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64 Cards in this Set
- Front
- Back
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company’s marketing environment
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the actors and forces outside of marketing that affect marketing management’s ability to develop and maintain successful transactions with its target customers
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Microenvironment consists of
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Suppliers
Company, Competitors Marketing Intermediaries Customers Public |
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Five Types of Customer Markets
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1. Consumer markets-(Individuals and households)
2. Industrial Markets-(Organizations further production) 3. Reseller Markets- (org. buy amd resell) 4. Government markets 5. International Markets- (all foreign buyers) |
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The Publics
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Groups that have an actual or potential interest in or impact on an organization’s ability to achieve its objectives
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Publics include
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Financial Publics
Media Publics Government Publics Citizen Action Publics Local Publics General Public Internal Public |
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Macroenvironmental Planning
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forecasting & planning for frequently uncontrollable externalities. (6)
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Macroenvironmental Markets
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Demographic
Economic Ecological Technological Political Cultural/Religious |
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Utility
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value that comes from satisfying human need
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Marketing provides
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time
place possession |
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Macro Definition of Marketing
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A social process that directs an economy’s flow of goods and services from producers to consumers in a way that effectively matches supply and demand and accomplishes the objectives of society
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Universal Functions of Macro-Marketing
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Buying Function
Selling Function Transporting Function Storing Function Standardization and Grading Financing Risk Taking Information Centralized Exchange System |
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Micro-Marketing
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The performance of activities that seek to accomplish an organization’s objectives by anticipating customer or client needs and directing a flow of need – satisfying goods and/or services from producer to the customer
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Marketing begins with
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needs of customers
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Five Principles of the Marketing Concept
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Take the customer’s point of view
Customer value Target customers Integrated marketing Build relationships with customer value Profitable sales |
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Take Customer's POV
(1 of 5) |
Henry Ford- determine price customers will pay first. price forces the cost down.
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The Value Concept
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Traditional Definition
Value = Quality/Price Modern Definition Value = Quality + Convenience + Service + Experience + Innovation/ Price |
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Marketing Orientation
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Customer needs paramount
Firm makes what it can sell Determine customer needs Tap new market opportunities Need satisfying features Coordinate all marketing activities Long-term relationship |
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Strategic Planning Process
(7 stages) 1-4 |
1. Define mission statement
2. Establish Key Business Units 3. Audit SBU's environment 4. Complete product portfolio analysis |
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Strategic planning process
(7 stages) 5-7 |
5. define goals and objectives
6. identify and select strategic alternative 7. develop marketing strategy |
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3. The Audit of a SBU (strategic business unit) includes...
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internal evalutation
competitive analysis environmental threats and oppurtunities |
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4. Complete product portfolio analysis includes...
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Growth Share Matrix
(market growth rate vs. relative market share) |
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Growth Share Matrix
Problem Children Dogs |
PC- high growth, low market share (questionable future, firms may be forced to leave market
Dogs- (low growth, low MS) very unattractive, maximize cash and get out |
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Growth Share Matrix
Cash Cows Stars |
¬¬CC- low growth, high MS
-very profitable -competitive strength in low growth market Stars- high growth, high market share -ideal/dominant -continuous market and product research |
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Three Fundamental Marketing Strategies
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-Cost leadership
-differentiation -focus |
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Four Basic types of oppurtunities
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market penetration
market development product development diversification |
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market penetration-
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present product
present market |
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market development
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present product
new markets |
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The Clayton Act (1914)
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-tying agreement
-exclusive agreement |
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Federal Trade Comission Act (1914)
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created federal trade commision
-enforce clayton act -eliminate monopolies in early stages |
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Why firms engage in price fixing
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-Chronic over-capacity
-Undifferentiated products -Lack of top management surveillance |
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Robinson - Patman Act
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Prevents any firm from selling to two or more different buyers within a reasonably short period of time, commodities of like grade and quality, at different prices where the result would be to substantially lessen competition
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In-home sales
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high pressure sales tactic used to take advantage of consumers
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The Cooling off rule
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gives consumer right to cancel in-home (or other location) sale of $25 or more. 3 business days
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Wheeler-Lea Act (1938)
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-amended FTC to include "unfair or deceptive acts unlawful"
-prohibits fraudulent advertising of goods, drugs, devices or cosmetics. |
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If the FTC finds an ad is deceptive
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-Affirmative Disclosure
-Corrective Advertising |
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How is a TM lost?
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-When it becomes generic
-Product dominates market (Cornflakes) -When it is not defended |
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FDA created 1906
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-Regulates drugs
-Food processing and warehousing -Cosmetics |
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Ponzi Scheme
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-Money taken from today’s investors is used to pay off debts to previous investors.
-Lured by promises of exorbitant profits. -Often coached to recruit additional investors. |
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Ponzi promise
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50% in 90 days
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Ponzi, modern day relatives
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multi-level marketing
pyramid schemes |
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Twin Underpinnings (2 most important) of Marketing
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-market segmentation
-product differentiation |
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3 Steps of Target Marketing
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market segmentation
market targerting market positioning |
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Marketing segmenting (1 & 2)
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1. identify bases for segmenting
2. develop patterns of resulting segments |
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Market targeting (3 &4)
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3. develop measure of segment alternatives
4. select target segment(s) |
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Market positioning (5 & 6)
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5. develop positioning for each target segment
6. develop market mix |
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4 requirements for effective segmentation
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1. measurability
2. accessibility 3. substantiality 4. actionability |
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Undifferentiated Marketing (targeting)
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product should be all things to all people (Hershey's bar)
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Differentiated Marketing (targeting)
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a few to many people (ford mustang)
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Concentrated Marketing (targeting)
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few things to a few people (rolex)
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Market Positioning (3 steps)
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1. identify competitive advantages
2. select the right competitive advantages 3. communicate- chosen position to targeted customers |
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MIS; developing information includes
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internal records
marketing intelligence market research information analysis |
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Marketing Research
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the function that links the consumer, customer, and public to the marketer through information.
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Why go through all the trouble of gathering marketing information? (7)
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1. growth of firm
2. growth of target markets 3. increased buyer sophistication 4. increased competition 5. increased government regulation 6. greater environmental uncertainty 7. greater need for internal accountability |
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Marketing Research process (4)
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1. define
2. develop 3. implement, analyze 4. report |
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Information analysis
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state of being
state of mind behavior intentions |
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Characteristics of Successful Marketing Research programs
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sci method, relevant, multiple methods, value and cost, healthy skepticism
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Secondary Data
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collected at a different time for different purpose. can be inside or outside company
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Primary Data collection methods
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questioning
qualitative- open ended survey- seeks a structured response |
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Experimental Method
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having researchers responses, experiment, see which works best
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Goal of a Focus group
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learn as much as you can without interfering
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Projective Techniques
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unstructured, word association, sentence completion, story completion
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Surveys- Key concepts
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Versatile
Relatively Low Cost Response Bias Non-participant problem Motivation |
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Survey Response rates
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mail- 47%
telephone- 72% personal- 80% |
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Principles of Test Marketing
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-don't overspend
-recognize that competitors watch -proper timing |
