Midterm 1

Question 1

What is Marketing?

Answer 1

A set of business practices designed to plan for and present an organization’s products or services in ways that build effective customer relationships.

Question 2

What are the Core Aspects of Marketing

Answer 2

• Satisfying Customer Needs & Wants
• Entails a Marketing Exchange
• Requires Marketing Mix Decisions
• Can be Performed by both Individuals & Organizations
• Occurs in many Settings
• Creates Value

Question 3

Product Orientation

Answer 3

Focus on developing and distributing innovative products with little concern about whether the products best satisfy customers’ needs

Question 4

Sales Orientation

Answer 4

View Marketing as a selling function where companies try to sell as many of their products as possible rather than focus on making products consumers really want.

Question 5

Market Orientation

Answer 5

Market-oriented companies start by focusing on what consumers want and need before they design, make, or attempt to sell their products and services.

Question 6

Value-Based Orientation

Answer 6

To compete successfully, firms focus on the triple bottom line:
- People (consumer needs & wants)
- Profits (long-term profitable relationships)
- Planet (social and environmental responsibility)

Question 7

What is a Marketing Strategy?

Answer 7

A Marketing Strategy Identifies:
- a firms target market (s)
- a related marketing mix - the four P’s and
- the base upon which the firms plans to build a sustainable competitive advantage

—-> Leads to sustainable competitive advantage!

Question 8

Step 1 of a Marketing Plan

Answer 8

Define the Business Mission & Objectives

Question 9

Step 2 of a Marketing Plan

Answer 9

Conduct a Situation Analysis (using SWOT)

Question 10

Step 3 of a Marketing Plan

Answer 10

Identify & Evaluate Opportunities by using STP
(Segmentation, Targeting, Positioning)

Question 11

Step 4 of a Marketing Plan

Answer 11

Implement Marketing Mix & Allocate Resources
- product & service strategy
- promotion strategy
- target mkt. & positioning
- price strategy
- place strategy

Question 12

Step 5 of a Marketing Plan

Answer 12

Evaluate Performance by Using Marketing Metrics
- outcomes need to be evaluated. Metrics are used to explain why things happen and to project the future.

Question 13

Growth Strategies

Answer 13

• Market Penetration
• Product Development
• Market Development
• Diversification

Question 14

Market Penetration

Answer 14

• the strategy of increasing the market share of an existing product within its current market. This can be achieved through various methods, such as lowering prices, increasing advertising, expanding distribution channels, or improving the product

Question 15

Marketing Development

Answer 15

• existing marketing offering
• new market segments, not currently being served

Question 16

Product Development

Answer 16

• new product/services
• current target market

Question 17

Diversification

Answer 17

• new product/service
• new market segment not currently being served

Question 18

Microenvironmental Factors

Answer 18

• Company Capabilities
• Competition
• Corporate Partners

Question 19

Macroenvironmental Factors

Answer 19

• Culture
• Demographics
• Generational Cohorts
• Technology
• Economic (Income)
• Political/Legal

Question 20

Green Marketing

Answer 20

Involves a strategic effort by firms to supply customers with environmentally friendly merchandise

Question 21

Consumer Behaviour

Answer 21

• Consumer should drive marketing strategies (needs)
• Firms must understand consumer’s needs
• Founding principle: listen & learn from your customers

Question 22

The Consumer Decision Process

Answer 22

1. Need Recognition
2. Information Search
3. Alternative Evaluation
4. Purchase Decision
5. Post Purchase

Question 23

Decision Heuristics

Answer 23

Every decision the customer makes is to better their life in the most positive way possible