MKT 300

Marketing

Activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings with value.

Product

A good, service, or idea offered to satisfy customer needs or wants.

Customer Value

The difference between benefits a customer gets and the costs of obtaining it.

Needs vs. Wants

Needs are basic requirements; wants are influenced by culture and personality.

Marketing Mix

The 4 P’s: Product, Price, Place, Promotion.

Marketing Analytics

Use of data and metrics to evaluate marketing effectiveness.

Logistics

Planning, implementing, and controlling the physical flow of goods.

Supply Chain

Network of companies involved in producing and delivering products to consumers.

Production Orientation

Focus on efficiency and mass production.

Sales Orientation

Focus on aggressive selling and promotion.

Marketing Concept

Business philosophy that success depends on satisfying customer needs better than competitors.

Relationship Marketing

Building long-term, mutually beneficial customer relationships.

Non-Profit Business

Organizations that use marketing for social goals instead of profit.

Social Criticisms of Marketing

Issues like high prices, deceptive practices, unsafe products, and marketing to children.

Ethics/AMA Code of Ethics

Principles of honesty, responsibility, fairness, respect, transparency, citizenship.

Corporate Social Responsibility (CSR)

Balancing profit-making with actions that benefit society.

Ethical Decision-Making Framework

Steps: determine facts, identify issue, consider stakeholders/alternatives, make and monitor decision.

NAFTA

North American Free Trade Agreement, later replaced by USMCA.

USMCA

Trade agreement between U.S., Mexico, and Canada.

Strategic Planning

Defining a firm’s objectives and developing methods to achieve them.

Mission Statement

The organization’s purpose and reason for existing.

Stages of Marketing Plan

Analysis, objectives, strategies, implementation, evaluation.

Brand Competitor

Firms offering similar products to the same customers.

Product Competitor

Different products that satisfy the same need.

Generic Competitor

Different categories that meet the same basic need.

Total Budget Competitor

Compete for the same financial resources of customers.

SWOT Analysis

Evaluating Strengths, Weaknesses, Opportunities, Threats.

Market Penetration

Increase sales of existing products in existing markets.

Product Development

New products in existing markets.

Market Development

Existing products in new markets.

Diversification

New products in new markets.

Market Segmentation

Dividing the market into groups with shared traits.

Target Market

The specific customer group chosen to serve.

Positioning

How a product is perceived in the minds of customers.

Financial Projections

Forecast of revenue, costs, and profits.

Sales Forecast

Predicted future sales.

Expense Forecast

Predicted future costs.

Break-even Analysis

Determines sales needed to cover costs.

Return on Marketing Investment (ROMI)

(Sales × Margin % – Marketing Expenditures) ÷ Marketing Expenditures.

Revenue Analysis

Measures revenue by product, region, or segment.

Profitability Analysis

Examines customer acquisition cost and customer profitability.

Market Share

A firm’s sales as a percentage of the industry total.

Market Entry Strategies

Exporting, licensing, joint ventures, direct investment.

Marketing Environment

Outside factors affecting a company’s ability to meet goals.

Environmental Scanning

Collecting info about external environment trends/threats.

Direct Competition

Firms offering similar solutions to the same customers.

Indirect Competition

Firms offering alternative ways to satisfy the same need.

Economic Factors

Conditions like income, inflation, and confidence that affect buying.

Gross Domestic Product (GDP)

Total value of goods and services produced in a country.

Household Income

Combined income of all members in a household.

Inflation

Rise in overall price levels.

Consumer Confidence

Measure of consumer optimism about the economy.

Currency Exchange Rate

Value of one country’s currency vs. another.

Disposable Income

Income left after taxes for spending and saving.

Purchasing Power

The ability of income to buy goods and services.

Demographic Factors

Population characteristics such as age, gender, ethnicity.

Sociocultural Factors

Cultural values, attitudes, and lifestyles affecting marketing.

Self-Reference Criterion

Using one’s own culture to evaluate others.

Cultural Relativism

Understanding cultural differences without judgment.

Legal Factors

Laws that regulate marketing practices.

Political Factors

Government actions and policies affecting business.

Tariff

Tax on imported goods.

Quota

Limit on the number of imports allowed.

Embargo

Total ban on trade with a country.

Technological Factors

Innovations (like AI) that impact marketing.

NAFTA/USMCA

Trade agreements shaping cross-border marketing.

BRICS

Emerging markets (Brazil, Russia, India, China, South Africa).

WTO

World Trade Organization, regulating global trade.