Marketing: Marketing Exam 2 Flashcards


Set Details Share
created 11 years ago by andrea_bowlen
1,000 views
book cover
Marketing
Chapters 9, 11-16, 20, 21
Chapter 11, 12, 13, 14, 20, 21, 15, 16, 9
Grade levels:
College: Third year
Subjects:
marketing, business & economics
show moreless
Page to share:
Embed this setcancel
COPY
code changes based on your size selection
Size:
X
Show:

1

Good

A tangible physical entity

2

Service

An intangible result of the application of human and mechanical efforts to people or objects

3

Idea

A concept, philosophy, image, or issue

4

Consumer Products

Products purchased to satisfy personal and family needs

5

Business Products

Products bought to use in a firm’s operations, to resell, or to make other products

6

Convenience Products

Relatively inexpensive, frequently purchased items for which buyers exert minimal purchasing effort

7

Shopping Products

Items for which buyers are willing to expend considerable effort in planning and making purchases

8

Specialty Products

Items with unique characteristics that buyers are willing to expend considerable effort to obtain

9

Unsought Products

Products purchased to solve a sudden problem, products of which customers are unaware, and products that people do not necessarily think of buying

10

Installations

Facilities and non-portable major equipment

11

Accessory Equipment

Equipment that does not become part of the final physical product but is used in production or office activities

12

Raw Materials

Basic natural materials that become part of a physical product

13

Component Parts

Items that become part of the physical product and are either finished items ready for assembly or items that need little processing before assembly

14

Process Materials

Materials that are used directly in the production of other products but are not readily identifiable

15

MRO Supplies

Maintenance, repair, and operating items that facilitate production and operations but do not become part of the finished product

16

Business Services

Intangible products that many organizations use in their operations

17

Product Item

A specific version of a product that can be designated as a distinct offering among a firm’s products

18

Product Line

A group of closely related product items viewed as a unit because of marketing, technical, or end-use considerations

19

Product Mix

The composite, or total, group of products that an organization makes available to customers

20

Width of Product Mix

The number of product lines a company offers

21

Depth of Product Mix

The average number of different products offered in each product line

22

Product Life Cycle

The progression of a product through four stages: introduction, growth, maturity, and decline

23

Introduction Stage

The initial stage of a product’s life cycle; its first appearance in the marketplace when sales start at zero and profits are negative

24

Growth Stage

The product life-cycle stage when sales rise rapidly, profits reach a peak, and then they start to decline

25

Maturity Stage

The stage of a product’s life cycle when the sales curve peaks and starts to decline, and profits continue to fall

26

Decline Stage

The stage of a product’s life cycle when sales fall rapidly

27

Production Adoption Process

The five-stage process of buyer acceptance of a product: awareness, interest, evaluation, trial, and adoption

28

Innovators

First adopters of new products

29

Early Adopters

People who adopt new products early, choose new products carefully, and are viewed as “the people to check with” by later adopters

30

Early Majority

Individuals who adopt a new product just prior to the average person

31

Late Majority

Skeptics who adopt new products when they feel it is necessary

32

Laggards

The last adopters, who distrust new products

33

Line Extension

Development of a product that is closely related to existing products in the line but is designed specifically to meet different customer needs

34

Production Modification

Means changing one or more characteristics of a product

35

Quality Modification

Changes relating to a product’s dependability and durability

36

Functional Modification

Changes affecting a products versatility, effectiveness, convenience, or safety

37

Aesthetic Modification

Changes relating to the sensory appeal of a product

38

New-Product Development Process

A seven-phase process for introducing products: idea generation, screening, concept testing, business analysis, product development, test marketing, and commercialization

39

Idea Generation

Seeking product ideas to achieve organizational objectives

40

Screening

Selecting the ideas with the greatest potential for further review

41

Concept Testing

Seeking a sample of potential buyers’ responses to a product idea

42

Business Analysis

Evaluating the potential impact of a product idea on the firm’s sales, costs, and profits

43

Product Development

Determining if producing a product is technically feasible and cost effective

44

Test Marketing

A limited introduction of a product in geographic areas chosen to represent the intended market

45

Commercialization

Refining and finalizing plans and budgets for full-scale manufacturing and marketing of a product

46

Product Differentiation

Creating and designing products so that customers perceive them as different from competing products

47

Quality

The overall characteristics of a product that allow it to perform as expected in satisfying customer needs

48

Level of Quality

The amount of quality a product possess

49

Consistency of Quality

The degree to which a product has the same level of quality over time

50

Product Design

How a product is conceived planned, and produced

51

Styling

The physical appearance of a product

52

Product Features

Specific design characteristics that allow a product to perform certain tasks

53

Customer Services

Human or mechanical efforts or activities that add value to a product

54

Product Deletion

Eliminating a product from the product mix when it no longer satisfies a sufficient number of customers

55

Product Manager

The person within an organization who is responsible for a product, a product line, or several distinct products that make up a group

56

Brand Manager

The person responsible for a single brand

57

Marketing Manager

The person responsible for managing the marketing activities that serve a particular group of customers

58

Venture Team

A cross functional group that creates entirely new products that may be aimed at new markets

59

Intangibility

The characteristic that a service is not physical and cannot be perceived by the senses

60

Inseparability

The quality of being produced and consumed at the same time

61

Perishability

The inability of unused service capacity to be stored for future use

62

Heterogeneity

Variation in quality

63

Client-Based Relationships

Interactions that result in satisfied customers who use a service repeatedly over time

64

Customer Contact

The level of interaction between provider and customer needed to deliver the service

65

Service Quality

Customers’ perceptions of how well a service meets or exceeds their expectations

66

Search Qualities

Tangible attributes that can be judged before the purchase of a product

67

Experience Qualities

Attributes that can be assessed only during purchase and consumption of a service

68

Credence Qualities

Attributes that customers may be unable to evaluate even after purchasing and consuming a service

69

Nonprofit Marketing

Marketing activities conducted to achieve some goal other than ordinary business goals such as profit, market share, or return on investment

70

Target Public

A collective of individuals who have an interest in or concern about an organization, product, or social cause

71

Client Publics

Direct consumers of a product of a nonprofit organization

72

General Publics

Indirect consumers of a product of a nonprofit organization

73

Opportunity Cost

The value of the benefit given up by choosing one alternative over another

74

Brand

A name, term, design, symbol, or other feature that identifies one marketer’s product as distinct from those of other marketers

75

Brand Name

The part of a brand that can be spoken, including letters, words, and numbers

76

Brand Mark

The part of a brand that is not made up of words, such as a symbol or design

77

Trademark

A legal designation of exclusive use of a brand

78

Trade Name

The full legal name of an organization

79

Brand Loyalty

A customer’s favorable attitude toward a specific brand

80

Brand Recognition

The degree of brand loyalty in which a customer is aware that a brand exists and views the brand as an alternative purchase if their preferred brand is unavailable

81

Brand Preference

The degree of brand loyalty in which a customer prefers one brand over competitive offerings

82

Brand Insistence

The degree of brand loyalty in which a customer strongly prefers a specific brand and will accept no substitute

83

Brand Equity

The marketing and financial value associated with a brand’s strength in a market

84

Manufacturer Brand

A brand initiated by producers to ensure that producers are identified with their products at the point of purchase

85

Private Distributor Brand

A brand initiated and owned by a reseller

86

Generic Brand

A brand indicating only the product category

87

Individual Branding

A branding strategy in which each product is given a different name

88

Family Branding

Branding all of a firm’s products with the same name or part of the name

89

Brand Extension

An organization uses one of its existing brands to brand a new product in a different product category

90

Co-Branding

Using two or more brands on one product

91

Brand Licensing

An agreement whereby a company permits another organization to use its brand on other products for a licensing fee

92

Family Packaging

Using similar packaging for all of a firm’s products or packaging that has one common design element

93

Labeling

Providing identifying, promotional, or other information on package labels

94

Universal Product Code (UPC)

A series of electronically readable lines identifying a product and containing inventory and pricing information

95

Price

The value paid for a product in a marketing exchange

96

Barter

The trading of products

97

Price Competition

Emphasizing price as an issue and matching or beating competitors’ prices

98

Non-price Competition

Emphasizing factors other than price to distinguish a product from competing brands

99

Demand Curve

A graph of the quantity of products expected to be sold at various prices if other factors remain constant

100

Price Elasticity of Demand

A measure of the sensitivity of demand to changes in price

101

Fixed Costs

Costs that do not vary with changes in the number of units produced or sold

102

Average Fixed Cost

The fixed cost per unit produced

103

Variable Costs

Costs that vary directly with changes in the number of units produced or sold

104

Average Variable Cost

The variable cost per unit produced

105

Total Cost

The sum of average fixed and average variable costs times the quantity produced

106

Average Total Cost

The sum of the average fixed cost and the average variable cost

107

Marginal Cost (MC)

The extra cost incurred by producing one more unit of a product

108

Marginal Revenue (MR)

The change in total revenue resulting from the sale of an additional unit of a product

109

Break-Even Point

The point at which the costs of producing a product equal the revenue made from selling the product

110

Internal Reference Price

A price developed in the buyer’s mind through experience with the product

111

External Reference Price

A comparison price provided by others

112

Value Conscious

Concerned about price and quality of a product

113

Price Conscious

Striving to pay low prices

114

Prestige Sensitive

Drawn to products that signify prominence and status

115

Price Discrimination

Employing price differentials that inure competition by giving one or more buyers a competitive advantage

116

Trade (Functional) Discount

A reduction off the list price a producer gives to an intermediary for performing certain functions

117

Quantity Discounts

Deductions from the list price for purchasing in large quantities

118

Cumulative Discounts

Quantity discounts aggregated over a stated time period

119

Noncumulative Discounts

Onetime price reductions based on the number of units purchased, the dollar value of the order, or the product mix purchased

120

Cash Discounts

Price reductions given to buyers for prompt payment or cash payment

121

Seasonal Discount

A price reduction given to buyers for purchasing goods or services out of season

122

Allowance

A concession in price to achieve a desired goal

123

Geographic Pricing

Reductions for transportation and other costs related to the physical distance between buyer and seller

124

F.O.B. Factory

The price of merchandise at the factory before shipment

125

F.O.B. Destination

A price indicating the producer is absorbing shipping costs

126

Uniform Geographic Pricing

Charging all customers the same price, regardless of geographic location

127

Zone Pricing

Pricing based on transportation costs within major geographic zones

128

Base-Point Pricing

Geographic pricing that combines factory price and freight charges from the base point nearest the buyer

129

Freight Absorption Pricing

Absorption of all or part of actual freight costs by the seller

130

Transfer Pricing

Prices charged in sales between an organization’s units

131

Pricing Objectives

Goals that describe what a firm wants to achieve through pricing

132

Cost-Based Pricing

Adding a dollar amount or percentage to the cost of the product

133

Cost-Plus Pricing

Adding a specified dollar amount or percentage to the seller’s cost

134

Markup Pricing

Adding to the cost of the product a predetermined percentage of that cost

135

Demand-Based Pricing

Pricing based on the level of demand for the product

136

Competition-Based Pricing

Pricing influenced primarily by competitors’ prices

137

Differential Pricing

Charging different prices to different buyers for the same quality and quantity of product

138

Negotiated Pricing

Establishing a final price through bargaining between seller and customer

139

Secondary-Market Pricing

Setting one price for the primary target market and a different price for another market

140

Periodic Discounting

Temporary reduction of prices on a patterned or systematic basis

141

Random Discounting

Temporary reduction of prices on an unsystematic basis

142

Price Skimming

Charging the highest possible price that buyers who most desire the product will pay

143

Penetration Pricing

Setting prices below those of competing brands to penetrate a market and gain a significant market share quickly

144

Product-Line Pricing

Establishing and adjusting prices of multiple products within a product line

145

Captive Pricing

Pricing the basic product in a product line low, while pricing related items higher

146

Premium Pricing

Pricing the highest-quality or most versatile products higher than other models in the product line

147

Bait Pricing

Pricing an item in a product line low with the intention of selling a higher-priced item in the line

148

Price Lining

Setting a limited number of prices for selected groups or lines of merchandise

149

Psychological Pricing

Pricing that attempts to influence a customer’s perception of price to make a product’s price more attractive

150

Reference Pricing

Pricing a product at a moderate level and displaying it next to a more expensive model or brand

151

Bundle Pricing

Packaging together two or more complementary products and selling them at a single price

152

Multiple-Unit Pricing

Packaging together two or more identical products and selling them at a single price

153

Everyday Low Prices (EDLP)

Pricing products low on a consistent basis

154

Odd-Even Pricing

Ending the price with certain numbers to influence buyers’ perceptions of the price or product

155

Customary Pricing

Pricing on the basis of tradition

156

Prestige Pricing

Setting prices at an artificially high level to convey prestige or a quality image

157

Professional Pricing

Fees set by people with great skill or experience in a particular field

158

Price Leaders

A product priced below the usual markup, near cost, or below cost

159

Special-Event Pricing

Advertised sales or price cutting linked to a holiday, a season, or an event

160

Comparison Discounting

Setting a price at a specific level and comparing it with a higher price