Principles of Marketing Review

These flashcards cover fundamental concepts and definitions in the Principles of Marketing lecture notes, focusing on key terms, the marketing mix, customer value, and the importance of marketing.

What is the American Marketing Association's definition of marketing?

Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value.

What are the four key components of marketing?

1. Creating Value 2. Communicating Value 3. Delivering Value 4. Exchanging Value

How is value defined in the context of marketing?

Value is defined as everything a customer gets for what they give up, which is the relationship between benefits received and what is given up.

What is the value equation?

Value = Benefits Received - (Price + Non-Financial Costs) where non-financial costs include time and effort.

What are the traditional four Ps of marketing?

1. Product/Service 2. Promotion 3. Place/Distribution 4. Price

What is the difference between a need and a want in marketing?

A need is a basic requirement for survival, while a want is a specific product or service that satisfies that need.

What does the marketing concept emphasize?

The marketing concept emphasizes satisfying customer wants and needs while ensuring that the exchange is profitable for the company.

What is the role of marketing in delivering value to customers?

Marketing creates products and services that offer value, sets prices that influence the value equation, and effectively communicates the value to customers.

How does marketing occur in non-profit settings?

Marketing can be used by non-profits to promote their missions and generate funds, like the Princess Margaret Cancer Foundation's lottery.

Why is understanding the customer important in marketing?

Understanding the customer is crucial to developing products or services that meet their specific needs and wants, ultimately leading to successful marketing.