Marketing Fundamentals: Product Life Cycle, Branding, and International Strategies

Problem/Need Recognition

The most frequently used marketing stimulus to trigger this is promotion (advertising).

Product Life Cycle Stage

During the stage where role models are targeted, sales and profits are slowing/flattening.

Perishability of Services

This requires a recovery strategy and flexible pricing.

Determinant of Social Class

The most important determinant is income.

Importance of New Product Development

It is important for higher profitability, survivability, and affects society.

Reducing Consumer's Information Search Cost

Marketers can provide point of purchase information.

Difficult Aspects for Marketers

Motives are difficult for marketers to uncover.

Example of Successful Service

Southwest Airlines is an example of a service that marries customer and employee interests.

Demand Condition

Demanding customers make a national market more attractive.

Tangible and Intangible Components

All offerings can be thought of as having tangible and intangible components.

International Growth Orientation

Companies ideally evolve into a geocentric orientation.

Service Characteristics

Heterogeneity results in situations where one customer can affect another's experience.

Brand Extension

Introducing additional items in a product category under the same brand name is called brand extension.

Key to Successful International Marketing

Understanding the differences between national cultures is key.

Important Product Survival Factor

A distinctive benefit is the most important thing a product can have to survive.

Market Entry Strategy Disadvantage

Licensing may help to create a strong competitor.

Desirable Qualities for a Brand Name

The text mentions that not all brand names are good.

Quick trip

Convenience store

Puffs

Facial tissue

Easy-off

Oven cleaner

I can't believe it's not butter

Vegetable oil spread

Ways to increase demand

Provide a good consumer experience to reinforce future purchase, use motivating cues, associate offering with strong drives

Measure of brand's equity

The degree its name is recognized, the stock price of the company that owns the brand, the extent to which the brand is intensively distributed, the extent to which customers are willing to pay more for the brand

Most important group influence

Culture

Product life cycle stage with increased competition

Decline

Example of a technology driver

Corning glass

First step in new product development process

Idea generation

Innovation with diffusion advantage

Smart watch

Example of availability bias

Clothing ad on TV

Major consideration with sustainable development

Ensuring that growth in the present doesn't sacrifice future opportunities

Fostering economic growth and environmental safety

Target 'green' segments

Challenge to sustainable development

Overpopulation

Purpose of sustainability and consumption article

To raise the salience and importance of the issue

Type of advertising described as 'dreamlike'

Image-based advertising

Innate need mentioned by a student

Relationships

Most important influence

Family

Introducing additional items under the same brand name

Line extension

Condition that hurts national competitive advantage

Less demanding customers

Global market entry strategies for revenue flow

Strategies such as Exporting, Licensing, Franchising, and Joint ventures that generate revenue with little added investment.

Learning about a new market environment

Using strategies like Exporting, Licensing, Franchising, and Joint ventures.

Collectivist culture

A culture where ads feature groups of people.

Think globally, act locally

A worldview referred to as Polycentric.

Fundamental asset underlying brand equity

The value of the customer relationship the brand creates.

Fastest growing licensing category

Corporate brand licensing.

Desirable quality for a brand name

Distinctive, easy to pronounce, recognize, translate easily.

Advantage of a retailer using its own private brand

Higher profits.

Private label brands account for % of US store sales

About 20%.

Reason for not branding

When you can't guarantee consistent quality.

Reducing consumer information research cost

Providing point of purchases information.

Marketing mix component for stimulating need recognition

Promotion.

Basic cause of a person's wants and behaviors

Culture.

Stage of the production life cycle targeting risk takers

Introduction.

Competition from outside-sales/profit decline

Occurs in the Decline stage.

Pioneer efforts to stimulate primary demand

Occurs in the Introduction stage.

Time spent in information search and evaluation stages

Dependent on the buyer's level of Involvement.

Follow-up to need recognition in consumer buying process

Information research about alternatives.

Most important needs

Innate needs.

Most powerful marketing source of information

Word of mouth.

Most powerful internal search for alternative products

Past experiences.

Consumer behavior tendency for effective store sales

Anchor and adjustment.