©EMILLECT 2024/2025 ACADEMIC YEAR. ALL RIGHTS RESERVED
FIRST PUBLISH OCTOBER 2024
MBA MFT Study Guide with Complete
Solutions
major segmentation variables (4) - ANSWER✔✔-(1) geographic, (2) demographic, (3) psychographic, (4)
behavioral
penetrated market - ANSWER✔✔-set of customers who are buying the company's product
target market - ANSWER✔✔-qualified available market the company decides to pursue
available market - ANSWER✔✔-set of consumers who have interest, income, and access to a particular
offer
potential market - ANSWER✔✔-set of consumer with a sufficient level of interest in a market offer
corporate culture - ANSWER✔✔-shared experiences, stories, beliefs, & norms that characterize an
organization
strategic marketing plan - ANSWER✔✔-lays out the target market and the firm's value proposition, based
on an analysis of the best market opportunities
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5 stages of consumer buying process decision process - ANSWER✔✔-(1) need recognition, (2)
information search, (3) evaluation of alternatives, (4) purchase decision, (5) post-purchase behavior
8 steps of business purchasing process - ANSWER✔✔-(1) identify need, (2) select specific product, (3)
appoint purchase team, (4) specify technicalities, (5) budget for purchase, (6) research potential
suppliers, (7) solicit bids, (8) award contracts
4 factors influencing consumer behavior - ANSWER✔✔-(1) cultural, (2) social, (3) personal, (4)
psychological
4 factors that influence business purchasing behavior - ANSWER✔✔-(1) environmental, (2)
organizational, (3) interpersonal, (4) individual
competitive intelligence - ANSWER✔✔-defining, gathering, analyzing, & distributing intelligence about
products, customers, competitors, and any aspects of the environment needed to support executives &
managers making strategic decisions for an organization
managerial decision making process steps (6) - ANSWER✔✔-(1) establish the objective, (2) define the
problem, (3) identify possible solutions, (4) evaluate alternative courses of action, (5) implement the
decision, (6) acquire feedback
8 major models of marketing communication - ANSWER✔✔-(1) advertising, (2) sales promotion, (3)
events & experiences, (4) public relations & publicity, (5) direct marketing, (6) interactive marketing, (7)
word-of-mouth marketing, (8) personal selling
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pull strategy - ANSWER✔✔-the manufacturer uses advertising and other communication to persuade
consumers to demand the product from intermediaries, thus inducing intermediaries to order it
push strategy - ANSWER✔✔-uses the manufacturer's sales force, trade promotion money, or other
means to induce intermediaries to carry, promote, & sell the product to end users
points-of-parity (POPs) - ANSWER✔✔-attributes or benefit associations that are not necessarily unique
to the brand but may be shared with other brands
points-of-difference (PODs) - ANSWER✔✔-attributes of benefits that consumers strongly associate with a
brand, positively evaluate, and believe they could NOT find to the same extent with a competitive brand
posititioning - ANSWER✔✔-the act of designing a company's offering and image to occupy a distinctive
place in the minds of the target market
supersegment - ANSWER✔✔-set of segments sharing some exploitable similarity
5 key criteria market segments must rate favorably on to be useful - ANSWER✔✔-(1) measurable, (2)
sustainable, (3) accessible, (4) differentiable, (5) actionable
pyschographic - ANSWER✔✔-the science of using psychology & demographics to better understand
consumers
variables of demographic segmentation (6) - ANSWER✔✔-(1) age and life-cycle stage, (2) life stage, (3)
gender, (4) income, (5) generation, (6) race & culture
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investment banking - ANSWER✔✔-a specific division of banking related to the creation of capital for
other companies, governments, and entities
weak form - ANSWER✔✔-assumes that all info contained in past price movements is reflected in the
current market price. info about recent trends in a stock price is no use in selecting a stock
semi-strong form - ANSWER✔✔-states the current market price reflects all publicly available
information. to gain abnormal returns insider info is needed
information efficiency - ANSWER✔✔-all relevant information about a stock is reflected in its price (this is
in a perfect world)
strong form efficient - ANSWER✔✔-all info -- public and insider -- is reflected in the market price. no
abnormal returns
market efficiency - ANSWER✔✔-the degree to which stock prices reflect all available relevant
information
money market - ANSWER✔✔-a segment of the financial market in which financial instruments with high
liquidity and very short maturities are traded
capital markets - ANSWER✔✔-markets for buying and selling equity and debt instruments
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