Steven Green
CH 5,6,7,9
Marketing Exam 2 prep
Ch 5
Gross domestic product (GDP) – The total market value of all goods and services
provided in a country’s economy in a year by both residents and nonresidents of
that country
BirthRate – The number of babies per 1,000 people
Metropolitan Statistical Area (MSA) – an integrated economic and social unit with a
large population nucleus
Real income – income that is adjusted to make out the effects of inflation on
purchasing power
Disposable income – income that is left after taxes
Discretionary income – whatever is left of disposable income after paying for
necessities
Empty nesters – people whose children are grown up and who are now able to
spend their money in other ways.
Senior citizens – people over 65
Ch 6
Economic buyers – people who know all the facts and logically compare the choices
to get the greatest satisfaction from spending their time and money
Economic needs – Needs concerned with making the best use of a consumer’s time
and money – as the customer judges it.
Needs – the basic forces that motivate a person to do something
Wants – needs that are learned during a person’s life
Drive – a strong stimulus that encourages action to reduce a need
Physiological needs – Biological needs such as the need for food, drink, water, rest,
sex…ect
Safety needs – needs concerned with protection and physical well-being
Personal needs – an individual’s need for personal satisfaction unrelated to what
others think or do
Perception – how we gather and interpret information from the world around us
Selective exposure – our eyes and mind seek out and notice only information that
interests us
Selective perception – people screen our or modify ideas, messages, and information
that conflict with previously learned attitudes and beliefs
Selective retention – people remember only what they want to remember
Learning – a change in a person’s thought process caused by prior experience
Cues – Products, signs, ads, and other stimuli in the environment
Response – an effort to satisfy a drive
Reinforcement – occurs in the learning process when the consumer’s response is
followed by satisfaction – that is, reduction in the drive
Attitude – a person’s point of view toward something.
Belief – a person’s opinion about something
Expectation – an outcome or event that that a person anticipates or looks forward
to.
Psychographics – the analysis of a person’s day-to-day pattern of living as expressed
in that person’s activities, interests, and opinions – sometimes referred to as AIOs or
lifestyle analysis
Lifestyle analysis – same as psychographics
Social class – a group of people who have approximately equal social positions as
viewed by others in the society
Reference group – the people to whom an individual looks when forming attitudes
about a particular topic
Opinion leader – a person who influences others
Culture – the whole set of beliefs, attitudes, and ways of doing things of a reasonably
homogeneous set of people
Extensive problem solving - the type of problem solving consumers use for a
completely new or important need – when they put much effort into deciding how
to satisfy it.
Limited problem solving – when a consumer is willing to put some effort into
deciding the best way to satisfy a need
Routinized response behavior – when consumers regularly select a particular way of
satisfying a need when it occurs
Low-involvement purchases – purchases that have little importance or relevance for
the consumer
Dissonance – tension caused by uncertainty bout the rightness of a decision
Adoption process – the steps individuals go through on the way to accepting or
rejecting a new idea
Ch 7
Business and organizational customers – any buyers who by for resale or to produce
other goods and services
Purchasing specifications – a written (or electronic) description of what the firm
wants to buy
ISO 9000 – a way for a supplier to document its quality procedures according to
internationally recognized standards
Purchasing managers – buying specialists for their employers
Multiple buying influences – several people share in making a purchase decision –
perhaps even top management
Buying center – all the people who participate in or influence a purchase
Vendor analysis – formal rating of suppliers on all relevant areas of performance
Requisition – a request to buy something
New-task buying – when an organization has a new need and the buyer wants a
great deak of information
Straight rebuy – a routine repurchase that may have been made many times before
Modified rebuy – the in-between process where some review of the buying situation
is done --- though not as much as in new-task buying or as little as in straight rebuys
Competitive bid – terms of sale offered by different suppliers in response to the
buyer’s purchase specifications
Just-in-time delivery – reliably getting products there just before the customer
needs them
Negotiated contract buying – agreeing to a contract that allows for changes in the
purchase arrangements
Outsourced – when the buying organization chooses to contract with an outside firm
to produce goods or services rather then producing them internally
North American Industry Classification System (NAICS) codes – codes used to
identify groups of firms in similar lines of business
Open to buy – a buyer has budgeted funds that he can spend during the current time
period
Resident buyers – independent buying agents who work in central markets for
several retailer or wholesaler customers based in outlying areas or other countries
Foreign Corrupt Practices Act – a law passed by the US Congress in 1977 that
prohibits US firms from paying bribes to foreign officials
Ch 9
Product –
Quality –
Product assortment –
Product line –
Individual product –
Branding –
Trademark –
Service mark –
Brand familiarity –
Brand rejection –
Brand non-recognition –
Brand recognition –
Brand preference –
Brand equity –
Lanham Act –
Family brand –
Licensed brand –
Individual brands –
Generic products –
Manufactured brands –
Dealer brands –
Private brands –
Battle of the brands –
Packaging –
Universal product code (UPC) –
Federal Fair Packaging and Labeling Act –
Warranty –
Magnuson-Moss Act –
Consumer products –
Business products –
Convenience products –
Staples –
Impulse products –
Emergency products –
Shopping products –
Homogeneous shopping products –
Heterogeneous shopping products –
Specialty products –
Unsought products –
New unsought products –
Regularly unsought products –
Derived demand –
Expense item –
Capital item –
Installations –
Accessories –
Raw materials –
Farm products –
Natural products –
Components –
Supplies –
Professional services -