MKT100 Chapter 1 Review
Marketing’s Core Aspect
o Marketing helps create value
o Marketing is about satisfying customer needs and wants
o Marketing entails an exchange
o Marketing requires product, price, place, and promotion decisions
o Marketing can be performed by both individuals and organizations
o Marketing occurs in many settings
o The fundamental purpose of marketing is to create value for both the
firm and customer.
o Value is in essence what a customer gets for what they give up.
o Firms must offer customers something more that being offered by the
o Firms must understand how each aspect of their product/service
creates value for customers.
How Firms Compete on the Basis of Value
o Constantly changing consumer perceptions
o Firms must constantly monitor the marketplace in order to create
Impact of Socio-Cultural Factors on Coca Cola
o Public concern over calorie counts is obvious in Coca-Cola’s business.
o Overall soda consumption in the US has declined steadily since 1998
o Growth for Coca Cola has come from diet drinks and beverages such
as sport drinks and bottle water.
Becoming Value Driven: Balancing Benefits and Cost
o Understand key benefits o Focus on key benefits
o Eliminate cost of less strategic benefits
Balancing Benefits and Cost
o Heinz Ketchup is the “gold standard’ of catsups