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177 terms

MKT 300 Exam 1 Study Guide

STUDY
PLAY
Marketing
Term: The process of creating, distributing, promoting and pricing goods, services and ideas to facilitate satisfying exchange relationships with customers and develop and maintain favorable relationships with stakeholders in a dynamic environment.
Customers and Target Market
What is the focus of marketing? (2 things)
Customers
Term: The purchasers of organizations' products. Are the focal point of all marketing activities.
Target Market
Term: A specific group of customers on whom an organization focuses its marketing efforts.
Marketing Mix
Term: Marketing deals with 4Ps which are also known as the _____ _____. Marketers combine and balance four elements when determining how to satisfy customers' needs for a product.
Product Variable
Term: Part of the marketing mix. A variable that can be a good, service, or idea.
Price Variable
Term: Part of the marketing mix. A variable that relates to decisions and actions associated with establishing pricing objectives and policies. Relates to determining product prices. Determines the value of the exchange.
Distribution Variable
Term: Part of the marketing mix. Variable that used to be "Place." Makes products available in quantities desired. Minimizes costs of inventory, transportation, and storage. Select/motivate intermediaries. Establish/maintain inventory control. Develop/manage transportation and storage systems.
Promotion Variable
Term: Part of the marketing mix. Variable that informs individuals or groups about the organization and its products/services. Advertising, public relations, personal selling, promotions, street teams, viral marketing.
Marketing Environment
Term: The six forces that surround the customer and affect the marketing mix. Economic forces, political forces, legal and regulatory forces, technological forces, sociocultural forces, competitive forces.
The Marketing Concept
Term: a management philosophy that an organization should try to provide products that satisfy customers' needs through a coordinated set of activities that also allows the organization to achieve its goals.
Marketing; Philanthropic
The marketing concept is not a second definition of ______ or _____ philosophy. A firm must satisfy its own objectives.
Production Orientation
The Evolution of Marketing Concept:
Term: Industrial Revolution improved speed and efficiency. Large increases in available products.
Sales Orientation
The Evolution of Marketing Concept:
Term: Many products with not enough demand. Businesses viewed sales and selling as the main means of increasing profits.
Market Orientation
The Evolution of Marketing Concept:
Term: An organization-wide commitment to researching and responding to customer needs. Determine what customers want and produce those products.
Value
Value-Driven Marketing:
_____: a customer's subjective assessment of benefits relative to costs in determining the worth of a product. _____ = Customer Benefits - Customer Costs
B
Marketing is the process of:
A) Promoting products through personal selling and advertising to develop and maintain favorable relationships with customers and stakeholders.
B) Creating, distributing, promoting, and pricing products to facilitate satisfying exchange relationships with customers and to develop and maintain favorable relationships with stakeholders in a dynamic environment.
C) Delivering a standard of living to a society.
D) Creating, distributing, promoting, and pricing goods, services, and ideas to facilitate the achievement of the firm's objectives.
E) Focusing on customers' needs.
B
Distribution, price, promotion, and product are all elements of:
A) Marketing strategy.
B) The marketing mix.
C) A target market.
D) A consumer good.
E) A business strategy.
Health Conscious Consumers
Quiz Question: Who is Skinny Cow's target market?
Target Market
Quiz Question: Coca-Cola is aiming its Diet Coke Plus at health-conscious customers. These health-conscious customers represent Coke's _____.
Exchange
Quiz Question: An outcome of marketing in which people give up something to receive something they would rather have is _____.
True
Quiz Question: True or False: Marketing is not just a job done by a company's marketing department.
Yes
Quiz Question: True or False: A course in marketing is helpful even when not pursuing a marketing career.
Marketing Strategy
Term: A plan of action for identifying and analyzing a target market and developing a marketing mix to meet the needs of that market.
Organization; Areas; Marketing; Strategic
Effective Marketing Strategy:
Reflects overall direction of _____.
Coordinated with firm's functional _____.
Contributes to achievement of _____ objectives and _____ goals.
Marketing Plan
Term: a written document that specifies the activities to be performed to implement and control the organization's marketing activities.
Competitive Advantage
Term: the result of a company's matching a core competency (superior skill or resources) to opportunities in the marketplace. E.g. cheaper, more widely available, stronger service support, higher quality. Example: Patagonia.
Corporate Identity
Term: Should support all corporate activities. Unique symbols, personalities, and philosophies.
Corporate Strategy
Term: a strategy that determines the means for utilizing resources in the various functional areas to reach the organizations goals. Functional areas include marketing, production, finance, R&D, and human resources.
Marketing Implementation
Term: The process of putting marketing strategies into action.
Intended Strategy
Term: The strategy the organization decides on during the planning phase and wants to use.
Realized Strategy
Term: The strategy that actually takes place.
C
The marketing plan is:
A) A plan of all aspects of an organization's business strategy.
B) Written differently for each SBU.
C) A written document detailing activities to be performed to implement and control marketing actions.
D) Designed to specify not only marketing, but all other functional areas to business activities as well.
E) Updated only periodically.
A
The process of putting marketing strategies into action is called:
A) Marketing implementation.
B) Marketing control.
C) Marketing action.
D) Marketing auditing.
E) The marketing action plan.
Mission Statement
Quiz Question: The questions "Who are our customers?" and "What is our competency?" are answered in the firms _____ _____.
Cash Cow
Quiz Question: It is seen that Super Mario Bros. is constantly re-releasing the old titles of the Super Mario series because of its high demand. It can be said that, Super Mario series belong to the _____ _____ business category of the BCG matrix.
Employees of the Company
Quiz Question: Internal customers refer to the _____.
Benchmarking
Quiz Question: _____ is a management technique aimed at detecting "best practice" in other organizations and then adopting it in one's own.
True
Quiz Question: True or False: One of the most critical elements in successful strategic planning is top management's support and participation.
Environmental Scanning
Term: The process of collecting information about forces in the marketing environment.
Monopoly
Types of Competitive Structures:
Term: when an organization offers a product that has no close substitute, making it the sole source of supply. Example: Fort Collins (Colorado) water utilities.
Oligopoly
Types of Competitive Structures:
Term: when a few sellers control the supply of a large proportion of a product. Example: GM (autos).
Monopolistic Competition
Types of Competitive Structures:
Term: When an organization with many competitors develops a marketing strategy to differentiate its product. Example: Levi Strauss (Jeans).
Pure Competition
Types of Competitive Structures:
Term: Involves a large number of sellers, no one of which influences price or supply. Example: Farmers Market.
Consumer Protection Legislation
Term: Federal and state laws. Protects people from harm. Prohibits hazardous products. Requires information disclosure. Aimed at particular marketing activities.
Self-Regulatory Forces
Term: _____ _____ _____
Some business chose to self-regulate. Often to help organizations like Better Business Bureau (BBB) or National Advertising Review Board (NARB).
Advantages
Less expensive and more realistic are _____ or self-regulatory forces.
Disadvantages
Nonmember firms do not have to abide, lack of enforcement tools, and often less strict are _____ of self-regulatory forces.
Technology
Firms must keep up with _____ to maintain their status as market leaders.
Copied
Firms must ensure that their technology is not easily _____.
Technological Assessment
Firms use a _____ _____ to learn about and attempt to foresee the effects of new products and processes.
Cultural Values
Term: Changes in these alter people's needs and desires for products. Health, nutrition and exercise growing in importance. Definitions of family are changing.
A
To monitor changes int he marketing environment effectively, marketers must engage in
A) Environmental scanning and analysis.
B) Economic scanning.
C) Self-regulatory analysis.
D) Marketing research analysis.
E) Information collecting.
B
Most marketers operate in a competitive environment of either
A) Oligopoly or monopoly.
B) Oligopoly or monopolistic competition.
C) Oligopoly or pure competition.
D) Monopoly or pure competition.
E) Pure competition or monopolistic competition.
Brand
Quiz Question: Coca-Cola Classic, Pepsi Cola and Dr. Pepper are all examples of _____ competitors.
Oligopoly
Quiz Question: What competitive structure exists in the automobile industry?
Depression
Quiz Question: A prolonged recession will lead to a _____.
Self-Sustaining
Quiz Question: The _____ _____ nature of technology relates to the fact that technology acts as a catalyst to spur even faster development.
Social Culture
Quiz Question: Which factor is the most difficult external variable to forecast, influence or integrate into market planning.
Social Responsibility
An organization's obligation to maximize its positive impact and minimize its negative impact on society.
Citizen
Being a good corporate _____ can result in greater consumer trust and loyalty.
Positive; Benefits
Social responsibility can produce _____ publicity and indirect long-term _____.
Cause-Related Marketing
Corporate Philanthropy:
Term: the practice of linking products to a particular social cause or an ongoing or short term basis.
Strategic Philanthropy
Corporate Philanthropy:
Term: the synergistic use of organizational core competencies and resources to address key stakeholders' interests and achieve both organizational and social benefits.
Ethical Issues
Term: an identifiable problem, situation, or opportunity requiring a choice among several actions that must be evaluated as right or wrong, ethical or unethical.
Mix; Solve
Ethical issues can become a problem in all elements of the marketing _____.
Marketers must be able to recognize problems and _____ them.
Product
Sample Ethical Issues Related to the Marketing Mix:
_____: Covering up defects that could cause harm to a consumer.
Distribution
Sample Ethical Issues Related to the Marketing Mix:
_____: Counterfeit products are widespread (i.e. computer software).
Promotion
Sample Ethical Issues Related to the Marketing Mix:
_____: Deceptive advertising.
Pricing
Sample Ethical Issues Related to the Marketing Mix:
_____: Indicating that an advertised sales price is a reduction below the regular price when in fact that is not the case.
Ethical; Socially
Social Responsibility and Ethics Improve Marketing Performance:
Evidence shows there are long-term financial benefits to being _____ and _____ responsible.
B
Employees, customers, communities, and investors are all considered _____ in relation to marketing.
A) Responsibility.
B) Stakeholders.
C) Shareholders.
D) Constituents.
E) Owners.
B
All companies have a responsibility to _____ so they can provide a return on investment to their owners and investors, create jobs for the community, and contribute goods and services to the economy.
A) Offer the lowest price.
B) Be profitable.
C) Obey their customers.
D) Provide the largest selection possible.
E) Pay employees more than minimum wage.
Ethical; Social Responsibility
Quiz Question: _____ relates to individual and group decisions - judgements about what is right and wrong in a particular decision making situation and _____ deals with the total effect of marketing decisions on society.
Marketing Citizenship
Quiz Question: The adoption of a strategic focus for fulfilling the economic, legal, ethical, and philanthropic social responsibilities expected by the stakeholders is known as _____.
Stakeholders
Quiz Question: Employees, customers, communities, and investors are all considered _____ in relation to marketing.
Green Marketing
Quiz Question: Which of the following types of marketing is closely related to protection of environment?
Individual Factors
Quiz Question: When Shawna attempts to resolve ethical conflicts in her daily life, she bases her decisions on her own values. This influence on the ethical decision-making process is called _____.
Locating and Defining Problems or Research Issues
What is step one of the Marketing Research Process?
Nature; Results
Locating and Defining Problems or Research Issues:
Focus on uncovering the _____ and boundaries of a situation. The first sign of a problem is a departure from normal or expected _____.
Defining
Locating and Defining Problems or Research Issues:
_____ the Problem: Marketers must define the nature and scope of the situation in order to pin down the problem.
Aim
Locating and Defining Problems or Research Issues:
Determine precisely what is the _____ of research.
How will the research be used?
Investigation
Types of Research: The nature and type of research varies based on the research design and the hypotheses under _____.
Exploratory Research
Term: Type of research that is conducted to gather more information about a problem or to make a tentative hypothesis more specific. "How are consumers' car buying habits changing?"
Conclusive Research
Term: Type of research designed to verify insights through objective procedures and to help marketers in making decisions. "What percentage of consumers will consider an electric car purchase?"
Descriptive Research
Term: Type of research used to clarify the characteristics of certain phenomena to solve a particular problem. "How are consumers gathering information to assist in car buying?"
Experimental Research
Term: Type of research that allows marketers to make casual inferences about relationships. Provides strong evidence of cause and effect. Need a dependent variable and independent variable(s) in order to set-up research project.
Surveying, Sampling, Questionnaire Construction.
What are three methods of collecting primary data?
Population
Term: all the elements, units, or individuals of interest to researchers for a specific study.
Sample
Term: a limited number of units chosen to represent the characteristics of the population.
Personal Interview Survey
Term: survey in which participants respond to survey questions face-to-face.
In-home/Door-to-Door; Focus-Group
There are two types of personal interview surveys:
_____: takes place at respondents' homes.
_____: observation of group interaction when members are exposed to an idea or concept.
Open-Ended; Dichotomous; Multiple-Choice
What are the three types of questionnaire construction questions?
Interpreting Research Findings
What is step four of the marketing research process?
Table
Interpreting Research Findings:
The first step in drawing conclusion from most research is displaying the data in _____ format.
Analyzed; Statistical
Interpreting Research Findings
After displaying the data in table format, the data must be _____. _____ interpretation focuses on what is typical and what deviates from the average.
Interpretation
Interpreting Research Findings
Data require careful _____.
Decision
Interpreting Research Findings
Managers must understand the research results and relate them to a context that permits effective _____ making.
C
Marketing research is a process designed to gather information:
A) Exclusively about a company's customers.
B) From the company's database.
C) Not currently available to decision makers.
D) About the needs and desires of employees.
E) Concerning the interpretation of the company's sales goals.
A
An overall plan for obtaining the information needed to address a research problem or issue is called the:
A) Research design.
B) Problem recognition.
C) Hypothesis.
D) Data collection method.
E) Sampling procedure.
Locating and Defining Problems
Quiz Questions: The marketing research process starts with _____.
Research Design
Quiz Questions: _____ refers to an overall plan for obtaining the information needed to address a research problem or issue.
Exploratory
Quiz Questions: _____ research has the goal of formulating problems more precisely and make a tentative hypothesis more specific.
Experimental
Quiz Questions: _____ research allows marketers to make causal deductions about relationships.
Database
Quiz Questions: _____ is a collection of information arranged for easy access and retrieval.
Market
Term: group of people who, as individuals or organizations, have needs for products in a product category and have the ability, willingness, and authority to purchase such products.
Consumer Market
Term: a type of market where purchasers are household members who intend to consume or benefit from purchased products and do not buy products to make profits.
Business Market
Term: a type of market where individuals or groups that purchase a specific kind of product for resale, direct use in producing other products, or use in general daily operations.
Identify the Appropriate Targeting Strategy
What is the first step of the target market selection process?
Undifferentiated Targeting Strategy
Identify the Appropriate Targeting Strategy:
Term: Should be a homogeneous market. A single marketing mix directed at the entire market.
Homogeneous
Term: Customers have a similar need for a product.
Concentrated Target Strategy
Identify the Appropriate Targeting Strategy:
Term: Heterogeneous market. Targeting a single market segment using one marketing mix.
Heterogeneous
Term: Individuals or organizations with diverse needs for proudcts in the same class.
Marketing Segmentation
Term: The process of dividing a total market into groups with relatively similar product needs to design a marketing mix that matches those needs.
Market Segment
Term: Individuals, groups, or organizations with one or more similar characteristics that cause the to have similar product needs.
Differentiated Targeting Strategy
Identify the Appropriate Targeting Strategy:
Term: Heterogeneous market. Targeting 2 or more segments with a marketing mix for each.
Behavioristic Variables
Term: Divide a market according to some feature of consumer behavior toward a product, commonly involving some aspect of product use.
Develop Market Segment Profiles
What is the third step of the target market selection process?
Similarities
Develop Market Segment Profiles:
A market segment profile describes the _____ among potential customers within a segment.
Differences
Develop Market Segment Profiles:
A market segment profile explains the _____ among people and organizations in different segments.
Benefits
The following are _____ of developing market segment profiles:
Determining most attractive segment or segments.
Potentially useful information subsequent marketing decisions.
Evaluate relevant market segments.
Product Positioning
Term: Creating and Maintaining a certain concept of a product in customers' minds.
Desires
Product Positioning:
Marketers seek to position a product so that it appears to have the characteristics the target market most Example: Toothpaste products positions.
Repositioned
Positioning decisions are for all products, existing and new. Existing brands must be reevaluated and sometimes _____.
Changing
Repositioning can be accomplished by _____ price, distribution, image through promotion, packaging, benefits.
E
To find a target market, a firm can use the:
A) Total market strategy and the undifferentiated strategy.
B) Product differentiation strategy and the customer differentiation strategy.
C) Demographic strategy and the psycho-graphic strategy.
D) Socioeconomic strategy and the psychological strategy.
E) Undifferentiated strategy, the concentrated strategy, and the differentiated strategy.
E
Age, rate of product use, location, and gender are all examples of common
A) Demographic variables.
B) Geographic characteristics.
C) Targeting strategies.
D) Psychographic variables.
E) Segmentation variables.
Exploratory
Quiz Question: _____ research has the goal of formulating problems more precisely and make a tentative hypothesis more specific.
Demographic
Quiz Question: Crest toothpaste recently came up with strawberry flavor toothpaste especially for the kids and little girls. Which of the following segmenting variable did it make use of?
Psychographic
Quiz Question: _____ variables segment the market on the basis of lifestyles and motives.
Reposition
Quiz Question: Marketers can _____ a product by changing its image through promotional efforts.
Undifferentiated Targeting
Quiz Question: One of the earlier model's of Ford, Model T Ford, was aimed at a very wide market, and only available in black. It can be said that the company was employing
Consumer Buying Behavior
Term: The decision processes and purchasing activities of ultimate consumers, those people who purchase products for personal or household use and not for business purposes.
Consumer Buying Decision Process
Term: A five stage purchase process which includes problem recognition, information search, evaluation of alternatives, purchase stage, and post-purchase evaluation.
Situational Influences
Term: Factors that result from circumstances, time, and location that affect the consumer buying decision process. They can influence the decision making process at any time.
Perception
Term: Selecting, organizing, and interpreting information to produce meaning.
Attitudes
Term: Refers o an individual's enduring evaluation of feelings about and behavioral tendencies toward an object or idea. Can be positive or negative.
Lifestyle
Term: Refers to an individual's patterns of living expressed through activities, interests, and opinions. Strongly influences the buying decision process. Many marketers segment markets by this.
Routined Response
Types of Consumer Problem Solving Strategies:
Term: Used when buying frequently purchased, low-cost items that require very little search-and decision effort.
Limited Problem Solving
Types of Consumer Problem Solving Strategies:
Term: Utilized when buying products occasionally or when one needs to obtain information about an unfamiliar brand in a familiar product category.
Extended Problem Solving
Types of Consumer Problem Solving Strategies:
Term: Occurs when purchasing unfamiliar, expensive, or infrequently bough products.
Impulse Buying
Types of Consumer Problem Solving Strategies:
Term: Involves no conscious planning; a powerful urge to buy something immediately.
Social Influences
Term: The forces other people exert on one's buying behavior.
Roles
Term: Actions and activities that a person in a particular position is supposed to perform based on expectations of the individual and surrounding persons.
Culture
Term: The accumulation of values, knowledge, beliefs, customs, objectives, and concepts that a society uses to cope with its environment and passes on to future generations. Tangible items such as food, clothing, furniture, buildings, and tools. Intangible items such as education, welfare, and laws.
Subcultures
Term: Groups of individuals whose characteristic values and behavior patterns are similar and different from those of the surrounding culture. Usually based on geographic designations and demographic factors.
A
An unplanned buying behavior resulting from a powerful urge to buy something immediately is called:
A) Impulse buying.
B) Habitual buying.
C) Compulsive response behavior.
D) Non-problem solving.
E) Cognitive dissonance.
B
The five major stages of the consumer buying decision process, in order, are:
A) Information search, establishment of product criteria, evaluation of alternatives, purchase, and post purchase evaluation.
B) Problem recognition, information search, evaluation of alternatives, purchase, and post purchase evaluation.
C) Problem recognition, information search, evaluation of alternatives, post purchase evaluation and purchase.
D) Information search, evaluation of alternatives, purchase, trial adoption period, and post purchase evaluation.
E) Problem recognition, purchase, evaluation of alternatives, post purchase evaluation, and re-buy.
Evaluation of Alternatives
Quiz Question: In the consumer decision-making process, which stage will consumer develop a set of criteria?
Cognitive Dissonance
Quiz Question: _____ refers to doubts in the buyer's mind about whether purchasing the product was the right decision.
Self-Concept
Quiz Question: How consumers perceive themselves is their _____.
Routine Response Behavior
Quiz Question: A consumer who has tried and likes a whitening toothpaste and continues to purchase the same brand is an example of a _____.
Business Markets
Term: Individuals, organizations, or groups that purchase a specific kind of product for resale, direct use in producing other products, or use in general daily operations. Also called business to business markets. Similar to marketing to consumer markets, but with some essential differences.
Producer Markets
Term: Individuals or business organizations that purchase products in order to make a profit by using them in producing other products or in their operations.
Reseller Markets
Term: Intermediaries who buy finished goods and resell them to final consumers for a profit.
Government Markets
Term: Federal, state, county, or local governments that buy goods and services to support their internal operations and provide products to their constituencies.
Institutional Markets
Term: Organizations with charitable, educational, community, or other non-business goals. Members include churches, hospitals, charitable organizations and private colleges. Markets may use special techniques to target them.
Larger
Characteristics of Transactions with Business Customers:
Transactions between businesses tend to be much _____ than individual consumer sales.
Business
Characteristics of Transactions with Business Customers:
Discussions and negotiations associated with _____ purchases can require considerable marketing time and selling effort.
Reciprocity
Characteristics of Transactions with Business Customers:
Term: An arrangement in which two organizations agree to buy from each other. Reciprocal agreements that threaten competition are illegal.
New Task Purchase
Types of Business Purchases:
Term: an item is purchased to be used to perform a new job or solve a new problem.
Straight Re-buy
Types of Business Purchases:
Term: a routine purchases of same products under approximately the same times.
Modified Rebuy
Types of Business Purchases:
Term: a new-task purchase that is changed on subsequent orders or when straight-re-buy requirements are modified.
The Buying Center
Term: The group of people within the organization who make business purchase decisions. Roles include initiator/user, influencers, buyers, deciders, and gatekeeper.
Environmental
Influences of the Business Buying Decision Process:
Term: Include competitive and economic factors, political forces, legal and regulatory forces, technological changes and sociocultural issues.
Organizational
Influences of the Business Buying Decision Process:
Term: Include company objectives, purchasing policies and resources and size and composition of buying center.
Interpersonal
Influences of the Business Buying Decision Process:
Term: The relationships between people in the business; trust and collaboration are important.
Individual
Influences of the Business Buying Decision Process:
Term: Personal characteristics (age, education level, personality and tenure and position) of participants in the buying center.
Industrial Classification System
Term: Ready-made tools which allow marketers to divide organizations into groups based mainly on the type of good and service provided.
North American Industrial Classification System (NAICS)
Term: Classification system that is used by the U.S., Canada, and Mexico to help generate comparable statistics.
D
In business markets, individuals or groups purchase products for one of three purposes. These purposes are
A) Resale, wholesale, and direct use.
B) Wholesale, direct use, and use in producing other products.
C) Resale, wholesale, and use in producing other products.
D) Resale, direct use in producing other products, and use in general daily operations.
E) Use in general daily operations, wholesale, and resale.
A
Many suppliers and their customers invest time and resources to build and maintain mutually beneficial relationships which are often called:
A) Partnerships.
B) Co-ops.
C) Monopolies.
D) Reciprocity.
E) Alliances.
Wholesalers and Retailers
Quiz Question: Reseller markets consist mainly of _____.
Reciprocity
Quiz Question: Abbott's Office Supplies buys furniture and filing cabinets from Craine Furniture. Craine buys paper, pens, and folders from Abbott's. The two firms are engaged in _____.
Description
Quiz Question: If a business owner buys parts by specifying the quantity, grade, and other attributes, which buying method is he using?
Gatekeeper
Quiz Question: Administrative assistants that control the flow of information to other people in the organization often play the _____ role in the buying center.
NAICS
Quiz Question: A system for classifying North America business establishments.