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BDSMM Flashcards

1
Q

Different types of costumer needs?

A

 Physical – Food, sleep, housing
 Social – Group affiliation
 Psychological – The individual and self-fulfillment

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2
Q

What is a macroenviornment?

A

The major external and uncontrollable factors that influence an organization’s decision making, and affect its performance and strategies.

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3
Q

What are the different aspects of a PESTLE analysis?

A

Political, Economic, Social and cutural, Technological, Legal, envoirnmental

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4
Q

What is a Microenvironment?

A

Factors or elements in an organization’s immediate area of operations that affect
its performance and decision-making freedom

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5
Q

What different analyses are done for a microanalysis?

A

 Market analysis – To understand market size, growth rates and trends
 Industry analysis – To evaluate and learn to understand the “rules” and
structure of the industry where you are active
 Competitor analysis – To evaluate and learn to understand competitors’
strengths, weaknesses and reaction patterns
 Customer

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6
Q

What is a market analysis?

A

 Size
o Current
o Potential
 Growth
 Profit potential – See industry analysis
 Cost structures in the industry – What is the distribution of costs for the
main cost drivers
 Distribution structures –” From the mine to the customer”
 Trends and development
 Key/Critical Success Factors (KSFs)

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7
Q

What does diffusion of innovation mean?

A

 Innovators – Ca 2,5% of those customers who will accept an innovation in
the end
 Early adopters – Ca 13,5%
 Early majority – Ca 34% * Late majority – Ca 13,5%
 Laggards – Ca 16%

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8
Q

What is Porters Five forces?

A

It is in Industry analysis.
- Threat of new endtrants
- Bargening power of suppliers
- Bargening power of customers
- Threat of substitute product, products, services.
- THE INDUSTRY, Degree of riverly

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9
Q

What are the five key questions of a competitor analysis?

A
  1. Who are our competitors?
  2. What are their strengths and weaknesses?
  3. What are their strategic objectives and thrust?
  4. What are their strategies?
  5. What are their response patterns?
    o result in changed key success factors
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10
Q

What is a competitor Audit?

A

 Identify key/critical success factors in the industry
 Rate competitors (and our own company) on each key success factor

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11
Q

What is in a SWOT? Explain as much as you can

A

 Strengths (Internal – Controllable) Strengths describe the positive attributes, tangible and intangible, internal to your organization. They are within your control.
 Weaknesses (Internal – Controllable) Weaknesses are aspects of your business that detract from the value you offer or place you at a competitive disadvantage. You need to enhance these areas in order to compete with your best competitor.
 Opportunities (External – Uncontrollable) Opportunities are external attractive factors that represent reasons your business is likely to prosper.
 Threats (External – Uncontrollable) Threats include external factors
beyond your control that could place your strategy, or the business itself,
at risk. You have no control over these, but you may benefit by having contingency plans to address them if they should occur.

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12
Q

WHat do we do to identify a customer need?

A
  • Market research
  • Surveys
  • Interviews
  • Focus groups
  • Observations
  • Business Intelligence
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13
Q

Who are the different parts of a market?

A
  • Seller – Offers/Supply
  • Buyers – Demand
  • Meeting
    Physical or virtual
  • Regulations/Norms
    How does it work?
    Laws
    Stand in line
  • Other stakeholders
    Greenpeace, Amnesty, neighbours
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14
Q

What does B2B and B2C mean?

A

B2B = Business to business
B2C = Business to customer

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15
Q

What is the five key questions for customer behaviour?

A
  • How do they buy?
  • Where do they buy?
  • Who is important?
  • What are their choice criteria?
  • When do they buy?
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16
Q

Who buys? Who is important?

A
  • Initiator – Begins by considering to solve a problem
  • Influencer – Persuader
  • Decider – Power and/or financial authority
  • Buyer – Effectuates the purchase
  • User – Consuming/using the product
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17
Q

How the customer buy?

A
  • Need recognition
  • Search for information
  • Evaluation of alternatives
  • Purchase Decision
  • Post- Purchase Evaluation
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18
Q

Give some examples of a customer’s choice criteria?

A

Technical, economic, personal, social,

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19
Q

Give some examples of where a customer buys?

A

Physical store, mall, internet…

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20
Q

Give some examples of when a customer buys?

A
  • When to buy depends on buying situation: we differ between extended problem-solving
    (extended search), limited problem-solving (usual sources) and habitual problem-solving
    (no/limited search)
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21
Q

Give examples of perceived cost?

A

Percived sacrifice/total cost associated with the purchase:
- Monetary costs
- Time costs
- Energy costs
- Psychological costs, risk

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22
Q

What are the key characteristics to B2B?

A
  • Few actors (suppliers and customers) usually leads to long term relationships and
    strong networks
  • Each market is unique – Detailed understanding is important
  • Complexity of buying is often high. Buying decisions are made primarily on
    economic and technical criteria.
  • E-commerce is common. Value-added networks and virtual marketplaces are
    beneficial (incl higher reachability, lower procurement costs, better connectivity to
    suppliers and buyers)
  • Risks and uncertainty affects the buying decision
  • Often very specific requirements apply
  • Derived demands
  • Prices are negotiated
  • In B2B, Organisations are buying – and selling. Not individuals.
  • Configuration of buying organisation (Decision making unit, DMU) might change depending
    on decision-making process.
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23
Q

Influences of buying decisions? The buy classes

A
  • New task – When the need has not occured previously
  • Straight rebuy – Buys previously purchased items from ”old” suppliers
  • Modified rebuy – Buys previously purchased items from ”new” suppliers
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24
Q

What is a marketing Information system?

A

A system in which marketing information is formally gathered,
stored, analyzed, and distributed to managers in accord with their informational
needs on a regular basis

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25
Q

give some examples of what can be in a market information system.

A
  • Internal continuous data
    Financial data
    Profitability (product, customer, distribution channel)
    Customer behaviour
    Internal ad-hoc data
  • Data for a specific/ad-hoc purpose
    Changes due to promotion activities
    Introduction of new products
  • Environmental scanning
    Data related to macroenvironment
    Monitor changes in macroenvironment
    Long-term perspective
  • Marketing research
    Data related to markets and market offers
    Shorter-term perspective
    External continuous data sources (via e-commerce/apps), or ad-hoc data
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25
Q

What does ad- hoc research mean?

A

Ad-hoc research (one-time studies)
* Custom-designed studies
* Omnibus studies – Part of bigger/multi-client studies

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26
Q

What are the differnet competitor response patterns?

A
  • Retaliatory
    Responds aggressively to competitive challenges
  • Slow reactions due to complacency
  • Hemmed-in
    Difficulties to respond due to strategies, laws etc
  • Selectively
    Aggressive in certain areas (e.g. price) but not in others (e.g. innovations)
  • Unpredictable
    No particular pattern
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27
Q

What is in a market analysis?

A
  • Size- Current, Potential
  • Market growth
  • Market profitability – See Industry Analysis (Porter’s Five Forces)
  • Cost structures in the industry – What does the distribution of costs look like for the main
    cost drivers?
  • Distribution systems – ”From the mine to the customer”
  • Trends and developments
  • Key Success Factors
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28
Q

What is in a company analysis?

A
  • Operating results
    Sales
    Market share
    Profit margins
    Costs
  • Strategic issues analysis
    Marketing objectives
    Market segmentation
    Competitive advantage
  • Core competences
    Positioning
    Portfolio analysis
    Performance measurement
  • Marketing mix effectiveness
    Product
    Price
    Promotion
    Distribution/Place
  • Marketing structures
    Marketing organisation
    Marketing training
    Intra-and interdepartmental communication
  • Marketing systems
    Marketing information systems
    Marketing planning system
    Marketing control system
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29
Q

What are the different strategic thrusts?

A
  • Market penetration/expansion – When you try to increase the market share, using existing
    products on existing markets
  • Market development - When you try to introduce existing products on new/related markets
  • Product development - When you try to introduce new/related products on existing markets
  • Diversification/Enter new markets - When you try to introduce new/related products on
    new/related markets
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30
Q

What are the competitive strategies?

A
  • Differentiation
  • Cost leadership
  • Differentiation focus
  • Cost focus
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31
Q

What are sources of competitor advantage?

A
  • Superior skills
    Distinctive capabilities that set key personnel apart from the personnel of competing companies
    ”We can perform functions more effectively than other companies”
  • Superior resources
    Distribution infrastructure
    R&D spendings
    Scale and type of production facilities
    Financial resoures
    Brand equity
    Knowledge
  • Core competences
    A company’s distinctive skills and resources
32
Q

What are the five competitor behaviours?

A
  • Conflict – Aggressive competition to drive competitors out of the market
  • Competition – Perform better than competitors
  • Co-existence – Unawareness / Separation in market segments / Acknowledge territories
  • Cooperation – Alliances
  • Collusion – Agreements to inhibit competition
33
Q

What characteristics a attack strategy?

A

Frontal attack – Take on the
defender head-on
* Flanking – Attacking unguarded
positions
* Encirclement - Attacking the
defender from all sides
* Bypass – By tech leap-frogging
* Guerilla – Unpredictable smaller
attacks

34
Q

What are some different defencive stratageies?

A

Position – Protecting ”our” position/territory
* Flanking – Defending undefended positions
* Mobile - Alternative markets/products
* Counter-offensive – Attack the attacker
* Preemptive – Be the first mover
* Strategic withdrawal – Exiting the market
(before it’s too late)

35
Q

Who are part of the stakeholder theory?

A

The company are connected to
- Shareholders
- Communities
- Employees
- Customers
- Suppliers

36
Q

Explain the pyramid of social responsability.

A

top: Philantropic
Second top: Ethical
Third top: Legal
Base: Economic

37
Q

Dimensions of Corporate social responsibility (CSR)?

A
  • Physical environment
    *Global warming/Pollution/Green components - Sustainable marketing
  • Social (community involvement)
    Societal marketing
    Cause-related marketing
  • Consumer
    Societal marketing
  • Supply chain
    Fair trade marketing
  • Employee relations
    Internal marketing
38
Q

What are the different parts of the Business Model Canvas?

A
  • Key partners
    Who are our Key Partners?
    Who are our key suppliers?
    Which Key Resources are we acquiring from partners?
    Which Key Activities do partners perform?
  • Key activities
    What Key Activities do our Value Propositions require?
    Our Distribution Channels? Customer Relationships?
    Revenue streams?
  • Key resources
    What Key Resources do our Value Propositions require?
    Our Distribution Channels?
    Customer Relationships?
    Revenue Streams?
  • Cost structure
    What are the most important costs inherent in our business model?
    Which Key Resources are most expensive? Which Key Activities are most expensive?
  • Value Propositions
    What value do we deliver to the customer?
    Which one of our customer’s problems are we helping to solve?
    What bundles of products and services are we offering to each Customer Segment?
    Which customer needs are we satisfying?
  • Customer relationship
    What type of relationship does each of our Customer Segments expect us to establish and maintain with them?
    Which ones have we established?
    How are they integrated with the rest of our business model?
    How costly are they?
  • Channels
    Through which Channels do our Customer Segments want to be reached?
    How are we reaching them now?
    How are our Channels integrated?
    Which ones work best?
    Which ones are most cost-efficient?
    How are we integrating them with customer routines?
  • Revenue streams
    For what value are our customers really willing to pay?
    For what do they currently pay?
    How are they currently paying?
    How would they prefer to pay?
    How much does each Revenue Stream contribute to overall revenues?
  • Customer segments
    For whom are we creating value?
    Who are our most important customers?
39
Q

Why segmentation?

A
  • Target markets
  • Tailor a marketing mix based upon similarities
  • Differentiate offerings between segments
  • Understand segments opportunities and threats
40
Q

What are the different parts of segmentation of consumer markets (B2C)

A
  • Behavioral
    Benefits sought
    Purchase occation
    Purchase behaivoiur
    Usage
    Perceptions and belifs
  • Psychographic
    Lifestyle
    Personality
  • Profile
    Demographic
    Socio-economic
    Geographic
41
Q

Explain segment

A

The characteristics within a segment should be the same, but differ from other segments

42
Q

What are the Requirements for effective
segmentations?

A
  • Substantiality – The market segment is sufficiently large or profitable, to justify a special
    marketing mix / market offer
  • Measurability – Size, purchasing power and profits of a market can be measured
  • Accessibility –The market segment can be reached and served
  • Actionability – Effective programs / offers can be designed for attracting and serving a segment
43
Q

What are the Target marketing strategies?

A
  • Undifferentiated marketing – One offer to serve everyone
  • Differentiated marketing – Different offers for different segments
  • Customized marketing – Different offers for different customers
44
Q

Explain positioning?

A
  • The objective is to create and maintain a distinctive position in the market for a company
    and its products
  • Positioning is the choice of:
  • Target market – Where we want to compete
  • Differential advantage – How we wish to compete
  • Positioning includes
  • Customers, and
  • Competitors
45
Q

What is a perceptual map?

A
  • Identify a set of competing brands
  • Identify important attributes that customers use when choosing between
    brands
  • Conduct quantitative marketing research where customers score each brand
    on key attributes
  • Plot perceptual maps
46
Q

What are the four C’s?

A
  • Clarity – Positioning idea must be clear in terms of target market and
    differential advantage
  • Consistency – Stay consistent in messages to the market
  • Credibility – The differential advantage chosen must be credible in the minds
    of the target customer
  • Competitiveness – The differential advantage should have a competitive
    edge. Provide something sought for, but not delivered yet.
47
Q

What are the 7 P’s?

A

Product
Price
Place
Promotion
People
Process
Physical evidence

48
Q

What are the different parts of product?

A
  • Core product
    The product itself
  • Actual product
    Features
    Quality
    Styling
    Package
  • Augmented product
    Installation
    Delivery
    Guarantee
    Brand
    Service
49
Q

Explain product mix and product line

A
  • Product line – A group of brands that are closely related in terms of functions, and the benefits they
    provide. Example: Apple’s iPhones consists of Iphone SE, iPhone 14 + additional brands
  • Depth – Number of product variants. Example: # variants of iPhones. The depth of a product line
    depends upon the pattern of customer requirements, competitors’ product lines, and company
    resources
  • Product mix – The total set of brands marketed in a company. Ex Apple’s Mac, iPads, iPhone, Watch,
    TV
  • Management of brands and product lines is strongly related to product strategy
50
Q

What are the different strategic objectives?

A
  • Build – Build sales and/or market share – Stars and certain Problem childen
  • Hold – Hold sales and market share – Cash cows
  • Harvest – When market shares and sales fall, profit margins maximised – Certain
    Problem children and Dogs
  • Divest – When products and sales drop – Some Problem children and Dogs
51
Q

Explain the ansoff matrix

A

Market penetration: Existing products, Existing markets, Low risk
Product development: New Products, Existing markets, Moderate risk
Market development: Existing products, New markets, Moderate risk
Diversification: New products, New markets, high risk

52
Q

What are the different price methods?

A
  • Cost-oriented (B2B) * What does it cost to produce and sell?
  • Full-cost or Direct-cost
  • Minimum price
  • Competitor-oriented (based on competitors) * Price set due to the influential competitors’ prices
  • Going-rate (Most similar to perfect competition) or Competitive bidding
  • Market-oriented (based on customers)
  • Price set based on:
    Marketing strategy – New prods, in line with positioning. Old prods, in line with strategy
    Customer value – Trade off Analysis / Experimentation / Econ Value to the Customer
    Price-quality relationships – Relation ship between price and quality
    Product line pricing – Price in line with other products in the company’s prod line
    Negotiating margins
    Political factors – In line with public interest
    Costs
    Effects on supply-chain – Profits in all parts of a chain
    Competition – Many levels of competition
    Explicability – Can the price setting be explained
  • Maximum of what the customer accept to pay
53
Q

What are the price strategies for product launch?

A

Rapid skimming: High promotion, High price
Slow skimming: Low promotion, High price
Rapid penetration: High Promotion, Low price
Slow penetration: Low promotion, Low price

54
Q

What are the different price strategies?

A
  • Psychological pricing – Emotion-based pricing. Not/less relevant for B2B.
  • Odd prices – 99,90 SEK
  • Habit-based pricing – The customer is used to a certain price. Tram ride.
  • Prestige pricing – The customer is led to believe that the product is better, if the price is higher. Hair dressers, brand products.
  • Bundling – Many products are bundled and given a common price. Charter travels.
  • Differentiated pricing – Different prices for the same product. Hotel rooms. Black
    Friday prices. Boxing Day discounts. High Street vs Outlet
  • Promotional pricing – Very low prices on selected products which makes
    consumers come to the stores for additional purchases
  • Professional pricing – Prices on services. Set percentage, standard price or
    time-based fees
  • Discounts within B2B – Volume discounts, price related to way of payment
    (up-front, invoice), discounts with deadlines
55
Q

Who are the possible actors in Distribution channels for consumer goods?

A

Producer
Agent
Wholesaler
Retailer
Consumer

56
Q

Who are the possible actors in Distribution channels for B-2-B?

A

Producer
Agent
Distributor
Business Costumer

57
Q

What are the different possible actors in Distribution channels for services?

A

Service provider
Agent
COnsumer

58
Q

Explain the pull or push system

A
  • Pull – Work with the “consumers” demand
    TV/YouTube/FB advertisement
  • Push – Work with the distributors wish to sell
    Sales competitions
    Help with inventory and (advertisement) material
59
Q

What are the Factors influencing channel selection?

A
  • Market factors
    Buyer behavior
    Geographical
  • Producer factors
    Resources
    -Product factors
    Large/small
  • Competitive factors
    Lock-in/Preferred suppliers
60
Q

Explain AIDA model

A

Attention
Interest
Desire
Action

61
Q

What are part of the promotional mix?

A
  • mass marketing:
    Advertising
    Public relations
    Sales promotion
  • Direct marketing:
    Direct marketing
    Personal selling
  • Exhibitions
  • Digital marketing:
    Digital promotions and social media communications
62
Q

What are four causes of poor perceived quality?

A
  • Misconception
    We don’t understand what the customer expects
  • Inadequate resources
    We don’t/can’t provide resources to meet customer expectations
  • Inadequate delivery
    We deliver poor or inconsistent service quality (poor selection, training, and/or rewarding of staff)
  • Exaggerated promises
    We promise (via advertising and selling) more than we can deliver
63
Q

What are the different parts of the pyramid model of service marketing?

A

Company
Technology
Employees
Customers

64
Q

Quick explanation of 7 P’s?

A
  • Product – Brand name, quality of physical product, and add-on services
  • Promotion – Tangible cues, testimonials, reference selling, word of mouth, communicate with own staff, don’t
    exaggerate
  • Price – Indicator of perceived quality, used to control demand, price sensitivity is a key segmentation variable
  • Place – More direct contact with customers than for goods, especially via Internet. Location is important.
  • People – Customer-first attitude. Reduce nuisance.
  • Process – External: Transparency regarding how interactions will be performed. Internal: Easy-to-follow to-dolists to secure service quality
  • Physical evidence – Tangible evidence to select (ambience, design, layout), and to remember (towels,
    chocolate, memorabilia)
65
Q

What are the parts of customer retention?

A

Bonding
Internal Marketing
Building trust
Servie recovery
Promise Fulfilment
Targeting customers for relation

66
Q

What are some Direct Marketing Communications
Techniques?

A
  • Direct mail
    Promotions, invitations, discounts, coupons, catalogues
    Mass marketing towards mass customization
  • Direct response advertising
    Often online - ”Buy this!” – ”Shop now!” – ”Read this!” – ”Sign up!”
  • Direct selling
    ”Knock on doors”
  • Email marketing
    For building and maintaining close customer relationships
    Promotional messages and offers
    Low-cost method
    Spam / Challenge to get customers to open
  • Coupons
    For acquiring customers and encourage trial of new products and services
    -Telemarketing
    Call customers – Inbound (customers calling the company) or outbound – Brand impression
  • Exhibitions and trade shows
    Important part in B2B trade
    Meet people to build relationships
    Across the entire industry – Suppliers, competitors, customers, other stakeholders
67
Q

What are the Stages in marketing research process?

A

Research planning
- Initial contact
* Contact with the one performing market research
- Research brief
* Requirements when having someone else performing market research on your behalf
- Research proposal
* Objective – What will be done – Timetable - Costs

68
Q

What are the parts of situation analysis?

A

Macro environment
Micro environment
The company

69
Q

What are the parts of a competitor audit?

A

Assess strengths and weaknesses
- Identify key/critical success factors in the industry
* 6-8 factors
* Functional (for example, financial strength) or generic (for example, innovativeness)
- Rate competitors (and our own company) on each key success factor
* Create competitor profiles (Figure 19.4, p. 644)
- Consider implications for competitive strategy * Build – Growth markets, exploitable weaknesses
* Hold – Firm is market leader in a mature or declining state
* Harvest – Market in decline, core customers exist, firm has future new products
* Divest – Low market share in declining markets
* Niche – Niche market opportunities, small budget available

70
Q

What are the parts of a market analysis?

A
  • Size
  • Current
  • Potential
  • Market growth
  • Market profitability – See Industry Analysis (Porter’s Five Forces)
  • Cost structures in the industry – What does the distribution of costs look like for the main
    cost drivers?
  • Distribution systems – ”From the mine to the customer”
  • Trends and developments
  • Key Success Factors
71
Q

What are the parts of a industry analysis?

A
  • Porter’s Five Forces – Used in order to understand the profit potential for an industry
  • Critical Success Factors – Identified to understand for a company to be successful within a
    certain industry
72
Q

What are the different competitive strategies?

A
  • Differentiation
  • Cost leadership
  • Differentiation focus
  • Cost focus
73
Q

How do you create a differential advantage?

A
  • Superior skills and resources are translated into a differential advantage only when the
    customer perceives the the firm is providing value above that of the competition.
  • Differential advantages are created when skills and resources are liked to the key attributes
    (choice criteria) that customers are looking for in a market offering
  • Differential advantages can be created with any aspect of the market offer (marketing mix).
74
Q

Segmentation in theory

A
  • Behavioral variables – Base for segmentation
  • Customer need or benefits sought
  • Purchase behaviour / buying patterns
  • Psychographic variables – Used when purchasing behaviour is correlated to personalities
    or lifestyle
  • When differences have been found, describe segment. This could be supported by profile
    variables
  • In practice, segmentation might not follow this sequence…
75
Q

What is the objective of positioning?

A

is to create and maintain a distinctive position in the market for a company
and its products

76
Q

What are the parts o the price triangle?

A

Customers
Competitors
Company

77
Q

What are the Functions of channel intermediaries?

A

Sell directly to the end customer / user, or use channel intermediaries?
* Reconciling the needs of producers and consumers
* Improving efficiency
* Improving accessibility
* Providing specialist services

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