BYU Marketing 201 [Swenson] ALL TERMS-FINAL questions and solutions

BYU Marketing 201 [Swenson] ALL TERMS-FINAL
questions and solutions

Marketing - answersthe activity, set of institutions, and processes for creating, communicating, delivering, and
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exchanging offerings that have value for customers, clients, partners, and society at large
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Marketing Strategy - answersA cohesive marketing mix of product, place, price, and promotion, designed for a
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specific target market. Marketing strategy answers the question, "How do we orchestrate the marketing mix to
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deliver value to a particular market segment?"
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Three important components of marketing - answers1) Marketing is the exchange that takes place between
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sellers and buyers.
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2) Marketing creates, communicates, and delivers value to facilitate exchanges.
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wu 3) By delivering value, marketing satisfies customer needs and wants at a profit (marketing concept)
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Marketing Concept - answersBy delivering value, marketing satisfies customer needs and wants at a profit.
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Markets - answersthe aggregate of individuals and organizations that have (1) needs and wants and (2) the
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ability, willingness, and authority to purchase products and services that satisfy their needs and wants.
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Business Market (business-to-business market) - answersindividuals within organizations and companies
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purchasing products and services for use or consumption within their organization or for resale.
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Consumer Market (business-to-consumer market) - answersIndividuals buying products and services for
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personal consumption or use
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Strategic Triangle - answersCustomer, Company, Competition (customer is the central point)
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Corporate Strategy - answersWhat businesses should we be in? (Marketing firm considers types of business to
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include in its portfolio)
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Strategic Business Unit (SBU) - answersHow do we compete effectively in a given business?
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BCG Growth Model - answersstars, cash cows, question marks, dogs
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Stars - answershigh growth, high market share
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Cash Cows - answerslow growth markets that generate more cash than they need (high market share)
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Question Marks - answershigh growth, low market share wu wu wu wu wu wu wu




Dogs - answerslow growth, low market share
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,Marketing Mix - answersProduct, Price, Place, Promotion wu wu wu wu wu wu




Product - answersA bundle of attributes in which each attribute and combination of attributes creates value for
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customers
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Place - answersWhere products are purchased
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Price - answersthe amount of money made for a product
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Promotion - answersrefers to many different marketing activities, such as advertising, public relations, sales
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promotions, trade promotions, personal selling, and digital marketing.
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Brand Champions - answersCustomers who love the firm's products and then advocate or champion the products
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to others.
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Market Penetration - answersselling more of the existing products in existing markets
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Product Development - answersintroducing new products to existing markets
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Market Development - answersintroducing existing products to new markets
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Diversification - answersIntroducing new products into new markets wu wu wu wu wu wu wu




Marketing Plan - answersa marketing strategy with a budget and a timeline wu wu wu wu wu wu wu wu wu wu wu




Customer Lifetime Value (CLV) - answersdetermines the economic value a customer brings over the lifetime with
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the business.
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3 Ways marketers can boost sales per customer - answers(1) persuading customers to buy more of their products
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(2) generating add-on sales (complementary products and services),
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and (3) partnering with other firms to create add-on sales opportunities.
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Customer Aquisition - answershow can we acquire (and keep) customers wu wu wu wu wu wu wu wu wu




Customer Retention - answersthe practice of keeping customers by building long-term relationships
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Margin - answersdifference between sell price and cost to make
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Marketers can increase margin by... - answers(1) increasing price wu wu wu wu wu wu wu wu




(2) shifting the mix of purchases toward higher-margin products
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(3) changing customer behavior so customers are less expensive to serve
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(4) discouraging unprofitable customer behavior.
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How to Achieve Success - answers1) focus on solving customer problems
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2) chase customers, not competitors
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Product Orientation - answersbased on the belief that supply generates its own demand
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, Sales Orientation - answersbased on the belief that marketing's only role is to sell products once they are already
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made
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Marketing Orientation - answersBased on the belief that every product or service should focus on satisfying
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customer needs and wants a profit
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Societal Orientation - answersBased on the belief that every product or service should provide value to the
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customer as well as to society as a whole.
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Culture - answersShared values, attitudes and practices that shape human behavior
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Demographics - answersstatistical data that describe a population wu wu wu wu wu wu wu




Generational Cohorts - answersPeople born during the same period and who share common life experiences. wu wu wu wu wu wu wu wu wu wu wu wu wu wu




Which generational group has the highest buying power? - answersBaby Boomers
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Gross Income - answersthe total amount of income received by a person, family or household
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Disposable Income - answersmoney available to spend or save after taxes have been paid
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Discretionary Income - answersmoney left after taxes and necessities have been bought and paid for wu wu wu wu wu wu wu wu wu wu wu wu wu wu




Technology - answersthe application of science and research to solve a problem more effectively
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Five Forces Model - answersA model developed by Michael Porter that helps us understand the five competitive
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forces that determine the level of competition and profitability in an industry.
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What are the five forces? - answers1) competitive rivalry
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2) power of suppliers
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3) power of buyers
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4) threat of entrants
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5) threat of substitutes
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Regulations - answersProtect consumers and businesses by promoting competition and fair business practices.
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SWOT Analysis - answersa planning tool used to analyze an organization's strengths, weaknesses,
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opportunities, and threats
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Strengths - answersthe firm's core competencies, abilities, and capacities that provide an advantage when
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meeting the needs of target customers. (play to)
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Weaknesses - answersLimitations a firm faces when seeking to deliver value to customers. (moderate) wu wu wu wu wu wu wu wu wu wu wu wu wu




Opportunities - answersFavorable conditions and trends in the external environment (exploit) wu wu wu wu wu wu wu wu wu wu




Threats - answersconditions, trends, and barriers in the external environment that hinder firm performance
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(minimize)
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