Exam 1 Study Guide

Chapter 1: Creating Customer Relationships and Values Thru Marketing

What is the term when we have similar groups of prospective buyers that have common need and
will respond similarly to marketing actions?
Market segmentation

What are the controllable in marketing model? (also known as marketing mix/4P’s)
Price, place, promotion, product

What’s on the inside of the marketing model?

Target market/customer

Term for when we try to build trust and make friends out customer?
Relationship Marketing

What do we call it when a firm tries to find out what customers want and need then delivers it?
Marketing

What is the term for people with both the desire and the ability to buy a specific offering?
A market

Which uncontrollable usually has the most impact?

Competition

If an entrepreneur approaches an investor and offers 50% og their company for $1 Million, what
market value is the entrepreneur plaving on their business?
$2,000,000

What are the four things need for marketing?

- A desire and ability to be satisfied
- 2+ parties with unsatisfied needs
- Way for parties to communicate
- Something to exchange

4 forms of utility?
- Place
- Form
- Time
- Possession

Whats the unique combination of benefits received by targeted buyers that includes quality,
convenience, on-time delivery, and both before/after sale service at a specific price?
Customer Value
Whats the activity for creating, communicating, delivering, and exchanging offerings that
benefits its customers, the organization, stakeholder, and society at large?
Marketing

What do your hands represent in the marketing model?

Vision and Values

How do we use the marketing model to satisfy a target market?

Adjust the controllables

What consists of one or more specific groups of potential consumer toward which an
organization directs its marketing program?
Target market

What is the term we give to how consumers benefit?

Utility

If an entrepreneur approaches an investor and offers 10% of their company for $1 Million, what
market value is the entrepreneur placing on their business?
$10,000,000

What are the two types of buyers?

Ultimate and organizational

Name all 5 uncontrollable?

- Tech
- Social
- Economic
- Regulatory
- Competitive

Marketing Expertise is gained…

By even the average person, who has a great deal of shopping experience

Marketers provide value to the consumer and other stakeholder by doing all of these with their
offering…
Delivering, creating, exchanging, communicating

An exchange if it exchanged with something of value

The goal of marketing is to both ___ the needs of prospective customers.

Discover and satisfy

Uncontrollable forces in a marketing decision involving social, economic, technological,

competitive, and regulatory conditions are referred to as…
Environmental forces

The internal response that customers have to all aspects of an organization and its offerings
based on direct and indirect contacts is referred to as
Customer experience

Social responsibility refers to…

the belief that organizations are accountable to a larger society for their actions

Chapter 2: Developing Successful Organizational and Marketing Strategies

Where on the marketing model do we find most opportunities and threats?

Uncontrollable

Where on the marketing model do we find most strengths and weaknesses?

Controllable

The _____ phase of the strategic marketing process usually results in a(n) _____ that sets the
direction for the marketing activities of an organization.
Planning; marketing plan

Each display in a marketing dashboard shows a ________, which is a measure of the quantitative
value or trend of a marketing action or result
Marketing metric

Phases of Strategic Marketing?

- Planning
- Implementation
- Evaluation
Chapter 3: Understanding the Marketing Environment, Ethical Behavior, and Social
Responsibility

What are the 4 main forms of competition?

- Pure (many sellers)
- Monopoly (many with sub. Products)
- Oligopoly (few sellers)
- Monopolistic (only one)

When performing ________ of the marketplace, you might uncover key trends such as the
growing popularity of brand advocates, the increasing application of virtual reality and
augmented reality, and the surging scrutiny regarding the collection and use of consumer data.
Environmental scan

In an inflationary economy…
Both the costs to produce and buy products are increasing

______ is a grassroots movement started in the 1960s to increase the influence, power, and rights
of customers in dealing with institutions.
Consumerism

Chapter 4: Understanding Consumer Behavior

People to whom an individual looks as a basic for self-appraisal or as a source of personal

standards are referred to as…
Reference groups

What’s the personal, social, and economic significance of the purchase to the consumer?
Involvement

Whats the feeling of post purchase psychological tension or anxiety consumers may experience
when faced with two or more highly attractive alternatives?
Cognitive dissonance

Name approach a marketer should use to change consumer attitudes?

- Change beliefs about a brands attributes
- Change perceived importance of attributes
- Add new product attributes

Name the 5 steps in the consumer decision making process

- Problem recognition
- Information/consumer search
- Alternatives Evaluation
- Purchase decision
- Post purchase behavior
As a situational influence, antecedent states include…
The consumer’s mood

____ are a marketer’s product, service, or brand points of contact with a consumer from start to
finish in the purchase decision process.
Consumer touchpoints

Perception
- Selective perception – paying attention to things which match your attitude and beliefs
and ignore things that don’t match
- Selective exposure – reading an ad for something you bought
- Selective comprehension – interpreting information consistent with you attitudes and
beliefs
- Selective retention

Using the same brand name for different products is an application of which concept from
behavioral learning theory?
Stimulus generalization

The VALS system is a(n) ________ measure of consumers.

Psychographic

Chapter 5: Understanding Organizations as Customers

Name buy classes

- New rebuy
- Straight rebuy
- Modified

Organizational buyer fall into what 3 categories

- Industrial markets
- Resellers
- Governments

5 roles of Buying Center

- Users
- Influencer
- Buyers
- Deciders
- Gatekeepers

Advantage of NAICS
it groups economic activity to permit studies of market share, demand, and import competition.

Reverse auctions result in a downward pressure on bid prices