question

Marketing

answer

study of exchange

question

Product Orientation

answer

"if we build it, they will come" focus on the efficient production of their products with no input from customers works when demand exceeds supply

question

Sales Orientation

answer

philosophy is to sell (i.e., persuade people to buy) what is made internally driven introduced the concept of communication—albeit one-way, to the customer

question

Customer Orientation

answer

that information about the market (e.g., potential customers, trends, competitors) is collected prior to making decisions that involve the selling process (e.g., what to sell, where to sell, how much to charge, how to promote the product). depends on a two-way relationship with customers where firms actively seek to discover unmet customer needs and then to satisfy them. "making what is desired or wanted" rather than "selling what we make."

question

3 things that characterize Customer Orientation

answer

1. customer focus 2. coordinated marketing effort 3. long-term success

question

Customer focus

answer

consistent and continuous effort to find out what is needed or wanted by customers

question

Coordinated Marketing effort

answer

that information about the customer or marketplace is shared throughout the organization. Other functional departments (e.g., research, finance, manufacturing) are partners in the effort to satisfy customer needs.

question

Long-term success

answer

Firms whose actions are customer-driven are better able to adapt to a dynamic marketplace, and they perform better in the long run

question

Relationship Marketing

answer

emphasizes the creation and maintenance of long-term relationships with all participants—customers, suppliers, retailers—in the exchange process

question

Marketing Concept

answer

entails discovering and identifying the customers' unmet needs, and then satisfying them. making a profit by serving the needs of customer groups

question

American Marketing Association definition of marketing

answer

"the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large"

question

4 components of a strategic plan

answer

1. mission 2. objectives 3. strategies 4. portfolio plan

question

key elements of mission statement

answer

1. Organization's history 2. Organization's distinctive competencies (what they do well) 3. The organization's environment

question

Present Products and Present Customers

answer

Market Penetration

question

Present Products and New Customers

answer

Market Development

question

New Products and Present Customers

answer

Product Development

question

New Products and New Customers

answer

Diversification

question

Market Penetration Strategies

answer

encouraging present customers to use more of the product, purchase more of the product, and directing programs at current participants

question

Market Development Strategies

answer

new customers to use its present products -Arm & Hammer continues to seek new uses for baking soda

question

Product Development

answer

offering different version of an existing product (mini Oreos), new and improved product (Gillette's newest razor), new way to use existing product (Vaseline Lip Therapy)

question

Diversification

answer

involves seeking new products for customers not currently being served

question

Strategies based on Competitive Advantage

answer

1. cost leadership strategy 2. strategy based on differentiation

question

Situation Analysis

answer

1. cooperative environment 2. Competitive environment 3. economic environment 4. social environment 5. political environment 6. legal environment

question

Marketing Planning

answer

1. establish marketing objectives 2. select target market 3. develop the marketing mix

question

marketing mix

answer

the set of controllable variables that must be managed to satisfy the target market and achieve organizational objectives Product, price, promotion, and place

question

Marketing Planning (5 steps)

answer

1. Conducting a situational Analysis 2. Develop marketing Objectives 3. Determining Product position 4. Selecting target markets 5. Designing a strategic marketing mix

question

external environmental forces

answer

Demographics: the characteristics of the population Economic trends: how business cycles play an important role in determining strategy Competitors: knowing competitors' positions and strategies Sociocultural trends: used to identify the emergence of substitutes Political: reflected in laws and policies that regulate business and competition Technological and scientific advances: must be monitored and analyzed

question

Cultural values are transmitted through ...

answer

1. the family 2. religious organizations 3. educational institutions

question

subcultures

answer

geographic areas, religions, nationalities, ethnic groups, and age

question

reference groups

answer

groups that individuals looks to when forming attitudes and opinions primary= family and close friends secondary= fraternal organizations and professional associations

question

situational influences

answer

1. physical features 2. social features 3. Time 4. Task feature 5. Current conditions

question

product knowledge

answer

amount of information a consumer has stored in her memory about product classes, product forms, brands, models, and ways to purchase them

question

Product involvement

answer

consumer's perception of the importance or personal relevance of an item

question

Extensive decision making

answer

most time and effort, involve highly complex or expensive purchase

question

Limited decision making

answer

involves some time and effort but more moderate

question

routine decision making

answer

most common types, simple, inexpensive, and familiar

question

Hierarchy of needs

answer

1. physiological needs (food, water) 2. safety needs (protection) 3. belongingness and love needs 4. esteem needs 5. Self actualization needs

question

Alternative Search

answer

1. Internal Sources (stored info and experience in their mind) 2. Group Sources (communication with family, friends, etc.) 3. Marketing Sources (looking at displays, packaging, displays) 4. Public sources (article about product, ratings of product) 5. Experimental sources (handling, examining, and trying product while shopping)

question

Consumer Buying Process

answer

1. Need Recognition (internal or external) 2. Information Search 3. Alternative Evaluation 4. Purchase Decision 5. Post-purchase Evaluation

question

External Stimuli

answer

1. having a problem with a product. 2. Comes from marketing mix elements. The creation of a new product can stimulate need recognition

question

Alternative Evaluation

answer

A consumer's information search process should yield a set of the most preferred alternatives, called the evoked set or consideration set. The consumer will then evaluate this set of alternatives in several ways

question

Purchase Decision

answer

decision whether to buy or not (postpone) includes where to buy type of payment

question

Post- Purchase Evaluation

answer

Perfomance - expectations = level of satisfaction

question

The imperative and difficulty for marketers is to

answer

1. deliver on performance through quality products and consistent services; and 2. attract customers without exaggerating what they should expect.

question

Availability Bias

answer

show that the information we use to form these types of judgments are biased by the availability of information cues. These information cues might come from personal experience

question

2 types of availability bias

answer

1. Recency Effect- customers think about what they recently saw 2. Vividness: A single vivid experience is highly memorable and available to the mind for what could be an indefinite amount of time.

question

Anchoring and Adjustment

answer

we tend to use information that is easy to recall (i.e., available) as original anchors and then make insufficient adjustments based on forthcoming, available data.

question

representativeness heuristics

answer

People tend to judge the probability of an event by finding a "comparable known" event and assuming that the probabilities will be similar

question

market segmentation

answer

process of dividing a market into groups of similar consumers and selecting the most appropriate groups to serve single product item can seldom meet the needs and wants of all customers.

question

market segmentation process

answer

1. delineate firm's current situation 2. determine consumer needs and wants 3. divide markets on relevant dimensions 4. develop product positioning 5. decide segmentation strategy 6. design marketing mix strategy

question

a priori segmentation

answer

the marketing manger has decided on the appropriate basis for segmentation in advance of doing any research on a market

question

post hoc segmentation

answer

people are grouped into segments on the basis of research findings

question

basis for segmentation

answer

1. benefit segmentation 2. Psychographic segmentation - focuses on consumer lifestyles, VALS - values and lifestyles 3. Geodemographic

question

Decide segmentation strategy

answer

1. decide not to enter the market 2. decide to not segment but to be a mass marketer 3. may decide to market to one segment 4. firm may decide to market to more than one segment and design a separate marketing mix for each

question

Why to be a mass marketing

answer

1. the market is so small that marketing to a portion of its not profitable 2. Heavy users make up such a large proportion of the sales volume that they are the only relevant target 3. The brand is the dominant brand in the market and targeting to a few segments would not benefit sales and profits

question

Segment

answer

1. measurable- the firm must be capable of measuring its size and characteristics 2. Meaningful- large enough to have sufficient sales and growth potential to offer long run profits for the firm 3. Marketable-

question

competition based positioning

answer

Current understanding of how people store information in memory provides a starting point for developing a competition-based positioning strategy. One way information about a brand is stored in long-term memory is in natural categories. The objects "Bud Light," "light beer," "alcoholic beverage," and ultimately "beverage" are nodes in memory that are related to each other hierarchically by associative bonds. The bonds imply that the object lower in the hierarchy (Bud) is an instance of the object that is higher in the hierarchy (light beer).

question

Category membership

answer

Perhaps the most obvious situation is the introduction of new products, where the category membership is not apparent.

question

point of difference

answer

specification not only of the category in which a brand holds membership, but also how a brand dominates other members of its category.

question

Normative Benefits

answer

Normative benefits are ones that customers say are important because of societal standards rather than because these benefits actually influence behavior.

question

Laddering up

answer

laddering up is based on the notion that in developing a product point of difference, two types of characteristics are considered. One is attributes and image, and the other is benefits.

question

brand essence

answer

laddering up from attributes to benefits to abstract benefits until the benefit defines the essence of the brand

question

secondary data

answer

information that has been already collected. It comes from internal sources such as accounting data, sales reports, or various databases that the company maintains. Secondary data sources outside the firm include government data, magazines and periodicals s because using data already collected is almost always more cost effective than collecting it yourself. Data from secondary sources usually has more credibility

question

primary data

answer

information that is collected for a current, specific purpose

question

random sampling

answer

This provides an equal chance for each member of the population to be selected as part of the sample.

question

stratified sampling

answer

in this technique, the population is divided into groups based on a common characteristic, then a random sample is taken from each group.

question

Area (geographic) sampling

answer

This is the same as stratified using geographical areas as the basis for the sample.

question

convenience sampling

answer

choosing the most available subjects in the time allowed

Marketing 3000 Exam 1 – Flashcards

Unlock all answers in this set

Haven't found what you were looking for?

Search for samples, answers to your questions and flashcards