Chapter 2 SMM Terms Quiz

occurs when the total costs and revenues are equal - it has neither profited nor lost.

the path a good must follow to reach

the consumer.

is a symbol or design that a company uses to identify its business and products.

an amount added to the break-even point to determine the selling price. This can help pay wages, utilities, and other business expenses. It is also used to respond to various influences on price, such as

competition and consumer demand.

When businesses interact with customers on a variety of levels to connect, but the premise is always the

same—to engage with a target market by including them in the communication process. For instance, a photo contest on Twitter asking customers to post photos

using a company’s product is an effective form of participatory marketing. This type

of promotion becomes particularly enticing to consumers when businesses offer

something in return, such as a free product, coupon, or discount.

A method of price manipulation, For example, psychological pricing is a way to generate an emotional response from the customer.

The appearance of numbers, special offers, and price points are designed to make

customers feel a certain way. Three common ways include charm, BOGO, and comparative pricing.

a product’s performance on the market from when it

is first introduced to when it is discontinued. Products are priced differently at different stages.

represents the goods and services sold by a business.

a repeated phrase or selection of words associated with a specific

individual, organization, or product.

The entities and processes involved in transforming raw materials into products purchased by consumers