Introduction to Marketing Flashcards

A collection of vocabulary flashcards defining core concepts, activities, strategic levels, research types, and portfolio models from the introductory marketing lecture.

Marketing Mix

The factors that business executives and managers can control, traditionally categorized as the four P's: product, price, place, and promotion.

Four P's

The core controllable elements of marketing consisting of Product, Price, Place, and Promotion.

Qualitative Research

Exploratory research, such as focus groups with 10 to 12 participants, used to identify consumer problems and evaluate concepts without statistical significance.

Quantitative Research

Research conducted via surveys (mail, phone, or internet) using a representative random sample of approximately 1,500 respondents to yield statistically significant results.

Target Market

The specific group of consumers that a company wants to buy its product.

Five Key Marketing Activities

The sequential marketing steps: 1) Identify an unmet need, 2) Develop a concept, 3) Determine a price the customer is willing to pay, 4) Gain distribution, and 5) Build awareness.

High Involvement Purchase

A purchase category (such as gaming or music) where consumers are highly engaged and willing to return to a store if the product is initially unavailable.

Low Involvement Purchase

A purchase category where consumers are less engaged and may leave without returning if the product is not available on the shelf.

Psychographics

Consumer profile characteristics that describe the lifestyle, activities, and interests of the target market.

Elastic Market

A price-sensitive market where demand increases when the price is lowered.

Corporate Plan

A top-level plan developed by senior management that outlines the organization's mission, vision, and values.

Mission

A definition of the business in which a company currently operates on a daily basis.

Vision

An aspirational goal defining where an organization wants to be in the future.

Values

The guiding principles of an organization, such as respecting the diversity and cultural differences of employees and suppliers.

Strategic Business Units (SBUs)

Organizational divisions tasked with making the corporate mission and vision an operational reality within their respective product categories.

Functional Plan

A department-level plan (such as marketing or finance) that executes the business plan through shared organizational objectives.

Direct Competitors

Companies competing directly within the exact same product category, such as Tropicana and Minute Maid in orange juice.

Indirect Competitors

Producers of substitute or alternative products across different categories that satisfy similar consumer needs, such as milk producers relative to orange juice producers.

Bait and Switch

An illegal marketing practice where a business advertises a product it has no intention of stocking to draw consumers in and sell them a higher-priced item.

BCG Model

A portfolio analysis tool developed by the Boston Consulting Group to classify strategic business units or product lines based on industry growth rate and market share.

Star

A classification in the BCG matrix for a product line or business unit with high market share in a high-growth industry.

Cash Cow

A classification in the BCG matrix for a business unit with high market share in a low-growth or mature industry, generating profits used to fund stars.

Dog

A classification in the BCG matrix for a product line or business unit with low market share in a low-growth industry.

Question Mark

A classification in the BCG matrix (also called a problem child) for a business unit with low market share operating in a high-growth industry.