MKT 320 test 3 chapter 13

Intellectual property:

Property that is intangible and created by intellectual (mental) effort as opposed the physical effort.

Exclusive dealing agreements:

Restriction a manufacturer or wholesaler places on a retailer, and sold exclusively by the retailer.

Stocklifts:

Same as buyback and lift-outs.

Life-outs:

Same as buyback and stocklifts.

Parallel Imports:

Same as gray-market goods.

House brands:

See generic brand.

Partnering relationship:

See strategic relationship.

Duties:

See tariffs.

National brands:

a line of products designed, produced, and marketed by a vendor. Also called a manufacturer's brand.

Manufacturer brands:

a line of products designed, produced, and marketed by a vendor. Also called a national brand.

Chargeback:

a practice used by retailers in which they deduct money from the amount they owe a vendor.

Family brand:

a product's brand name associated with the company's brand.

Trust:

A belief that a partner is honest (reliable, stands by its word, sincere, fulfills obligation) and benevolent (concerned about the other party's welfare).

Wholesale market:

A concentration of vendors within a specific geographic location, perhaps even under one roof or over the Internet.

Copyright:

A regulation that protects original works of authors, painters, sculptors, musicians, and others who produce works of artistic or intellectual merit.

Buyback:

A strategy vendors and retailers use to get products into retailers stores, either when a retailer allows a vendor to create space for goods by "buying back" a competitor's inventory and removing it from a retailer's system or when the retailer forces a vendor to buy back slow-moving merchandise.

Tariffs:

A tax placed by a government upon imports. Also known as duty.

Trade shows:

A temporary concentration of vendors that provide retailers opportunities to place orders and view what is available in the marketplace; also known as market week.

Commercial bribery:

A vendor's offer of money or gifts to a retailer's employee for the purpose of influencing purchasing decisions.

Tying contract:

An agreement between a vendor and a retailer requiring the retailer to take a product it does not necessarily desire (the tied product) to ensure that it can buy a product it does desire (the tying product).

Resident Buying Offices:

An organization located in a major buying center that provides services to help retailers buy merchandise.

Trademark:

Any mark, work, picture, or design associated with a particular line of merchandise or product.

Reverse auctions:

Auction conducted by retailer buyers. Known as reverse auction because there is one buyer and many potential sellers. In reverse auction, retail buyers provide specification for what they want to a group of potential vendors. The competing vendors then bid down the price at which they are willing to sell until the buyer accepts a bid.

Counterfeit Merchandise:

Goods that are made and sold without permission of the owner of a trademark, a copyright, or a patented invention that is legally protected in the country where it is marketed.

Strategic relationship:

Long-term relationship in which partners make significant investments to improve both parties' profitability.

Diverted merchandise:

Merchandise that is diverted from its legitimate channel of distribution; similar to the gray-market goods except there need not be distribution across international boundaries.

Gray-market goods:

Merchandize that posses a valid U.S. registered trademark and is made by a foreign manufacturer but is imported into the United States without permission of the U.S. trademark owner.

Black market:

The availability of merchandise at a high price when it is difficult or impossible to purchase under normal market circumstances; commonly involves illegal transactions.

Exclusive brands:

a brand developed by a national brand vendor, often in conjunction with a retailer, and sold exclusively by the retailer.

Copycat brands:

a branding strategy that imitates the manufacturer brand in appearance and trade dress but generally is perceived as lower quality and is offered at a lower price.

Premium store brands:

a branding strategy that offers the consumer a private label at a comparable manufacturer-brand quality, usually with a modest price savings.

Subbrand:

part of a branding strategy in which a product's brand name is associated with the description of the product, such as Frosted Flakes, where the family brand name is Kellogg's.

Private label brands:

products developed and marketed by the retailer and only available for sale by the retailer. Also called store brands.

Umbrella brand:

same thing as family brand

Market weeks:

same thing as trade shows.

Store brands:

see private label brands and own brands.

Own brands:

see private label brands and store brands.

Generic brands:

unbranded, unadvertised merchandise found mainly in drug, grocery, and discount stores.