Marketing

Question 1

environmental scan or situation analysis

Answer 1

SOCIAL-demographic shifts, cultural changes
ECONOMICAL-macroeconomics conditions, consumer incomes
TECHNOLOGICAL-changing tech, techs impact on customer value, electric business tech
COMPETITIVE-alternative forms of competition, small business
regulatory- laws protecting competition, laws affecting marketing mix, self regulation

Question 2

social forces

Answer 2

world pop, us pop, pop shifts, values, value consciousnes

Question 3

economic forces

Answer 3

inflation, recession, gross income, disposable income, discretionary income

Question 4

technological forces

Answer 4

connectivity, intelligent data collection, green infrastructure, 3D tech, new products

Question 5

pure competition

Answer 5

large number of sellers, similar products, place (distribution) is important

Question 6

monopolistic competition

Answer 6

large number of sellers, unique but substitutable, pricing is important

Question 7

oligopoly

Answer 7

a few large competitors, similar products, promotion is key to achieve perceived product differences

Question 8

monopoly

Answer 8

single producer, unique and unsubstitutable, unimportant

Question 9

new product development process

Answer 9

new-product strategy development
idea generation
screening and evaluation
business analysis
development-rachio started here
market testing
commercialization

Question 10

types of products

Answer 10

B2C-consumer- convenience (toothpaste), shopping (tv), specialty (caviar), unsought (insurancepolicy
B2B- business product, industrial-

Question 11

continuous innovation

Answer 11

requires no new learning, Ex- new improved shaver or detergent, marketing emphasis- gain consumer awareness and wide distribution

Question 12

dynamically continuous inoovation

Answer 12

disrupts consumer’s normal routine but not require totally new learning, Ex) electric tooth brush, Marketing emphasis- advertise points of difference,

Question 13

discontinuous innovation

Answer 13

requires new learning and consumption patterns by consumers, Ex) VCR, electric car, Marketing emphasis- educate through product trial and personal selling

Question 14

new product strategy
Why new?
Opportunities?
SWOT?
Where to aim?

Answer 14

1. seize opportunity, fill gap
2. enviro. scan
3. where do we have advantage
4. target market, innovation protocol-a statement before product development begins-identifies: target market, customers needs, description, benefit

Question 15

organizational buyers

Answer 15

industrial markets
resellers, wholesalers, retailers
gov. markets

Question 16

organizational buying behavior

Answer 16

problem recognition
info search
alternative evaluation
purchase decision
post purchase behavior

Question 17

personal selling

Answer 17

sales people- identify creative solutions to customer problems
ease to customer buying process
make the after-the-sale follow-up

Question 18

personal selling process/stages

Answer 18

prospecting- search for and qualify prospects

2. preapproach- gather info and decide how to approach
3. approach- gain prospects attention
4. presentation- begin converting a prospect into a customer by creating desire for g+s
5. close-obtain purchase and create customer
6. follow up- ensure to customer is satisfied with g+s

Question 19

segmentation for B2B market

Answer 19

geographic
demographic
behavioral

Question 20

Role of price

Answer 20

1. allocates resources-vote with dollars
2. measure of utility
3. key lever for marketer to- affect rpod demand, send perceptual signals, manage profitablity

Question 21

pricing objectives

Answer 21

1. profit- mgnt for long run profs, mgnt for current profs, target return (ROI)
2. sales- $
3. Market share- # or $
4. unit volume- #
5. survival
6. social responsibility

Question 22

pricing apporaches

Answer 22

1. demand- skimming, penetration, prestige, price lining, odd-even, target, bundle, yield mgnt
2. cost- standard mark up (safeway), cost-plus, experience curve
3. profit- target profit, target return on sales, target return on investment
4. competition- customary, above- at- or below market, loss leader

Question 23

contribution margin $

Answer 23

price-VC per unit

Question 24

percent margin

Answer 24

contribution margin/ price

% of selling price the firm retains after VC

Question 25

percent markup

Answer 25

contribution margin/VC

% of cost that’s been added to cost to arrive at price

Question 26

Breakeven analysis

Answer 26

Profit= (quantity x (Price-VC))-FC