1.6 Achrol &Kotler (2012), Frontiers of the marketing paradigm in the third millennium,

Question 1

aim of the article

Answer 1

to prove we have to look at networks instead of individual exchanges/two entities interacting

Question 2

From paradigm, paradigm, paradigm -> paradigm

Answer 2

functionalist
marketing management
exchange
network

Question 3

From functionalist paradigm, marketing management paradigm, exchange paradigm -> network paradigm
Because changes in:

Answer 3

• Sub-phenomena: consumption experiences
• Phenomena: marketing networks
• Super-phenomena: sustainability/society

Question 4

Subphenomena (consumption experiences)
Transfer from

Answer 4

Transfer from satisfaction to consumer experiences. It is not about specific products anymore. It is about full experiences that are created by our offerings.

Question 5

Subphenomena change in consumer behavior

Answer 5

from cognitive processes to stimulating the senses. You actually stimulate the senses. (Abercrombie experience)

Question 6

Subphenomena change in technology

Answer 6

influencing senses, measurement physiology (neurophysiology) and nanotechnology influencing experience (VR).

Question 7

Subphenomena change in- Marketing and the human senses

Answer 7

– Connection between behaviour and mind and body

Question 8

aim of change in subphenomena

Answer 8

To enhance the consumption experience. But with the revolution of NBIC ((Nanotechology, Biotech, Infotech, and Cognotech) it is also important to protect the consumer from insidious(bedrieglijke) marketing.

Question 9

Phenomena (marketing networks)
Transfer from

Answer 9

dyadic exchange to marketing networks

Question 10

3 big changes in phenomena

Answer 10

• The evolution of production and innovation network
• Distributed production-consumption networks
• Consumption networks

Question 11

Phenomena - The evolution of production and innovation network (2)

Answer 11

• outsourcing (uitbesteding)
• micro-production systems → disintermediation (taking out intermediaries between you and your consumers): You should make the customer part of the production process.

Question 12

Phenomena - Distributed production-consumption networks (2)

Answer 12

o nanotechnology → local / personal production
o Co-production (customers create energy and distribute it) and co-creation

Question 13

phenomena: consuption networks(2)

Answer 13

o Vertical (conventional): consumer communities organized by marketing firms
o Horizontal (new): vast channels (information flows, word-of-mouth, technical advice) Blogs, chats and social networks

Question 14

Superphenomena (sustainable development)(2)

Answer 14

Now societal consequences have to be taken into account like sustainability and poverty

Question 15

Superphenomena - The sustainable marketing concept

Answer 15

Sustainable marketing is founded on the key premise that society and marketing are ready for a fundamental transition from an anthropocentric (human centred) paradigm to a biocentric (nature centred) one.

Question 16

• The need for sustainable marketing is characterized by two types of carrying capacity

Answer 16

o Market capacity: Whether the present consumption level in a society is too high to permit the next generation to achieve the same consumption level
o Resource capacity: Populations grow faster than their stabilizing forces

Question 17

• Firms are implying the sustainable marketing concept philosophy when they proactively (3)

Answer 17

o Communicate the harmful side-effects of wasteful consumption
o Grow the segments of environmentally conscious consumers, by developing superior products at standard market prices
o Demarked/Counter-market (to market a product or service less, or make it seem less worth buying) certain products, technologies, and marginal consumers segments (e.g. consumers who cannot afford expensive homes)

Question 18

• Base of the pyramid marketing: considering the underside. A different marketing model for tackling poverty, based on two core ideas:

Answer 18

o The needs-means hierarchy. More value-added must be located near value consumption. Automated small scale production distributed as close to the consuming populations as possible is the solution. Only then can the needs-means hierarchy become self-generating and self-sustaining.
o The distributed production-consumption model. Sustainable production- consumption networks are those that directly engage the predominant indigenous sources of livelihood in a community.

Question 19

Prominent features in the paradigm shift
- Consumers experience: and how to cope with it

Answer 19

products and services via their senses. The growing impact of digitization and virtual media considerably expand the scope and impact of sensory satisfactions
o To cope, marketing will need to develop a vastly expanded base of theoretical and methodological tools

Question 20

Prominent features in the paradigm shift - The way consumer products and services are created, delivered and consumed is also in radical shift. (4)

Answer 20

o vertical integration is gone
o The phenomena of marketing are being distributed between consumption networks, marketing networks, innovation networks and production networks.
o The day is not far when micro production systems that produce to demand and are located close to or in the place of consumption can be developed.
o Network organization is evolving to a distributed production-consumption model.

Question 21

Prominent features in the paradigm shift - marketing superphenomenon. (long answrs)

Answer 21

o Globalization continues on its pace.
 A more prosperous world magnifies the side effects of consumption societies on the ecology and resources of the world.
 At the same time large sections of the world population languish on the sidelines.
* economic theory based models for poverty have had not much impacts. It is an opportune time for marketing to step forward with its model for a sustainable consumer society and base of the pyramid marketing