Ch 3 Flashcards
Analyzing the Marketing Environment
marketing environment analysis framework
internal
- consumers
- microenvironment (company, competition, corporate partners)
external
- microenvironment (culture, demographic, social/nature, technology, economic, political/legal)
Company capabilities
Core competency = Satisfy customer needs
Knowledge, facilities, patents, technology, people -> applied to -> target markets, products
Competition
- Identify and analyze direct and indirect competitors
- Know strengths & weaknesses
- Competitive Intelligence (CI) used to collect and synthesize info
Corporate Partners
- Firms are part of alliances – few work in isolation to create a seamless system that delivers goods and services to customers when and where they want them
- Align with suppliers, corporate partners
Generational cohorts
Generation Z – Born after 1991
Generation Y – Born 1982 to 1991
Generation X – Born 1965 to 1981
Baby Boomers – Born 1946 to 1964
Social and natural trends
- Shape consumer values
- 17 Global Goals of Sustainable Development highlight social issues associated with meeting basic needs, such as ensuring consistent, universal access to sufficient food, clean water, health care, and sanitary living conditions, mainly by eliminating extreme poverty.
Pricing Strategies
Price Fixing
Price Discrimination
Predatory Pricing
Resale Price maintenance
Bid Rigging
Price Fixing
Sellers conspire to set the price of a product, usually higher than it would be in a free market
Price discrimination
Charging different prices to different (competing) buyers for goods of the same quality and of the same quantity
Predatory pricing
Pricing that is intended to drive competitors out of the market or keep competitors from entering the market
Usually low prices
Resale price maintenance
Manufacturers/channel members try to influence the price at which the product is sold to subsequent purchasers
Bid rigging
Sellers collude to set prices in response to bids or quotations for products
Illegal Price Strategies
Misleading advertising
Bait and switch
Referral selling
Misleading advertising
All types of advertising about a product or service that are false or misleading
Bait and switch
Sellers try to attract customers to their stores by offering a low price on a product (bait) but once the customers are in the store, sellers try to persuade them to buyer a higher-price item (switch)