Marketing Exam 2 - Ormsbee
Which of the following questions is most important for product designers to consider while developing a product?
How would customers use and benefit from the product?
A hickory rocking chair, handmade by an Amish woodcarver in Lancaster, Pennsylvania, from locally grown wood, is an example of a ________.
Specialty Product
Product support services
augment actual products
Institutional Markets
consist of hospitals, nursing homes, and prisons that provide goods and services to people in their care
Person marketing
consists of activities undertaken to create, maintain, or change attitudes and behavior of target consumers toward particular people
Place marketing
consists of activities undertaken to create, maintain, or change attitudes and behavior of target consumers toward particular places
Organizational marketing
consists of activities undertaken to create, maintain, or change the attitudes and behavior of target consumers toward an organization
Buying center
consists of all the individuals and units that play a role in the business purchase decision-making process
Dissonance-reducing buying behavior
consumer buying behavior in situations characterized by high involvement but few perceived differences among brands
Habitual buying behavior
consumer buying behavior in situations characterized by low consumer involvement and few significant perceived brand differences
Unsought products
consumer products that the consumer does not know about or knows about but does not normally think of buying
Complex buying behavior
consumers are highly involved in a purchase and perceive significant differences among brands -product is expensive, risky, purchased infrequently, and highly self-expressive
Internal marketing
means that the service firm must orient and motivate its customer contact employees and supporting service people to work as a team to provide customer satisfaction
Supplier Development
systematic development of networks of supplier-partners to ensure an appropriate and dependable supply of products and materials for use in making products or reselling them to others
Concentrated marketing
targets a small share of a large market Limited company resources Knowledge of the market More effective and efficient
Differentiated marketing
targets several different market segments and designs separate offers for each
Undifferentiated marketing
targets the whole market with one offer Focuses on common needs rather than what's different
Government Markets
tend to favor domestic suppliers and require suppliers to submit bids and normally award to the lowest bidder
Consumer buyer behavior
the buying behavior of final consumers - individuals and households that buy goods and services for personal consumption
Business buyer behavior
the buying behavior of organizations that buy goods and services for use in the production of other products and services that are sold, rented, or supplied to others
Business buying process
the decision process by which business buyers determine which products and services their organizations need to purchase and then find, evaluate, and choose among alternative suppliers and brands
Relative Advantage
the degree to which a consumer perceives that a new product provides superior benefits
Brand equity
the differential effect that knowing the brand name has on customer response to the product or its marketing
Micromarketing
the practice of tailoring products and marketing programs to suit the tastes of specific individuals and locations
Market segmentation
the process of dividing a market into meaningful, relatively similar, and identifiable segments or groups
Perception
the process of organizing and interpreting sensory information, enabling us to recognize meaningful objects and events
Information Search
the second stage of the buyer decision process in which the consumer is motivated to search for more information
Selective attention
the tendency for people to screen out most of the information to which they are exposed.
In business markets with inelastic demand ________.
the total demand for products is not much affected by short-term price changes
Brand value
the total financial value of a brand
Product position
the way a product is defined by consumers on important attributes- the place the product occupies in consumers' minds relative to competing products
Industrial products
those products purchased for further processing or for use in conducting a business
Relative advantage, compatibility, complexity, divisibility, and communicability are all characteristics of ________.
a product's rate of adoption
Target market
a set of buyers sharing common needs or characteristics that the company decides to serve
Occupation
affects the goods and services bought by consumers
Selective distortion
is the tendency for people to interpret information in a way that will support what they already believe.
Selective retention
is the tendency to remember good points made about a brand they like
Interactive marketing
means that service quality depends heavily on the quality of the buyer-seller interaction during the service encounter
Which of the following is most likely true about a straight rebuy?
A straight rebuy is handled on a routine basis by the purchase department.
Which of the following is an advantage offered by co-branding?
Co-branding allows a company to expand its existing brand into a category it might otherwise have difficulty entering alone.
Variety seeking behavior
Consumers are minimally involved in the purchase and perceive significant difference among brands
Things that affect consumer behavior
Cultural Social Personal Psychological
Demand for outboard motors depends on consumers purchasing fishing boats. This is an example of ________ demand.
Derived
What is the most important consumer-buying organization in society?
Family
Economic situations include trends in:
spending, personal income, savings, interest rates
Total Market Strategy
Many companies use ethnically specific themes in their mainstream marketing strategy because marketers have realized that insights gleaned from ethnic consumers can influence their broader markets. This type of marketing is known as ________.
Brand positioning
Marketers can position brands at any of three levels. Attributes Benefits Beliefs and values
________ are people within a reference group who, because of special skills, knowledge, personality, or other characteristics, exert influence on others.
Opinion Leaders
Which of the following statements is true of social classes?
People within a social class tend to exhibit similar buying behavior
Need recognition
The first stage of the buyer decision process, in which the consumer recognizes a problem or need
New task
a business buying situation in which the buyer purchases a product or service for the first time
Straight rebuy
a business buying situation in which the buyer routinely reorders something without any modifications
Modified rebuy
a business buying situation in which the buyer wants to modify product specifications, prices, terms, or suppliers
Calypso Motors recently rolled out its Proteus hatchback. Proteus combines the attractiveness of a luxury car with the excellent agility of a sports car. Calypso Motors is confident that Proteus will appeal to both sports car enthusiasts as well as the luxury segment. Which of the following types of market segmentation is evident here?
benefit segmentation
Harley-Davidson promotes its motorcycles with images of independence, freedom, and power. Harley-Davidson has created a ________.
brand personality
Systems selling
buying a complete solution to a problem from a single seller
The ________ refer(s) to all the individuals and units that play a role in the purchase decision-making process.
buying center
Which of the following is an organizational factor that influences business buyers?
company procedures
Business buyers usually face more _______ than consumer buyers
complex buying decisions
Consumers who show their allegiance to brands, stores, or companies help marketers to segment consumers by their ________.
degree of loyalty
________ segments are conceptually distinguishable and respond differently to different marketing mix elements and programs.
differentiable
Evaluation of Alternatives
is the third stage of the buyer decision process in which the consumer uses information to evaluate alternative brands in the choice set.
Intermarket segmentation
forming segments of consumers who have similar needs and buying behaviors even though they are located in different countries
Purchase Decision
fourth stage, is the buyer's decision about which brand to purchase.
Many companies today are localizing their products, advertising, promotion, and sales efforts to fit the needs of individual regions, cities, and neighborhoods. This is an example of ________.
geographic segmentation
A competitive advantage should be
important, distinctive, superior, communicable, preemptive, affordable, profitable
4 Service Characteristics
intangibility, inseparability, variability, perishability
Total Marketing Strategy
integrating ethnic themes and cross-cultural perspectives within a brand's mainstream marketing, appealing to consumer similarities across subcultural segments rather than differences
Cognitive dissonance
is buyer discomfort caused by postpurchase conflict
Postpurchase behavior
is the stage of the buyer decision process in which consumers take further action after purchase, based on their satisfaction or dissatisfaction.
Convenience products
items that the consumer purchases frequently, conveniently, and with a minimum of shopping effort
Specialty products
items with unique characteristics that buyers are willing to expend considerable effort to obtain
Shopping products
less frequently purchased consumer products and services that customers compare carefully on suitability, quality, price, and style
Service-Profit Chain
links service firm profits with employee and customer satisfaction
Consumer markets
made up of all the individuals and households that buy or acquire goods and services for personal consumption
A company that uses well-known celebrities to help sell its products is using ________ marketing.
person
The service profit chain includes internal service quality, satisfied and productive service employees, greater service value, healthy service profits and growth, and ________.
satisfied and loyal customers
Positioning maps
show consumer perceptions of their brands versus competing products on important buying dimensions
Social marketing
uses commercial marketing concepts to influence individuals' behavior to improve their well-being and that of society
Which of the following refers to a cultural factor in the context of segmenting international markets?
values and attitudes