GBUS5 CH11

Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large.

Relationship marketing is the establishing long-term, mutually satisfying buyer-seller relationships.

CRM is the use of customers' information to create marketing strategies that develop and sustain desirable customer relationships.

Customer lifetime value is a measure of a customer's worth (sales minus costs) to a business over one's lifetime.

Utility is the ability of a good or service to satisfy a human need.

Form utility is converting production inputs into finished products.

The three types of utility created by marketing are: place, time, and possession utility.

Place utility is created by making a product available at a location where customers wish to purchase it.

Time utility is created by making a product available when customers wish to purchase it.

Possession utility is created by transferring title (or ownership) of a product to a buyer.

Marketing concept is a business philosophy that a firm should provide goods and services that satisfy customers' needs through a coordinated set of activities that allow the firm to achieve its objectives.

A market is a group of individuals or organization, or both, that meed products in a given category and that have the ability, willingness, and authority to purchase such products.

A marketing strategy is a plan that will enable an organization to make the best use of its resources and advantages to meet its objectives.

• 1. The selection and analysis of a target market.
• 2. The creation and maintenance of an appropriate marketing mix, a combination of product, price, distribution, and promotion developed to satisfy a particular target market.

A marketing mix is a combination of product, price, distribution, and promotion developed to satisfy a particular target market.

A target market is a group of individuals or organizations, or both, for which a firm develops and maintains a marketing mix suitable for the specific needs and preferences of that group.

Undifferentiated approach is directing a single marketing mix at the entire market for a particular product.

A market segment is a group of individuals or organizations within a market that share one or more common characteristics.

Market segmentation is the process of dividing a market into segments and directing a marketing mix at a particular segment or segments rather than a the total market.

A marketing plan is a written document that specifies an organization's resources, objectives, marketing strategy, and implementation and control efforts to be used in marketing a specific product or product group.

Sales forecast is an estimated of the amount of a product that an organization expects to sell during a certain period of time based on a specified level of marketing effort.

Marketing information system is a system for managing marketing information that is gathered continually from internal and external sources.

Marketing research is the process of systematically gathering, recording, and analyzing data concerning a particular marketing problem.

Buying behavior is the decisions and actions o people involved in buying and using products.

Consumer buying behavior is the purchasing of products for personal or household use, not for business purposes.

Business buying behavior is the purchasing of products by producers, resellers, governmental units, and institutions.

Personal income is the income individual receives form all sources less the Social Security taxes the individual must pay.

Disposable income is personal income less all additional personal taxes.

Discretionary income is disposable income less savings and expenditures on food, clothing, and housing.