ADM 2320 Study Guide - Fall 2018, Comprehensive Midterm Notes - Time, Psychographic, Marketing Mix
12 Oct 2018
School
Department
Course
Professor
ADM 2320
MIDTERM EXAM
STUDY GUIDE
Fall 2018
Chapter 1
Marketing: the organizational function and a set of process that subject to constraints, attempts
to establish mutually satisfying product exchange relationships between any two interested
parties
• Interested parties:
o Places
o Properties
o Services
o Organizations
o Information
o Ideas
o Goods
o Services
o Experiences
o Events
o Persons
Product Exchange Relationships
• Core product: the benefits of the product and what makes it valuable to you
• Actual Product: the tangible physical product
• Augmented product: other features of the product that makes it for competitive
• Example: ice cream for dogs
o Core: guilt relief
o Actual: ice cream
o Augmented: flavours, price, packaging
• Example: car
o Core: mobilization, independence
o Actual: car
o Augmented: colours, features, price
Marketing View of a Product:
• Core benefit or service
• Packaging, features, brand name, quality
• Installation, warranty, after-sale service, delivery and credit
Questions that Marketing Answers
1. Does marketing satisfy needs?
find more resources at oneclass.com
find more resources at oneclass.com
o Needs: difference between consumer’s actual sate and ideal/desired state
(different than Maslow’s Hierarchy of needs)
o Wants: satisfy needs in ways influenced by culture and society
o Benefits: outcome that motivates buying behaviour
2. Does marketing create needs?
o It brings needs to our conscious awareness
o Example: companies can create problems within society and then sell their
product or service as a solution to the “made up” problem
3. Are all customers alike?
o Psychographics segmentation: dividing the marketing by personality traits, values,
attitudes and lifestyles
o Alogical (neither logical nor illogical): subjectively logical and rational
• Kotler: “It is no longer enough to satisfy customers. You must delight them."
Evolution of Business
• Marketing missions: pre-1945 -> today
Production
Pre-1945
Sales
1945 - mid1960s
Marketing Orientation
Mid1960s - early 1970s
Marketing Concept
1970s - 1990s
Demand > Supply
Supply >= Demand
Supply > Demand
Marketing Concept
The Marketing Concept
• Marketing concept: identify and satisfy customer needs while making a profit
Marketing Today
• Realities:
o Information clutter
o Declining brand loyalty
o Consumer cynicism
o Need for knowledge
o Internet based customization
o Globalizations
Relationship building marketing of today:
• Super-fast marketing
• Super-value marketing
find more resources at oneclass.com
find more resources at oneclass.com
Document Summary
Marketing: the organizational function and a set of process that subject to constraints, attempts to establish mutually satisfying product exchange relationships between any two interested parties. Marketing view of a product: core benefit or service, packaging, features, brand name, quality. Evolution of business: marketing missions: pre-1945 -> today. The marketing concept: marketing concept: identify and satisfy customer needs while making a profit. Information clutter: declining brand loyalty, consumer cynicism, need for knowledge, globalizations. Relationship building marketing of today: super-fast marketing, super-value marketing, guarantee marketing, network marketing, synergistic marketing, marketing engineering, upside down/crowd marketing. Satisfying needs to relationship marketing: consumer satisfaction -> consumer relationships. Investment in products -> investment in customers: one-off -> relationship-building, marketing segmentation -> customer analysis, short-term profit max -> long-term wealth max. Relationship marketing: drivers of relationship marketing, technology, need for real time mr, need for integrating begin and manufacturing, need for knowledge, need for dialogue and integrated communications.
