Exam 1: Chapter 6

Question 1

Businesses: Manufactures (users, OEM’s)

Answer 1

Users producer: buys product to help them run their business

OEM: they produce new products. Incorporate product into their product.

Question 2

Businesses: Related industries

Answer 2

Industries where you take things from the ground or construction

Question 3

Businesses: Service providers:

Answer 3

Around 7 million service providers
Most operate in consumer marketing
Ex. accounting, marketing research, ad agencies, trucking rail

Question 4

Businesses: Resellers

Answer 4

Wholesalers and retailers

Question 5

Businesses: Institutions

Answer 5

School

Hospitals

Question 6

Various nonprofits

Answer 6

University of notre dame

Question 7

Various governments

Answer 7

U.S government account for ⅓ of GDP 
1. Large customer
2. Two main splits 
Spending on defense 
Spending on everything else

Question 8

Various governments

Answer 8

U.S government account for ⅓ of GDP 
1. Large customer
2. Two main splits 
Spending on defense 
Spending on everything else

Question 9

NAICS system

Answer 9

North american industry classification system (NAICS)
A detailed numbering system developed by the US , Canada, and Mexico to classify North American business establishments by their main production process .
Provides a common industry
Classification system
Valuable tool for marketers in analyzing, segmenting, and target markets

Question 10

Consumer vs Business Marketing: Markets

Answer 10

Consumer: Dispersed
Business: Concentrated

Question 11

Consumer vs Business Marketing: Demand

Answer 11

Consumer: direct
Business: derived

Question 12

Consumer vs Business Marketing: Relationships

Answer 12

Consumer: shorter term
Business: long term

Question 13

Consumer vs Business Marketing: Order size

Answer 13

Consumer: small
Business: large

Question 14

Consumer vs Business Marketing: Buyer behavior

Answer 14

Consumer: Household/individual , amateurs
Business: group, professionals

Question 15

Consumer vs Business Marketing: E-commerce

Answer 15

Consumer: less important
Business: more important

Question 16

Consumer vs Business Marketing: Segmentation

Answer 16

Consumer: all methods
Business: restricted

Question 17

Consumer vs Business Marketing: Market Research

Answer 17

Consumer: all methods
Business: restricted

Question 18

Consumer vs Business Marketing: Organization

Answer 18

Consumer: marketing era
Business: Sales era / Myopia

Question 19

Consumer vs Business Marketing: Price

Answer 19

Consumer: uniform
Business: negotiated

Question 20

Consumer vs Business Marketing: Product

Answer 20

Consumer: standard, simple?
Business: custom, complex

Question 21

Consumer vs Business Marketing: Promotion

Answer 21

Consumer: all methods
Business: mainly personal selling

Question 22

Consumer vs Business Marketing: Place

Answer 22

Consumer: long channels
Business: short channels

Question 23

Buyer behavior issues: “Buy Grid” model

Answer 23

New task
- First time purchase
Modified rebuy
- Some changes to your reorder due to changes in technology or in previous satisfaction
Straight rebuy 
- Simple repurchasing, no changes

Question 24

Buyer behavior issues: Buying Process 6 things.

Answer 24

1. Problem recognition
2. Specs, information search
3. Proposal
4. Evaluate vendors and proposals, negotiate
5. Decision + implementation detail
6. Post purchase evaluation (Value analysis)

Question 25

Buying Center concept: roles and strategy

Answer 25

Look @ google docs / notability