Test2_Review

Markstrat Challenge

Markstrat Challenge

A simulation tool used to develop and position brands through research and development (R&D) and advertising.

Perceptual Map

A visual representation of how consumers perceive the positioning of brands based on different attributes.

R&D in Marketing

Research and Development necessary for launching and modifying brands to match consumer expectations.

Conjoint Analysis

A statistical technique used to determine how consumers value different attributes that make up an individual product or service.

Competitive Analysis

The process of identifying and analyzing competitors to develop competitive strategies effectively.

Strategic Groups

Groups of firms within an industry that follow similar strategies or have similar characteristics.

Marketing Budget Allocation

The process of distributing marketing funds among different channels, segments, or products.

Diminishing Returns

A principle stating that as investment in a particular area increases, the incremental gains from that investment will eventually decrease.

Utility (Part-Worth)

A measure of how desirable a feature or attribute is to consumers; higher utility indicates higher preference.

Price Sensitivity

The degree to which the price of a product affects consumers' buying behaviors.

Market Growth Rate

The rate at which the market for a particular product or service is growing.

Buyer-oriented identification of competitors

Identifying competitors based on customer characteristics and purchasing behavior.

Supplier-oriented identification of competitors

Identifying competitors based on the characteristics and strategies of firms in the industry.

Nash Equilibrium

A concept in game theory where players choose strategies that are optimal, given the choices of other players.

S-shaped response function

A marketing model that shows how sales respond to advertising expenditures in a diminishing returns fashion.

Marginal Analysis

A method of evaluating the benefits or costs of one more unit of something, often used in budgeting and resource allocation.

Competitive Signals

Actions or announcements aimed at providing information to competitors, such as pricing changes or product launches.

Product/Service Positioning

How a brand is perceived in the minds of consumers relative to competing brands.

Market Segmentation

The process of dividing a broader market into smaller, distinct groups of consumers with similar needs or characteristics.

Response Curve

A graph depicting the relationship between the level of marketing expenditure and the resultant sales or consumer response.

Consumer Needs

The desires or requirements of consumers that drive their purchasing decisions.

Marketing Mix (4 Ps)

The combination of Product, Price, Place (distribution), and Promotion strategies used to market a product.