Chapter 5. Analyzing the Marketing Environment

How do demographics affect the launching of a new product?

- A product may be targeted towards a specific age group or generational cohort - A product may be for a specific gender

Having a broad range in incomes creates marketing opportunities at the:

- High end of the market - Low end of the market

What are some distinct characteristics that may be causing the increase in wealthy families?

- Increase in dual-income households - Maturing of the general population

What do studies show about education?

- Those who graduated w/ a high school diploma earn approx. $32,500/year - Those who did not graduate high school have an average annual salary of approx. $23,000/year

What are the immediate environmental factors that impact consumers?

-Corporate partners -Competitors -Company *Cor Com Com

Components of a country's culture?

-Food -Language

What demographic factors can help to predict consumer buying patterns?

-Income earned -Education attained

What are some characteristics that describe Generation X?

-Latchkey children -Born 1965-1976 -Represent 41 million Americans

The political/regulatory environment consists of:

-Political parties -Laws & legislation

What are examples of government legislation designed to protect the consumer?

-Product safety standards -Prohibition of false advertising

The major microenvironmental factors:

-Social factors -Cultural factors -Political/legal (regulatory) factors

Microenvironmental factors that directly influence a firm:

-Technology -Culture -Demographics

Which generational cohort was born during 1946 and 1964

Baby Boomers

What group is NOT expected to experience population growth in the United States in the next 20 years?

Caucasian

It is critical that marketers understand their firm's ____________ including their strengths, weaknesses, & likely reactions to the marketing activities that their own firm undertakes.

Competitors

At the center of all analysis of the marketing environment is the __________ and his/her specific behavior & attitudes.

Consumer

______________ is defined as the shared meanings, beliefs, morals, values, & customs of a group of people

Culture

Privacy concerns

Do Not Call Registry for cell phones

Which is the largest generational cohort since the Baby Boomers?

Generation Y (Gen Y)

Consumer desires for environmentally friendly products & services has led to ________ marketing.

Green

_____________ refers to the persistent increase in the price of goods & services.

Inflation

What do studies show about education?

Marketers should try to transcend gender boundaries whenever possible

Health & wellness concerns

Popularity of hand sanitizing gel

A new technology called ___________ allows a company to follow items as they move through the supply chain & to their final destination with the consumer.

RFID Radio Frequency *IDENTIFICATION = follow/track Device

Particularly in larger countries, marketers may have to respond to diverse consumer groups that refer to product categories differently. While some areas say they "go to a move," others say they are "going to a show." This illustrates _____________ culture.

Regional *country = region

Generation ______ was born into a world full of electronic gadgets & digital technologies, such as the Internet & social networks; this generation is being raised by & has a lot in common with their Generation X parents

Z

A company must be able to focus on its ___________ competencies as an opportunity to deliver new products to its customers. a. Core b. Environment c. Main d. Exiting

a. Core

Consumers in a generational ______________ are a group of people of the same generation having similar purchase behaviors because they have shared experiences & are in the same stage of life.

cohorts

A marketing manager might use SWOT analysis to determine the firm's _______________ competencies that identify the internal strengths of the firm & can help it to compete effectively in the market.

core

if a car company collaborated with a sheet metal supplier, the car company would be the supplier's:

corporate partner

If your family shares a tradition of getting together on New Year's Day, then this is part of your ______________.

culture

Data that provides statistical information about the population & the various groups within the population is known as _______________.

demographics

Which income group's purchasing power is growing relative to other income groups?

highest-income group

The _________ environment sits within the macroenvironment & is related to the elements of the industry in which the firm operates.

immediate *related to the elements =IMMEDIATE' relation

Factors that influence & affect consumers include a company's capabilities, competitors, & partners, & are referred to as:

immediate environment *capabIlItIes are ImmedIate *competItors are ImmedIate *Partners are ImmedIate

Green marketing

investing in phosphate-free laundry powder

When the manager conducts a scan, he assesses the _________, which includes social, political, economic, & technological factors.

macroenvironment

Time-poor society

popularity of delivery services

In response to the social trend of _____________, the Federal Trade Commission established the Do Not Call Registry.

privacy returns

When interest rates are high, consumers have a greater incentive to _________ more, but when interest rates are low, consumers have a greater incentive to

save; borrow

A company may choose to launch the same advertising campaign globally. This particular campaign may be launched with identical pictures & messages but in different languages. Advertisers might try to bridge the cultural gap by appealing to:

the same target market

One of the goals of ___________ marketing is to provide a greater benefit relative to the cost to consumers than competitors offer.

value-based *benefit = value