Marketing Exam 1 Study Guide Essay

Marketing Exam 1 Study Guide Essay Marketing Exam 1 Study Guide Essay Marketing Exam 1 Review Chapter 1 Marketing – the activities, set of institutions and processes for creating, communicating, delivering and engaging offerings that have value for customers, clients, partners and society at large. Exchange – people giving up something in order to receive something they would rather have. Product orientation – a philosophy that focuses on the internal capabilities of the firm rather than the desires and needs of the marketplace. Sales orientation – the ideas that people will buy more goods and services if aggressive sales techniques are used and that high sales result in high profits. Marketing concept – the idea that the social and economic justification for an organization’s existence is the satisfaction of customers wants and needs while meeting organizational objectives. Marketing orientation – a philosophy that assumes that a sale does not depend on an aggressive sales force but rather on a customer’s decision to purchase a product; it is synonymous with the marketing concept. Societal marketing orientation – the idea that an organization exists not only to satisfy customer wants and needs and to meet organizational objectives but also to preserve or enhance individuals’ and society’s long term best interests. Customer value – the relationship between benefits and the sacrifice necessary to obtain those benefits. Customer satisfaction – customers’ evaluation of a good or service in terms of whether it has met their needs and expectations. Relationship marketing – a strategy that focuses on keeping and improving relationships with current customers. Empowerment – delegation of authority to solve customers’ problems quickly – usually by the first person the customer notifies regarding a problem. Teamwork- collaborative efforts of people to accomplish common objectives What is marketing? -Determining the needs of a targeted group of consumers -Creating an immediate exchange of value and a long term relationship Four P’s -Product, Price, Promotion and Place Chapter 3 Ethics – the moral principles or values that generally govern the conduct of an individual or a group. Morals – the rules people develop as a result of cultural values and norms. Code of ethics – a guideline to help marketing managers and other employees make better decisions. Foreign Corrupt Practices Act – a law that prohibits U.S. corporations from making illegal payments to public officials of foreign governments to obtain business rights or to enhance their business dealings in those countries. Corporate social responsibilities – a business’s concern for society’s welfare. Pyramid of corporate social responsibility – a model that suggests corporate social responsibility is composed of economic, legal, ethical, and philanthropic responsibilities and that the firm’s economic performance supports the entire structure. Sustainability – the idea that socially responsible companies will outperform their peers by focusing on the world’s social problems and viewing them as opportunities to build profits and help the world at the same time. Green marketing – the development and marketing of products designed to minimize the negative effects on the physical environment or to improve the environment. Cause related marketing – the cooperative marketing efforts between a for-profit firm and a nonprofit organization. Influential factors on ethical decision-making -Extent of problems, probability of harm, top management actions, time until consequences, potential consequences, number affected and social consensus -Four sets of norms – societal, general business, company and personal - Must satisfy all four to be ethical AMA Code of Ethics – do no harm, foster trust in the marketing system and practicing ethical values that will improve consumer confidence in the integrity of the marketing exchange system. Chapter 4 Target market – a group of people or organizations for which an organization