| A | B |
|---|
| marketing mix | four marketing elements, product, price, promotion, and distribution |
| product mix | the different products and services a business sells |
| product features | color, size, and quality, hours , warranties, delivery, and installation |
| positioning | placing a product in a certain market to get a desired customer response |
| channels of distribution | the routes that products and services take from the time they are produced to the time they are consumed |
| physical distribution | not only transportation, includes storage and handling of products |
| transportation | shipping by airplane, pipeline, railroad, ship, truck or a combination of |
| packaging | is designed to protect product from time it is produced until it is consumed |
| price objectives | maximize sales, attract customers, maintain an image |
| demand-based pricing | determined by how much customers are willing to pay for a product or service |
| cost-based pricing | determined by using the wholesale cost of an item as the basis |
| markup price | determined by adding an amount to wholesale cost |
| markdown price | determined by subracting an amount from the retail price |
| competition-based pricing | determined by considering what competitors charge for the same good or service |
| time-based pricing | determined by the amount of time it takes to complete the service |
| bundling | services combined and one price is charged |
| breakeven point | sales revenue equals total cost of product or service |
| advertising | paid form of communication |
| public relations | establishing a favorable relationship with customers and general public |
| commercials | less than a minute in length, run during programming breaks |
| paid advertisements | last a half hour or more, go into depth about product features |
| newspapers | single largest form of advertising in US |
| Direct-mail advertising | fliers, catalogs, letters |
| outdoor advertising | billboards and signs |
| transit advertising | signs on public transportation |
| publicity | free promotion generated by media coverage |
| press release | written statement meant to inform media of event or product |
| personal selling | people-to-people selling |
| sales promotion | act of offering an incentive to customers to increase sales |
| rebate | refund, after purchase made |
| telemarketing | using phone to market your product or service |
| market share | the percentage of a market owned by a business |
| networking | establishing informal ties with people who can help your business grow |
