BUS 360 Marketing Fundamentals and Strategy Flashcards

Vocabulary flashcards covering core marketing concepts, the marketing mix, historical marketing eras, and strategies for achieving sustainable competitive advantage based on BUS 360 lecture notes.

Marketing

An organizational function and a set of processes for creating, capturing, communicating, and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders.

Stakeholder

Someone who is impacted by a product, including competitors, employees, and customers.

Product

The component of the marketing mix responsible for creating value by developing offerings such as goods, services, and ideas to satisfy customer needs.

Promotion

The component of the marketing mix focused on value communication, defined as communication by a marketer that informs, persuades, and reminds potential buyers about a product or service to influence their opinions and elicit a response.

Place

The component of the marketing mix focused on value delivery, representing supply chain management and all marketing processes needed to get the product to the right customer at the right time.

Price

The component of the marketing mix focused on value capture, representing everything a buyer gives up (including money, time, and energy) in exchange for the product.

P2P

Peer-to-peer or market-to-market marketing performed by individuals and organizations.

Production Era

The phase in the evolution of marketing spanning from $1900$ to the $1920\text{s}$.

Sales Era

The phase in the evolution of marketing spanning from the $1920\text{s}$ to the $1950\text{s}$.

Marketing Era

The phase in the evolution of marketing spanning from the $1950\text{s}$ to the $1990\text{s}$.

Value-Based Marketing Era

The phase in the evolution of marketing after the $1990\text{s}$ focused on finding the ultimate value for a customer.

Specialization

A form of differentiating a firm that increases volume, operational excellence, and reliability, leading to increased demand if it maintains a competitive advantage.

Customer Excellence

A strategy for building sustainable competitive advantage that focuses on retaining most profitable customers through heavy investment in loyalty programs and maintaining customer experience.

Operational Excellence

An element of sustainable competitive advantage achieved through efficiency, supply chain management, quick execution, and cost reduction.

Economy of Scale

The cost benefit realized when scaling a business from small volume (such as $10$ units) to large volume (such as $10\text{K}$ units), diluting fixed costs as volume increases.

Locational Excellence

A base for sustainable competitive advantage focused on physical or web location, which is especially vital for retailers and service providers.

Marketing Strategy Steps

A sequential process consisting of: 1. A firm's target market, 2. A related marketing mix, and 3. Bases on which the firm plans to build a sustainable competitive advantage.

Sustainable Competitive Advantage

An enduring advantage over competition built on customer value through customer excellence, locational excellence, operational excellence, and product or brand excellence.