Marketing Topics Details for preparation of exam
Transcript of Marketing Topics Details for preparation of exam
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1. Definition of Marketing:The process by which companies create value for customers and buildstrong customer relationships in order to capture value from customersin return.
Needs: states of felt deprivation
Wants: the form human needs take as shaped by culture andindividual personality.Demands: Human wants that are backed by buying power.
2. Market Offering:Some combination of products services information or experiencesoffered to a market to satisfy a need or want.
3. Marketing Myopia:The mistake of paying more attention to the specific productsaccompany offers than to the benefitrs and experiences produced bythese products.
4. Exchange:The act of obtaining a desired object from someone by offeringsomething in return.
5. Market:The set of all actual and potential buyers of a product or service.
Chapter 1
Nature and scope of marketing
1. Marketing management:The art and science of choosing target markets and building profitablerelationships with them.Evolution of marketing
a. Product orientation stage: the idea that consumers will favorproducts that offer the most quality performance and featuresand that organization should therefore devote its energy tomaking continuous product improvements.
b. Sales orientation stage: the idea that consumers will not buyenough of the firms products unless it undertakes a large-scaleselling and promotion effort.
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c. Market orientation stage: the marketing managementphilosophy that achieving organizational goals depend onknowing the needs and wants of target markets and deliveringthe desired satisfactions better than competitors do.
2. The market conceptImplementation the marketing concept
a. Customer Orientationb. Relationship
A company marketing program
3. Ethics and marketing
What is Ethical Behaviour?Ans:
Manners are Ethics.
Ethics differ person to person depends upon culture and society.
Marketers are responsible for to a variety of groups.
4. PESTELP: PoliticalE: Economical
S: SocialT: TechnologicalE: EnvironmentalL: Legal
5. SwotS: StrengthW: WeaknesO: OppurtunityT: Threats
Importance of marketing
a. Globallyb. Domesticallyc. Organizationally
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Chapter 2
1. Environmental Monitoring: The actors and forces outsidemarketing that affect marketing managements ability to buildand maintain successful relationships with target customers.
Two types of marketing environments:a: Microenvironmentb: Macroenvironmet
a. External Macro Environment:The larger societal forces thataffect the following microenvironment:
Demographics: Human population in terms of size,density, location, age, gender, race, occupation and otherstatistics.
Economic Environment: Factors that affect consumerbuying power and spending patterns.
Competition:
Social and cultural forces: Institutions and other forcesthat affect societys basic values perceptions preferencesand behaviors.
PoliticalEnvironment: Laws, government agencies, and
pressure groups that influence and limit variousorganizations and individuals in a given society.
Technological Environmental: Forces that create newtechnologies creating new product and marketopportunities.
b. External Micro Environment:The actors close to the companythat affect its ability to serve its customers-the companysuppliers marketing intermediaries customer marketscompetitors and publics.
The Market: In designing market plans, marketingmanagement takes other company groups into account-groups such as top management, finance, research anddevelopment, purchasing, operations and accounting.
Suppliers: Customer value delivery system
Marketing Intermediates: Firms that help the companyto promote sell and distribute its goods to final buyers;
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they include resellers physical distribution firms, marketingservice agencies and financial intermediaries.
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Chapter 4
1. The consumer market:The buying behavior of finalconsumers-individuals and households who buy goodsand services for personal consumption.
Geographic distribution The rural population
The urban population
2. Consumer demographics Age
Education and income
Race and ethnicity
3. Consumer decision making / Consumer Buying
Behaviour
A) The Consumer Buying Behavior process:The consumer buying behavior is in situations
Need Recognition: The Consumer is moved to action by a need ordesire
Identification of Alternatives: The consumer identifies alternativeproducts and brands and collects information about them.
Evaluation of alternatives: The consumer weighs the poors and consof the alternatives identification.
Decisions: The consumer decides to buy or not to buy and makes otherdecisions related to the purchase.
Post purchase behavior: The consumer seeks reassurance that thechoice made was the correct one.
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Chapter 5
1. Nature and the scope of the business market
2. Components of the business market The agricultural market
The reseller market The government market
The service market
The nonbusiness business market:
The international market
3. Characteristics of business market demand Demand is derived:
Demand is inelastic
Demand fluctuates
Buyers are well informed
4. Determinants of business market demand Describing business markets
Profile of buyers
Size of business buyers
Regional concentration of business buyers
Vertical and horizontal business markets
5. Buying power of business
Measures of manufacturing activity Measures of mining activity
Measures of agricultural activity
6. Business buying behavior The importance of business buying
Buying decision process in business
Motives of business buyers
7. Types of buying situations Multiple buying influences the buying center Buyer seller relationships
8. Buying practices of business users Direct purchase
Frequency of purchase
Size of order
Length of negotiation period
Service expectation
Dependability of supply
Leasing
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Chapter 6
1.An overview of market segments and targetmarkets
Market segmentation
Benefits of market segmentation
The process of market segmentation
Ultimate consumers and business users the first cut
2. Segmentation consumer market Geographic segmentation
Regional population distribution
3. Demographic segmentation4. Psychographic segmentation
Personality characteristics
Lifestyle
Values
5. Behavior segmentation Benefit desired
Usage rate
6. Segmentation business market
Customer location
Customer type
Industry
Size
Organization structure
Purchase criteria
7. Transaction conditions Buying situation
Usage rate
Purchase procedure
8. Target market strategies Aggregation strategy
Single segment strategy
Multiple segment strategy
9. Positioning10. Forecasting market demand
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11. Basic forecasting terms Market share
Market factor
Market potential sales potential and sales forecasting
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Chapter 7
1. The market research function
Uses of marketing research
2. What is marketing research?3. Scope of marketing research activities4. Marketing information systems
Designing a marketing information system
Global marketing information system
Decision support systems
Databases data warehouses and data mining
5. Major data sources Marketing research projects
Analyze the data and present a primary report
Ethical issues in marketing research
Status of marketing research
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Chapter 8
1. Classification of products Consumer and business product
Classification of consumer goods
Convenience goods
Shopping goods Specialty goods
2. Classification of business goods Raw material
Fabricating materials and parts
Installation
3. Importance of product innovation Development of new products
Product criteria for new products New product adoption and diffusion
Chapter 9Product Mix and Line:
All products of Nestle which are offered to consumers.
Product Line: No. of all products of Nestle.
Product Breadth: No. of all products of Nestle milk.
Product Depth: No. of all products of Nestle in Product Line.
Positioning the Product:
Positioning in Relation to a Competitors:
Positioning by Price and Quality:
Product Mix Extension:Product Line Extension:
Product Mix Contraction:
Trading Up and Trading Down:
1. Product mix and product line2. Product Mix Strategies3. Positioning and product
4. Product mix expansion
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5. The product life cycle
Length of product life cycle
Life cycle is related to a market
Life cycle management6. Planned obsolescence and fashion
Nature of planned obsolescence
Nature of style and fashion
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Chapter 12
1. Meaning of price2. Importance of price
In the economy
In the consumer mind
In the individual firm
3. Pricing objectives Profit orientated goals
Sales orientated goals
Status quo goals
4. Factors influencing price Determination Determination demand
Competitive reactions
5. Cost plus pricing Prices based on marginal costs only
6. Break even analysis7. Prices based on marginal analysis8. Prices set in relation to market alone9. Pricing below competition
Pricing above competition
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Chapter 14
Channels of Distribution
1. What is Distribution? Flow of goods through
manufacture and consumer.2. Competitor Edge: A betterness of a company. The
quality of a company which differs it from itscompetitors.
3. Middlemen: A middleman is a business firm thatrenders services related directly to the sale and/orpurchase of a product as it flows from producer to
consumer.
There are two types of Middlemen:a. Merchant middlemen: take title to the products theyhelp to market
4. Middlemen and distribution Channels:A distribution channel consists of the set of people andfirms involved in the transfer of title to products as theproduct moves from producer to ultimate consumer orbusiness user.
A channel of distribution always includes both theproducer and the final customer for the product in itspresent form as well as any middlemen such as retailersand wholesalers.
5. Major Channels of Distribution:
a. Distribution of consumer goods: Five channels arewidely used in marketing tangible products to ultimate
consumers:
i) Producer to consumer:The shortest simplestdistribution channel for consumer goods involves nomiddlemen.
ii) Producer to retailer to consumer: Many largeretailers buy directly from manufactures andagricultural producers. Middlemen is involved.
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iii) Producer to wholesaler to retailer to consumer:The traditional channel for consumer goods. Smallmanufacturers and retailers find this channel.
iv) Producer to agent to retailer to consumer:Instead of wholesalers, many producers prefer to relyon agent middlemen to reach the retail market,especially large-scale retailers.
v) Producer to agent to wholesaler to consumer:To reach small and large scale stores producers oftenuse ages tans middlemen.
b.Distribution of Business Goods:
i) Producer to user: All large scale channels such asjet engine, helicopters are usually sold directly tousers.
ii) Producer to Industrial Distributor to user:Producers of operating supplies and small accessoryequipment frequently use industrial distributionchannels to reach their markets.
iii) Producer to industrial distributors to resellerto user:This channel is common for computerproducts and related high-tech items.
iv) Producer to agent to user: A company that wantsto introduce a new product..
v) Producer to agent to industrial distributors touser:This channel is similar to the preceding one.
c. Distribution of Services: services creates specialdistribution requirements.
i) Producer to consumer: Because a service isintangible, the production process and sales activityoften require personal contact b/w producer andconsumer.
ii) Producer to agent to consumer: Agentsfrequently assist a services producer with transfer ofownership (the sale task)..