2

Question 1

Marketing Environments?

Answer 1

Something that no way to control completely but important for the performance of marketing

Question 2

what does the immediate environment include?(5)

Answer 2

The immediate environment includes the firm and its capabilities, competitors, corporate partners and the physical environment.

AND CUSTOMERS!

Question 3

Marketing (marketing department, marketing manger) needs to understand _________

Answer 3

Marketing (marketing department, marketing manger) needs to understand business mission and objectives!

Question 4

marketing should know:

Answer 4

“core competence” of the company

Question 5

Successful marketing firms focus on satisfying

Answer 5

Successful marketing firms focus on satisfying customer needs that match their core competencies

Question 6

whats core competence?
Apple has core competence in _______.
Coca-Cola has core competence in _________.

Answer 6

its a skill the firm possesses that results in a sustainable competitive advantage.

ex:
Apple has core competence in design.
Coca-Cola has core competence in distribution.

Question 7

what else does core competence do?
(whats the cc of amazon example) whats core competence driven? whats better to identify?

Answer 7

…. uniquely distinguishes from competitors.

Amazon’s core competence
In distribution of books or
In developing algorithms

• Effective strategy is core competence-driven.
• Better to identify one dominant core competence.

Question 8

How to identify core competence (3 types) one of them should be linked with 2 things. what can a company do to have core competence & what does it require?

Answer 8

Identify one (three at most) core competencies that are

-Pervasive in the organization
-Hard to imitate by competitors
-Linked to strategic assets and customer benefits

Typically, keeping core competence requires ‘specific investment, hiring, and/or training &

Question 9

what are the two things that core competence lead to?

Answer 9

core competence -> strategic assets-> benefits
Core competence of the firm lead to having strategic assets of the firm, which in turn, generate customer benefits.

Question 10

examples of core competence, strategic assets, benefits

Answer 10

core competence: people/HR, tech, R&D, commercialization, process development, managerial comm, research/insight generation

strategic assets: human capital, knowledge base, expertise, processes(existing),brand, relationships, Distibution assets

benefits:efficiency,convenience,reliability,performance,customization,service,low price, ease of use, status/prestige

Question 11

in regards competition, marketing needs to identify who __.

who else does competition affect and why?what does this mean for marketers in terms of what they need to understand?

Answer 11

Marketing needs to identify who competitors are.

AND

Competition also significantly affects consumers in the immediate environment (the setting that surrounds a person or thing, and includes both natural and man-made elements.)It is therefore critical that marketers understand their firm’s competitors, including their strengths, weaknesses, and likely reactions to the marketing activities

Question 12

who are our competitors?
for newspaper business and information business

Answer 12

If we are in the newspaper business, our competitors are the other newspapers in our market.

If we are in the information business, our competitors will include all forms of information creation and delivery (e.g., newspaper, magazine, radio, TV, blogs, YouTube, online social media, etc.)

Question 13

who are our competitors?
what businesss are we in?

Answer 13

it depends on how we define our market
market boundary
>
competitive landscape
AND
long-term investments,
marketing plan, and
day-to-day operation
—————-
Market boundary

Different names: market definition, market category, our market

Question 14

corporate partners
-few firms operate in _____
-example (automobile manus)
-what happens if a partner business is important formarketing?

Answer 14

-Few firms operate in isolation
-For example, automobile manufacturers collaborate with suppliers of sheet metal, tire manufacturers, component part makers, unions, transport companies, and dealerships.
-If a partner business is so important for marketing, acquire and control the partner’s business. If no $ to acquire, you need to study your partners.

Question 15

physical environment

what has the worries and concerns of the sustainability of the planet led to? what are example of specific worries?

Answer 15

Globally, worries and concerns about the sustainability of the planet have led to demands for companies and consumers to avoid harming the environment and depleting these natural resources.

Concerns about adverse changes to the physical environment—such as depletion of the ozone layer, increased emissions, pollutants in water systems, rapidly increasing deforestation, and irreversible reductions in wildlife and their habitats—have reached epic proportions.

Question 16

Marketing must understand____ of customers

Answer 16

Marketing must understand all and every details of customers!

Question 17

who are customers?(what are the 2 types of __ businesses?what should firms analyze?what 2 things should be understood?)

Answer 17

B2B business vs. B2C business

Baby-goods, child education

Platform business
Google’s customer?

• ## Firms should analyze buyers as well as those who influence buyers.In case of a platform business, two networks, both providers and users, should be understood.

Question 18

are customers the same? (pareto principle,3 types of customers, 3 things they can be,can cause a customer to be either _ or _)

Answer 18

theyre very different

”80% of your business comes from 20% of your customers (Pareto Principle)”

Retained customers, new customers, lost customers

Innovators, early adopters, followers, late adopters

Satisfied customers, unsatisfied customers
…..

Question 19

customer orientation is highly associated with _____.

Answer 19

Customer orientation is highly associated with firm performance

Question 20

customer oriented ( orientation ) vs not customer oriented

Answer 20

Customer oriented: The organization has clear idea about customers and their needs.

Customer oriented The organization defines its products/services from customer’s perspective.

Customer oriented The organization knows customer frustration, dissatisfaction, complaints as well as customer satisfaction and customer loyalty.

Customer oriented Senior executives in the organization spend time with customers.

Customer oriented Serving customers’ needs takes precedence over serving our internal needs.

Customer oriented Market research to know its customer better is important activity in the organization.

Not customer oriented Market research to know its customer better is not important activity in the organization.

Question 21

progress check: What are the components of the immediate environment of marketing?(4)

Answer 21

1. The company’s capabilities, competitors, corporate partners and the physical environment.

Question 22

Two dimensions of culture that marketers must take into account as they develop their marketing strategies are _ and _

whats the broad definiton of culture?

whats country culture?what is it to global marketing?global marketing will choose either _ or _.

whats regional culture?

Our various cultures influence __.

Answer 22

Two dimensions of culture that marketers must take into account as they develop their marketing strategies are the culture of the country and that of a region within a country.”

Country Culture
Culture is very important and relevant for global marketing!
Global marketing will choose either cultural adaptation or standardization.
Either way, marketing should understand country culture.

Regional Culture
Large country like US, marketing needs to understand regional culture as well. McDonald’s – slightly different variations of staple menu.
——————
“We broadly definecultureas the shared meanings, beliefs, morals, values, and customs of a group of people. Transmitted by words, literature, and institutions, culture is passed down from generation to generation and learned over time. Our various cultures influence what, why, how, where, and when we buy.

Question 23

demographics
- what does demographics indicate
- what are some typical demographics? (4)
- whats demographic segmentation

Answer 23

Demographicsindicate the characteristics of human populations and segments, especially those used to identify consumer markets.

Age, gender, income, education

Demographic segmentation is probably the most common form of segmentation because the information is so widely available.

Question 24

generational cohorts

whats the behavior consumers in a generational cohort have?

what do marketers find useful and why may it work?

what are the 6 major gen groups ?

Answer 24

Consumers in agenerational cohort—a group of people of the same generation—have similar purchase behaviors because they have shared experiences and are in the same stage of life.

Applying age as a basis to identify consumers is quite useful to marketers, as long as it is used in conjunction with other consumer characteristics.

Five major groups are described in the text: Gen α (also known as Generation Alpha), Gen Z (also known as Digital Natives), Gen Y (also called Millennials), Gen X, and Baby Boomers.

Question 25

what are the generational cohorts and the technologies they each use ? genx gen y genz gen alpha

Answer 25

genx- pc gen y - www genz - social media gen alpha - ai

Question 26

what are some behaviors of gen z?(4) whats a comparison that differs from gen y

Answer 26

Impulse buying Social commerce( process of selling products and services directly through social media.) Easily influenced Influenced by trends ”not caring about marriage” compared to Gen Y

Question 27

what are some behaviors of gen a(9)

Answer 27

Ipad baby Tiktok Very “in the moment” / instant gratification Short attention span Doomscrolling Preppy style Influenced by trends More isolated Socially awkward

Question 28

social trends the textbook identifies the following 3 social trends:

Answer 28

1. sustainability 2. health and wellness 3.efficient utilization and distribution of food -------------------- Various social trends appear to be shaping consumer values in the United States and around the world, including a greater emphasis on sustainability, health and wellness considerations, and more efficient utilization and distribution of food.

Question 29

sustainable business whats sustainability what are the 3 dimensions that a sustainable business should meet(ece)?

Answer 29

In principle, sustainability is meeting the needs of the present without compromising the ability of future generations to meet their own needs. In practice, a sustainable business should meet three dimensions – environment, social, and economic

Question 30

sustainability certifications from various agencies may be what are some social issues highlighted by the UN sustainability goals whats a certification that firms can rely on? what creates challenges for other marketers?

Answer 30

Certifications from various agencies may be important. --------------- The UN Sustainability Goals 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. Firms can rely on certifications from various agencies such as the International Fairtrade Certification Mark. Such shirts create challenges for other marketers. If a shirt costs only $5, how likely is it that the laborers who helped make it earned a living wage?

Question 31

what are some health and wellness concerns, what do new markets focus on, what do they offer to support health and wellness>,what are some ways consumers spend on health+wellness

Answer 31

Child and adult obesity New markets focused on healthy living Mobile apps that support health and wellness ---------------- Consumers’ interest in improving their health has opened up several new markets and niches focused on healthy living. For example, consumer spending on yoga classes, mats, and clothing has increased consistently in recent years. Health and wellness concerns have also spurred a number of mobile apps, many of which help customers get or stay in shape by tracking exercise, calorie intake, and sleep cycles. 

Question 32

what are the health concerns that pertain to children, explain the example + the new guidelines marketers for marketers

Answer 32

Health concerns, especially those pertaining to children, are prevalent, critical, and widespread. (US obesity example) Since 1970, obesity has more than tripled in the United States, leading to skyrocketing rates of high blood pressure, high cholesterol, early signs of heart disease, and type 2 diabetes among children.  ----------- New advertising guidelines therefore require marketers to produce food in reasonably proportioned sizes. The advertising also cannot be aired during children’s programming, and companies cannot link unhealthy foods with cartoon and celebrity figures. 

Question 33

Efficient Utilization and Distribution of Food goals; what 2 things are trying to get reduced? ___ has always defined social tmrw ds central to ppls lives , for products aimed for diets how do they come?, what’s one of the UN sustainable development goals ?what are firms trying to reduce?

Answer 33

Reducing Food Waste Reducing Hunger --------------- In many ways, food has always defined social trends that are central to people’s lives and environments. It also constitutes a major market in any economy, with niches devoted to specialized options such as organic food. Beyond the food products themselves, trends associated with food and eating establish markets for diet-related products, ranging from snack packages that come in smaller servings to apps that help consumers count their calories and steps. One of the UN Sustainable Development Goals is to reduce hunger; because reducing food waste is critical to that effort, some firms are focusing on reducing food waste throughout the value chain.

Question 34

whats the california compost law?

Answer 34

Residents could be fined for failing to recycle food waste. Starting Jan. 1, 2024, an enforcement provision has gone into effect for California's compost law, which means throwing away food scraps rather than recycling could bring a fine.

Question 35

technological advances what 3 aspects of marketing does tech impact theres a growing importance of what device? what are some 4 new cutting edge technology? what are some technological advances that have advanced over the years?

Answer 35

Technology impacts every aspect of marketing: New products and services. New forms of communication. New retail channels. Growing importance of mobile devices New cutting-edge technology: Artificial Intelligence. Robotics. Internet of Things (IoT). Privacy Concerns. ------------------------ Technological advances have accelerated during the past decade, improving the value of products as well as services. Consumers have constant access to the Internet everywhere through services such as WiFi, mobile hotspots, 4G, and LTE. Smartphones using the iOS or Android systems allow for greater computing, data storage, and communication. These examples of advanced technology make consumers increasingly dependent on the help they receive from the providers of the technology. Wireless payments through mobile applications (m-wallets) and the use of radio frequency identification device (RFID) technology are two additional technological developments having an impact on marketing.

Question 36

whats transforming the business of advertising? (ex of person who used this to create what?)

Answer 36

AI -------- One UK marketing chief, who declined to be named, points to the launch of their new vegan brand last year as an example of the dangers facing advertising agencies. Rather than paying tens of thousands of pounds for a team of people to design a new name and logo, the person simply asked an AI chatbot for six ideas and selected the best.  AI will have has the power to create bespoke marketing for individuals at a global scale. AI has the ability to automate some of the basic functions of advertising and marketing such as the use of AI to sift through vast amounts of documents and product information to support advertising claims. AI can also be used to automate aspects of media buying and planning on digital platforms

Question 37

what does economic situations affect? what should be monitored at the home country and abroad? what 3 major factors should be monitored? marketing’s monitor the ___ because it __. what’s a CCI and what does it relate to?

Answer 37

Affects the way consumers buy products and services and spend money. Monitor the economic situation in home country and abroad. Major factors to monitor:Inflation.Foreign currency fluctuations.,Interest rates. -------------------- Marketers monitor the general economic situation, both in their home country and abroad, because it affects the way consumers buy merchandise and spend money. Some major factors that influence the state of an economy include the rate of inflation, foreign currency exchange rates, and interest rates. Depending on the time of year, discuss projections about Christmas shopping, vacation planning, or home buying. Various economic factors affect each of these areas. The web link leads to the Consumer Confidence Index which takes into account how consumers feel about how the economy is doing. This economic indicator relates directly to spending.

Question 38

what is this? "“What do you think is the percent chance that your income in the next twelve months will be higher than your income in the past twelve months?”

Answer 38

consumer confidence index

Question 39

each country have different ___________ .what should be studied for international marketing? firms in the US must understand and comply with legislation regarding 3 things

Answer 39

Each country has a different political level systems. – Need to study the local political/legal environment for international marketing. Firms in US must understand and comply with legislation regarding: -Fair competition. -Consumer protection. -Industry-specific regulation. ------------------- Since the turn of the 20th century, the government has enacted laws that promote both fair trade and competition by prohibiting the formation of monopolies or alliances that would damage a competitive marketplace, which fosters fair pricing practices for all suppliers and consumers.

Question 40

progress check: 1What are the six key macroenvironmental factors? 2Differentiate between country culture and regional culture. 3What are some important social trends shaping consumer values and shopping behavior?(3)

Answer 40

1Culture, demographics, social trends, technological advances, economic situation, and political/regulatory/legal environment. 2Country culture is the entire country, but regional culture is based on the region or area within the country. 3Sustainability, Health and wellness concerns, efficient utilization and distribution of food.

Question 41

Marketing Environments are something that no way to control completely but important for the performance of marketing. What would be the immediate environments of marketing? A) Customer, Company, Competitor, Corporate partners B) Culture, Demographics, Technology C) Economic, Legal, Political, culture D) Corporate strategy, corporate asset, corporate culture

Answer 41

Customer company competitor corporate partners

Question 42

2. Which of the following indicates customer orientation? A) The organization defines its products/services from producer’s perspective. B) Only sales teams, not top executives in the organization spend time with customers. C) Market research to know its customer better is not important activity in the organization. D) The organization knows customer frustration, dissatisfaction, complaints as well as customer satisfaction and customer loyalty.

Answer 42

The organization knows customer frustration, dissatisfaction, complaints as well as customer satisfaction and customer loyalty

Question 43

3. Three pillars of a sustainable business include _____________________? A) Excellence, execute, Excel B) Environment, social, economic C) Marketing, innovation, people D) Health, Wellness, Recycle

Answer 43

Environment, social, economic

Question 44

4. Which of the following are all important social trends shaping consumer values and shopping behavior? A) Sustainability, health and wellness, efficient utilization and distribution of food B) Social media, instant gratification, over-spending C) Polarization, anti-consumption, mobile D) Multi-channel, ethical consumption, impulse buying

Answer 44

Sustainability, health and wellness, efficient utilization and distribution of food

Question 45

ch 6

Answer 45

consumer behavior

Question 46

consumer decision process; what Qs do we ask?what process do we do

Answer 46

do we need to know? why? consumer "purchasing" decision process

Question 47

what are The consumer decision process (5 steps) (how do their processes differ?) this illustrates the steps consumers go thru ____ making purchasing decisions )

Answer 47

need recognition -> information search -> alternative evaluation -> purchase and consumption -> post-purchase ---------------- Some would follow different decision process, but in general the process is Need recognition Information search Alternative evaluation Purchase and consumption Post-purchase Some have shorter decision process than the others! ---------------- This slide illustrates the entire consumer decision process. This model represents the steps that consumers go through before, during, and after making purchasing decisions

Question 48

need recognition (part of consumer decision process), Marketers try to make a customer _ to a _.

Answer 48

The consumer decision process begins when consumers recognize they have an unsatisfied need. Is a need different from a want? ------------------------- Wants are desired. “I need a food.” “I want Subway sandwich” If consumer has a want, he/she skips information search & alternative evaluations. Marketers try to make a customer need to a want.

Question 49

search for information. what is it,consumers search for info when:

Answer 49

After a consumer recognizes a need, he or she must search for information about the various options that exist to satisfy that need. Consumers search for information when they do not know what to consume and Perceived benefit looks big Perceived cost of search is low Internal locus of control is high There appears high risk with consumption

Question 50

the consumption outcome is ____________ internal locus of control:what do these ppl think what’s locus of control: external locus of control:what do these ppl think what’s thru behavior with internal vs external locus of control?

Answer 50

the consumption outcome is controllable internal locus of control: more search activities external locus of control: fate or external factors ----------------------------- Another factor affecting the consumer search process is locus of control. Locus of control indicates how much control people think they have over the outcomes of various activities, such as purchasing a product or service. People who have an internal locus of control believe they have some control over the outcomes of their actions, in which case they generally engage in more search activities. People who do a lot of research before purchasing individual stocks have an internal locus of control. With an external locus of control, consumers believe that fate or other external factors control all outcomes. 

Question 51

what do you believe with internal locus of control?

Answer 51

You believe that your own actions have an impact.

Question 52

risks of consumption: performance risk financial risk social risk safety/Physiological risk psychological risk

Answer 52

Performance risk involves the perceived danger inherent in a poorly performing product or service. Financial risk is associated with a monetary outlay and includes the initial cost of the purchase as well as the costs of using the item or service. Social risk involves the fears that consumers suffer when they worry others might not regard their purchases positively. Physiological (or safety) risk refers to the fear of an actual harm should the product not perform properly. Psychological risk are those risks associated with the way people will feel if the product or service does not convey the right image.

Question 53

evaluation of alternatives(#3 of consumer purchasing decision process); whats evaluative criteria, what are determinant attributes

Answer 53

How do consumers evaluate product/service alternatives? Attributes – Product or service features including prices (sometime benefits) Relative importance of each attribute --------------- What are the attributes here? What are the relative importance of each attribute? How do the marketers get these? -------------------- Evaluative criteria consist of a set of salient, or important, attributes about a particular product. Determinant attributes are product or service features that are important to the buyer and on which competing brands or stores are perceived to differ.

Question 54

evalutation of alternatives ; compensatory vs Non compensatory

Answer 54

how consumers evaluate alternatives? "the way they decisions are made vary by person" Compensatory decision rules assume that the consumer trades off one characteristic against another, such that good characteristics compensate for bad characteristics. (ex: if chosen cheerios its compensatory ) "look at all atributes/factors ,good and bad to make purchasing decision"(weighs positive and negative attributes of the considered alternatives and allows the positive to compensate for the negative ones) Sometimes consumers use noncompensatory decision rules in which they choose a product or service on the basis of one characteristic or a subset of a characteristic, regardless of the values of its other attributes. (example: chosen kashi is noncompensatory cuz she/he is sensitive to claims of natural or organic content)(elminates alternatives that don’t meet a particular criterion)

Question 55

purchase and consumption (#4 of consumer purchasing decision process) (whats purchase intent,purchase intent share is when _______,marketer should make product/service be available to be ____)

Answer 55

Once a consumer decides what to buy, we say the consumer has a purchase intent. Purchase intent share is not always same as market share. Marketer should make the product/service be available to be purchased and consumed.

Question 56

components of postpurchase outcomes (last step of consumer "purchasing" decision process, why does this matter?satisfied customers do what?)

Answer 56

- customer satisfaction -post purchase cognitive dissonance -customer loyalty ------------ why do we care about post purchase outcomes? "want customer to continue to buy product and come back if theyre satisfied.long term relationships exists if they are completely satisfied" ------------ Satisfied customers, whom marketers hope to create, become loyal, purchase again, and spread positive word of mouth, so they are quite important. There are three possible postpurchase outcomes: customer satisfaction, postpurchase cognitive dissonance, and customer loyalty (or disloyalty).

Question 57

customer oriented vs not customer oriented

Answer 57

customer oriented The organization knows customer frustration, dissatisfaction, complaints as well as customer satisfaction and customer loyalty. "these are also post purchase behavior" not customer oriented The organization does not know customer frustration, dissatisfaction, complaints as well as customer satisfaction and customer loyalty.

Question 58

what are ways a business can measure customer satisfaction?

Answer 58

- their rating/reviews/feedback (ex: amazon reviews) "typically in the past surveys were used to measure satisfaction, now its measured as service is delivered(like amazon box) "its collected one way or another"

Question 59

post purchase cognitive dissonance; whats cognitive dissonance, which items usually have this feeling (4), how do firms attempt to reduce dissonance (4), when does Postpurchase cognitive dissonance usually happen and what is it also called?

Answer 59

Cognitive Dissonance: the discomfort a person feels when their behavior does not align with their values or beliefs. (type of consumer behavior) More likely for products that are: -Expensive. -Infrequently purchased. -Do not work as intended. -Associated with high levels of risk. --------------- Firms attempt to reduce dissonance by reinforcing the decision: -Return policies. -Thank-you letters. -Congratulations letters. -Tags on garments. (“there may be variations in color that have no effect on the quality of the item”) ---------------- Postpurchase cognitive dissonance, also known as buyer’s remorse, is an internal conflict that arises from an inconsistency between two beliefs or between beliefs and behavior. Postpurchase cognitive dissonance generally occurs when a consumer questions the appropriateness of a purchase after his or her decision has been made.

Question 60

postpurchase customer loyalty; how is it generally defined, what will loyal customers most likely do?

Answer 60

… is generally defined as the combination of repeat purchases (behavioral) and commitment (attitudinal) to a brand; both attitudinal and behavioral component are necessary for loyalty to exist. Companies benefit from loyal customers. Why?* ------------------- Loyal customers will buy only certain brands and shop at certain stores, and they include no other firms in their evoked set.

Question 61

types of customer loyalties ("customer loyalty based on __")(3) heart loyalty, head loyalty, hand loyalty. which one is low commitment to the brand?

Answer 61

Heart loyalty. :Customer loyalty based on personal identification with the brand. (Ex:The heart-loyal customer is highly involved with the brand, and this involvement is emotional in nature. Very often a heart loyal will use the brand as a self-description: “I’m an Apple person”.)(emotional investment) Head loyalty. :Customer loyalty based on specific benefits of a brand, such as product performance.(intelletual property) Hand loyalty. :Customer loyalty characterized by habitual repurchase and low interest in product information, that is, low commitment to the brand.(behavioral effort)

Question 62

slide 25) how to measure customer loyalty(2)

Answer 62

Ask “would you recommend” question and calculate the Net Promoter Score. NPS = % of promoters (9s and 10s) - % of detractors (0 through 6)

Question 63

top brands who have adopted NPS to measure customer loyalty(6)

Answer 63

apple, google, microsoft, coca cola,facebook,toyota

Question 64

what could influence consumer decision process? Factors influencing the consumer decision process (figure) psychological factors(5) social factors(3) marketing mix(4)

Answer 64

psychological factors:motives,attitudes,perceptions,learning and memory, lifestyle social factors:family,reference group,culture marketing mix:product,price,place,promotion situational factors:purchase situation,sensory situational,temporal state --------------------- This slide lists the factors influencing the consumer decision process, which are discussed in more detail in the following slides.

Question 65

Can marketing influence consumer decision process?what does promotion influence? what does product & price influence? what does place influence?

Answer 65

Yes! Promotion (advertising) typically tries to influence most of consumer decision process. Product & Price influence alternative evaluation a lot. Place influences Purchase and consumption

Question 66

Can psychological factors influence consumer decision process?

Answer 66

Yes! Motives (Maslow’s needs) -> Need recognition. Attitudes and perceptions -> Alternative evaluation & Post purchase

Question 67

whats an Attitude, what are the 4 dif spectrums?what does attitude influence?

Answer 67

An attitude is a person’s enduring evaluation of his or her feelings about and behavioral tendencies toward an object or idea. Like ------ Dislike Satisfied ------- dissatisfied Love --------- hate Cool -------- uncool Attitude is enduring. Attitude influence behavior. Marketing mix tries to change/form attitude.

Question 68

Can social factors influence consumer decision process?

Answer 68

Yes! Family, reference groups  Need recognition, information search, alternative evaluation Culture  alternative evaluation

Question 69

Can situation factors influence consumer decision process?, what are some buying behaviors(3)? what do they often skip?

Answer 69

Yes! A lot of consumers do Impulse buying Habitual buying Low involvement buying They often skip some of consumer decision process.

Question 70

Consumer decision process includes A) Need Recognition, Information Search, Alternative Evaluation, Purchase and Consumption, Postpurchase B) Need Recognition, Information Search, Alternative Evaluation, Purchase and Consumption C) Information Search, Alternative Evaluation, Purchase and Consumption, Postpurchase D) Need Recognition, Alternative Evaluation, Purchase and Consumption, Postpurchase

Answer 70

A) Need Recognition, Information Search, Alternative Evaluation, Purchase and Consumption, Postpurchase

Question 71

2. Which of the following is NOT correct about needs and wants? A) Wants are goods or services that are not necessarily needed but are desired. B) Marketing tries to satisfy needs and wants of customers. C) When a consumer wants a product, the consumer often skips information search and alternative evaluation. D) Marketers try to make a want to a need.

Answer 71

D) Marketers try to make a want to a need.

Question 72

3. When do consumers increase searching for information for consumption? A) Benefits of the consumption is high B) Cost of information search is high C) Low risks involved in the consumption D) The extent of external locus of control is high

Answer 72

A) Benefits of the consumption is high

Question 73

4. Customer loyalty A) is defined as the repeat purchases but not commitment B) helps business as loyal customers have higher repurchase rates and are more likely to recommend the brands of the business to their friends, family and colleagues at work. C) is easier to obtain than customer satisfaction. D) is measured by Net Satisfaction Score

Answer 73

B) helps business as loyal customers have higher repurchase rates and are more likely to recommend the brands of the business to their friends, family and colleagues at work.

Question 74

5. Which of the following is NOT recommended to enhance post purchase satisfaction? A) Build realistic expectations B) Demonstrate correct product use C) Provide money-back guarantees and warranties D) Discourage customer feedback and complaints E) Periodically make contact with customers and thank them for their support

Answer 74

D) Discourage customer feedback and complaints

Question 75

6. Which of the following is NOT correct regarding consumer decision process? A) Some have shorter decision process than the others. B) Social and psychological factors influence consumer decision process. C) Knowing consumer decision process helps business increase sales. D) Marketing mix hardly influences consumer decision process.

Answer 75

D) Marketing mix hardly influences consumer decision process.

Question 76

chapter 7

Answer 76

B2B marketing; B2B market is huge !

Question 77

Business to Business (B2B) Markets; whats B2B marketing? the demand for B2B sales is often ___

Answer 77

manufacturer -> manu manu -> reseller manu -> govt and institutions reseller-> other busnesses govt and instututions Service provider-> other businesses,govt and institutions B2B market image: manufactured service providers,govt,institutions,resellers ---------------------------------------------------------------- Business-to-business (B2B) marketing refers to the process of buying and selling goods or services to be used in the production of other goods and services for consumption by the buying organization and/or resale by wholesalers and retailers. The demand for B2B sales is often derived from B2C sales in the same supply chain.

Question 78

B2C vs B2B; which is bigger? (descrbe B2B e commerce v B2C ecommerce in global ecommerce market size bar graph)

Answer 78

- while B2C dominates in terms of the number of customers and transactions, the B2B market is significantly larger in terms of total revenue and transaction value image: B2B ecommerce significantly higher)

Question 79

is B2B buying process different?

Answer 79

yes

Question 80

The B2B buying process (6 steps), what are the 3 buying situations?

Answer 80

Need recognition -> product specification -> RFP process -> proposal analysis vendor negotiation and selection-> order specification -> vendor performances assessment using metrics - The B2B buying process could be shorter and simpler depending on the buying situations: new buy, modified rebuy, and straight rebuy

Question 81

whats a New Buy, what does a customer do in a new buy situation? what does it mean?

Answer 81

-most likely when purchasing for the first time -usually quite involved -the buying center will probably use all six steps in the buying process and involve many people in the buying decision ------------------------------------------------------------------------------------------ In a new buy situation, a customer purchases a good or service for the first time, which means the buying decision is likely to be quite involved because the buyer or the buying organization does not have any experience with the item.

Question 82

what is a modified rebuy, who has an advantage?,what often gets skipped, in a modified rebuy what does a buyer do?

Answer 82

purchasing a similar product but changing specifications such as price, quality level, customer service level, options,etc -current vendors have an advantage -often skip RFP and vendor selection(those are two steps withinthe b2b buying process) --------------------------------------------------------------------------------------- In a modified rebuy, the buyer has purchased a similar product in the past but has decided to change some specifications, such as the desired price, quality level, customer service level, options, or so forth.

Question 83

whats a straight rebuy?what is it abt this category that is important?whos the member involved in this?when do straight rebuys occur?

Answer 83

-buying additional units of products that have been previously purchased. -Most B2B purchases fall into this category. -Usually, the buyer is the only member of the buying center involved. ------------------------------------------------------------------------------------ Straight rebuys occur when the buyer or buying organization simply buys additional units of products that had previously been purchased.

Question 84

Stage 1: need recognition, what is it,iyt can be generated _, its similar to what other process and why?

Answer 84

-the b2b process begins with need recognition -can be generated internally or externally ------------------------------------------------------------------- Just like the consumer buying process, the B2B process begins with need recognition. the buying organization recognizes, through either internal or external sources, that it has an unfilled need. Sellers actively work to prompt such need recognition.

Question 85

stage 2: product specification,whos it used by to develop what?,university tablet example

Answer 85

-After recognizing the need and considering alternative solutions, create a list of potential specifications. -Used by suppliers/ vendors to develop proposals. ---------------------------------------------------------- In the text’s example of a university buying tablets, after recognizing the need and considering alternative solutions, the university wrote a list of potential specifications that vendors might use to develop their proposals

Question 86

stage 3: RFP process ; request for proposal;what is t?who is it for?

Answer 86

Vendors or suppliers are invited to bid on supplying required components and services. Purchasing company may simply post its RFP needs on its website, work through various B2B web portals, or inform their preferred vendors directly ---------------------------------------------------------------------------- The request for proposals (RFP) is a common process through which organizations invite alternative vendors or suppliers to bid on supplying their required components or specifications. The purchasing company may simply post its RFP needs on its website or work through various B2B web portals or inform their preferred vendors directly. Smaller companies may lack the ability to attract broad attention to their requests, so they might turn to a web portal, an Internet site whose purpose is to be a major starting point for users when they connect to the web.

Question 87

RFP - an example

Answer 87

"the los angeles unified school district seeks bid submittals from qualified bidders for the purchase or lease of twenty fice mobile electric school bus charging trailers as specified in attachment B for the districts transportation services division" B2B buying process: need recognition ->product specification -> RFP -> proposal review and selection ->PO -> vendor performance assessment ------------------------------- what i got from internet search: "A request for proposal (RFP) in marketing is a written document that businesses use to invite proposals from marketing agencies and freelancers for a project or ongoing relationship. It helps companies determine the best marketing agency for their needs by comparing proposals"

Question 88

step 4: proposal analysis, vendor negotiation, and selection;what happens in this step?it usually follow what rule?what becomes a compensatory factor? ex:govt preference

Answer 88

the buying organization evaluates all the proposals recieved in response to an RFP -selection of B2B purchase usually follows compensatory rule -pricing becomes an important compensatory factor - the government uses preferred contractor programs, designed to offer small and minority owned firms' greater opportunity

Question 89

step 5 : order specification; what happens in this step?what is it known as?whats included?

Answer 89

-Firm places the order with its preferred supplier (or suppliers). -It is known as PO (Purchase Order) -The exact details of the purchase are specified, including penalties for noncompliance. -All terms are detailed including payment.

Question 90

step 6: vendor performance assessment using metrics; what happens in this step? what is it similar to?what makes it different?

Answer 90

just as in the consumer buying process, firms analyze their vendors perfromance so they can make decisions about their future purchases -the differnces is that in the b2b setting, this analysis is typically more formal and objective

Question 91

progress check: 1. what are the various B2B markets?(4) 2.identify the stages in the B2B buying process(6) 3.How do new buy, straight rebuy and modified rebuy differ?

Answer 91

1Resellers, Institutions, Government, Manufacturers and Service Providers 2.Need recognition, Product specification, RFP process, Proposal analysis and supplier selection, Orders specification, Vendor/performance assessment using metrics 3. A new buy is a situation in which a customer purchases a good or service for the first time, therefore likely being a more involved buying decision. In a rebuy, a buyer simply buys additional units of products that had previously been purchased. In a modified rebuy, the buyer decides to change some specifications in buying a product similar to one they bought in the past, such as the price, quality level, options, and so forth.

Question 92

whats a buying center?

Answer 92

those who are involved in purchasing in B2B

Question 93

The buying center types (6); which one out of all is the most important?

Answer 93

the Decider is the most important Initiator -- first suggests buying the product Influencer – influences other members in buying decision Decider – ultimately determines the buying Buyer – handles the paperwork of the actual purchase User – consumes or uses the product Gatekeeper – controls information or access to decision makers and influencers

Question 94

Example of Buying Center Roles for a Hospital; inititator, influencer,decider,buyer,user,gatekeeper; why is ____ a gatekeeper in this case?

Answer 94

Initiator: Doctor Influencer: Hospital pharmacy Decider: Hospital financial officer Buyer: Materials manager User: Patient Gatekeeper: Insurance company -------------------------------------------------------- Why Insurer is a gatekeeper: Your insurer may believe that ElbowMed screws are too expensive and that other screws deliver equally effective results and therefore refuse to reimburse the hospital in full or in part for the use of the screws.

Question 95

Buying Center (?): Either a purchasing department, taskforce, or exists as stakeholders; you need to know who are what , who do u need to contact, who do u have to satisfy, who do u have to talk to from the 6 options?

Answer 95

Need to know who is (are) Decider! -CEO, CFO? -Purchasing manager? -BOD? Need to contact initiator/influencer to meet Decider. Need to satisfy Gatekeepers not to stop/block the sales process. Need to talk to Users to increase benefits and efficacy.

Question 96

Organizational buying culture Does it exist? Is it important to know?

Question 97

Organizational Buying Culture; whats autocratic,democratic,consultive,consensus?

Answer 97

Autocratic -- One person makes the buying decision alone even though there may be multiple participants (e.g., small private company owned by one person). Democratic – The majority rules (e.g., public institutions) Consultive – One person makes the decision but solicit input from others (e.g., large corporations) Consensus – All members of buying center should agree to buy (e.g., some cooperatives) ----------------------------------------------------------------- Organizational culture can have a profound influence on purchasing decisions. Corporate buying center cultures can be divided into four general types: autocratic, democratic, consultative, and consensus. Knowing which buying center culture is prevalent in a given organization helps the seller decide how to approach that particular client, how and to whom to deliver pertinent information, and to whom to make sales presentations.

Question 98

progress check: What are the six buying roles? What are the types of cultures that exist in buying centers(4)?

Answer 98

1. Buying roles include: (1) initiator, the person who first suggests buying the particular product or service (2) influencer, person whose views influence other members of the buying center in making the final decision; (3) decider, the person who ultimately determines any part of or the entire buying decision—whether to buy, what to buy, how to buy, or where to buy; (4) buyer, the person who handles the paperwork of the actual purchase; (5) user, the persons who consumes or uses the product or service; and (6) gatekeeper, the persons who controls information or access, or both, to decision makers and influencers. 2. autocratic, democratic, consultative, and consensus

Question 99

1. B2B buying process for a new buy follows the following process: A) Need Recognition  Product specification  RFP  Proposal analysis and selection  Purchase order  Vendor performance assessment B) Need Recognition  Information Search  Alternative Evaluation  Purchase and Consumption  Vendor performance assessment C) Information Search  Alternative Evaluation  Purchase and Consumption  Postpurchase D) Need Recognition  RFP  Proposal analysis and selection  Purchase order  Vendor performance assessment

Answer 99

A) Need Recognition  Product specification  RFP  Proposal analysis and selection  Purchase order  Vendor performance assessment

Question 100

2. B2B buying process is shortest when the buying situation is ___________. A) new buy B) modified buy C) straight buy D) business buy

Answer 100

C) straight buy

Question 101

3. _________ is the persons who controls information or access, or both, to decision makers and influencers. A) Initiator B) Controller C) Gatekeeper D) Buyer

Answer 101

C) Gatekeeper

Question 102

4. The manager for a Kroger supermarket considers re-ordering items for his store. He will negotiate price concession and quality improvements. The manager is engaging in a(n)__________ situation. A) new buy B) modified buy C) straight buy D) business buy

Answer 102

B) modified buy ( modified is price and quality improvement

Question 103

5. The customer whom Jemma is calling on today has a(n) ______________ buying center culture. This means that the decision process will involve reaching agreement among all members of the buying center. A) consensus B) autocratic C) consultative D) republican E) democratic

Answer 103

A) consensus

Question 104

chapter 9

Answer 104

segmentation, targeting, and positioning (STP)

Question 105

whats market segmentation

Answer 105

Market segmentation is a marketing strategy that involves dividing a broad target market into smaller groups based on common characteristics. (google)

Question 106

why do we do segmentation?what don’t we use it for?

Answer 106

- to enhance our understanding of customers -to aid targeting and positioning decisions ------------------------------------------------------------------ Do not do segmentation to discriminate any group esp. protected characteristics, race gender, or religion.

Question 107

STP is not for ____________

Answer 107

not for discrimination. its to help find the target customer and positioning stp is used to target customer but not discrimination

Question 108

what should marketers do before stp

Answer 108

before STP , marketers should have decided market boundary (or category) what business are we in ? (ex of market boundary(category)) -> competitive landscape and long term investments, marketing plan (STP) and day to day operation

Question 109

what are segmentation variables? what are the 7 types of variables?

Answer 109

segmentation variables split the market into groups of current or potential customers who are likely to have similar needs with respect to our product or service> There are many variables to segment customers in the market because customers differ in their: 1.demographics 2.behaviors 3.attitudes (feeling toward opject/a brand) 4.benefits they seek from the product/service 5.geographic locations 6.aspirations (whats your desire?if u know u can sell to them at a higher price) 7.lifestyle (pay attention to 1-4)

Question 110

what are demographic variables,what’s demographic segmentation?what are some examples ?(7)

Answer 110

demographic variables are those we can physically observe and measure Demographic segmentation: most common segmentation strategy. easy to identify. Easy to measure (age, gender, income, education) examples: -age -gender -educational status -household size -income -marital status -geographic information

Question 111

what does a 2020 census provide ?

Answer 111

demographic information is readily available. US census bureau providing demographic information at city block level

Question 112

(add more ) question: demographic variables have served as default segmentation variables for several reasons. which of the following is not a reason? a) demographic info is readily available, quite often in the public sector b) because theyre physical variables, dempgraphics are quite reliable. this means we can use them to predict the future; if the segment of 30- to 40 year olds is quite large this year, it is reasonable to predict that the segment of 40- to 50-year-olds will become larger over the next 10 years. c)demographic variables are high in validity; it is relatively easy to verify their accuracy compared to that of other types of variables d) all of the above are correct reasons for the popularity of using demogrphic variables

Answer 112

d.

Question 113

china, usa, and india graphs

Answer 113

it is reasonable to predict that the segment of the 25- to 34-year-old in chain will become much smaller over the next 10 years. ---------------------------------------------------------------------------- Age distribution & its business implications

Question 114

question: demographic information is quite useful for initial market sizing, but it is not sufficient for truly strategic segmentation because....... a) while we can react to demographic information, we cannot influence demographics with marketing tools. thus, relying exclusively on demographics reduces our strategic power b) excessive reliance on demographics can sometimes unnecessarily limit the size of our potential target audience c)segmenting by demographics can lead to stereotyping, a practice that could be damaging to the brand franchise in the long run d) segmentation strategies based solely on demographics are easy for competitors to duplicate e) all of the above are correct

Answer 114

e.

Question 115

wow example of stereotypes

Answer 115

when war-themed onlined role-playing video games such as world of warcraft were first introduced, many marketers assumed most players would be male stereotyping presumes all members of a particular group alike. This is false!

Question 116

what are behavioral variables? examples?

Answer 116

variable that describes the specific actions of consumers or potential consumers usage: heavy users and light users weekday users vs weekend users coupon users vs non coupon users switchers vs loyals

Question 117

(add more) question: which of the following is not correct regarding behavioral segmentation? a) behavioral information is a bit more difficult to collect than demographic information b) technological advances have significantly decreased its cost and increased its reliability, but behavioral data is still generally more expensive to obtain than demographic data c) behavioral data is increasingly available and holds great potential for behavioral segmentation d) we can use frequent past behavior to predict future preferences without considering attitude (Machine learning and AI). This ability is the basis for Amazon and Netflix’s algorithms for making purchase recommendations to existing customers. e) All of the above are correct.

Answer 117

e

Question 118

example image: behavioral segmentation - sources of sales potential. what are nonadopters? Our customers? what are competitors customers? multi brand users?

Answer 118

within box(left to right, top to bottom): Non adopters , our customers, compettitors customers, multibrand users. non adopters: not buying our product AND not buying competitors product our customers: buying our product BUT not buying competitors product competitors customers: Not buying our product BUT buying competitors product multi brand users: buying our product AND buying competitors product

Question 119

EXAMPLE: Behavioral Segmentation – Sources of Sales Potential (what are the 4 strategic focus)

Answer 119

stimulate demand and Aquisition: attract potential non-adopters stimulate demand and retention: increase consumption among current users earn share and Aquisition: attract competitive brand users earn share and retention: increase consumption among multi brand users ----------------- (Marketing) Strategic foci - Attract potential non-adopters - Attract competitive brand users - Increase consumption among users - Increase consumption among multi-brand users

Question 120

Attitudinal Variables: what does it describe? (3 vs) Why attitudinal variables for segmentation? Attitudinal data can be ____ because ____.

Answer 120

■ Attitudinal variables describe the thoughts, feelings, and beliefs of consumers. Risk averse vs. risk takers Satisfied vs. unsatisfied Zealots vs. pagans ■ Why attitudinal variables for segmentation? Marketing can change and influence attitudes of customers Attitudes drive behaviors (purchasing and using). The foundation of marketing is identifying key attitude-behavior linkages and seeking to change behaviors by changing attitudes. ■ Attitudinal data can be unreliable because attitudes may change (Demographic data do not change).

Question 121

benefit variables(what is it) what is this in regards segmenting a market & what does it relate to? what is one of its issues? what are the two types of benefits that marketers should identify?

Answer 121

■ Benefits that customers seek ■ This is most useful way of segmenting a market -- the segmentation method most directly related to the satisfaction of consumer needs and wants! ■ One of issues is… There might be so many different benefits that customers may seek from consuming a product/service. Among many potential benefits, marketers should choose/identify: Main benefit Dynamic benefit

Question 122

whats Main benefit? whats Dynamic benefit? Fast food category Main benefit is _____________ Dynamic benefits are ____________ which one changes over time?

Answer 122

■ Main benefit: primary benefit provided by the category that differentiates the category leader ■ Dynamic benefit: benefit used by a competitor to take share from the category leader. Fast food category Main benefit is _convenience_ Dynamic benefits are __are healthy, freshness, taste, etc. _ Dynamic benefit change over time! PC - Portability was a dynamic benefit. However, portability became an expected feature of PC, and need for portability became a less-compelling segmentation variable.

Question 123

segmentation study: chipotle ( whats its main benefit and dynamic benefit?)

Answer 123

Main benefit: Fast and Convenient Dynamic benefit: High quality

Question 124

Segmentation Study: Zara ( whats its main benefit and dynamic benefit?)

Answer 124

Main benefit: Trendy Dynamic benefit: Cost-efficient

Question 125

How to find the Benefit Variables? (2 ways) what should be built?

Answer 125

1. Do anything to uncover needs and wants that are important. I suggest you do either -Customer interviews: Ask customers about their consumption experiences that were either extremely positive or extremely negative. Or -Customer comment review: Identify the most reliable customer review website (Amazon, CarMax.com, Edmunds.com, etc.) and carefully review customer reviews. 2. See if the company can back up those benefits with product features. I suggest you build a feature-benefit-value ladder

Question 126

Feature-benefit-value ladder 1. what do u do first when building feature-benefit ladders? whats a feature whats a benefit what are values In constructing a feature-benefit-value ladder, we: A feature-benefit-value ladder is a __ of a brand

Answer 126

We build feature-benefit- value ladders by first listing the most important brand features, and then listing their connected benefits and values. Features: A feature is an inherent physical or functional attribute of a product or service. Benefits: A benefit describes what the customer stands to gain from using the product or service. Benefits are directly linked to features. So, for example, if this book is available in digital form (feature), it will be easy to access (benefit). Values: Values are high-level attitudes or aspirations that help describe the status or image conferred to the user of the product (“I am an innovator,” “I am sophisticated,” “...”). ------------------------------------------------------------------------- In constructing a feature-benefit-value ladder, we hypothesize which features, benefits, and values of our brand are most differentiating in the eyes of our target customers. A feature-benefit-value ladder is an inside-out look at the brand.

Question 127

michelin tires example chart of Benefit Values and features

Answer 127

i am a exciting person|i am a caring person|i am a smart person fun safety lower long run financial cost highperformance | tires last a long time |energy efficent heavily researched and tested design | michelin made steel |less surface area

Question 128

Selecting the benefit segmentation variables; first they gather info by and use what ladder and then choose what?what are the Benefit variables that make it to our segmentation short list(3):

Answer 128

After generating a list of potential variables through interviews and feature-benefit-value ladders, we select from the list those variables that are most promising from a segmentation standpoint. Benefit variables that make it to our segmentation short list: a. are most important to the customers in the category. b. are something our brand features can support to provide. c. have the potential to differentiate our brand in the category. tire longevity, tire driving performance,cost, energy efficiency,long run cost of ownership,fun, safety -> tire longevity,cost,safety, fun -> safety(main benefit), tire longevity(dynamic benefit)

Question 129

feature benefit value ladder of Zara what are its values, benefits, features?

Answer 129

values: i am fashion oriented, i care about the environment, i am financially responsible benefits: trendy clothing, decreased carbon footprint, cost efficient features:heavily researched and up to date clothing, sustainable material, efficient prod process vertical message orientation:i am fashion oriented, trendy clothing, heavily researched and up to date clothing horizontal message orientation: trendy clothing, decreased carbon footprint, cost efficient

Question 130

what are the 4 targeting strategies

Answer 130

-Undifferentiated targeting strategy (also known as mass marketing). :(ex:When everyone might be considered a potential user of its product, a firm uses an undifferentiated targeting strategy (mass marketing). -Differentiated targeting strategy (multi-segments marketing). (ex:Firms using a differentiated targeting strategy target several market segments with a different offering for each. ) -Concentrated targeting strategy. (choosing 1 segment u want to focus on ex:When an organization selects a single, primary target market and focuses all its energies on providing a product to fit that market’s needs, it is using a concentrated targeting strategy.) -Micromarketing or one-to-one marketing.(ex: When a firm tailors a product or service to suit an individual customer’s wants or needs, it is undertaking an extreme form of segmentation called micromarketing or one-to-one marketing.)

Question 131

how do they look in bars? undifferentiated targeting, differentiated targeting, concentrated targeting

Answer 131

undifferentiated targeting(also known as mass marketing): large 1 bar differentiated targeting: 4 segments (a,b,c,d) concentrated targeting:large and attractive segment and niche marketing (choosing 1 segment u want to focus on)

Question 132

Undifferentiated targeting (mass marketing):When to adopt? (3)

Answer 132

-When consumer tastes, needs, wants are same! -Homogeneous market, -When the company has a strong marketing power and a lot of resources, AND, -When no strong competitor.

Question 133

Hertz uses a variety of demographics—gender, age, income, interests—to identify customers who might want the Prestige, Green, and Adrenaline Collections,](image missing )Differentiated targeting strategy; what 4 demographics does Hertz use for the ?what is it used for?what 2 factors does it apply to?

Answer 133

Hertz uses a variety of demographics—gender, age, income, interests—to identify customers who might want the Prestige, Green, and Adrenaline Collections, but it also applies psychological or behavioral factors, such as a need to move possessions across town, to identify likely consumers of its commercial vans.

Question 134

Evaluate Segment Attractiveness; When marketers have to select one or several target segments, each segment is(5)define each one

Answer 134

When marketers have to select one or several target segments, assess each segment is -Identifiable, -Substantial, -Reachable, -Responsive, -Profitable Identifiable: Firms must be able to identify who is within their market to be able to design products or services to meet their needs. It is equally important to ensure that the segments are distinct from one another, because too much overlap between segments means that distinct marketing strategies aren’t necessary to meet segment members’ needs. (some segments are difficult to identify, sometimes it's hard to identify who they are) Substantial: The market segment size should be substantial. Reachable: Firms should be able to reach customers in the market segment. The best product or service cannot have any impact, no matter how identifiable or substantial the target market is, if that market cannot be reached (or accessed) through persuasive communications and product distribution. (can u reach those segments?) Responsive: Customers in the market segment must react similarly and positively to the firm’s offering. (if youre offering a product, customers will react in many ways. he says its the most important part. Responsiveness of marketing campaign/mix. If they like product they will respond) Profitable: The market segment should profitable.(whether market segment will create profit)

Question 135

calculating Profitability of Two Market Segments for Camillo’s Lawn Service image (businesses v homeowners)

Answer 135

comparing profitability of homeowners vs businesses homeowners: 75,000 segment size * 1% of ppl use service * $100 * 12 *.60 - $400,000 in costs= $140,000 profit businesses: 1,000 segment size: 1,000 segment size * 20% use the service * $500 * 20 * .8 - $1,000,000 = $600,000

Question 136

profitable (whats the profitability of segment formula? what should u consider?(4))

Answer 136

Profitability of segment = Segment size * adoption rate * price * purchasing frequency * profit margin – fixed cost Consider -Current market growth rate.(current size and expected growth rate), ) -Future growth rate. -Market competitiveness.( (number of competitors, entry barriers, product substitutes) -Market access costs(ease of developing or accessing distribution channels and brand familiarity).

Question 137

when Describing the target customer we present ___

Answer 137

Present one-line description of target Develop persona of a typical target customer ---------- How much you know about the target customer

Question 138

whats the One-line description of zipcar's target

Answer 138

Zipcar targets “computer-savvy people who hate cars”

Question 139

describe the Persona of a typical target customer

Answer 139

A typical target customer persona is a semi-fictional representation of your ideal customer, created through research and analysis. It includes: Name - Use a specific name (It can be a real name or a fake name) Habitat Revealing behaviors Consumption habits(how they consume our products or other) Demographics Attitudes, perceptions, values, aspirations Benefits sought A real person! One person, not aggregated average

Question 140

Question: Which of the following is NOT correct? a) The target audience description is rich and detailed and specific enough to generate a mental picture of the target audience. b) It should be shared and validated with those charged with execution, including ■ communications ■ product development ■ sale c) To write a target audience description we will, in essence, pluck a person from the pool that makes up our potential market and describe this person in substantial detail. d) To bring this person to life for the people who are charged with creating value for him or her, we will include a name, a habitat, revealing behaviors, and consumption habits. e) All of the above are correct

Answer 140

e

Question 141

whats positioning? whats a positioning statement?

Answer 141

Positioning: - (once u choose market u have to choose we have to serve) The answer to how product/brand should be perceived in the market among target customers. ( u want to be perceived in the market, a positive/good perception. ) “To be positioned is to be perceived.” (Sam Min) Positioning statement: A statement of the desired image/value/benefit of offering to be perceived by customers

Question 142

Positioning: What is our message? (segmentation,targeting,positioning)

Answer 142

Segmentation informs us how we will define and segment our market. Targeting describes specifically whom we will attempt to reach. Our positioning statement outlines what we will say to them.

Question 143

positioning statement is the __ step on ____ (describe the image of stp) describe his quote

Answer 143

The positioning statement is much more than a simple hand-off to the communications agency; it is the final step on the bridge between strategy and execution. (positioning is desired perception) “Marketing mix should be consistent with positioning.” “Marketing mix should support fulfilling and strengthening the positioning.” (want to be perceived as convenient product/premium quality) “Marketing mix decisions should be guided by positioning” ---------- image: segmentation->targeting-> positioning (product, price, place, promotion)(how u want to be percieved in selected target group)

Question 144

whats the ideal positioning? ( image of 3 things)

Answer 144

The best is if a company’s product offering overlaps with customer needs and wants but no overlap with competitor’ offerings. image: competitive offering, overlap of customer needs and wants + company offering) the overlap part us the value proposition (sometimes they dont have a strong positioning statement.)

Question 145

Positioning statement (what is it? what is it sometimes called? this statement will marry ___)

Answer 145

(we have decided how u want to be perceived, now u have to describe with just 1 line) A single, crisp consumer proposition. This message is sometimes called a “brand promise” or “value proposition.” This statement will marry our entity’s core competence, and understanding of the target consumer.

Question 146

describe the positioning statement template( what does Coca colas positioning statement look like?)( whats apples positioning statement look like?) tesla?

Answer 146

For ______(target), ____(brand) is the ___ (category)that is the __________point of difference)so they can _____(end benefit) because ____________(reason to believe). --------------------------- coca cola: For individuals looking for high quality drinks, coca cola is a wide range of the most refreshing beverages that delivers happiness unlike other beverage options, so they can enjoy a coca cola drink and make a positive difference in ther lives, because the brand is intensively focused on the needs of customers. apple: for individuals who want the best personal computer or mobile device, apple is the leader of tech industry that delivers the most innovative products so they can enjoy seamless experiences across all apple devices and be empowered with breakthrough services because apple takes an innovative approach to business best practices considering the impact our products have on customers and the product tesla: For customers who want climate aware automobiles, tesla is a hybrid automobile company tyhat offers a guilt free trip every time so customers can make a small impact on the way on the world because tesla has shown extreme innovation and willingness to make a different

Question 147

Would it help if we know competitor’s positioning? why having the same position as a competitor is bad?what’s nike’s tagline

Answer 147

Yes! Look at advertisements, sales materials, and product packaging. Tag line: A short statement meant to capture the essence of brand positioning, accompanies the brand logo and is an integral part of the brand identity of the firm. (tag line can refer imply positioning of company) nike tag line: "just do it" Same positioning does not work if a strong competitor already “owns” the positioning.

Question 148

_____________ informs us how we will define and segment our market. ___________ describes specifically whom we will attempt to reach. Our ____________ outlines what we will say to them. a) Segmentation, positioning, feature-value analysis b) Positioning statement, targeting, segmentation c) Targeting, feature-value analysis, segmentation d) Segmentation, targeting, positioning statement

Answer 148

d) Segmentation, targeting, positioning statement

Question 149

2. ____________ should be consistent with positioning. ____________ should support fulfilling and strengthening the positioning. ____________ decisions should be guided by positioning. a) Targeting, Targeting, Targeting b) Marketing mix, Marketing mix, Marketing mix c) Segmentation, Segmentation, Segmentation d) Marketing mix, Segmentation, Targeting

Answer 149

b) Marketing mix, Marketing mix, Marketing mix

Question 150

3. Which of the following is NOT correct about target audience description? a.It is rich and detailed and specific enough to generate a mental picture of the target audience. b.It should be shared and validated with those charged with execution. c.To write a target audience description we will, in essence, pluck a person from the pool that makes up our potential market and describe this person in substantial detail. d.It includes a name, a habitat, revealing behaviors, and consumption habits, but it excludes demographics, attitudes, values and aspirations.

Answer 150

d.It includes a name, a habitat, revealing behaviors, and consumption habits, but it excludes demographics, attitudes, values and aspirations.

Question 151

4. Ideally the value proposition a.should be a benefit of company’s product, which overlaps with customer needs and wants but does not overlap with the benefits that competitors offer. b.should overlap with the value proposition of competitors. c.should be a benefit of company’s product, which does not overlap with what customers want. d.Should be a value neither overlap with the value proposition of competitors nor with customer needs and wants.

Answer 151

a.should be a benefit of company’s product, which overlaps with customer needs and wants but does not overlap with the benefits that competitors offer.

Question 152

5.What is the primary benefit provided by the market category that differentiates the category leader? Group of answer choices a.Main benefit b.Presidential benefit c.Dynamic benefit d.Core benefit

Answer 152

a.Main benefit (dynamic is competitive, changes overtime)

Question 153

in most countries what is govt to g&s? what are the 3 types of govt? how much does the US govt spend annually? how much did they spend in 2023?

Answer 153

Government * In most countries, government is one the largest purchasers of goods and services. * Local, state, and federal governments. * The U.S. government spends over $6 trillion annually. The government spending has grown fast. ---- In most countries, the central government is one of the largest purchasers of goods and services. For example, the U.S. federal government spends nearly $4 trillion annually on procuring goods and services a few year ago. Now it is over $6 trillion.  US GDP in 2023 was $27 trillion.