Marketing Exam 1 (Ch.1-4)

Front 1

Marketing

Back 1

Creating, distributing, promoting, and pricing goods, services, and ideas to:

-facilitate satisfying exchange relationships with customers

-Develop and maintain favorable relationships with stakeholders in a dynamic environment

Front 2

Market

Back 2

A group of individuals and/or organizations that have needs for products in a product class and have the ability, willingness, and authority to purchase those products

Front 3

Market Share

Back 3

The percentage of a market that actually buys a specific product from a particular company

Front 4

Marketing Environment

Back 4

The competitive, economic, political, legal and regulatory, technological, and sociocultural forces that surround the customer and affect the marketing mix.

PESTEL

Front 5

Marketing Concepts/Evolution

Back 5

Production Orientation (Industrial)

I

Sales Orientation

I

Market Orientation

I

Community Orientation (cause related marketing) post marketing TOMS

Front 6

Customers

Back 6

Purchasers of organizations' product (focal point of all marketing activities)

Front 7

Mission Statement

Back 7

A long term view, or vision, of what the organization wants to become

Front 8

Customer Value

Back 8

Customer Benefits - Customer Costs

= Customer Value

Front 9

Competitive Advantage

Back 9

The result of a company matching a core competency to opportunities it has discovered in the marketplace

Front 10

Marketing Mix 4 Ps

Back 10

Product

Price

Place

Promotion

Front 11

4Cs of Marketing

Back 11

Consumer Value

Cost

Convenience

Communication

Front 12

Target market

Back 12

Specific group of customers on whom an organization focuses its marketing efforts

Front 13

First mover advantage

Back 13

The ability of an innovative company to achieve long term competitive advantages by being the first to offer a certain product in the market place

(Levi's jeans)

Front 14

Late mover advantage

Back 14

The ability of later market entrants to achieve long term competitive advantages by not being the first to offer a certain product in a market place.

(Book stacks unlimited (1992) & Amazon (1995) )

Front 15

Competitive forces

Back 15

Brand competition: Firms that market products with similar features and benefits to the same customers at similar prices

Product competition: Compete in the same product class but market products with different features, benefits, and prices

Generic competition: Provide very different products that solve the same problem or satisfy the same basic customer need

Total Budget competition: Compete for the limited financial resources of the same customers

Front 16

Monopoly

Back 16

A competitive structure in which an organization offers a product that has no close substitutes, maketing that organization the sole source of supply

Front 17

Oligopoly

Back 17

A competitive structure in which a few sellers control the supply of a large proportion of a product.

Front 18

Monopolistic Competition

Back 18

A competitive structure in which a firm has many potential competitors and tries to develop a marketing strategy to differentiate its product

Front 19

Buying power

Back 19

Depends on economic conditions and the size of the resources that enable the individual to make purchases

Front 20

Boston Consulting Group Matrix

Back 20

Star: Products with a dominant share of the market and good prospects for growth. Use more cash than they generate in order to finance growth, add capacity, and increase marketshare. Eg. AMAZON KINDLE

Cash Cow: dominant share of the market, but low prospects for growth. Generate more cash than is required to maintain marketshare. Eg. Bounty paper towels

Question marks (Problem child): small market share of a growing market and require a large amount of cash to build market share. Eg. Mercedes bicycles

Dog: subordinate share of the market and low prospects for growth. Found in established markets. Eg. Cathode ray tube TV

Front 21

Discretionary Income

Back 21

Disposable income available for spending and saving after an individual has purchased the basic necessities of food, clothing, and shelter

Front 22

Disposable Income

Back 22

After tax income

Front 23

Consumer Confidence Index

Back 23

The degree of optimism on the state of the economy that consumers are expressing through their activities of saving and spending

Front 24

Self Regulation

Back 24

Advantages:

-Establishment & implementation are less expensive

- Guidelines are realistic and operation

-When effective, reduce the need to expand gov't bureaucracy

Disadvantages:

-Nonmembers do not have to abide by their rules

- Many lack the authority to enforce guidelines

-Guidelines are less strict than those established by gov't agencies

Front 25

Consumerism

Back 25

Organized efforts by individuals, groups, and organizations to protect consumers' rights

Front 26

What is marketing research?

Back 26

Systematic design, collection, interpretation, and reporting of information

Front 27

Marketing research involves two forms of data: Name them.

Back 27

Qualitative and Quantitative

Front 28

What is Qualitative Data?

Back 28

Yields descriptive non-numerical information

Front 29

What is Quantitative data?

Back 29

Yields information that can be communicated through numbers

Front 30

To collect data, marketers conduct two types of research. Name them.

Back 30

Exploratory Research and Conclusive Research

Front 31

What is a customer advisory panel?

Back 31

Small groups of actual customers who serve as sounding boards for new product ideas and offer insights into their feelings and attitudes toward a firm

Front 32

What is a focus group?

Back 32

Brings together multiple people to discuss a specific topic in a group setting facilitated by a moderator

Front 33

What is Conclusive Research?

Back 33

Research designed to verify insights through an objective procedure to help marketers make decisions

Front 34

What is Conclusive Research?

Back 34

The sample is relatively large, objectively selected to permit generalization of findings

Front 35

What is Exploratory Research?

Back 35

The purpose is to generate insights about a situation

Front 36

After “locating and defining problems or issues” – what is the next step in the research process?

Back 36

Designing the research project

Front 37

After “designing the research project” – what is the next step in the research process?

Back 37

Collecting data

Front 38

After “collecting data” – what is the next step in the research process?

Back 38

Interpreting the research findings

Front 39

After “interpreting the research findings” – what is the next step in the research process?

Back 39

Reporting research findings

Front 40

_____________ is essential to attracting and retaining loyal customers

Back 40

What is CRM (Customer Relationship Management)

Front 41

What is Research Design?

Back 41

Overall plan for obtaining the information needed to address a research problem

Front 42

What is a hypothesis?

Back 42

Informed guess or assumption about a certain problem or set of circumstances

Front 43

Condition that exists when a research technique produces almost identical results in repeated trials

Back 43

What is reliability?

Front 44

Condition that exists when a research method measures what it is supposed to measure

Back 44

What is validity?

Front 45

Observed and recorded or collected directly from respondents

Back 45

What is primary data?

Front 46

What are sources for secondary data?

Back 46

Census data, Trade organizations, magazines and corporate information websites and databases

Front 47

What is population?

Back 47

Elements, units, or individuals of interest to researchers for a specific study

Front 48

What is a sample?

Back 48

Limited number of units chosen to represent the characteristics of a total population

Front 49

What is sampling?

Back 49

The process of selecting representative units from a population

Front 50

What is probability sampling?

Back 50

Every element in the population being studied has a known chance of being selected for study

Front 51

What is random sampling ?

Back 51

All the units in a population have an equal chance of appearing in the sample

Front 52

What is stratified sampling?

Back 52

Population of interest is divided into groups according to a common attribute, and a random sample is then chosen within each sub-group

Front 53

What is non-probability sampling?

Back 53

There is no way to calculate the probability that a specific element of the population being studied will be chosen

Front 54

What is Quota sampling?

Back 54

Researchers divide the population into groups and then arbitrarily choose participants from each segment

Front 55

Name any 3 methods of collecting primary data employing sampling

Back 55

Mail, Telephone, Personal Interview, Online or Social Networking surveys

Front 56

Non response is a major disadvantage for this specific type of survey

However, this type of survey eliminates interview bias.

Back 56

What is Mail Survey?

Front 57

This type of survey provides some anonymity but it may be hard to develop trust in respondents. However, it is flexible since interviewers can ask probing questions.

Back 57

What is a telephone survey?

Front 58

This type is the least expensive survey method, and interview bias is eliminated.

Back 58

What is an online survey?

Front 59

The most expensive and the most flexible however a greater chance for interview bias.

Back 59

What is a personal interview?

Front 60

Interviewing a percentage of individuals who pass by an intercept point in a mall also known as shopping mall intercept interviews is a form of:

Back 60

Personal Interview

Front 61

Way for marketers to gather input straight from willing consumers and to actively listen to people’s ideas and evaluations on products

Back 61

Crowdsourcing

Front 62

Have you ever purchased a coffee product?

-Yes

-No

This question is an example of a specific question type. Name it.

Back 62

What is a dichotomous question?

Front 63

What is your general opinion about coffee shops? (please describe) ______________________

This question is an example of a specific question type. Name it.

Back 63

What is an open ended question?

Front 64

What income group are you in?

$0-$19,000

$20,000-$59,999

$60,000-$99,000

more than $100,000

This question is an example of a specific question type. Name it.

Back 64

What is a multiple choice question?

Front 65

Researchers will record individuals’ overt behavior

Take note of physical conditions and events

Avoid direct contact with subject

Back 65

What is Observation Methods?

Front 66

This focuses on what is typical and what deviates from the average

Back 66

What is statistical interpretation?

Front 67

Analysis of data may lead researchers to accept or reject ____________

Back 67

Their hypothesis

Front 68

Name two steps when reporting research findings:

Back 68

Analyze findings to determine completion of the research

Prepare a formal, written document

Determine level of detail

Clear and objective presentation

Consider the intended audience

Point out deficiencies in the data

Researchers give their summary and recommendations first

Front 69

This is a framework for managing and structuring information gathered regularly from sources inside and outside the organization

Back 69

MIS (Management Information Systems)

Front 70

Name one key focus for MIS:

Back 70

Data storage and retrieval

Computer capabilities and management’s information requirements

Front 71

What is a database?

Back 71

Collection of information arranged for easy access and retrieval and allows marketers to tap into information useful in making marketing decisions

Front 72

What is single source data?

Back 72

Information provided by a single firm on: Household demographics and purchases Television viewing behavior

Responses to promotions

Front 73

MDSS stand for?

Back 73

Marketing decision support system

Front 74

What is MDSS:

Back 74

It is a customized computer software that aids marketing managers in decision making by helping them anticipate effects of certain decisions

Front 75

SWOT Analysis:

Back 75

Assessment of an organization's strengths, weaknesses, opportunities, and threats.

Front 76

Sustainable Competitive Advantage

Back 76

An advantage that the competition cannot copy

E.g. WALMART : highly efficient and low cost distribution

Front 77

Sherman Antitrust Act (1890)

Back 77

Prohibits contracts, combinations, or conspiracies to restrain trade; calls monopolizing or attempting to monopolize a misdemeanor offense.

(Procompetitive legislation)

Front 78

Clayton Act (1914)

Back 78

Prohibits specific practices such as price discrimination, exclusive dealer arrangements, and stock acquisitions in which the effect may notable lessen competition or tend to create a monopoly.

(Procompetitive legislation)

Front 79

Federal Trade Commission Act (1914)

Back 79

Created the Federal Trade Commission; also gives the FTC investigatory powers to be used in preventing unfair methods of competition.

(Procompetitive legislation)

Front 80

Wheeler-Lea Act (1938)

Back 80

Prohibits unfair and deceptive acts and practices, regardless of whether competition is injured; places advertising of foods and drugs under the jurisdiction of the FTC.

(Procompetitive legislation)

Front 81

Pure Food and Drug Act (1906)

Back 81

Prohibits the adulteration and mislabeling of food and drug products; established the Food and Drug Administration

(Consumer protection legislation)

Front 82

Nutritional Labeling and Education Act (1990)

Back 82

Prohibits exaggerated health claims and requires all processed foods to contain labels showing nutritional information.

(Consumer protection legislation)

Front 83

Telephone Consumer Protection Act (1991)

Back 83

Establishes procedures to avoid unwanted telephone solicitations; prohibits marketers from using an automated telephone dialing system or an artificial or prerecorded voice to certain telephone lines.

(Consumer protection legislation)

Front 84

Children's Online Privacy Protection (2000)

Back 84

Regulates the online collection of personally identifiable information (name, mailing address, emailing address, hobbies, interests, or information collected through cookies) from children under age 13.

(Consumer protection legislation)

Front 85

Do Not Call Implementation Act (2003)

Back 85

Directs the Federal Communications Commission (FCC) and the FTC to coordinate so that their rules are consistent regarding telemarketing call practices, including the Do Not Call Registry and other lists, as well as call abandonment.

(Consumer protection legislation)

Front 86

Credit Card Act (2009)

Back 86

Implements strict rules on credit card companies regarding topics such as issuing credit to youths, terms disclosure, interest rates, and fees.

Front 87

Dodd-Frank Wall Street Reform and Consumer Protection Act (2010)

Back 87

Promotes financial reform to increase accountability and transparency in the financial industry, protects consumers from deceptive financial practices, and established the Bureau of Consumer Financial Protection.

(Consumer protection legislation)

Front 88

Lanham Act (1946)

Back 88

Provides protections and regulation of brand names, brand marks, trade names, and trademarks.

Front 89

Digital Millennium Copyright Act (1998)

Back 89

Refines copyright laws to protect digital versions of copyrighted materials, including music and movies.