Podcast
Questions and Answers
In the context of business performance, what critical insight do Anderson, Chandy, & Zia (2018) provide regarding the impact of marketing versus finance skills?
In the context of business performance, what critical insight do Anderson, Chandy, & Zia (2018) provide regarding the impact of marketing versus finance skills?
- Marketing skills have a negligible impact on long-term business success compared to the direct financial management.
- Finance skills are the primary driver of profitability, overshadowing marketing's contribution in most industries.
- While both are important the impact of marketing and finance skills on business performance is independent and operates in silos.
- The synergistic application of both marketing and finance skills is essential for maximizing business performance and achieving profitability. (correct)
Why is understanding consumer behavior considered a key element in marketing, as highlighted by the example of Coca-Cola?
Why is understanding consumer behavior considered a key element in marketing, as highlighted by the example of Coca-Cola?
- Because understanding consumer behavior primarily helps in reducing advertising costs by targeting only specific demographics.
- Because it allows companies to tailor their strategies to meet consumer needs preferences and predict market responses effectively. (correct)
- Because consumer behavior is static over time, allowing for the development of universally effective marketing strategies.
- Because effective marketing relies on manipulating consumer behavior to increase sales regardless of consumer satisfaction.
Kodak's market challenges underscore the relevance of market research. What strategic misstep did Kodak make, that could have been avoided with better insights?
Kodak's market challenges underscore the relevance of market research. What strategic misstep did Kodak make, that could have been avoided with better insights?
- Diversifying into unrelated industries, thereby diluting its brand and losing focus on its core photography business.
- Ignoring the shift towards digital photography and underestimating its potential impact on the traditional film market dynamics. (correct)
- Focusing solely on international markets, neglecting the demands and preferences of its domestic consumer base.
- Investing heavily in digital camera technology but failing to aggressively market these products towards the consumer base.
How does a 'customer lock-in', like the one exemplified by Apple iPhones, contribute to a company's profitability and sustainability?
How does a 'customer lock-in', like the one exemplified by Apple iPhones, contribute to a company's profitability and sustainability?
What is the MOST critical factor in ensuring that enhanced Customer Lifetime Value translates into tangible profits for a business?
What is the MOST critical factor in ensuring that enhanced Customer Lifetime Value translates into tangible profits for a business?
For an entrepreneur, what is the MOST critical aspect of marketing emphasized in the course?
For an entrepreneur, what is the MOST critical aspect of marketing emphasized in the course?
A consultant aims to leverage marketing knowledge to improve firm decision-making. Which application of marketing principles would be the MOST effective?
A consultant aims to leverage marketing knowledge to improve firm decision-making. Which application of marketing principles would be the MOST effective?
For a banker evaluating a firm's growth potential, what is the MOST relevant aspect of its marketing strategy?
For a banker evaluating a firm's growth potential, what is the MOST relevant aspect of its marketing strategy?
How does the marketing course aim to benefit engineers according to the text?
How does the marketing course aim to benefit engineers according to the text?
Within the context of the course, what distinguishes the study of marketing from solely advertising or selling?
Within the context of the course, what distinguishes the study of marketing from solely advertising or selling?
The American Marketing Association (AMA) defines marketing as activities and processes that create value. Which of the following scenarios BEST demonstrates this definition?
The American Marketing Association (AMA) defines marketing as activities and processes that create value. Which of the following scenarios BEST demonstrates this definition?
How does effective marketing contribute to solving general business problems, extending beyond typical marketing contexts?
How does effective marketing contribute to solving general business problems, extending beyond typical marketing contexts?
What key skill does the course aim to improve to enhance the effectiveness of business communications?
What key skill does the course aim to improve to enhance the effectiveness of business communications?
How does the course characterize the depth of marketing knowledge students will gain?
How does the course characterize the depth of marketing knowledge students will gain?
In the context of marketing, what is the most critical element that transforms a product offering into a perceived value for the customer?
In the context of marketing, what is the most critical element that transforms a product offering into a perceived value for the customer?
What fundamental change in approach does 'doing it differently' in marketing primarily emphasize?
What fundamental change in approach does 'doing it differently' in marketing primarily emphasize?
Why is understanding the emotional response, such as children's fear of MRIs, relevant in marketing and product development?
Why is understanding the emotional response, such as children's fear of MRIs, relevant in marketing and product development?
Which of the following best exemplifies the application of marketing principles in a non-profit organization?
Which of the following best exemplifies the application of marketing principles in a non-profit organization?
In the South African field experiment, what was the key dependent variable used to measure the effectiveness of marketing versus finance/accounting training for entrepreneurs?
In the South African field experiment, what was the key dependent variable used to measure the effectiveness of marketing versus finance/accounting training for entrepreneurs?
A marketing manager is deciding whether to focus on a niche market or a broader market segment with a new product. Which consideration would MOST strongly argue in favor of pursuing a niche market strategy?
A marketing manager is deciding whether to focus on a niche market or a broader market segment with a new product. Which consideration would MOST strongly argue in favor of pursuing a niche market strategy?
Based on the South African field experiment, what is a potential implication of prioritizing finance/accounting skills over marketing skills for new businesses?
Based on the South African field experiment, what is a potential implication of prioritizing finance/accounting skills over marketing skills for new businesses?
Which of the following scenarios BEST exemplifies a company effectively leveraging customer empowerment to enhance its brand?
Which of the following scenarios BEST exemplifies a company effectively leveraging customer empowerment to enhance its brand?
Which scenario best illustrates the proactive use of marketing principles in product development?
Which scenario best illustrates the proactive use of marketing principles in product development?
What critical marketing function directly influences the perceived value and positioning of a product or service?
What critical marketing function directly influences the perceived value and positioning of a product or service?
Company X is launching a new line of sustainable packaging. Which promotional strategy would MOST effectively communicate the value of their product and resonate with environmentally conscious consumers?
Company X is launching a new line of sustainable packaging. Which promotional strategy would MOST effectively communicate the value of their product and resonate with environmentally conscious consumers?
In what way do marketing principles contribute to the success of political campaigns?
In what way do marketing principles contribute to the success of political campaigns?
A company discovers that its primary target market is evolving, with new needs and preferences emerging. What is the MOST strategic approach to ensure continued marketing effectiveness?
A company discovers that its primary target market is evolving, with new needs and preferences emerging. What is the MOST strategic approach to ensure continued marketing effectiveness?
A global company is introducing a product into a new international market. Which aspect of distribution channel management is MOST critical to consider for success?
A global company is introducing a product into a new international market. Which aspect of distribution channel management is MOST critical to consider for success?
What is the most significant challenge in applying marketing principles to financial services compared to consumer products?
What is the most significant challenge in applying marketing principles to financial services compared to consumer products?
In the context of branding, what is the MOST important strategic consideration when extending a well-established brand into a completely new product category?
In the context of branding, what is the MOST important strategic consideration when extending a well-established brand into a completely new product category?
A company is deciding on a pricing strategy for a new product that has significant innovative features. Which pricing approach would be MOST appropriate if the company aims to quickly gain market share and establish a large customer base?
A company is deciding on a pricing strategy for a new product that has significant innovative features. Which pricing approach would be MOST appropriate if the company aims to quickly gain market share and establish a large customer base?
Which statement best represents the contrasting viewpoints between a product-focused and a customer-focused marketing orientation?
Which statement best represents the contrasting viewpoints between a product-focused and a customer-focused marketing orientation?
Peter Drucker's assertion that 'marketing and innovation produce results; all the rest are costs' implies what about business functions?
Peter Drucker's assertion that 'marketing and innovation produce results; all the rest are costs' implies what about business functions?
How does a customer-centric marketing approach, as described by Lou Gerstner and Eric Schmidt, influence a company's strategic decisions?
How does a customer-centric marketing approach, as described by Lou Gerstner and Eric Schmidt, influence a company's strategic decisions?
What strategic shift does the transition from 'selling what you make' to 'creating value for customers' represent for a company?
What strategic shift does the transition from 'selling what you make' to 'creating value for customers' represent for a company?
What is the most significant risk of a company primarily focusing on product features (e.g., RPMs of a drill) rather than customer benefits (e.g., making holes)?
What is the most significant risk of a company primarily focusing on product features (e.g., RPMs of a drill) rather than customer benefits (e.g., making holes)?
A company states its business as 'We make blue jeans'. According to the content, what is a strategically superior definition focusing on customer value?
A company states its business as 'We make blue jeans'. According to the content, what is a strategically superior definition focusing on customer value?
What does 'profit through customer satisfaction' imply, in the context of a customer-focused marketing orientation?
What does 'profit through customer satisfaction' imply, in the context of a customer-focused marketing orientation?
What is the primary role of marketing in a customer-centric organization, according to the information?
What is the primary role of marketing in a customer-centric organization, according to the information?
A company that automates the office with copy machines should refine its business definition to emphasize what?
A company that automates the office with copy machines should refine its business definition to emphasize what?
Instead of stating 'We make cameras and film,' what is a better customer-centric business definition?
Instead of stating 'We make cameras and film,' what is a better customer-centric business definition?
Flashcards
Consumer Behavior
Consumer Behavior
Understanding consumer actions regarding products/services.
Market Research
Market Research
Collecting data to understand markets, industries, and trends.
Market Disruption
Market Disruption
Change in the market that displaces established firms.
Customer Satisfaction
Customer Satisfaction
Signup and view all the flashcards
Customer Lifetime Value
Customer Lifetime Value
Signup and view all the flashcards
Segmentation
Segmentation
Signup and view all the flashcards
Targeting
Targeting
Signup and view all the flashcards
Positioning
Positioning
Signup and view all the flashcards
Pricing
Pricing
Signup and view all the flashcards
Distribution Channels
Distribution Channels
Signup and view all the flashcards
Promotion
Promotion
Signup and view all the flashcards
Brand
Brand
Signup and view all the flashcards
Engineering Goal
Engineering Goal
Signup and view all the flashcards
Marketing Course Focus
Marketing Course Focus
Signup and view all the flashcards
Entrepreneurial Marketing
Entrepreneurial Marketing
Signup and view all the flashcards
Consultant's Marketing
Consultant's Marketing
Signup and view all the flashcards
Banker's Marketing
Banker's Marketing
Signup and view all the flashcards
Marketing (AMA Definition)
Marketing (AMA Definition)
Signup and view all the flashcards
Marketing Definition
Marketing Definition
Signup and view all the flashcards
Marketing Goal
Marketing Goal
Signup and view all the flashcards
Marketing's Role
Marketing's Role
Signup and view all the flashcards
Marketing Myopia
Marketing Myopia
Signup and view all the flashcards
Customer-perceived value
Customer-perceived value
Signup and view all the flashcards
What is Value?
What is Value?
Signup and view all the flashcards
Customer-Centric Marketing
Customer-Centric Marketing
Signup and view all the flashcards
Marketing (Modern Definition)
Marketing (Modern Definition)
Signup and view all the flashcards
External Orientation
External Orientation
Signup and view all the flashcards
Profit Through Customer Satisfaction
Profit Through Customer Satisfaction
Signup and view all the flashcards
Needs-Based Marketing
Needs-Based Marketing
Signup and view all the flashcards
Competitive Advantage
Competitive Advantage
Signup and view all the flashcards
Defining Your Business
Defining Your Business
Signup and view all the flashcards
Selling Hope
Selling Hope
Signup and view all the flashcards
Determining Market Needs
Determining Market Needs
Signup and view all the flashcards
Scope of Marketing
Scope of Marketing
Signup and view all the flashcards
Marketing vs. Finance Training
Marketing vs. Finance Training
Signup and view all the flashcards
South Africa Field Experiment
South Africa Field Experiment
Signup and view all the flashcards
Business Performance
Business Performance
Signup and view all the flashcards
Marketing in Politics
Marketing in Politics
Signup and view all the flashcards
Marketing in Sports
Marketing in Sports
Signup and view all the flashcards
Marketing in Education
Marketing in Education
Signup and view all the flashcards
Marketing for Non-Profits
Marketing for Non-Profits
Signup and view all the flashcards
Study Notes
Course Overview
- The course is labeled VO Management I - Marketing (MA).
- The course is taught by Univ.-Prof. Dr. Christoph Fuchs, who is the Chair of Marketing.
- Contact Christoph Fuchs via [email protected] or visit http://marketing.univie.ac.at.
- Office hours are available upon request.
Professor's Background
- Some research areas are in the value of making producers personal, the appeal of earmarking donations, how firms benefit from empowering customers, and the consequences of crowdsourcing.
- Teaching areas include New Product Development and Marketing, Branding and Brand Management, and Global Marketing.
- Experience includes Professor at Technical University of Munich, Erasmus University, and faculty positions in the Netherlands, Denmark, and Austria.
- Industry experience includes IBM CEMA in distribution channels management and marketing planning in emerging markets.
- Also includes consulting projects and executive teaching at GE, T-mobile, Siemens, Infenion, Bosch, and technology start-ups.
General Information
- All course information is available on Moodle, check regularly for updates on the syllabus.
- The exam will be multiple choice and 45 minutes long.
- All lectures and assigned readings are relevant for the exam.
- Slides will be uploaded to Moodle after lectures.
- Recommended textbook: Marketing Management, 16th Global Edition by Kotler, Keller, and Chernev (2022).
Course Agenda
- Syllabus details
- Expected student outcomes
- Marketing fundamentals
- Measuring marketing effectiveness
Course Topics
- Principles of marketing
- Segmentation, targeting, and positioning
- Pricing strategies
- Distribution channels
- Promotion tactics
- Brands and branding
Learning Goals
- Understand key marketing concepts like segmentation, targeting, positioning, pricing, place, promotion, product, and branding.
- Explain common marketing theories and frameworks.
- Apply marketing strategies and marketing mix instruments.
Post-Course Outcomes
- Engineers will learn to adopt a customer perspective and create value for customers.
- Marketers will gain a basic introduction to marketing with a focus on breadth.
- Entrepreneurs will understand how to exploit market opportunities, acquire customers, and price and develop distribution channels.
- Consultants will learn strategic frameworks and tools for firm decision making.
- Bankers will understand revenue sources and evaluate a firm's growth potential based on its marketing strategy.
- Students will learn marketing tools applicable to other business contexts, like market research techniques.
- Students will be able to more effectively convey recommendations to solve business problems.
What is Marketing?
- Marketing involves service, advertising, public relations, e-commerce, retailing, packaging, Pricing Delivery, billboards, direct mail, m-commerce, sales, catalogues, promotions, sponsorships, coupons, and shopping channels.
- Marketing is an activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that create value for customers, clients, and partners in society.
- Marketing involves identifying, anticipating, and satisfying customers' needs and wants.
- Marketing's objective is to understand, attract, and keep customers.
- Marketing acts as a fundamental organizational function connecting firms to the outside and serves as the frontier between a firm and its environment.
- Marketing is more than advertising and selling.
Marketing Focus
- A misguided view of Marketing is that you sell what you make
- Marketing is not merely about incentives and discounts to push product.
- Customers don't buy drills; they buy the benefits and the holes they create.
- Marketing focuses on creating value for customers.
What Marketing SHOULD Be
- Marketing = Creating Value for customers
- Must have an External / customer-focused orientation.
- Goal is to achieve profit through customer satisfaction, and build relationships, ROMI, and increase life-time value
- Determine the NEEDS and WANTS of customers.
- Deliver the desired benefits more effectively than competitors
Understanding the Business
- Instead of just selling products, focus on the benefits they offer:
- Make blue jeans or offer comfort, fashion, and durability in wearing apparel.
- Make copy machines or automate the office.
- Make cameras and film or help preserve beautiful memories.
- In factory...make cosmetics --- In drugstore... sell hope.
Marketing and Customer Focus
- Central goal to better determine what’s needed.
- Key areas for market research and refinement:
- Customer needs
- Communication
- Satisfaction
Example Successes
- Companies such as Apple, IKEA, and Amazon exemplify how to get marketing right.
- The transformation of MRI experiences for children by changing the environment from scary to exciting.
Scope and Importance
- Principles are widely applicable to consumer products, design and development, various services, consulting, industrial products, media/entertainment, education, sports, politics and non-profits.
Marketing Strategies
- Field experiments in South Africa with n = 852 firms tested the impact of marketing versus Finance skills on Business Performance.
- Some firms randomly assigned to either a marketing training condition or a finance / accounting condition and a control condition
Research Outcomes
- Key questions addressed:
- Impact of improvements in marketing versus finance skills on small business owners
- How respective improvements affect business outcomes
- Who benefits most from increases in one set of skills relative to the other
- The marketing group sees profit gains by focusing on higher sales through stock investments, materials and hiring more employees.
- The finance group saw similar gains by focusing on efficiency and lower costs.
3C-4P Framework
- Marketing Analysis (3 Cs): customer needs, company's strengths & weaknesses, and Competitor's position.
- Strategic Objectives: target segment, positioning, and competitive strategy.
- Marketing Mix (4 Ps): product, price, promotion, and place.
Customers
- Understanding consumers is key to effective marketing.
- Examples include Coca-Cola and their customer satisfaction and needs
- Includes conducting market research that informs strategy
Market Research
- Necessary to understand markets (size), industries, customers, trends, and to gain necessary insights.
- Secondary data: Public/existing information collected by others.
- Primary Data: New information is collected directly
- Gathering information from: Government statistics, industry Associations, and Trade Publications.
- Surveys, focus groups, and in-depth interviews, and a combination of all
Customer Satisfaction
- Essential for business success
- It is proven to be the best business strategy of all
Customer Lifetime Value
- Retaining customers is essential, delivering differentiated product, giving optimal benefits can see strong returns
- If customers are returning it means the big profits are coming
Customer Relationships
- The longer the customer relationships is, the better profitability over time
- Profit from price premium is more likely
- Profit from referrals grows
- The more profitable customer = higher satisfaction
- Cost to attract new vs established:
- Attracting a new customer can be up to 5 times the cost of keeping a current one happy.
Framework Overview
- Composed of prerequisites, marketing strategy, and marketing plan
- Prerequisites include marketing research and understanding consumer behavior
- Marketing strategy involves segmentation, targeting, and positioning.
- The marketing plan includes decisions about the product, price, promotion, and place.
Key takeaways of Marketing Management I
- Creating and delivering value, with an external orientation that serves a critical business function
- Covers a wide scope, is dynamic and proactive in responding to trends in science and art
Studying That Suits You
Use AI to generate personalized quizzes and flashcards to suit your learning preferences.
Related Documents
Description
Explore core marketing concepts: consumer behavior, market research, customer lifetime value, and strategic decision-making. Learn how consumer insights and customer lock-in affect profitability. Understand the crucial role of market research in averting strategic missteps.
