Basic Marketing 18E Ch.3 Key Terms

Front 1

• Mission statement:

Back 1

sets out the organization’s basic purpose for being

Front 2

• Competitive environment:

Back 2

affects the number and types of competitors the marketing manager must face and how they may behave

Front 3

• Competitor analysis:

Back 3

an organized approach for evaluating the strengths and weaknesses of current or potential competitors; marketing strategies

Front 4

• Competitive rivals:

Back 4

firms that will be the closest competitors

Front 5

• Competitive barriers:

Back 5

the conditions that may make it difficult or even impossible for a firm to compete in a market (see exhibit 3-3)

Front 6

• Economic environment:

Back 6

refers to the macro-economic factors, including national income, economic growth, and inflation, that affect patterns of consumer and business spending

Front 7

• Technology (affects marketing in 2 ways)

Back 7

the application of science to convert an economy’s resources to output. Affects marketing in 2 ways:
o 1) opportunities for new products
o 2) opportunities for new processes (ways of doing things)

Front 8

• Internet:

Back 8

a system for linking computers around the world

Front 9

• Nationalism:

Back 9

an emphasis on a country’s interests before everything else—effects how marco-marketing systems work

Front 10

• North American free trade agreement (NAFTA):

Back 10

lays out a plan to reshape the rules of trade among the United states, Canada, and Mexico

Front 11

• Cultural and social environment:

Back 11

affects how and why people live and behave as they do—which affects customer buying behavior and eventually the economic, political;, and legal environment

Front 12

• Sustainability:

Back 12

the idea that it’s important to meet present needs without compromising the stability of future generations to meet their own needs

Front 13

• Strategic business unit (SBU):

Back 13

an organizational unit (within a larger company) that focuses on some product markets and is treated as a separate profit center

Front 14

• Portfolio management:

Back 14

treats alternative products, divisions, or strategic business units, as though they were stock investments, to be bought and sold using financial criteria