MGT 103 Quiz 1 (Chapters 1-5)
Marketing - ANSthe process of creating, communicating, delivering, and exchanging offerings
that have value for customers, clients, partners, and society at large--seeks to discover the
needs of the customer and satisfy those needs
Exchange - ANSthe trade of things so that each party is better off than before
What is needed for marketing to occur? - ANS1. Two or more parties with unsatisfied needs
2. Desire and ability to satisfy those needs
3. A way for the parties to communicate
4. Something to exchange
How are consumer needs discovered? - ANSsurveys, concept tests, and other research
strategies
Needs vs. Wants - ANSNeed: life would be substantially worse without it
Want: something that may benefit you but isn't necessary
The 4 P's/Marketing Mix - ANSProduct, Price, Promotion, Place (distribution)
Environmental Forces - ANSfactors not under the control of a marketer that affects a marketing
decision--i.e. social trends, laws, etc.
Customer Value - ANSthe benefits received by a targeted buyer
3 Unique Strategies of Firms - ANSbest price (Target), best product (Starbucks), best service
(Nordstrom)--companies cannot be all things to all people, so these strategies help narrow their
direction
Relationship Marketing - ANSlinking an organization to its customers employees, suppliers, and
other partners for their mutual benefit
Marketing Program - ANSa plan that integrates the marketing mix to provide a good, service, or
idea to prospective buyers
Market Segments - ANShomogenous groups of buyers that have common needs and will
respond similarly to a product feature, promotion, or price--i.e. rich teenage boys
Marketing Concept - ANSthe philosophy that an organization should strive to satisfy the needs
of the customer while also achieving their own goals
, Customer Relationship Management (CRM) - ANSthe processes of developing a favorable
relationship with customers so that they become loyal and good advocates for your company
Customer Experience - ANSthe response that customers have to all aspects of an organization
Market - ANSpeople with both the desire and the ability to buy a specific offering
Target Market - ANSone or more specific groups of potential customers that a marketing
program directs its attention to
Customer Value Proposition - ANSa cluster of benefits that an organization promises customers
to satisfy their needs
Social Marketing Concept - ANSthe belief that organizations should satisfy customers needs in
a way that also benefits society
Ultimate Consumers - ANSthe people who use the products and services purchased for a
household
Organizational Buyers - ANSmanufacturers, wholesalers, retailers, and government agencies
that buy products and services for their own use or for resale
Utility - ANSthe benefits or customer value received by users of the product--there are 4 Types
of Utility
Form Utility - ANSthe production of the product or service
Place Utility - ANShaving the product available where the customer wants it
Time Utility - ANShaving the product available when the customer wants it
Possession Utility - ANShaving the product be easy to purchase by accepting the use of credit
cards or financial arrangements
For Profit Organization - ANSserves customers with the intent of profiting--AKA business
firm--i.e. Nike
Profit - ANSthe money left after a for-profit organization subtracts its total expenses from its total
revenues
Non Profit Organization - ANSnon governmental organization that serves customers but does
not have profit as an organizational goal--goals may be client satisfaction or operational
efficiency--i.e. Teach for America
Marketing - ANSthe process of creating, communicating, delivering, and exchanging offerings
that have value for customers, clients, partners, and society at large--seeks to discover the
needs of the customer and satisfy those needs
Exchange - ANSthe trade of things so that each party is better off than before
What is needed for marketing to occur? - ANS1. Two or more parties with unsatisfied needs
2. Desire and ability to satisfy those needs
3. A way for the parties to communicate
4. Something to exchange
How are consumer needs discovered? - ANSsurveys, concept tests, and other research
strategies
Needs vs. Wants - ANSNeed: life would be substantially worse without it
Want: something that may benefit you but isn't necessary
The 4 P's/Marketing Mix - ANSProduct, Price, Promotion, Place (distribution)
Environmental Forces - ANSfactors not under the control of a marketer that affects a marketing
decision--i.e. social trends, laws, etc.
Customer Value - ANSthe benefits received by a targeted buyer
3 Unique Strategies of Firms - ANSbest price (Target), best product (Starbucks), best service
(Nordstrom)--companies cannot be all things to all people, so these strategies help narrow their
direction
Relationship Marketing - ANSlinking an organization to its customers employees, suppliers, and
other partners for their mutual benefit
Marketing Program - ANSa plan that integrates the marketing mix to provide a good, service, or
idea to prospective buyers
Market Segments - ANShomogenous groups of buyers that have common needs and will
respond similarly to a product feature, promotion, or price--i.e. rich teenage boys
Marketing Concept - ANSthe philosophy that an organization should strive to satisfy the needs
of the customer while also achieving their own goals
, Customer Relationship Management (CRM) - ANSthe processes of developing a favorable
relationship with customers so that they become loyal and good advocates for your company
Customer Experience - ANSthe response that customers have to all aspects of an organization
Market - ANSpeople with both the desire and the ability to buy a specific offering
Target Market - ANSone or more specific groups of potential customers that a marketing
program directs its attention to
Customer Value Proposition - ANSa cluster of benefits that an organization promises customers
to satisfy their needs
Social Marketing Concept - ANSthe belief that organizations should satisfy customers needs in
a way that also benefits society
Ultimate Consumers - ANSthe people who use the products and services purchased for a
household
Organizational Buyers - ANSmanufacturers, wholesalers, retailers, and government agencies
that buy products and services for their own use or for resale
Utility - ANSthe benefits or customer value received by users of the product--there are 4 Types
of Utility
Form Utility - ANSthe production of the product or service
Place Utility - ANShaving the product available where the customer wants it
Time Utility - ANShaving the product available when the customer wants it
Possession Utility - ANShaving the product be easy to purchase by accepting the use of credit
cards or financial arrangements
For Profit Organization - ANSserves customers with the intent of profiting--AKA business
firm--i.e. Nike
Profit - ANSthe money left after a for-profit organization subtracts its total expenses from its total
revenues
Non Profit Organization - ANSnon governmental organization that serves customers but does
not have profit as an organizational goal--goals may be client satisfaction or operational
efficiency--i.e. Teach for America
