Chapter 1 – What is Marketing?

Question 1

What are the 4 Components of Marketing?

Answer 1

1. Creating
2. Communicating
3. Delivering
4. Exchanging

Question 2

What are the 4 P’s (Marketing Mix)?

Answer 2

1. Product (Creating)
2. Promotion (Communicating)
3. Place (Delivering)
4. Price (Exchanging)

Question 3

The traditional way of viewing marketing is through the ___?

Answer 3

4 P’s/Marketing Mix

Question 4

What is the Personal Value Equation?

Answer 4

value = benefits received – [price + hassle]

Question 5

What are the 5 Marketing Eras?

Answer 5

1. Production Era
2. Selling Era
3. Product Era
4. Marketing Era
5. Value Era/One-to-One Era/Service Dominant Logic Era

Question 6

What is the Production Era?

Answer 6

• Best way to compete was by reducing costs

- Good products would sell themselves

Question 7

What is the Selling Era?

Answer 7

• Push their products by heavily emphasizing ads and selling
• Consumers didn’t have much money-making competition stiff
• Some companies starting selling door-to-door

Question 8

What is the Product Era?

Answer 8

Compete by creating products different from their competition

Question 9

What is the Marketing Era?

Answer 9

Create what customers wanted

Question 10

What is the Value Era?

Answer 10

Companies emphasize creating value for customers

Question 11

What is the One-to-One Era?

Answer 11

Compete by building relationships with customers one at a time and seek to serve customer needs individually

Question 12

What is the Service Dominant Logic Era?

Answer 12

Recognizes that consumers want value no matter how it’s delivered

Question 13

What are some of the names for the current Marketing Era?

Answer 13

• Value Era
• One-to-One Era
• Service Dominant Logic Era

Question 14

What is ‘Offering’?

Answer 14

The bundle consisting of:

• The tangible good
• The intangible service
• The price the company’s offering

Question 15

What is ‘Communicating’?

Answer 15

Describing the offering and its value to your potential and current customers as well as learning what customers want and like

Question 16

What is ‘Delivering’?

Answer 16

Getting the product into the hands of the user as well as ensuring that the user understands how to get the most out of the product and is taken care of if they require service later

Question 17

What is ‘Supply Chain’?

Answer 17

Includes a number of organizations and functions that mine, make, assemble, or deliver materials and products from a manufacturer to consumers

Question 18

What is ‘Logistics’?

Answer 18

• Transportation and storage of materials and products

- Primary component of supply chain management

Question 19

What is ‘Exchange’?

Answer 19

Happens when consumers acquire, use, or dispose/finish products and services

Question 20

What is ‘Social Marketing’?

Answer 20

Marketing conducted in an effort to achieve certain social objectives

Question 21

What are the Criticisms of Marketing?

Answer 21

• Its costly

- Creates wants among consumers for products and services that aren’t really needed

Question 22

What is ‘Value’?

Answer 22

The benefits a buyer receives from a product

Question 23

What are ‘Ethics’?

Answer 23

You do no harm

Question 24

What is ‘Social Responsibility’?

Answer 24

You must actively seek to improve the lot of others

Question 25

Ethics and Social Responsibility

Answer 25

Businesses exist only because society allows them to

Question 26

Sustainability

Answer 26

Involves engaging in practices that do not diminish the earth’s resources

Question 27

What is an example of Social Responsibility?

Answer 27

Sustainability

Question 28

Service-Dominant Logic

Answer 28

Recognizes that consumers want value no matter how it is delivered

Question 29

Metrics

Answer 29

The amount and quality of data for evaluating a firm’s performance is increasing

Question 30

Global Environment

Answer 30

Every business is influenced by global issues

Question 31

What is ‘The Marketing Plan’?

Answer 31

The strategy for implementing the components of marketing

Question 32

What are the types of For-Profit Companies that can be defined by the nature of their customers?

Answer 32

• Business-to-consumer
  Sells products to be used by consumers
• Business-to-business
  Sells products to be used within another company’s operations, or government agencies and entities

Question 33

What are the types of For-Profit Companies that can be define by the functions they fulfill?

Answer 33

• Manufacturer
• Retailer
• Wholesaler