Marketing fundamentals with Bob exam 1

Marketing
an organized system of activities designed to get the money out of someone else’s pockets and into yours
Production orientation
Focus on internal capabilities of the organization and what it can most readily produce
Exchange
Trading something of value to receive something perceived to be of greater value
Sales orientation
Employment of a sales force and aggressive sales tactics to push that which the organization can most readily produce
Marketing orientation
focus on the wants and needs of the target customers, and create offerings to satisfy those wants and needs
Societal marketing orientation
Extend the marketing orientation to have the organization committed to contributing to the best interests of customers and society
Marketing concept
The foundation of a societal marketing orientation: Satisfy the wants and needs of target customers and contribute to the best interests of customers and society, while simultaneously achieving the organization’s objectives
Preconventional morality
Child state/ Instant gratification
Conventional morality
Do it because everybody else does
Postconventional morality
Enlightened self-interest consistent with your own ethically-focused personal value system
External marketing environment
All elements ( social, demographic, economic, technological, political-legal, competition) outside the organization, AKA uncontrollable variables
Environmental management
Actions taken by the organization to shape and influence the “uncontrollable” variables
Demographics
Statistical facts such as age, sex, race, income, location, family status, etc
Consumer product safety commission (CPSC)
Protects the health and safety of consumers using products in and around the home
Federal trade commission (FTC)
Prevents unfair trade practices including anti-trust and deceptive advertising
Corrective Advertising
Clarify statements believed misleading
Cease and desist
Stop this NOW
Food and Drug Administration (FDA)
Safety of food and drug products
Culture
Values, norms, attitudes, behaviors, and other meaningful behaviors and symbols that characterize a nation or people
Global Marketing standardization
Selling the exact same product everywhere in the world
Tariff
Tax levied on goods entering a country
Quota
Limit on amount of a specific product that can enter a country
Boycott
By nations: Exclusion of all products from certain nations or organizations. By individuals or groups: Refusal to buy products from certain nations or organizations
Exchange control
Impediments or outright inability to convert a nation’s currency into convertible currencies such as dollars or euros
Market Grouping
Two or more nations to stimulate international trade by minimizing or eliminating tariffs, quo
Trade agreement
An agreement by two or more nations to stimulate international trade by minimizing or eliminating tariffs, quotas, boycotts, and exchange control
Exporting
Selling domestically produced products to customers in another country
Licensing
Legal process permitting another firm to use an organization’s manufacturing processes, trademarks, patents, and other proprietary knowledge
Contract manufacturing
Outsourcing your manufacturing function to a foreign (or domestic) firm
Joint Venture
Two organizations working together to create a new business entity
Direct Investment
Buying out another firm or starting your own from the ground up, with your organization having total ownership
Need recognition
Difference between where you’re at and where you’d like to be
Information search
May be conscious or unconscious
Internal information search
From inside your own head
External information search
Everything other than inside your head
Evaluation of alternatives
When information search is completed (at least for the time being)
Evoked set
What’s “in the pool” for consideration
Purchase
Based on product attributes or, perhaps predominantly intangibles and image
Cognitive dissonance
Tension/ anxiety about the purchase decision
Routine response behavior
Least complex, low involvement
Limited decision-making
Moderately quick limited-consequence decision
Extensive decision-making
Major decision, significant risk-consequences
Subculture
Groups of consumers with similar component lifestyles
Component lifestyle
What do you do for a thrill on Saturday night?