chapter 1

Question 1

define marketing

Answer 1

set of strategies and activities used to engage customers, build customer relationships and create superior customer value to capture value from customers in return.

Question 2

explain the marketing strategy

Answer 2

segmentation and targeting–> positioning–> value positioning–> create value

Question 3

Describe the steps in the marketing process

Answer 3

1. understand marketplace
2. design marketing strategy
3. construct marketing mix
4. engage customers, build customer relationships.
5. capture value from customers to create profit.

Question 4

what are needs

Answer 4

basic physical needs, can also be social needs and affection.

Question 5

what are wants

Answer 5

• form as human needs as they are shaped by culture or individual personality.

Question 6

what are demands

Answer 6

• human wants shaped by buying power.

Question 7

marketing offerings

Answer 7

product/services or information offered in the market to satisfy a need or want

Question 8

marketing myopia

Answer 8

focus only on product and not on need

Question 9

market definition

Answer 9

set of actual and potential buyers of a product/service

Question 10

Describe the marketing system

Answer 10

1. company +competitors research market
2. marketing offering with consumers either directly or indirectly by marketing intermediaries
3. each party in system is affected my environmental factors.

Question 11

define marketing management

Answer 11

choosing target markets and building profitable relationships with them

Question 12

define value positioning

Answer 12

set of benefits/values promised to give to customers to satisfy their needs

Question 13

describe societal marketing

Answer 13

marketing decisions should consider consumers wants, company´s requirements, consumers and society´s long-run interests.

Question 14

describe the product concept

Answer 14

• consumers favor products with quality, performance and innovative features.

Question 15

marketing mix (4P´s)

Answer 15

1. product
2. price
3. promotion
4. place

Question 16

selling vs marketing concept

Answer 16

• selling–> inside-out view. (sell what company makes rather than what customer wants)
• marketing concept: outside-in view that focuses on satisfying customer needs.

Question 17

define integrated marketing program

Answer 17

comprehensive plan communicating and delivering intended value.

Question 18

define customer relationship management

Answer 18

process of building and maintaining profitable customer relationships by having customer value and satisfaction.

Question 19

Customer-perceived value and customer satisfaction

Answer 19

1. Customer-perceived value–> diffference between total customer perceived benefits and costs
2. Customer satisfaction: extent in which performance matches buyers expectations

Question 20

Type of customer relationships/capturing customer value

Answer 20

1. customer-engagement marketing–> direct customer involvement to shape brand conversation, experiences
2. consumer-generated marketing: making customers shape their own brand experiences
3. relationship management working with partners in other company departments and outside company to create greater value.
   4.

Question 21

define customer lifetime value

Answer 21

• value of entire stream of purchases that customer makes in a lifetime.

Question 22

define customer equity

Answer 22

• total customer lifetime value of all current and potential customers.

Question 23

5 trends/forces that are changing the market in this age

Answer 23

1. digital age (digital marketing, social media, AI)
2. changing economy
3. growth of not-for-profit marketing (helps them find funds, support)
4. rapid globalization
5. sustainable marketing (increases social responsability, ethics)

Question 24

marketing process summary

Answer 24

1. understanding marketplace (reseraching customer needs)
2. select target market (segmentation and targeting)
3. positioning–> how can target customer be best served
4. marketing mix (product, price, place, promotion)
5. engage+build profitable relationships by capturing value from customers.