exam 1

What are the mid-level concerns in strategic planning?

Focus on a particular product or market

What are some changes in products and selection?

Free shipping, fast shipping, Competition has exploded, Vast information on products, Displaced product lines (e.g., CD/DVD, physical books), Transaction efficiency (e.g., auto reorder online), and Disrupted industries (e.g., transportation, hotel)

Give an example of competitive advantage in strategic pricing.

Gillette.

What are examples of marketplaces?

Grocery stores, malls, flea markets.

What has been happening to radio?

It has been declining in popularity.

How has broadcast TV and streaming affected audience targeting?

It has created mass channels with uncertain targeting.

How does customer-centric tech impact conversion rate?

It increases conversion rate and improves ROI.

What is the impact of great customer service on price?

It results in a 15% premium in price (source: PwC).

What does marketing focus on?

Long-term relationships with customers

How can macro factors affect buyers?

Macro factors like weather can influence customer behavior and purchasing decisions.

What industries are experiencing changes in their business models?

Malls, banks, pharmacies, and grocery stores are among the industries experiencing changes in their business models.

What is target marketing?

Marketing a product to distinct segments in the market.

What is my view of marketing?

Marketing is the answer to the question of why you buy a product.

What percentage of customers who have bad service don't buy?

More than 50% (source: AMEX).

Streaming trends:

Most Americans have at least one streaming service, International markets lag U.S. market, Most streaming viewers watch on their TVs, but are on their phones at the same time, Netflix has massive subscribers, but Youtube has many more users

How is music consumption changing?

Most music is now consumed digitally.

How is news consumption changing?

Most news is now consumed digitally rather than through traditional newspapers.

What does exchange usually entail?

Obtaining products for money.

What is exchange?

Obtaining something of value by offering something in return.

What is the difference between omnichannel and multi-channel?

Omnichannel provides an integrated customer experience, while multi-channel involves multiple channels and uses integration.

What are the components of marketing strategy?

One or more marketing programs.

What are examples of marketspaces?

Online markets or e-commerce.

What are examples of products?

People, goods, services, places, ideas, experiences, events, information, real/financial property, and digital products.

What is the core principle of marketing?

Placing the customer at the center of all decisions

What is psychological utility?

Positive experiential activities that bring satisfaction

How does price impact revenue and profit?

Price directly affects revenue and profit.

What is the connection between price and customer demand?

Price has a direct connection with customer demand.

Which element of marketing program decisions is the easiest to change?

Price is the easiest element to change.

What is the significance of price as a quality cue for customers?

Price serves as a major quality cue for customers.

What is commoditization?

Process of making products or services interchangeable and indistinguishable.

Give an example of a unique customer experience.

REI's rock climbing wall in their store.

How does power shift to customers affect retailers?

Retailers face pressure to offer competitive prices and match prices from competitors.

What is internal analysis?

Review of resources, strategy, and performance.

Give an example of competitive advantage in market positioning.

Salesforce.

What are major retail 'shake-ups'?

Significant disruptions or changes in the retail industry.

What is a product?

Something acquired to satisfy a need or want.

What does tactical planning address in strategic planning?

Specific markets or market segments and development of marketing programs

Give examples of different athletic shoe markets.

Sporty, everyday wearers, budget-conscious, elite sports, fashion sports, etc.

Name some examples of streaming platforms.

Spotify, Pandora, Apple Music, YouTube Music, etc.

What is price vulnerability?

Susceptibility of a product to price fluctuations and competition.

What are the lower-level concerns in strategic planning?

Tactical and operational in nature

What are the elements of marketing programs?

Target market(s) and marketing mix (product, price, place, promotion).

What is niche marketing?

Targeting a specific, specialized audience.

What is customer-centric tech?

Technology that focuses on improving customer experience.

Give an example of competitive advantage in innovation and access to new technologies.

Tesla.

What is promotion in the marketing mix?

The activities used to communicate and persuade customers to buy a product.

What is price in the marketing mix?

The amount customers pay for a product or service.

What is legal jurisdiction?

The authority of a legal system over a particular territory.

What is audience fragmentation?

The division of audiences into smaller, specialized groups.

What is product in the marketing mix?

The goods or services offered by a company.

What is place (distribution) in the marketing mix?

The location or channel through which a product is sold.

How do pandemic and climate change challenge 'value'?

They force businesses to reassess the importance and relevance of their offerings.

Why is legal jurisdiction important for firms doing business in the United States and China?

To ensure compliance with the respective legal systems of each country.

What is the role of products in marketing?

To fulfill the basic needs and wants of the customer.

Give an example of competitive advantage in product quality.

Toyota.

What does it mean when we say 'we're fragmented'?

We consume media from various sources and platforms.

What are the five conditions that must be met for an exchange?

1. At least two parties involved. 2. Each party has something of value to the other. 3. Each party can communicate and deliver. 4. Each party is free to accept or reject the exchange. 5. Each party believes it is desirable to exchange with the other.

What percentage of customers share a positive experience with their friends?

77% (source: Tempkin Group).

What is a market?

A collection of buyers and sellers.

What is the Foreign Corrupt Practices Act?

A law that prohibits bribery of foreign officials by U.S. companies.

What is omnichannel technologies?

A multi-channel sales/marketing approach that provides an integrated/seamless customer experience.

What is a marketplace?

A physical location where buyers and sellers meet.

What is a digital product?

A product that exists in digital form, such as software or media files.

What is utility?

Ability of a product to satisfy customer's desires

What is possession utility?

Ability to purchase a product through credit cards or financing

Reasons some Americans keep their cable:

Access to watch live broadcast content, Bundled with home Internet, DVR capabilities, Dislike change, Happy with value

What can be included in marketing strategy?

Activities associated with maintaining relationships with stakeholders.

What is marketing?

Activity for creating, communicating, delivering, and exchanging offerings

Give an example of competitive advantage in distribution networks.

Amazon.

What is the sharing/gig economy?

An economic system where individuals share resources or provide services on a temporary basis.

What is competitive intelligence?

Assessment of competitors' capabilities, vulnerabilities, and planning.

What is time utility?

Availability of a product when the customer wants it

What is place utility?

Availability of a product where the customer wants it

What is strategic planning?

Blueprint for marketing plan

How are entertainment venues (sports and concerts) affected?

Cancellation or postponement of events, leading to revenue loss.

What are some examples of lifestyle changes affecting value proposition?

Changes in consumer preferences, behaviors, and habits.

What is shifting demand patterns?

Changes in customer demand for certain product categories due to technology.

What is the impact of the pandemic on movie theaters?

Closure or limited operations due to social distancing measures and reduced demand.

What is situation analysis?

Collection and interpretation of internal, competitive, and environmental information.

What does the marketing plan outline in strategic planning?

Combination of product, pricing, distribution, and promotion decisions

What are companies doing to anticipate and meet customer needs?

Companies are investing in greater anticipation and forecasting of customer needs.

What are companies striving to do in response to power shift to customers?

Companies are trying to regain power and focus on providing unique customer experiences.

What are the challenges faced by in-home entertainment?

Competition from various digital platforms and streaming services.

What is happening to conferencing and business travel?

Conferencing and business travel are undergoing changes in their business models.

What is environmental scanning?

Consideration of macro factors: economic, political, legal, tech, and cultural.

What are the top-level concerns in strategic planning?

Corporate mission, vision, BU coordination, resource acquisition

What does marketing aim to drive?

Customer satisfaction

What is power shift to customers?

Customers have more control and influence in the market.

What are marketing program decisions?

Decisions related to marketing strategies and tactics.

What is marketing strategy?

Describes how firm fulfills customer needs and wants.

What are some examples of omnichannel technologies?

Desktop, mobile device, telephone, brick and mortar, social media.

What are primary and secondary markets?

Different segments within a target market.

Give an example of competitive advantage in customer service.

Disney.

What is form utility?

Distinctive features and quality of a product

What is market segmentation?

Dividing a marketplace into smaller, homogeneous segments with similar needs, wants, and characteristics.

Why is mass market reach more difficult now?

Due to audience fragmentation and multitasking.

Why is the collection of sales tax for online transactions a major issue?

Due to the complexity of determining tax obligations across different jurisdictions.

Why do legal systems differ from country to country?

Due to variations in laws, regulations, and cultural norms.

What is a marketspace?

Electronic marketplaces unbound by time or space.

What is competitive advantage?

Excellence that exceeds competitors.