Ch11/14/16 Flashcards
Utility:
Ability of a product to satisfy a want or need.
Consumer goods:
Physical products purchased by consumers for personal use.
Industrial goods:
Physical products produced by companies to produce other products.
Relationship marketing
Marketing strategy that focuses on building lasting relationships with customers and suppliers
Customer Relationship Management
Organized methods that a firm uses to build better information connections with clients so that stronger company-client relationships are developed.
Data warehousing
Collection storage and retrieval of days in electronic files.
Data mining:
The application of electronic technologies for searching, sifting, and reorganizing pools of data to uncover useful information.
Political legal environment:
The relationship between business and govt. usually in the form of government regulation of business.
Sociocultural environment:
The customs, mores, values, and demographic characteristics of the society an organization functions.
Technological environment
All the ways by which firms create value for their constituents
Economic environment:
Relevant conditions that exist in the economic system in which a company operates.
Competitive environment:
The competitive system In which a business operates.
Substitute product
Product that is dissimilar from those of competitors but fulfills the same need
Brand competition:
Competitive marketing that appeals to consumer perceptions of benefits of products offered by particular companies. (Apple)
International competition:
Competition marketing of domestic products against foreign products.
Marketing Mix:
Combo of product, pricing, promotion, and place (distribution) strategies used to market products. [4P’s]
Product:
Good, service, or idea that is marketed to fill consumer’s needs and wants.
Product differentiation:
Creation of a product feature or product image that differs enough from existing products to attract consumers.
Pricing:
Process of determining the best price at which to sell a product
Place (distribution):
Part of marketing mix concerned with getting products from producers to consumers.
Promotion:
Aspect of the marketing mix concerned with the most effective techniques for communicating information about products.
Advertising:
Any form of paid non-personal communication used by an identified sponsor to persuade or inform potential buyers about a product.
Personal selling.
Person-to-person sales (p2p)
Sales promotion:
Direct inducements such as premiums, coupons, package inserts, etc. to tempt consumers to buy products.
Public Relations (PR):
Communication efforts directed at building goodwill and favorable attitudes in the minds of the public toward the organization and its products.
Integrated marketing strategy:
Strategy that blends together the four P’s of marketing to ensure their compatibility with one another and the company’s non-marketing activities as well.
Market segmentation:
Process of dividing a market into categories of customers types or “segments” having similar wants and needs and who can be expected to show interest in the same products.
Product positioning
Process of fixing, adapting, and communicating the nature of a product.
Geographic variables:
Geographic units that may be considered in developing a segmentation strategy.
Geographic segmentation:
Segmentation based upon location (could be country, state, or neighborhood)
Demographic segmentation:
A segmentation strategy that used demographic characteristics to identify market.
Demographic variables:
Characteristic of populations that may be considered in developing a segmentation strategy.
Geo-demographic segmentation:
Using a combo of geographic and demographic traits for identifying markets.
Psychographic Segmentation:
A strategy that uses psychographic characteristics to identify different market segments. (Lifestyles, interests, personalities, attitudes)
Behavioral segmentation:
A segmentation strategy that uses behavioral variables (behavioral patterns by consumers) to identify different market segments.
Evoked set (consideration set)
Group of products consumers will consider buying as a result of information search.
Rational motives:
Reasons for purchasing a product that are based on a logical evaluation of product attributes.
Emotional motives.
Reasons for purchasing a product that are based on nonobjective factors (feelings)
Information technology (IT):
Various appliances and devices for creating, storing, exchanging, and using information in diverse modes, including visual images, voice, multimedia, and business data.
Mass customization:
Principle which companies produce in large volumes, but each item features the unique options the customer prefers.
VSAT Satellite Communications
Network of geographically dispersed transmitter-receivers (transceivers) that send signals to and from a satellite, exchanging voice, video, and data transmutations.
Computer network.
Group of two or more computers linked together by cabling or wireless technology to share data.
Client-server network:
Clients make request for information from servers.
Wireless Wide Area Network (WWLAN)
Network that uses airborne electronic signals instead of wires to link computers and electronic devices over long distances
Wireless LAN
Local area network with wireless access points for PC users.
“Super wi-fi” network.
Powerful
Network with extensive reach and strong signals that flow freely through physical objects like walls.
Information system (IS):
System that uses IT resources to convert data into information and to collect, process and transmit that information for use in decision making
Data:
Raw facts and figures that by themselves may not have much meaning
Information
Meaningful useful interpretation of data
Data warehousing
Collection storage and retrieval of data in electronic files.
Knowledge information system:
Information system that supports knowledge workers by providing resources to create, store, use and transmit new knowledge for useful applications
computer aided design (CAD):
Information System with software that helps knowledge workers design products by simulating them and displaying them in three dimensional graphics.
Computer -aided manufacturing (CAM):
IS that uses computers to design and control equipment in a manufacturing process.
Management information system:
Computer system that supports managers by providing information (reports, scheduled, plans) that can be used for making decisions
Decision support systems:
Interactive system that creates virtual business models for a particular kind of decision and tests them with different data to see how they respond.
Intellectual property:
Something produced by the intellect or mind that has commercial value.
Spyware:
Program unknowingly downloaded by users that monitors their computer activities.
Firewall:
Security system with special software or hardware devices designed to keep computers safe from hackers.
Anti-virus software:,
Product that protects systems by searching incoming emails and data files for signal structures of known viruses and virus-like characteristics.
Encryption system:
Software that assigns an email message to a unique code number (digital fingerprint) for each computer so only that computer can open and read the message.
Money:,
Object that is portable, divisible, durable, and stable and that serves as a medium of exchange, a store value, and a measure of worth.
M-1:
Measure of money supply that includes only the most liquid (spendable) forms of money
Check:
Demand deposit order instructing a bank to pay a given sum to a specified payee.
M-2:
Measure of the money supply that includes all the components of M-1 plus the forms of money that can be easily converted into spendable forms.
Time deposit:
Bank funds that have a fixed term of time to
Maturity and cannot be withdrawn earlier or transferred by check
Money market mutual funds:
Fund of a short-term, low-risk, financial security purchased with the pooled assets of investor owners.
Commercial bank:
Company that accepts deposits that it uses to
Make loans, earn profits, pay interest to depositions, and pay dividends to owners.
Prime rate:
Interest rate available to a banks most creditworthy customers.
Savings and Loan Association (S&L):
Financial institution accepting deposits and making loans primarily for home mortgages.
Mutual savings bank:
Financial institution whose depositors are owners shAring in its profits.
Credit Union:,
Non-profit, cooperative financial institution owned and run by its members, usually employees of s particular organization
Finance company:
No deposit institution that specializes in making loans to businesses and consumers
Securities investment dealer (Broker):
financial institution that buys and sells stocks and bonds both for investors and for its own accounts.
Individual retirement account (IRA):
Tax-deferred pension fund that wage earners set up to supplement retirement funds.
Trust services:
Management by a bank of an estate, investments, or other assets on behalf of an individual.
Letter of credit:
Bank promise , issued for a buyer, to pay a designated firm a certain amount of money if specified conditions are met.
Bankers acceptance:
Bank promise issued for a buyer to pay a designated firm a specified amount at a future date.
Automated teller machine (ATM):
Electronic machine for account related activities
Federal Deposit Insurance Corporation(FDIC):
Federal agency that guarantees the safety of deposits up to $250,000 in the financial institutions that it insures.
Federal reserve system (The Fed):
Central bank of the United States, which acts as the governments bank, serves member commercial banks, and controls the nations money supply.
Monetary policy:
Management of the nations economic growth by managing the money supply and interest rates.
Reserve requirements:
Percentage of its deposit is that a bank must hold in cash or on deposit with the Fed.
Discount rate:
Interest rate at which member bank can borrow from the Fed.
Federa Funds Rate (Key Rate):
Interest rate at which commercial banks lend reserves to each other, usually overnight.
Open market operations:
The Fed’s sale and purchase of securities in the open market.
Point-of-sale (POS) terminals:
Electronic device that transfers funds from the customers bank account to pay for retail purchases.
Smart card:
Credit-card-sized plastic card with an embedded computer chip that can be programmed with electronic money.
Exchange rate:
Value of one currency compared to the value of another.
World Bank:
UN agency that provides a limited scope of financial services, such as funding improvements in underdeveloped countries.
International Monetary Fund (IMF):
UN agency consisting of ~150 nations that have combined resources to promote stable exchange rates, provide temporary short-term loans, and serve other purposes.
Marketing:
A set of institutions and processes for creating communicating delivering and exchanging offerings that have value for customers, clients, and society.
