88 terms

BJU Principles of Marketing Test 1 (Chapters 1-4)

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marketing
organizational function and set of processes for creating, communicating, and delivering value to customers and managing customer relationships in ways that benefit the organization and employees, customers, investors, and society as a whole
customer vlaue
perceived benefits, both monetary and nonmonetary, that customers receive from a product compared to the cost associated with obtaining it
supply chain
set of three or more companies directly linked by one or more of the upstream and downstream flows of products, services, finances, and information from a source to a cusotmer
logistics
part of supply chain management that plans, implements, and controls the flow of goods, services, and information between the point of origin and the final customer
sales orientation
a marketing strategy in which personal selling and advertising are used to persuade consumers to buy new products and more of existing products
marketing ocncept
strategy that reflects the idea that a firm's long-term success must include a company-wide effort to satisfy customer needs
relationship marketing
marketing strategy that focuses on attracting, maintaining, and enhancing customer relationships
exhange
activity that occurs when a buyer ans seller trade things of value so that each is better off as a result
needs
states of felt deprivation
wants
form that human needs take as shaped by perosnality, culture, and buying situation
marketing mix
combination of activities that represent everything a firm can do to influence demand for its goods, service, or idea: often referred to a sthe 4 Ps of Marketing
product, place, price, promotion
4 P's of Marketing (marketing mix)
social media
group of Internet-based applications that allow the creation and exchange of user-generated content
global marketing
marketing stratgey that consciously addresses customers, markets, and competition throughout the world
brand
name, term, symbol, design, or any combination of these that identifies and differentiates a firm's products
corporate social responsibility (CSR)
an organization's obligation to maximize its positive impact and minimize its negative impact on society
stakeholder responsibility
obligations an organization has to those who can affect whether or not it achieves its objectives
ethics
moral standards expected by a society
strategic planning
process of thoughtfully defining firm's objectives and developing a method of achieving those objectives
marketing plan
an action-oriented document or playbook that guides the analysis, implementation, and control of a firm's marketing strategy
mission statement
a concise affirmation of the firm's long-term purpose
situation analysis
the systematic collection of data to identify the trends, coniditions, and competitive forces that have the potential to influence the performance of the firm and the choice of appropriate strategies
market
the group of consumers or organizations that is interested in and able to buy a particular product
market summary
a description of the current state of the market
SWOT analysis
an evaluation of a firm's strengthts, weaknesses, opportunities, and threats
strengths
internal capabilities that help the company achieve its objectives
weaknesses
internal limitations that may prevent of disrupt the firm's ability to meet its stated objectives
opportunities
external factors that the firm may be able to capitalize on to meet or exceed state dobjectives
threats
current and potential external factors that may challenge the firm's short- and long-term performance
strategy
the set of actions taken to accomplish organizational objectives
target market
the group of customers toward which an organization has decided to direct its marketing efforts
multinational company
a firm that operates in two or more countries
positioning
the activities a firm undertake to create a certain perception of its product in the eyes of the target market
market penetration
a marketing strategy that emphasizes selling more of existing goods and services to existing customers
product development
marketing strategy that involves creating new goods and services for existing markets
market development
marketing strategy that focuses on selling existing goods and services to new customers
diversification
marketing strategy that seeks to attract new customers by offering new products that are unrelated to existing products produced by the orgnization
competitive advantage
superior position a product enjoys over competing products if consumers believe it has more value than other products in its category
financial projections
a bottom-line estimate of the organization's profitability
exporting
selling domestically produced products to foreign markets
licensing
a legal process in which one firm pays to use or distribute another firm's resources, including products, trademarks, patents, intellectual property, or other proprietary knowledge
franchising
a contractual arrangement in which the franchisor provides a franchisee the right to use its name and marketing and operational support in exchange for a fee and, typically, a share of the profits
joint venture
an arrangement in which a domestic firm partners with a foreign company to create a new entity, thus allowing the domestic firm to enter the foreign company's market
direct ownership
a method of entering an international market in which a domestic firm actively manages a foreign company or overseas facilities
direct competition
situation in which products that perform the same function compete against one another
substitute products
goods and services that perform very similar functions and can be used in place of one another
indirect competition
process in which products provide alternative solutions to the same market
environmental scanning
act of monitoring developments outside of a firm's control with the goal of detecting and responding to threats and opportunities
gross domestic product (GDP)
a measure of the market value of all officially recognized final goods and services produced within a country in a given period
recession
a period of time during which overall GDP declines for two or more consecutive quarters
inflation
an increase in the genera level of prices of products in an economy over a period of time
purchasing power
a measure of the amount of goods and services that can be purchased for a specific amount of money
consumer confidence
a measure of how optimiistic consumers are about the overall state of the economy and their own personal finances
demographics
characteristics of human populations that can be used to identify consumer markets
baby boomers
the generation born between 1946 and 1964
disposable income
amount of spending money available to households after paying taxes
millenials
generation born between 1978 and the late twentieth century
age, gender, education, ethicity
four components of demographics
sociocultural
combination of social and cultural factors that affect individual development
Federal Trade Commission (FTC)
the consumer protection agency for the United States
currency exchange rate
price of one country's currency in terms of another country's currency
NAFTA
international agreement hat established a free trade zone among the US, Canada, and Mexico
tariffs
taxes on imports and exports between countries
DR-CAFTA
international agreement that eliminated tariffs, reduced nontariff barriers, and facilitated investment among the US, Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua, and the Dominican Republic
European Union (EU)
an economic, political, and monetary union among 27 European nations that created a single Eutopean market by reducing barriers to the free trade of goods, services, and finances
World Trade Organization (WTO)
international organization that regulated trade among participating countries and helps importers and exporters conduct their business
International Monetary Fund (IMF)
an international organization that works to foster international monetary cooperation, secure financial stability, facilitate international trade, promote high employment and sustainable economic growth, and reduce world poverty
consumer ethnocentrism
a belief by residents of a country that it is inappropriate or immoral to purchase foreign-made goods and services
marketing reserach
the act of collecting, inerpreting, and reporting information concerning a clearly defined marketing problem
demand analysis
a type of research used to estimate how much customer demand there is for a particular product and understand the factors driving that demand
sales forecasting
a form of research that estimates how much of a product will sell over a given period of time
advertising effectiveness studies
a type of research that measures how well an advertising campaign meets marketing objectives
sales tracking
type of research that follows changes in sales during and after promotional programs to see how the markeing efforts affected the comapny's sales
hypothesis
an educated guess based on previous knowledge or research about the cause of the problem under investigaiton
primary data
data collected specifically for the research problem at hand
secondary data
data collected for purposes other than answering the firm's resarch questions
exploratory research
type of research that seeks to discover new insights that will help the firm better understand the problem or consumer thoughts, needs, and behavior
descriptive research
type of research that seeks to understand consumer behavior by answering the questions who, what when , where and how
causal resrach
a type of research used to understand the cause-and-effect relationships among variables
sampling
the process of selecting a subset of the population that is representative of the population as a whole
sample
a representative subset of the larger population
probability sampling
type of sampling in which every person in the target population has a chance of being selected, and the probability of each person being selected is known
simple random sampling
type of sampling in which everyone in the target population has an equal chance of being selected
nonprobability sampling
a type of sampling that does not attempt to ensure that every member of the target population has a chance of being selected
quota sampling
type of sampling in which a certain number of participants is picked based on selection crriteria such as demographics
snowball sampling
type of sampling in which a set of participants s selected based on referral of other participants who know they have knowledge of the subject in question
focus groups
data collection tool in which a moderator engages a small group of people as they discuss a particular topic of concept with each other in a spontaneous way
interview
a data collection tool in which the researcher works with one partcipant at a time, asking open-ended questions about how the individual perceives and uses various products or brands