MBA 706 - DARRAT (EXAM 3)
Targeting - answer process of identifying customers for whom the company will optimize
its offering
Mass Marketing - answer the firm ignores segment differences and goes after the whole
market with one offer
Argument for mass marketing - answer creates largest potential market leading to
lowest costs leading to lower prices leading higher margins
Mass Customization - answerability of a company to meet each customer's
requirements—to prepare on a mass basis individually designed products, services,
programs, and communications
Target marketing - answerrefers to which segments to go after - they sell different
products to different segments
Strategic Targeting - answerfocuses on customers whose needs the company can fulfill
by ensuring that its offerings are customized to their needs
trading market size - answerstrategic targeting - ignores some customers
Tactical Targeting - answerstrive to reach all strategically important customers
effectively and low cost
Factors of Target Compatibility - answer1. business
2. service
3. supply chain
4. scarce resources
5. skilled employees
6. tech expertise
7. intellectual property
8. strong brands
9. collaborator networks
Target Compatibility - answeroutdo the competition in fulfilling the needs of target
customers; to create superior customer value
a function of the company's resources and its capacity to use these resources in a way
that creates value for target customers
, Target Attractiveness - answerreflects the ability of a market segment to create superior
value for the company. monetary and strategic
collaborator networks - answer: include vertical networks of collaborators in the
company's supply chain and horizontal networks of research and development,
manufacturing, and promotion collaborators that help the company create its offering
and inform customers about it.
strong brands: - answerenhance value by conferring unique identification on the offering
and generating meaningful associations that create value over and above the value
created by the offering's attributes.
intellectual property - answerpatents and trade secrets.
technological expertise - answerexpertise required to develop an offering that
addresses a particular customer need, includes a company's proprietary processes, its
technological processes,
skilled employees - answerprime strategic assets
supply chain infrastructure - answer(procurement and processes), management
infrastructure (company culture)
scarce resources - answerdistinct competitive edge because it restricts the strategic
options of competitors.
Service Infrastructure - answercall centers CRM
Business Infrastructure - answermanufacturing infrastructure (houses company's
production facilities and equipment)
Core Competency - answer1) it is a source of competitive advantage and makes a
significant contribution to perceived customer benefits,
(2) it has applications in a wide variety of markets, and
(3) it is difficult for competitors to imitate.
Monetary Value - answerrevenue from customers and cost to serve them
customer revenues - answerinvolve money received by the company from customers
for the right to own or use its offering.
costs of serving target customers - answerThe expenses necessary to tailor the
offering's benefits to fit target customers' needs as well as to communicate and deliver
the offering to these customers.
Strategic Value - answer1. Social
Targeting - answer process of identifying customers for whom the company will optimize
its offering
Mass Marketing - answer the firm ignores segment differences and goes after the whole
market with one offer
Argument for mass marketing - answer creates largest potential market leading to
lowest costs leading to lower prices leading higher margins
Mass Customization - answerability of a company to meet each customer's
requirements—to prepare on a mass basis individually designed products, services,
programs, and communications
Target marketing - answerrefers to which segments to go after - they sell different
products to different segments
Strategic Targeting - answerfocuses on customers whose needs the company can fulfill
by ensuring that its offerings are customized to their needs
trading market size - answerstrategic targeting - ignores some customers
Tactical Targeting - answerstrive to reach all strategically important customers
effectively and low cost
Factors of Target Compatibility - answer1. business
2. service
3. supply chain
4. scarce resources
5. skilled employees
6. tech expertise
7. intellectual property
8. strong brands
9. collaborator networks
Target Compatibility - answeroutdo the competition in fulfilling the needs of target
customers; to create superior customer value
a function of the company's resources and its capacity to use these resources in a way
that creates value for target customers
, Target Attractiveness - answerreflects the ability of a market segment to create superior
value for the company. monetary and strategic
collaborator networks - answer: include vertical networks of collaborators in the
company's supply chain and horizontal networks of research and development,
manufacturing, and promotion collaborators that help the company create its offering
and inform customers about it.
strong brands: - answerenhance value by conferring unique identification on the offering
and generating meaningful associations that create value over and above the value
created by the offering's attributes.
intellectual property - answerpatents and trade secrets.
technological expertise - answerexpertise required to develop an offering that
addresses a particular customer need, includes a company's proprietary processes, its
technological processes,
skilled employees - answerprime strategic assets
supply chain infrastructure - answer(procurement and processes), management
infrastructure (company culture)
scarce resources - answerdistinct competitive edge because it restricts the strategic
options of competitors.
Service Infrastructure - answercall centers CRM
Business Infrastructure - answermanufacturing infrastructure (houses company's
production facilities and equipment)
Core Competency - answer1) it is a source of competitive advantage and makes a
significant contribution to perceived customer benefits,
(2) it has applications in a wide variety of markets, and
(3) it is difficult for competitors to imitate.
Monetary Value - answerrevenue from customers and cost to serve them
customer revenues - answerinvolve money received by the company from customers
for the right to own or use its offering.
costs of serving target customers - answerThe expenses necessary to tailor the
offering's benefits to fit target customers' needs as well as to communicate and deliver
the offering to these customers.
Strategic Value - answer1. Social
