Help
Options
Didn't know it?
click below
click below
Knew it?
click below
click below
Don't Know
Remaining cards (0)
Know
retry
shuffle
restart
0:00
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
Ag Marketing Exam 1
| Question | Answer |
|---|---|
| ____ new food products are launched every day. | 34 |
| Great variation on __ ___ __ trends | individual product consumption |
| Branding Advantages: | Use of advertising and promotion Brand loyalty Market segmentation Profit through price control Corporate image |
| Attributes/objectives of effective advertising: | Create product awareness for a new product Emphasize special features of existing products Brand name reminder advertising Build consumer demand to pull product through channel |
| Provides purchase incentives like coupons; can be directed to distributors | Promotion |
| Marketing Functions: | Storage Transportation Processing and Packaging |
| Set of firms that move a commodity from the farm to the consumer | Input Supplier, production, assembly, processing, wholesaling, retailing, consumption |
| Consumer concerns: | Environmental - energy use, water, land, air, animal Animal production and processing Biotechnology and GMOs Social - farm labor, poverty |
| Describe food demand today: | Less meal prep at home Meal planning done just before meal time Avg. shopping trip = 20 minutes Meal prep time = 20 minutes Food service activities will capture consumer food expenditure growth |
| Factors affecting consumption patterns: | Increased income More dual income families More single parent families Changing lifestyles |
| Reduces buyer and seller search and transaction costs and fosters a more efficient price discovery process | Uniform food quality grades |
| Demand Curve Shifters | Income Price of substitutes and complements Tastes and Preferences Number of consumers Expectations |
| A tendency for the share of a family's (or the nation's) income spent for food to fall as income rises | Engel's Law |
| As you make money, the proportion of food expenditures to income tends to be smaller. Why? | Increased disposable income Decreased percentage of income spent for food |
| Product that reduces the amount of time, effort, or additional ingredients required of the consumer in preparing food. | Convenience food |
| Identified group or submarket within the total market with different perceived needs | Market Segments |
| Process of identification and focusing on such target markets with differentiated strategies | Market Segmentation |
| Us Food Market: Buys around ___ % of the US agricultural production. | 70 |
| Us Food Market: __ Market for food; overall growth related to population increased. | Mature |
| Each level has to be achieved before the next comes into play; 5 levels | Maslow's Need Hierarchy: Survival Security Social Self-Actualization Self-Esteem |
| What country has the cheapest food costs in the industrialized world, and the smallest percentage of their total income of food? | United States |
| Consumer concerns about food products: | Nutrition Food Safety - microbiological, chemical, contaminants Quality and Shelf life |
| The more highly __ the product, the ___ the percentage of the price that goes back to the farmer. | processed; lower |
| __ are receiving a higher percentage of the increase spending compared to the producers | Agribusinesses |
| Increasing demand for food service? | Increased demand for more processed, consumer friendly products |
| What is the difference between a firm that sets price versus a firm that works with other firms to fix the price? | Monopoly vs. cartel |
| What is the market structure of a firm that sets price? | Monopoly or Monopolistic Competition |
| Agribusiness with product differentiation with "low farm component" (product marketing) | Price Markers |
| Analysis of entire market | Macro-marketing |
| The performance of business activities that direct the forward flow of goods and services to customers and that accomplish the farmers' or firms objectives | Micro-marketing |
| The functional approach is made of what? | Exchange Physical Facilitating |
| Top 2 Crop Commodities | Corn Soybeans |
| __ sales are larger than __ sales for the first time. | crop; livestock |
| List 3 reasons for value-added trade growth | Increase in disposable incomes in importing countries Lower trade barriers Changing consumer tastes and preferences |
| What is the average US farm size? | 434 acres |
| What are the two flows of marketing? | Physical Exchange |
| What is the approach that studies individuals, agencies, and businesses that promote the marketing process? | Institutional |
| What is the dollar amount of sales for Virginia Agriculture? | 3 billion |
| What is the #1 commodity produced in Virginia? | Broilers |
| What is the global population? | 7 billion |
| What do farming, storage, and transportation do to a product? | Add value |
| Buying increases as price decreases | Law of demand |
| Average farm size in Virginia | 180 acres |
| How many of Virginia agribusinesses are fortune 500 industries? | 5 |
| Why has corn production increased? | Ethanol |
| The port of Virginia is within a day's drive for __ people. | 97 million |
| What are the highest valued livestock? | Cattle/calves |
| Changes in the quantity supplied represent - | Supply |
| What percent of US ag is sold abroad? | 30% |
| Agribusinesses with none or weak product differentiation and "high farm component" (commodity handling) | Margin Makers |
| Few buyers | Oligopsony |
| The 4 P'S: | Price Place Production Promotion |
| Differentiated products associated with downward sloping demand curve; producer can control price over a limited range depending upon the degree; the seller does not face an unlimited demand at a set price | Monopolistic Competition |
| Selling | Merchandising |
| Economic goods that can be legally produced and sold by almost any one | Commodities |
| Limited resources can be shifted in the short run. Supply is ___. | inelastic |
| Due to biological lags, farmers' outputs are based on __ __, well before harvest. | Expected prices |
| Cannot be differentiated from production of others; cannot be promoted by individual producers because market entry is easy | Agricultural Commodities |
| The time period between the production decision and the delivery due due to the biological nature of agricultural products | Biological Lags |
| Adds form utility to the product | Processing and Packaging |
| Adds place utility to the product | Transportation |
| Adds time utility to the product | Storage |
| Buying | Procurement |
| Intended to educate/persuade the consumer (information) | Advertising |
| Refers to the firm's adding of value to the raw commodities through processing and packaging of products such as bread, frozen pizza, and cereal. | product marketing |
| Facilitating Functions: | standardization market intelligence financing risk bearing |
| Differentiated from production of all others; manufacturer sets price; advertising and promotion are effective; may be copyrighted, patented, or trademarked; greater number of marketing alternatives | Food production |
| Expanded to address food safety and quality throughout the channel; a preventative system primarily adopted by processing plants | HACCP (Hazard Analysis Critical Control Points) |
| For poultry and eggs, the farmer receives about __% of the consumer dollar. | 41 |
| US Food Market: Over ___ million consumers | 300 |
| Demand for a good occurs as a result of the demand for another intermediate of final good | Derived Demand |
| One buyer | Monopsony |
| Take the product to the consumers | Push |
| Get the consumer to come to you | Pull |
| Price difference between what farmers receive and consumers pay | Farm-to-Retail Price Spread |
| Along the marketing chain, the difference between the buying and selling price | Margin |
| The sorting of unlike lots of same products into uniform categories; according to quality standards | Grading |
| Refers to firms handling commodities through the marketing channel with little processing involved | Commodity Handling |
| Handlers experience __ __ __ with small profit margins | heavy price competition |
| The main technique non-perfectly competitive firms use to develop and maintain market share | Effective Advertising |
Created by:
ellenc6
Popular Agriculture sets