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163 Cards in this Set

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marketing dashboard

the visual computer display of essential marketing informaion

marketing metric

measure of the value or red of marketing activity

business portfolio analysis is used to

quantify performance measures and growth targets of their firms strategic business units

business portfolio analysis BCG matrix

star, question marks, cash cows, dogs

diversification alaysis

search for growth opportunity among current and new products and markets

Product market strategies- diversification analyis

1. market penetration, 2. product development, 3. market development, 4. diversification

market penetration

more ben and jerry super premium ice cream to america

product development

new product such as children clothing by ben and jerry to merica

market development

elling ince cream to brazil for first timee

diversification

new product, new area

strategic marketing process

when an organization allocates its marketing mix resources to reach its target market

Phases of strategic planning

1. SWOT


2. market-product focus and goal setting


3. marketing program

situation analysis

taking stock of where a firm or product has been recently, where it is now, and where it is headed

market segmentation

the sorting of potential buyers into groups tat have common needs and respond similarly to a marketing action

point of difference

characteristics of a product that make it superior to competitive substitutes

competitive advantage vs points of difference

competitive advantage are strengths of the whole organizations, points of fiference are products

marketing strtategy

the means by which a marketing goals is to be achieved

marketing tatics

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

a planning gap

represents the difference between the projection of the path to reach a new goal and the projection of the path of the results of a plan already in place



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

enviromenal scanning

relative size of population:


baby boomers


genx


gen y

76 million


15%


72 million

marketing programs that reflect unique aspects of different races

multicultural marketing

pertains to the income and resources that affect cost of running a business or household

economy

the money consumer has left after paying taxes for necestties

disposable income

the money that remains after paying for taxes and necessities- ettertainment

discresionary income

an information and communication based electronic exchange

marketspace

alternative firms that could provide a product to satisfy a specific markets needs

competition

many sellers with similar products: white, brie, grain

pure competition

many sellers compete with substitutable process with in a price range: if the price of coffee is too high, many may witch to tea

monopolistic competition

few companies control the majority of an industry: wireless telepgone

oligopoly

one firm sells the product: ex. microsoft

pure monopoly

4 basic forms of competition

pure competition, monopolistic competition, oligopoly, pure monopoly

sherman act

to protect comeptition

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

consumerusm

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

business culture

the consumer bill of rights grants consumers four rights:

safety, be informermed, choose, be heard

a formal statement of ethical principles and rules of conduct

code of ethics

the idea that organizations are part of a larger society and are accountable to that society for their actions

social responsibility

marketing efforts to produce, promote, and reclaim environmentally sensitive products

green marketing

tying th charitable contributions of a firm directly to sales produced through the promotion of one of its products

cause marketing

the stages a buyer passes through in making choices about which products or services to buy

purchase decision process

5 steps in purchase decision process

1. problem recognition


2. info seeking


3. alternative evaluation


4. purchase decision


5. post purchase behavior

two sources of info are

internal and external

internal source of info VS external




internal- scanning memory for previous experiences with products


external- taking info from PERSONAL, PUBLIC, MARKET DOMINATED sources



when do consumers engage in external search?

when internal search is insufficient, when risk of making wrong decision is high, cost of gathering info is low

the group of brands that you would consider from among all brands of which you are aware in the product class

consideration set

comparing it with his or her expectations; either satisfied or dissatisfied



postpurchase behavior

the feeling of post purchase psychological tension or anxiety

cognitive dissonance

the personal, social, and economic significance of a purchase to the consumer

involvement

Three types of problem solving

extended, limited, routine



five types of situational influences

1. the purchase task


2. social surrounding


3. physical surrounding


4. temporal effects


5. antecedent states



occurs when people pay attention to messages that are consistent with their attitudes and beliefs

selective exposure




interpreting information so that its consistent with attitudes and beliefs

selective comprehension

consumers do not remember all information they see, read or hear

selective retention

the anxiety felt when a consumer cannot anticipate possible negative outcomes of a purchase

perceived risk

how can a company overcome perceived risk?

obtaining seals of approval and securing endorsements from influential people

behaviors that result from repeated experience

learning

a favorable attitude toward and consistent purchase of a single brand over time

brand loyalty

individuals who have social influence over others

opinon leader

people to whom someone looks as a basis for self-appraisal/ source of personal standards

reference group

Three tyoes of reference groups

membership group


aspiration group


dissociative group

a familys progression from formation to retiremtn, each phase bringing with it distinct ourchasing behaviors

family life cycle

the marketing of products and services toirms, governments, or not for profit organztions

business markeitng

manufacturers, wholesalers, retailers and gov agencies that buy for resale

organizational buyers

organizational buyers come in three markets:

industrial, resller, government

industrial markets VS reseller amrkets

industrial markets reprocess a product before resale

the demand for industrial products and services is driven by the demand for consumer products and services

derived demand

the group of people in an organization that participates in the buying process

buying center

buying enter roles:

users, influencers, buyers, deciders, gatekeepers

gatekeepers

control the flow of information in the buying center

three types of organizational buying situations

straight buy, modified rebut, new buy

straight buy

the buyer records an eisting product or sevice from the list of acceptable suppliers. short decision time, one person involved, ex: office supplies

modified rebuy

the users, influencers, or decidered in the buying center want to charge the

online trading communities that bring together buyers and suppliers

e-marketplaces

traditional auction VC reverse auction

traditional- involved one seller and many buyers, reverse-one buyer many sellers

the orioles if collecting and analyzing information in order to recommend actions

market research

5 steps if marketing research process

1. define problem


2. develop research plan


3. collect relevant info


4. develop findings


5. take marketing action

critera or standards used in evaluating proposed solutions to a problem

measures of success

a picture or verbal description of a product or service the firm might offer for saile

new-product concept

selecting a group of distributers, customers, or prospects and asking questions and

sampling

generalizing the results from the sample to much larger groups of distributors, customers, or prospects

statistical inference

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

seondary data

facts and figures that are newly collected for a project

primary data

facts and figures obtained by watching, either mechanically or in person, how people behave

observational data

facts and figures obtained by asking people about their attitudes, awareness, invention, and behviors

questionairre data

asking lightly, free flowing kinds of questions to probe underlying feelings an ideas

debth interbiews

informal sessions of 6 to 10 people, in which a moderator asks their opinons

focus groups

the total sales of a product that a firm expects to sell during a specified time period under specified conditions

sales ofrecast

starting with the last known value of the item being forecast, listing the factors that could affect the forecast, assessing whether impact is positive or negative, and making a final forecast

lost horse forecast

drawing a line to fit the past sales data and project it into the future to give forecast values

linear trend extapolation

market segment is

aggregates potential buyers into groups that have common needs and will respond similariyl

the strategy of using different marketing mix actives to help consumers perveive a product as being different and better than competing products

product dofferentiation

the increased customer value achieved through performing organization functions such as marketing or manufacturing more efficiently

organixational synergy

when new products/ new chains steal customers and sales from older, existing ones

canabalization

5 steps involved with segmenting a market

1.group potential buyers into segments


2. group products to be sold into categories


3. develop a market-product grid and estimate size of market


4. select target market


5. take marketing action

4 ways to segment a consumer market

geographic, demographic, phyographic, behaviorl

quatity consumed/number of stored cisits during a specific period

usage rate

80/20 rule is

the idea that 80% of a firms sales are obtained from 20% of its customers

a framework relating the segments of marketing to products or marketing actions of the firm

market-product grid

the place of a product occupies in consumers minds based on important features relative to competitive products

product postioning

changing the place a product occupies in consumers minds relative to competitive products

product repositioning

a means of displaying the position of products or brands in consumers minds

perceptual map

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

head to head positioning

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

differntation positioning

items that are purchased frequently and with minimum shopping effort

convenience good

items that are compared to several later naives on criteria such as price and quality

shopping

items that a consumer makes a special effort ro seek out and buy

specialty

four I's of service

intagibility, inconsistency, inseparability, inventory

inconsistency

services depend on the people who provide them

inserparability

the consumer cannot distinguish the serve provider from the service itself

inverntory

goods have handling costs that relate to storage

when the service provider is available but there is no demand for the service

idle production capacity

a specific product that has a unique brand, size, or price

product item

a group of products that are closely related because they are similar in terms of consumer needs, sales units, prices

product line

all the product lines offered by a company

product mix

continuous innovation

requires no new learning

dynamically continuous unnovation

does not require totally new learning i.e.: electronic toothbrush

disscontinuous innovation

requires new learning and cusomuotion patterns eX: electric car

the seven stages an organization goes through to identify business opportunities and convert them into stable products or services is called

the new product process

stages of the new product process

1. new product strategy development


2. idea generation


3.screening and evaluation


4. business analysis


5. development


6. market testin


7. commercial native

market testing

is the stage of the new product life cycle that involves exposing actual products to persective customer in realistic purchase decisions

what is the product life cycle

the stages a new product goes through in a market place: introduction, growth, maturity, decline

introduction


growth


maturity


decline

intro: gain awareness


growth: stress differntiation (profit peaks between growth and maturity)


maturity: maintain brand loyalty (sales peak at the end)


decline: harvey deletion

primary demand

the desire for the product class rather than for a specific brand, since there are few competitors with the same product

setting the highest initial price that customers who really desire the product are willing to pay

skimming pricing strategy

penetration pricing strategy

setting a low initial price to build mass market. pricing low to help build volume, but company must cover monitor costs

product deletion

most dramtic strategy

harvesting

company retain the product but reduces marketing costs

diffusion of innovation

when a product diffuses or spreads through the population

a set of human characteristics associated with a brand name

brand personality

brad equity

the added value a brand name gives to a product

5 common criteria for selecting a good brand name

1. should ugg4=est the product benefits


2. memorable and distinctive


3. fit the companies product image


4. no legal or regulatory restrictions


5. shimple and emotional

combines corporate. family brand with a new brand

subbranding

the practice of adding a current brand name to enter a new market segment in it product class

brand extension

Three new P's

people, physical environment, process

integrating the service component of the new marketing mix with efforts to influence consumer demand.

capacity management

demand oriented arrogates to pricing

skimming, penetration, prestige, dd-even, target, bundle, yield management

prestige

high price so that quality and status conscious customers buy

odd even

setting prices under a few cents

target

estimate price consumer is willing to pay

bundle

marketing of 2 or more products in a single package price

yeild manaement

changing of different prices to maximize revenue at a given time i.e.. american airlines

cost oriented approaches to pricing

standard markup, cost plus

adding a fixed % to the cost of all items in a specific product class

standard markup

summing the total unit cost of providing a product or secure and adding specific amount to the cost to arrive at a price

cost plus

profit oriented approaches to pricing

target profit, target return on sales, target return on investment

target profit

when a firm sets an annual target of a specific dollar volume of profit

target return on sales

sets prices that will give them a profit that is specified % of sales volume

competition oriented approaches to pricing

customary, above market, at market ,below market, loss leader

customary

tradition, a standardized channel of distribution to other comp factors dictate price EX candy bar

loss leader

selling products below its customary price to attract attention

price elasticity of demnad

promotion and placeprice

the % change in the quality demanded relative to a percentage change in price

elastic demand iswhich elements cause a shift in demand curve?

which elements of the marketing miix cause a movement along the demand curve?

aslight decrease in price results in large increase in demand

the more substitutes a product has, the more

elastic it is

2 or more competitors collude to explicitly or implicitly set prices

horizontal price fixing

vertical price fixing

controlling agreements between independent buyers and sellers whereby sellers are required to not sell products below a minimum retail price

price discrimination

practice of changing different price to different buyers for good

deceptive pricing

price deals that mislead consumers

predatory priicing

charging a very low price for a product with the intent of driving competitors out of business

chanel conflict

when a channel member believes another channel member is engaged in behavior that prevents it from achieving goals

disintermediation

a channel conflict that arises when a channel member bypasses another member and sells/buy

three types of utility

1. time


2. place


3. form


4. possesion

time


place


form


possesion

time: ensuring a produt is available when customer wants


place:where the customer purchases the product


form: value customer sees in the finished product


possesion: freedom to use product as it was indented or other use