MKTG 351 Cousley (Ole Miss) Ch 11-16 [Exam 3]

good
a tangible physical entity
service
an intangible result of the application of human and mechanical efforts to people or objects
idea
a concept, philosophy, image, or issue
consumer products
products purchased to satisfy personal and family needs
business products
products bought to use in a firm’s operations, to resell, or to make other products
shopping products
items for which buyers are willing to expend considerable effort in planning and making purchases
specialty products
items with unique characteristics that buyers are willing to expend considerable efforts to obtain
unsought products
products purchased to solve a sudden problem, products of which customers are unaware, and products that people do not necessarily think of buying
installations
facilities and non portable major equipment
accessory equipment
equipment that does not become part of the final physical product but is used in production or office activities
raw materials
basic natural materials that become part of a physical product
component parts
items that become part of the physical product and are either finished items ready for assembly or items that need little processing before assembly
process materials
materials that are used directly in the production of other products but are not readily identifiable
MRO supplies
maintenance, repair, and operating items that facilitate production and operations but do not become part of the finished product
business services
intangible products that many organizations used in their operations
product item
a specific version of a product that can be designated as a distinct offering among a firm’s products
product line
a group of closely related product items viewed as a unit because of marketing, technical, or end-use considerations
product mix
the composite, or total, group of products that an organization makes available to customers
width of product mix
the number of product lines a company offers
depth of product mix
the average number of different products offered in each product line
product life cycle
the progression of a product through four stages: introduction, growth, maturity, and decline
introduction stage
the initial stage of a product’s life cycle; its first appearance in the marketplace when sales start at zero and profits are negative
growth stage
the product life cycle stage when sales rise rapidly, profits reach a peak, and then they start to decline
maturity stage
the stage of a product’s life cycle when the sales curve peaks and starts to decline, and profits continue to fall
decline stage
the stage of a product’s life cycle when sales fall rapidly
product adoption process
the five-stage process of buyer acceptance of a product: awareness, interest, evaluation, trial, and adoption
innovators
first adopters of new products
early adopters
people who adopt new products early, choose new products carefully, and are viewed as “the people to check with” by later adopters
early majority
individuals who adopt a new product just prior to the average person
late majority
skeptics who adopt new products when they feel its necessary
laggards
the last adopters, who distrust new products
line extension
development of a product that is closely related to existing products in the line but is designed specifically to meet different customer needs
product modifications
changes in one or more characteristics of a product
quality modifications
changes relating to a product’s dependability and durability
functional modifications
changes affecting a product’s versatility, effectiveness, convenience, or safety
aesthetic modifications
changes realting to the sensory appeal of a product
new-product development process
a seven-phase process for introducing products: idea generation, screening, concept testing, business analysis, product development, test marketing, and commercialization.
idea generation
seeking product ideas to achieve organizational objectives
screening
selecting the ideas with the greatest potential for further review
concept testing
seeking a sample of potential buyers’ responses to a product idea
business analysis
evaluating the potential impact of a product idea on the firm’s sales, costs, and profits
product development
determining if producing a product is technically feasible and cost effective
test marketing
a limited introduction of a product in geographic areas chosen to represent the intended market
commercialization
refining and finalizing plans and budgets for full-scale manufacturing and marketing of a product
product differentiation
creating and designing products so that customers perceive them as different from competing products
quality
the overall characteristics of a product that allow it to perform as expected in satisfying customer needs
level of quality
the amount of quality a product possesses
consistency of quality
the degree to which a product has the same level of quality over time
product design
how a product is conceived, planned, and produced
styling
the physical appearance of a product
product features
specific design characteristics that allow a product to perform certain tasks
costumer services
human or mechanical efforts or activities that add value to a product
product deletion
eliminating a product from the product mix when it no longer satisfies a sufficient number of customers
product manager
the person within an organization who is responsible for a product, a product line, or several distinct products that make up a group
brand manager
the person responsible for a single brand
market manager
the person responsible for managing the marketing activities that serve a particular group of customers
venture team
a cross-functional group that creates entirely new products that may be aimed at new markets
intangibility
the characteristic that a service is not physical and cannot be perceived by the senses
inseparability
the quality of being produced and consumed at the same time
perishability
the inability of unused service capacity to be stored for future use
heterogeneity
variation in quality
client based relationships
interactions that result in satisfied customers who use a service repeatedly over time
customer contact
the level of interaction between provider and customer needed to deliver the service
service quality
customers’ perceptions of how well a service meets their expectations
search qualities
tangible attributes that can be judged before the purchase of a product
experience qualities
attributes that can be assessed only during purchase and consumption of a service
credence qualities
attributes that customers may be unable to evaluate even after purchasing and consuming a service
nonprofit marketing
marketing activities conducted to achieve some goal other than ordinary business goals such as profit, market share, or return on investment
target public
a collective of individuals who have an interest in or concern about an organization, product, or social cause
client publics
direct consumers of a product of a nonprofit organization
general publics
indirect consumers of a product of a nonprofit organization
opportunity cost
the value of the benefit given up by choosing one alternative over another
brand
a name, term, design, symbol, or other feature that identifies one marketer’s product as distinct from those of other marketers
brand name
the part of a brand that can be spoken, including letters, words, and numbers
brand mark
the part of a brand that is not made up of words, such a symbol or design
trademark
a legal designation of exclusive use of a brand
trade name
the full legal name of an organization
brand loyalty
a customer’s favorable attribute toward a specific brand
brand recognition
the degree of brand loyalty in which a customer is aware that a brand exists and views the brand as an alternative purchase if their preferred brand is unavailable
brand preference
the degree of brand loyalty in which a customer prefers one brand over competitive offerings
brand insistence
the degree of brand loyalty in which a customer strongly prefers a specific brand and will accept NO substitute
brand equity
the marketing and financial value associated with a brand’s strength in a market
manufacturer brand
a brand initiated by producers to ensure that producers are identified with their products at the point of purchase
private distributor brand
a brand initiated and owned by a reseller
generic brand
a brand indicating only the product category
individual branding
a branding strategy in which each product is given a different name
family branding
branding all of a firm’s products with the same name or part of a name
brand extension
an organization uses one of its existing brands to brand a new product in a different product category
co-branding
using two or more grandson one product
brand licensing
an agreement whereby a company permits another organization to use its brand on other products for a licensing fee
family packaging
using similar packaging for all of a firm’s products or packaging that has one common design element
labeling
providing identifying, promotional, or other information on packaging labels
universal product code (UPC)
a series of electronically readable lines identifying a product and containing inventory and pricing information
distribution
the decisions and activities that make products available to customers when and where they want to purchase them
supply chain
all the activities associated with the flow and transformation of products from raw materials through to the end customer
operations management
the total set of managerial activities used by an organization to transform resources inputs into products
logistics management
planning, implementing, and controlling the efficient and effective flow and storage of products and information from the point of origin to consumption to meet customers’ needs and wants
supply management
in its broadest form, refers to the processes that enable the progress of value from raw material to final customer and back to redesign and final disposition
supply-chain management
a set of approaches used to integrate the functions of operations management, logistics management, supply management, and marketing channel management so products are produced and distributed in the right quantities, to the right locations, and at the right time
marketing channel
a group of individuals and organizations that direct the flow of products from producers to customers within the supply chain
marketing intermediaries
middlemen that link producers to other intermediaries or ultimate consumers through contractual arrangements or through the purchase and resale of products
industrial distributor
an independent business organization that takes title to industrial products and carries inventories
dual distribution
the use of two or more marketing channels to distribute the same products to the same target markets
strategic channel alliance
an agreement whereby the products of one organization are distributed through the marketing channels of another
intensive distribution
using all available outlets to distribute a product
selective distribution
using only some available outlets in an area to distribute a product
exclusive distribution
using a single outlet in a fairly large geographic area to distribute a product
channel captain
the dominant leader of a marketing channel or a supply channel
channel power
the ability of one channel member to influence another member’s goal achievement
vertical channel integration
combining two or more stages of the marketing channel under one management
vertical marketing systems (VMSs)
a marketing channel managed by a single channel member to achieve efficient, low-cost distribution aimed at satisfying target market customers
horizontal channel integration
combining organizations at the same level of operation under one management
physical distribution
activities used to move products from producers to consumers and other end users
cycle time
the time needed to complete a process
order processing
the receipt and transmission of sales order information
electronic data interchange (EDI)
a computerized means of integrating order processing with production, inventory, accounting, and transportation
inventory management
developing and maintaining adequate assortments of products to meet customers’ needs
just-in-time (JIT)
an inventory-management approach in which supplies arrive just when needed for production or resale
materials handling
physical handling of tangible goods, supplies, and resources
warehousing
the design and operation of facilities for storing and moving goods
private warehouses
company-operated facilities for storing and shipping products
public warehouses
storage space and related physical distribution facilities that can be leased by companies
distribution centers
large, centralized warehouses that focus on moving rather than storing goods
transportation
the movement of products from where they are made to intermediaries and end users
intermodal transportation
two or more transportation modes used in combination
freight forwarders
organizations the consolidate shipments from several firms into efficient lot sizes
megacarriers
freight transportation firms that provide several modes of shipment
tying agreement
an agreement in which a supplier furnishes a product to a channel member with the stipulation that the channel member must purchase other products as well
exclusive dealing
a situation in which a manufacturer forbids an intermediary to carry products of competing manufacturers
retailing
all transactions in which the buyer intends to consume the product through personal, family, or household use
retailer
an organization that purchases products for the purpose of reselling them to ultimate consumers
general-merchandise retailer
a retail establishment that offers a variety of product lines that are stocked in considerable depth
department stores
large retail organizations characterized by a wide product mix and organized into separate departments to facilitate marketing efforts and internal management
discount stores
self-service, general-merchandice stores that offer brand name and private brand products at low prices
convenience store
a small self-service store that is open long hours and carries a narrow assortment of products, usually convenience items
supermarkets
large, self-service stores that carry a complete line of food products, along with some nonfood products
superstores
giant retail outlets that carry food and nonfood products found in supermarkets, as well as most routinely purchased consumer products
hypermarkets
stores that combine supermarkets and discount store shopping in one location
warehouse clubs
large-scale, member only establishments that combine features of cash-and-carry wholesaling with discount retailing
warehouse showrooms
retail facilities in large, low-cost buildings with large on-premises inventories and minimal service
traditional specialty retailers
stores that carry a narrow produce mix with deep product lines
category killer
a very large specialty store that concentrates on a major product category and competes on the basis of low prices and product availability
off-price retailers
stores that buy manufacturers’ seconds, overruns, returns, and off season merchandise for resale to consumers at deep discounts
neighborhood shopping centers
shopping centers usually consisting of several small convenience and specialty stores
community shopping centers
shopping centers with one or two department stores, some specialty stores, and convenience stores
regional shopping center
a type of shopping center with the largest department stores, widest product mixes, and deepest product lines of all shopping centers
super regional shopping center
a type of shopping center with the widest and deepest product mixes that attracts customers from many miles away
lifestyle shopping center
a type of shopping center that is typically open air and features upscale specialty, dining, and entertainment stores
power shopping centers
a type of shopping center that combines off-price stores with category killers
retail positioning
identifying an unserved or underserved market segment and serving it through a strategy that distinguishes the retailer from others in the minds of consumers in that segment
atmospherics
the physical elements in a store’s design that appeal to consumers’ emotions and encourage buying
category management
a retail strategy of managing groups of similar, often substitutable products produced by different manufacturers
direct marketing
the use of the telephone, internet, and non personal media to introduce products to customers, who can then purchase them via mail, telephone, or the internet
nonstore retailing
the selling of products outside the confines of a retail facility
catalog marketing
a type of marketing in which an organization provides a catalog from which customers make selections and place orders by mail, telephone, or the internet
direct-response marketing
a type of marketing in which a retailer advertises a product and makes it available through mail or telephone orders
telemarketing
the performance of marketing-related activities by telephone
TV home shopping
a form of selling in which products are presented to television viewers, who can buy them by calling a toll-free number and paying with a credit card
online retailing
retailing that makes products available to buyers through computer connections
direct selling
marketing products to ultimate consumers through face-to-face sales presentations at home or in workplace
automatic vending
the use of machines to dispense products
franchising
an arrangement in which a supplier (franchiser) grants a dealer (franchisee) the right to sell products in exchange for some type of consideration
wholesaling
transactions in which products are bought for resale, for making other products, or for general business operations
wholesaler
an individual or organization that sells products that are bought for resale, for making other products, or for general business operations
merchant wholesalers
independently owned businesses that take title goods, assume ownership risks, and buy and resell products to other wholesalers, business customers, or retailers
full-service wholesalers
merchant wholesalers that perform the widest range of wholesaling functions
general-merchandise wholesalers
full-service wholesalers with a wide product mix but limited depth within product lines
limited-line wholesalers
full-service wholesalers that carry only a few product lines but many products within those lines
specialty-line wholesalers
full-service wholesalers that carry only a single product line or a few items with a product line
rack jobbers
full-service, specialty-line wholesalers that own and maintain display racks in stores
limited-service wholesalers
merchant wholesalers that provide some services and specialize in a few functions
cash-and-carry wholesalers
a limited-service wholesaler whose customers pay cash and furnish transportation
truck wholesalers
limited-service wholesalers that transport products directly to customers for inspection and selection
drop shippers
Limited-service wholesalers that take title to goods and negotiate sales but never actually take possession of products
mail-order wholesalers
Limited-service wholesalers that sell products through catalogs
agents
intermediaries that represent either buyers or sellers on a permanent basis
brokers
Intermediaries that bring buyers and sellers together temporarily
manufacturers’ agents
independent intermediaries that represent two or more sellers and usually offers customers complete product lines
selling agents
Intermediaries that market a whole product line or a manufacturer’s entire output
commission merchants
agents that receive goods on consignment from local sellers and negotiate sales in large, central markets
sales branches
manufacturer-owned intermediaries that sell products and provide support services to the manufacturer’s sales force
sales offices
Manufacturer-owned operations that provide services normally associated with agents