MKT 348

Subculture

A distinct cultural group that exists as an identifiable segment within a larger, more complex society

Class Consciousness

A feeling of social group membership that reflects an individual sense of belonging or identification with others

European Union (EU)

A group of 27 nations who eased trade restrictions among each other in hopes of pooling their resources and consumers, creating a single economic power.

Routinized Response Behavior

A habitual purchase response based on predetermined criteria

Nuclear Family

A household consisting of a husband and wife and at least one offspring

Extended Family

A household consisting of a husband, wife, offspring and at least one other blood relative

Composite-Variable Index

A index that combines a number of socioeconomic variables (such as education, income, occupation) to form one overall measure of social class standing

Nontraditional Family

A living arrangement other than a man, wife and their children; for example single-parent homes, blended families, and homosexual couples

Content Analysis

A method for systematically analyzing the content of verbal and/or pictorial communication. The method is frequently used to determine prevailing social values of a society in a particular era under study

Socioeconomic Status Score

A multivariable social class measure used by the United States Bureau of the Census that combines occupational status, family income, and educational attainment into a single measure of social class standing

Socialization of Family Members

A process that includes imparting to children and other family members the basic values and modes of behavior consistent with the culture

Autonomic (unilateral) Decision

A purchase decision in which either the husband or the wife makes the final decision

Adopter Categories

A sequence of categories that describes how early or late a consumer adopts a new product in relation to other adopters. The five adopters categories are; innovators, early adopters, early majority, late majority, laggards.

Affect Referral Decision Rule

A simplified decision rule by which consumers make a product choice on the basis of their previously established overall ratings of the brands considered, rather than on specific attributes

Household

A social unit made up of the people living within a particular structure, who may of may not be related

Evaluation of Alternatives

A stage in the consumer decision making process in which the consumer appraises the benefits to be derived from each of the product alternatives being considered

Prepurchase Search

A stage in the consumer decision-making process in which the consumer perceives a need and actively seeks out information concerning products that will help satisfy that need

North American Free Trade Agreement (NAFTA)

A trade association consisting of Canada, the United States, and Mexico that reduces trade trade restrictions between the countries in an effort to bolster marketing opportunities

Noncompensatory Decision Rule

A type of consumer decision rule by which positive evaluation of the brand attribute does not compensate fro a negative evaluation of the same brand on some other attributes

Compensatory Decision Rule

A type of decision rule in which a consumer evaluate each brand in terms of each relevant attribute and then selects the brand with the highest weighted score

Ritual

A type of symbolic activity consisting of a series of steps (multiple behaviors) occurring in a fixed sequence and repeated over time

Green Marketing

Advertising that promotes use of healthy, reusable and ecofriendly products

African American Consumers

Americans of African heritage constituting more than 39 million Americans or 13 percent of the U.S. population

Field Observation

An anthropological measurement technique that focuses on observing behavior within a natural environment (often without the subject's awareness)

Mood

An individual subjectively perceived, feeling state

Cognitive Age

An individual's perceived age (usually 10 to 15 years younger than his or her chronological age)

Generation Y

Approximately 71 million Americans who were born between the years 1977 to 1994 (the children of baby boomers)

Purchase Behavior

Behavior that involves two types of purchases: trial purchases (the exploratory phase in which consumers evaluate a product through direct use) and repeat purchases, which usually signify that the product meets with the consumer's approval and that the consumer is willing to use it again

Generation X

Born between 1965 and 1979, this is a post baby-boomer segment

Husband Dominated Decisions

Consumers choices generally made by the husband either by tradition or knowledge

Children's Advertising Review Unit (CARU)

Division of the council of the Better Business Bureau that issues guidelines regulating advertising to children

Asian Americans

Fasting growing American minority with a population of about 14 million in size made up. Chinese, Filipinos, Indian, Vietnamese, Korean, and Japanese

Religious Subcultures

Groups classified by religious affiliation that may be targeted by marketers because of purchase decisions that are influenced by their religious identity

Single-Parent Family

Households consisting of only one parent and at least one child

Baby Boomers

Individuals born between 1946 and 1964 ( approximately 40% of the adult population)

False of Misleading Advertising

Marketing claims that distort a products effectiveness or suggest comparisons showing a brands superiority over other brands that have not been verified.

Deceptive Advertising

Marketing claims that mislead consumers in in terms of products traits or performance

Three P's

Marketing elements-place, people and products considered when developing a marketing plan

Nonfamily Household

Men and/or women living alone or with another person as an unmarried couple

Consumers Ethics

Moral rules that apply to consumers such as the choice to return a used item for refund, shoplift and engage in software piracy as well as the steps the company takes to counter these actions such as charging restocking fees and limiting returns

Nationality Subcultures

Nationality subcultures in a larger society in which members often retain a sense of identification and pride in the language and customs of their ancestors

Core Values

Priorities and codes of conduct that both affects and reflects the character of american society

Consumer Decision Rules

Procedures adopted by consumers to reduce the complexity of making product and brand decisions

Objective Measures

Selected fact-based demographic or socioeconomic variables (such as occupation, income, education level) that are used to classify individuals in terms of social class

Gender Subcultures

Sex roles are an important cultural component and require products that are either exclusively or strongly associated with the members of one sex

Social Status

The amount of status members of one social class have in comparison with members of other social classes

Product or Service Innovation

The creation and introduction of a new product or service into the market, which can be viewed from different classifications., the creation and introduction of a new product or service into the market, which can be viewed from different classifications. the firm-oriented approach views the new product from the perspective of the company producing it. the product-oriented approach views the product in terms of product traits. the market-oriented approach looks at the new product in terms of its exposure to new customers. the consumer-oriented approach considers a product new if it is new to them

Compatibility

The degree to which potential customers perceive a new product is consistent with their present needs, values and practices

Geographical and Regional Subcultures

The differences consumers from various parts of the country display in product selection and consumption due to their location and the areas traditions

Cognitive Dissonance Theory

The discomfort or dissonance that consumers experience as a result of conflicting information

Observability

The ease with which a product benefits or attributes can be observed, imagined, or described to potential consumers

Diffusion of Innovations

The framework for exploring the spread of consumer acceptance of new products throughout the social systems

Enculturation

The learning of the culture of one's own society

Joint Noticeable Difference(JND)

The minimal difference that can be detected between two stimuli

Adoption Process

The stages through which an individual consumer passes in arriving at a decision to try ( or not to try), to continue using (or discontinue using) a new product. The five stages are awareness, interest, evaluation, trial, and adoption.

Culture

The sum total of learned beliefs, values and customs that serve to regulate the consumer of members of a particular society.

Downscale Consumers

Those potential buyers having annual household incomes of $40,000 or less

Sex Roles

Traits and tendencies often associated with a particular gender; for example, masculine traits include aggressiveness and competitiveness, whereas feminine traits include neatness, tactfulness, gentleness, and talkativeness.

Family

Two or more persons related by blood, marriage, or adoption who reside together

PRIZM

a composite index of geographic and socioeconomic factors expressed in residential zip code neighborhoods from which geodemographic consumer segments are formed

Index of Status Characteristics

a composite measure fo social class that combines occupation, source of income, house type into a single weighted index of social class standing

Geodemographic Clusters

a composite segmentation strategy that uses both geographic variables and demographic varibales to identify target markets

Discontinuous Innovation

a dramatically new product entry that requires the establishment of new consumption practices

Corrective Advertising

a form of retraction or clarification a company must issue when it makes false or misleading claims in its advertising

Limited Problem Solving

a limited search by a consumer for a product that will satisfy his or her basic criteria from among a selected group of brands

Mixed Strategies

a marketing strategy that combines elements of the global and local marketing strategies, offering either a customized message and uniform product, or a uniform message and customized product

Continuous Innovation

a new product entry that is an improved or modified version of an existing product rather than a totally new product. a continuous innovation has the least disruptive influence on established consumption patterns

Dynamically Continuous Innovation

a new product entry that is sufficiently innovative to have some disruptive effects on established consumption practices

Conjunctive Decision Rule

a noncompensatory decision rule in which consumers establish a minimally acceptable cutoff point for each attribute evaluated. Brands that fall below the cutoff point on any one attribute are eliminated from further consideration

Disjunctive Rule

a noncompensatory decision rule in which consumers establish a minimally acceptable cutoff point for each relevant product attribute; any brand meeting or surpassing the cutoff point for any one attribute is considered an acceptable choice

Lexicographic Decision Rule

a noncompensatory decision rule in which consumers first rank product attributes in terms of their importance, then compare brands in terms of the attribute considered most important. If one brand scores higher than the other brands, it is selected; if not, the process is continued with the second ranked attribute, and so on

Socialization Agent

a person or organization involved in passing along the basic values and behaviors of a group, mainly because they are in close proximity and control the means to reward and/or punish actions

Consumption Process

a process consisting of three stages: the input stage established the consumption set and consuming style; the process of consuming and possessing, which includes using, possessing, collecting, and disposing f things; and the output stage, which includes changes in feelings, moods, attitudes, and behavior toward the product or service based on personal experience

Traditional Family Life Cycle

a progression of stages through which many families pass, stages are: bachelorhood, honeymooners, parenthood, postparenthood, dissolution

Rokeach Value Survey

a self-administered inventory consisting of 18 TERMINAL values (personal goals, i.e. equality, freedom, happiness, etc.) and 18 INSTRUMENTAL values (ways of reaching personal goals, i.e. cheerful, clean, courageous, etc.)

Subjective Measures

a series of personal evaluations an individual uses to put himself or herself into a social class

Center for Science in the Public Interest (CSPI)

a widely recognized consumer advocacy group

Age Subcultures

age subgroupings of the population

Postpurchase Evaluation

an assessment of a product based on actual trial after purchase

Product Standardization

an orientation for assessing whether to use a global versus local marketing strategy concentrating on a high-tech to high-touch continuum

Subcultural Interaction

because consumers are simultaneously members of several subculture groups, marketers must determine how customer's specific subcultural memberships interact to influence the consumer's purchase decisions

Inept Set

brands that a consumer excludes from purchase consideration

Inert Set

brands the consumer is indifferent toward because they are perceived as not having any particular advantage

Wife-Dominated Decisions

consumer choices generally made by the wife, either by tradition or knowledge

Downward Mobility

consumers who have a lower social class level than their parents in terms of the jobs they hold, their residences, level of disposable income, and savings

Local Strategy

customizing both product and communications programs by area or country when conducting business on a global basis

Extensive Problem Solving

decision making efforts by consumers who have no established criteria for evaluating a product category or specific brands in that category, or have not narrowed the number of brands to a manageable subset

Multinational Strategies

decisions that marketers make on how to reach all potential consumers of their products in countries throughout the world

Relative Advantage

degree to which potential customers perceive a new product as superior to existing substitutes

Marketing Ethics

designing, packaging, pricing, advertising, and distributing products in such a way that negative consequences to consumers, employees, and society in general are avoided

Truth-in-Advertising Laws

legislation that protects consumers from false advertising claims

Covert, Masked, or Stealth Marketing

marketing messages and promotional materials that appear to come from independent parties although, in fact, they are sent by marketers

Upward Mobility

movement upward in social-class standing from the social-class position into which the consumer was born

Consumer Fieldwork

observational research by anthropologists of the behaviors of a small sample of people from a particular society

Skimming Policy

pricing policy in which marketers initially sell a product at a high price to consumers who are willing to pay top dollar for it, and then gradually lower the price to draw in additional buyers

Cause Related Marketing

process in which a firm contributes a portion of the revenues they receive from selling certain products to such causes as helping people with incurable diseases or those hurt by inclement weather

World Brands

products that are manufactured, packaged, and positioned the same way regardless of the country in which they are sold

Participant Observers

researchers who participate in the environment that they are studying without notifying those who are being observed

Penetration Policy

setting a relatively low introductory price on a new product to discourage competition from entering the market

Global Strategy

standardizing both product and communications programs when conducting business on a global basis

Racial Subcultures

subgroups within a culture based on nationality or ethnicity. the major racial subcultures in the US are Caucasian, Hispanic, African American, Asian American, and American Indian

Trialability

the degree to which a product can be tried on a limited basis.

Complexity

the degree to which consumers find a new product or its use difficult to understand

Hispanic American Subculture

the largest American minority group, representing about 14% of the US population. Mexican Americans, Puerto Ricans, and Cubans

Country-of-Origin Effects

the perception a consumer has of a product based on where it is manufactured, due to reputation or personal bias

Diffusion Process

the process by which the acceptance of an innovation is spread by communication to members of a social system over a period of time

Gifting Behaviors

the process of gift exchange that takes place between a giver and a recipient

Consumer Socialization

the process, started in childhood, by which an individual learns the skills and attitudes relevant to consumer purchase behavior

Need Recognition

the realization by the consumer that there is a difference between "what is" and "what should (or can) be"

Single-Variable Index

the use of a single socioeconomic variable to estimate an individual's relative social class

Older Consumers

those customers who are approximately age 60 to 65 and older, which is expanding as a percentage of the market pool due to the declining birthrate, the aging of baby boomers, and advancements in medical care

Exploitive Targeting

unethical marketing directed to groups that are especially vulnerable to undue influence by advertising, such as children and person of lesser education

Affluent Market

upscale market segment that consists of households with incomes that are higher than average (e.g. over $75,000)