Marketing

Advertising: Advertising is any paid form of non-personal presentation and

promotion of ideas, goods and services through mass media such as newspapers,
magazines, television or radio by an identified sponsor

Attitude: A learned predisposition to behave in a consistently favorable or

unfavorable manner with respect to a given object.

B2B - Business that sells products or provides services to other businesses.

B2C - Business that sells products or provides services to the end-user

consumers.

Blog - A frequent, chronological publication of personal thoughts and Web

links.

Brand: A name, term, design, symbol, or any other feature that identifies
one seller's good or service as distinct from those of other sellers. The legal
term for brand is trademark.

Brand loyalty: The biased behavioral response, expressed to a degree to

which a customer holds a positive attitude toward a brand, has a
commitment to it and intends to continue purchasing it in the future.

Budget: The detailed financial component of the strategic plan that guides
the allocation of resources and provides a mechanism for identifying
deviations of actual from desired performance so corrective action can be
taken. A budget is usually prepared for a period of one year by each
component of an organization. A budget provides both a guide for action and
a means of assessing performance.

Channel of distribution: An organized network of agencies and institutions

which in combination perform all the functions required to link producers
with end customers to accomplish the marketing task.

Customer: The actual or prospective purchaser of products or services.

Consumer: The ultimate user of goods, ideas or services.

Correlation analysis: A statistical technique used to measure the

closeness of the linear relationship between two or more internally scaled
variables. For example public library use has a close linear relationship with
people of higher education and income.

Culture: A set of socially acquired behavior patterns transmitted

symbolically through language and other means to the members of a
particular society. It is a way of life. The set of learned values, norms, and
behaviors that are shared by a society and are designed to increase the
probability of the society's survival. These include shared superstitions,
myths, folkways, mores and behavior patterns that are rewarded or
punished.

Classical conditioning: A type of learning in which a conditioned stimulus

is paired with an unconditioned stimulus through repetition, the conditioned
stimulus will eventually elicit a conditioned response.

Cluster analysis: The use of demographic variables to identify where

groups of neighborhoods with households of similar consumers arc located
geographically.

Cognitive dissonance: An unpleasant emotional state that is felt when

there is a logical inconsistency among cognitive elements.

Consumer behavior: The study of the decision-making units and the

processes involved in acquiring, consuming, and disposing of goods,
services, experiences, and ideas.

Consumerism: The movement made up of activities of government,

business, independent organizations, and concerned consumers that are
designed to protect the rights of consumers.

Corporate social responsibility: The idea that business has an obligation

to help society with its problems by offering resources.

Decision support system (DSS): A decision support system is a

systematic collection of data, techniques and supporting software and
hardware by which an organization gathers and interprets relevant
information from business and the environment and turns it into a basis for
making management decisions. A DSS differs from a management
information system in that it is designed to answer precise questions and
what/if questions.

Demand: An economic principle that describes a consumer’s desire and

willingness to pay a price for a specific good or service. Holding all other
factors constant, the price of a good or service increases as its demand
increases and vice versa

Demand elasticity: The variation in quantity demanded of a good that is

caused by changes in the price of that good. For example, an elastic demand
curve results in small changes in price, causing large changes in quantity
demanded.

Demarketing: The process of reducing the demand for a product--or

decreasing consumption.
Demographics: Objective characteristics of consumers such as age, sex,
income, religion, marital status, nationality, education, family size,
occupation, and ethnicity.

Direct marketing: Marketing efforts, in total directed toward a specific

targeted group--direct selling, direct mail, catalog or cable--for soliciting a
response from customer.

Ego: The component of the personality defined in psychoanalytic theory as

standing for reason and good sense and as following the reality principle.

Ethics: The study of normative judgments concerned with what is morally

right and wrong, good and bad.

Eighty-twenty principle: The situation in which a disproportionately small

number (e.g., 20%) of staff, products or users generate a disproportionately
large amount (e.g., 80%) of a firm's use/profits.

Elasticity: The degree that an economic variable changes in response to a

change in another economic variable.

Exploratory research: A research design in which the major emphasis is on

gaining ideas and insights.

Focus group: A method of gathering quantitative data on the preferences

and beliefs of consumers through group interaction and discussion usually
focused on a specific topic or product.

Halo effect: The concept that positive or negative feelings about one
characteristic will generalize to influence feelings about other, possibly
unrelated, characteristics.

Hypothesis: An assumption or guess the researcher or manager has about

some characteristic of the population being sampled.

Id: One of the three elements of the personality identified by Freud. The id is
based upon the pleasure principle, immediate gratification, and moves a
person to obtain positive feelings and emotions.

Just-in-time (JIT) purchasing: A corporate philosophy associated with total

quality management in which a company seeks to purchase goods and
services at the last possible minute prior to when they are required for the
production process.

Law of demand: States that there is an inverse relationship between the

price of the product and the quantity demanded of the product.

Market research: The systematic gathering, recording and analyzing of

data with respect to a particular market situation. Applied consumer
research designed to provide management with information on factors that
affect consumers’ acquisition, consumption and disposition of goods,
services and ideas.

Market segmentation: The subdivision of a market into distinct subsets of

customers, where any subset may conceivably be selected as a target
market to be reached with a distinct marketing mix.

Marketing: Marketing is the social process by which individuals and groups

obtain what they need and want through creating and exchanging products
and value with others.

Marketing Mix: The mix of controllable variables that the firm uses to reach
desired use/sales level in target market, including price, product, place and
promotion- 4 P's. The elements over which marketing managers can
implement analysis, planning, and control.

Motivation: It is the driving force within individuals that impels them to

action-Schiffman

Market: The set of actual of potential users/customers. (Kotler)

Market positioning: It refers to the user's perceptions of the place a

product or brand occupies in a market segment. Or how the company
offering is differentiated from the competitions.

Market segmentation: The process of subdividing a market into distinct

subsets of users that behave in the same way or have similar needs. The
division of a marketplace into distinct subsets of consumers having similar
needs and wants, each of which can be reached with a different marketing
mix.

Mission statement: An expression of a company's history, managerial

preferences, environmental concerns, resources, and competencies. It is
used to guide the company's decision making process, answering what is our
business, who do we serve, etc.

Norms: The rules of behavior that are part of the ideology of the group.
Norms tend to reflect the values of the group and specify those actions that
are proper and those that are inappropriate, as well as rewards for
adherence and the punishment for conformity.

Needs: Need arouses an individual to action toward a goal, giving purpose and
direction to behavior.

Operant conditioning: A process in which the frequency of occurrence of a

behavior is modified by the consequences of the behavior.

Opinion leader: Consumers who influence the purchase decisions of others.

Opportunity cost: The concept that, when a person buys a product or
engages in one task, he or she simultaneously forgoes buying another
product or engaging in another task.

Per capita income: A nation's or other geographic market's total income

divided by the number of persons in its population.

Perception: Perception is the cognitive impression that is formed of

"reality" which in turn influences the individual's actions and behavior toward
that object.

Personality: Personality can be defined as a dynamic and organized set of

characteristics possessed by a person that uniquely influences his or her
cognitions, motivations, and behaviors in various situations. The word
"personality" originates from the Latin persona, which means mask.

Point-of-Purchase (POP): Promotional materials placed at the contact

sales point designed to attract user interest or call attention to a special
offer, e.g., 'Sign up for Summer Reading Program.

Price: The formal ratio that indicates the quantities of money goods or
services needed to acquire a given quantity of goods or services.

Product: A bundle of attributes or features, functions, benefits and uses

capable of exchange, usually in tangible or intangible forms.

Product Life Cycle: The four stages products go through from birth to
death: introductory, growth, maturity, and decline.

Product positioning: The way users/consumers view competitive brands or

types of products. This can be manipulated by the organization.

Promotion mix: The various communication techniques such as

advertising, personal selling, sales promotion, and public relations/ product
publicity available to the marketer to achieve specific goals.

Perceived Value: The trade-off consumers make between perceived quality

and perceived price when evaluating a brand.

Personality: The distinctive patterns of behavior, including thoughts and

emotions, which characterize each individual's adaptation to the situations of
his or her life.

Product differentiation: The process of manipulating the marketing mix to

position a brand so that consumers perceive meaningful differences between
it and its competitors.
Quality control: An ongoing analysis of operations, to verify goods or
service meet specified standards, or to better answer customer/user
complaints.

Reference group: A group that the individual tends to use as the anchor
point for evaluating his/her own beliefs and attitudes. A group whose value,
norms, attitudes or beliefs are used as a guide for behavior by an individual.

Relationship marketing: The overt attempt of exchange partners to build

a long-term association characterized by purposeful cooperation and mutual
dependence and the development of social, as well as structural bonds.

Regression Analysis: A statistical technique to derive an equation that

relates a single, continuous criterion variable to one or more continuous
predictor variables.

Sample: The selection of a subset of elements from a larger group of objects

from which information is gathered to estimate something about the
population.

Sampling: Identification of a group of individuals or households (or

institutions or objects) that can be reached by mail, telephone, or in person,
and that possess the information relevant to solving the marketing problem
at hand.

Simple random sampling. Design guaranteeing that every sample of a

given size as well as every individual in the target population has an equal
chance of being selected.

Social advertising: The advertising designed to education or motivate

target audiences to undertake socially desirable actions.

Superego: In psychoanalytic theory, the conscience or "voice within" a

person that echoes the morals and values of parents and society.

Total quality management (TQM): A management philosophy based on

the idea that successful companies should continuously improve the quality
of their products and that quality is defined by the customer.

Types of risk: Various risk factors that may influence consumers including
financial risk, performance risk, physical risk, psychological risk, social risk,
time risk, and opportunity loss risk.

Target market: The particular segment of a total population on which the

retailer focuses its merchandising expertise to satisfy that submarket in
order to accomplish its profit objectives.

Unique selling proposition (USP): A quick, hard-hitting phrase that

captures a major feature of a product or service.
Values: Enduring beliefs about ideal end states and modes of conduct that
guide behavior within a culture or for a specific person. They dictate what is
good, right and appropriate in behavior.

Vision: A guiding theme that articulates the nature of the business and its
intentions for the future, based upon how management believes the
environment will unfold. A vision is informed, share, competitive and
enabling.

Viral Marketing: A marketing technique used to create attention that will continue
to build as a result of people passing around the marketing piece through email, blogs,
and word of mouth.