Term
| List at least 2 requirements of an Exchange |
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Definition
| 2+ people, something of value, ability for communication, desire/freedom to deal, expectations must be met to hold trust |
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Term
| Summarize the relationship between Marketing and an Exchange |
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Definition
| Marketing promotes an Exchange |
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Term
| List two examples of Customer Value |
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Definition
| FORM: Conversion of raw materials into product // TIME: Available when customer wants it // PLACE: Available at convenient locations // OWNERSHIP: Ability to transfer title (ie: credit card payment for a retail good) |
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Term
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Definition
| Group of people toward whom the firm decides to direct its marketing efforts |
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Term
| List the 4 components of a Marketing Mix |
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Definition
| Product, Distribution (Place), Promotion, Price |
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Term
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Definition
| What goods or services a company offers (customer service, package design, brand name, trademark, warranty, product life cycle, positioning, product development) |
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Term
| Define: Distribution (Place) |
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Definition
| Modes of transportation, warehousing, inventory control, order processing, marketing channels |
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Term
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Definition
| Promotional elements include advertising, sales promotion, public relations, and personal selling |
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Term
| Define: Pricing (Strategy) |
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Definition
| The method of setting profitable and justifiable prices |
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Term
| Name the 4 eras of Marketing history, in order (and note approx. dates, if possible): |
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Definition
| Production, Sales, Marketing, Relationship (<1920, 1920-1950, 1950-1990, 1990-present, respectively) |
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Term
| Describe: Production strategy |
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Definition
| Produce high quality goods and expect customers to come to you - inwardly focused (until 1920s) |
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Term
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Definition
| Management's failure to recognize the scope of its business. To avoid, companies must broadly define organizational goals toward consumer needs (ex: NOT "We are in the video game industry", INSTEAD "We are in the entertainment industry") |
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Term
| Describe: Selling strategy |
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Definition
| The firm focuses on aggressively persuading the customer to buy what it wants |
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Term
| Describe: Marketing strategy (3rd of 4 strategies) |
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Definition
| Customer orientation, must satisfy customer, emphasize long-term goals - (Externally focused) |
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Term
| Describe: Relationship marketing strategy |
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Definition
| New customer -> Regular purchases -> Loyal supporter -> Advocate (to others) |
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Term
| Define: Lifetime revenues |
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Definition
| The cumulative revenues a firm can obtain from a customer over his or her lifetime |
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Term
| Describe: Societal Marketing concept |
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Definition
| Benefiting Company (profits), Consumer (satisfaction), and Society (human welfare) |
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Term
| List the 5 nontraditional things that you can market: |
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Definition
| Person, Place, Cause, Event, Organization |
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Term
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Definition
| The process of anticipating future events and conditions and determining the best way to achieve organizational objectives. |
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Term
| Describe: Difference between Strategic and Tactical Planning |
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Definition
| STRATEGIC: Determining organization's primary objectives, planning course of actions, long-term // TACTICAL: Guides implementation of activities described in strategic plan, short-term |
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Term
| Give examples of strategic planning |
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Definition
| Sears purchase of Lands' End // Reebok's decision to stop competing with Nike in all sports but instead just in shoes // McDonalds starting to offer healthy food |
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Term
| What is required for success of strategy? |
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Definition
| Vision, core idea and competitive advantage, organization-wide support, enough assets/financing, patience/commitment |
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Term
| List the 3 types of competitive advantages: |
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Definition
| Cost advantage (Wal-Mart), Product/Service differentiation (Apple), Niche strategies (firms that produce only the wings of a Boeing 787) |
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Term
| Since competitive advantage is only good until another company replicates it, what are some ways of sustaining the competitive advantage? |
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Definition
| Patents, Copyrights, Locations, Equipment, Technology, Customer Service, Promotion |
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Term
| List the 5 steps of a Marketing Plan |
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Definition
| 1) Mission Statement // 2) Objectives // 3) Situation/SWOT Analysis // 4) Marketing strategy (marketing mix - PPPP) // 5) Implementation/Evaluation/Control |
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Term
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Definition
| Strategic Business Unit - a subdivision within a company focusing on a specific area of the firm (ie: a certain niche or product) |
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Term
| List: 3 of the 6 things to look for when determining Opportunities and Threats (SWOT) |
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Definition
| Social, Demographic, Economic, Technological, Political/Legal, Competitive |
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Term
| What are the 5 components of a SMART goal? |
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Definition
| Specific, Measurable, Attainable, Realistic, Timely |
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Term
| Describe the 4 strategic alternatives: Market Penetration, Market Development, Product Development, Diversification |
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Definition
| MKT PEN: Increase market share among existing customers (Offering discounts to customers for future purchase) // MKT DVLP: Attract new customers to existing products (selling Coke in a new country) // PROD DVLP: New products for current markets (Adobe software) // DIVERSE: New products into new markets (Coke buying a water-treatment center) |
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Term
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Definition
| HIGH industry growth, HIGH mkt share: generates considerable income (invest more funds for continuing growth) |
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Term
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Definition
| LOW Industry growth, HIGH mkt share: generates strong cash flows (milk profits to finance growth of "stars" and "question marks") |
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Term
| Describe: "Question Marks" |
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Definition
| HIGH industry growth, LOW mkt share: have potential to become "star" or "cash cow" (invest more funds for growth or consider divesting) |
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Term
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Definition
| LOW industry growth, LOW mkt share: generate little profits (consider withdrawing) |
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Term
| Describe the difference between Ethics, Laws, and Morals |
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Definition
| Ethics are principles or values that generally govern conduct of an individual/group, Laws are values/standards enforceable by court, Morals are rules people develop as a result of cultural values and norms |
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Term
| Name the 4-steps of the Corporate Social Responsibility pyramid |
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Definition
| Economic (profit), Legal (obey law), Ethical (do what's right), Philanthropic (give back) |
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Term
| Define: Social responsibility |
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Definition
| Marketing philosophies, policies, procedures, and actions that have the enhancement of society's welfare as a primary objective |
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Term
| Define: Environmental sustainability |
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Definition
| Developing strategies that both sustain the environment and produce profits for the company. |
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Term
| What are the top 2 reasons marketers decide to go global? |
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Definition
| Globalization of customers and New customers in emerging markets |
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Term
| What are the two most valuable global brands? |
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Definition
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Term
| What are the 2 administrative barriers (of importing) |
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Definition
| Import Quotas: (limit the # of units of certain good that can be imported) // Embargos: (complete bans on import of a good) |
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Term
| What are the 2 trade barriers (of importing) |
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Definition
| Tariffs: (taxes levied against imported goods) // Exchange Controls: (methods of regulating privilege of int'l trade among organizations by controlling access to foreign currencies) |
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Term
| What are the 6 components of the Int'l Marketplace? (must know all 6) |
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Definition
| Demand, Competitive Environment, Economic Environment, Social-cultural Environment, Political-legal Environment, Technological Environment |
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Term
| T/F: Most of the world has access to the Internet, so we should learn to embrace it as a new market. |
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Definition
| False: Although the Internet is a huge market for connecting to consumers, most of the world does not have Internet access |
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Term
| Describe: Global marketing strategy |
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Definition
| Offering the same product worldwide with minimal modification. Advantage of economy of scale. (Ex: Coca-Cola, iPods) |
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Term
| Describe: Multidomestic strategy |
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Definition
| Customization of products offered to target an individual market. Quick adaptation to cultural trends. Poor economy of scale |
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Term
| Give an example of each product & promotional strategy: SameProduct/SamePromotion - ProductAdaptation/SamePromotion - SameProduct/DifferentPromotion - ProductAdaptation/DifferentPromotion |
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Definition
| SP/SP - Wrigley's Gum, Coke // PA/SP - Campbell's Soup/Exxon // SP/DP - Motorcycles/Outboard motors // PA/DP - Coffee, some clothing |
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Term
| Give an example of a pricing strategy |
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Definition
| Offering small shampoo bottles in low-income areas of Africa for pennies (ie: "penny packets") |
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Term
| Give an example of countertrade |
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Definition
| PepsiCo trading their cola for another company's vodka |
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Term
| Which parts of SWOT are internal/external? |
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Definition
| SW - Internal // OT - External |
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Term
| What do Key Performance Issues (KPI) refer to? |
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Definition
| Factors essential in a successful Strategic Competitive Advantage |
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Term
| T/F: Access to essential resources or technology are examples of key success factors |
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Definition
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Term
| What is the main goal of a SWOT analysis? |
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Definition
| To identify Key Performance Issues (KPI), if any |
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Term
| What is a Marketing Decision Support System (MDSS) and what does it offer? |
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Definition
| Software that organizes and presents marketing information in a useful and effective manner through the use of models, diagrams, and spreadsheets. |
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Term
| What is the relationship between a Decision Support System (DSS) and Database Marketing? |
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Definition
| DSS provides information that database marketing compiles into data files about specific existing or potential customers, which then allows the opportunity for data mining. (ex: Safeway Club Card and Amazon tracks purchases to better customize their inventories to consumer demand) |
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Term
| What's the main difference between Marketing Research and a Decision Support System (DSS)? |
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Definition
| Marketing research typically targets a specific issue, whereas a DSS continuously updates the marketing database with information about environmental changes |
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Term
| Define: Syndicated services (market research) |
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Definition
| General market information available to all companies at a set price |
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Term
| Define: Full Service Research Suppliers (market research) |
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Definition
| Specific market information gained through a full market research, contracted out by an individual company (JD Power & Assoc.) |
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Term
| Define: Limited-Service Research Suppliers (market research) |
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Definition
| Marketing research firm that specializes in a specific activity (ie: field/phone interviews, data processing, focus groups) |
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Term
| In the Marketing Research Process, what is the first, most important, and most overlooked part of the process? |
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Definition
| Define the problem (so you know what you need to research) |
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Term
| Pair each type of research (Exploratory, Descriptive, Causal) with the appropriate description (describes things like demographics/attitudes, prelim info to define the problem and suggest hypotheses, test hypotheses about cause & effect relationships) |
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Definition
| Exploratory: 2, Descriptive: 1, Causal: 3 |
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Term
| Where does secondary market research come from? |
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Definition
| Information that already exists (government sources, internal databases, business periodicals, news media) - essentially finding and selling information at a lower cost and quicker |
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Term
| How can competitive intelligence help a business? |
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Definition
| By recognizing their competitors' strengths, they are aware of the challenge they have to face and are not surprised. They can incorporate the risks of those strengths into their defensive strategic decisions. |
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Term
| Define: Industrial Espionage |
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Definition
| Gaining competitor strengths through illegal/unethical means (theft, "stealing" key employees, listening or video devices) |
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Term
| Describe what a focus group is: |
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Definition
| A group of carefully recruited people, about 6-12 total, who participate in a dialogue about product usage, shopping habits, etc. |
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Term
| What is the goal of Projective Research? |
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Definition
| Attempting to get the research subject to reveal their deepest feelings by projecting into an unstructured situation (word association tests, sentence completion, fill in the text bubble, etc) |
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Term
| Give an example of Scanner-Based research (tracking customer purchases and promotions) |
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Definition
| Safeway's Club cards or Amazon's customer account history |
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Term
| PROBABILITY SAMPLES - Describe the unique trait about: Simple Random Samples, Stratified Samples, Cluster Samples, and Systematic Samples |
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Definition
| Simple Random: Equally random for all groups // Stratified: Select group, then random within the group // Cluster: Divide into groups, then randomly select from all the groups // Systematic: Select ever "n"th person in a series |
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Term
| NONPROBABILITY SAMPLES - Describe the difference between: Convenience sample, Judgment sample, Quota sample, Snowball sample |
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Definition
| Convenience: Select easiest population // Judgment: Select based their feeling of "best information" // Quota: Find a select #, first-come first-serve // Snowball: Respondents refer additional respondents for testing |
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