Principles of Marketing Flashcards

Vocabulary-style flashcards covering the core concepts, philosophies, and strategies from the Principles of Marketing lecture transcript.

Marketing

A social and management activity that enables people and groups to create and exchange goods and value with others in order to achieve what they need and want; defined by Philip Kotler as the science and art of exploring, creating, and delivering value to satisfy the needs of a target market at a profit.

Needs

Basic requirements including food, clothing, and shelter without which humans cannot survive.

Wants

Directing basic human needs at specific goods that meet those needs.

Demands

Wants for specific products backed by the ability to pay.

Customer Value

The difference between the values a customer gains from owning and using a product and the costs of obtaining the product.

Market space

A digital space allowing the interaction and transaction between the buyers and sellers, such as Amazon.com or Flipkart.com.

Meta market

A group of complementary products and services closely related in the minds of the consumers but spread across a diverse set of industries, such as a website offering travel, hotels, and sightseeing.

Production Concept

A philosophy focusing on lowering production costs through large-scale production, based on the idea that consumers favor products that are affordable and easily accessible.

Product Concept

The belief that consumers favor products offering the best quality, performance, and innovative features, leading companies to focus on continuous product improvements.

Selling Concept

A philosophy emphasizing aggressive marketing and promotion efforts to persuade customers to buy products they may not be interested in, often used for unsought goods like insurance.

Marketing Concept

A philosophy that achieves organizational goals by determining the needs and wants of customers and delivering satisfaction more effectively and efficiently than competitors.

Holistic Marketing Concept

A marketing perspective that recognizes the scope and interdependencies of marketing programs, processes, and activities across the entire organization and its stakeholders.

Relationship Marketing

A strategy aimed at establishing and maintaining profitable, long-term relationships with customers beyond the initial contact.

Internal Marketing

The task of hiring, training, and motivating employees within the organization to ensure they want to serve customers well.

Socially Responsible Marketing

A philosophy stating that a company should consider the best interests of society in both the present and long term.

Autocratic Leadership

A management style where the manager is the only one responsible for decision-making and execution, and the team's role is solely to follow directions.

Laissez-faire

A management style where the manager usually takes a back seat, letting the team handle deadlines and project management with equal authority.

Mission Statement

A declaration that defines the business of the enterprise, its goals, and its approach to achieving those goals.

Vision Statement

A description of the company's desired future position.

Marketing Mix

Proposed by McCarthy, it is the classification of marketing activities into four broad categories: Product, Price, Place, and Promotion.

Physical Evidence

A tangible component of a service, including buildings, signs, logos, brochures, and websites.

Rapid Skimming Strategy

Introducing a new high-priced product with high promotional costs to get as much profit as possible per unit and speed up market penetration.

Slow Penetration Strategy

Introducing a product with a low price and low-level promotion to encourage product acceptance and realize profits.

Inbound Logistics

A primary value activity in Porter's chain involving material handling and warehousing.

Outbound Logistics

A primary value activity in Porter's chain involving order processing and distribution.

Buying Motives

Consumer motives induced enough to encourage a customer to purchase a product; classified as conscious, sub-conscious, or unconscious.

Social Proof

The tendency of consumers to follow the herd and imitate the actions of others, often making word-of-mouth marketing effective.

Micro-influencer

An influencer with a follower count within the range of 10,000–100,000 followers.

Talent pool

A database of job candidates who have the potential to meet an organisation’s immediate and long-term needs.