Koofers

Exam 2 - Flashcards

Flashcard Deck Information

Class:MKT 320F - FOUNDATIONS OF MARKETING
Subject:Marketing
University:University of Texas - Austin
Term:Spring 2012
- of -
INCORRECT CORRECT
- INCORRECT     - CORRECT     - SKIPPED
Shuffle Remaining Cards Show Definitions First Take Quiz (NEW)
Hide Keyboard shortcuts
Next card
Previous card
Mark correct
Mark incorrect
Flip card
Start Over
Shuffle
      Mode:   CARDS LIST       ? pages   PRINT EXIT
economic buyers people who know all the facts and logically compare choices to get the greatest satisfaction from spending their time and money
economic needs making the best use of a consumer's time and money
needs basic forces that motivate a person to do something
wants "needs" that are learned during a person's life
Generated by Koofers.com
drive strong stimulus that encourages action to reduce a need
physiological needs concerned with biological needs: food, liquid, rest and sex
safety needs concerned with protection and physical well-being
social needs concerned with love, friendship, status, and esteem
Generated by Koofers.com
personal needs concerned with an individual's need for personal satisfaction
perception how we gather and interpret information from the world around us
selective retention
learning
Generated by Koofers.com
cues
selective perception
respon
response
Generated by Koofers.com
reinforcement
attitude a person's point of view toward something
belief person's opinion about something
expectation
Generated by Koofers.com
trust confidence a person has in the promises or actions of another person, brand or company
psychographics lifestyle analysis analysis of a person's day to day pattern of living as expressed in that person's activities, interests and opinions (AIO)
social class group of people who have approximately equal social position as viewed by others in the society
reference group people to whom an individual looks when forming attitudes about a particular topic
Generated by Koofers.com
opinion leader person who influences others
culture whole set of beliefs, attitudes, and ways of doing things of a reasonably homogenous set of people
extensive problem solving
low-involvement purchases purchases that have little importance or relevance for the customer
Generated by Koofers.com
dissonance feeling of uncertainty about whether the correct decision was made
adoption process
business and organizational customers
purchasing specifications
Generated by Koofers.com
ISO 9000 way for a supplier to document its quality procedures according to internationally recognized standards
purchasing managers buying specialists for their employers
multiple buying influence several people, perhaps even top management, play a part in making a purchase decision
buying center all the people who participate in or influence a purchase
Generated by Koofers.com
vendor analysis a formal rating of suppliers on all relevant areas of performance
requisition a request to buy something
new-task buying occurs when a customer organization has a new need and wants a great deal of information
straight rebuy a routine repurchase that may have been made many times before
Generated by Koofers.com
modified rebuy the in-between process where some review of the buying situation is done
competitive bid the terms of sale offered by the supplier in response to the purchase specifications posted by a buyer
just-in-time delivery reliably getting products there just before the customer needs them
negotiated contract buying agreeing to contracts that allow for changes in the purchase arrangements
Generated by Koofers.com
outsource contract an outside firm to produce goods or services rather than produce them internally
North American Industry Classification System (NAICS) codes groups of firms in similar lines of business
open to buy the buyers have budgeted funds that can be spent during the current period
resident buyers independent buying agents who work in central markets
Generated by Koofers.com
Foreign Corrupt Practices Act passed by US Congress in 1977
prohibits US firms from paying bribes to foreign officials
marketing research procedures that develop and analyze new information about a market
marketing information systems (MIS) an organized way of continually gathering, accessing, and analyzing information that marketing managers need to make ongoing decisions
intranet a system for linking computers within a company
Generated by Koofers.com
data warehouse a place where databases are stored so that they are available when needed
decision support system (DSS) computer program that makes it easy for a marketing manager to get and use information as he or she is making decisions
search engine a computer program that helps a marketing manager find information that is needed
marketing dashboard displays up-to-the-minute marketing data in an easy to read format
Generated by Koofers.com
marketing model statement of relationships among marketing variables
scientific method a decision-making approach that focuses on being objective and orderly in testing ideas before accepting them
hypotheses educated guesses about the relationships between things or about what will happen in the future
marketing research process five-step application of the scientific method that includes:
  1. defining the problem
  2. analyzing the situation
  3. getting problem-specific data
  4. interpreting the data
  5. solving the problem
Generated by Koofers.com
situation analysis an informal study of what information is already available in the problem area
secondary data information that has been collected or published already
primary data information specifically collected to solve a current problem
research proposal a plan that specifies that information will be obtained and how
Generated by Koofers.com
qualitative research seeks in-depth, open-ended responses, not yes or no answers
focus group interview involves interviewing 6-10 people in an informal group setting
quantitative research seeks structured responses that can be summarized in numbers, like percentages, averages, or other statistics
response rate the percentage of people contacted who complete the questionnaire
Generated by Koofers.com
consumer panels a group of consumers who provide information on a continuing basis
experimental method researchers compare the response of two (or more) groups that are similar except on the characteristic being tested
statistical packages easy-to-use computer programs that analyze data
population the total group they are interested in
Generated by Koofers.com
sample a part of the relevant population
confidence intervals the range on either side of an estimate that is likely to contain the true value for the whole population
validity concerns the extent to which data measure what they are intended to measure
product the need-satisfying offering of a firm
Generated by Koofers.com
quality the product's ability to satisfy a customer's needs or requirements
product assortment the set of all product lines and individual products that a firm sells
product line set of individual products that are closely related
individual product a particular product within a product line
Generated by Koofers.com
branding the use of a name, term, symbol or design or a combination of that, to identify a product
brand name a word, letter, or a group of words or letters
trademark includes only those words, symbols, or marks that are legally registered for use by a single company
service mark the same as a trademark except that it refers to a service offering
Generated by Koofers.com
brand familiarity how well customers recognize and accept a company's brand
brand rejection potential customers won't buy a brand unless its image is changed
brand nonrecognition final consumers don't recognize a brand at all
brand recognition customers remember the brand
Generated by Koofers.com
brand preference target customers usually choose the brand over other brands, perhaps because of habit or favorable past experience
brand insistence customers insist on a firm's branded product and are willing to search for it
brand equity value of a brand's overall strength in the market
Lanham Act (1946) spells out what kinds of marks (including brand names) can be protected and the exact method of protecting them
Generated by Koofers.com
family brand the same brand name for several products
licensed brand a well-known brand that sellers pay a fee to use
individual brands separate brand names for each product
generic products products that have no brand at all other than identification of their contents and the manufacturer or intermediary
Generated by Koofers.com
manufacturer brands brands created by producers
dealer brands (private brands) brands created by intermediaries
battle of the brands competition between dealer brands and manufacturer brands
packaging involves promoting, protecting, and enhancing the product
Generated by Koofers.com
universal product code (UPC) identifies each product with marks readable by electronic scanners
Federal Fair Packaging and Labeling Act (1966) requires that consumer goods be clearly labeled in easy-to-understand terms to give consumers more information
warranty explains what the seller promises about its product
Magnuson-Moss Act (1975) says that producers must provide a clearly written warranty if they choose to offer any warranty
Generated by Koofers.com
consumer products products meant for the final consumer
business products products meant for use in producing other products
convenience products products a consumer needs but isn't willing to spend much time or effort shopping for
staples products that are bought often, routinely, and without much thought
Generated by Koofers.com
impulse products products that are bought quickly
emergency products products that are purchased immediately when the need is great
shopping products products that a customer feels are worth the time and effort to compare with competing products
homogenous shopping products shopping products the customer sees as basically the same and wants at the lowest price
Generated by Koofers.com
heterogenous shopping products shopping products the customer sees as different and wants to inspect for quality and suitability
specialty products consumer products that the customer really wants and makes a special effort to find
unsought products products that potential customers don't yet want or know they can buy
new unsought products products offering really new ideas that potential customers don't know about yet
Generated by Koofers.com
regularly unsought products products, like gravestones, life insurance and encyclopedias, that stay unsought but not unbought forever
derived demand the demand for business products derives from the demand for final consumer products
expense item product whose total cost is treated as a business expense in the year it's purchased
capital item long-lasting product that can be used and depreciated for many years
Generated by Koofers.com
installations such as building, lands rights, and major equipment, are important capital items
accessories short-lived capital items-tools and equipment used in production or office activities
raw materials unprocessed expense items-such as logs, iron ore, and wheat-that are moved to the next production process with little handling
farm products grown by farmers, oranges, sugar cane, and cattle
Generated by Koofers.com
natural products products that occur in nature, such as timer, iron ore, oil and coal
components processed expense items that become part of a finished product
supplies expense items that do not become part of a finished product, can be:
1. maintenance
2. repair
3. operating supplies
MRO supplies
professional services specialized services that support a firm's operations
Generated by Koofers.com
product life cycle describes the stages a really new product idea goes through from beginning to end
market introduction sales are low as a new idea is first introduced to a market, customers aren't looking for the product
market growth industry sales grow fast, but industry profits rise and then start falling
the innovator's profits rise but competitors also enter the market
market maturity occurs when industry sales level off and competition gets tougher, many aggressive competitors have entered the race for profits
Generated by Koofers.com
sales decline new products replace the old, price competition from dying products becomes more vigorous, but firms with strong brands may make profits until the end because they have successfully differentiated their product
fashion the currently accepted or popular style, tend to have short life cycles
fad an idea that is fashionable only to certain groups who are enthusiastic about it, but groups are so fickle that fads are even more short lived than fashions
new product one that is new in any way for the company concerned
Generated by Koofers.com
Federal Trade Commission (FTC) the federal government agency that polices antimonopoly laws
Consumer Product Safety Act (1972) set up the Consumer Product Safety Commission to encourage safety in product design and better quality control
product liability the legal obligation of sellers to pay damages to individuals who are injured by defective or unsafe products
concept testing getting reactions from customers about how well a new product idea fits their needs
Generated by Koofers.com
product managers/brand managers manage specific products, often taking over the jobs formerly handled by an advertising manager
total quality management (TQM) the philosophy that everyone in the organization is concerned about quality, throughout all of the firm's activities, to better serve customer needs
continuous improvement a commitment to constantly make things better one step at a time
Pareto chart a graph that shows the number of times a problem cause occurs, with problem causes ordered from most frequent to least frequent
Generated by Koofers.com
fishbone diagram a visual aid that helps organize cause-and-effect relationships for "things gone wrong"
empowerment giving employees the authority to correct a problem without first checking with management
Generated by Koofers.com

List View: Terms & Definitions

  Hide All 146 Print
 
Front
Back
 economic buyerspeople who know all the facts and logically compare choices to get the greatest satisfaction from spending their time and money
 economic needsmaking the best use of a consumer's time and money
 needsbasic forces that motivate a person to do something
 wants"needs" that are learned during a person's life
 drivestrong stimulus that encourages action to reduce a need
 physiological needsconcerned with biological needs: food, liquid, rest and sex
 safety needsconcerned with protection and physical well-being
 social needsconcerned with love, friendship, status, and esteem
 personal needsconcerned with an individual's need for personal satisfaction
 perceptionhow we gather and interpret information from the world around us
 selective retention
 learning 
 cues 
 selective perception 
 respon 
 response 
 reinforcement 
 attitudea person's point of view toward something
 beliefperson's opinion about something
 expectation 
 trustconfidence a person has in the promises or actions of another person, brand or company
 psychographics lifestyle analysisanalysis of a person's day to day pattern of living as expressed in that person's activities, interests and opinions (AIO)
 social classgroup of people who have approximately equal social position as viewed by others in the society
 reference grouppeople to whom an individual looks when forming attitudes about a particular topic
 opinion leaderperson who influences others
 culturewhole set of beliefs, attitudes, and ways of doing things of a reasonably homogenous set of people
 extensive problem solving 
 low-involvement purchasespurchases that have little importance or relevance for the customer
 dissonancefeeling of uncertainty about whether the correct decision was made
 adoption process 
 business and organizational customers 
 purchasing specifications 
 ISO 9000way for a supplier to document its quality procedures according to internationally recognized standards
 purchasing managersbuying specialists for their employers
 multiple buying influenceseveral people, perhaps even top management, play a part in making a purchase decision
 buying centerall the people who participate in or influence a purchase
 vendor analysisa formal rating of suppliers on all relevant areas of performance
 requisitiona request to buy something
 new-task buyingoccurs when a customer organization has a new need and wants a great deal of information
 straight rebuya routine repurchase that may have been made many times before
 modified rebuythe in-between process where some review of the buying situation is done
 competitive bidthe terms of sale offered by the supplier in response to the purchase specifications posted by a buyer
 just-in-time deliveryreliably getting products there just before the customer needs them
 negotiated contract buyingagreeing to contracts that allow for changes in the purchase arrangements
 outsourcecontract an outside firm to produce goods or services rather than produce them internally
 North American Industry Classification System (NAICS) codesgroups of firms in similar lines of business
 open to buythe buyers have budgeted funds that can be spent during the current period
 resident buyersindependent buying agents who work in central markets
 Foreign Corrupt Practices Actpassed by US Congress in 1977
prohibits US firms from paying bribes to foreign officials
 marketing researchprocedures that develop and analyze new information about a market
 marketing information systems (MIS)an organized way of continually gathering, accessing, and analyzing information that marketing managers need to make ongoing decisions
 intraneta system for linking computers within a company
 data warehousea place where databases are stored so that they are available when needed
 decision support system (DSS)computer program that makes it easy for a marketing manager to get and use information as he or she is making decisions
 search enginea computer program that helps a marketing manager find information that is needed
 marketing dashboarddisplays up-to-the-minute marketing data in an easy to read format
 marketing modelstatement of relationships among marketing variables
 scientific methoda decision-making approach that focuses on being objective and orderly in testing ideas before accepting them
 hypotheseseducated guesses about the relationships between things or about what will happen in the future
 marketing research processfive-step application of the scientific method that includes:
  1. defining the problem
  2. analyzing the situation
  3. getting problem-specific data
  4. interpreting the data
  5. solving the problem
 situation analysisan informal study of what information is already available in the problem area
 secondary datainformation that has been collected or published already
 primary datainformation specifically collected to solve a current problem
 research proposala plan that specifies that information will be obtained and how
 qualitative researchseeks in-depth, open-ended responses, not yes or no answers
 focus group interviewinvolves interviewing 6-10 people in an informal group setting
 quantitative researchseeks structured responses that can be summarized in numbers, like percentages, averages, or other statistics
 response ratethe percentage of people contacted who complete the questionnaire
 consumer panelsa group of consumers who provide information on a continuing basis
 experimental methodresearchers compare the response of two (or more) groups that are similar except on the characteristic being tested
 statistical packageseasy-to-use computer programs that analyze data
 populationthe total group they are interested in
 samplea part of the relevant population
 confidence intervalsthe range on either side of an estimate that is likely to contain the true value for the whole population
 validityconcerns the extent to which data measure what they are intended to measure
 productthe need-satisfying offering of a firm
 qualitythe product's ability to satisfy a customer's needs or requirements
 product assortmentthe set of all product lines and individual products that a firm sells
 product lineset of individual products that are closely related
 individual producta particular product within a product line
 brandingthe use of a name, term, symbol or design or a combination of that, to identify a product
 brand namea word, letter, or a group of words or letters
 trademarkincludes only those words, symbols, or marks that are legally registered for use by a single company
 service markthe same as a trademark except that it refers to a service offering
 brand familiarityhow well customers recognize and accept a company's brand
 brand rejectionpotential customers won't buy a brand unless its image is changed
 brand nonrecognitionfinal consumers don't recognize a brand at all
 brand recognitioncustomers remember the brand
 brand preferencetarget customers usually choose the brand over other brands, perhaps because of habit or favorable past experience
 brand insistencecustomers insist on a firm's branded product and are willing to search for it
 brand equityvalue of a brand's overall strength in the market
 Lanham Act (1946)spells out what kinds of marks (including brand names) can be protected and the exact method of protecting them
 family brandthe same brand name for several products
 licensed branda well-known brand that sellers pay a fee to use
 individual brandsseparate brand names for each product
 generic productsproducts that have no brand at all other than identification of their contents and the manufacturer or intermediary
 manufacturer brandsbrands created by producers
 dealer brands (private brands)brands created by intermediaries
 battle of the brandscompetition between dealer brands and manufacturer brands
 packaginginvolves promoting, protecting, and enhancing the product
 universal product code (UPC)identifies each product with marks readable by electronic scanners
 Federal Fair Packaging and Labeling Act (1966)requires that consumer goods be clearly labeled in easy-to-understand terms to give consumers more information
 warrantyexplains what the seller promises about its product
 Magnuson-Moss Act (1975)says that producers must provide a clearly written warranty if they choose to offer any warranty
 consumer productsproducts meant for the final consumer
 business productsproducts meant for use in producing other products
 convenience productsproducts a consumer needs but isn't willing to spend much time or effort shopping for
 staplesproducts that are bought often, routinely, and without much thought
 impulse productsproducts that are bought quickly
 emergency productsproducts that are purchased immediately when the need is great
 shopping productsproducts that a customer feels are worth the time and effort to compare with competing products
 homogenous shopping productsshopping products the customer sees as basically the same and wants at the lowest price
 heterogenous shopping productsshopping products the customer sees as different and wants to inspect for quality and suitability
 specialty productsconsumer products that the customer really wants and makes a special effort to find
 unsought productsproducts that potential customers don't yet want or know they can buy
 new unsought productsproducts offering really new ideas that potential customers don't know about yet
 regularly unsought productsproducts, like gravestones, life insurance and encyclopedias, that stay unsought but not unbought forever
 derived demandthe demand for business products derives from the demand for final consumer products
 expense itemproduct whose total cost is treated as a business expense in the year it's purchased
 capital itemlong-lasting product that can be used and depreciated for many years
 installationssuch as building, lands rights, and major equipment, are important capital items
 accessoriesshort-lived capital items-tools and equipment used in production or office activities
 raw materialsunprocessed expense items-such as logs, iron ore, and wheat-that are moved to the next production process with little handling
 farm productsgrown by farmers, oranges, sugar cane, and cattle
 natural productsproducts that occur in nature, such as timer, iron ore, oil and coal
 componentsprocessed expense items that become part of a finished product
 suppliesexpense items that do not become part of a finished product, can be:
1. maintenance
2. repair
3. operating supplies
MRO supplies
 professional servicesspecialized services that support a firm's operations
 product life cycledescribes the stages a really new product idea goes through from beginning to end
 market introductionsales are low as a new idea is first introduced to a market, customers aren't looking for the product
 market growthindustry sales grow fast, but industry profits rise and then start falling
the innovator's profits rise but competitors also enter the market
 market maturityoccurs when industry sales level off and competition gets tougher, many aggressive competitors have entered the race for profits
 sales declinenew products replace the old, price competition from dying products becomes more vigorous, but firms with strong brands may make profits until the end because they have successfully differentiated their product
 fashionthe currently accepted or popular style, tend to have short life cycles
 fadan idea that is fashionable only to certain groups who are enthusiastic about it, but groups are so fickle that fads are even more short lived than fashions
 new productone that is new in any way for the company concerned
 Federal Trade Commission (FTC)the federal government agency that polices antimonopoly laws
 Consumer Product Safety Act (1972)set up the Consumer Product Safety Commission to encourage safety in product design and better quality control
 product liabilitythe legal obligation of sellers to pay damages to individuals who are injured by defective or unsafe products
 concept testinggetting reactions from customers about how well a new product idea fits their needs
 product managers/brand managersmanage specific products, often taking over the jobs formerly handled by an advertising manager
 total quality management (TQM)the philosophy that everyone in the organization is concerned about quality, throughout all of the firm's activities, to better serve customer needs
 continuous improvementa commitment to constantly make things better one step at a time
 Pareto charta graph that shows the number of times a problem cause occurs, with problem causes ordered from most frequent to least frequent
 fishbone diagrama visual aid that helps organize cause-and-effect relationships for "things gone wrong"
 empowermentgiving employees the authority to correct a problem without first checking with management
36, "/var/app/current/tmp/"