CH 1 -- Art & Science of Satisfying Customers

Question 1

Utility

Answer 1

Want-satisfying power of a good or service

Question 2

4 Types of Utility

Answer 2

Form, Time, Place, Ownership

Question 3

Form Utility

Answer 3

Created when company converts raw materials into finished goods and services

Question 4

Time & Place Utility

Answer 4

Occurs when consumers find goods and services when and where they want them

Question 5

Ownership Utility

Answer 5

Created by transfer of title to goods at the time of purchase

Question 6

Marketing

Answer 6

An organizational function and set of processes for creating, communicating, and delivering value to customers and for managing customer relationships in way that benefit organization and stakeholders

Question 7

Exchange Process

Answer 7

Activity in which two or more parties give something of value to each other to satisfy perceived needs

5 Eras in history of marketing

Question 8

Production Era

Answer 8

1st Era

Business philosophy stressing efficiency in producing a quality product

Attitude: A great product will sell itself

Question 9

Sales Era

Answer 9

2nd Era

Consumers will resist purchasing goods and services that are nonessential

Attitude: creative advertising and personal selling can overcome consumers resistance and persuade them to buy

Question 10

Marketing Concept

Answer 10

Companywide consumer orientation with the objective of achieving long-term success

** Crucial change in concept came from shift from a seller’s market to a buyer’s market**

Question 11

Sellers Market

Answer 11

more buyers for fewer goods and services

Question 12

Buyers Market

Answer 12

More goods and services for less willing to buy.

More competition- need for consumer orientation

Question 13

Consumer orientation

Answer 13

Business philosophy incorporating marketing concept that emphasizes first determining unmet consumer needs and then designing a system for satisfying them

Question 14

Relationship Era

Answer 14

4th Era

Attitude: long- term relationships with customers and other partners will lead to success

Question 15

Social Era

Answer 15

5th Era

Social media the most popular outlet for customer contact.

Question 16

Marketing Myopia

Answer 16

Management’s failure to recognize the scope of its business

Question 17

Non-Traditional Marketing

Answer 17

5 Types:
Person Marketing
Place Marketing
Cause Marketing
Event Marking
Organization Marketing

Question 18

Person Marketing

Answer 18

Marketing Efforts designed to cultivate attention, interest, and preferences of a target market toward a person

Ex: Celebrity Endorsement

Question 19

Place Marketing

Answer 19

Marketing Efforts to attract people and organizations to a particular geographic area

Ex: City & States tourism ads

Question 20

Cause Marketing

Answer 20

Identification and marketing of a social issue, cause or idea to a selected target markets

Question 21

Event Marketing

Answer 21

Marketing of a sporting, cultural, and charitable activities to a selected market

Question 22

Organization Marketing

Answer 22

Marketing by mutual benefit organizations, service organizations or government organizations intended to persuade other to accept their goals or receive their services

Question 23

Transaction Based Marketin

Answer 23

Buyers and seller exchanges characterized by limited communication and little or no ongoing relationship between parties.

Shifting from this to relationship/social marketing

Question 24

Interactive Marketing

Answer 24

Buyer-seller communications in which the customer controls the amount and type of communication received through marketers channels

Question 25

Social Marketing

Answer 25

Use of social media for marketing messages

Question 26

Strategic Alliances

Answer 26

Partnerships in which companies combine resources and capital to create competitive advantages in a new market

Question 27

Wholesalers

Answer 27

Intermediaries that operate between producers and resellers

Question 28

Exchange Functions

Answer 28

Buying and Selling

Question 29

Social Responsibility

Answer 29

Marketing philosophies, policies, procedures and actions that have the enhancement of society’s welfare as a primary objective

Question 30

Marketing Ethics

Answer 30

Moral standards of behavior expected by society

Question 31

Sustainable Products

Answer 31

Products that can be produced, used and disposed of with minimal impacts on the environment