MKTG 2150 Midterm Exam Concepts Review PDF

1 MKTG 2150 Midterm Chapter Concepts The following material is intended as more of a highlight of chapter concepts and less of an exam review because there will be multiple-choice questions in the mid-term exam. Some concepts are just headings, and you should know what...

1 MKTG 2150 Midterm Chapter Concepts The following material is intended as more of a highlight of chapter concepts and less of an exam review because there will be multiple-choice questions in the mid-term exam. Some concepts are just headings, and you should know what the concept means as well as what other sub-concepts it contains. For all concepts, please remember to read to understand them and not simply memorize them. When reviewing a concept, think of a product/service or company that exhibits the same characteristics. That way, if there is a question on the exam that you cannot recall the answer to, you might be able to figure it out by thinking of your “example.” The midterm exam is only on the first half of the course – chapters 1,2,3,4,6, and 7. There are 34 multiple-choice questions and 4 short-answer questions with mini-scenarios. Chapter 1 – Marketing Fundamentals  The Role of Marketing – focusing on customer needs/wants, creating customer value  Target Market  Marketing Mix – 4 P’s – Product, Price, Place and Promotion  The Marketing Process - Identifying consumer needs, managing the marketing mix and realizing profits  What can be marketed (Goods, Service, Idea)  What is a market?  The Evolution of Business Philosophies – orientations (production, sales, marketing, relationship marketing) & Customer Relationship Management (CRM)  Concepts of - share of wallet, customer lifetime value, corporate social responsibility, greenwashing, societal marketing concept Chapter 2 – The Marketing Environment  SWOT Analysis (Strength, Weaknesses, Opportunities and Threats)  Environmental Scan (the CREST acronym) o Competitive Forces  Direct and Indirect Competitors  Monopoly/Oligopoly/Monopolistic Competition/Perfect Competition o Regulatory Forces  Competition Bureau/Advertising Standards o Economic Forces  Macroeconomic forces (GDP, Inflation, Recession, Interest Rates, Unemployment Rates)  Macroeconomic forces (Gross Income, Disposable Income, Discretionary Income)) o Socio-Cultural Forces  Media, Food Consumption, Healthy Living, Ethical Consumption  2  Aging Population, Diverse Generations, Big City Growth, Ethnic Diversity, World Markets, Changing Household Composition o Technological Forces  Innovations, Use of Technology  Steps in the Environmental Scan 1. Collect the facts and identify trends 2. Determine the impact that this fact/trend will have on the business (opportunities or threats or neutral) 3. Brainstorm, evaluate and implement ideas to meet business objectives Chapter 3 – Consumer Behaviour  Consumer Purchase Decision Process – know the 5 steps and what is involved with each. o Problem Recognition (Actual state vs Ideal state) o Information Search  Internal  External o Evaluation of Alternatives (evaluative criteria, evoked set) o Purchase Decision o Post-Purchase Behaviour (cognitive dissonance)  Involvement and Problem-Solving Variations – Routine/Limited/Extended Problem Solving  Consumer Purchase Decision Process Influencers (understand each Influencer and sub- Influencer) o Marketing Mix Influences  Product  Price  Place  Promotion o Situational Influences  Purchase Task  Social Surroundings  Physical Surroundings  Temporal Effects  Antecedent States (mood, momentary conditions) Chapter 4 – Market Research, Metrics and Analytics  Types of Market Research Design – Exploratory/Descriptive/Causal  Market Research Approach (know what is in each step) 1. Define the Problem 2. Design the Research Plan (info requirements/collection methods/sampling) 3. Collect relevant information:  Conduct Exploratory and Qualitative Research (primary data – focus groups/in-depth interviews/online research communities/online research  3 bulletin boards/social listening) & secondary data: internal data and external data)  Collect Quantitative Primary Research (observational research/surveys & questionnaires/experiments) 4. Compile, Analyze, and Interpret Data 5. Generate Reports and Recommendations  Some examples of secondary data sources: Statista, Passport (Euromonitor), IBISWorld, Environics, Simply Analytics, Google News (Forbes, etc.), Harvard Business Review, Fortune, Adweek, Business Today, Consumer Reports, Market research companies (check their market research reports – Nielsen, Kantar, Gartner, IPSOS, etc.) Chapter 6 – Segmentation, Targeting and Positioning  Market Segmentation – consumer/business market, market segmentation, product differentiation  Forms of Market Segmentation o Mass Marketing o Segment Marketing o Niche Marketing o Individualized Marketing  Segmentation Variables in Consumer Markets o Geographics o Demographics o Psychographics o Behaviouristics  Target Market Profile and Personas  Steps in Market Segmentation (6) 1. Identify consumer/customer needs and common characteristics in the market 2. Cluster common consumer/customer variables to create meaningful market segments 3. Estimate the size and feasibility of each segment 4. Identify the segment(s) to be targeted 5. Take actions with marketing programs to reach the segment(s) 6. Monitor and evaluate the success of these programs compared with objectives  Product Positioning – Image/Product Attribute/Price  Positioning Statement  Repositioning  Positioning Maps – how/why/steps (3) Chapter 7 – Products and Brands  Types of Products – Non-durable Good, Durable Good, Service/Virtual Service  The Uniqueness of Services (4 I’s) – Understand what they are and how they relate o Intangibility o Inconsistency  4 o Inseparability o Inventory  Total Product Concept o Core product o Actual product o Augmented product  Packaging and Labelling – Function/Communication/Brand image  Product Lines and Product Mixes – width, length and depth  Consumer Product Categories/Classifications – know how they differ and give examples o Convenience products o Shopping products o Speciality products o Unsought products  Branding - Brand Equity/Brand Elements  Brand Strategies o Individual Brand o Family Brand o Brand Extension o Sub-Brand  Protecting Brands – Patents/Copyrights/Trademarks  Brand Names – Key characteristics for a good brand name  Types of Brands - Manufacturer’s Brand/Private-Label Brand/Generic Brand