Chapter 1

Question 1

consumer

Answer 1

ultimate user of a good or service

Question 2

marketing

Answer 2

the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large

Question 3

marketing mix

Answer 3

combination of the product itself, the price of the product, the promotional activities that introduce it, and the place where it is made available, that together create a desired response among a set of predefined consumers

Question 4

Four P’s

Answer 4

produce
price
promotion
place

Question 5

product

Answer 5

tangible good, service, idea, or some combo of these that satisfies consumer or business customer needs through the exchange process; a bundle of attributes including features, functions, benefits, and uses

Question 6

promotion

Answer 6

coordination of a marketer’s communication efforts to influence attitudes or behavior

Question 7

place

Answer 7

availability of the product to the customer at the desired time and location

Question 8

channel of distribution

Answer 8

series of firms or individuals that facilitates the movement of a product from the producer to the final customer

Question 9

price

Answer 9

assignment of value, or the amount the consumer must exchange to receive the offering

Question 10

exchange

Answer 10

process by which some transfer of value occurs between a buyer and a seller

Question 11

consumer goods

Answer 11

goods individual consumers purchase for personal or family use

Question 12

services

Answer 12

intangible products that are exchanged directly between the producer and the customer

Question 13

B2B marketing

Answer 13

marketing of goods and services from one organization to another

Question 14

industrial goods

Answer 14

goods that individuals or organizations buy for further processing or for their own use when they do business

Question 15

e-commerce

Answer 15

buying or selling of goods and services electronically, usually over the internet

Question 16

NGOs

Answer 16

organizations with charitable, educational, community, and other public service goals that buy goods and services to support their functions and to attract and serve their members

Question 17

marketing concept

Answer 17

management orientation that focuses on identifying and satisfying consumer needs to ensure the organization’s long-term profitability

Question 18

need

Answer 18

recognition of any difference between a consumer’s actual state and some ideal or desired state

Question 19

want

Answer 19

desire to satisfy needs in specific ways that are culturally and socially influenced

Question 20

benefit

Answer 20

outcome sought by a customer that motivates buying behavior that satisfies a need or want

Question 21

demand

Answer 21

customers’ desires for products coupled with the resources needed to obtain them

Question 22

market

Answer 22

all the customers and potential customers who share a common need that can be satisfied by a specific product, who have the resources to exchange for it, who are willing to make the exchange, and who have the authority to make the exchange

Question 23

marketplace

Answer 23

any location or medium used to conduct an exchange

Question 24

rentrepreneurs

Answer 24

enterprising consumers who make money by renting out their possessions when they aren’t using them

Question 25

collaborative consumption

Answer 25

term used to refer to the activities practiced by rentrepreneurs

Question 26

utility

Answer 26

usefulness or benefit that consumers receive from a product

Question 27

stakeholders

Answer 27

buyers, sellers, or investors in a company; community residents; and even citizens of the nations where goods and services are made or sold; any person or organization that has a “stake” in the outcome

Question 28

production orientation

Answer 28

management philosophy that emphasizes the most efficient ways to produce and distribute products

Question 29

selling orientation

Answer 29

managerial view of marketing as a sales function, or a way to move products out of warehouses to reduce inventory

Question 30

customer orientation

Answer 30

business approach that prioritizes the satisfaction of customers’ needs and wants

Question 31

total quality management (TQM)

Answer 31

management philosophy that focuses on satisfying customers through empowering employees to be an active part of continuous quality improvement

Question 32

mobile marketing

Answer 32

interacting with consumers via mobile devices

Question 33

User (consumer)-generated content

Answer 33

marketing content and activities created by consumers and users of a brand such as advertisements, online reviews, blogs, social media, input to new product development or serving as wholesalers or retailers

Question 34

branded content

Answer 34

marketing communication developed by a brand to provide educational or entertainment value rather than to sell the brand in order to develop a relationship with consumers; may indicate the brand is the sponsor

Question 35

corporate citizenship (corporate social responsibility)

Answer 35

refers to a firm’s responsibility to the community in which they operate and to society in general

Question 36

screen addicts

Answer 36

consumers who spend so much time on smartphones, tablets, and computers that it interferes with more normal activities and productivity

Question 37

growth hackers

Answer 37

experts who work on apps and sites to better hook consumers and keep them coming back and staying longer

Question 38

value proposition

Answer 38

marketplace offering that fairly and accurately sums up the value that will be realized if the good or service is purchased

Question 39

brandfests

Answer 39

events that companies host to thank customers for their loyalty

Question 40

lifetime value of a customer

Answer 40

potential profit a single customer’s purchase of a firm’s products generates over the customer’s lifetime

Question 41

competitive advantage

Answer 41

firm’s edge over its competitors that allows it to have higher sales, higher profits, more customers and enjoy greater success year after year

Question 42

distinctive competency

Answer 42

superior capability of a firm in comparison to its direct competitors

Question 43

differential benefit

Answer 43

properties of products that set them apart from competitors’ products by providing unique customer benefits

Question 44

value chain

Answer 44

series of activities involved in designing , producing, marketing, delivering, and supporting any product. Each link in the chain has the potential to either add or remove value from the product the customer eventually buys

Question 45

folksonomy

Answer 45

classification system that relies on users rather than preestablished systems to sort contents

Question 46

wisdom of crowds

Answer 46

under the right circumstances, groups are smarter than the smartest people in them, meaning that large numbers of consumers can predict successful products

Question 47

crowdsourcing

Answer 47

practice where firms outsource marketing activities (such as selecting an ad) to a community of users

Question 48

consumer addiction

Answer 48

physiological/psychological dependency on goods or services including alcoholism, drug addiction, cigarettes, shopping, and use of the Internet

Question 49

shrinkage

Answer 49

losses experienced by retailers as a result of shoplifting, employee theft, and damage to merchandise

Question 50

anticonsumption

Answer 50

deliberate defacement of products

Question 51

mass market

Answer 51

all possible customers in a market, regardless of the differences in their specific needs and wants

Question 52

market segment

Answer 52

distinct group of customers within a larger market who are similar to one another in some way and whose needs differ from other customers in the larger market

Question 53

target market

Answer 53

market segments on which an organization focuses its marketing plan and toward which it directs its marketing efforts