question

Four major growth strategies

answer

market penetration, product development, market development, and diversification

question

after STP

answer

resource allocation

question

SBU

answer

Strategic business unit - operated independently of the firm

question

product line

answer

group of products that consumers may use together or perceive as similar (tires)

question

relative market share

answer

compare market shares between competitors

question

cash cow

answer

product lines with high relative market share, low growth markets

question

star

answer

high rate of growth and dominates market

question

dogs can be worth keeping if

answer

they assist with sales of another product

question

product development strategy

answer

firms develop new products for existing customers

question

market penetration

answer

sell more of her current products to current customers

question

market development

answer

employs existing marketing offering to reach new market segments; sell existing products to new customers

question

product development

answer

marketers who design and offer new products and services to existing customers

question

market penetration

answer

selling existing services to existing customers

question

diversification

answer

introducing new products to new customers

question

superior service is a key facet of

answer

customer excellence

question

marketing planning process

answer

(1) define the business mission (2) situation analysis SWOT (3) ID opportunities (4) implement marketing mix (4 P's) and allocate resources (5) evaluate performance

question

define business mission

answer

by considering questions of fit and changing objectives, the planners are considering HP's business mission and how the acquisition might change it

question

market penetration

answer

sell more of existing products to current target market

question

diversification

answer

individual packaged frozen meals are a new product even though in the food industry and selling to a new customer --> new customers, new product = diversification

question

locational excellence is often sustainable because

answer

it cannot be easily duplicated

question

value creation/PLACE

answer

making sure the product is available when and where the customer needs it - PLACE SUPPLY CHAIN DIST..... VALUE CREATION IS WHEN THEY WANT IT

question

Threat for nike acquiring UMBRO

answer

threat since creates stronger direct competition for adidas and its external

question

cash cow

answer

market leader in a low growth market is a cash cow; generate excess resources that can be invested in other areas of the company

question

positioning

answer

any kind of design for the product packaging is positioning --> how you want consumers to view your product

question

marketing strategy

answer

identifies (1) target market (2) related marketing mix 4's P's (3) bases on which the firm plans to build competitive advtg.

question

implementation phase of marketing plan (PIC)

answer

ID and evaluate different opportunities by engaging in STP

question

CDSTEP (SWOT)

answer

Cultural, Demographic, Social, Technological, Economic, and Political Forces

question

if a price is set too high it will not generate much ___, if it is set too low it may result in ___ and ___

answer

volume, lower margins and profits

question

metrics used to evaluate a firm vary depending on

answer

the level of organization at which decision is made and resources the manager controls

question

question mark (BCG matrix)

answer

high growth market, low market share

question

END OF CH

answer

2

question

BEGINNING OF CH

answer

5

question

consumer should be kept at

answer

center of all activity

question

competitors are one factor in

answer

immediate environment that affects consumers

question

three elements of consumer's immediate environment are

answer

company, competition and corporate partners

question

culture are transmitted by

answer

words, literature and institutions from generation to generation

question

macroenvironmental factors are external factors such as

answer

culture, demographics and social issues, tech advances, economic situation, political enviro

question

generation y

answer

emphasize balancing work and life

question

digital natives are members of

answer

generation Z

question

generation z

answer

born into a world that already was full of electronic gadgets and digital technology

question

generation y

answer

millennials (me); biggest cohort

question

generation x

answer

both parents worked; part of big divorced group of parents (my mom's time); CYNICAL

question

baby boomers

answer

after world war II; individualistic, leisure time is important, able to take care of themselves, obsession with maintaining youth; love rock n roll

question

social trends mentioned emphasize

answer

thrift, health and wellness, greener consumers, privacy and time-poor societies

question

green marketing

answer

defined as a strategic effort by firms to supply customers with environmentally friendly merchandize

question

marketing firm must consider entire business process from a

answer

consumer's point of view

question

identify potential opportunities by

answer

paying close attention to marketing environment and customer needs

question

center of all marketing activities is

answer

consumers

question

value based marketing

answer

offer greater value than competitors offer

question

immediate environment

answer

firm, competitors and corporate partners

question

corporate partners

answer

work with the firm to provide goods and services

question

macroenvironment is

answer

external

question

immediate is

answer

internal

question

generational cohorts are presumed to have

answer

similar purchase behavior

question

tweens

answer

generation y

question

greenwashing

answer

fooling ppl that you're environmentally green

question

purchase behavior affected by

answer

education, occupation and income

question

green marketing

answer

marketing of enviro responsible products

question

green marketers

answer

ADD VALUE

question

political/regulatory environment comprises

answer

political parties, government organizations, and legislations and laws

question

gen x

answer

latchkey

question

robison patman act

answer

outlawed price discrimination toward wholesalers, retailers, or other producers and required sellers to make ancillary services or allowances available to all buyers on proportionately equal terms

question

inflation increases

answer

people buy lower priced foods

question

RFID

answer

Enables a firm to track an item from the moment it was manufactured through distribution system to retail and into the hands of consumer

question

tech advances are

answer

NOT SOCIAL TRENDS

question

AFRICAN AMERICANS ARE

answer

more affluent than we thought

question

graduates from college earn about

answer

21500 more than high school grads

question

END OF CH

answer

5

question

BEGINNING OF CH

answer

9

question

undifferentiated targeting strategy (mass marketing)

answer

is appropriate when everyone can be considered a potential user of a product, and when the potential benefits are similar for most consumers

question

concentrated targeting strategy

answer

organization selects a single, primary target market

question

VALS

answer

widely used for psychographic segmentation

question

perceptual map

answer

displays position of products or brands in the consumer's mind

question

first step in STP

answer

establish overall strategy

question

failure to read but could respond well to a product is an example of

answer

reachability

question

very specific products should use

answer

concentrated targeting strategy

question

value proposition id's

answer

unique benefits from competition that match up with customer needs and wants ... IN ORDER TO MAINTAIN A UNIQUE VALUE PROP is thru monopoly

question

STP is part of firm's

answer

marketing strategy

question

commercial and residential real estate buyers

answer

are two different market segements

question

differentiated targeting strategy

answer

different target markets are served by different marketing mixes (4 p's)

question

diversify business helps with

answer

lower risk

question

corporate pilot fish pursue

answer

micromarketing targeting strategy

question

nike doing customized shoes is example of

answer

micro marketing bc one-to-one scale since each consumer receives a customized product

question

four targeting strategies

answer

differentiated, undifferentiated, micro marketing and concentrated

question

psychographics

answer

related to the way we describe ourselves- our self concept, values and lifestyle

question

babyboomers

answer

heavily motivated by self-fulfillment PSYCHOGRAPHIC

question

Benefit segmentation

answer

most directly related to value creation for customers --> seeks to segment based on the benefits they seek (values they will obtain) from the product

question

birds of a feather flock together

answer

captures geodemographic segmentation

question

PRIZM and Tapestry

answer

divide and sort small geographic areas into categories using demographic and lifestyle characteristics --> geodemographic segmentation

question

geodemographic segmentation is useful for

answer

retailers bc helps define types of customers who live near stores

question

frequent flyer programs are

answer

loyalty programs

question

lifestyle segmentation

answer

is a thing :) aka one of the answers

question

use geodemographic to

answer

identify and target customers

question

use lifestyle to

answer

design products and messages to appeal to customers

question

when evaluating a segment's attractiveness, we consider whether the segment is

answer

substancial, responsive, profitable, reachable and identifiable

question

identifiable

answer

to see whether they are distinct from each other (different segments)

question

substancial

answer

if it is large enough to be worth targeting, if if segment members have sufficient buying power --> even a small segment with few people who can afford the product could be profitable in some cases depending on price, margin, etc.

question

lifestyle segmenting is

answer

psychographic

question

responsive segments

answer

if its members react similarly and positively to the marketing mix

question

profitability segment assessment

answer

considers market growth, market competitiveness, and market access along with ensuring that the profit margin will be sufficient to cover costs

question

market competitiveness

answer

includes the number of competitors, entry barriers and product substitutes

question

market access

answer

includes ease of developing or accessing distribution channels and brand familiarity

question

segment profitability uses

answer

segment size, estimated segment adoption percentage, purchase behavior (freq and price), profit margin percentage, and fixed costs

question

value proposition

answer

emphasizing the low price and high quality --> VALUE

question

Politicians using red white and blue in campaign are using

answer

symbols

question

perceptual map

answer

often used to illustrate the position of a firm's products or brands in consumer's minds; shows the current position of a company's products NOT a future position

question

perceptions of ____ are being measured in a perceptual map

answer

consumers

question

occasion segmentation (behavioral)

answer

based on when a product or service is purchased or consumed

question

overriding desires that drive how we live our lives are called

answer

self-values

question

value proposition

answer

consists of a target market, brand/product name, a category or concept, unique point of difference or benefit --> PRICE USUALLY NOT INCLUDED

question

END OF CH

answer

9

question

BEG OF CH

answer

10

question

Marketing research process follows five steps and they

answer

do not have to be followed in order

question

start with qualitative research then move to

answer

quantitative

question

focus group

answer

8-12 people being asked questions by trained moderator

question

external secondary data and syndicated data

answer

are two different things although both types of external secondary data

question

panel data

answer

information collected from a group of consumers over time -- secondary or primary (ANSWER IS FALSE)

question

Sentiment mining

answer

analyzes consumer comments on social media sites to gain insights about consumer's thoughts and preferences

question

when survey data are analyzed in depth to determine consumer attitudes toward a product, this is an example of sentiment mining

answer

FALSE

question

marketing research involves

answer

collection, recording, analysis and interpretation of data

question

through analysis of sales data, retail store found customers who bought PB also bought bananas. was engaged in

answer

data mining --> using stat techniques to discover patterns and relationships in company data

question

market research begins with

answer

defining objectives and research needs

question

design the research

answer

id type of data he needs and research method he should use

question

syndicated data

answer

commercial research firms that you purchase research from

question

qualitative research is often done in part to obtain

answer

preliminary insights and after you've done that you collect quantitative data

question

when the market research problem is not clearly defined, a researcher will likely engage in ___ research

answer

qualitative; to gain preliminary insights

question

quantitative research offers a means to confirm ideas through

answer

surveys or experiments

question

what is true about quantitative research?

answer

it confirms insights and provides a basis for taking a course of action

question

when consumers are __, observation becomes useful in understanding consumer preferences

answer

unable to articulate experiences

question

using ___ researchers ask questions, listen and record responses, and ask additional questions based on initial response

answer

in depth interview

question

randall could use

answer

in depth interviews to help him develop his survey

question

focus group interviews

answer

gather info about general feelings; opinions without in depth responses

question

a ___ is a small group of people brought together for an intensive discussion of a topic

answer

focus group

question

T might consider using ___ to gather qualitative info about competitor's offerings

answer

focus groups

question

structured questionnaire

answer

consists of closed-ended questions and predetermined response alternatives

question

___ research is a type of quantitative research that manipulates variables to help determine cause and effect

answer

experimental

question

data mining uses

answer

variety of stat analysis to uncover patterns in data or relationships among variables

question

primary data

answer

gathered data for specific research needs

question

personal info should about respondents should

answer

NEVER BE SHARED

question

churn

answer

number of participants who discontinue their use of a service / avg number of total participants (measure of how much turnover a company experiences in customer base)

question

survey is

answer

primary data

question

panel data

answer

recruiting customers who agree to respond to customer satisfaction surveys once every 3 months over next 2 years to track progress

question

unstructured questions

answer

open ended

question

sentiment mining

answer

collection and analysis of social media to gain insights into consumer thoughts and opinions

question

disadv. of online focus groups

answer

usually do not permit insights based on body language --> in focus groups they video the interview to see non verbal responses as well as verbal

question

germany banned

answer

biometric use on fb

question

a typical focus group has ___ to ___ members

answer

8 to 12 to intensive discussion

question

in addition to using sentiment mining some companies also participate in ___ by joining in online convos with customers

answer

social engagement -- online convo with customers

question

blogs are a challenge for firms bc

answer

they include both positive and negative commentary bc they're independent have no loyalty

question

data mining

answer

looking at BUYING PATTERNS

question

Data

answer

can be defined as raw numbers or other factual info that has limited value

question

disadv of secondary research is __ whereas disadv of primary is ___

answer

potential bias, cost

question

END OF CH

answer

10

question

BEG OF CH

answer

11

question

A company's product line consists of its various product mixes

answer

FALSE; a company's product mix consists of its various product lines

question

brand equity

answer

set of assets and liabilities linked to a brand that add to or subtract from the value provided

question

private label brands are imitations often sold by street vendors

answer

FALSE; they are retailer or store brand developed by retailers to be sold only within their own stores

question

brand dilution

answer

over branding

question

product line depth

answer

equals the number of products within a product line

question

brand extension

answer

use of the same brand name in a different product line; phone and gaming systems are different product lines

question

Secondary package is the wrapper or exterior carton that contains the primary package and provides the UPC level used by retail scanners

answer

used to attract consumer attention

question

specialty items

answer

luxury cars are specialty products bc customers are willing to spend more effort to select just the right one

question

a familiar brand name always helps the sales of a product

answer

FALSE

question

product mix

answer

complete set of all products offered by a firm

question

product line

answer

is a group of associated items that consumers tend to use together or think of as part of a group of similar products

question

product line depth

answer

number of items within a product line

question

value of a brand is often calculated by assessing the

answer

earning potential of the brand over the next 12 months

question

brand equity contributes to

answer

profitability

question

four criteria used for determining how good a brand is or much equity it has

answer

brand awareness, brand loyalty, brand associations and perceived value

question

familiarity with brands help consumers

answer

make purchase decisions due to awareness of brand

question

brand names become synonymous they could lose

answer

its trademark status

question

BRAND AWARENESS

answer

SUPER BOWL

question

In a competitive market, perceived value is determined by consumers mostly

answer

in relationship to the value of competitor's offerings

question

brands can be owned by

answer

any firm in the supply chain

question

another name for a manufacturer's brand is a

answer

national brand

question

family brand

answer

using own corporate name to brand all its product lines and products

question

by having leading brands like Tide and Crest, P and G

answer

has greater control over marketing strategy

question

brands own by retailers are called

answer

store brands, house brands, own brands or private label brands

question

individual brands

answer

separate brand names for different product lines by same company

question

shopping good

answer

where consumers compare alternatives

question

augmented product

answer

includes associated services such as a warranty and a customer service line dedicated to product support

question

suppose that walgreens wants to introduce its own brand of cough medicine that is similar to its own brand but at a lower cost, what kind of brand is this?

answer

private label brand, bc developed by retailers

question

brand extension

answer

refers to the same brand name for a NEW product LINE

question

line extension is the use

answer

of the same brand name within the same product line and represents a new product aka increase in product line depth

question

test marketing

answer

limited test of a product and its full marketing mix, usually in a particular geographic area to evaluate potential

question

on the diffusion of innovation curve, the first group of buyers who want to be first on the block are known as early adopters

answer

FALSE, they are called innovators then come early adopters

question

on the diffusion of innovation curve, the late majority is the final group of buyers that like to avoid change and rely on traditional products until they are no longer available

answer

FALSE they are called laggards

question

the diffusion of innovation curve

answer

bell shaped curve made up innovators, early adopters, early majority, late majority and laggards

question

to be adopted more quickly

answer

diffuse faster

question

microsoft expanding into xbox etc is

answer

creating diversification and reducing risk -- bc not relying on one market for their business to thrive

question

but a restaurant adding daily specials is

answer

satisfying the changing needs of the customer

question

pioneer or breakthrough products

answer

can change consumer preferences

question

not a new to the world

answer

mercedes mini sport utility vehicle

question

for new product marketers, early adopters are important bc they tend to be

answer

opinion leaders

question

early majority

answer

first large group to adopt the product, without them profits are unlikely to happen

question

hillary has waited fora more competitive market with lower prices

answer

this occurs when the early majority is adopting the product

question

the diffusion of innovation theory is useful to marketeres in helping them

answer

predict which types of customers will buy their product

question

between concept testing and market testing a firm should engage in which stage of product development process

answer

product development

question

major limitation of R AND D

answer

is that costs are quite high

question

reverse engineering

answer

involves taking apart a product, analyzing it, and creating an improved product that does not infringe on patents

question

lead users

answer

modify existing products according to their own ideas to suit their needs

question

pre market test

answer

combines product sampling with surveys collecting consumers reactions

question

market testing

answer

testing out in a specific geodemographic area to see response of product

question

the product launch step in the prod develop

answer

process is critical requiring reminds resources and extensive coordination of all marketing mix

question

packaging is a

answer

product issue not a place issue

question

a slotting allowance

answer

is a fee paid by manufactuerers to get new products into stores or to gain more or better shelf space for products

question

four stages of product life cycle

answer

intro, growth, maturity, decline

question

growth stage

answer

marked by rising sales and profits and an increasing number of competitors!!

question

what does not occur in growth stage

answer

price competition and price wars-- this occurs in maturity

question

decline is marked by

answer

niche marketing and by firms exiting the market

question

pre market testing

answer

uses surveys!!!!

question

when a manufac.. launches a new product it may offer

answer

trade promotions to wholesalers and retailers including intro price promotions special events and personal selling

question

what type of event exposes retailers to a large number of new products in a concentrated location?

answer

trade shows

question

in us consumer goods found in grocery stores are in the

answer

maturity stage

question

introduction stage

answer

innovators are the consumers

question

how is consumer panel data collected during the test marketing phase of a new product intro?

answer

panelists scan their receipts on a home scanning device

question

coordination of delivery and storage are elements of

answer

place not promotion

question

she plans to purchase a recently introduced microscultping cream from play's referents line. olay is in the __ stage

answer

maturity bc having to defend market share

question

intro stage that is successful

answer

will start to see profit toward the end of the stage

question

END OF CH

answer

12

question

BEG OF CH

answer

15

question

Radio frequency id tags automatically transit info about a containers contents or ind products

answer

TRUE

question

quick response systems allow retailer to maximize inventory holdings

answer

false, they are meant to minimize inventory and its costs

question

UPC tag is the black and white bar code

answer

indicates the manuf of the item, description of the item, info about special packaging and special promotions, and records receipt when it arrives at dist center

question

wholesalers are often used in an indirect marketing channel

answer

TRUE it is an intermediary bw the manuf and consumer

question

horizontal channel conflict

answer

occurs between members at the same level of marketing channel (retailer and retailer)

question

3 vertical marketing systems

answer

administered, contractural and corporate

question

corporate is the

answer

most formalized and control

question

direct marketing channel

answer

no intermediaries

question

place

answer

happens behind the scenes so people overlook importance

question

wholesaler

answer

reseller that helps products to flow from manuf to retailers

question

stockpile inventory

answer

in réponse to supply chain inefficiencies many retailers in the 1990's stockpiled leading to higher inventory carrying costs

question

distribution center

answer

facility for the receipt, storage and redistribution of goods to company stores or customers

question

information flow in supply chain

answer

do not include customer participation

question

typically manuf and retailers exchange business doc's through an __ system, the computer to comp exchange of bus docs from a retailer to a vendor and back

answer

electronic data interchange

question

With a pull marketing strategy

answer

orders for merchandise are generated at the store level based on sales data captured at POS terminals

question

cross docking

answer

is when vendors ship merchandise prepackaged in the quantity required for each store to the distribution center; relatively little processing is required at dist center and merch can move to dest quickly

question

getting mercy floor ready entails

answer

ticketing and marking

question

JIT systems (just in time)

answer

are designed to deliver smaller shipments of merch on a more frequent basis to retailers

question

JIT can

answer

reduce inventories needed to satisfy retailers' demand

question

in a __ none of the participants has any control over the others

answer

conventional (independent)

question

in an administered vertical marketing system

answer

there is no common ownership, and the dominant member has sign power to impose ideas

question

franchising involves __ vertical marketing system

answer

contractual

question

in a corporate vertical marketing system

answer

particiapnts- warehouses, transportaiotn companies, retail outlets- are owned by a parent company to ensure harmony relaitions in supply chain

question

a __ is a supply chain whose members act like a unified system

answer

vertical marketing system

question

a __ is a doc used by a forklift driver, indicating how much of each item to get from specific storage areas

answer

pick ticket

question

the local auto store gets merch delivered to it by its manuf as soon as it has a need, reducing stock outs. this demonstrates the concept of

answer

vendor managed inventory

question

END OF CH

answer

15

question

BEG OF CH

answer

16: retailing and multichannel marketing

question

consumer packaged goods companies typically seek an exclusive dest strategy

answer

FALSE; exc dest policies grant exclusive geographic territories to one of very few retail customers so no other retailers in the territory can sell a particular brand

question

off price retailers specialize in having a consistent line of merch available at discount prices

answer

FALSE; because off price retailers purhcase odd sizes, irregulars and overstocks from manuf. and other retailers, their merch. assortment is inconsistent over time

question

internet can provide

answer

personalized promotions and services and info about products and services for each customer

question

which of the following is not one of the typical outlets used by retailers

answer

B2B REQUESTS FOR PROPOSALS (RFP'S)

question

In the past __ dominated supply chain

answer

manufacturers

question

distribution intensity is commonly divided into three levels

answer

intensive, exclusive, and selective

question

intensive dist

answer

getting a product into as many outlets as possible

question

selective is a compromise between

answer

intensive and exclusive

question

general merchandise

answer

full line discount, category specialist, specialty stores

question

if you walk into a ___ you will find a broad variety of merch, deep assortment and customer service

answer

department store

question

full line discount stores

answer

offer broad variety of merch, limited services and low prices

question

specialty store

answer

narrow but deep selection of merch, sales service

question

category specialist is a

answer

category killer like staples the store

question

the ability to buy is a key advantage of

answer

brick and mortar retail stores

question

SKU

answer

represents a unique inventory item in a store

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