1. Having a global vision means
    • -recognizing and reacting to international marketing opportunities
    • - using effective global marketing strategies
    • -being aware of threats from foreign competitors
  2. External factors facing global markets
    • -culture
    • - economic and technological development
    • - political structure
    • - demographic makeup
    • - natural resources
  3. Culture
    the common set of values shared by its citizens that determine what is socially acceptable
  4. Tariff
    a tax levied on goods entering a country
  5. Quota
    limit on the amount of product entering a country
  6. Boycott
    exclusion of products from a country
  7. Embargo
    Wall that does not allow product to enter the country
  8. Trade Agreement
    An agreement to stimulate international trade
  9. Why "Go Global?"
    • - earn more profits
    • - leverage a unique product or technological advantage
    • - Possess exclusive market information
    • - Saturated domestic markets
    • - excess capacity
    • - Utilize "Economies of Scale"
  10. How to enter a global market
    • - export
    • - licensing
    • - contract manufacturing
    • - joint venture
    • - direct investment
  11. Consumer decision making process
    • 1. need recognition
    • 2. info search
    • 3. evaluate alternatives
    • 4. Purchase
    • 5. Postpurchase behavior
  12. Cognitive Dissonance
    Inner tension that a consumer experiences after recognizing an inconsistency between behavior and values or opinions
  13. Subculture
    A homogeneous group of people who share elements of the overall culture as well as unique elements of their own group
  14. Strategic Alliances
    a cooperative agreement between business firms
  15. Measuring Segmentation Success
    • Sustainability: Segment must be large enough to warrant a special marketing mix
    • Identifiability and Measurability: must be identifiable and their size measurable
    • Accessibility: Members of targeted segments must be reachable with marketing mix
    • Responsiveness: Unless segment responds to a marketing mix differently, no seperate treatment is needed
  16. Undifferentiated target strategy
    A marketing approach that views the market as one big market with no individual segments and thus requires a single marketing mix
  17. Differentiated Strategy
    used to select one segment of a market for targeting efforts
  18. Positioning
    developing a specific marketing mix to influence potential customers overall perception of a brand, product line, or organization in general.
  19. 80/20 Principle
    20 percent of all customers generate 80 percent of the demand
  20. Niche marketing
    the advantage acheived when a firm seeks to target and effectively serve a small segment of the market
  21. difference between a business and consumer product?
    - the intended use of the product
  22. disintermediation
    the elimination of intermediaries such as wholesalers or distributors from a marketing channel.
  23. Demand
    the quantity of a product that will be sold in the market at various prices for a specified period
  24. Elastic Demand
    A situation in which consumer demand is sensitive to changes in price.
  25. Inelastic demand
    A situation in which an increase or a decrease in price will not significantly affect demand for the product
  26. Joint Demand
    the demand for two or more items used together in a final product
  27. Reciprocity
    the practice of business purchasers choosing to buy from their own customers
Card Set
MKTG Test #2