths to sales and profits. Instead of a product-centered make-and-sell philosophy, the marketing concept is a customer-centered sense-and-respond. Outside-in. Societal Marketing - questions whether the pure marketing concept overlooks possible conflicts between consumer short-run wants and consumer long-run welfare. Holds that marketing strategy should deliver value to customers in a way that maintains or improves both the consumer's and society's well-being. It calls for sustainable marketing. Shared value. Balance company profits, consumer wants, and society's interests

Consumers will favor products that are available and highly affordable. Therefore, management should focus on improving production and distribution efficiency. Can lead to?

Production Concept Can lead to marketing myopia by losing sight of customer needs.

The specific blend of promotion tools (advertising, PR, personal selling, sales promotion, and direct marketing) that the company uses to persuasively communicate customer value and build customer relationships.

Promotion Mix

Dividing a market into different segments based on lifestyle or personality characteristics.

Psychographic Segmentation

Public Realtions Public relations includes press releases, sponsorships, events, and webpages.

track products and customers at various points in the distribution channel

RFID ex) tracking pallets, Disney digital wristband at parks

serve as direct (face-to-face interactions) or indirect points of comparison or reference in forming a person's attitudes or behavior. ex? Include?

Reference Groups Ex: People often are influenced by reference groups to which they do not belong. Ex, aspirational groups are ones in which the individual wishes to belong. include word-of-mouth influence, opinion leaders, online social networks, family, and roles and status.

evaluates the company's overall strengths (S), weaknesses (W), opportunities (O), and threats (T) The goal is to match the company's strengths to attractive opportunities in the environment while simultaneously overcoming weaknesses and eliminating threats

SWOT Analysis

Short-term incentives to encourage the purchase or sale of a product or a service. Includes?

Sales Promotion Includes discounts, coupons, displays, demonstrations, and events.

dividing the market into distinct groups of buyers who have different needs, characteristics, or behaviors who might require separate marketing strategies or mixes.

Segmentation

the tendency for people to screen out most of the information to which they are exposed

Selective Attention

describes the tendency of people to interpret information in a way that will support what they already believe.

Selective Distortion

consumers are likely to remember good points made about a brand they favor and forget good points made about competing brands.

Selective Retention

Consumers will not buy enough of the firm's products unless it undertakes a large-scale selling and promotion effort. Example?

Selling Concept Typically practiced with unsought goods—those that buyers don't normally think to buy (ex, life insurance). Dangerous because it focuses on what the company makes and not what the market wants.

market skimming prices

Setting a high price for a new product to skim maximum revenues layer by layer from the segments willing to pay the high price; the company makes fewer but more profitable sales. (ex, iPhones newer to older models)

market penetration pricing

Setting a low price for a new product in order to attract a large number of buyers and a large market share.

captive product pricing

Setting a price for products that must be used along with a main product, such as blades for a razor and games for a video-game console.

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.

A consumer product that the customer, in the process of selecting and purchasing, usually compares on such attributes as suitability, quality, price, and style. Ex?

Shopping Product Consumers spend much time and effort in gathering information and making comparisons. Examples include furniture, clothing, major appliances, and hotel services.

Sales promotion

Short-term incentives to encourage the purchase or sale of a product or a service. Includes discounts, coupons, displays, demonstrations, and events.

society's relatively permanent and ordered divisions whose members share similar values, interests, and behaviors.

Social Class

questions whether the pure marketing concept overlooks possible conflicts between consumer short-run wants and consumer long-run welfare. Holds that marketing strategy should deliver value to customers in a way that maintains or improves both the consumer's and society's well-being. It calls for sustainable marketing. Shared value. Balance company profits, consumer wants, and society's interests

Societal Marketing Concept

the process of developing and maintaining a strategic fit between the organization's goals and capabilities and its changing marketing opportunities.

Strategic Planning strategic plan involves adapting the firm to take advantage of opportunities in its constantly changing environment defines overall mission and objectives

groups of people with shared value systems based on common life experiences and situations. include?

Subculture Subcultures include nationalities, religions, racial groups, and geographic regions.

Competitive Marketing Intelligence

Systematic monitoring, collection, and analysis of publicly available information about consumers, competitors, and developments in the marketplace. The goal of competitive marketing intelligence is to improve strategic decision making by understanding the consumer environment, assessing and tracking competitors' actions, and providing early warnings of opportunities and threats. Marketing intelligence techniques range from observing consumers firsthand to quizzing the company's own employees, benchmarking competitors' products, online social media. Much competitor intelligence can be collected from people inside the company—executives, engineers and scientists, purchasing agents, and the sales force. The company can also obtain important intelligence information from suppliers, resellers, and key customers. Intelligence seekers can also pour through any of thousands of online databases.

systems (solutions) selling Buying a packaged solution to a problem from a single seller, thus avoiding all the separate decisions involved in a complex buying situation.

Systems (solutions) selling

evaluating each market segment's attractiveness and selecting one or more segments to serve.

Targeting

1) market segments/ target markets

The company must first decide whom it will serve. It does this by dividing the market into segments of customers (market segmentation) and selecting which segments it will go after (target marketing). The company wants to select only customers that it can serve well and profitably. For example, Nordstrom profitably targets affluent professionals; Dollar General profitably targets families with more modest means.

Product life cycle

The course that a product's sales and profits take over its lifetime. The PLC has five distinct stages: Product development - begins when the company finds and develops a new product idea. During product development, sales are zero, and the company's investment costs mount. Introduction - period of slow sales growth as the product is introduced in the market. Profits are nonexistent in this stage because of the heavy expenses of product introduction. Growth - period of rapid market acceptance and increasing profits. Maturity - period of slowdown in sales growth because the product has achieved acceptance by most potential buyers. Profits level off or decline because of increased marketing outlays to defend the product against competition. Decline - period when sales fall off and profits drop

1) marketing myopia

The mistake of paying more attention to the specific products a company offers than to the benefits and experiences produced by these products A manufacturer of quarter-inch drill bits may think that the customer needs a drill bit. But what the customer really needs is a quarter-inch hole.These sellers will have trouble if a new product comes along that serves the customer's need better or less expensively. The customer will have the same need but will want

1) Customer relationship management (CRM)

Promotion Mix

1) Customer lifetime value

The value of the entire stream of purchases a customer makes over a lifetime of patronage.

include face-to-face selling, direct-mail marketing, catalog marketing, telemarketing, direct-response television marketing, and kiosk marketing.

Traditional Direct Marketing

members of the organization who will use the product or service. In many cases, users initiate the buying proposal and help define product specifications.

Users

the set of benefits or values a brand promises to deliver to consumers to satisfy their needs.

Value Proposition Answer the customer's question: "Why should I buy your brand rather than a competitor's?" Ex) Homewood Suites by Hilton wants you to "Make yourself at home." Meanwhile, the Hyatt Regency brand declares that sometimes "It's good not to be home."

Modified rebuy

buyer wants to modify product specifications, prices, terms, or suppliers. The "in" suppliers may become nervous and feel pressured to put their best foot forward to protect an account. "Out" suppliers may see the modified rebuy situation as an opportunity to make a better offer and gain new business.

3 Marketing Information System (MIS)

3 microenviornment

consists of the actors close to the company that affect its ability to engage and serve its customers—the company, suppliers, marketing intermediaries, customer markets, competitors, and publics

3 macroenviornment

consists of the larger societal forces that affect the microenvironment—demographic, economic, natural, technological, political, and cultural forces

Selective retention

consumers are likely to remember good points made about a brand they favor and forget good points made about competing brands.

Value Based Pricing

customer-value based pricing - uses buyers' perceptions of value as the key to pricing. Price is considered along with all other marketing mix variables before the marketing program is set. good-value pricing - offering just the right combination of quality and good service at a fair price. value-added pricing - attaching value-added features and services to differentiate a company's offers and charging higher prices.

Value-based pricing

derived demand

derives from the demand for consumer goods.

Selective distortion

describes the tendency of people to interpret information in a way that will support what they already believe.

SWOT analysis

Types of marketing research

exploratory - to gather preliminary information that will help define the problem and suggest hypotheses. descriptive research - describe things, such as the market potential for a product or the demographics and attitudes of consumers who buy the product. causal research - to test hypotheses about cause-and-effect relationships.

major market segments

geographic, demographic, psychographic, and behavioral

demographic environment

human populations in terms of size, density, location, age, gender, race, occupation, and other statistics - generational marketing, changing family structure, geographic shifts in population, education changes, increasing diversity

Traditional direct marketing

include face-to-face selling, direct-mail marketing, catalog marketing, telemarketing, direct-response television marketing, and kiosk marketing.

Cues

minor stimuli that determine when, where, and how the person responds. The camera buyer might spot several camera brands in a shop window, hear of a special sale price, or discuss cameras with a friend.

Fastest growing digital category

mobil

online social networks

online communities where people socialize or exchange information and opinions. Social networking communities range from blogs and message boards to social media sites and even communal shopping sites.

2 product/market expansion grid

page 47 market penetration - make more sales with current line in current market market development - identifying and developing new markets for current products product development - offering new or modified products to current market diversification - starting up or buying businesses outside of current products and markets

1) Marketing

process by which companies engage customers, build strong customer relationships, and create customer value in order to capture customer value in return value creation + exchange

segmentation targeting differentiation positioning

segmentation - dividing the market into distinct groups of buyers who have different needs, characteristics, or behaviors who might require separate marketing strategies or mixes. targeting - evaluating each market segment's attractiveness and selecting one or more segments to serve. differentiation - actually differentiating the market offering to create superior customer value. positioning - arranging for a market offering to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers.

Reference groups

serve as direct (face-to-face interactions) or indirect points of comparison or reference in forming a person's attitudes or behavior. People often are influenced by reference groups to which they do not belong. Ex, aspirational groups are ones in which the individual wishes to belong. include word-of-mouth influence, opinion leaders, online social networks, family, and roles and status.

Perceptual positioning maps

show consumer perceptions of their brands versus those of competing products on important buying dimensions. Ex, large luxury SUVs: The position of each circle on the map indicates the brand's perceived positioning on two dimensions: price and orientation (luxury versus performance). The size of each circle indicates the brand's relative market share.

Marketing research

systematic design, collection, analysis, and reporting of data relevant to a specific marketing situation facing an organization.

2 Strategic planning

the process of developing and maintaining a strategic fit between the organization's goals and capabilities and its changing marketing opportunities. strategic plan involves adapting the firm to take advantage of opportunities in its constantly changing environment defines overall mission and objectives

Selective attention

the tendency for people to screen out most of the information to which they are exposed

RFID

track products and customers at various points in the distribution channel ex, tracking pallets or having a disney wristband to scan

Roles in purchases decision process

users - members of the organization who will use the product or service. In many cases, users initiate the buying proposal and help define product specifications. Influencers - help define specifications and also provide information for evaluating alternatives. Technical personnel are particularly important influencers. Buyers - have formal authority to select the supplier and arrange terms of purchase. Buyers may help shape product specifications, but their major role is in selecting vendors and negotiating. In more complex purchases, buyers might include high-level officers participating in the negotiations. Deciders - have formal or informal power to select or approve the final suppliers. In routine buying, the buyers are often the deciders, or at least the approvers. Gatekeepers - control the flow of information to others. For example, purchasing agents often have authority to prevent salespersons from seeing users or deciders. Other gatekeepers include technical personnel and even personal secretaries.

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Fin Exam 1

Ch 1: The Athletic Trainer as a Health Care Provider

Principles of Hospitality and Tourism (DECA), DECA Business Administration Core - Performance Indicators, Business Administration Core Exam: DECA, Business Administration Core Exam, Business Administration Core Exam, DECA Hospitality and Tourism exam...

Test 1

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Fin Exam 1

Ch 1: The Athletic Trainer as a Health Care Provider

Principles of Hospitality and Tourism (DECA), DECA Business Administration Core - Performance Indicators, Business Administration Core Exam: DECA, Business Administration Core Exam, Business Administration Core Exam, DECA Hospitality and Tourism exam...

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