Chapter 1: Intro To Marketing

Question 1

What are the key characteristics of marketing

Answer 1

Profit & non-profit, Building Relationships, Involving Changes, More than Persuasion, BEGINS WITH NEEDS, doesn’t go at it alone

Question 2

What is the marketing concept?

Answer 2

The marketing concept is a mixture of customer satisfaction, total company effort,& profit(or another measure of long term success ) as in objective

Question 3

Creates customer satisfaction

Answer 3

Marketing (makes sure right goods and services are produced)
&
Production (Making goods and performing services)

Question 4

Exhibit 1 differences: Attitude toward customers

Answer 4

Marketing Orientation: Customer needs determine company plans

Production Orientation: They should be glad we exist, trying to cut costs and brining out better products

Question 5

Exhibit 2 Differences: Product Offering

Answer 5

Marketing: Company makes what it can sell

Productions: Company sells what it can make

Question 6

Exhibit 3 Differences: Role of Marketing Research

Answer 6

Marketing Orientation: To determine customer needs and how well company is satisfying them

Production Orientation: To determine customer reaction, if used at all

Question 7

Exhibit 4 Differences: Interest in Innovations

Answer 7

Marketing Orientation: Focus is on locating new opportunities

Production Orientation: Focus is on technology and cost cutting

Question 8

Exhibit 5 differences: Customer Service

Answer 8

Marketing Orientation: Satisfy customers after the sale and they’ll come back again

Production Orientation: An activity required to reduce customer complaints

Question 9

Exhibit 6 differences: Focus of advertising

Answer 9

Marketing Orientation: Needs-satisfying benefits of goods and services

Production Orientation: Product features and how products are made

Question 10

Exhibit 7 Differences: Relationship with customer

Answer 10

Marketing Orientation: Customer satisfaction before and after sale leads to a profitable long-run relationship

Production Orientation: Relationship ends when a sale is made

Question 11

Exhibit 8 Differences: Costs

Answer 11

Marketing Orientation: Eliminate costs that do not give value to the customer

Production Orientation: Keep costs as low as possible

Question 12

Costumer Value Equation

Answer 12

Customer Value = Benefit - Cost

Question 13

What is Customer Value?

Answer 13

When customers believe that the benefits outweigh the costs

Question 14

Price Index for Brand A

Answer 14

Price index Price of Brand A
for Brand A = ________________________ x 100
Market Average Price

Question 15

Benefit Index for Brand A

Answer 15

Benefit Index Benefit Rating of Brand A
for Brand A = ________________________________ x 100
Market Average Benefit Rating

Question 16

Customer Value Index for Brand A

Answer 16

Customer Benefit Index Price Index
Value Index = For Brand A - For Brand A
For Brand A

Question 17

What are the Characteristics of Non Profit Organizations?

Answer 17

• Newcomers to Marketing (usually don’t have a marketing budget)
• Will “satisfied” customers offer support?
• May not be organized for Marketing
• The bottom Line?

Question 18

Benefits

Answer 18

target customer needs in a firms goods and services

Question 19

Costs

Answer 19

Target customer needs to obtain benefits

Question 20

What is the Micro-Macro dilemma?

Answer 20

What is “good” for some producers and consumers may not be good for society as whole.

Question 21

Social Responsibility or CSR

Answer 21

A company communicates socially responsible initiative’s to its audience.

Consumers care

Question 22

Examples of CSR

Answer 22

1. Dove: Every age should feel this beautiful campaign
2. The Macy’s Believe Campaign, for every letter from children in the mailbox, they donate $1 to different non-profits
3. Sienfeild gave names to their cows, shared the stories of the cows and its farmers to show how much care went into their organic milk
4. Tom’s donated shoes to less fortunate areas when consumers bought a pair of shoes.