marketing lecture 3 (marketing environment)

Question 1

environmental forces

Answer 1

changes in the marketing environment are a source of opportunities and threats that needs to be managed

Question 2

environmental scanning

Answer 2

the process of continually acquiring information on events occuring outside of the organization to identify and interpret potential trends

Question 3

5 environmental forces

Answer 3

1. social
2. economic
3. technological
4. competitive
5. regulatory

Question 4

social forces

Answer 4

includes the demographic characteristics (gender, age, occupation, etc) of the population

Question 5

generational cohort

Answer 5

born in a similar time period –> has similar characteristics and taste

Question 6

culture environment

Answer 6

includes all that we have learned in relation to values, culture and traditions, attitude and norm, religions and beliefs, rituals and artifacts.

Question 7

values that changes between countries

Answer 7

• equality
• sustainability
• environment
• consumer value
• social action
• financial transactions

Question 8

value consciousness

Answer 8

the concern of having the best quality, features, and performance of a product or service for a given price that drives consumer behaviour

Question 9

multicultural marketing

Answer 9

consists of the combinations of the marketing mix that reflects the unique attitudes, ancestry, communication preferences, and lifestyle of different races

Question 10

economic environment

Answer 10

the income, expenditures, and resources that affects the cost of running a business and household

Question 11

macroeconomics condition of the marketplace

Answer 11

the performance of the economy based on indicators (GDP, unemployment, inflation and deflation)

Question 12

microeconomics perspective of consumer income

Answer 12

the factors that affects the purchasing power and spending pattern

Question 13

factors that affects the purchasing power and spending pattern

Answer 13

• gross income = total of income you make in a year
• disposable income = gross income - taxes payable
• discretionary income = disposable income cost of necessities

Question 14

technology

Answer 14

innovations and inventions from applied sciences or engineering research that is difficult to predict

Question 15

electronic commerce (e-commerce)

Answer 15

the activities that uses electronic communication in the inventory, promotion, distribution, purchase and exchange of products and services.

Question 16

internet of things

Answer 16

network of products embedded with connectivity enable electronics

Question 17

competitive forces

Answer 17

1. perfect competition
   - many sellers
   - agricultural products (corn, wheat, rice)
   - similar products
   - place (free delivery)
2. monopolistic competition
   - many sellers but substitutable products
   - coffee, clothes, restaurants
   - unique but substitutable products
   - price
3. oligopoly
   - few sellers
   - oil, steel, auto manufacturers
   - similar products
   - promotion
4. monopoly
   - only one seller
   - public utilities (water, electricity)
   - unique and unsubstitutable products
   - unimportant

Question 18

need competitive analysis to know (what market we are on) :

Answer 18

• existing competitors and substitutes
• bargaining power of supplier and buyers
• barrier to entry

Question 19

political, legal, and regulatory forces :

Answer 19

• every marketing and business decision is always constrained, directed, and influenced by regulatory forces
• to protect companies and customers

Question 20

market research

Answer 20

collecting relevant information to make rational, informed marketing decisions

Question 21

secondary data

Answer 21

facts and figures that have already existed before the project at hand
marketers generally obtain secondary data first and then collect primary data

Question 22

advantages and disadvantages of secondary data

Answer 22

advantages :
- time saving
- low cost

disadvantages :
- may be out of date
- the definitions and categories of the data may not be quite right for the project
- the data was collected for another purpose so it may not be spesific enough for the project

Question 23

primary data

Answer 23

are facts and figures that are newly collected for the project

Question 24

advantages and disadvantages of primary data

Answer 24

advantages :
- more flexible
- more spesific to the problem

disadvantages :
- expensive
- more time consuming to collect
- requires a good understanding of research and analytical skills