Marketing 101 Test 2

Business Buying Behavior
Buying behavior of organizations that buy goods and services for use of production
Business Buying Process
Process where business buyers determine which products and services are needed. Then Find, Evaluate, and Choose a Brand.
Straight Rebuy
is a routine purchase decision such as reorder without any modification
Modified Rebuy
is a purchase decision that requires some research where the buyer wants to modify the product specification, price, terms, or suppliers
New Task
is a purchase decision that requires thorough research such as a new product
Users
are those that will use the product or service
Influencers
help define specifications and provide information for evaluating alternatives
Buyers
have formal authority to select the supplier and arrange terms of purchase.
Deciders
have formal or informal power to select and approve final suppliers
Gatekeepers
control the flow of information to others.
Business Center
The individuals and units that play a role in the purchase decision-making process.
Market Segmantation
is the process that companies use to divide large heterogeneous markets into small markets that can be reached more efficiently and effectively with products and services that match their unique needs
Geographic Segmantation
groups by geographical units such as nations, regions, states, counties, cities.
Demographic Segmentation
groups based on variables such as age, gender, family size, family life cycle, income, occupation, education, religion, race, generation, nationality.
Psychographic Segmentation
groups based on social class, lifestyle, or personality characteristics.
Behavioral Segmentation
groups based on their different benefits that consumers seek from the product
Target market
consists of a set of buyers who share common needs or characteristics that the company decides to serve
Differentiated marketing
targets several different market segments and designs separate offers for each
Micromarketing
is the practice of tailoring products and marketing programs to suit the tastes of specific individuals and locations
Product Position
is the way the product is defined by consumers on important attributes—the place the product occupies in consumers’ minds relative to competing products
Competitive Advantage
is an advantage over competitors gained by offering consumers greater value, either through lower prices or by providing more benefits that justify higher prices
Positioning Statement
states the product’s membership in a category and then shows its point-of-difference from other members of the category.
Product
is anything that can be offered in a market for attention, acquisition, use, or consumption that might satisfy a need or want
Experiences
represent what buying the product or service will do for the customer
Product Features
are a competitive tool for differentiating a product from competitors’ products
Brand
is the name, term, sign, or design—or a combination of these—that identifies the maker or seller of a product or service.
Brand Equity.
The added value a given brand name gives to a product beyond the core benefits.
Customer Equity
is the value of the customer relationships that the brand creates
Brand Valuation
is the process of estimating the total financial value of the brand
Packaging
involves designing and producing the container or wrapper for a product
Labels
identify the product or brand, describe attributes, and provide promotion
Intangibility
refers to the fact that services cannot be seen, tasted, felt, heard, or smelled before they are purchased
Inseparability
refers to the fact that the performance/consumption of services cannot be separated from their providers
Variability
refers to the fact that service quality depends on who provides the services as well as when, where, and how they are provided
Perishability
refers to the fact that services cannot be stored for later sale or use
Product LIfe Cycle
is the course that a product’s sales and profits take over its lifetime
Style
is a basic and distinctive mode of expression
Fashion
is a currently accepted popular style in a given field
Fad
are temporary periods of unusually high sales driven by consumer enthusiasm and immediate product or brand popularity
Acquisition
refers to the buying of a whole company, a patent, or a license to produce someone else’s product
New Product Development
refers to original products, product improvements, product modifications, and new brands developed from the firm’s own research and development
Tariffs
are taxes on certain imported products designed to raise revenue or to protect domestic firms
Quotas
are limits on the amount of foreign imports a country will accept in certain product categories to conserve on foreign exchange and protect domestic industry and employment
Exchange Controls
are a limit on the amount of foreign exchange and the exchange rate against other currencies
Non-Tariff Trade Barriers
are biases against bids or restrictive product standards that go against American product features
Monetary Regulations
involves the stability of exchange rates and currency limitations
Barter
is the exchange of goods or services
Compensation
is the sale of a plant or equipment and the payment in resulting products
Counterpurchase
is when the seller receives payment and agrees to spend some of the money in the other country
Standardized Marketing Mix
involves selling the same products and using the same marketing approaches worldwide
Adapted Marketing Mix
involves adjusting the marketing mix elements in each target market, bearing more costs but hoping for a larger market share and ROI
Straight Product Extension
means marketing a product in a foreign market without any change
Product Adaption
involves changing the product to meet local conditions or wants
Product Invention
consists of creating something new for a specific country market
Uniform Pricing
is the same price in all markets but does not consider income or wealth where the price may be too high in some or not high enough in other markets
Market-based Pricing
is the price the market can pay but does not consider actual costs
Standard Markup Pricing
is a price based on a percentage of cost but can cause problems in countries with high costs
Seller’s Headquarters Organization
supervises the channel and is also a part of the channel
Channels Between Nations
move the products to the borders of the foreign nations
Channels Within Nations
move the products from their foreign point of entry to the final customers