Marketing Final

Front 1

marketing

Back 1

activity for creating, communicating, delivering and exchanging offerings that benefit the organization, its stockholders, and society at large.

Front 2

requirements for marketing to occur

Back 2

-two or more parties with unsatisfied needs
-desire and ability to satisfy these needs
-a way for the parties to communicate
-something to exchange

Front 3

the four Ps: controllable marketing mix factors

Back 3

-product
-price
-promotion
-place

Front 4

environmental forces

Back 4

-social
-economic
-technological
-competitive
-regulatory

Front 5

customer value

Back 5

the unique combination of benefits received by targeted buyers that includes quality, convenience, on-time delivery, and both before-sale and after-sale service at a specific price.

Front 6

relationship marketing

Back 6

-the hallmark of developing and maintaining effective customer relationships, linking the organization to its individual customers, employees, suppliers, and other partners for their mutal long-term benefits

Front 7

marketing program

Back 7

a plan that integrates the marketing mix to provide a good, service, or idea to prospective buyers

Front 8

market orientation

Back 8

an organization that has a market orientation focuses its efforts on
1. continuously collecting information about customers' needs
2. sharing this information across departments
3. using it to create customer value

Front 9

customer relationship management

Back 9

the process of identifying prospective buyers, understanding them intimately, and developing favorable long-term perceptions of the organization and its offerings so that buyers will choose them in the marketplace

Front 10

customer experience

Back 10

-foundation of CRM
-the internal response that customers have to all aspects of an organization and its offering.
-includes both the direct and indirect contacts of the customer with the company

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organization

Back 11

a legal entity of people who share a common mission

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business firm

Back 12

privately owned organization that serves its customers in order to earn a profit so that it can survive

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nonprofit organization

Back 13

a nongovernmental organization that serves its customers but doesn't have profit as an organizational goal.

Front 14

corporate level

Back 14

-where top management directs overall strategy for the entire organization
-usually the board of directors

Front 15

strategic business unit level

Back 15

-refers to a subsidiary, division, or unit of an organization that markets a set of related offerings to a clearly defined group of customers
-managers set a more specific strategic direction for their businesses to exploit value-creating opportunities

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functional level

Back 16

-where groups of specialists actually create value for the organization
-where the organization's strategic direction becomes its most specific and focused

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core values

Back 17

-the fundamental, passionate, and enduring principles that guide an organization's conduct over time

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goals or objectives

Back 18

statements of an accomplishment of a task to be achieved, often by a specific time

Front 19

different marketing goals

Back 19

-profit
-sales
-market share
-quality
-customer satisfaction
-employee welfare
-social responsibility

Front 20

organizational culture

Back 20

a set of values, ideas, attitudes, and norms of behavior that is learned and shared among the members of an organization.

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mission

Back 21

-a statement of an organization's function in society, often identifying its customers, markets, products, and technologies.

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business

Back 22

describes the clear, broad, underlying industry category or market sector of an organization's offering.

Front 23

strategic marketing process

Back 23

-whereby an organization allocates its marketing mix resources to reach its target markets
-three phases
1. planning
2. implementation
3. evaluation

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planning phase

Back 24

1. situation analysis
2. market-product focus and goal setting.
3. marketing program

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situation analysis

Back 25

taking stock of where the firm or product has been recently, where it is now, and where it is headed in terms of the organization's plans and the external factors and trends affecting it.

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SWOT analysis

Back 26

-acronym describing an organization's appraisal of its internal strengths and weaknesses and its external opportunities and threats.
-based on an exhaustive study that
1. identifies industry trends
2. analyzes competitors
3. assesses own company
4. researches customer

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implementation phase

Back 27

1. obtaining resources
2. designing the marketing organization
3. developing schedules
4. actually executing the marketing program designed in the planning phase

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marketing strategy

Back 28

the means by which a marketing goal is to be achieved, usually characterized by a specified target market and a marketing program to reach it.

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marketing tactics

Back 29

detailed day-to-day operational decisions essential to the overall success of marketing strategies

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evaluation phase

Back 30

marketing manager is required to
1. compare the results of the marketing program with the goals in the written plans to identify deviations
2. act on these deviations, correcting negative deviations and exploiting positive ones.

Front 31

environmental scanning

Back 31

the process of continually acquiring information on events occurring outside the organization to identify and interpret potential trends

Front 32

sources of environmental trends

Back 32

1. social
2. economic
3. technological
4. competitive
5. regulatory forces

Front 33

demographics

Back 33

describing a population according to selected characteristics such as age, gender, ethnicity, and occupation

Front 34

baby boomers

Back 34

-born between 1946 and 1964
-78 million
-account for 56-58% of purchases in most consumer product and service categories

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generation x

Back 35

-15% of population born between 1965 and 1976
-baby bust
-self-reliant, supportive of racial and ethnic diversity, and better educated than any previous generation
-cautious, pragmatic, and traditional lifestyles
-first generation to have less net worth than previous generation

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generation y

Back 36

-72 million americans born between 1977 and 1994
-echo-boom or baby boomlet
-exerts influence on music, sports, computers, video games, and especially cell phones
-wireless communication is a lifeline
-attracted to purposeful work where they have control

Front 37

culture

Back 37

-a social force that incorporates the set of values, ideas, and attitudes that are learned and shared among the members of a group

Front 38

value consciousness

Back 38

the concern for obtaining the best quality, features, and performance of a product or service for a given price

Front 39

economy

Back 39

-second component of the environmental scan
-pertains to the income, expenditures, and resources that affect the cost of running a business and household.

Front 40

gross income

Back 40

the total amount of money made in one year by a person, household, or family unit

Front 41

disposable income

Back 41

the money a consumer has left after paying taxes to use for food, shelter, clothing, and transportation

Front 42

discretionary income

Back 42

-the money that remains after paying for taxes and necessities
-used for luxury items

Front 43

technology

Back 43

-the third environmental force
-refers to inventions or innovations from applied science or engineering research

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intranet

Back 44

an internet-based network used within the boundaries of an organization

Front 45

extranet

Back 45

permits communication between a company and its supplier, distributors, and other partners

Front 46

competition

Back 46

-fourth component of the environmental scan
-refers to the alternative firms that could provide a product to satisfy a specific market's needs

Front 47

pure competition

Back 47

-every company has a similar product
-distribution is important but other elements of marketing have little impact

Front 48

monopolistic competition

Back 48

-the many sellers compete with their products on a substitutable basis
-coupons or sales are frequently used marketing tactics

Front 49

oligopoly

Back 49

-occurs when a few companies control the majority of industry sales

Front 50

pure monopoly

Back 50

-occurs when only one firm sells the product
-common for producers of goods considered essential to a community
-typically, marketing plays a small role because it is regulated by the state or federal government.
-government usually seeks to ensure price protection for the buyer

Front 51

regulation

Back 51

-consists of restrictions state and federal laws place on business with regard to the conduct of its activities
-exists to protect companies as well as customers

Front 52

sherman antitrust act

Back 52

forbids
1. contracts, combinations, or conspiracies in restraint of trade
2. actual monopolies or attempts to monopolize any part of trade or commerce

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clayton act

Back 53

-supplements the sherman antitrust act
-forbids certain actions that are likely to lessen competition, although no actual harm has yet occurred

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the patent law

Back 54

-protects a company's competitive position in new and novel products
-gives inventors the right to exclude others from making, using, or selling products that infringe the patented invention

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the copyright law

Back 55

gives the author of a literary, dramatic, musical, or artistic work the exclusive right to print, perform, or otherwise copy that work
-copyrighting automatically when the work is created

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consumerism

Back 56

a grassroots movement started in the 1960s to increase the influence, power, and rights of consumers in dealing with institutions

Front 57

lanham act

Back 57

provides for registration of a company's trademarks

Front 58

trademark law revision act

Back 58

resulted in a major change to the lanham act, allowing a company to secure rights to a name before actual use by declaring an intent to use the name

Front 59

federal dilution act

Back 59

used to prevent someone from using a trademark on a noncompeting product

Front 60

exclusive dealing

Back 60

-an arrangement a manufacturer makes with a reseller to handle only its product and not those of competitors.
-only illegal when it substantially lessen competition

Front 61

requirement contracts

Back 61

-require a buyer to purchase all or part of its needs for a product from one seller for a period of time
-legality depends of the courts interpretation of their impact on distribution

Front 62

exclusive territorial distributorships

Back 62

-often under regulatory scrutiny
-a manufacturer grants a distributor the sole rights to sell a product in a specific geographical area

Front 63

tying arrangement

Back 63

-a seller requires the purchases of one product to also buy another item in the line
-may be illegal when the seller has such economic power in the typing product that the seller can restrain trade in the tied product

Front 64

FTC Act of 1914

Back 64

-established the federal trade commission
-concerned with deceptive or misleading advertising and unfair business practices
-has the power to
1. issue cease and desist orders
2. order corrective advertising

Front 65

self-regulation

Back 65

-where an industry attempts to police itself
-the better business bureau is the best-known self-regulatory grouop

Front 66

ethics

Back 66

-the moral principles and values that govern the actions and decisions of an individual or group
-they serve as guidelines on how to act rightly and justly when face with moral dilemmas

Front 67

laws

Back 67

-society's values and standards that are enforceable in the courts

Front 68

business cultures

Back 68

comprise the effective rules of the game, the boundaries between competitive and unethical behavior, and the codes of conduct in business dealings

Front 69

caveat emptor

Back 69

-legal concept meaning "let the buyer beware"

Front 70

consumer bill of rights

Back 70

-outlined by president john f. kennedy
-codified the ethics of exchange between buyers and sellers.
-the right to
1. safety
2. be informed
3. choose
4. be heard

Front 71

economic espionage

Back 71

-the clandestine collection of trade secrets or proprietary information about a company's competitor
-most prevalent in high-technology industries

Front 72

corporate culture

Back 72

-the set of values, idea, and attitudes that is learned and shared among the members of an organization

Front 73

code of ethics

Back 73

a formal statement of ethical principles and rules of conduct

Front 74

moral idealism

Back 74

a personal more philosophy that considers certain individual rights or duties as universal, regardless of the outcome

Front 75

utilitarianism

Back 75

a personal moral philosophy that focuses on "the greatest good for the greatest number" by assessing the costs and benefits of the consequences of ethical behavior

Front 76

social responsibility

Back 76

-means that organizations are part of a larger society and are accountable to that society for their actions.
-three concepts
1. profit responsibility
2. stakeholder responsibility
3. societal responsibility

Front 77

ISO 14000

Back 77

consists of worldwide standards for environmental quality and green marketing practices

Front 78

social audit

Back 78

a systematic assessment of a firm's objectives, strategies, and performance in terms of social responsibility

Front 79

sustainable development

Back 79

involves conducting business in a way that protects the natural environment while making economic progress

Front 80

consumer behavior

Back 80

the actions a person takes in purchasing and using products and services, including the mental and social processes that come before and after these actions

Front 81

purchase devision process

Back 81

-the stages a buyer passes through in making choices about which product and services to buy
1. problem recognition
2. information search
3. alternative evaluation
4. purchase decision
5. postpurchase behavior

Front 82

internal search

Back 82

-memory scan for previous experiences with products or brands

Front 83

external search

Back 83

-needed when past experience or knowledge is insufficient, the risk of making a wrong purchase decision is high, and the cost of gathering info is low
-primary sources are
1. personal sources
2. public sources
3. marketer-dominated sources

Front 84

evaluative criteria

Back 84

represent both the objective attributes of a brand and the subjective ones you use to compare different products and brands

Front 85

consideration set

Back 85

the group of brands that a consumer would consider acceptable from among all the brands in the product class of which he or she is aware

Front 86

cognitive dissonance

Back 86

feeling of post-purchase psychological tension or anxiety

Front 87

extended problem solving

Back 87

-each of the five stages of the consumer purchase decision process is used in the purchase
-several brands in consideration set
-exists in high-involvement purchase situations

Front 88

limited problem solving

Back 88

-customers typically seeks some info or rely on a friends to help evaluate alternatives
-several brands may be evaluated

Front 89

routine problem solving

Back 89

spend little effort seeking external info and evaluating alternatives
-low involvement decision making

Front 90

situational influences

Back 90

1. the purchase task
2. social surroundings
3. physical surroundings
4. temporal effects
5. antecedent states

Front 91

motivation

Back 91

the energizing force that stimulates behavior to satisfy a need

Front 92

straight rebuy

Back 92

the buyer or purchasing manager reordrs an existing product or service from the list of acceptable suppliers

Front 93

modified rebuy

Back 93

the users, influencers, or deciders in the buying center want to change the product specifications, price, delivery, schedule, or supplier

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new buy

Back 94

first-time buyer of product or service

Front 95

users

Back 95

people in buying center who actually use the product or service

Front 96

influencers

Back 96

in buying center, usually help define the specifications for what is bought

Front 97

buyers

Back 97

in buying center, have formal authority and responsibility to select the supplier and negotiate the terms of the contract

Front 98

deciders

Back 98

in buying center, have the formal or informal power to select or approve the supplier that receives the contract

Front 99

gatekeepers

Back 99

in buying center, control the flow of information in the buying center

Front 100

ISO 9000

Back 100

refer to standards for registration and certification of a manufacturer's quality management and assurance system based on an on-site audit of practices and procedure.

Front 101

organizational buyers

Back 101

-those manufacturers, wholesalers, retailers, government agencies that buy goods and services for their own use or for resale
-three markets
1. industrial
2. reseller
3. government markets

Front 102

organizational buying behavior

Back 102

the decision-making process that organizations use to establish the need for product and services and identify, evaluate, and choose among alternative brands and suppliers.

Front 103

cross-cultural analysis

Back 103

involves the study of similarities and differences among consumers in two or more nations or societies.

Front 104

values

Back 104

represent personally or socially preferable modes of conduct or states of existence that tend to persist over time

Front 105

customs

Back 105

what is considered normal and expected about the way people do things in a specific country

Front 106

cultural symbols

Back 106

things that represent ideas and concepts

Front 107

semiotics

Back 107

examines the correspondence between symbols and their role in the assignment of meaning for people.

Front 108

consumer ethnocentrism

Back 108

tendency to believe that it is inappropriate, indeed immoral, to purchase foreign-made products.

Front 109

multidomestic marketing strategy

Back 109

used by multinational firms, they have as many different product variations, brand names, and advertising programs as countries in which they do business

Front 110

global marketing strategy

Back 110

the practice of standardizing marketing activities when there are cultural similarities and adapting them when cultures differ

Front 111

global brand

Back 111

a brand marketed under the same name in multiple countries with similar and centrally coordinated marketing programs

Front 112

product extension

Back 112

selling virtually the same product in other countries

Front 113

product adaptation

Back 113

changing a product in some way to make it more appropriate for a country's climate or consumer preferences

Front 114

product invention

Back 114

when companies invent totally new products designed to satisfy common needs across countries

Front 115

secondary data

Back 115

facts and figures that have already been recorded before the project at hand

Front 116

primary data

Back 116

facts and figures that are newly collected

Front 117

external secondary data

Back 117

published material outside the organization

Front 118

semantic differential scale

Back 118

a five-point scale in which the opposite ends have on or two word adjectives that have opposite meanings.

Front 119

data mining

Back 119

the extraction of hidden predictive info from large databases

Front 120

way to segment markets

Back 120

geographic, demographic,psychographic, behavioral: product features, behavioral: usage rate

Front 121

product positioning

Back 121

refers to the place an offering occupies in consumers' minds on important attribute relative to competitive products

Front 122

product repositioning

Back 122

changing the place an offering occupies in a consumer's mind relative to competitive products

Front 123

differentiation positioning

Back 123

involves seeking a less-competitive, smaller market niche in which to locate a brand

Front 124

head-to-head positioning

Back 124

involves competing directly with competitors on similar product attributes in the same target market

Front 125

product mix

Back 125

number of product lines offered by a company

Front 126

product line

Back 126

-a group of product that are closely related because they satisfy a class of needs, are used together, are sold to the same customer group, are distributed through the same type of outlets, or fall within a given price range
-ex). nike's product line includes shoes and clothes

Front 127

convenience goods

Back 127

items that the consumer purchases frequently, conveniently, and with a minimum of shopping effort

Front 128

newness with existing products

Back 128

if a product is functionally different from existing products

Front 129

product class

Back 129

refers to the entire product category or industry

Front 130

product form

Back 130

-pertains to variations within the product class
-ex). for recorded music, product form exists in the technology used to provide the music such as cassette tapes, compact discs, and digital music players.

Front 131

branding

Back 131

when an org uses a name, phrase, design, symbol, or combo to identify its products and distinguish them form those of competitors

Front 132

product repositioning

Back 132

changing the place an offering occupies in a consumer's mind relative to competitive products

Front 133

differentiation positioning

Back 133

involves seeking a less-competitive, smaller market niche in which to locate a brand

Front 134

head-to-head positioning

Back 134

involves competing directly with competitors on similar product attributes in the same target market

Front 135

product mix

Back 135

number of product lines offered by a company

Front 136

product line

Back 136

-a group of product that are closely related because they satisfy a class of needs, are used together, are sold to the same customer group, are distributed through the same type of outlets, or fall within a given price range
-ex). nike's product line includes shoes and clothes

Front 137

convenience goods

Back 137

items that the consumer purchases frequently, conveniently, and with a minimum of shopping effort

Front 138

newness with existing products

Back 138

if a product is functionally different from existing products

Front 139

product class

Back 139

refers to the entire product category or industry

Front 140

product form

Back 140

-pertains to variations within the product class
-ex). for recorded music, product form exists in the technology used to provide the music such as cassette tapes, compact discs, and digital music players.

Front 141

branding

Back 141

when an org uses a name, phrase, design, symbol, or combo to identify its products and distinguish them form those of competitors

Front 142

brand name

Back 142

any word, device, or combo of these used to distinguish a seller's goods or services

Front 143

trade name

Back 143

a commercial, legal name under which a company does business

Front 144

trademark

Back 144

identifies that a firm has legally registered its brand name or trade name so the firm has its exclusive use

Front 145

brand personality

Back 145

a set of human characteristics associated with a brand name

Front 146

brand equity

Back 146

the added value a brand name gives to a product beyond the funftional benefits provided