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Marketing 101 Midterm Exam

by: Natalie Land

Marketing 101 Midterm Exam MKT 301

Marketplace > University of Miami > Marketing > MKT 301 > Marketing 101 Midterm Exam
Natalie Land
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Chapter 1, 2, 3, 4, 5, 10 I grabbed the study review he put online and answered all the questions we need to know and the vocab words its literally what you have to study and your fine
Howard Marmostein
Study Guide
Marketing, MKT301, MKT, MKT 201
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This 11 page Study Guide was uploaded by Natalie Land on Saturday February 6, 2016. The Study Guide belongs to MKT 301 at University of Miami taught by Howard Marmostein in Summer 2015. Since its upload, it has received 313 views. For similar materials see Marketing in Marketing at University of Miami.


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Date Created: 02/06/16
Studyguide  for  Exam  1:  Marketing  301   Discussion  topics   •   Dollar  Shave  Club  Video:  the  video  is  a  guy  talking  about  subscription  with  dollar  shave   club,  and  he  goes  into  different  examples  of  how  you  can  use  the  shaver,  he  says  even  a   toddler  can  use  it  or  roger  Federer  etc     o   Good  marketing  strategy  because  it  uses  examples  specific  ones  that  relate  to   the  people     •   Four  Step  Process  in  making  good  ethical  decisions     o   Identify  the  issue:     §   The  way  data  is  collected  for  example,  are  the  respondents  told  about   the  real  purpose  of  the  study     §   Another  issue  could  be  whether  the  results  will  be  used  in  a  way  that   might  mislead  or  even  harm  the  public  like  selling  info  to  a  firm  to  use  to   solicited  respondents     o   Gather  information  and  identify  stakeholders     §   Gathering  facts  that  are  important  to  the  ethical  issue  such  as  relevant   legal  information     §   Must  identify  all  individual  and  groups  that  have  a  stake  in  how  the  issue   is  resolved     §   Stakeholders  are  the  firm’s  employees,  retired  employees,  suppliers     o   Brainstorm  alternatives     §   Alternative  course  of  action   §   For  example,  in  the  example  you  could  make  the  responses  to  the  study   anonymous     o   Choose  a  course  of  action   §   Weigh  the  alternatives  and  choose  a  course  that  generates  the  best   solution  for  the  stakeholders  using  ethical  practices     §   Investigate  potential  legal  issues  with  each  alternative     •   Marketing  Ethics  vs  Social  Responsibility  of  Business   o   Marketing  ethics  is:  employees  should  act  in  ethically  responsible  manner  in   general     o   Socially  responsible:  means  going  above  and  beyond  the  norms  of  corporate   ethical  behavior   §   Firm’s  employees  may  conduct  activities  in  ethical  manner  but  the  firm   may  not  be  socially  responsible  because  its  activities  have  little  or  no   impact  on  anyone  other  than  its  stake  holders     •   Customers,  employees,  and  stockholders     o   Ethical  and  socially  responsible:  both  ethical  and  socially  responsible     o   Unethical  but  socially  responsible:  questionable  firm  practices  but  donates  a  lot   to  the  community     o   Ethical  and  socially  irresponsible:  ethical  firm  not  involved  with  larger   community     o   Unethical  and  socially  irresponsible:  neither  ethical  nor  socially  responsible     •   Red  Mango  Case     o   Co  creation:  in  yogurt  places  where  you  serve  yourself:  why  is  this  a  good  idea?   Because  it  makes  it  more  fun,  consumer  has  control     §   Going  quickly  however  is  risky   •   Not  right  location  or  maybe  the  personnel     •   Ie:  starbucks  has  three  hundred  stores  but  how  can  you  control  so   many  stores     §   What  went  wrong  at  red  mango?   •   Who  was  the  target  market:  younger  people  from  12  to  32  and  it   was  all  promotion  through  social  media,  maybe  it  had  to  be  other   ways     •   There  target  market  was  wrong  because  older  people  are  the   ones  who  care  more  about  nutrition  and  health  not  the  younger   kids     •   Outback  Steakhouse  Case     o   Outback  didn’t  succeed  because  of  the  cute  Australian  advertising  but  because   they  focused  on  one  type  of  dining  only  dinner  so  it  was  more  premium  and   unique     o   Exclusive,  high  quality,  more  concentration,  dinner  only  which  meant  greater   perceived  value,  what  you  give  is  what  you  get,  the  experience  is  good,  the  food   is  fresher  so  higher  quality     •   Integrated  Marketing  Mix     o   Represents  the  promotion  p  of  the  four  Ps.  It  encompasses  a  variety  of   communication  disciplines:  advertising,  personal  selling,  sales  promotion,  public   relations,  direct  marketing,  and  online  marketing     o   Marketers  use  this  to  communicate  a  value  proposition:  the  unique  value  that  a   product  or  service  provides  and  how  it  is  better  than  and  different  from  those  of   competitors     o   Product:  attempt  to  develop  products  and  services  that  customers  perceive  as   valuable  enough  to  buy   o   Place:  make  product  or  service  readily  accessible  when  and  where  the  customer   wants  it     o   Price:  charge  a  price  that  customers  perceive  as  giving  them  a  good  value  for  the   product  they  receive     o   Promotion:  advertising,  personal  selling,  sales  promotion,  public  relations  etc  to   provide  clarity  consistency  and  maximum  communicative  impact     •   Concept  of  Interaction  of  Marketing  Values     o   Negative  and  Positive  Marketing  Values     •   Strategy  vs  Tactics     o   Strategy:  more  than  one  element  at  a  time,  premium  product  and  place  and   price,  it’s  the  integratated  marketing  mix,  its  multi  faceted,     §   Ie:  chess  it’s  the  all  over  long  term  aspect     o   Tactic:  short  term  and  small,  firms  respond  to  tactics,  tactis  are  quick  such  as   changing  the  price,  and  they  are  easier  to  change     •   Achieving  the  Growth  Objective     o   Market  penetration  strategy:  employs  the  existing  marketing  mix  and  focuses   the  firm’s  efforts  on  existing  customers     §   Attracting  new  customers  to  the  firm’s  current  target  market     §   Increased  advertising     §   How  much  of  existing  category  sales:  higher  share  of  marketing   §   Ie:  starbucks  puts  more  store  locations     o   Market  development     §   The  existing  marketing  offering  to  reach  new  market  segments  whether   domestic  or  international     §   Focus  on  your  target  audience  and  bring  it  to  secluded  area     o   Product  Development     §   New  product  or  service  to  a  firm’s  current  target  market     §   New  product  into  existing  market     o   Diversification   §   New  product  or  service  to  market  segment  currently  not  served     §   Related  diversification:  the  current  target  market  shares  something  in   common  with  new  opportunity     §   Unrelated:  new  business  lacks  common  elements  with  present  business     •   Avon  in  the  Amazon  Video     o   Why  did  they  go  into  the  Amazon?   §   Growth  objective:  marketing  task  company  needs  to  grow     §   Marketing  strategy:  look  ahead  five  years  if  we  don’t  do  anything   differently  where  will  we  be?   •   One  way  is  to  rake  existing  products  and  find  new  customers     §   Why  did  avon  let  this  video  be  created?   •   Underlying  premise:  see  the  good  like  many  products  the  people   have     •   Not  all  about  publicity  is  good  publicity,  but  it  makes  people  hear   about  avon   •   Avon  had  high  loyalty  expectations:  Renew,  if  you  used  it  once   you  had  to  keep  using  it?   •   Ford  Fiesta  Video   o   The  video  was  about  what  would  you  do  with  1,000  ford  fiesta  cars?   §   They  did  a  pre  launch  campaign  with  100  drivers  and  100  cars  where  the   drivers  had  to  take  pictures  doing  missions  with  the  cars     §   The  target  audience  was  young  people,  and  social  media  is  the  best  way   to  meet  them     §   Social  reciprocity:  reciprocate  for  invitation  so  agents  were  invited  and  in   return  filmed  more  videos     •   Gatorade  Ad     o   Baseball  moments:  ninja  baseball  player  the  girl  climbing  the  wall  to  catch  the   ball,  there  is  Gatorade  bottle  next  to  her  feet,  basically  saying  if  you  drink   Gatorade  youll  have  amazing  athletic  performance     §   The  problem  is  that  the  video  isn’t  real,  its  ambiguous,  people  like   authenticity,  its  unethical  and  in  company  to  company  its  unprofitable     •   Calibration  of  Knowledge  Excersize     o   We  did  an  exercise  on  what  we  think  we  know  and  basically  it  is  to  show  that  if   we  are  overconfident  in  calibration  people  who  are  90%  confident  tend  to  be   80%  correct     •   Decision  to  undertake  Research   o   If  it  is  something  we  are  super  aware  of  then  marketing  research  isn’t  always  a   good  idea     o   If  the  expected  benefit  is  greater  than  the  cost  to  do  research,  then  we  should   do  the  research?   o   Look  at  notes     •   Expected  Monetary  Value  of  Perfect  Information   •   Demographics:  the  characteristics  of  human  population  and  segments,  especially  those   used  to  identify  consumer  markets     o   Gender,  race,  age,  income   •   Psychographics:  delves  into  how  consumers  describe  themselves:  allows  people  to   describe  themselves  using  characteristics  that  help  them  choose  how  they  occupy  their   time     o   Behavior  of  shopping  for  example     •   Psychophysics:  domain  that  considers  how  people  use  external  environment  to   integrate  it  to  their  internal  environment     o   Ie:  Baker’s  Law  with  the  weights  situation   •   Myth’s  about  Marketing  Research   •   Growth  Share  Matrix     o   M   •   Superbowl  Advertising     o   A  lot  of  advertisings  in  one  commercial  of  brands  put  together     o   It  was  good  way  to  save  money  but  you  remember  the  less  important  brands   barely  at  all,  you  just  remember  if  you  even  remember  the  most  important   brands     o   Some  were  smaller  companies  so  couldn’t  pay  for  a  commercial  on  their  own,   and  getting  a  lot  of  publicity  and  exposure  because  its  super  bowl     •   Nationwide  commercial   o   Commercial  was  sad,  did  pourly  because  it  ruined  environment  of  the  superbowl   o   They  could  have  done  a  happier  approach     •   Surveys  vs  Experiments     o   Surveys:  consumers  say  things  we  don’t  know  about,  its  difficult  to  do  good   survey  research,  but  it  has  faulty  problems  too,     o   Exploratory  research:  goes  before  a  survey  is  done:  its  qualititaive  in  nature     Chapter  1   •   •B2C  (business-­‐to-­‐consumer),     o   process  in  which  business  sells  to  consumer     •   •  B2B  (business-­‐to-­‐business),     o   the  process  of  buying  and  selling  goods  or  services  to  be  used  in  the  production   of  other  goods  and  services,  for  consumption  by  the  buying  organization   •   •  C2C  (consumer-­‐to  consumer),     o   consumers  sell  to  other  consumers   •   •  customer  relationship  management  (CRM),     o   a  business  philosophy  and  set  of  strategies,  programs,  and  systems  that  focus  on   identifying  and  building  loyalty  among  other  firm’s  most  valued  customers     •   •  entrepreneur   o   a  person  who  organizes  operates  and  assumes  the  risk  of  a  new  business  venture     •   •  exchange,     o   the  trade  of  things  of  value  between  the  buyer  and  the  seller  so  that  each  is   better  off  as  a  result   •   •  goods,     o   items  that  can  be  physically  touched     •   •  ideas,     o   intellectual  concepts  thoughs  opinions  and  philosophies     •   •  marketing,     o   an  organizational  function  and  a  set  of  processes  for  creating  capturing   communicating  and  delivering  value  to  customers  and  for  managing  customer   relationships  in  a  way  that  benefits  the  organization  and  its  stakeholders   •   •  marketing  channel,     o   the  set  of  institutions  that  transfer  the  ownership  of  and  move  goods  from  the   point  of  production  to  the  point  of  purchase   •   •  marketing  mix  (four  Ps),     o   produce,  price,  place,  promotion-­‐  the  controllable  set  of  activities  that  a  firm   uses  to  respond  the  wants  of  its  target  markets     •   •  marketing  plan,     o   a  written  document  composed  of  analysis  of  the  current  marketing  situation   •   •  relational  orientation,     o   a  method  of  building  a  relationship  with  customers  based  on  the  philosophy  that   buyers  and  sellers  should  develop  long  term  relationship   •   •  services,     o   any  intangible  offering     •   •  supply  chain,     o   the  group  of  firms  that  make  and  deliver  a  given  set  of  goods  and  services     •   •  value,     o   relationship  of  benefits  to  costs  what  consumer  gets  for  what  he  she  gives     •   •  value  co-­‐creation,     o   customers  act  as  collaborators  with  a  manufacturer  or  retailer  to  create  product   or  service   Chapter  2     •   control  phase   o   the  part  of  the  strategic  marketing  plan  process  when  managers  evaluate  the   performance  of  the  marketing  strategy  and  take  any  necessary  corrective  actions     •   customer  excellence,     o   involves  a  focus  on  retaining  loyal  customers  and  excellent  customer  service     •   diversification  strategy,     o   A  growth  strategy  whereby  a  firm  introduces  a  new  product  or  service  to  a   market  segment  that  it  does  not  currently  serve     •   implementation  phase,     o   the  part  of  the  strategic  marketing  planning  process  when  marketing  managers   1.  Identify  and  evaluate  different  opportunities  by  engaging  in  segmentation,   targeting,  and  positioning  and  2.  Implement  the  marketing  mix  using  the  four  ps     •   location   o     •   market  development  strategy,     o   a  growth  strategy  that  employs  the  existing  marketing  offering  to  reach  new   market  segments,  whether  domestic  or  international     •   market  growth  rate,     o   the  annual  rate  of  growth  of  the  specific  market  in  which  the  product  competes   •   market  penetration  strategy,     o   A  growth  strategy  that  employs  the  existing  marketing  mix  and  focuses  the  firms   efforts  on  existing  customers     •   market  positioning,     o   involves  the  process  of  defining  the  marketing  mix  variables  so  that  target   customers  have  a  clear  understanding  of  what  the  product  does  or  represents  in   comparison  with  competing  products     •   market  segment   o   a  group  of  consumers  who  respond  similarly  to  a  firm’s  marketing  efforts     •   market  segmentation,     o   the  process  of  dividing  the  market  into  groups  of  customers  with  different   needs,  wants,  or  characteristics     •   market  share,     o   percentage  of  a  market  accounted  for  by  a  specific  entity   •   marketing  plan,     o     •   marketing  strategy,     o   a  firm’s  target  market,  marketing  mix,  and  method  of  obtaining  a  sustainable   competitive  advantage     •   metric,     o   a  measuring  system  that  quantifies  a  trend,  dynamic  or  characteristic     •   mission  statement,     o   a  broad  description  of  a  firm’s  objectives  and  the  scope  of  activities  it  plans  to   undertake     •   operational  excellence,     o   involves  a  firms  focus  on  efficient  operations  and  excellent  supply  chain   management     •   planning  phase,     o   the  part  of  the  strategic  marketing  planning  process  when  marketing  executives   in  conjunction  with  other  top  managers  define  the  mission  or  vision  of  the   business     •   product  development  strategy,     o   a  growth  strategy  that  offers  a  new  product  or  service  to  a  firm’s  current  target   market   •   product  excellence,     o   involves  a  focus  on  achieving  high  quality  products,  effective  branding     •   product  line,     o   groups  of  associated  items,  such  as  those  that  consumers  use  together  or  think   of  as  a  a  part  of  a  group  or  similar  products     •   products,     o   anything  that  is  of  value  to  a  consumer  and  can  be  offered  through  a  voluntary   marketing  exchange     •   related  diversification,     o   a  growth  strategy  whereby  the  current  target  market  and  marketing  mix  shares   something  in  common  with  the  new  opportunity   •   relative  market  share,     o   a  measure  of  the  products  strength  in  a  particular  market     •   situation  analysis,     o   second  step  in  marketing  plan,  uses  a  swot  analysis  that  asses  both  the  internal   and  external  environment   •   STP,     o   Segmentatation,  targeting,  and  positioning     •   strategic  business  unit  (SBU),     o   a  division  of  the  firm  itself  that  can  be  managed  and  operated  somewhat   independently  from  other  divisions     •   sustainable  competitive   o   something  firm  can  do  better  than  its  competitors     •   target  marketing/targeting,     o   the  process  of  evaluating  the  attractiveness  of  various  segments  and  then   deciding  which  to  pursue  as  a  market     •   unrelated  diversification,     o   a  growth  strategy  whereby  a  new  business  lacks  any  common  elements  with  the   present  business     •       Chapter  3   •   blog   o   A  webpage  that  contains  periodic  posts:  new  form  of  marketing  communication   •   Bonders   o     •   bounce  rate   o   the  percentage  of  times  a  visitor  leaves  the  website  almost  immediately,  such  as   after  viewing  only  one  page     •   click  paths   o   shows  how  users  proceed  through  the  information  on  a  website   •   conversion  rates   o   percentage  of  consumers  who  buy  a  product  after  viewing  it   •   corporate  blogs   o   a  website  created  by  a  company  and  often  used  to  educate  customers   •   creators   o     •   extended  network,     o     •   gamification   o   application  of  typical  elements  of  game  playing,  to  other  areas  of  activity  such  as   marketing     •   hits   o   a  request  for  a  file  made  by  web  browsers  and  search  engines   •   influence,     o   the  buying  center  participant  whose  views  influence  other  members  of  the   buying  center     •   keyword  analysis   o   an  evaluation  of  what  keywords  people  use  to  search  on  the  internet  for  their   products     •   microblog,     o   differs  in  size,  consists  of  short  sentences  and  short  videos   •   page  views,     o   number  of  times  an  internet  page  gets  viewed  by  any  visitor     •   personal  blogs,     o   website  written  by  a  person  who  receives  no  products  or  remuneration  for  his  or   her  efforts   •   professional  blogs   o   website  written  by  a  person  who  reviews  and  gives  recommendations  on   products  and  services  ,     •   professionals,     o     •   sentiment  analysis,     o   a  technique  that  allows  marketers  to  analyze  data  from  social  media  sites  to   collect  consumer  comments  about  companies  and  their  products     •   sharers   o     •   social  media   o   media  content  that  is  used  for  social  interactions  such  as  youtube  and  facebook   •   social  reach,     o   a  metric  used  to  determine  how  many  people  a  person  influences       Chapter  4   •   •  business  ethics   o   branch  of  ethical  study  that  examines  the  ethical  rules  and  principles  within   commercial  context   •   •  corporate  social  responsibility,     o   voluntary  actions  taken  by  a  company  to  address  the  ethical,  social,  and   environmental  impacts  of  its  business     •   •  ethical  climate,     o   the  set  of  values  within  a  marketing  firm  or  in  the  marketing  division  of  any  firm     •   •  locational  privacy,     o   a  person’s  ability  to  move  normally  in  public  spaces  with  the  expectation  that  his   or  her  location  will  not  be  recorded     •   •  marketing  ethics,     o   those  ethical  problems  that  are  specific  to  the  domain  of  marketing       Chapter  5   •   Baby  Boomers,     o   Generational  cohort  of  people  born  after  world  war  II   •   •  country  culture,     o   entails  easy  to  spot  visible  nuances  that  are  particular  to  a  country,  such  as   dress,  and  symbols     •   •  culture,     o   the  set  of  values,  guiding  beliefs,  understandings,  and  ways  of  doing  things   shared  by  members  of  a  society   •   •  demographics,     o   information  about  the  characteristics  of  himan  populations  and  segments,   especially  those  used  to  identify  consumer  markets   •   •  Digital  Natives,     o   generation  Z     •   •  foreign  currency  fluctuations,     o   changes  in  the  value  of  a  country’s  currency  relative  to  the  currency  of  another   country     •   •  Generation  X,     o   people  born  between  1965  and  1976   •   •  Generation  Y,     o   between  1977  and  2000:  millenials   •   •  Generation  Z,     o   2001  and  2014,  digital  natives  because  people  were  born  into  a  world  of  already   full  of  electronic  gadgets   •   •  generational  cohort,     o     •   •  green  marketing,     o   strategic  effort  by  firms  to  supply  customers  with  environmentally  friendly   merchandise     •   •  greenwashing,     o   exploiting  a  consumer  by  disingenuously  marketing  products  or  services  as   environmentally  friendly  merchandise     •   •  inflation,     o   refers  to  the  persistent  increase  in  the  prices  of  goods  and  services     •   •  interest  rates,     o   the  cost  of  borrowing  money     •   •  macroenvironmental  factors,     o   aspects  of  the  external  environment  that  affect  company’s  business   •   •  Millennials,     o   generation  y     •   •  political/regulatory   o   political  parties’  government  organizations,  and  legislation  and  laws     •   environment,       Chapter  10   •   •  biometric  data,     o   digital  scanning  of  the  physiological  or  behavioral  characteristics  of   individuals  as  a  means  of  identification   •   •  churn,     o   number  of  consumers  who  stop  using  a  product  or  service,  divided  by  the   average  number  of  consumers  of  that  product  or  service     •   •  data,     o   raw  numbers  or  facts   •   •  data  mining,     o   use  of  a  variety  of  statistical  analysis  tools  to  uncover  previously   unknown  patterns  in  the  data  stored  in  data  bases  or  relationships   among  variables     •   •  data  warehouses,     o   large  computer  files  that  store  millions  and  even  billions  of  pieces  of   individual  data   •   •  experiment,     o   type  of  conclusive  and  quantitative  data  research  that  manipulates  one   or  more  variables  to  determine  which  variables  have  a  casual  effect  on   another  variable     •   •  focus  group  interview,     o   small  group  of  persons  come  together  for  an  intensive  discussion  about  a   particular  topic     •   •  in-­‐depth  interview,     o   exploratory  research  technique  in  which  trained  researchers  ask   questions,  listen  to  and  record  the  answers  and  then  pose  additional   questions     •   •  information,     o   0rganized,  analyzed,  interpreted  data  that  offer  value  to  marketers     •   •  marketing  research,     o   set  of  techniques  and  principles  for  systematically  collecting,  researching   and  analyzing  data  that  can  aid  decision  makers  involved  in  marketing   goods,  services  or  ideas     •   •  observation,     o   exploratory  research  method  that  entails  examining  purchase  and   consumption  behaviors  through  personal  or  video  camera  scrutiny     •   •  panel  data,     o   information  collected  from  a  group  of  consumers   •   •  primary  data,     o   data  collected  to  address  specific  research  needs   •   •  qualitative  research,     o   informal  research  methods  including  observation   •   •  quantitative  research,     o   structured  responses  that  can  be  statistically  tested     •   •  questionnaire,     o   a  form  that  features  a  set  of  questions  designed  to  gather  information   from  respondents     •   •  sample,     o   group  of  customers  who  represent  the  customer  of  interest  in  research   study   •   •  sentiment  mining,     o   data  gathered  by  evaluating  customer  comments  posted  through  social   media  sites   •   •  scanner  data,     o   type  of  syndicated  external  secondary  data     •   •  secondary  data,     o   pieces  of  information  that  have  already  been  collected  from  other   sources  and  usually  are  readily  available     •   •  structured  questions,     o   close  ended  questions      


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