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
Marketing Exam 2
| Term | Definition |
|---|---|
| Business-To-Business Marketing | The marketing of products and services to companies, governments, or nonprofit organizations for use in the creation of products and services that they can produce and market to others. |
| The 3 types of organizational markets | 1. Industrial 2. Resellers 3. Government |
| Industrial Market | These firms in some way reprocess a product or service they buy before selling it again to the next buyer |
| Resellers | Wholesalers and retailers that buy physical products and resell them without and reprocessing. |
| Government Markets | Federal, state, and local agencies that buy goods and services for the constituents they serve. |
| Reciprocity | When 2 organizations agree to buy each other's products or services. |
| Supply Partnership | When a buyer and its supplier adopt mutually beneficial objectives and procedures for the purpose of lowering cost or increasing the value of products or services delivered to the ultimate consumer. |
| Derived Demand | The demand for industrial products and services that is driven by, or derived from, the demand for consumer products and services. (Example: Fidget Spinners) |
| Organizational Buying Behavior | 1. Market Characteristics 2. Product or Service Characteristics 3. Buying Process Characteristics 4. Marketing Mix Characteristics- Direct selling is the rule |
| Buying Center | The group of people in an organization who participate in the buying process and share common goals, risks, and knowledge important to a purchase decision. |
| Types of Buys | 1. New Buys 2. Straight Rebuys 3. Modified Rebuys |
| New Buy | The organization is first-time buyer of a product or service. |
| Straight Rebuy | When an organization rebuys a product without hesitation or looking for alternative suppliers. |
| Modified Rebuy | Deciders in the buying center want to change the products specifications. Such as price, delivery, or supplier. |
| Organizational Buying Process | 1. Problem Recognition 2. Information Search 3. Alternative Evaluation- Negotiation takes place here & 4 4. Purchase Decision- Contract Awarded 5. Post Purchase Behavior |
| E-Marketplace | Online trading communities that bring together buyers and supplier organizations to make possible the real-time exchange of information, money, products, and services. Also called B2B exchanges or e-hubs. |
| Traditional Auction | A seller puts up an item for sale, and potential buyers are invited to bid in competition with each other. |
| Reverse Auction | A buyer communicates a need for a product or service, and potential suppliers are invited to bid in competition with each other. |
| Home vs. Workplace Buyers | Buying furniture for home vs. buying toilet paper for workplace bathrooms. |
| Countertrade | Using bartering rather than money for global sales. |
| GDP | The monetary value of all products and services produced in a country for one year. |
| Protectionism | The practice of shielding one or more industries within a country’s economy from foreign competition through the use of tariffs or quotas. |
| Quota | A restriction placed on the amount of a product allowed to enter or leave a country. |
| Tariff | Government taxes on products or services entering a country that primarily serve to raise prices on imports. |
| Globalization | The focus on creating economic, cultural, political, and technological interdependence among individual national institutions and economies. |
| Global Competition | Exists when firms originate, produce, and market their products and services worldwide. |
| Types of Firms | 1. International 2. Multinational 3. Transnational |
| International Firms | Engages in trade and marketing in different countries as an extension of the marketing strategy in its home country. |
| Multinational Firms | Views the world as consisting of unique parts and markets to each part differently. Uses the multidomestic marketing strategy. |
| Multidomestic Marketing Strategy | A strategy used by multinational firms that have as many different product variations, brand names, and advertising programs as countries in which they do business. |
| Transnational Firms | Views the world as one market and emphasizes cultural similarities across countries or universal consumer needs and wants rather than differences. They use the global marketing strategy. |
| Global Marketing Strategy | A strategy used by transnational firms that employ the practice of standardizing marketing activities when there are cultural similarities and adapting them when cultures differ. |
| Economic Espionage | The clandestine collection of trade secrets or proprietary information about a company’s competitors. |
| Cross-Cultural Analysis | The study of similarities and differences among consumers in two or more nations or societies. |
| Values | Personally, or socially preferable modes of conduct or states of existence that tend to persist over time. |
| Customs | What is considered normal and expected about the way people do things in a specific country. |
| Language | How consumers communicate in their given countries. |
| Ethnocentrism | The belief that your own culture is superior to another. |
| Economic Considerations | 1. Assessment of the economic infrastructure 2. Measurement of consumer income 3. Recognition of a country's exchange rate |
| Currency Exchange Rate | The price of one country’s currency expressed in terms of another country’s currency. |
| Global Market Entry Strategies | 1. Exporting 2. Licensing 3. Joint Venture 4. Direct Investment |
| Exporting | A global market-entry strategy in which a company produces products in one country and sells them in another country. |
| Licensing | A company offers the right to a trademark, patent, trade secret, or other similarly valued item of intellectual property in return for a royalty or fee. |
| Joint Venture | A global market-entry strategy in which a foreign company and a local firm invest together to create a local business in order to share ownership, control, and profits of the new company. |
| Direct Investment | A domestic firm investing in and owning a foreign subsidiary or division. |
| Product Extensions | Selling virtually the same product in other countries. |
| Product Adaptation | Changing a product in some way to make it more appropriate for consumer preferences or a countries climate. |
| Product Invention | Inventing totally new products designed to satisfy common needs across countries. |
| 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. (Black Market) |
| Steps in the market research process | 1. Define the problem 2. Develop the research plan 3. Collect relevant information 4. Develop findings 5. Take marketing actions |
| Define the problem | Set research objectives & identify possible marketing actions. |
| Develop the research plan | Specify constraints, identify data needed for marketing, & determine how to collect data. |
| Collect relevant information | Obtain secondary data & obtain primary data |
| Take marketing actions | Make action recommendations, implement action recommendations, & evaluate results. |
| Measures of success | Criteria or standards used in evaluating proposed solutions to the problem. |
| Constraints | In a decision, the restrictions placed on potential solutions to a problem. |
| Primary Data | Facts and figures that are newly collected for the project. |
| Secondary Data | Facts and figures that have already been recorded prior to the project at hand. |
| Data | The facts and figures related to the project that are divided into two main parts: secondary data and primary data. |
| Observational Data | Facts and figures obtained by watching how people actually behave, using mechanical, personal, or neuromarketing data collection methods. |
| Mystery Shopper | A person hired to pretend to be a normal customer to see how well a business treats customers and follows its rules. |
| Ethnographic | A research method where someone watches how people behave in their normal environment to understand their habits. |
| Neuromarketing | Using brain science to study how people react to ads, brands, and products. Usually use a neuroresponse tool. |
| Questionnaire Data | Facts and figures obtained by asking people about their attitudes, awareness, intentions, and behaviors. Surveys. |
| Focus Group | A small group of people who talk about a product or idea to give their opinions. |
| Test Market | A small area where a company tries selling a new product to see how people react before selling it everywhere. |
| IT (Information Technology) | Includes all of the computing resources that collect, store, and analyze data. |
| Data Mining | The extraction of hidden predictive information from large databases to find statistical links between consumer purchasing patterns and marketing actions. |
| Sales Forecast | A prediction of how much a company expects to sell in the future. |
| PEPSI QUESTION | WHICH FLAVOUR DO YOU PREFER? |
| LEGO'S MEASURE OF SUCCESS | PLAY TIME |
| Market Segmentation | Involves aggregating prospective buyers into groups, or segments, that (1) have common needs and (2) will respond similarly to a marketing action. |
| Product Differentiation | A marketing strategy that involves a firm using different marketing mix actions to help consumers perceive a product as being different and better than competing products. |
| Market-Product Grid | A framework to relate the market segments of potential buyers to products offered or potential marketing actions. |
| Market segmentation should lead to a increase in sales and profitability | If not, don't do it. |
| Segmentation is... | The link between buyers' needs and the marketing program. |
| Geographic Segmentation | Based on where potential customers live or work. |
| Demographic Segmentation | Based on some objective- age, gender, income. |
| Mass Customization | Making products that can be customized for each customer but still produced in large amounts. |
| Cannibalization | When a company’s new product takes sales away from its own existing product. |
| Tiffany/Walmart Strategy | Firms now offer 2 tiers, high-end and low-end products. |
| Reasons to segment markets | 1. Market size. 2. Expected growth. 3. Competitive position. 4.Cost of reaching the segment. 5. Compatibility with the organization’s objectives and resources. |
| Personas | Character descriptions of a typical customer in the form of fictional character narratives, complete with images that capture the personalities, values, attitudes, beliefs, demographics, and expected interactions with a brand. |
| Product Positioning | The place a product occupies in consumers’ minds based on important attributes relative to competitive products. |
| Product Repositioning | Changing the place a product occupies in a consumer’s mind relative to competitive products. |
| Perceptual Map | A means of displaying in two dimensions the location of products or brands in the minds of consumers to enable a manager to see how they perceive competing products or brands, as well as the firm’s own product or brand. |
| Product | A good, service, or idea consisting of a bundle of tangible and intangible attributes that satisfies consumers’ needs and is received in exchange for money or something else of value. |
| Service | Intangible activities or benefits that an organization provides to satisfy consumers’ needs in exchange for money or something else of value. |
| Durable | A good that lasts over many uses. (car, phone, airplane) |
| Convenience Products | Items that the consumer purchases frequently, conveniently, and with a minimum of shopping effort. |
| Shopping Products | Items for which the consumer compares several alternatives on criteria such as price, quality, or style. |
| Specialty Products | Items that the consumer makes a special effort to search out and buy. |
| Unsought Products | Items that the consumer does not know about or knows about but does not initially want. |
| Product Item | A specific product that has a unique brand, size, or price. |
| Product Line | A group of product or service items that are closely related because they satisfy a class of needs, are used together, are sold to the same customer group, are distributed through the same outlets, or fall within a given price range. |
| Product Mix | Consists of all product lines offered by an organization. |
| Innovation | Creating a new idea, product, or way of doing something that improves things. |
| Continuous Innovation | Consumers don't need to learn new behavior. No re-education is needed. |
| Dynamically Continuous Innovation | Only minor changes in behavior are needed. |
| Discontinuous Innovation | Completely new behavior is learned. Lots of teaching takes place. |
| Protocol | A statement that, before product development begins, identifies (1) a well-defined target market; (2) specific customers’ needs, wants, and preferences; and (3) what the product will be and do to satisfy consumers. |
| Business Products | Products that companies buy to help run their business or make other products. Or used at businesses. |
| Consumer Products | Products that people buy for their personal use. |
| A product is new if... | It is functionally different from similar products. |
| Reasons for new product failures | Insignificant difference, incomplete planning, doesn’t meet key customer needs, bad timing, hard to reach buyers, poor marketing mix, low market demand, and poor product quality. |
| New Product Development Process | 1. New-Product Strategy Development 2.Idea Generation 3. Screening and Evaluation 4. Business Analysis 5. Development 6. Marketing 7. Commercialization |
Created by:
user-2022651