| A | B |
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| marketing concept | a business approach that directs all marketing efforts towards satisfying customer’s wants and needs |
| customer | person who buys the product |
| consumer | person who uses the product |
| market | all potential customers who have similar needs and wants, and who have the ability and willingness to buy the product |
| target market | group of consumers a business desires to have as customers |
| marketing mix | four basic marketing strategies collectively known as the four Ps--product, place, price, and promotion |
| market segmentation | dividing the entire market into smaller groups who share similar characteristics |
| demographic segmentation | dividing the market based on personal characteristics such as age, gender, income, ethnic background, education, and occupation |
| psychographic segmentation | dividing the market based on values (ethics, morals, standards), attitudes (personality), and lifestyles (how people spend their time) |
| geographic segmentation | dividing a market based on where a person lives (local, regional, state, national, or global markets) |
| marketing | process of developing, promoting, pricing, selling, and distributing products to satisfy customer’s wants and needs |
| SWOT analysis | acronym for strengths, weaknesses, opportunities, and threats |
| behavioral segmentation | dividing the market into groups based on what they are looking for in a product and why they buy the product |
| market share | percentage of the total sales revenue acquired by a business within a market |
| mass marketing | a single marketing plan used to reach all consumers |
| niche marketing | narrowing markets, by identifying very specific characteristics, into a more specific group of people |
| product/service management | designing, producing, maintaining, improving, and obtaining products to meet customer’s wants and needs |
| pricing | determining a value to charge for products |
| marketing information management | gathering information , analyzing information, and utilizing information for use in making marketing decisions |
| selling | determining and responding to customer’s needs and wants through personalized communication |
| promotion | communication used to inform, persuade, or remind customers about a business’s products |
| distribution | transporting, storing, and handling goods from the manufacturer to the consumer |
| Economics | the study of how to meet unlimited wants and needs of a society with its limited resources. |
| Scarcity | a condition in which more goods and services are desired than are available. |
| Communism | countries have a government that is run by one political party and that party controls everything. People are assigned jobs. Students are told what type of schooling they will receive. |
| Recession | The phase of the business cycle with high unemployment and reduced consumer spending |
| Competition | forces businesses to operate efficiently. |
| Risk | the potential for loss or failure |
| Sole proprietorship | a business owned and operated by one person |
| Private corpotations | corporations that do not offer shares of stock for sale to the general public. |
| Utility | the added value or usefulness of a product |
| Supply | the amount of goods producers are willing and able to produce and sell |
| Demand | a consumer’s willingness and ability to buy products |
| Elasticity | the degree to which demand for a product is affected by its price |
| Elastic demand | how changes in the price of a product affect demand for that product |
| Inelastic demand | condition in the market where changes in the price of a product have very little affect on the demand for that product |
| Profit | the money earned from conducting business after all costs and expenses have been paid. |
| Partnership | a business owned and operated by two or more people |
| Corporation | a business owned by stockholders |
| Capital | The money needed to start and operate a business or the products used in the production of other goods |
| Surplus | A condition where consumers desire less goods and services than were produced, also referred to as an overage |
| Place Utility | The value added by having a product where customers can buy it. |
| Expansion | Highest period of economic growth and low unemployment |
| Unemployment Rate | The number of people who are willing and able to work but cannot find a job |
| Inflation Rate | The rate at which prices are rising |
| Comand Economy | The government answers the three basic economic questions. |
| Communism | Countries that have a government run by one political party which controls everything |
| Monopoly | When one company has exclusive control over a product or the means of producing it |
| Direct Competition | Two or more companies that utilize the same type of business forma |
| LLC | A combination of a partnership and a corporation |
| Job | A specific work assignment or position within a business or an industry |
| Career | A lifelong field of employment that includes various jobs leading up the corporate ladder or to the ultimate job choice. |
| Values | The belief system followed that guides the way we live |
| Aptitudes | Talents or abilities that naturally lead to success. Often refered to as a knack. |
| Skills | The ability to perform a specific task |
| Co-op, Work-study programs, or internships | A school teams with employers to allow students to receive on-the-job training for their anticipated future career |
| Apprenticeship | Training for an occupation under the direction and guidance of a skilled worker. |
| Entry-level jobs | Need no prior experience and very few decision making opportunities are provided. |
| Career-sustaining jobs | Require higher level skills and more decision making opportunities. |
| Marketing specialist employees | Choose marketing as a long term career. They are required to be a team leader and are involved in daily decision making |
| Marketing supervisors | Require good management skills, good marketing skills and must make smart decisions on a regular basis |
| Managers and CEOs/owners | The top job level in the field of marketing |
| Interests | The things one might personally enjoy. For example, Susie has an interest in creating scrapbooks |
| Specific goal | A goal that is explicitly stated and includes details |
| Realistic goal | A goal that can be seen as reasonable and achievable |
| Short-term goal | A goal that is expected to accomplish within one year. |
| Long-term goal | A goal that is expected to accomplish in a time period greater than one year. |
| Job leads | Using research and information to find potential job openings |
| Employment agencies | businesses that match potential employees with job openings |
| Letter of inquiry | A letter written by a person who seeks employment asking about potential job openings |
| Networking | Building relationships from the people you know to the people they know |
| Cover letter | A personal business letter that accompanies a resume and introduces a person to the company |
| Résumé | A personal data sheet that provides a summary of information about an individual |
| References | Listing individuals other than relatives who can give the applicant a positive recommendation |
| Work experience | listed in reverse chronological order |
| Resignation letter | A letter written to inform your employer that you are leaving your current job. |
| Benefits | health insurance, life insurance, dental insurance, social security, and retirement. |
| channel of distribution | the path a product takes from producer or manufacturer to final user |
| intermediaries | distribution channel that provides value to producers because they have expertise in areas that producers do not have |
| wholesalers | obtain goods from manufacturers and resell them to industrial users, other wholersalers, and retailers |
| rack jobbers | wholesalers that manage inventory and merchandising for retailers by counting stock, filling it in when needed, and maintaining store displays |
| drop shippers | wholesalers that own the goods they sell but do not physically handle the actual products |
| retailers | channel of distribution that buys goods from wholesalers or directly from manufacturers and resells them to the final consumer |
| brick and mortar retailers | traditional retailers that sell goods to the customer from their own physical stores |
| e-tailing | retailers selling products over the Internet to the customer |
| agents | intermediaries that bring buyers and sellers together |
| direct distribution | goods or services are sold from the producer directly to the consumer |
| indirect distribution | selling the goods or services involves one or more intermediaries between the producer and customer |
| exclusive distribution | form of distribution that involves protected territories in a given geographic area |
| e-marketplace | an online shopping location |
| receiving record | a form that is used to describe the goods received by a business |
| blind check method | way of checking inventory that requires the receiver to write the description of the merchandise, count the quantities received, and list them on a blank form or dummy invoice |
| direct check method | way of checking inventory in which the merchandise is checked directly against the actual invoice or purchase |
| spot check method | way of checking inventory in a random check of one carton in a shipment |
| quality check method | checking inventory to inspect the workmanship and general characteristics of the received merchandise |
| inventory | an amount of goods stored, including raw materials, purchased components, manufactured subassemblies, works in process, packaging materials, and finished goods |
| inventory management | the process of buying and storing products for sale while controlling costs for ordering, shipping, handling, and storage |
| perpetual inventory system | tracks the number of items in inventory on a constant basis |
| physical inventory system | method of physical inventory control in which stock is inspected or actually counted to determine the quantity on hand |
| physical distribution | all the activities that help to ensure that the right amount of product is delivered to the right place at the right time |
| transportation | the marketing function of moving products from a seller to a buyer |
| common carriers | a company that provides transportation services to any business in its operating area for a fee |
| private carriers | carrier that transports goods for an individual business |
| storage | the marketing function of holding goods until they are sold |
| private warehouse | a facility designed to meet the specific needs of its owner |
| public warehouse | a facility that offers storage and handling facilities to individuals or companies |
| distribution center | a warehouse designed to speed delivery of goods and to minimize storage costs |
| bonded warehouse | public or private warehouses that store products requiring the payment of a federal tax |
| Message | Information, ideas, or feelings being expressed |
| Language Barriers | Working with someone from another culture with no translator available to help with communication |
| Information overload | Too much information given too quickly for the receiver to comprehend |
| Verbal communication | The ability to convey messages using words |
| Nonverbal communication | The ability to convey messages without using words |
| Body language | Hand gestures, facial expressions, eye contact and other body movements |
| Business Letters | Formal method to communicate with people outside a business |
| Email | Fast, informal communication inside or outside a business |
| Memo | Brief written messages used within a business |
| Business Reports | Typically lengthy formal documents covering a variety of topics |
| Company Publications | Graphically designed materials produced for internal or external uses. |
| Communication | The process of transmitting messages between all involved parties |
| Channel | Used to deliver messages to senders and receivers. |
| Setting | Where the communication takes place |
| Barriers | Any interference with the message. |
| Emotional Intelligence | Being aware of personal feelings and using them to make decisions |
| Empathy | Understanding another person’s situation or feelings |
| Self Esteen | Self-respect or valuing ones personal worth |
| Self Assesment | Learning about oneself by looking at work values, interests, aptitude, abilities, and personality traits |
| Work Values | describe what is important to someone in a career |
| Interests | the things someone enjoys spending time doing |
| Aptitude | those things that come naturally or may be learned quickly |
| Ethics | Guidelines for human behavior; the study of moral choices |
| Morals | The part of human behavior that can be evaluated in terms of right or wrong |
| Standards | Accepted levels of behavior to which individual behavior is compared |
| Consequences | The result of an action |
| Vitures | Positive traits, such as loyalty, respect, honesty, and compassion that are found within a person |
| Ethical Behavior | Recognizing the difference between right and wrong, then choosing what is right |
| Cultural Sensitivity | Awareness of cultural differences and similarities |
| Diversity | Different people have different backgrounds and identities |
| Business Etiquette | Acceptable social behavior in business or professional situations |
| Stereotyping | Identifying someone or something by a single trait or as a member of a certain group rather than as individuals |
| Cultural Bias | The belief that one’s own culture is the best |
| Benefits | Added compensation other than money an employer gives his/her employees |
| Teamwork | The good working relationship among employees resulting from combined support, leadership, and cooperation |
| Consensus | A collective agreement reached by the members of a group |
| Code of Ethics | A systematic set of rules and procedures used to guide the behavior of an individual, business, or culture |
| Employee Rights | The entitlement of an employee to equal opportunity, fair pay, and safe working conditions |
| Positive Climate | A work environment that fosters positive productivity, quality work, workplace values, commitment to excellence, constructive criticism, encouragement for growth, and continuing education |
| Business Ethics | Applying principles of right or wrong to workplace situations |
| Word Processing Software | Used to create documents containing primarily text. Most written communication is created using this application. |
| Desktop Publishing Software | Combines text and graphics in documents. |
| Database Software | Organizes a collection of information. |
| Spreadsheet Software | Designed for computerized worksheets. |
| Presentation Software | Used to make professional presentations. |
| Kiosk | Stand-alone sites at malls, banks, airports, and gift registries in retail stores. |
| e-Tickets | Tickets that allow someone to travel or be admitted without carrying a paper ticket. |
| e-Commerce | Sales of products via the Internet. |
| World Wide web | A means of accessing, organizing, and moving information on the Internet. |
| Webpage | Like a page in a book, it is the smallest unit of information that can be accessed. |
| Website | One or more web pages connected by hyperlinks. |
| Hyperlink | A highlighted word or symbol used to connect pages of a website together. |
| Web Address | The identification and location on the web using a set of numbers, letters, and/or symbols. |
| Web Browser | A program that makes it easier to search and retrieve information on the web. |
| Blog | A web-based diary of encounters and personal opinion available to any user. Originally known as a web log. |
| Search Engine | A software program that searches web sites about a topic |
| Promotion | Any form of communication a business uses to inform, remind, or persuade customers to purchase products and improve its public image |
| Product promotion | Used to increase sales of a business and its products. Product promotion is heavily used for new products |
| Institutional promotion | is designed to create a positive image, establish and maintain goodwill, and increase consumer loyalty for the business. |
| Promotional mix | any combination of the different forms of promotion to sell goods and services |
| Personal selling | Planned, personalized communication designed to satisfy a customer’s needs and wants |
| Banner advertisements | rectangular boxes at the top or bottom of Web sites that are used to promote a Web site or business. |
| Contests. | Prizes are awarded based on contestant skill and or ability. |
| Rebates. | Discounts offered by a manufacturer if the consumer purchases a sports or entertainment good or service during a specified time period. Usually available by mail. |
| Traffic-builder | low cost items given to customers for attending an event, or visiting a store |
| Push strategies | used by a manufacturer to convince or “push” retailers to carry and promote products in their retail establishments |
| Pull strategies | directed towards customers to increase their interest and demand for products. |
| E-commerce | the electronic exchange of products or services |
| Graphics | are clip art or drawings on web pages |
| Hyperlinks | are links to other web pages within a web site, or to another web site |
| Advertising | Any non-personal form of communication designed to inform, persuade, or remind customers about a good or service. Advertisements are paid for by an identified sponsor. |
| Sales promotions | Communications or activities used to stimulate sales or create awareness of a new product. |
| Public relations | Activities used to build and maintain a positive image about a company and its products |
| Media | The agencies or means used by a company to convey an advertising message |
| Cooperative advertising | Occurs when a manufacturer helps a retailer pay for advertising costs. |
| Specialty media | also called giveaways, are inexpensive, useful items with a company’s name or logo |
| Sponsorship | A company pays for the right to promote itself and its products at a location or event |
| Promotional allowances | Discounts or cash payments given to wholesalers or retailers who stock large quantities and encourage sales of a product |
| Slotting allowances | Cash premiums paid to retailers to help with the cost of restocking a new product |
| Sales force promotions | Awards given to dealers and salespeople who meet or exceed their sales quota. |
| Publicity: | Using media to bring newsworthy information to the public’s attention |
| News release | An announcement detailing newsworthy information about a company or a product. It is sent to the media in hopes that the information will be reported. |
| Selling | Any form of direct, personal communication between a salesperson and a prospective customer |
| Feature-benefit selling | Matching the characteristics of a product to a customer’s needs and wants |
| Rational buying motives | Consumers have conscious, logical, well thought out reasons for making purchases |
| Emotional buying motives | Feelings experienced by the customer through association with a product. |
| Extensive decision making | Takes place when a customer has had no previous experience with the item. Most likely for goods that involve high risk, are expensive, or have a high value for the customer |
| Routine decision making | Takes place when a customer requires little product information. |
| Formal training | Training provided by the company in a class or workshop setting. |
| Informal training | Takes place on the sales floor in retail operations. A new associate may be paired with an experience associate who will describe the merchandise and selling techniques. |
| Endless chain | Salespeople ask previous customers for names of potential customers. |
| Cold canvassing | Salespeople attempt to locate as many potential customers as possible without checking out leads beforehand |
| preapproach | Retail associates are responsible for preparing the merchandise and work areas. |
| Approach | The first encounter with a potential customer |
| Service approach | The salesperson asks the customer if they need help |
| Greeting approach | The salesperson welcomes the customer to the store |
| Merchandise approach | The salesperson comments on the product the customer is interested in. |
| Objection | A legitimate reason, doubt, or hesitation a customer has for not making a purchase |
| Which close | Suggest the customer choose between two items |
| Standing room only close | Used when there is a limited number of products in stock or when the price is expected to go up. |
| Direct close | Asking for the sale |
| Suggestion selling | Selling complimentary or additional goods or services to the customer that would make the original purchase more enjoyable. |
| Cross selling | Offering related merchandise |
| Upselling. | Recommending larger quantities of merchandise at a lower price |
| Cash or check | The simplest type of sales transaction |
| Debit card sales | Funds are immediately withdrawn from the customer’s bank account |
| Layaway sales | merchandise is removed from stock and held until the customer pays for it |
| On approval sale | an agreement that allows the customer to take the merchandise home, for further consideration |
| Cash-on-delivery (COD) | a customer pays for the merchandise upon delivery |
| PayPal | allows merchants and individuals to accept payments on line. |
