BADM320 Exam 1 Study Guide

  1. Marketing
    An organizational function and set of processes for creating, capturing, communicating, and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders.
  2. Marketing Mix
    • (4 Ps)
    • Product, Price, Place, Promotion
  3. Product Decisions
    What to create? Goods, Services, Ideas
  4. Price Decisions
    How much are we requiring for our product? Money, Time, Energry
  5. Place Decisions
    How are we going to organize suppliers, manufacturers, warehouses, stores, and other firms to distribute the right quantities to the right places?
  6. Promotion Decisions
    How they will that inform, persuade, and remind potential buyers about a product or service to influence their opinions or elicit a response
  7. History of marketing
    • Production Oriented
    • Sales Oriented Era
    • Market Oriented Era
    • Value Based Marketing Era
  8. Production Oriented Era
    Focus on creation, not satisfaction
  9. Sales Oriented Era
    Need to persuade people to buy the products they are producing
  10. Market Oriented Era
    Focused on what consumers wanted before they designed, made, and sold
  11. Value Based Marketing Era
    Focused on more than what the customers needed and wanted. Needed to provide greater value than their competitors to succeed
  12. Transaction Orientation
    The mindset that seller-buyer interaction is a series of individual interactions and anything that happened before or after are of little importance.
  13. Relationship Orientation
    The ideology that the buyers and sellers should develop a long-term relationship and that lifetime profitability trumps individual transaction profit.
  14. CRM
    Customer Relationship Management: a business philosophy and set of strategies, programs, and systems that focus on identifying and building loyalty among the valued customers
  15. Non-traditional marketing
  16. Exchange
    The trade of things of value between the buyer and the seller so that each is better off as a result.
  17. Utility
    • How the product or service will be used and the degree to which it is useful
    • Form utility
    • Time utility
  18. Value proposition
    How the company states that they will create value and what they tell the buyers the reason they should buy their product is. Not always quality, sometimes convenience or service.
  19. Market
    • Indivuduals groups or organizations with
    • Must possess all three:
    • Need or want
    • Ability to purchase
    • Willingness to purchase
  20. Market segmentation
    • Dividing the market into groups with distinct attributes
    • Must have similar needs
  21. Target market
    • Has to be identifiable
    • Have a definable need
    • It is not just anyone who will buy the product
  22. Marketing strategy
    A plan for how a firm plans to carry out their marketing needs to meet the needs of the consumer and themselves
  23. Demographics
    Information about a group of people that can be used to segment the group
  24. Planning Process: (strategic, tactical, marketing)
    • Define the mission/vision
    • Perform Situational Analysis
    • Identify and Evaluate opportunities
    • Implement a marketing mix and resources
    • Evaluate Performance
  25. Strategy meaning
    A plan to achieve a certain desired outcome
  26. Alternative strategies
    Back up plans in case your current one doesn’t pan out like expected
  27. Mission statement
    A broad description of a firm’s objectives and the scope of activities it plans to undertake
  28. Sustainable Competitive advantage
    Something the firm can consistently do better than its competitors
  29. SBUs
    • Strategic business unit or product line
    • Somewhat self sufficient
  30. BCG matrix
    • Boston Consulting Group Matrix
    • Stars Question Marks
    • Cash Cows Dogs
  31. Growth strategies
    • Growing the company into other markets
    • Market Penetration: Current Market/Current Product
    • Product Development: Current Market/New Product
    • Market Development: New Market/Current Product
    • Diversification: New Market/New Product
  32. SWOT analysis
    Strengths Weaknesses, Opportunities, and Threats Analysts
  33. STP
    • Segmentation: Defining the market segments
    • Targeting: Choosing the most attractive Segment
    • Positioning: Choosing the right marketing mix so customers understand what they have and why to buy from them
  34. Pricing Models
    • Cost Based Pricing
    • Competitor Based Pricing
    • Value Based Pricing
  35. Environmental forces
    micro and macro
  36. Microeconomic forces
    • suppliers
    • competitors
    • intermediaries
    • publics
    • customers
  37. Macroeconomic forces
    • demographics
    • technology
    • political/legal
    • cultural
    • natural forces
    • economic forces
  38. Influences of the Internet
    • Product substitutes
    • Decreases bargaining power of suppliers
    • increases power of buyers
    • reduces barriers to entry
  39. Social responsibility
    The need to do what is right for the community and help our where possible.
  40. Ethics
    • A code that governs behavior in a manner that is right
    • honesty
    • integrity
    • respect
    • trust
    • responsibility
    • citizenship
  41. Ethical behavior
    What ought one do?
  42. Pyramid of corporate social responsibility
    Image Upload 1
  43. Chapter 4- Marketing Environment
    • Macro-environmental forces
    • Micro-environmental forces
    • Intermediaries
  44. Chapter 5-Consumer Behavior
    • Consumer decision making process
    • Cultures and subcultures
    • Involvement
    • Psychological effects on consumer behavior (memory, learning, primacy, recency, perception, subliminal perception, and Elaboration Likelihood Model, are examples of this)
    • Beliefs and attitudes
    • VALS2
    • Roles of consumers
    • Compensatory and non-compensatory evaluation models
    • Reference groups
  45. Chapter 6-International
    • International marketing
    • Dumping
    • International trade organizations
    • International marketing strategies
    • Foreign exchange (restrictions, rates, conversions)
    • Globalization
    • Foreign direct investment
  46. Chapter 18 – B2B Markets
    • Differences between consumer and organizational purchasing
    • Types of demand
    • The Organizational Buying Process
    • Buying situations
    • Share of wallet
    • Customer lifetime value
    • Supply chain management
    • JIT inventory
    • Roles of buying centers
    • Types of organizations
    • Buying centers
Card Set
BADM320 Exam 1 Study Guide
Test 1 prep