IB Business and Management Marketing 4.3 PRODUCT – Flashcards

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Boston Matrix
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Is a tool for analysing the product portfolio of a business. It measures whether products have a high or low MARKET SHARE and operate in HIGH or LOW GROWTH industries.
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Brand development
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Is a long-term product strategy that involves strengthening the name and image of a brand in order to boost its sales.
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Brand extension
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Refers to the use of an existing brand name that is successful to launch a new or modified product.
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Branding
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Refers to the use of an exclusive name, symbol or design to identify a specific product or business. It is used to differentiate itself from similar products used by rival firms.
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Cash cow
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Is a term used by the BCG Matrix to refer to any product that generates significant sales revenue due to its large market share in a slowly expanding or mature market.
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Consumer goods
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Are items bought by the final user for their own personal consumption. Examples include CONSUMER DURABLES (such as furniture, computers and cars) and PERISHABLES (such as flowers and food)
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Differentiation
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Refers to any strategy used to make a product appear to be dissimilar from others. Examples include quality, branding and packaging.
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Product differentiation
answer
Refers to any strategy used to make a product appear to be dissimilar from others. Examples include quality, branding and packaging.
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Extension strategy
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Is an attempt by marketers to lengthen the product life cycle of a particular product. Such strategies are typically used during the maturity or early decline stages of a product's life cycle.
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Generic brands
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Are trademarks that have become synonymous with the name of the product itself. Examples include Coke, Rollerblade, Tipp-Ex and Frisbee.
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New product development (NPD)
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Is the process of getting the latest products on to the market. The easiest way is by making small improvements to existing products. Alternatively, a business could develop and launch entirely new products.
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Marketing myopia
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Refers to the short-sightedness and complacency of marketers in adapting to changes in the market place. This may be especially true of product orientated businesses.
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Product
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A broad term that refers to any physical or non physical item that is purchased by either commercial or private customers.
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Product line
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Describes the varieties of of a particular product that serves the same purpose in a particular market. For example there are many different varieties of the BMW Mini, ranging from the basic model to the top of the range Mini Cooper S.
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Product mix
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Describes the variety of different product lines that a business produces.
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Product life cycle
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Is the typical process that products go through from their initial design and launch to their decline and withdrawal from the market.
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Six stages of the product life cycle
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Research. Launch. Growth. Maturity. Saturation. Decline.
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Product portfolio
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The range of products or strategic business units owned and developed by an organisation.
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Product range
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All product lines of a firm's product mix; i.e. all the products sold by the business.
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Stars
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Are products in the BCG Matrix that have high or rising market share in a high growth market.
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Strategic business unit (SBU)
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Are businesses or divisions owned by a firm that operate as independent profit centres. Each SBU is in charge of a certain product or product portfolio.
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Family branding
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A marketing strategy that involves selling several related products under one brand name (also known as umbrella branding).
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Product branding
answer
Each individual product in a portfolio is given its own unique identity and brand image (also known as individual branding).
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Company or corporate branding
answer
The company name is applied to products and this becomes the brand name.
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Own-label branding
answer
Retailers create their own brand name and identity for a range of products.
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Manufacturer's brands
answer
Producers establish the brand image of a product or family of products, often under the company's name.
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Brand
answer
An exclusive name, symbol or design used to identify a specific product or business.
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question
Boston Matrix
answer
Is a tool for analysing the product portfolio of a business. It measures whether products have a high or low MARKET SHARE and operate in HIGH or LOW GROWTH industries.
question
Brand development
answer
Is a long-term product strategy that involves strengthening the name and image of a brand in order to boost its sales.
question
Brand extension
answer
Refers to the use of an existing brand name that is successful to launch a new or modified product.
question
Branding
answer
Refers to the use of an exclusive name, symbol or design to identify a specific product or business. It is used to differentiate itself from similar products used by rival firms.
question
Cash cow
answer
Is a term used by the BCG Matrix to refer to any product that generates significant sales revenue due to its large market share in a slowly expanding or mature market.
question
Consumer goods
answer
Are items bought by the final user for their own personal consumption. Examples include CONSUMER DURABLES (such as furniture, computers and cars) and PERISHABLES (such as flowers and food)
question
Differentiation
answer
Refers to any strategy used to make a product appear to be dissimilar from others. Examples include quality, branding and packaging.
question
Product differentiation
answer
Refers to any strategy used to make a product appear to be dissimilar from others. Examples include quality, branding and packaging.
question
Extension strategy
answer
Is an attempt by marketers to lengthen the product life cycle of a particular product. Such strategies are typically used during the maturity or early decline stages of a product's life cycle.
question
Generic brands
answer
Are trademarks that have become synonymous with the name of the product itself. Examples include Coke, Rollerblade, Tipp-Ex and Frisbee.
question
New product development (NPD)
answer
Is the process of getting the latest products on to the market. The easiest way is by making small improvements to existing products. Alternatively, a business could develop and launch entirely new products.
question
Marketing myopia
answer
Refers to the short-sightedness and complacency of marketers in adapting to changes in the market place. This may be especially true of product orientated businesses.
question
Product
answer
A broad term that refers to any physical or non physical item that is purchased by either commercial or private customers.
question
Product line
answer
Describes the varieties of of a particular product that serves the same purpose in a particular market. For example there are many different varieties of the BMW Mini, ranging from the basic model to the top of the range Mini Cooper S.
question
Product mix
answer
Describes the variety of different product lines that a business produces.
question
Product life cycle
answer
Is the typical process that products go through from their initial design and launch to their decline and withdrawal from the market.
question
Six stages of the product life cycle
answer
Research. Launch. Growth. Maturity. Saturation. Decline.
question
Product portfolio
answer
The range of products or strategic business units owned and developed by an organisation.
question
Product range
answer
All product lines of a firm's product mix; i.e. all the products sold by the business.
question
Stars
answer
Are products in the BCG Matrix that have high or rising market share in a high growth market.
question
Strategic business unit (SBU)
answer
Are businesses or divisions owned by a firm that operate as independent profit centres. Each SBU is in charge of a certain product or product portfolio.
question
Family branding
answer
A marketing strategy that involves selling several related products under one brand name (also known as umbrella branding).
question
Product branding
answer
Each individual product in a portfolio is given its own unique identity and brand image (also known as individual branding).
question
Company or corporate branding
answer
The company name is applied to products and this becomes the brand name.
question
Own-label branding
answer
Retailers create their own brand name and identity for a range of products.
question
Manufacturer's brands
answer
Producers establish the brand image of a product or family of products, often under the company's name.
question
Brand
answer
An exclusive name, symbol or design used to identify a specific product or business.