Chapter 1 – What is Marketing? Flashcards
What are the 4 Components of Marketing?
- Creating
- Communicating
- Delivering
- Exchanging
What are the 4 P’s (Marketing Mix)?
- Product (Creating)
- Promotion (Communicating)
- Place (Delivering)
- Price (Exchanging)
The traditional way of viewing marketing is through the ___?
4 P’s/Marketing Mix
What is the Personal Value Equation?
value = benefits received – [price + hassle]
What are the 5 Marketing Eras?
- Production Era
- Selling Era
- Product Era
- Marketing Era
- Value Era/One-to-One Era/Service Dominant Logic Era
What is the Production Era?
- Best way to compete was by reducing costs
- Good products would sell themselves
What is the Selling Era?
- 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
What is the Product Era?
Compete by creating products different from their competition
What is the Marketing Era?
Create what customers wanted
What is the Value Era?
Companies emphasize creating value for customers
What is the One-to-One Era?
Compete by building relationships with customers one at a time and seek to serve customer needs individually
What is the Service Dominant Logic Era?
Recognizes that consumers want value no matter how it’s delivered
What are some of the names for the current Marketing Era?
- Value Era
- One-to-One Era
- Service Dominant Logic Era
What is ‘Offering’?
The bundle consisting of:
- The tangible good
- The intangible service
- The price the company’s offering
What is ‘Communicating’?
Describing the offering and its value to your potential and current customers as well as learning what customers want and like
What is ‘Delivering’?
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
What is ‘Supply Chain’?
Includes a number of organizations and functions that mine, make, assemble, or deliver materials and products from a manufacturer to consumers
What is ‘Logistics’?
- Transportation and storage of materials and products
- Primary component of supply chain management
What is ‘Exchange’?
Happens when consumers acquire, use, or dispose/finish products and services
What is ‘Social Marketing’?
Marketing conducted in an effort to achieve certain social objectives
What are the Criticisms of Marketing?
- Its costly
- Creates wants among consumers for products and services that aren’t really needed
What is ‘Value’?
The benefits a buyer receives from a product
What are ‘Ethics’?
You do no harm
What is ‘Social Responsibility’?
You must actively seek to improve the lot of others
Ethics and Social Responsibility
Businesses exist only because society allows them to
Sustainability
Involves engaging in practices that do not diminish the earth’s resources
What is an example of Social Responsibility?
Sustainability
Service-Dominant Logic
Recognizes that consumers want value no matter how it is delivered
Metrics
The amount and quality of data for evaluating a firm’s performance is increasing
Global Environment
Every business is influenced by global issues
What is ‘The Marketing Plan’?
The strategy for implementing the components of marketing
What are the types of For-Profit Companies that can be defined by the nature of their customers?
- 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
What are the types of For-Profit Companies that can be define by the functions they fulfill?
- Manufacturer
- Retailer
- Wholesaler
