Bus 313 exam 1

Chapter 1:

What is Marketing?

  • 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.

    • Good marketing is not a random activity, it requires thoughtful planning with an emphasis on the ethical implication of any of those decisions on society in general.

  • Marketing plan: is a written document composed of an analysis of the current marketing situation, opportunities, and threats for the firm, marketing objectives and strategy specified in terms of the four P’s, action programs, and projected or pro forma income and other financial statements.

  • Marketing affects various stakeholders it's about satisfying customer needs and wants, entails an exchange, creates value through product, price, place, and promotion decisions, and can be performed by individuals and organizations.

  • Exchange: is the trade of things of value between the buyer and the seller so that each is better off as a result.

  • Marketing mix: is 4 P’s with the controllable set of activities that a firm uses to respond to the wants of its target markets.

  • Goods: are items that can be physically touched.

  • Services: any intangible offering that involves a deed, performance, or effort that cannot be physically possessed, intangible customer benefits that are produced by people or machines and cannot be separated from the producer.

  • Ideas: intellectual concepts-thoughts, opinions, and philosophies.

  • 4 P’s:

    • Product/creating value: this focuses on creating the product by developing a variety of offerings, including goods, services, and ideas to satisfy customers' needs.

    • Price/Capturing value: price is everything to the buyer because they give up money, time, and/or energy in exchange for the product. Marketers must determine the price of a product carefully based on the potential buyer’s belief about its value.

    • Place/delivering the value proposition: represents all the activities necessary to get the product to the right customer when that customer wants it.

    • Promotion/communicating the value: Promotion is communication by a marketer that informs, persuades, and reminds potential buyers about a product or service to influence their opinions and elicit a response.

  • Value: Reflects target relationships of benefits to costs or what the consumer gets for what they give.

  • Value cocreation: customers act as a collaboration with a manufacturer or retailer to create a product or service.

  • Relational orientation marketing is a method of building a relationship with customers based on the philosophy that buyers and sellers should develop a long-term relationship.

    • To build relationships firms focus on the lifetime profitability of the relationship and not how much is made on each transaction.

  • Customer relationship management (CRM): a business philosophy and set of strategies, programs, and systems that focus on identifying and building loyalty among the firm's most valued customers.

    • They use this information to target the best customers with the products, services, and special promotions that appear important to them.

  • How do you add value to the market?

    • Add Value

    • Marketing Analytics

    • Social and mobile marketing

About 50% of every dollar goes toward marketing


Chapter 2:

What is a Marketing strategy?

  • Marketing strategy: a firm’s target market, marketing mix, and method of obtaining a sustainable competitive advantage

  • Sustainable competitive advantage is something the firm can persistently do better than its competitors.

    • This stems from the customer's values such as customer excellence, operational excellence, product excellence, and locational excellence.

  • Customer Excellence: This is achieved when a firm develops value-based strategies for retaining loyal customers and providing outstanding customer service.

  • Operational excellence involves a firm's focus on efficient operations, excellent supply chain management, and strong relationships with its supporters.

  • Product excellence: involves a focus on achieving high-quality products, effective branding and positioning are key.

  • Locational excellence: a method of achieving excellence by having a strong physical location and or internet presence.

  • Marketing plan: a written document composed of an analysis of the current marketing situation, opportunities, and threats for the firm, marketing objectives and strategy specified in terms of the four P’s, action programs, and projected or pro forma income and other financial statements. It has five steps:

    • Planning phase: marketing executives in conjunction with other top managers, define the mission or vision of the business and evaluate the situation by assessing how various players, both inside and outside the organization, affect the firm's potential for success.

    • Implementation phase: marketing managers identify and evaluate different opportunities by engaging in segmentation, targeting, and positioning and implement the marketing mix using the four P’s.

    • Control phase: the marketing planning process when managers evaluate the performance of the marketing strategy and take any necessary corrective actions.

    • Mission statement: a broad description of a firm's objectives and the scope of activities it plans to undertake, attempts to answer two main questions: what type of business is it? What does it need to do to accomplish its goals and objectives?

    • Situation analysis: the second step in a marketing plan uses a SWOT analysis that assesses both the internal environment with regard to its Strengths and weaknesses and the external environment in terms of its opportunities and Threats.

    • SWOT analysis: a method of conducting a situation analysis within a marketing plan in which both the internal environment with regard to its Strengths and weaknesses and the external environment in terms of its opportunities and Threats.

  • Segmentation, targeting, and positioning(STP): firms use these processes to identify and evaluate opportunities for increasing sales and profits.

  • Market segment: a group of consumers who respond similarly to a firm's marketing efforts.

  • Margaret segmentation: the process of dividing the market into groups of customers with different needs, wants, or characteristics who therefore might appreciate products or services geared especially for them.

  • Target marketing or targeting: the process of evaluating the attractiveness of various segments and then deciding which to pursue as a market.

  • Market positioning: the process of defining the marketing mix variables so that target customers have a clear, distinctive, desirable understanding of what the product does or represents in comparison with competing products.

  • Integrated marketing communications(IMC): represents the promotion dimension of the four P’s; encompasses a variety of communication disciplines- general advertising, personal selling, sales promotion, public relations, direct marketing, and electronic media in combination to provide clarity consistency, and maximum communicative impact.

  • Metric: a measuring system that quantifies a trend, dynamic, or characteristic.

  • Strategic business unit(SBU): a division of the firm itself that can be managed and operated somewhat independently from other divisions and may have a different mission or objectives.

  • Product line: Group of associated items, such as those that consumers use together or think of as part of a group of similar products.

  • Market share: Percentage of a market accounted for by a specific entity.

  • Relative market share: a measure of the product strength in a particular market, defined as the sales of the local product divided by the largest firm in the industry.

  • Market growth rate: the annual rate of growth of the specific market in which the product competes.

  • Market penetration strategy: a growth strategy that employs the existing marketing mix and focuses on the firm's efforts on existing customers.

  • Market development strategy: a growth strategy that employs the existing marketing offering to reach new market segments, whether domestic or international.

  • Product development strategy: a growth strategy whereby a firm introduces a new product or service to a market segment that it does not currently serve.

  • Related diversification: a growth strategy whereby the current target market and/or marketing mix shares something in common with the new opportunity

  • Unrelated diversification: a growth strategy whereby a new business lacks any common elements with the present business.


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  • Market positioning is where you have a clear and desirable understanding of what a product does and what it wants.

  • Firms attempt to develop products that consumers will perceive as valuable enough to buy.

  • The price must allow customers to perceive good value for the product they receive.

  • Strategic Business Unit(SBU): like a company within a company. Operated by someone independently within a division.

  • Market penetration is current within the growth strategies

  • Market development is new and current in the growth strategies

  • Product development is currently new in growth strategies

  • Diversification is new and new within the growth strategies.

  • Product development can focus on the current target market and/or new products/services.s

  • Diversification is for new products/services and new market segments.


1/30/25

  • Chapter 3 in class

  • The 4E framework for social media:

    • Excitement for the customer

      • Offer must be relevant to the customer

      • Relevance can be achieved by providing personalized offers, which are determined through insights and information obtained from customer relationship management and /or loyalty programYouyou have to use online analytic tools such as Google Analytics to get these analyticsics.

    • Educate the customer.

      • What is the value proposition for them

    • Give experience to the customer

    • Engage with the customer

  • Categories of social media:

    • Social network sites

    • Thought sharing sites

      • Blogs such as corporate, professional, or personal blogs

        • People usually trust the professional bloggers more than the corporate bloggers.

      • Microblogs such as Twitter

    • Media sharing sites

  • Social media management:

    • Information

    • Connected

    • Network

    • Dynamic

    • Timeless

    • Showrooming

      • You go into a store and you touch and feel a product. You may even discuss it with an associate and you may go online to see if there's a better deal.

  • Listening

    • Sentiment analysis:

      • Looking at Attitudes and preferences

  • Analyzing:

    • Hits

    • Page views

    • Bounce rate

    • Click paths

    • Conversion rates

    • Keyword analysis



Chapter 3:

  • Social listening: refers to how firms monitor and track what people are saying about them on social media.

  • Digital marketing: all online marketing activities which include all digital assets, channels, and media spanning not just online but also social media and mobile marketing.

  • Social media: the online and mobile technologies that distribute content to facilitate interpersonal interactions with the assistance of various firms that offer platforms, services, and tools to help consumers and firms build their connections.

  • Keyword: a phrase that describes the contents of a web page

  • Organic search: The process of listing web page results is based on the relevancy of key terms.

  • Search engine marketing (SEM): an activity used in online searches to increase the visibility of a firm by using paid searches to appear higher up in search results

  • Paid search: a method used by firms to appear higher up in the search results of a search engine. The position on the search page is based on a fee charged by the search engine, and often an additional fee is charged every time a user clicks on the entry.

  • Blog (weblog): an online diary with periodic posts that allows people to share their thoughts, opinions, and feelings with the entire world; corporate blogs are a new form of marketing communications

  • Microblog: differs from a traditional blog in size and consists of short sentences, short videos, or individual images. Twitter is an example of a microblog.

  • Personal blog: website created by and usually for individuals with relatively few marketing implications.

  • Corporate blog: a website created by a company and often used to educate customers.

  • Professional blog: a website written by a person who reviews and gives recommendations on products and services.

  • Crowdsourcing: users submit ideas for a new product or service and/or comment and vote on the ideas submitted by others.

  • Information effect: with regard to the wheel of social media engagement, the information effect is the outcome of social media in which relevant information is spread by firms or individuals to other members of their social network.

  • Connected effect: with regard to the wheel of social media engagement, the connected effect is an outcome of social media that satisfies humans' innate need to connect with other people.

  • Redlining: the historical practice by which housing providers have prevented certain protected classes of citizens from moving into an area, using subtle and difficult-to-prove methods of discrimination

  • Network effect: with regard to the wheel of social media engagement the network effect is the outcome of social media engagement in which every time a firm or person posts information, it is transferred to the position of vast connection across social media, causing the information to spread instantaneously.

  • Dynamic effect: with regard to the wheel of social media engagement, the dynamic effect describes the way in which information is exchanged to network participants through back-and-forth communications in an active and effective manner. It also expands the impact of the network effect by examining how people flow in and out of networked communities as their interests change.

  • Timeliness effect: with regard to the wheel of social media engagement the timeliness effect of the social media engagement is concerned with the firm being able to engage with the customer at the right place/time and their ability to do so 24/7 from a location.

  • Ad-supported apps: apps that are free to download but place ads on the screen when using the program to generate revenue

  • Freemium apps: apps that are free to download but include in-app purchases that enable the user to enhance an app or game

  • In-app purchases: a purchase made on a freemium app that enables the user to enhance the app or game

  • Paid apps: apps that change the customer an upfront price to download.

  • Paid apps with in-app purchases: apps that require the consumer to pay initially to download the app and then offer the ability to buy additional functionalities.

  • Sentiment analysis: a technique that allows markets to analyze data from social media sites to collect consumer comments about companies and their products.

  • Hit: a request for a file made by web browsers and search engines. Hits are commonly misinterpreted as a metric for website success however the number of hits typically i much larger than the number of people visiting a website.

  • Page view: the number of times an internet page gets viewed by any visitor.

  • Bounce rate: the percentage of times a visitor leaves the website almost immediately such as after viewing only one page.

  • Click path: shows how users proceed through the information on a website not unlike how grocery stores try to track the way shoppers move through their aisles.

  • Conversion rate: a measure that indicates what percentage of visitors or potential; customers click, buy, or donate at the site.

  • Keyword analysis: an evaluation of what keyboards people use to search on the internet for their products and services.

  • Influencer marketing: a marketing strategy that users opinion leaders popular on social media to drive marketing messages to a targeted audience.



Chapter 4:

  • Conscious marketing: an approach to marketing that acknowledges four key principles: a higher purpose, stakeholders, conscious leadership, and culture and ethics.

  • Stakeholders: the broad set of people who might be affected by afirm'ss actions including not just corporate shareholders and customers but also employees and their families, supply chain partners, government agencies, the physical environment, and members of the communities in which the firm operates.

  • Business ethics: refers to a branch of ethical study that examines ethical rules and principles within a commercial context, the various more of ethical problems that might arise in a business setting, and any special duties or obligations that apply to persons engaged in commerce.

  • Marketing ethics: refers to those ethical problems that are specific to the domain of marketing

  • Corporate social responsibility(CSR): refers to the voluntary actions taken by a company to address the ethical; social, and environmental impacts of its business operations and the concerns of its stakeholders.

  • Triple bottom line: a means to measure performance according to ton economic environmental and societal criteria.


2/4/25

  • stakeholders/shareholders, government agencies, families, police, and communities, are all customers for the marketing and your business.

  • CSR is voluntary by the corporation/company for ethical and social responsibilities, you do this to look after your stakeholders.

  • Decisions often have conflicting outcomes, where both options have positive and negative consequences.

  • Framework for ethical decision making:

    • Step 1: identify issues

    • Step 2: gather information and identify stakeholders

    • Step 3: brainstorm and evaluate alternatives

    • Step 4: Choose a course of action.

  • Six tests of ethical action:

    • Publicity test: would I want to see this in the media?

    • Moral mentor test: would the person I admire the most do this?

    • Admired observer test: would I want the person I admire the most to see me doing this?

    • Transparency test: could I give a clear explanation for the action

    • Person in the mirror test: would I be able to look in the mirror and respect myself

    • Golden rule test: would I like to be on the receiving end of this action?

  • Chapter 5 notes in class

  • Competitors and competitive intelligence: know strengths and weakness

    • Proactive rather than reactive strategy.

  • Macroenviromeental factors around consumers:

    • Culture

    • Demographics: information about the characteristics of human populations and segments, especially those used to identify consumer markets such as age, gender, income, and education.

    • Social

    • Technology

    • Economic

    • political/legal

  • Greenwashing: export consumers by disguisedly marketing products as environmentally friendly with the goal of gaining public approval for sales.

  • Physical environment: the land, the water, the air, and living organisms.

  • Green marketing: a strategic effort by firms to supply customers with environmentally friendly merchandise.

  • Internet of Things (IoT): when multiple smart devices with internet-connected sensors, such as refrigerators, dishwashers, and coffeemakers, combine the data they have collected to help both consumers and companies consume more efficiently.


2/6/25

  • AMA (Ethics):

    • Serve the organization

    • Stewarts of society means you're doing the right thing

    • Creating a facility for expediting the exchange to create a great economy.



2/11/25

  • Three laws for competition

    • Robinson Putman Act 1936

    • Calyton Act 1914, defines the Sherman Act more specifically.

    • Sherman Antitrust Act 1890, is for monopolies

  • Chapter 6 in-class notes:

  • Self-concept theory: holds the positions of the mental conception has serval components

    • Real self

    • Self-image: the way 

    • Ideal self: the person you want to be

    • Looking glass self: the way you see yourself



2/13/25

  • AIO(activities interest opinions)

    • There will be a question about the self-conscious theory

  • Need recognition: is paramount when you go through the consumer decision process. You need to know the consumer's perspective and what they want.

  • Information search

  • Alternative evaluation

  • Psychological need: pertains to the personal gratification consumers associate with a product.

  • Internal locus of control: refers to when consumers believe they have some control over the outcomes of their actions, in which case they generally engage in more search activities.

  • External locus of control: refers to when consumers believe that fate or other external factors control all outcomes.

  • When searching for information you do an internal search by looking into your memory whereas an external search is looking outside of your memory such as online sites, outside, and more.

  • Actual or perceived risk:

    • Performance risk: the perceived danger inherent in a poorly performing product or service.

    • Financial risk: risk associated with a monetary outlay; includes the initial cost of the purchase as well as the costs of using the item or service.

    • Social risk: the fears that consumers suffer when they worry others might not regard their purchases positively.

    • Physiological risk: the fear of actual harm should a product not perform properly.

    • Psychological risks: Associated with the way people will feel if the product or service does not convey the right image.

  • Evaluation of alternatives:

    • Attribute sets

      • Evoked: may consider

      • Retrieval: bring from memory

      • Universal: all of the possible choices

  • Postpurchase cognitive dissonance:

    • Firms attempt to reduce dissonance by reinforcing the decision

  • Postpurchase customer loyalty

    • Marketers attempt to solidify a loyal relationship

      • Satisfied customers purchase and buy from the same company again.

  • Factors influencing the consumer decision process

    • Marketing mis:

      • Product, price, place, promotion

    • Psychological factors:

      • Motives, attitudes, perceptions, learning, lifestyle

    • Situational factors:

      • Purchase, shopping institution, and temporal state.

    • Social factors:

      • Family, reference groups, culture

  • Conversion rate: a measure that indicates what percentage of visitors or potential customers click, buy, or donate at the site.




2/18/25

  • Psychological factors motives:

    • Physiological(bottom level):

      • Food drink, rest, and shelter

    • Safety protection & physical well being

    • Love interaction with others

    • Esteem inner desires

    • Self-actualization personal growth & fulfilment( top level)

  • Attitudes:

    • Cognitive

    • Affective

    • Behavioral

  • Perception:

    • How do you perceive something to be

  • Reference groups:

  • Groups:

    • Family

    • Friends

    • Coworkers

    • Famous people

  • Provide:

    • Information

    • Rewards

    • Self-image

  • Involvement and consumer buying decisions process:

  • Message:

    • high involvement

      • Greater attention

      • Deeper processing

        • Develops strong attitudes and purchase intentions

    • Low Investment:

      • Less attention

      • Peripheral processing

        • Generates weak attitudes and increased use of cueConsumersmer may have lower levels of involvement but could be the same pro.duct

  • Types of buying decisions:

  • Extended problem solving: do a considerable amount of time towards a product

  • Limited problem-solving:

    • Impulse buying

    • Habitual decision making

  • Culture: the shared message, beliefs, morals, values, and customs of a group of people, it is transmitted by words, literature, and institutions and is passed down from generation to generation and learned over time.

  • Visual sense: a sensory simulation that includes colors, lighting, brightness, size, shape, and setup of a retail space and the products within it.

  • Chapter 10 in-class notes

  • Marketing research: Systematically collect, record, analyze, and interpret data for a decision-making process. Systematic, objective, exhaustive behavior is needed for this.

  • Marketing research process:

    • Defining the objectives and research needs

    • Designing the research

    • Collecting the data

      • Secondary data:

        • Collected prior to the start of the research project

        • External as well as internal data sources

      • Primary data:

        • Collected to address specific research needs

        • Focus groups, in-depth interviews, and surveys.

    • Analyzing the data

    • Developing and implementing an action plan