W1 Introduction to the Market

Question 1

What is marketing?

Answer 1

Marketing is the activity, set of institutions, and processes for creating, communicating, delivering and exchanging offerings that have value for customers, clients, partners, and society at large.

Question 2

What is a need?

Answer 2

A state of self deprivation

Question 3

What is a want?

Answer 3

An object that will satisfy the needs shaped by culture and personality

Question 4

What is a demand?

Answer 4

A human want that is backed by buying power

Question 5

What is a market?

Answer 5

Actual and potential buyers that share a particular want/need that can be satisfied through exchange relationships

Question 6

What is an exchange?

Answer 6

The act of obtaining a desired object from someone by offering something in return

Question 7

What is a transaction?

Answer 7

A trade between two parties that involves at least two things of value, agreed upon conditions, and a time and place of agreement

Question 8

What is perceived value?

Answer 8

A customer’s evalaution of the difference between all the benefits and costs of a marketing offer, in relation to those of competing offers

Question 9

What is customer value?

Answer 9

Perceived benefit less perceived sacrifice

Question 10

What is satisfaction?

Answer 10

The extent to which a product’s perceived performance matches a buyer’s expectations

Question 11

How can customer delight be achieved?

Answer 11

By delivering more than promised

Question 12

What is quality?

Answer 12

Characteristics of a product or service that bear on its ability to satisfy stated or implied customer needs

Question 13

What is a market offering?

Answer 13

A product that is some combination of goods, services and experiences that can be offered to a market to satisfy a need or want

Question 14

What form can market offerings take?

Answer 14

Goods, services/experiences, places, organisations, information, and ideas

Question 15

What are the two steps in the marketing process?

Answer 15

1. Understand the marketplace and your customers (target market)
2. How can we most effectively serve customers (value proposition)

Question 16

What are the five steps in the marketing process?

Answer 16

1. Understand marketplace & customers
2. Develop a customer driven marketing strategy
3. Deliver high customer value
4. Grow profitable customer relations
5. Capture value from customers

Question 17

What are the two reasons frims/nfp organisations need to engage in de-marketing?

Answer 17

Permanently: to discourage anti-social behaviours
Temporarily: to cope with peak demand periods & overfull demand

Question 18

What is the extended marketing mix?

Answer 18

1. Product
2. Price
3. People
4. Placement logistics
5. Promotion
6. Process
7. Physical evidence

Question 19

What are the 8 contributions to the changing marketing landscape?

Answer 19

1. Information revolution
2. Uncertain world economy
3. Artificial inteligence
4. Rapid globalisation
5. Sustainable marketing
6. Corporate social responsibility
7. Data-Driven decision making
8. Health & well-being

Question 20

What are the 12 marketing trends

Answer 20

1. SEO (search engine optimisation)
2. Content creation
3. Short form content
4. Influencers/micro-influencers
5. Brand value alignment with consumers expectations
6. Leveraging AI
7. Customer-centric experiences
8. Virtual & augmented reality
9. Podcasts & other audio content
10. Data & audience insights will drive decisions
11. Rise of user-generated content
12. Multi-channel marketing integration

Question 21

What are the sustainable development goals

Answer 21

Include
1. No poverty
2. Zero hunger
3. Good health and wellbeing
4. quality education
5. Gender equality
6. Clean water & sanitation
7. Affordable & clean energy
8. Decent work & economic growth
9. Industry innovation and infrastructure
10. reduced inequalities
11. sustainable cities & communities
12. responsible consumption & production
13. climate action
14. life below water
15. life on land
16. peace, justice, & strong institutions
17. partnerships for the goals

Question 22

What 6 factors comprise the micro environment?

Answer 22

1. the company - top management, operations, finance, accounting, R&D (research&development), purchasing etc
2. suppliers
3. marketing intermediaries - businesses that help company promote, sell and distribute products
4. customers
5. competitors
6. publics - group that has an actual/potential interest in or impact on an organisations ability to achieve objective eg. general public, citizen actions groups & media

Question 23

What is the macro environment?

Answer 23

1. Demographic forces
2. Economic forces
3. Natural forces
4. Technological forces
5. Political forces
6. Cultural forces

Question 24

What is a reactive approach to responding to the marketing environment?

Answer 24

Assumptions: The environment is largely uncontrollable
Strategies: Research, understand, react & adapt

Question 25

What is a proactive way of responding to the marketing environment?

Answer 25

Assumptions: The environment is partially controllable
Strategies: hire lobbyists to influence legislation affecting their industries, stage media events to gain favourable press coverage/run advertorials to shape public opinion
Instigate legal actions & regulatory complaints to keep competitors in line, form contractual agreements to better control their distribution channels