Theme 1 - Marketing And People Flashcards
1
Q
Brand name
A
A name, term, sign, symbol, design or any other feature that allows consumers to identify the goods or services of a business and to differentiate them from those of competitors.
2
Q
E-commerce
A
Conducting business transactions online.
3
Q
Online retailing or e-tailing
A
The retailing of goods online.
4
Q
Market
A
A set of arrangements that allows buyers and sellers to communicate and trade in a particular range of goods or services.
5
Q
Marketing
A
A management process involved in identifying, anticipating and satisfying customer requirements profitably.
6
Q
Market share
A
The proportion of total sales in a particular market for which one or more businesses or brands are responsible. It is expressed as a percentage and can be calculated by value or volume.
7
Q
Mass market
A
A very large market in which products with mass appeal are targeted.
8
Q
Niche market
A
A smaller market, usually within a large market or industry (subset).
9
Q
Consumer panels
A
Groups of customers are asked for feedback about products over a period of time.
10
Q
Database
A
An organised collection of data stored electronically with instant access, searching and sorting facilities.
11
Q
Focus groups
A
Where a number of customers are invited to attend a discussion about a product led by a market researcher.
12
Q
Market orientation
A
An approach to business which places the needs of customers at the centre of the decision-making process.
13
Q
Market research
A
The collection, presentation and analysis of information relating to the marketing and consumption of goods and services.
14
Q
Market segment
A
Part of a whole market where a particular customer group has similar characteristics.
15
Q
Primary research or field research
A
The gathering of ‘new’ information which does not already exist.
16
Q
Product orientation
A
An approach to business which places the emphasis upon the production process and the product itself.
17
Q
Qualitative research
A
The collection of data about attitudes, beliefs and intentions.
18
Q
Quantitative research
A
The collection of data that can be quantified.
19
Q
Respondent
A
A person or organisation that answers questions in a survey.
20
Q
Sample
A
A small group of people who must represent a proportion of a total market when carrying out market research.
21
Q
Secondary research or desk research
A
The collection of data that is already in existence.
22
Q
Socio-economic groups
A
Division of people according to social class.
23
Q
Added value
A
The extra features that may be offered by a business when selling a product, such as high quality customer service, which helps to exceed customer expectations.
24
Q
Competitive advantage
A
An advantage that enables a business to perform better than it’s rivals in the market.
25
Market maps or perceptual maps
Typically a two-dimensional diagram that shows two of the attributes or characteristics of a brand and those of rival brands in the market.
26
Market positioning
The view consumers have about the quality, value for money and image of a product in relation to those of competitors.
27
Product differentiation
An attempt by a business to distinguish its product from those of competitors.
28
Reposition
Change the view consumers have about a product by altering by some of its characteristics.
29
Unique selling point (or proposition)
The aspect or feature of a product that clearly distinguishes it from its rivals.
30
Complementary goods
Goods that are purchased together because they are consumed together.
31
Demand
The quantity of a product bought at a given price over a given period of time.
32
Demand curve
A line drawn on a graph that shows how much of a good will be bought at different prices.
33
Inferior goods
Goods for which demand will rise if income rises or if income falls.
34
Normal goods
Goods for which demand will rise if income rises or fall if income falls.
35
Substitute goods
Goods that can be bought as an alternative to others, but perform the same function.
36
Subsidy
A grant is given to producers, usually to encourage production of a certain good.
37
Supply
The amount of a product that suppliers make available to the market at any given price in a given period of time.
38
Supply curve
A line drawn on a graph that shows how much of a good sellers are willing to supply at different prices.
39
Equilibrium price or market clearing price
The price where supply and demand are equal.
40
Excess demand
The position where demand is greater than supply at given price and there are shortages in the market.
41
Excess supply
The position where supply is greater than demand at a given price and there are unsold goods in the market.
42
Total revenue or total expenditure
The amount of revenue generated from the sale of goods calculated by multiplying price by quantity in a given period of time.
43
Price elastic demand
A change in price results in a greater change in demand.
44
Price elasticity of demand
The responsiveness of demand to a change in price.
45
Price inelastic demand
A change in price results in a proportionately smaller change in demand.
46
Discretionary expenditure
Non-essential spending or spending that is not automatic.
47
Income elastic demand
The percentage change in demand for a product is proportionately greater than the percentage change in income.
48
Income elasticity of demand
The responsiveness of demand to a change in income.
49
Income inelastic demand
Where the percentage change in demand is proportionately less than the percentage change in income.
50
Consumer durables
Goods that can be used repeatedly over a period of time, such as cars and household appliances.
51
Design mix
The range of features that are important when designing a product.
52
Ergonomics
The study of how people interact with their environment and the equipment they use - often in the workplace.
53
Ethical sourcing
Using materials, components and services from suppliers that respect the environment, treat their workforce well and generally trade with integrity.
54
Product design
The process of creating a new product or service.
55
Recycling
Making use of materials that have been discarded as waste.
56
Resource depletion
The using op of natural resources.
57
Waste minimisation
Reducing the quantity of resources that are discarded in the production process.
58
Above-the-line promotion
Placing adverts using the media.
59
Advertising
Communication between a business and its customers where images are placed in the media to encourage the purchase of products.
60
Below-the-line promotion
Any promotion that does not involve using the media.
61
Emotional branding
The practice of using the emotions of a consumer to build a brand.
62
Generic brands
Products that only contain the name of the product category rather than the company or product name.
63
Manufacturer brands
Brands created by the producers of goods or services.
64
Marketing mix
The elements of a businesses marketing that are designed to meet the needs of customers. The four elements are often called the '4P's' - product, price, promotion and place.
65
Merchandising
A promotion specifically at the point of sale of a product.
66
Own-label, distributor or private brands
Products that are manufactured for wholesalers or retailers by other businesses.
67
Point of sale
Any point where a consumer buys a product.
68
Promotion
An attempt to obtain and retain customers by drawing attention to a firm or its products.
69
Public relations
An organisations attempt to communicate with interested parties.
70
Sales promotions
Methods of promoting products on the short term to boost sales.
71
Sponsorship
Making a financial contribution to an event in return for publicity.
72
Viral marketing
Any strategy that encourages people to pass on messages to others about a product or a business electronically.
73
Competitive pricing
Pricing strategies based on the prices charged by rivals.
74
Cost plus pricing
Adding a percentage (the mark-up) to the costs of producing a product to get the price.
75
Mark-up
The percentage added to unit cost that makes a profit for a business when setting the price.
76
Penetration pricing
Setting a low price when launching a new product in order to get established in the market.
77
Predatory or destroyer pricing
Setting a low price forcing rivals out of business.
78
Pricing strategy
The pricing policies or methods used by a business when deciding what to charge for its products.
79
Product life-cycle
Shows the different stages in the life of a product and the sales that can expected at each stage.
80
Psychological pricing
Setting the price slightly below a round figure.
81
Skimming or creaming
Setting a high price initially and then lowering it later.
82
Unit costs
The same as average cost (total cost divided by output).
83
Agent or broker
An intermediary that brings together buyers and sellers.
84
Breaking-bulk
Dividing a large quantity of goods received from a supplier before selling them on in smaller quantities to customers.
85
Direct selling
Producers selling their products directly to consumers.
86
Distribution
The delivery of goods from the producer to the consumer.
87
Distribution channel
The route taken by a product from the producer to the customer.
88
E-commerce
The use of electronic systems to sell goods and services.
89
Intermediaries
Links between the producer and the consumer.
90
Retailer
A business that buys good me from manufacturers and wholesalers, and sells them in small quantities to consumers.
91
Wholesaler
A business that buys goods from manufacturers and sells them in smaller quantities to retailers.
92
Boston matrix
A 2X2 matrix model that analyses a product portfolio according to the growth rate of the market and the relative market share of products within the market.
93
Extension strategies
Methods used to prolong the life of a product.
94
Marketing strategy
A set of plans that aim to achieve a specific marketing objective.
95
Product lines
A group of products that are very similar.
96
Product portfolio
The collection of products a business is currently marketing.
97
Collective bargaining
A method of determining conditions of work and terms of employment through negotiations between employers and employee representatives.
98
Flexible workforce
A workforce that can respond, in quantity and type, to changes in market demand.
99
Home workers
People who undertake their regular work from home.
100
Industrial action
Disruptive measures taken by workers to apply pressure on employers when disagreements cannot be resolved.
101
Outsourcing
Getting other people or businesses to undertake work that was originally done in-house.
102
Multi-spilling
The process of increasing the skills of employees.
103
Trade unions
Organisations of workers that exist to promote the interests of their members.
104
Zero-hour contract
A contract that does not guarantee any particular number of hours' work.
105
Curriculum vitae
A document that lists personal details, qualifications, work experience, referees and other information about the job seeker.
106
External recruitment
Appointing workers from outside the business.
107
Induction training
Training given to new employees when they first start a job.
108
Internal recruitment
Appointing workers a from inside the business.
109
Job description
A document that shows clearly the tasks, duties and responsibilities expected of a worker for a particular job.
110
Off-the-job training
Training that takes place away from the work area.
111
On-the-job training
Training that takes place while doing the job.
112
Person specification
A personal profile of the type of person needed to do a particular job.
113
Training
A process that involves increasing the knowledge and skills of a worker to enable them to do their jobs more effectively.
114
Authority
The right to command and make decisions.
115
Centralisation
A type of business organisation where major decisions are made at the centre or core of the organisation and then passed down the chain of command.
116
Chain of command
The way authority and power is organised in an organisation.
117
Decentralisation
A type of business organisation where decision making is pushed down the chain of command and away from the centre of the organisation.
118
Delayering
Removing layers of management from the hierarchy of an organisation.
119
Delegation
Authority to pass down from superior to subordinate.
120
Formal organisation
The internal structure of a business as shown by an organisational chart.
121
Hierarchy
The order or levels of responsibility in an organisation, from the lowest to the highest.
122
Organisational chart
A diagram that shows the different job roles in a business and how they relate to each other.
123
Responsibility
The duty to complete a task.
124
Span of control
The number of people a person is directly responsible for in a business.
125
Subordinates
People in the hierarchy who work under the control of a senior worker.
126
Bonus
A payment in addition to the basic wage for reaching targets or in recognition for service.
127
Commission
Percentage payment on a sale made to the salesperson.
128
Consultation
Listening to the views of employees before making key decisions that affect them.
129
Delegation
The passing of authority to employees to make decisions and control their own work activities.
130
Hawthorne effect
The idea that workers are motivated by recognition given to them as a group.
131
Hygiene or maintenance factors (Hertzberg's)
Things at work that result in dissatisfaction.
132
Job enlargement
Giving an employee more work to do of a similar nature; horizontally extending their work role.
133
Job enrichment
Giving employees greater responsibility and recognition by 'vertically' extending their work role.
134
Job rotation
The periodic changing of jobs or tasks.
135
Maslow's hierarchy of needs
The order of people's needs starting with basic human requirements.
136
Motivated
The desire to take action to achieve a goal.
137
Motivators (Herzberg's)
Things at work that result in satisfaction.
138
Payment by results
Payment methods that reward workers for the quantity and quality of work they produce.
139
Performance-related pay (PRP)
A payment system designed for non-manual workers where pay increases are given if performance targets are met.
140
Piece rates
A payment system where employees are paid an agreed rate for every item produced.
141
Profit sharing
Where workers are given a share of the profits, usually as part of their pay.
142
Scientific management
A theory that suggests there is a 'best way' to perform work tasks.
143
Self-actualisation
A level in Maslow's hierarchy where people realise their full potential.
144
Team working
Organising people into working groups that have a common aim.
145
Autocratic leadership
A leadership style where a manager makes all the decisions without consultation.
146
Democratic leadership
A leadership style where managers allow others to participate in decision making.
147
Laissez-faire leadership
A leadership style where employees are encouraged to make their own decisions, within certain limits.
148
Paternalistic leadership
A leadership style where the leader makes decisions but takes into account the welfare of employees.
149
Entrepreneurs
Individuals who, typically, set up and run a business and take the risks associated with this.
150
Intrapreneurs
Employees who use entrepreneurial skills, without having to risk their own money, to find and develop initiatives that will have financial benefits for their employer.
151
Profit maximisation
An attempt to make as much profit as possible in a given time period.
152
Profit satisficing
Making enough profit to satisfy the needs of the business owner(s).
153
Aims
What a business tries to achieve in the long term.
154
Objectives
The goals or targets set by a business to help achieve its long-term purpose.
155
Sales maximisation
An attempt to sell as much as possible in a given time period (or an attempt to generate as much sales revenue as possible in a given time period).
156
Articles of association
A document that provides details of the internal running of a limited company.
157
Certificate of incorporation
A document that declares a business is allowed to trade as a limited company.
158
Co-operative
A business organisation owned by its members, who have equal voting rights.
159
Deed of partnership
A binding legal document that states the formal rights of partners.
160
Franchise
A business model that in which a business (the franchisor) allows another operator (the franchisee) to trade under their name.
161
Lifestyle business
A business that aims to make enough money and provide the flexibility needed to support a particular lifestyle for the owner.
162
Limited company
A business organisation that has a separate legal entity from that of its owners.
163
Limited liability
A legal status which means that a business owner is only liable for the original amount of money invested in the business.
164
Limited partnership
A partnership where some members contribute capital and enjoy a share of profit, but do not participate in the running of the businesses. At least one partner must have unlimited liability.
165
Memorandum of association
A document that sets out the constitution and states key external details about a limited company.
166
Mutual organisation
A business owned by its members, who are costumers not shareholders.
167
Online business
A business that uses the global communications infrastructure of the internet as a trading base.
168
Partnership
A business organisation that is usually owned by between 2-20 people.
169
Primary sector
Production involving the conversion of raw materials into finished and semi-finished goods.
170
Secondary sector
Production involving the conversion of raw materials into finished and semi-finished goods.
171
Sleeping partner
A partner that contributes capital and enjoys a share of the profit but takes no active role in running the business.
172
Social enterprise
A business that trades with the objective of improving human or environmental well-being - charities and workers' co-operatives, for example.
173
Sole trader or sole proprietor
A business organisation which has a single owner.
174
Tertiary sector
The production of services in the economy.
175
Unlimited liability
A legal status which means that the owner of a business is personally liable for all business debts.
176
Private equity company
A business usually owned by private individuals backed up by financial institutions.
177
Stock market
A market for second-hand shares.
178
Stock market flotation or initial public offering (IPO)
The process of a company 'going public' - making shares available to the public for the first time.
179
Choices
In business, deciding between alternative uses of resources.
180
Opportunity cost
When choosing between different alternatives, the opportunity cost is the benefit lost from the next best alternative to the one that has been chosen.
181
Trade-offs
In business, where a decision-maker faces a compromise between two different alternatives; for example, between paying dividends to shareholders or re-investing profits in the business.
