MARK quiz 1

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MARK quiz 1
2014-03-06 23:10:15
MARK quiz

MARK quiz 1
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  1. What is MARKETING?
    • social and managerial process
    • creating and exchanging value
    • building strong customer relationship
  2. The Marketing Process
    Planning and executing the conception, pricing, promotion and distribution of goods
  3. Needs, wants and demand
    • States of deprivation
    • Needs shaped by culture and individual personality
    • Wants backed by purchasing power
  4. What is promotion?
    Persuasion, remind and information
  5. Marketing myopia is….eg……
    focusing only on existing wants and losing sight of underlying consumer needs; nokia and Kodak
  6. customer satisfaction is relative to
  7. value reflects….and value is not limited to …..hence a low price =/= superior value
    costs and benefits; economic considerations
  8. One exchange is not the goal; …is the goal, which is built through
    relationships with several exchanges; delivering value and satisfaction
  9. Markets are….; but Walmart is only a….; when there is no intermediaries, its called… marketing
    the set of actual and potential buyers of a product; marketing intermediaries; direct
  10. B2C concerns…consumer; B2B is called …marketing; retailers are not…buyers
    Ultimate; business/industrial; industrial
  11. Designing a Customer-Driven Marketing Strategy: marketing management is the art and science of …Marketers select customers that …; Value Proposition: ….a company promises to deliver to consumers to satisfy their needs; Marketing management may also be concerned with changing or even reducing demand, ie…, for example, …
    • choosing target markets and building profitable relationships with them; can be served profitably
    • includes the set of benefits or values
    • demarketing; market niche: Lamborghini
  12. demarketing strategies
    • increase the price to reduce Qd
    • two-tier pricing of MTR service during rush hours
  13. Marketing Management Orientations- PRODUCTION Concept…; is useful when…risks are…
    • consumers will favor products that are available and highly affordable; thus, management should focus on improving production and distribution efficiency
    • Demand > Supply & Product’s cost is too high and improved productivity will bring it down
    • too narrow focus & ignores market desires
  14. Marketing Management Orientations- PRODUCT Concept…risks are…
    • onsumers will favor products that offer the most quality, performance, and feature, thus, organisations should continue making product improvements
    • mousetrap mentality & marketing myopia
  15. Marketing Management Orientations- SELLING Concept…is useful when…risk is…
    • consumers will not buy enough of the products unless the organisation undertakes a large-scale selling and promotion effort(inside-out perspective, technology push)
    • Demand < Supply (strong effort to move the inventory)
    • high risk and low satisfaction
  16. Marketing Management Orientations- MARKETING Concept…
    an organization should strive to satisfy the needs of consumers, while also trying to achieve the organization’s goals.(outside-in perspective, market pull)
  17. Marketing Management Orientations- SOCIETAL MARKETING Concept…
    • Same as MARKETING Concept plus maintain and improve the consumer’s and society’s well-being
    • Society(human welfare), customers(satisfaction), company(profit)
  18. The marketing mix is
    product, price, promotion, and place
  19. Integrated marketing program is
    a comprehensive plan that communicates and delivers the intended value to chosen customers
  20. Customer relationship management involves
    • building and maintaining profitable customer relationships;
    • acquiring, keeping (retention) and growing customers (means upselling or cross selling)
  21. Buyer Decision Process
    • Awareness(both product and brand)->Advertisement
    • Interest->product/price
    • Evaluation->competition (at the end of Evaluation, purchase intention is developed)
    • Trial->availability(-->production, place)
    • Adoption->satisfaction(eventually develop into trust)
  22. Relationship Building Blocks:Customer perceived value:...;Customer satisfaction:
    • total value-total cost;
    • the extent to which perceived value matches expectation
  23. The Changing Nature of Customer Relationships
    • selective relationship management to target fewer, more profitable customers
    • more interactive two way relationships through blogs, Websites, online communities and social networks
  24. customers exhibit ….behavior and ….hence marketers may consider …
    • variety seeking, brand switching;
    • line extentions, introduce different ways to enjoy their product
  25. …shows true worth of a customer; it is calculated as … ; ….is total sum of NPVs of all current customers and Choosing the “best” …is key
    • Customer Lifetime Value; Value at Acquisition+ Annual Value*customer relationship lifetime*discount rate
    • Customer Equity; customers
  26. The Changing Marketing Landscape
    • Digital age
    • Rapid globalization
    • Ethics and social responsibility
    • Not-for-profit marketing
  27. Digital age implications
    • Growth of the Internet, advances in telecommunications, information, transportation implies:
    • Customer research and tracking
    • Product development
    • Distribution
    • New advertising tools
    • 24/7 marketing through the Internet
  28. Rapid globalization implication
    • geographical and cultural distances have shrunk:
    • greater market coverage
    • more options for purchasing and manufacturing
    • Increased competition from foreign competitor
  29. Ethics and Social Responsibility implications
    Marketers need to take great responsibility for the impact of their actions; Caring capitalism” is a way to differentiate your company
  30. Marketing objective concerns ….it should be smart…
    • Market share; promotion, establishing local partnership
    • Specific, measurable, actionable, realistic, time-related
  31. A business portfolio is… strategic business units is… Business portfolio management invloves
    • the collection of businesses and products that make up the company
    • a unit of company that has a separate mission and objectives that can planned separately from other company business
    • analyzing current portfolio and shaping future portfolio
  32. …is a series of departments that carry out value-creating activities to design, produce, market, deliver, and support a firm’s products;… is the forward supply chain, marketing rests under…; …is made up of the company, suppliers, distributors, and ultimately customers who partner with each other to improve performance of the entire system
    Value chain; from operations, inbound logistics, marketing and sales, service; operations; Value delivery network
  33. Customer-Driven Marketing Strategy involves..
    • Market Segmentation
    • Target marketing
    • Market Positioning
    • Differentiation
  34. A Market segment is ….customers are grouped…
    • a group of consumers who respond in similar ways to marketing efforts.
    • Geographic, demographic, psychographic, behavioral
  35. Target marketing involves…
    • Evaluation of each segment’s attractiveness
    • Selection of segments to enter
  36. Market Positioning: Position….; Products are positioned relative to…; Marketers look for clear, distinctive and desirable place in positioning
    the place the product occupies in the consumer’s mind; competing products
  37. Return on marketing is calculated as..
    the net return from a marketing investment divided by the costs of the marketing investment
  38. Microenvironment consists of….
    • The company(other dpt, match broader goal),
    • Suppliers (watch pricing and supply availability; partnership relationship management),
    • Customers
    • market intermediaries
    • competitors (competitors analysis, gain strategic advantage by positioning their offerings against competitors’ offerings)
    • the public (financial, media, internet, government, citizen-action)
  39. Engel’s Law states that…
    As income rises, % spent on food drops, % spent on housing remains constant, % spent on savings rises
  40. Marketing Information Systems consists of people and procedures for …the information needs, …needed information and Helping …for customers; Marketers obtain information from 3 sources: …market research is not ….happens only when
    • Assessing; Developing; decision makers use the information
    • Internal data (within company network, Marketing intelligence (publicly available) and market research
    • Not ongoing; specific mktg question pops up
  41. Steps in the Marketing Research Process-1. Defining the Problem and Research Objectives-3 types of research are…(with exp.)
    • Exploratory Research: not well understood, gaining insight
    • Descriptive Research: describing a population with respect to important variables
    • Causal Research: establish cause-and-effect relationships between variables
  42. information that has been collected or published already is…., the pros are…and cons; information specifically collected to solve a current problem is…, the two sources are observation and questioning; observation is used to discover…not…, the methods include….; questioning methods includes… surveying is best for….; experimental research investigates…
    • secondary data, obtained quickly and less expensive, info may not exist or not usable
    • primary data;
    • behaviors, motivations; mechanical approaches and personal approaches (eg. ethnographic research)
    • focus groups, surveys, panels; descriptive information
    • causal relationships
  43. Research Plan for collecting primary data includes…
    Research approaches, contact methods, sampling plan, research instruments
  44. Sampling Plan Decisions includes… sampling procedure includes…their difference is random selection
    • Sample units(who), sample size(how many) and sampling procedure
    • Probability sample and non-Probability sample
  45. Features of questionnaires:…. researchers must be careful with…; for Closed-end questions, researchers must… for Open-end questions is useful in….
    • Most common, flexible, the wordings and ordering of questions
    • Provide answers that are easier to interpret and tabulate
    • Exploratory research
  46. Mechanical devices as research instruments includes…
    People meters(TV industry), checkout scanners, neuro-marketing
  47. Information distribution involves … Intranet provides information to..; Extranet provides information to...
    • entering information into databases and making it available in a time-useable manner;
    • employees and other stakeholders;
    • key customers and suppliers
  48. understanding customer behaviors is important because…
    understanding how customer respond to marketing stimuli, eg. 4Ps, gives the company a competitive advantage
  49. Characteristics Affecting Consumer Behavior-culture: …is a subset of culture that has …for members such as religions, nationalities; social class is relatively …, …. Division of society into which people share similar values and behavior
    • Subculture; a more specific identity
    • Permanent, homogeneous
  50. Characteristics Affecting Consumer Behavior-social: includes ...; ... are people to whom an individual looks as a basis for self-appraisal or as a source of personal standards.... are Groups an individual wishes to belong to;... are individuals who exert direct or indirect social influence over others; Marketers identify them to use as ...some opinion leaders exist on ...;... is the most important consumer-buying organization in society
    • groups, opinion leaders, family, social roles and status
    • Reference groups; aspirational groups; opinion leaders, brand ambassadors; online social networks; family
  51. Characteristics Affecting Consumer Behavior: Personal: includes...; Occupation affects...economic situation includes trends in is used by marketers to do...
    • Age and life cycle, occupation, economic situation, lifestyle, personality and self-concept
    • the goods and services bought by consumers; personal income, savings and interest rate; lifestyle segmentation
  52. Characteristics Affecting Consumer Behavior: Psychological: includes…a motive is …Perception is the process by which people …information, which includes …(exp); …means that you see or hear messages without being aware of them, eg…
    • Motivation, learning, beliefs and attitude, perception
    • a need that is sufficiently pressing to direct the person to seek satisfaction
    • select, organize, and interpret ; selective attention (screen out, exclusion in consideration set); selective distortion (interpret to support believes) and selective retention (retain to support attitude)
    • Subliminal perception, Visual stimuli may be quickly flashed
  53. The Buyer Decision Process follows…
    Need recognition, search for info, prepurchase evaluation, of alternatives, purchase, consumption, post-consumption evaluation, divestment(disposal)
  54. Needs can be triggered by…
    Internal stimuli(strong enough to drive behavior) & external stimuli, eg. Ads
  55. During Information Search, The consumer collect info about…as customer has more info, …&… increases; Successive Sets Involved in Customer Decision Making are..
    Alternative products/brands; brand knowledge, awareness; total set, awareness set, consideration set, choice set (arise when consumers are highly involved)
  56. Post-purchase Decision is about… A positive match reinforces the …of the decision and provides future motivation for; …. A negative match will result in…., which is buyer discomfort caused by post purchase coflict
    • the quality of match between expectations and outcomes
    • correctness, repeat purchase
    • cognitive dissonance
  57. satisfaction is important because
    • word of mouth
    • cost more to attract new customer than to retain an existing customer
  58. ansoff grid(market and product)
    • ex+ex=market penetration
    • ex+new=product development
    • new+ex=market development
    • new+new=diversification
  59. high market is not reliable indicators of profitability, but RELATIVE market share(RMS) indicates ...RMS=...; RMS>1x means ...
    • company's sales/ total segment sales;
    • competitive position, 
    • company's market share %/ largest competitor's market share %
    • market leader
  60. increasing share of customer can be achieved through...
    • offering great variety
    • cross selling
    • up selling