study deca

Planned obsolescence

\___________ occurs when a business releases a product and plans to discontinue it and replace it with an updated version of the item.

Screening

Collecting opinions from key stakeholders to make sure idea meets business objectives and customer expectations.

SWOT analysis

An analysis of a company's Strengths, Weaknesses, Opportunities and Threats used by companies to evaluate their competitive position.

Product Life Cycle

Introduction, Growth, Maturity, Decline

Width (Four Dimensions of Product Mix)

Refers to the number of product lines that a company offers.

Length (Four Dimensions of Product Mix)

Refers to the total number of items in all product lines.

Depth (Dimensions of Product Mix)

Refers to the total number of variations within a product line (Colors, variation in models).

Consistency (Four Dimensions of Product Mix)

Refers to how closely related a company's product lines are to one another.

Contraction

When a company stops carrying a product or reduces the size of the product line

Product Life Cycle (Introduction)

Starts when a new product is launched. You are trying to build as much awareness as possible, and it takes time for sales to grow because you often start in a limited market. profits are low or negative due to distribution/promotion expenses.

Product Life Cycle (Growth)

The stage when sales rise and a product/service becomes more popular with greater market share. More focused on price and increased advertising efforts

Product Life Cycle (Maturity)

The stage where sales begin to peak and slow down, potentially as competitors enter a market. You are trying to maximize profits to recoup the costs needed to progress the product to this stage. This is often done with a PRICE-ORIENTED PRICING STRATEGY.

Product Life Cycle (Decline)

The stage where sales are falling and profits decline until the product is eventually removed from the market as new competitors are introduced and you're not able to keep up.

Fiat money

\_______ money is a government-issued currency that is not backed by a physical commodity, such as gold or silver, but rather by the government that issued it (US dollar, the British pound, Indian Rupee)

Representative money

A type of currency that is backed by a physical commodity, such as gold or silver, that has a set value. The currency can be exchanged for a fixed amount of the underlying commodity, and the value of the currency is directly linked to the value of the commodity.

For example, gold certificates were issued by the US government and were redeemable for a specific amount of gold. The value of the certificate was directly linked to the value of gold, and people could use them to pay for goods and services.

Commodity money

Objects that have value in themselves and that are also used as money (gold and silver coins).

Brand

A name, reputation, perception, term, symbol, design, or combination thereof that identifies a seller's products and differentiates them from competitors' products.

Bilateral Contract

A mutually beneficial agreement between two parties in which both parties promise to perform certain activities.

Executed Agreement

An agreement or contract that has already occurred.

Horizontal conflict (channel conflict)

A dispute between two or more channel partners of the same level in the same channel.

Vertical conflict (level conflict)

A channel conflict that occurs between different levels in a marketing channel, most typically between the manufacturer and wholesaler or between the manufacturer and retailer.

Affinity Marketing

Occurs when two companies link their brands for a mutually beneficial outcome.

Rapport talk

A close and harmonious relationship in which the people or groups concerned understand each other's feelings or ideas and communicate well.

Report talk

The typical monologic style of men, which seeks to command attention, convey information, and win arguments.

Materials

Items that will become part of a finished product after they have been processed.

Gross Domestic Product (GDP)

A measurement of the total goods and services produced within a country.

Gross private domestic investment (Component of GDP)

The value of all capital goods created in the economy during the year and inventories held by BUSINESS (keyword) firms from the current year's production.

Net exports of goods and services (Component of GDP)

When using the expenditures approach to calculating GDP the components are consumption, investment, government spending, exports, and imports.

Government purchases of goods and services (Component of GDP)

Purchases made by the government and the wages of all government workers.

Personal consumption expenditures (Component of GDP)

Final market value of all goods and services purchased for direct consumption by individuals, families, and nonprofit organizations.

Defamation

The action of damaging the good reputation of someone; slander or libel.

Appropriation

A legislative grant of money to finance a government program or agency.

Conversion

In online businesses or eCommerce, conversion represents the term used to often describe the act of converting a visitor who browses your site to a paying customer.

Proprietorship

A form of business organization with one owner who takes all the risks and all the profits.

Corporation

A business owned by stockholders who share in its profits but are not personally responsible for its debts.

Partnership

A business in which two or more persons combine their assets and skills.

Cooperative

A business organization owned and operated by a group of individuals for their mutual benefit.

Channel Management

Involves understanding the concepts and processes needed to identify, select, monitor, and evaluate sales channels

industrial customers

institutions or personal who purchase goods or services for commercial use

ultimate consumers

People who personally use a good or service to satisfy their own wants

international marketing

International marketing refers

to marketing goods and services in foreign countries.

Green marketing

Green marketing refers to the practice of pricing, promoting, and distributing products in such a way that they do not harm the natural environment.

subsidy

a sum of money granted by the government or a public body to assist an industry or business so that the price of a commodity or service may remain low or competitive.

excise

(v.) to remove by cutting; (n.) an indirect tax on the manufacture, sale, or distribution of a commodity or service

bond

A financial security that represents a promise to repay a fixed amount of funds

Inflation

A general increase in prices and fall in the purchasing value of money.

Mediator

A neutral third party who facilitates a negotiated solution by using reasoning, persuasion, and suggestions for alternatives.

steward

a person who is given both the authority over what he or she cares for and the responsibility for seeing that it lives and grows

arbitrator

A third party to a negotiation who has the authority to dictate an agreement.

Promotional Mix

The combination of promotional tools—including advertising, public relations, personal selling, sales promotion, and direct marketing—used to reach the target market and fulfill the organization's overall goals

Direct Sales

Refers to selling products directly to the consumer in a non-retail environment.

Sales Process

A system for learning about the needs of a potential client to be able to identify and present a number of solutions for those needs.

Suggestive selling

A sales technique where salespeople ask customers if they would like to purchase more products or services.

7 steps of the sales process

1) Research and preparation

2) Lead generation and prospecting

3) Approach and needs assessment

4) Sales presentation

5) Handling objections

6) Closing

7) Follow-up

Mirroring

The idea of customers wanting to be like people who are similar to them.

Affinity

A personal or emotional connection between a customer and a business. Businesses that can capture and nurture customer affinities establish brand loyalty with their customers.

Reciprocity

Giving someone something so they feel compelled to give something back in return.

Business forcast

Predictions about future events that are based on historical data, current trends, and situational analysis.

Qualitative Forecasting

Forecasting that rely on experience and instinct, and therefore include opinions and judgements.

Quantitative Forecasting

Forecasts based on historical data, including customer traffic, sales volumes, prices paid, and statistical modeling and trend analysis.

Reliable

Marketing Research

The process of gathering, recording, and analyzing information about all the marketing functions, and focusing on the 4Ps.

The process gathers marketing data used to make marketing decisions.

Marketing Information System (MIS)

A system that gathers, stores, analyzes, and distributes marketing data to a team. In other words, teams use these systems to get the information they need from their research.

CON IT IS EXPENSIVE

Primary Research

Researching and analyzing original data collected from first-hand experience.

Secondary Research

Researching and analyzing existing data that has already been collected by other outside sources.

Forced-choice questions

Force respondents to provide a definitive answer or opinion to each question (Yes/No, 1-10).

Open-ended questions

Questions that allow respondents to answer however they want

Quantitative data

Data that can be counted or compared on a scale, measuring things like rankings, statistics, percentages, and trends.

Qualitative data

non-numerical data that describes qualities and characteristics: color, odor, shape, or some other physical characteristic.

Survey method

Technique for gathering data that involves asking people questions.

Experimental method

Research conducted with a scientific approach using two sets of variables.

For example, pharmaceutical companies are known for using placebos, or non-effective pills, during research to see if the actual medication is achieving its expected results.

Observation method

Research technique in which researchers watch how consumers interact in the market or with a product.

Environmental scan

Careful monitoring of your surroundings, in order to detect early signs of opportunities and threats that may influence your current and future plans.

Data mining

The process of uncovering patterns and other valuable information from large data sets.

Direct Procurement Costs

The cost of goods and production of finished products.

Procurement

Buying and gathering all necessary materials for production and/or daily operations.

Indirect procurement costs

Non-production-related purchases: office supplies, marketing materials, and consulting services are examples of indirect costs.

Gross Margin

The amount of money the retailer makes as a percentage of sales after the cost of goods sold is subtracted

Strategic purchasing

Responsible for planning high-level decisions that go into purchasing.

The Main goals of are to ensure that solid supplier relationships exist, determine whether to make certain components in-house or buy from a supplier, ensure these decisions are economically beneficial to the company, while also minimizing risk, like supplier outages.

Operational purchasing

Includes the day-to-day and administrative aspects of purchasing.

Ultimate consumer, industrial user, final customer

End user is also called

Producer

An entity that manufactures a product or provides a service

Channel

A way goods or services are distributed from producers to end users.