An Overview of Strategic Marketing Chapter. 1

Why study Marketing?

1. Production and marketing of goods and services are the essence of ____________ life in any society. They create a benefit call _________. Marketing makes food available when we want it (_______); where we want it (________); in desired quantities (_______); & it help with ownership exchange (___________).

2. Marketing Is Important to Business: The fundamental objectives of most business are ____________, __________, and __________. Marketing contributes directly to achieving these objectives.

3. Marketing Offers Outstanding Career Opportunities: Between a __ and a ______ of the entire civilian workforce in the U.S. performs marketing activities. As the global marketplace becomes more challenging, companies all over the world have to become better ______________________.

4. Marketing knowledge and skills enhance consumers ____________ and help provide people with satisfying goods and services. 5. The cost of marketing activities consumer approximately _______ of the consumer’s dollar

6. Marketing is much more fun than __________.

Marketing The process of ____________, _____________, ____________, and __________ products to facilitate satisfying __________ relationships with customers in a _______________ environment.

Marketing Mix (4P’s) __________ The Focal Point of all Marketing activities. ________ _______ ________ ______________________

__________ Market A ____________ group of customers on whom a company ______________ its marketing efforts. * Marketing managers strive to develop a marketing mix that matches the ______ of the _______________ market.

Marketing ___________ Four marketing activities -- ______, _______, _________, and _______ (distribution) -- that a firm can ____________ to meet the needs of customers within its target market. I. Product: it can be a __________, a ______________, or an _________.

A. Good: A physical, concrete product you ________________. B. Service: The application of _______ and ___________ effort to people or objects to provide ______________ benefits to customers.

C. Ideas: They include __________, philosophies, images, and ______: i C. Ideas: They include __________, philosophies, images, and ______: i.e., Mothers Against Drunk Driving (MADD) is a group that works to change attitudes and laws about driving under the influence of alcohol. MADD primarily markets _______.

II. Distribution (Place): To satisfy customers, products must be available at the right ___________, in the right ________, and in _________ locations.

III. Promotion: This variable is related to activities used to ______ individuals or groups about an organization and its products. Promotional Mix: ______________, ______________, ________________________, & _________________________.

IV. Price: This variable relates to ____________ and _____________ associated with establishing pricing objectives and policies and determining product prices. * The marketing mix variables are often viewed as _______________ because they __________ modified.

Promotion Price Production Distribution production A change in CoreCam’s strategy from selling its computers through direct mail order to selling them in office supply stores as well as direct mail is a change in: Promotion Price Production Distribution production

When DataComp Corp., a producer of computer software, delayed the introduction of its new spreadsheet program to modify the package, schedule magazine advertisements announcing the new product had to be revised. In this case, a change in the _______ variable caused changes in the ______ variable of the marketing mix. A. distribution; promotion D. promotion; price B. distribution; mkt. timing E. product; promotion C. production; mkt. timing

Money, credit, labor, goods Exchange Process Something of Value Money, credit, labor, goods Exchange: The _________________ of goods, services, or ideas in return for something of value ______ _______ Something of Value Goods, services, ideas

Conditions for an Exchange to Occur (4) 1st. Two or more individuals, groups, or organizations must participate and each must possess “______________ ___________” that the other desires. 2nd. The exchange must provide a ____________________________ to both parties.

3rd. Each must have _______________ in the promise of the “something of value” held by the other. 4th. Both parties to the exchange must meet ________________.

A. Profits for the seller Marketing facilitates exchange relationships between a buyer and a seller. What is the intended outcome of this relationship? A. Profits for the seller B. A good bargain on the product for the buyer. C. Reducing the seller’s inventory D. Satisfaction for both the buyer & seller. E. None of the above

__________________ Marketing Marketing efforts are specifically aimed at facilitating satisfying ______________________________. __________________ Marketing Establishing _________________, _____________________ satisfying buyer-seller relationships.

Forces of the Marketing Environment ____________ _________ _________ ________ ________ __________ ____________

Marketing Environment Forces (4) 1. They help determine ____________ & _______ a marketing manager can perform certain marketing activities. 2. They influence customers by affecting their ________________, ________________ of living, & preferences & _______ for products.

3. They may influence customers’ reactions to a firm’s _____________. 4. They can fluctuate __________ and ________________________.

* The marketing environment is best describes as being ____________ and _______________.

Marketing Concept Is a philosophy stating that an organization should try to satisfy customers’ ________ through a ___________________ set of activities that allows the organization to achieve it _______________. *It is a way __________________ or a ______________ philosophy that affects __________ efforts of the organization.

Evolution of the Marketing Concept I. Production Orientation: __________ was greater than _______________. Management activities: ______________ production & use labor more _________. II. Sales Orientation: _______ = _______; It was believed the most important marketing activities were ____________, ______________, and ______________.

III. Marketing Orientation: Business found that they must first determine what ____________________ and then _____________________. IV. Marketing Orientation: Is an ____________________ wide effort that includes (4): _______________ customer’s needs

being _________________ to customers’ ever-changing wants & needs. generating marketing __________ for use in the organization. __________________ marketing intelligence ______________ department within the organization.

Boldnew, the maker of a highly innovative light bulb, finds that it has excess inventory. The firm increases its advertising budget by 59% and doubles it sales staff. This company is operating as if it were in which of the following orientations? A. Production D. Sales B. Marketing E. Customer C. International

American Express implements a program of calling its current cardholders to find out what, if any, changes they would like to see in the services provided. The firm is exhibiting characteristics associated with which of the following orientations? A. Production D. Sales B. Marketing E. Social C. Development

Value: a customer’s _____________ assessment of benefits __________ to costs in determining the worth of a product. The equation a buyer may apply to assess a product’s value is: Value = ___________________ - __________________________

Customer Benefits: they include ___________________ a buyer receives in an exchange. Customer Costs: The product’s _____________ The ________________________ spend finding & purchasing the product The ______________ of purchasing and using the product

Marketing ________________ It is a process of _____________, _____________, _____________, and ___________ marketing activities.

Planning: A systematic process of assessing _____________________, determining marketing __________, & developing a marketing ________ and __________ for implementation & control. Organizing: Developing the _______ structure of the marketing unit.

Implementation of marketing plans hinges on ______________ of marketing activities, ______________ of marketing personnel, and effective ______________ within the marketing unit. Marketing control: the process of establishing performance ____________, comparing _________ performance with ______________ standards, and ________ the difference between desired and actual performance.