marketing ch.3 Flashcards
Baby boomers
Wealthiest generation
50% of consumption
5 sources of environmental force
Social Economic Technological Competitive Regulatory
Generation x
Cautious lifestyles
Business travelers
Generation Y
Baby boomers kids
Work life balance
Sports/computers/videogames
Generational marketing programs
Based on generational traits
Multi cultural marketing
Uses marketing mix to refelct unique culture of a racial group
Value consciousness
Careful about getting best quality per dollar.
++ in a recession
3 parts if consumer income
Gross
Disposable
Discretionary
Gross income
Total per year
Disposable income
Gross-taxes- necessities
Discretionary
The money left over for luxury
Market space
Electronic exchange environent
Electronic commerce
Activities that use electronic communication for commerce
Four forms of competition
Pure
Monopolistic
Oligopoly
Pure monopoly
Pure competition
Many sellers selling similar product
Monopolistic competition
Many sellers selling substitutable products in same price rang
Coupons very common
Ie tea v coffee
Oligopoly
Few orgs run entire industry
Pure monopoly
One firm sells the product
Slow growth means what for competition
More heated
Sherman antitrust act
Forbids combos in restraint of trade
Robinson patman act
Unlawful to discriminate prices
Patent law
Inventors have right to exclude others from using/selling idea
Digital millenium copyright act
Protects digital products
Consumerism
Increased consumer power when dealin with sellers/institutions
Trademarks
Protects consumers and sellers. Consumers know the brand they trust. Sellers investments protected
Lanhan act
Provides for registration of tms
Price fixing
Illegal
Price discounting
Legal for matching prices in good faith or charging less for larger quantities
Exclusive dealing
Reseller sell only your product, not competitors.
Illegal under clayton act if it substantially decreases competition
Requirement contracts
Requires a certain amount to be purchased for a time period.
Sometime legal
Territorial distributorship
Gives distributor sole tight to sell in area.
Usually legal
Tying arrangment
To buy one product you must also buy the other
Illegal if seller can restrain trade of tied product
Federal trade commission
Orders cease and desists
Orders corrective advertising
Self regulation
Industry sets own policies
Ex. Tv or better businesses bureau
