MKTG 370 Exam 1 Master Study Guide

Vocabulary study flashcards covering key definitions, concepts, matrix classifications, environment analysis, and B2B/B2C frameworks across Chapters 1, 2, 5, 6, and 7 of MKTG 370.

Marketing

The activity that creates, communicates, delivers, and exchanges offerings that provide value to customers, clients, partners, and society.

Integrated Marketing Communications (IMC)

The practice of coordinating all promotional tools within Promotion to deliver one clear, consistent message across all channels.

Customer Value

The ratio of benefits received (such as quality, performance, convenience, status, and service) relative to costs given up (such as money, time, effort, risk, and inconvenience).

Form Utility

The value added to a product by transforming inputs into a finished good or service that meets customer needs (WHAT).

Time Utility

The value added by making a product or service available precisely when the customer wants or needs it (WHEN).

Place Utility

The value added by making a product or service accessible where the customer wants to purchase or consume it (WHERE).

Possession Utility

The value added by enabling customers to easily gain ownership or usage of a product in desired quantities (HOW/AMOUNT).

Production Concept

A business orientation focused on extreme production efficiency, specialization, assembly-line economies of scale, and low cost.

Product Concept

A business orientation focused on giving consumers variety, choices, options, and product features.

Selling Concept

A business orientation used when supply exceeds demand, prompting firms to aggressively push existing inventory using heavy sales and promotional tactics.

Marketing Concept

A business philosophy that starts with understanding consumer needs and anticipating customer desires to create value.

Brand Evangelism

A phenomenon where fiercely loyal customers voluntarily promote, defend, and recommend a brand to others.

Customer Relationship Management (CRM)

A business process that uses customer data and interaction history to build long-term relationships, customer retention, and loyalty.

Touchpoint

Any point of direct or indirect contact between a customer and a company, such as app downloads, purchase history, POS data, or customer service inquiries.

Sustainable Competitive Advantage

A distinct advantage over competitors that is difficult to replicate and can be maintained over a long period.

Customer Excellence

Achieving a competitive advantage by focusing on retaining loyal customers and providing outstanding customer service.

Operational Excellence

Achieving a competitive advantage through efficient operations, logistics, inventory management, and supply chain management.

Product Excellence

Achieving a competitive advantage by delivering high-quality products, continuous innovation, effective branding, and clear positioning.

Locational Excellence

Achieving a competitive advantage through strong physical presence, optimal store locations, or seamless digital access.

STP Process

The strategic framework consisting of Segmentation (splitting the market), Targeting (choosing target market segments), and Positioning (establishing desired perception in customer minds relative to competitors).

Star (BCG Matrix)

A high-market-growth, high-market-share strategic unit that requires high investments to fuel rapid growth.

Cash Cow (BCG Matrix)

A low-market-growth, high-market-share strategic unit that generates excess cash to fund other business units.

Question Mark (BCG Matrix)

A high-market-growth, low-market-share strategic unit requiring intense evaluation to decide whether to invest resources to build it into a Star.

Dog (BCG Matrix)

A low-market-growth, low-market-share strategic unit that typically generates enough cash to sustain itself but lacks long-term growth potential.

Market Penetration

A growth strategy aimed at increasing usage or sales of existing products within existing market segments.

Market Development

A growth strategy that introduces existing products to new market segments or new geographic regions.

Product Development

A growth strategy offering a new or modified product to an existing target market.

Diversification

A high-risk growth strategy introducing an entirely new product line to a brand-new market segment.

Greenwashing

The practice of spending more time or money marketing environmental practices than actually implementing sustainable operations (claims > actions).

CDSTEP

An acronym representing the macroenvironmental factors influencing a firm: Culture, Demographics, Social trends, Technology, Economic situation, and Political/legal environment.

Replacement Rate

The fertility level required for a population to exactly replace itself from one generation to the next.

Fragmented Market

A market structure where numerous small competitors split total market share, with no single firm dominating.

Concentrated Market

A market structure where a small handful of companies hold the vast majority of overall market share.

Oligopoly

A market structure dominated by a small number of large, powerful sellers.

Monopoly

A market structure where a single dominant firm controls the entire supply of a product or service.

Functional Needs

Needs pertaining directly to the physical performance and utility of a product or service.

Psychological Needs

Needs pertaining to personal gratification, status, identity, social image, and feelings associated with a product or service.

Determinant Attributes

Product features or criteria that are crucial to the consumer and directly determine which choice wins among competing alternatives.

Compensatory Decision Rule

A decision process in which a favorable trade-off on one product attribute can offset an unfavorable attribute.

Noncompensatory Decision Rule

A decision process in which a product is immediately eliminated if it fails to satisfy a single crucial, non-negotiable criterion.

Cognitive Dissonance

An uncomfortable psychological state of postpurchase doubt, tension, or anxiety regarding the correctness of a buying decision.

Extended Problem Solving

A purchase decision process involving high perceived risk, substantial financial commitment, and extensive evaluation of alternatives.

B2B Marketing

The process of buying and selling goods or services to be used in producing other goods, for internal organizational operations, or for resale.

Reseller

A marketing intermediary, such as a wholesaler or retailer, that buys manufactured products and sells them without making major physical alterations.

Request for Proposal (RFP)

A formal B2B procurement process through which an organization invites external suppliers to submit competitive bids to fulfill product specifications.

Initiator (Buying Center)

The individual within a buying center who first identifies or raises awareness of a specific problem or purchase requirement.

Gatekeeper (Buying Center)

The participant in a buying center who controls information access or physical access to decision-makers and key personnel.

Autocratic Buying Culture

An organizational decision-making environment where a single individual makes the final buying decision independently.

New Buy

A B2B buying situation where an organization purchases a product or service for the very first time, requiring extensive involvement and research.

Modified Rebuy

A B2B buying situation where an organization reorders a product or service but alters specs, pricing, terms, or suppliers.

Straight Rebuy

A B2B buying situation where an organization routinely reorders items with no changes to prior specifications or supplier terms.