When Chinese automakers recently began exporting cars, rather than focusing on developed nations in the West, they are shipping autos to emerging markets in countries such as Algeria, Russia, Chile, and South Africa. In these markets, even used vehicles from multinational manufacturers are relatively scarce—and relatively expensive. The Chinese automakers, whose priority is keeping costs down rather than design or even safety, applied a penetration-pricing strategy. A woman in Santiago, Chile, who bought a new Chery S21 explained, “The price factor is fairly decisive. I paid $5,500 new and full. Toyota with similar features costs around $12,000.” Why do you think Chinese automakers chose that pricing strategy? Do you think it was successful? As Chinese regulators pressure these manufacturers to make their cars safer, do you think they will be able to keep their prices low compared with those of the international automakers? Why or why not?
> Nearly 400 million rebates—worth about $6 billion—are offered to U.S. consumers by marketers every year. But do consumers like them? Often rebates require more effort than a consumer is willing to make to receive the cash back. Critics of the promotional
> What is sampling? Explain the differences between probability and nonprobability samples and identify the various types of each.
> Distinguish between primary and secondary data. When should researchers collect each type of data?
> List and explain the steps in the marketing research process. Trace a hypothetical study through the stages in this process.
> How do the activities of data mining and predictive analytics work together?
> How does the era of big data present opportunities and challenges to marketing researchers?
> What are the differences between full-service and limited-service research suppliers?
> Describe the experimental method of collecting primary data and indicate when researchers should use it.
> Outline the development and current status of the marketing research function.
> What are AIO statements? How are they used by marketers?
> How is segmentation by family lifecycle and household type useful to marketers? Briefly describe your own family in these terms, identifying characteristics that might be helpful to marketers for a firm selling HDTVs.
> The social-cultural environment can have a strong influence on the decisions marketers must make. In recent years, animal rights groups have targeted the manufacture and sale of foie gras, a European food delicacy made from goose and duck liver. Activist
> What is the fastest-growing racial/ethnic minority group in the United States? What types of things do marketers need to know about this group in order to market successfully to these consumers?
> What is the cohort effect? This chapter suggested that the rise of video games was sufficiently significant to have influenced a generation, currently referred to as the Millennials. Do you agree?
> How does a positioning map work? What are its benefits?
> Define and describe the different types of contractual agreements that provide flexible alternatives to exporting.
> What are the three alternatives for first-time exporters to reach foreign customers?
> Why has the progress of the WTO been slow?
> What are two major victories achieved by the Uruguay Round of GATT conferences?
> What are the two different classifications of tariffs? What is each designed to do?
> Why is a nation’s infrastructure an important factor for global marketers to consider?
> What type of nation benefits most from countertrade? Why?
> Why is it important for a firm to establish high ethical standards for sustainability? What role do you think marketers play in implementing these high standards?
> What are the benefits to firms that decide to engage in global marketing?
> What buying center participant is a marketer likely to encounter first? In the buying center, who has the formal authority to make a purchase?
> Give an example of a straight rebuy and a modified rebuy. Why is new-task buying more complex than the first two buying situations?
> Why are there more steps in the organizational buying process than in the consumer buying process? Explain why feedback between buyers and sellers is important to the marketing relationship.
> What are some of the environmental factors that may influence buying decisions? Identify organizational factors that may influence buying decisions. Describe the role of the professional buyer.
> For what reasons might a firm choose an option other than making a good or service in-house? Why is outsourcing on the rise? How is offshoring different from outsourcing?
> Give an example of each type of demand.
> How do the sizes and numbers of buyers affect B2B marketers? Why are buyer-seller relationships so important in B2B marketing?
> How is customer-based segmentation beneficial to B2B marketers? Describe segmentation by purchasing situation.
> Describe some of the factors that characterize U.S. government purchases. Why are institutional markets particularly challenging?
> The safe disposal of nuclear waste has been the topic of continuing public debate and an ongoing issue for marketers who work for nuclear power companies. This material is currently stored at 75 sites around the nation. To build a nuclear waste site, the
> Which is the largest segment of the business market? What role does the Internet play in the B2B market? What role do resellers play in the B2B market?
> What is learning as it relates to marketing? Explain the four steps in the learning process and give examples as they relate to marketing.
> What are the components of attitude? Explain the two ways in which marketers can try to change consumer attitudes toward their products.
> What are the three reasons that subliminal perception is unlikely to result in a purchase? Despite these findings, what role is neuroscience now playing in the creation of marketing messages?
> What are the two factors that interact to create a person’s perception of an object? How is this important for marketers?
> According to Maslow, what is the difference between needs and motives? How can marketers make use of these two concepts to lead consumers toward purchases?
> What are the four role categories that describe each spouse in a household? Which role has changed the most in recent years, and why?
> Describe a purchase that a consumer might make that would reflect his or her status within a particular group. If that person’s status increased, how might the purchase selection change?
> Why is the concept of acculturation important to marketers who want to target such groups as Hispanic, Asian, or African American consumers?
> For each of the following products, what steps might marketers take to transform them from a limited problem-solving situation for a consumer to a routinized response situation? a. Buying a gym membership b. Renewing a magazine subscription c. Making a h
> Netflix has made thousands of streaming videos available to its unlimited subscribers. How does this strategy demonstrate a strategic window for the company?
> How can companies benefit from blogs and avoid their downsides?
> How does an organization create a customer?
> Why is competitive bidding an important factor in major purchase decisions like vehicles for a police force, the construction of a bridge, or the manufacture of military uniforms?
> Under Staples’ “Easy Rebates” program, customers can submit most of their rebate applications online for products purchased over the Internet, through the catalog, and in Staples stores. Customers may also submit several rebates at once and receive email
> Capital Motors, a car dealership, recently announced that it will rely less on high-volume strategies such as discounts and rebates to improve its profitability. Another strategy it will employ is to sell fewer cars to rental fleets, which eventually ret
> Some finance experts advise consumers not to worry about rising gasoline prices, the cost of which can easily be covered by forgoing one takeout meal a month, but to worry about how high energy prices will affect the rest of the economy. For example, eac
> Recording artists earn only about 9 percent in royalties per CD, using a royalty base of retail price less 25 percent for packaging costs. The rest goes to the producer and to cover recording costs, promotion, copies given away to radio stations and revi
> Prices at amusement parks might rise if operators such as Disney and Universal Studios add new rides. The parks also have to deal with high fuel prices. List as many things as you can think of that parks like these offer patrons in return for their money
> Green Mountain Coffee Roasters is well known for its specialty coffees, available in many retail outlets such as supermarkets and convenience stores. But visit a medical office or a car dealership, and you might find it there as well—in one-cup dispenser
> Suppose you are a marketer for a U.S. manufacturer of pet supplies. Two top executives have proposed expanding the company by opening retail stores and marketing pets on-site—puppies, kittens, rabbits, birds, fish, and the like. What are the potential be
> Think back to publicity you have heard recently about a company or its products. If it was good publicity, how was it generated and what media were used? If it was bad publicity, where did you learn about it and how did the firm try to control or neutral
> How might transportation firms use security measures to build trust with customers and strengthen their position in the marketplace?
> What are some of the benefits and drawbacks of using celebrity testimonials in advertising? Identify an ad you believe makes effective use of a celebrity’s endorsement, and explain why.
> What steps might manufacturers take to achieve the kind of channel cooperation that could reduce or prevent cargo theft?
> What is a portfolio analysis? What purpose does it serve for marketers?
> Why must SMM content focus on the audience rather than the organization?
> Suppose you have been hired as a marketer by an online retailer, like Wayfair or Amazon, to help develop a new marketing mix. State one thing you would do to improve the retailer’s position through each of the four strategic elements: product, distributi
> Who might participate in the social media interaction on behalf of a company? What strengths could each of these people contribute to the conversation?
> What are the three essential features of social media marketing?
> What are the three questions marketers must ask before deciding on a competitive strategy?
> Imagine you had a chance to interview Google co-founders Larry Page and Sergey Brin. What questions might you ask each about strategic planning for his division and the firm overall?
> What condition in the marketplace gave rise to the need for a consumer orientation by businesses after World War II?
> List the reasons consumers give for why they shop online.
> The retail chain Anthropologie sells a unique mix of women’s clothing and home furnishings. Since its founding in 1992, Anthropologie has opened stores across the United States, Canada, and Great Britain. The retailer aims to create a shopping “experienc
> Which is larger, B2B or B2C e-marketing?
> What is the difference between a list price and a market price?
> Compare and contrast interactive ads and traditional ads.
> In what ways has the Internet changed direct-response retailing?
> What is a wholesaling intermediary? Describe the activities it performs.
> Define scrambled merchandising. Why has this practice become so common in retailing?
> What is retail convergence?
> Which two categories of costs influence the choice of how many storage facilities a firm might have and where they are located?
> Explain why the following firms might choose a dual distribution strategy: a. Netflix b. Home Shopping Network c. The Gap
> Why is brand equity so important to companies?
> After a trip to Turkey, where you were inspired by the craftsmanship of artisans who make jewelry and decorative artifacts, you decided to establish an import business focusing on their work. How would you determine distribution intensity for your busine
> What is the most important factor in a strategic alliance?
> What is an affinity marketing program?
> What types of factors might the firm monitor in its relationships?
> What are the six categories generally used to position a product?
> What are core regions? Why do marketers try to identify these regions?
> Classify each of the following as a business product or a consumer product: a. Detroit Tigers ticket b. bottle of body lotion c. fleet of delivery trucks d. bulk order of rice e. digital camera f. GE jet engine
> In what conditions is a global marketing strategy generally most successful?
> How does an import quota restrict trade?
> What are core values? Describe what you think are three core values of American society. Do you consider these your core values as well?
> Why is utility such an important feature of marketing?
> In their most basic form, RFID tags track the progress of products from warehouse to retail shelf to checkout counter. But they have great potential to provide marketers with more information about consumers’ purchase patterns. In what ways might RFID te
> Why is the recruitment and selection stage of the hiring process one of a sales manager’s greatest challenges?
> Auto dealerships often have exclusive distribution rights in their local markets. How might this affect the purchase choices consumers make? What problems might a dealership encounter with this type of distribution?
> Explain why a large firm such as General Mills might use national account selling to strengthen its relationship with a major supermarket chain.
> How do you think the Internet has affected differentiated marketing techniques?
> Visa offers a service called Verified by Visa. The purpose is to reduce Internet-related fraud (MasterCard and American Express have similar services). Research “Verified by Visa” and prepare a report summarizing the program and how it protects both buye
> Why is determining the lifetime value of a customer an important analysis for a company to make?
> What benefits—monetary and nonmonetary—do social responsibility programs bring to a business?
> Should marketers be concerned about offending one market segment when trying to reach another? Why or why not?
> Emissions standards for motorcycles took effect in 2006 under rules adopted by the Environmental Protection Agency. There were no previous emissions controls for motorcycles at all, but even under the new laws, “dirt” bikes for off-road use will be exemp
