MKT 300 (Exam 1) – Questions and Answers
What is Marketing? - -Marketing is a process by which companies create value for
customers and build strong customer relationships to capture value
from customers in
return
-Customer Needs - -States of deprivation
Physical—food, clothing, warmth, safety
Social—belonging and affection
Individual—knowledge and self-expression
-Customer Wants - -Form that needs take as they are shaped by culture and individual
personality
-Customer Demands - -Wants backed by buying power
-Market Offerings - -Are some combination of products, services, information, or
experiences offered to a market to satisfy a need or want.
-Market Offerings - -Is focusing only on existing wants and losing sight of underlying
consumer needs.
-Understanding the Marketplace
and Customer Needs - -*Markets are the set of actual and potential buyers of a product.
*Exchange is the act of obtaining a desired object from someone by offering something in
return.
-Marketing Management - -Is simply customer management and demand management.
What customers will we serve?
How can we best serve or these customers?
-Production concept - -Is the idea that consumers will favor products that are available or
highly affordable
-Selling concept - -Is the idea that consumers will not buy enough of the firm's products
unless it undertakes a large scale selling and promotion effort
-Marketing concept - -Is the idea that achieving organizational goals depends on knowing
the needs and wants of the target markets and delivering the desired satisfactions better
than competitors do
-Societal Marketing Concept - -the idea that a company should make good marketing
decisions by considering consumers' wants, the company's requirements, consumers' long-
term interests, and society's long-run interests.
, -The Marketing Mix - -The set of tools (four Ps) the firm uses to implement its marketing
strategy. It includes product, price, promotion, and place.
-Integrated marketing program - -A comprehensive plan that communicates and delivers
the intended value to chosen customers.
-Customer Relationship Management (CRM) - -The overall process of building and
maintaining profitable customer relationships by delivering superior customer value and
satisfaction
-Customer- Perceived Value - -The difference between total customer value and total
customer cost
-Customer Satisfaction - -The extent to which a product's perceived performance matches
a buyer's expectations
-Partner Relationship Management (Definition) - -involves working closely with partners
in other company departments and outside the company to jointly bring greater value to
customers
-Partner Relationship Management
(Explanation) - -*Partners inside the company is every function area interacting with
customers
-Electronically
-Cross-functional teams
*Partners outside the company is how marketers connect with their suppliers, channel
partners, and competitors by developing partnerships
-Creating Customer Loyalty and Retention - -Customer lifetime value is the value of the
entire stream of purchases that the customer would
make over a
lifetime of
patronage
-Customer Equity - -The total combined customer lifetime values of all of the company's
customers
-Building Customer Equity - -*Building the right relationships with the right customers
involves treating customers as assets that need to be managed and maximized
*Different types of customers require different relationship management strategies
-Strategic Planning - -The process of developing and maintaining a strategic fit between
the organization's goals and capabilities and its changing marketing opportunities
What is Marketing? - -Marketing is a process by which companies create value for
customers and build strong customer relationships to capture value
from customers in
return
-Customer Needs - -States of deprivation
Physical—food, clothing, warmth, safety
Social—belonging and affection
Individual—knowledge and self-expression
-Customer Wants - -Form that needs take as they are shaped by culture and individual
personality
-Customer Demands - -Wants backed by buying power
-Market Offerings - -Are some combination of products, services, information, or
experiences offered to a market to satisfy a need or want.
-Market Offerings - -Is focusing only on existing wants and losing sight of underlying
consumer needs.
-Understanding the Marketplace
and Customer Needs - -*Markets are the set of actual and potential buyers of a product.
*Exchange is the act of obtaining a desired object from someone by offering something in
return.
-Marketing Management - -Is simply customer management and demand management.
What customers will we serve?
How can we best serve or these customers?
-Production concept - -Is the idea that consumers will favor products that are available or
highly affordable
-Selling concept - -Is the idea that consumers will not buy enough of the firm's products
unless it undertakes a large scale selling and promotion effort
-Marketing concept - -Is the idea that achieving organizational goals depends on knowing
the needs and wants of the target markets and delivering the desired satisfactions better
than competitors do
-Societal Marketing Concept - -the idea that a company should make good marketing
decisions by considering consumers' wants, the company's requirements, consumers' long-
term interests, and society's long-run interests.
, -The Marketing Mix - -The set of tools (four Ps) the firm uses to implement its marketing
strategy. It includes product, price, promotion, and place.
-Integrated marketing program - -A comprehensive plan that communicates and delivers
the intended value to chosen customers.
-Customer Relationship Management (CRM) - -The overall process of building and
maintaining profitable customer relationships by delivering superior customer value and
satisfaction
-Customer- Perceived Value - -The difference between total customer value and total
customer cost
-Customer Satisfaction - -The extent to which a product's perceived performance matches
a buyer's expectations
-Partner Relationship Management (Definition) - -involves working closely with partners
in other company departments and outside the company to jointly bring greater value to
customers
-Partner Relationship Management
(Explanation) - -*Partners inside the company is every function area interacting with
customers
-Electronically
-Cross-functional teams
*Partners outside the company is how marketers connect with their suppliers, channel
partners, and competitors by developing partnerships
-Creating Customer Loyalty and Retention - -Customer lifetime value is the value of the
entire stream of purchases that the customer would
make over a
lifetime of
patronage
-Customer Equity - -The total combined customer lifetime values of all of the company's
customers
-Building Customer Equity - -*Building the right relationships with the right customers
involves treating customers as assets that need to be managed and maximized
*Different types of customers require different relationship management strategies
-Strategic Planning - -The process of developing and maintaining a strategic fit between
the organization's goals and capabilities and its changing marketing opportunities
