Chapter 4 Flashcards
target market
a defined group that managers feel is most likely to buy a firm’s product
environmental scanning
continually collect and evaluate environmental info
monitoring in external environments
understanding current customers
understanding what drives consumer decisions
identify the most valuable customers and understand their needs
understand the competition
environmental management
implementing strategies that attempt to shape the external environment within which it operates, it is engaging in
values that influence people
self sufficiency
upward mobility
work ethic
conformity
component lifestyle
practice of choosing goods and services that meet one’s diverse needs and interest rather than conforming to a single, traditional lifestyle
demography
the study of people’s vital statistics, such as their age, race, ethnicity, and location
generation y
people born between 1979 and 1994
Generation X
people born between 1965 and 1978
baby boomers
people born between 1946 and 1964
multiculturalism
occurs when all major ethnic groups in an area such as a city, county or census tract are roughly equally represented
purchasing power
comparison of income versus the relative cost of a set standard of goods and services in different geographic areas
inflation
a measure of the decrease in the value of money, expresses as the percentage reduction in value since the previous year
recession
a period of economic activity characterized by negative growth which reduces demand for goods and services
basic research
pure research that aims to confirm an existing theory or to learn more about a concept or phenomenon
