Marketing – Set 4

Intangibility is the basic property of a service which makes it different from a product. Products have tangible qualities that provide information to consumers so they can easily compare one product to another. Services, on the other hand, are intangible. Most services cannot be experienced or consumed until the purchase is made.

Buying goods and services for further processing or for use in the production process refers to Business markets. Marketplaces where organizations purchase raw materials, natural resources and components of other products for their resale or for use in manufacturing another product. Business markets are generally made up of businesses which buy products and raw materials for their own operation.

A market orientation recognizes that market intelligence relating to current and future customer needs is important. Market orientation is a business philosophy where the focus is on identifying customer needs or wants and meeting them. When a company has a market orientation approach, it focuses on designing and selling goods and services that satisfy customer needs in order to be profitable.

A change in an individual’s behavior prompted by information and experience refers to Learning. Learning is the process of acquiring new, or modifying existing, knowledge, behaviors, skills, values, or preferences.

Unique psychological characteristics that lead to relatively consistent and lasting responses to one’s own environment refers to belief. A Belief is a descriptive thought that a person holds about something.

Of the four competing philosophies, the Furniture Industry is an example of Production Orientation. Production Orientation is the general approach of any business that is primarily concerned with manufacturing and production processes. In a product oriented approach, business focuses and develops products based on what it is good at making or doing, rather than what the customer wants.

Luxury products, such as Rolex watches, are also known as Shopping product. Shopping products refer to items that the consumers purchase less frequently and compare with available alternatives in the market. Consumers need time, planning and efforts to take the final decision whether to buy the product or not.

Marketing company era is the most recent stage of marketing evolution. Marketing has taken the modern shape after going through various stages since last the end of 19th century.

Productivity is NOT included as a basic idea in the definition of marketing concepts. The marketing concept is the belief that companies must assess the needs of their consumers first and foremost. Based on those needs, companies can make decisions in order to satisfy their consumers’ needs, better than their competition.

Customer satisfaction is a key to build lasting relationships with consumers. Customer satisfaction indicates the fulfillment that customers derive from doing business with a firm. In other words, it’s how happy the customers are with their transaction and overall experience with the company.

In order for exchange to occur each party must have something of value to the other party. For an exchange to happen, both parties have to have something of value for each other. For instance, a man visiting a coffee shop might have enough money to buy a cup of coffee while the cafe has the coffee. Both parties must be able to communicate with each other, and both must want to exchange something and be able to do so. If the customer in the coffee shop can’t make himself understood, or if he decides he doesn’t want a cup of coffee, or if he turns out not to have quite enough money, then there will be no exchange. If all of the needed conditions are met, there will be an exchange of money for coffee.

The four unique elements to services include Intangibility, inconsistency, inseparability and inventory. Intangibility refers to the tendency of services to be a performance that cannot be held or touched, rather than an object. Inconsistency is a characteristic of services because they depend on people to deliver them, and people vary in their capabilities and in their day-to-day performance. Inseparability refers to the difficulty of separating the deliverer of the service (hair stylist) from the service itself (hair salon). Inventory refers to the need to have service production capability when there is service demand.

Core Benefit Proposition tells about what a consumer would perceive as the benefit in purchasing a new product compared to that in buying a competitor’s product.

Market oriented firms emphasizes on product’s benefits to the customers rather product attributes. Market orientation often includes improvements in customer service and product support geared to solving concerns raised by consumers. This helps ensure customer satisfaction remains high with the company as a whole and promotes brand loyalty and positive word-of-mouth advertising.

Focus of advertising is on product features and how products are made is NOT consistent with a manager having a marketing orientation. Market orientation is an approach to business that prioritizes identifying the needs and desires of consumers and creating products that satisfy them.

Customer’s evaluation of the difference between all the benefits and all the costs of a marketing offer relative to those of competing offers refers to Customer perceived value.

We have organized our business to satisfy the customer needs statements by a company chairman BEST reflects the marketing concept.

The mental act, condition or habit of placing trust or confidence in another shows Belief. A Belief is a descriptive thought that a person holds about something.

Promotion orientation is NOT one of the four philosophies of marketing. Four competing philosophies strongly influence an organization’s marketing activities. These philosophies are commonly referred to as production, sales, marketing, and societal orientations.

The extended Ps of service marketing mix is Physical Evidence, Process, People. The physical evidence within the service marketing mix refers to an environment in which a service comes about from an interaction between an employee and a customer which is combined with a tangible commodity. The element ‘Process’ of the service marketing mix represents the activities, procedures, protocols and more by which the service in question is eventually delivered to the customer. As services are results of actions for or with customers, a process involves a sequence of steps and activities to get there. In Booms and Bitner’s service marketing mix, ‘people’ include people who are directly or indirectly involved in the trade of the product or service. These are mainly customer contact employees (contact centre employees, representatives, account managers, etc.), customers, personnel and management.

A social and managerial process by which individuals and organizations obtain what they need and want through value creation refers to Marketing. “Marketing is a social and managerial process by which individuals and groups obtain what they need and want through creating and exchanging products and value with others.”

Profitability orientation is not a component of market orientation. A profit-oriented pricing strategy involves setting prices for your products that will guarantee you’ll make money on each sale. You determine your cost for manufacturing each product, then add a percentage for profit.

Soft drink product is MOST likely to be purchased through routine decision making. People usually make hundreds of decisions everyday. Rather than thinking a lot for each, people instead rely on routines. These are decisions which need an introduction and identification then it becomes your regular activity.

The solution to price competition is to develop a differentiated Offer, delivery, and image. Price competition is one of many ways that a product or service can compete in the marketplace. In price competition, two products which are substantially similar are judged by prospective consumers on their respective pricing, with the purchase made mostly on the basis of which is cheaper.

A critical marketing perspective is the process of determining the worth and impact of marketing activities.

The factors such as the buyer’s age, life-cycle stage, occupation, economic situation, lifestyle, personality and self-concept that influences buyer’s decisions refers to Demographical characteristics. Demographic segmentation is one of the ways to target a specific group of consumers.

Raising funds to finance the marketing projects is NOT included in the marketing management process used by the marketing manager to achieve its objectives. The basic purpose of marketing management is to achieve the objectives of the business. A business aims at earning reasonable profits by satisfying the needs of customers.

This is what I want, won’t you please make it phrases reflects the marketing concept.

While buying milk Routinized buying behavior kind of behavior is displayed by a person. Buying Behavior is the decision processes and acts of people involved in buying and using products.

Social factor relates to family that influences consumer behavior. Social factors play an essential role in influencing the buying decisions of consumers. Human beings are social animals. We need people around to talk to and discuss various issues to reach to better solutions and ideas. We all live in a society and it is really important for individuals to adhere to the laws and regulations of society.

If we purchase cleaning supplies for our custodial help regularly. It is showing Straight rebuy situation. A straight rebuy is the purchasing or reordering of supplies on a routine basis from a supplier who is on an approved list.

Whether to sell via intermediaries or directly to consumers, how many outlets to sell through, and whether to control or cooperate with other channel members are examples of decisions marketers must make about Distribution. Distribution means the process by which we make the goods or the service available to the end consumer. Generally, the place of production is not the same as the place of consumption. So the goods have to be distributed to overcome the barrier of place.