Final Ch 16-20 Flashcards
Integrated marketing communication (IMC)
A technique that combines all the promotional tools into one comprehensive and unified promotional strategy
Advertising
Paid, no personal communication through various media by organizations and individuals who are in some way identified in the advertising message
Steps In the Selling Process
1) Prospect and Qualify- researching those who would be most likely to buy and those who need the product
2) Pre-approach- learn as much as possible about customers wants and needs
3) Approach- first impression with the customer
4) Make a presentation- match benefits to customers wants and needs
5) Answer objections - resolving doubts
6) Close the sale- wrap up the deal
7) Follow up- make sure customer is happy with result later on
Business to consumer sales process
1) Approach
2) Ask questions
3) Make presentation
4) Close sale
5) follow up
Public Relations (PR)
The management function that evaluated public attitudes, changes policies and procedures to Public’s requests, and executes information to earn public understanding and acceptance.
Publicity
Any information about an individual, product, or organization that’s distributed to the public through the media and that’s not paid for or controlled by the seller.
Sales promotion
The promotional tool that stimulates consumer purchasing and dealer interest by means of short term activities.
Accounting
The recording, classifying, summarizing, and interpreting of financial events and transactions to provide management and other interested parties the information they need to make good decisions.
Financial statement
A summary of all the transactions that have occurred over a period of time.
Balance sheet
Financial statement that reports a firms financial condition at a specific time and is composed of three major accounts: assets, liabilities, and owners equity.
Statement of cash flows
Financial statement that reports cash receipts and disbursements related to a firm’s three major activities; operations, investments, and financing.
Income statement
The financial statement that shows a firm’s profit after costs, expenses, and taxes; it summarizes all of the resources that have come into the firm (revenue), all the resources that have left the firm (expenses), and the resulting net income or loss.
Fundamental accounting equation
Assets= Liabilities + Owners equity; the basis for the balance sheet.
Net income/loss
Revenue left over after all costs and expenses, including taxes, are paid.
Revenue
The monetary value of what a firm received for goods sold, services rendered, and other payments
Not same as sales (includes other monetary receivables)
Profit
Revenue minus expenses, before taxes
Annual report
A yearly statement of the financial condition, progress, and expectations of an organization.
Finance
The function of business that acquires funds for the firm and manages those funds within a firm.
Most common reasons a form fails financially
1) under capitalization
2) poor control over cash flows
3) inadequate expense control
Financial management
The job of managing a firm’s resources so it can meets its goals and objectives
Financial planning
Analyzing short term and long term money flows to and from the firm to optimize the firm’s profitability and make the best use of its money.
Cash flow forecast
Forecast that predicts the cash inflows and outflows in future periods
Short term forecast
Predicts revenues, costs, and expenses for a period of one year or less.
Long term forecast
Predicts revenues, costs, and expenses for a period longer than one year .
Security markets
Financial marketplaces for stocks, bonds, and other investments
Stock exchange
An organization whose members can buy and sell securities for companies and investors.
Common stock
Most basic form of ownership in a firm; it confers voting rights and the right to share profits through dividends, if offered by the firm’s board of directors.
Preferred stock
Stock that gives its owners preference in the payment of dividends and an earlier claim on assets than common stockholders if the company is forced out of business and assets are sold.
Money
Anything that people generally accept as payment for goods and services.
Standards for a useful form of money
Portability, divisibility, stability, durability, and uniqueness
Federal Reserve
The organization in charge of money in the United States
Commercial banks services
Demand deposit (checking account)
Time deposit (savings account) requires prior notice to withdrawals
Certificate of Deposit (time deposit with interest delivered on a specific date)
How governments protect our money
FDIC
SAIF- the part of the FDIC that insures holders of accounts in savings and loan associations
NCUA- provides the 250,000 per individual per institution in insurance
FED district banks
San Francisco, Minneapolis, Chicago, St Louis, Kansas City, Dallas, Atlanta, Cleveland, Boston, New York, Pennsylvania
Typed of Government Securities
US government bond
T- Bill - matures in less than a year
Treasury note- matures in 10 years or less
Treasury bond- matures in 25 years or more
Municipal bond- issued by states, cities, and counties ( exempt to federal taxes)
Yankee bond- issued by foreign government paid w US dollars.
