Exam 1 Review Friday February 12 2016 6 32 PM Chapters 1 6 16 Objective topics 1 6 LO 1 marketing fundamentals Marketing Concept and orientation Customer value and company profits How organizations meet their objectives by satisfying the wants ad needs of their customers Relationship with meeting customer needs Role of price Contrasted with other company marketing orientations such as production product selling and societal Exchange relationships The key role of customer perception Importance of developing relationships with stakeholders in a dynamic marketing environment CRM by creating value the 4Ps Cost centers and profit centers and their relation to the marketing function Central role of the customer and meeting exceeding customer needs The difference between selling and marketing Marketers central role in all aspect of the 4 Ps LO 2 marketing ethics Company code of ethics consequences the company Cannot guarantee a results but can encourage appropriate behavior and outline Facilitates company culture so employees understand what is acceptable practices to Provides guidance for ethical decision making Can control manage and enhance ethical decision making The creation of a code involves constructive discussion which also results in better ethical decisions Ethics and social responsibility Societal marketing concept Cause related marketing LO 3 marketing planning and analysis Marketing plan elements and key deliverables Business mission statement Situational analysis such as SWOT Target market strategy and differentiation Marketing mix use of the 4 Ps product price place promotion Assess actual and planned expected performance Create goals and objectives for employees to work towards in all departments Demonstrates marketing s role in shaping overall organizational behavior Instructive to leaders to create awareness direction and proactive problem solving insight Environmental scanning Part of situational analysis such as SWOT Understanding and applying macro environmental influences to determining marketing plans and use of the 4Ps Understanding and applying trends In SWOT this would involve Opportunities and Threats Macro environmental forces include demographic economic natural technological political social cultural Planning tools and concepts BCG Growth Share Matrix star cash cow question marks and dogs SWOT Cost competitive strategy marketing expense control and low cost Product cost differentiation positioning strategies Positioning Strategies and value propositions MM MS ML SL LMS LO 4 buying behavior consumers Consumer Buyer decision model Steps for high involvement consumer decision making NR IS EA PD PPB Particularly useful for extensive and complex buying situations Cognitive dissonance Buyers black box Environmental influences Influencing factors C S P Ps Role of perception selective attention distortion retention Adoption of innovation is also considered part of the products and services learning objective but also fits nicely into a discussion of consumer buying purchasing behavior Adoption of innovation process also called diffusion of innovation Adopter categories groups Adopter individual differences by category group Share of adopters by category group Characteristics influencing adoption rate 5 stages of the Adoption Process A I E T A LO 4 buying behavior business to business Business Market Characteristics Buying decision are made by a variety of players Fewer but larger buyers Derived demand for consumer goods Inelastic demand More participants professionals in the buying decision Bigger purchases technical and economic Longer and formal purchasing process Buyer and seller dependence Supplier networks relationships and reliability Buying Center All inputs internal external formal informal Players might constantly change Actual users of the product or service People who make the buying decision People and units influencing the buying decision People who do the actual buying Individuals and units controlling the buying process LO 5 segmentation targeting and positioning Market segmentation Identifiable homogeneous groups needs characteristics and behaviors Geographic Demographic Psychographic Behaviorial demand bringing value to the customer Facilitates effective use of the 4Ps of marketing mix to meet needs and create wants and Selecting the segment s to enter Strategies undifferentiated differentiated concentrated niche micro local Market targeting individual marketing Product positioning Creating a picture position of the product in the mind of the customer How you want the consumer to think about your product differentiation Often in relation to competitor products Product positioning maps product and competitive comparison Product differentiation Features engineered into the product to meet market target needs Creating superior customer value in the target market LO 6 marketing research Developing marketing information Internal data bases Marketing intelligence Marketing research Secondary data characteristics Primary data characteristics Marketing Research Steps in the marketing research model Data collection approaches for marketing research Strengths and weaknesses of contact methods Ethical implications Customer Relationship Management systems Relationship to the marketing concept Customer Relationship Management systems CRM nature CRM uses CRM relationship to the marketing concept