marketing exam

Company mission , objectives, design business portfolio are on the _ level

corporate

developing and maintaining a strategic fit between the organization's goals and capabilities and its changing marketing opportunities

strategic planning

• What is our business

• Who is our customer - target audience

• What do customers value

• What should our business be

• How should we develop firms capabilities and focus its efforts

• Organizations purpose and defined in basic customers needs 

• What the company seeks to create

mission

• measurable/specific

• Realistic

• Time specific 

• SBU and functional objectives must support overall priorities

objecitve

• unit of a business that has its own vision and direction

• How well mission is being accomplished

strategic business unit

SMART objectives

specific, measurable, achievable, relevant, time-bound

collection of businesses and products that make up the company

business portfolio

high market growth rate high relative market share

star

high market growth rate low relative market share

question mark

low market growth rate high relative market share

cash cow

low market growth rate low relative market share

dog

We want _ and cash cows and want to convert question marks into _

stars

increase sales of exisiting products to existing markets

market penetration

introduce existing products to new markets

market development

create growth by selling new products in existing markets

product development

emphasize both new products and markets to achieve growth

diversification

STP

segmentation, targeting, positioning

4 ps

product, price, promotion, place

• Variety, quality, design, features, brand name, packaging, services

product

• List price, discounts, allowances, payment period, credit terms

price

• Advertising, personal selling, sales promotion, public relations

promotion

• Channels, coverage, locations, inventory, transportation, logistics

place

company capabilities

competitions

corporate partners

publics

customers

micro environment

firms that help companies promote, sell and distribute products to final buyers

Resellers

Physical distribution firms

Marketing service agencies

Financial intermediaries

marketing intermediaries

group that has an interest in the organizations impacts

publics

demographics

economic

natural environment

technological

political

cultural

macro environment

study of human populations in terms of size, density, location, age gender, race, occupation, etc

demographics

• 1946 - 1964

• Vietnam, woodstock, westgate, civil rights

baby boomers

• 1965 - 1979

• MTV, challenger disaster, AIDS

Gen x

• 1980 - 1995

  • 9/11, columbine, social media, y2k

Millennnials

1996 - Today

Covid-19, sandy hook, 1st black president, marriage equality

generation z

extent to which people are optimistic or pessimistic about future health of the economy

consumer confidence

money available to a household over and above required for a comfortable standard of living

discretionary spending

• Protect consumers from deceptive marketing practices

FTC

a situational analysis framework used by businesses to evaluate their internal capabilities and external market environment before launching a strategy

5cs of marketing

what are the 5cs of marketing

company

customers

competitors

collaborators

climate

macro enviornment is analyzed using

PESTEL

what does PESTEL stand for

political

economic

social

technological

environmental

legal factors

comes directly from respondents

primary data

Qualitative

Observing behavior and recording observations in an objective manner

Natural or artificial settings

Most useful for investigating complex social settings

observational

6-10

Homogenous

Similar lifestyles and experiences

Objective moderators

Have sampling problems

Cost a lot of money

Dominant participants can sway conversation

focus groups

Open ended

Closed ended

Multiple choice

Scaled response

Low cost

Broad adoption

Many question types

Supports mobile

Data collection is quick

Response rates are high and lie less online

Cant determine causation

Subject to social desirability bias

survey research

Cause and effect

Independent and dependent variable

Controlled manipulation

Random assignment

Test markets

experiments

research designs (3)

exploratory, descriptive, casual

• Ambiguous problems 

exploratory

Aware of the problem

descriptive

Problem clearly define

casual

social media and online information

public and inexpensive data

syndicated data

secondary data

what do you start with - primary or secondary data?

secondary

buying behavior or final consumers, individuals and households, who buy goods and services for personal consumption

consumer buyer behavior

 what we don't know from a consumer

buyer black box

5 step decision making process

problem recognition

information search

evaluation of alternatives

purchase decision

post purchase

• When consumer perceives difference between current state and ideal state

problem recognition

types of needs (4)

physical

psychological

utilitarian (funcitonal)

hedonic (style/fun)

• Scanning memory to assemble product alternatives information

internal search

• Information obtained from retailers, media, interpersonal sources, experiential search

external search

Rule of thumb

Brand loyalty

Country of origin

What parents used

Price vs quality

heuristics

Consumer collects extensive information through internal and external search

Evaluates brand attributes

High risk or involved / personally relevant

Motivation is high

extended problem solving

Simple

Lower risk

Less search

Limited number of brands considered

Limited shopping time / venues

Might go through all 5 steps but not put effort into each one

Medium motivation

limited problem solving

• Made with little / no conscious effort - low motivation

• Minimal time / energy

  • Might only consider two brands

• Make decision using rule of thumb or not go through all 5 steps

routine problem solving

internal conflict arising from inconsistency between beliefs, behavior or a combination of both

When a consumer questions appropriateness of purchase

Attempt to minimize this through after sale contact, etc

cognitive dissonance

not just frequency but refusal of alternatives

customer loyalty

societies permanent and order divisions whose members share similar values interest, and behaviors

social classes

what are the social classes

• Underclass - working poor - working class - lower middle class - upper middle class - upper class

is income.a good indicator of social class

no

actual or imaginary individual or group that serves as point of comparison for an individual in the formation of values, attitudes, or behavior

reference group

we admire and desire to be liked

aspiration groups

we currently belong to

identity groups

we do not belong to and do not want to emulate

dissicosiative groups (5)

household member roles

gatekeeper

influence

decider

buyer

user

Member who collects and controls information important to decider

gatekeeper

Members who try to express their opinions an dinfluence the decision

influence

Person who actually determine what will be chosen

decider

Person who physically acquires the product

buyer

Member who consumes the product

user

Observing

Making requests

Making selections

Making assisted purchases

Making independent purchases

consumer development stages

pattern of living that determines how people choose to spend their time, money and energy and reflects their values, tastes, and preferences

lifestyle

need strong enough to prompt satisfaction seeking

motive

process by which we select, organize, and interpret information to assign meaning to our world

perception

what has more customer B2B or B2C

B2C

which has a more complex and larger process B2B or B2C

B2B

STP

Segmentation, Targeting, and Positioning

Dividing market into groups who have different needs, characteristics, or behaviors

Homogenous cluster in heterogeneous market

segmentation

groups who have common needs, values, and responsiveness to marketing variables

segments

picking which segment to serve

targeting

Age, lifestyle, stages of life, gender, income

demographic

People who think similarly

Attitudes, values, lifestyles, social class

AIO - activities, interests, and opinions

Racing fans, foodies, environmentalists, etc

psychographic

People who act similarly

Loyalty status

Based on common benefits sought by consumers

Usage occasion - when people use certain things

Usage rate - frequency of usage

Heavy users: purchase products more frequently than others

behavioral

segmentation groups (4)

demographic
geographic

psychographic
behavioral

measurable
accessable
substantial
differentiable
actionable

effective segments must be

Group of consumers who respond in a similar way to a given set of marketing efforts

targeting

What consumers we are going to serve

Size of segment

Growth potential

Level of competition

undifferentiated marketing

Target several market segments and designs

Increases appeal to specific groups

differentiated marketing

Firm goes after a large share of one or few segments or niches

concentrated marketing

Tailoring products to specific individuals and local customer segments

micromarketing

Arranging product to occupy a clear, distinctive, and desirable place relative to competing products

positioning

Each must make a proposition to the consumer

Must be unique

Must be strong to move customers to product

usp

a promise of the value to a customer group that guides the development of marketing activities

positioning statement

For (target market), (brand name) is the brand of (frame of reference) that (value proposition) because (reason to believe

positioning statement framework

How customers perceive brands in a given industry/product category

perceptual map