MKT FINAL EXAM 2021/2022 with Complete Solution

marketing the process of creating, disrupting, promoting, and pricing goods, services, and ideas to facilitate satisfying exchanges with customers and develop and maintain favorable relationships with stakeholders in a dynamic environmental target market product, place, price, and promotion 00:05 01:29 marketing concept a philosophy that an organization should try to provide products that satisfy customers needs though a coordinated set of activities that also allows the organization to achieve its goals evolution of marketing supply demand - supply- customer satisfaction marketing orientated first, discover cutomer needs and create satsfying products then coordinate all activities like organizational wide support strategic planning the process of establishing an organizational mission and formulating goals, corporate strategy, marketing strategy and objectives, and a marketing plan SWOT assessment of an organizations strengths and weakness, and opportunities and threats. An example would be LAYS chips - cholesterol BCG (Boston Consulting Growth) star; cash cow; question mark; dog star high growth market; high in production growth and market share cash cow low in growth but high in market share question mark high in growth but low in share dog low in growth and share 00:02 01:29 Upgrade to remove ads Only $35.99/year marketing strategies select target market by identfying and analyzing customer needs preferences and behavior. Then create marketing mix to satify needs of target market buying power resources, such as money, goods, and services, that can be traded in an exchange sources of buying power income(disposable -buy necessities and discretion -entertainment ) wealth and credit prosperity Boom. unemployment down and spending up recession downsizing. unemplyment up and spending down depression bust. unemplyment up and spending down recovery upswing. unemployment down and spending up market ability to purchase a product, willing to use their buying power, and authority to buy specific products undifferentiated strategy entire market as one market and has same needs. example would be sugar and salt concentrated strategy one market segment. allows you to specialize. targeting 1 segment differentiated strategy targeting multiple segments, can increase total sales, and profitable use of excess production capacity sales forecasting amount of products a company expects to sell during a specific period at a specified level of marketing activities routinized response behavior process used when buying frequently purchased, low cost items that require little search- and - decision effort. example being grocery items limited problem solving employed when purchasing occasionally or when they need information about an unfamiliar brand in a familiar product category. example small appliances extended problem solving most complex process emplyoed when purchasing unfamiliar, expensive or infrequently bought products. example being a home problem regonition buyer becomes aware of a difference between a desired state and an actual condition. example want rhoman noodles but not in dorm room internal search buyers search their memories for information baout products that might solve their problem external search buyers seek information from outside sources influences on consumer buying decision process situational (circumstance) psychological (internal) social (external ) business markets group or individuals that purchase a specific kind of product for resale, direct use in producing other products, and use in daily operations (pen/ paper) convenience products relatively inexpensive, frequently purchased items for which buyers exert minimal purchasing effort shopping products items for which buyers are willing to expend considerable effort in planing and making purchases specialty products items with unique characteristics that buyers are willing to expend considerable effort to obtain unsought products products purchased to solve a sudden problem, products of which customers are unaware and products that people to not necessarily think about buying PLC starts below 0 becasue of sunk cost introduction stage the initial stage of a product's life cycle ( first appearance in the market) growth stage the stage of a products life cycle when sales rise rapidly a d PROFITS reach a PEAK and then start to decline maturity stage the longest stage of a products life cycle when the SALES CURVE PEAKS and starts to decline as profits continue to fall decline stage the stage of products life cycle when sales fall rapidly early majority adopt just prior to average person but seldom lead the market (average) late majority skeptics who adopt new products when it is necessary manufacter (national) brand brands imitated by produced (Sony or Panasonic) Private distrubutor (r) brands brands initiated and owned by resellers- wholesalers and retailers (sears brand is Maytag but whirlpool makes it, Arizona for JC Penny) generic brands brands indicating only the product. (prescription drugs) idea generation seeing product ideas to achieve objectives. get ideas from external sources such as customers and or internal sources such as managers screening choosing the most promising ideas for further review. Possible cannibalization (eating away at current product sales) new product ideas rejected at this stage concept testing seeking potential buyers' responses to a product idea (drawings with focus groups to test out ideas) business analysis evaluating the potential contribution of a product idea to the firms sales, cost, and profit intangibility a service that is not physical and cannot be touched such as spa massage inseparability being produced and consumed at the same time and cannot be pre produced. ( not having keys out before nails done ) perish ability the inability of unused service capacity to be stored for future use ( unsold basketball tickets) Doesnt LAst and Balance supply and demand heterogeneity variation in quality, labor intensive v. equipment based. (quality of marketing class MU vs MSU Client-based relationships interactions that result in satisfied customers who use a service repeatedly (hair dresser- follow wherever she goes) customer contact the level of interaction between provider and customer needed to deliver the service - high contact- hair/ message - low- garbage or dry cleaners intensive distributions convenience products: coke or pringles; use all outlets of distribution and high in replacement rates selective distribution shopping products: ipods tv shoes some outlets to distribute and have low replacement rates exclusive distribution specialty products : rolex Fendi bag single outlet vertical channel stabilize supply, reduce costs and increase coordination. combines two or more stages of MKT channel under one mgt. EX. food producer purchased a hog farm and now produces the meat and processes it too vertical marketing system managed by a single channel member. horizontal marketing system combines organizations at same level of operation physical distribution decrease cost and transport time while increasing customer service