Exam 2
Help!
|
|
||||
|---|---|---|---|---|---|
| Industrial/Buisness Markets | reprocess a product or service before selling it again to the next buyer.
🗑
|
||||
| Reseller Markets | Wholsalers and retailers that buy physical products and resell them again without any reprocessing.
🗑
|
||||
| Government Markets | federal, state, and local agencies that buy goods & services for the constituents they serve
🗑
|
||||
| Ultimate consumer | are people who use the goods and services purchased for the household
🗑
|
||||
| NAICS | North American Industry Classification System, provides common industry definitions for Canada, Mexico, & the US, which makes the measurment of economic activity, in the 3 member countries of NAFTA, easier. Replaces SIC system. Each given a "zipcode"
🗑
|
||||
| NAPCS | North American Product Classification System: classification system for products & services, UN-Central Product Classification System
🗑
|
||||
| Derived Demand | means the demand for industrial products/services is derived from, demand for consumer products/services. Example: milk & all it's compnents are now in demand when purchased. Based on future expectations of consumer demand.
🗑
|
||||
| Derived Demand v. Organizational Market | demand is always much lower for derived demand
🗑
|
||||
| Organizational Buying Criteria | the objective attributes of the supplier’s products & services & the capabilities of the supplier itself.
🗑
|
||||
| 7 most common Organizational Buying Criteria | 1. price, 2. ability to meet required delivery schedules, 3. ability to meet the quality specifications, 4. technical capabilites, 5. warranties & claim polocies 6. past performance, 6. production facilities/capabilities
🗑
|
||||
| ISO 9000 | International Standards Org: meet exact standards to set standards for quality/ consists of standards for registration & certification of a manufacturer’s quality management & assurance system based on an on-site audit of practices & procedures
🗑
|
||||
| Supplier development | the deliberate efforts by a company to build relationships with suppliers to improve their efficency, quality, & costs for an ultimate result for consumer & company
🗑
|
||||
| JIT Inventory System | Just In Time…
🗑
|
||||
| Reciprocity | an industrial buying practice in which two organizations agree to purchase each other’s products & services. The government frowns on reciprocity because it inhibits market competition. “I buy your stuff, if you agree to buy mine.”
🗑
|
||||
| Supply Partnership | exists when a buyer & its supplier adopt mutually beneficial objectives, policies & procedures for the purpose of lowering the costs/increasing the value of products & services delivered to the ultimate consumer.
🗑
|
||||
| Buying Center | group of people in an org. who participate in the buying process & share common goals, risks & knowledge important to a purchase decision. AKA Buying Comitee
🗑
|
||||
| Roles in the Buying Center | 1.Users (use product), 2. Influences(define specifications), 3. Buyers(negotiate terms of contact), 4. Deciders(selects supplier), 5. Gatekeepers(control flow of info)
🗑
|
||||
| Buy Classes | consists of three types of buying situations: straight rebuy; modified rebuy; and new buy.
🗑
|
||||
| Organizational Buying Behavior | the decision-marking process that organizations use to establish the need for products & services & identify, evaluate & choose among alternative brands & suppliers. (5 steps)
🗑
|
||||
| Stage 1 in Organizational Buying Process | Problem Recognition./ (Make-Buy Decision: do we make it or do we buy it?)
🗑
|
||||
| Stage 2 in Organizational Buying Process | Information Search./ (Value analysis: a systematic appraisal of the design, quality & performance of a product to reduce purchasing costs.)
🗑
|
||||
| Stage 3 in Organizational Buying Process | Alternitave Evaluation./ (Bidder’s List: a list of firms believed to be qualified to supply a given item.)
🗑
|
||||
| Stage 4 in Organizational Buying Process | Purchase Decision
🗑
|
||||
| Stage 5 in Organizational Buying Process | Postpurchase Behavior
🗑
|
||||
| Prominence of Online Buying in OM's | 1.timely supplie information, 2. reduces buyer order prcessing costs, 3. can reduce marketing costs
🗑
|
||||
| E-Marketplaces | online trading communities that bring together buyers & supplier organizations to make possible the real time exchange of information, money, products & services. AKA: B2B exchanges, e-hubs
🗑
|
||||
| Independent E-marketplace | p.158
🗑
|
||||
| Traditional Auctions | a seller puts an item up for sale and would-be buyers are invited to bid in competition with each other
🗑
|
||||
| Reverse Auctions | a buyer communicates a need for a product or service and would-be suppliers are invited to bid in competition with each other
🗑
|
||||
| Countertrade | practice of using barter rather than money for making global sales
🗑
|
||||
| Trade Feedback Effect | export creates demand for import, vice versa
🗑
|
||||
| GDP | gross domestic product: monetary value of all goods/services produced in a country during one year. US always has the highest GDP, but Unions of countries now create competition.
🗑
|
||||
| Blanace of Trade | difference between the monetary value of a nation’s exports & imports. Import>export=deficit, Export>import=surplus.
🗑
|
||||
| U.S. Balance of trade | U.S. in deficit& overall volume has decreased. Importers-Canada, China, Mexico, Japan/Exporters-China, Japan, South Korea, Taiwan, Phillipines
🗑
|
||||
| Porter's Diamond | explain a nation's competitive advantage. 1. Factor Conditions-natural resources, 2. Demand Conditions-
🗑
|
||||
| Economic Espionage Act (1996) | a law that makes the theft of trade secrets by foreign entities a federal crime in the US.
🗑
|
||||
| Protectionism | the practice of shielding one or more industries within a country’s economy from foreign competition through the use of tariffs or quota. What countries engage in to protect their country includes tariffs, quotas, etc. The use of protectionism is declinin
🗑
|
||||
| Tariffs | a government tax on goods or services entering a country, primarily serving to raise prices on imports. Screws the customer!
🗑
|
||||
| Quota | a restriction placed on amount of a product allowed to enter or to leave a country.
🗑
|
||||
| GATT | General Agreement on Tariffs & Trade: to limit trade barriers & promote world trade through the reduction of tariffs. Did not explicitly adress non-tariff trade barriers(e.g.quotas)
🗑
|
||||
| World Trade Organization | (WTO) a permanent institution that sets rules governing trade between its members through panels of trade experts who decide on trade disputes between members & issue binding decision. Ultimate goal of the WTO is to eliminate tariffs & quotas. WTO is an o
🗑
|
||||
| European Union | 27 countries with a common currency (Euro), no protectionism within their borders.
🗑
|
||||
| North American Free Trade Agreement | NAFTA: lifted many tade barriers between Canada, Mexico, & US. Extended many advantages with CAFTA-DR
🗑
|
||||
| Asian Free Trade Agreement | have reduced tariffs among countries & promoted trade. To liberate East Asia from Japan & "The Four Little Dragons"
🗑
|
||||
| Global Competition | exists when firms originate, produce & market their products & services worldwide.
🗑
|
||||
| Strategic Alliances | agreements among 2+ independent firms to cooperate for the purpose of achieving common goals.
🗑
|
||||
| Types of Global Companies | International, Multinational, Transnational
🗑
|
||||
| International Firm | same product, marketing program, etc. everywhere, selling the same idea (ex. Coke)
🗑
|
||||
| Multinational Firm | changes whats needed for other countries markets (ex: breathe right)
🗑
|
||||
| Transnational Firm | change mkt strategy where needed keep same where can.
🗑
|
||||
| Multidomestic Marketing Strategy | used by multinational firms that have as many different product variations, brand names & advertising programs as countries in which they do business.
🗑
|
||||
| Global Marketing Strategy | used by transnational firms that employ the practice of standardizing marketing activities when there are cultural similitarties & adapting them when cultures differ.
🗑
|
||||
| Global brand | brand marketed under the same name in multiple countries with similar & culturally coordinated marketing programs.
🗑
|
||||
| Global consumers | consists of customer groups living in many different countries or regions of the world who have similar needs or seek similar features & benefits from products/services. People around the world have a lot in common
🗑
|
||||
| Cross-cultural analysis | involves the study of similiarities & differences among consumers in 2+ nations or societies. For effective marketing programs
🗑
|
||||
| Values | a society’s personally or socially preferable modes of conducts/states of existence that tend to persist over time.
🗑
|
||||
| Customs | what is considered normal & expected about the way people do things in a specific country.
🗑
|
||||
| Foreign Corrupt Practices Act (1977) | a law, amended by the International Anti-Dumping & Fair Competition Act (1998), that makes it a crime for US corporations to bribe an official of a foreign government or political part to obtain/retain business in a foreign country.
🗑
|
||||
| Cultural symbols | things that represent ideas or concepts.
🗑
|
||||
| Semiotics | a field of study that examines the correspondence between symbols & their role in the assignment of meaning for people. Semiotics are the study of symbols. Example is that
🗑
|
||||
| Back translation | when a translated word/phrase is retranslated into the original language by a different interpreter to catch errors
🗑
|
||||
| Customer ethnocentrism | the tendency to believe that it is inappropriate, indeed immoral, to purchase foreign made products.
🗑
|
||||
| Bottom of the Pyramid | largest, but poorest socioeconomic group in the world, mostly landlocked countries, it's to our advantage to help these coutries (Trade)
🗑
|
||||
| Economic Infrastructure | a country's communication, transportation, financial, & distribution systems. Critical for determining weather to enter a country's market.
🗑
|
||||
| Microfinance | practice of offering small, collateral-free loans to individuals who otherwise would not hav access to the capital necessary to participat in an income generating activity
🗑
|
||||
| Currency exchange rule | the price of one country’s currency expressed in terms of another country’s currency.
🗑
|
||||
| Exporting | producing goods in one country & selling them in another country.
🗑
|
||||
| Indirect Exporting | sell to a country through an intermediary
🗑
|
||||
| Direct Exporting | sell directly from us to them
🗑
|
||||
| Liscencing | A company offer the right for items of intellectual property for a royalty fee, in other countries however they lose all control of it's product, may lose profit, or create competition with their company.
🗑
|
||||
| Contact Assembley | contacts for a foreign company to ASSEMBLE parts for the prodcut.
🗑
|
||||
| Contact Manufacturing | US may contract with a foreign form for them to manufacture product to specifications
🗑
|
||||
| Joint venture | when a foreign country & a local firm invest together to create a local business
🗑
|
||||
| Direct investment | entails a domestic firm actually investing in & owning a foreign subsidiary or division
🗑
|
||||
| Dumping | when a firm sells a product in a foreign country below its domestic price or below its actual cost.
🗑
|
||||
| Gray market | a situation where products are sold through unauthorized channels of distribution. Also called parallel importing
🗑
|
||||
| Marketing research | the process of defining a marketing problem & opportunity, collecting data to try & fix the problem.
🗑
|
||||
| Difficulties of Marketing Research | Consumers do not know about new products, lying, purchase behavior could be different.
🗑
|
||||
| Decision | a conscious choice from among 2+ alternatives
🗑
|
||||
| 5 Step Marketing Research Approach | 1.Define the Problem: set research objectives & possible solutions, 2.Develop the Research Plan: constraints, data, 3.Collect Relevent Data, 4.Develop Findings: analyze data, 5. Take Mkt Action: implement
🗑
|
||||
| Exploratory research | gives ideas about a vague problem, used for many new products
🗑
|
||||
| Descriptive research | frequency or relationship of 2 factors
🗑
|
||||
| Casual Research | how much one thing occuring effects another thing occuring.
🗑
|
||||
| Measures of success | criteria or standards used in evaluating proposed solutions to a problem, how we know if our research tells us anything
🗑
|
||||
| Constraints | in a decision are the restrictions placed on potential solutions to a problem. Boundaries/limits on types of things trying to figure out, so not too broad.
🗑
|
||||
| Methods of Collecting Data | Sampling, Probability Sampling, Nonprobability Sampling, Statistical Inference
🗑
|
||||
| Sampling | involves selecting representative elements from a population. Involves making judgments about whole by what you know about a few.
🗑
|
||||
| Probability sampling | random sample
🗑
|
||||
| Nonprobability sampling | involves using arbitrary judgments to select the sample so that the chance of selecting a particular elements by an unknown or 0. A random sample w/ consraints, can't get statistical inference
🗑
|
||||
| Statistical inference | involves drawing conclusions about a population from a sample taken from that population. Drawing conclusions from information gotten from research.
🗑
|
||||
| Data | the facts & figures related to the problem, & are divided into 2 main parts: secondary data & primary data.
🗑
|
||||
| Secondary data | facts & figures that have already been recorded before the project at hand. The advantage is that it is inexpensive & fast. The disadvantages are that it’s not specific to your problem. (Internal & external)
🗑
|
||||
| Primary data | facts & figures that are newly collected for the project. The advantages are that it is specific to the problem. The disadvantage is that it’s time consuming & expensive. (Observation, Questionarre)
🗑
|
||||
| Observational data | the facts & figures obtained by watching, either mechanically or in person, how people actually behave. More truthful.
🗑
|
||||
| Questionnaire data | the facts & figures obtained by asking peple about their attitudes, intentions & behaviors.
🗑
|
||||
| "Fuzzy Front End" | try to id trends before typical consumers have recognized them themselves.
🗑
|
||||
| Question Formats | 1.Open ended, 2. fixed alt., 3.Dichotomous(Y/N), 4. Semantic Differential(Y/N scale), 5.Likert(agrrement scale)
🗑
|
||||
| Data mining | the extraction of hidden predictive information from large databases.
🗑
|
||||
| Information technology | involves a computer & communication system to satisfy an organization’s needs for data storage, processing & access. There is lots of statistical information available.
🗑
|
||||
| Market Segmentation | putting prospective buyers into groups that 1. have common needs, 2. will respond simarlarly to the market action
🗑
|
||||
| Market segments | the relatively homogeneous groups of prospective buyers that result from the market segementation process.
🗑
|
||||
| Product differentation | a strategy that involves a firm’s using different marketing mix activities to help consumers perceive the product as being different & better than competing products.
🗑
|
||||
| Market-product grid | a framework to relate the market segments of potential buyers to products offered or potential marketing actions by the firm.
🗑
|
||||
| Synergy | the increased customer value achieved through performing organizational functions more efficicently. Customers are the reason companies do things more efficicently & that benefit goes back to the customer through customer value.
🗑
|
||||
| Usage rate | the quantity consumed or patronage (store visits) during a specific period of time. An example is frequent flier miles.
🗑
|
||||
| 80/20 Rule | concept that suggests 80% of a firm’s sales are obtained from 20% of its customers. And 20% of business from 80% of customers
🗑
|
||||
| Product positioning | refers to the place an offering occupies in consumers’ minds on important attributes relative to competitive products.
🗑
|
||||
| Product repositioning | involves changing the place an offering occupies in a consumer’s mind relative to competitive’s products
🗑
|
||||
| Perceptual map | a means of displaying or graphing in 2 dimensions the location of products or brands in the minds of consumers to enable a manager to see how consumers to enable a manager to see how consumers perceive competing products or brands relative to its own & th
🗑
|
||||
| Market/Industry potential | the maximum total sales of a product by all firms to a segment during a specified time period under specified environmental conditions & marketing efforts of the firm. Also called industry potential
🗑
|
||||
| Sales/Company forecast | refers to the total sales of a product that a firm expects to sell during a specified time period under specified environmental conditions & its own marketing efforts. Also called company forecast.
🗑
|
||||
| Direct forecast | involves estimating the value to be forecast without any intervening steps. The best guess of a person who’s selling based on what they think.
🗑
|
||||
| Lost horse forecast | making a forecast using the last known value & modifying it according to positive or negative factors expected in the future. When bring products back when they’ve phased it out for a while. Go from where product last was & go from there (the closest know
🗑
|
||||
| Survey of Buyers’ Intention Forecast | asking prospective customers if they are likely to buy the product during a coming period.
🗑
|
||||
| Trend Extrapolation | extending a pattern observed in past data into the future
🗑
|
||||
| Linear Trend Extrapolation | using a straight line to extend a pattern observed in past data into the future
🗑
|
||||
| Product | a good, service, or idea consisting of a bundle of tangible & intangible attributes that satisfies consumers & is received in exchange for money or some other unit or value
🗑
|
||||
| Product line | group of products that are closely related b/c they satisfy a class of needs, are used together, are sold to the same customer group, are distributed through the same type of outlets, or falls within a given price range.
🗑
|
||||
| Product mix | the number of product lines offered by a company
🗑
|
||||
| Consumer goods | products purchased by the ultimate consumer
🗑
|
||||
| Business goods | products that assist directly or indirectly in providing products for resale. Also called as B2B goods, industrial goods or organizational goods.
🗑
|
||||
| Convenience goods | items that the consumer purchases frequently, conveniently & with a minimum of shopping effort.
🗑
|
||||
| Shopping goods | items for which the consumer compares several alternatives on criteria, such as price, quality or style.
🗑
|
||||
| Specialty goods | items that a consumer makes a special effort to search out & buy.
🗑
|
||||
| Unsought goods | items that the consumer either does not know about or knows about but does not initially want
🗑
|
||||
| Production goods | items used in the manufacturing process that become part of the final product
🗑
|
||||
| Support goods | items used to assist in producing other goods & services
🗑
|
||||
| Protocol | a statement that, before product development begins, identifies: 1) a well-defined target market 2) specific customers’ needs, wants & preferences 3) what the product will be & do
🗑
|
||||
| New-product Strategy Development | the stage of the new product process that defines the role for a new product in terms of the firm’s overall corporate objectives.
🗑
|
||||
| Six sigma | means to “delight the customer” by achieving quality through a highly disciplined process to focus on developing & delivering near-perfect products & services.
🗑
|
||||
| Idea generation | the stage of the new-product process that involves developing a pool of concepts as candidates for new products
🗑
|
||||
| Screening & evaluation | the stage of the new-product process that involves internal & external evaluations of the new-product ideas to eliminate those that warrant no further effort
🗑
|
||||
| Business analysis | the stage of the new-product process that involves specifying the product features & marketing strategy & making necessary financial projections needed to commercialize a product.
🗑
|
||||
| Development | stage of the new-product process that involves turning the idea on paper into a prototype.
🗑
|
||||
| Market testing | stage of the new-product process that involves exposing actual products to prospective consumers under realistic purchase conditions to see if they will buy
🗑
|
||||
| Commercialization | stage of the new-product process that involves positioning & launching a new product in full-scale production & sales
🗑
|
||||
| Slotting fee | payment a manufacturer makes to place a new item on a retailer’s shelf.
🗑
|
||||
| Failure fee | penalty payment a manufacturer makes to compensate a retailer for sales its valuable shelf space failed to make.
🗑
|
||||
| product life cycle | describes the stages a new product goes through in the marketplace: introduction, growth, maturity & decline
🗑
|
||||
| Product class | the entire product category or industry. Example: string trimmers, like a weed eater
🗑
|
||||
| Product form | pertains to variations of a product within the product class. Example: weed eater: gas, electric, fat string, skinny string, etc.
🗑
|
||||
| Product modification | altering a product’s characteristic, such as its quality, performance or appearance, to try to increase the product’s sales
🗑
|
||||
| Market modification | a strategy in which a company tries to find new customers, increase a product’s use among existing customers or create new use situations.
🗑
|
||||
| Trading up | involves adding value to a product (or line) through additional features or higher-quality materials
🗑
|
||||
| "Trading down | reducing the number of features, quality or price.
🗑
|
||||
| Downsizing | reducing the content of packages without changing package size & maintaining or increasing the package price.
🗑
|
||||
| Branding | a basic decision in marketing products in which an organization uses a name, phrase, design or symbols, or combination of these to identify its products & distinguish them from those of competitors
🗑
|
||||
| Brand name | in any word, device (design, shape, sound, or color), or combination of these used to distinguish a seller’s goods or services
🗑
|
||||
| Trade name | a commercial, legal name under which a company does business
🗑
|
||||
| Trademark | identifies that a firm has legally registered its brand name or trade name so the firm has its exclusive use, thereby preventing others from using it.
🗑
|
||||
| Brand personality | a set of human characteristics associated with a brand name.
🗑
|
||||
| Brand equity | the added value of a given brand name gives to a product beyond the functional benefits provided
🗑
|
||||
| Brand licensing | contractual agreement whereby one company (licensor) allows its brand name(s) or trademark(s) to be used with products or services offered by another (license) for a royalty or fee
🗑
|
||||
| Multi-product Branding | a branding strategy in which a company uses one name for all its product in a product class
🗑
|
||||
| Co-branding | a branding strategy that involves the practice of the pairing of 2 brand names of 2 manufacturers on a single product
🗑
|
||||
| Multi branding | branding strategy that involves giving each product a distinct name when each brand is intended for a different market segment
🗑
|
||||
| Private branding | branding strategy used when a company manufactures products but sells them under the brand name of a wholesaler or retailer. Also called private labeling or reseller branding
🗑
|
||||
| Mixed branding | a branding strategy where a firm markets products under its own name(s) and that of a reseller because the segment attracted to the reseller is different from its own market
🗑
|
||||
| Packaging | component of a product that refers to any container in which it is offered for sale & on which label information is conveyed.
🗑
|
||||
| Label | integral part of the package that typically identifies the product or brand, who made it, where & when it was made, how it is to be used, & package contents & ingredients
🗑
|
||||
| Warranty | statement indicating the liability of the manufacturer for product deficiencies.
🗑
|
||||
| Business marketing | is the marketing of goods and services to companies, government, or non-profit organizations for the use in the creation of goods and services that they can produce and market to others
🗑
|
||||
| Organizational buyers | are those manufacturers, wholesalers, retailers, and government agencies that buy goods and services for their own use or for resale. There are 3 different markets.
🗑
|
||||
| 3 markets of organizational buyers | 1. Industrial/Buisness Markets, 2. Reseller Markets, 3.Gevernment Markets
🗑
|
||||
| Primary Demand | A demand for a class of products
🗑
|
||||
| Selective Demand | A brand of a class of products
🗑
|
||||
| Skimming Strategy | Enter market at highest price for as long as possible
🗑
|
||||
| Penetration Pricing | Enter Market at low price to reach as many people as possible & create a brand loyalty
🗑
|
||||
| Introduction of a Product | trying to increase primary demand, use pricing strategies
🗑
|
||||
| Growth of a Product | rapid sales, repeat purchasers, new features, broader distribution and gain competitors
🗑
|
Review the information in the table. When you are ready to quiz yourself you can hide individual columns or the entire table. Then you can click on the empty cells to reveal the answer. Try to recall what will be displayed before clicking the empty cell.
To hide a column, click on the column name.
To hide the entire table, click on the "Hide All" button.
You may also shuffle the rows of the table by clicking on the "Shuffle" button.
Or sort by any of the columns using the down arrow next to any column heading.
If you know all the data on any row, you can temporarily remove it by tapping the trash can to the right of the row.
To hide a column, click on the column name.
To hide the entire table, click on the "Hide All" button.
You may also shuffle the rows of the table by clicking on the "Shuffle" button.
Or sort by any of the columns using the down arrow next to any column heading.
If you know all the data on any row, you can temporarily remove it by tapping the trash can to the right of the row.
Embed Code - If you would like this activity on your web page, copy the script below and paste it into your web page.
Normal Size Small Size show me how
Normal Size Small Size show me how
Created by:
ar1356
Popular Marketing sets