DECA - IMC Marketing Cluster Test Prep

Appropriation (Tort)

Involves a business or person who uses, without permission, another person's name, likeness, and other unique characteristics for the benefit or gain of the user

Torts

Civil wrongdoings that cause harm or injury to another party

Wrongful Interference (Tort)

Predatory behavior undertaken by a business to draw either customers or employees away from a competitor

Defamation (Tort)

Making false, malicious statements about a person or organization

Conversion (Tort)

When personal property is taken from the owner and given to someone else to use

Corporation

A type of business that is operated by several people and owned by stockholders

Partnership

A form of business ownership in which the business is owned by two or more persons

Sole Proprietorship

Form of business ownership in which the business is owned by one person

Cooperative

Owned and operated by its user-owners to supply goods and services to its members

Channel Management

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

Promotion

Involves understanding the concepts and strategies needed to communicate information about goods, services, images, and/or ideas to achieve a desired outcome

Pricing

The marketing function that involves determining and adjusting prices to maximize return and meet customers' perceptions of value

Product/Service Management

The marketing function that involves obtaining, developing, maintaining, and improving a product or service mix in response to market opportunities

Intermediarires

Middlemen and incude sales agents, wholesalers, and retailers who perform specific functions in the movement of goods form producers to consumers

Direct Channels of Distribution

Involve producers and either industrial or ultimate consumers

Consumer Protection

Deals with safety features and product labeling standards that protect the consumer

Social Awareness

The practice of enlightening the community of business actions to promote social welfare

Hidden Complaint

Conceal the real complaint a customer has by stating another believable but secondary complaint for their dissatisfaction

Sincere Complaint

A complaint when the customer expresses an honest dissatisfaction

Service Complaint

A complaint which results from poor service

Business Complaint

A complaint in which the customer is dissatisfied with the business in general

Brand Promise

A business's agreement (spoken or unspoken) with customers that will consistently meet their expectations and deliver on its brand characteristics and values

Time Utility

When products are available at the time they are needed or wanted by customers

Form Utility

Usefulness created by altering or changing the form or shape of a good to make it more useful to customers

Place Utility

Usefulness created by making sure that goods and services are available at the place where they are needed or wanted by customers.

Possession Utility

Usefulness created when ownership of a product is transferred from the seller to the user

Quality Control

Ensuring that products met predetermined standards for excellence; also part of operations

Purchasing

Acquiring necessary goods and services; part of operations

Inventory Management

Supervising inventory levels to make sure there is an appropriate balance; part of operations

Competition

Rivalry between two or more business to attract scarce (limited) customer dollars

Profit Motive

Desire to make profit, which moves people to invest in business

Inflation

Rapid rise in prices usually occurring when demand exceeds supply

Excise Tax

A special government tax on certain items, such as gasoline, certain businesses, cars, etc.

Subsidy

Government financial help given to a business

Bonds

A piece of paper (real or virtual) that says the governing body or corporation will borrow your money at a particular interest rate for a particular period of time; Interest-bearing certificates issued by government that promise to pay bond owners a certain sum at a specified time

Discount

the amount by which the price of something is reduced

Union Stewards

Union members elected by their peers to handle any grievances or problems members might have with management

Union President

Responsibilities include leading the union as a whole rather than assisting individuals

Mediator

Involved in union negotiations, clarifying issues, and making suggestions concerning the contract

Arbitrator

Assists with (union) negotiations; In binding arbitration, this person's decisions regarding the contract are final and cannot be changed

Self-Understanding

Comprehending one's personal needs interests, values, and motives and recognizing their effects on one's behavior

Productivity

The amount and value of goods and services produced (outputs) from set amounts of resources (inputs)

Consensus

Decision-making outcome that requires the substantial agreement of each group member

Minority Rule

Few people in the group make the decision

Store of Value

When money is saved rather than spent

Medium of Exchange

When money is used to obtain goods and services

Bartering

Trading one good or service for another good or service

Measure of Value

When money functions as this, the individual holding the money assesses what s/he is willing to pay for a good or service

Commercial Bank

Provides a variety of financial services to individuals and business. Besides providing savings accounts and other saving options, banks also make loans and offer credit cards. Many large banks have trust departments and help individuals plan for retirement. It may be possible to obtain all necessary financial services from that institution

Taxation Department

Collects various types of taxes

High Interest Rates

A business condition that can create economic risks

Accounting

The process of keeping and interpreting financial records

Liability

Financial obligations a business has

Liquid Asset

Cash or any asset that can quickly be converted into cash

Accounts Receivable

Money owed to the business for purchases made by customers

Dividends

Sums of money paid to investors or stockholders as earnings on investments

Cash Conversion Cycle

The ratio that reflects the number of days between a company paying for raw materials and receiving cash from selling the products made from those raw materials

Profit Margin

The amount of money that a business earns on sales after expenses; expressed as a ratio

Human Resources Management

The process of planning, staffing, leading, and organizing the employees of a business

Distribution Channels

Paths, or routes, that goods or services take from the producer to the ultimate consumer or industrial user

Marketing Research

The systematic gathering, recording, and analyzing of data about a specific issue, situation, or concern

Experiment

A marketing research method that tests cause and effect by testing marketing new products or comparing test groups with control groups

Semantic-Differential Rating Scales

Measure attitude

Volume-Tracking Scanner

A method of collecting information about customers' buying habits and inventory status because the scanning system can track large volumes of goods

Secondary Data

Information that have been collected for purposes other than the project at hand.

Marketing-Information Management

This function involves gathering, accessing, synthesizing, evaluating, and disseminating information to aid in making marketing decisions

Selling

This function involves determining customer needs and wants and responding through planned, personalized communication that influences purchase decisions and enhances future business opportunity

Promotional Mix

The combination of marketing communication channels that a business uses to send its messages to consumers

Market Segmentation

Dividing the market into groups that have similar characteristics

Psychographic Segmentation

The market divided on the basis of a lifestyle choice

Geographic Segmentation

Dividing a market on the basis of location

Rate of Usage

A type of behavioral segmentation, which involves dividing customers into groups according to their response to a product

Presentation

The way in which the information is communicated

Objectivity

Presenting unbiased information

Information System

A method of gathering, storing, and analyzing data for the purpose of making business decisions

Private Enterprise

An economic system in which individuals and groups, rather than government, own or control the means of production. Considered a mixed economy because individuals and business are the primary economic decision makers, while the government helps to regulate and control the system

Environmental Scan

An analysis of external forces that influence a business's success; Collecting information about the environment (e.g. competitors and economic decisions) surrounding the business

Consumer Spending Habits

An economic factor that may be a threat or an opportunity

Quality Inspection

Checking a sample item for defects after it has already been produced

Quality Assurance

The process businesses use to prevent defective products from being created

Platform Project

One that creates something entirely new

Derivative Project

Enhances, adds to, or extends an existing project

Breakthrough Project

Relies on the use of new technology

R&D Project

Takes on new visions or pursuits for the business

Process Orientation

A focus on how things are done, rather than just outcomes

Lean Production

Maximizing customer value while minimizing waste

Continual Improvement

A focus on increasing efficiency and effectiveness in all areas of the organization

Concurrent Engineering

Performing the stages of product design and development simultaneously, instead of one after another

Product Innovation

Involves the development of totally new or improved products

Process Innovation

Changing the way that a product is produced or delivered

Positioning Innovation

Involves identifying new, different ways to position a product or a company

Paradigm Innovation

A shift in the way of thinking that causes a change

Below-Cost Pricing

When a company prices its products below cost, making it difficult for other companies to complete with the low prices causing the other companies to possibly go out of business

One-Price Policy

When a business charges one price for all items it sells

Price Skimming

A pricing strategy that involves setting prices higher than those of the competition

Markup

The difference between the cost of a product and its selling price

Mind-Mapping Process

A creative-thinking process that involves generating ideas by making associations

Express Warranties

Warranties that are in writing or expressed verbally

Positioning (Product-Mix Strategy)

A product-mix strategy in which a business creates a certain image or impression of a product in the minds of consumers

Contraction

A product mix-strategy in which a business removes, or deletes, product items or product lines from its product mix