Marketing and Marketplace Concepts Worksheet

Define marketing.

• Engaging customers and managing profitable customer relationships.

• Designing products for internal use only.

• Focusing solely on increasing production efficiency.

• Ignoring customer needs and preferences.

List the 5 steps of the marketing process.

• (1) Understand the marketplace and customer needs, (2) Design a customer-driven marketing strategy, (3) Construct an integrated marketing program, (4) Build profitable customer relationships, (5) Capture value from customers.

• (1) Identify competitors, (2) Set pricing strategies, (3) Launch advertising campaigns, (4) Monitor sales, (5) Expand product lines.

• (1) Develop new products, (2) Analyze financial reports, (3) Hire marketing staff, (4) Increase production, (5) Open new stores.

• (1) Research global markets, (2) Create a website, (3) Set up distribution channels, (4) Train sales teams, (5) Evaluate quarterly profits.

What is customer value?

• The benefits a customer receives from a product or service compared to its cost.

• The total number of customers a business has.

• The price a customer pays for a product or service.

• The amount of profit a company makes from each customer.

What happens when customers are dissatisfied?

• They switch to competitors and share negative experiences.

• They become more loyal to the company.

• They ignore the issue and continue purchasing.

• They recommend the company to others.

What happens when customers are satisfied?

• They buy again and recommend the product to others.

• They stop buying the product completely.

• They complain about the product.

• They ask for a refund.

Define needs.

• States of felt deprivation (physical, social, or individual).

• A list of wants and desires.

• A method of satisfying luxury demands.

• A process of market segmentation.

Define wants.

• Desires for specific products shaped by culture and personality.

• Basic requirements necessary for survival.

• The process of exchanging goods and services.

• A legal obligation to pay a debt.

Define demands.

• Wants backed by buying power.

• Needs that cannot be satisfied.

• Desires for luxury goods only.

• Requests made without intention to buy.

Give an example of a need, want, and demand.

• Need: Food, Want: Pizza, Demand: Pizza from Domino's

• Need: Car, Want: Water, Demand: Air

• Need: Television, Want: Oxygen, Demand: Shoes

• Need: Shoes, Want: Air, Demand: Water

Which concept is most influenced by culture?

• Wants.

• Needs.

• Resources.

• Production.