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102 Cards in this Set
- Front
- Back
Four Ps
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Price
product placement promotion tactical! |
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5 Cs
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Customer
competitors context collaborators company |
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evolution of marketing (order)
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product orientation
sales orientation classic "marketing concept" competitor orientation relationship management customer centricity/value marketing era |
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value imperatives
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market-driven organization
delivering customer value (CLV) brand equity (promise) |
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consumer decision making process
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need recognition
information search evaluation of alternatives purchase decision post-purchase behavior (**neidermeir isnt even pretty perfect) |
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need recognition
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discrepancy between actual and ideal state
utilitarian and psychological delivering value/solving problems |
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information search
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internal
- consideration (evoked) set external - word of mouth - interpersonal search |
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basic needs
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esteem -> self image
control -> having control over life/decisions belonging -> societal id meaningfulness -> cheating death, immortality |
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evaluation of alternatives
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depends on what motivation do you have to search, high/low motivation
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multi attribute model
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sum of all (a*b)
a --> each attribute of product ranked from 1-7 for importance b --> ratings on -3, 3 scale of how good it is multiply the two terms and sum for each company |
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heuristics
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rules of thumb/choice tactics
price habit normative (what other people do) |
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post purchase processes
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disappointment
satisfaction (f(perceived performance--expectation) - value - equity - performance/quality disconfirmation |
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disconfirmation
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the idea that something is different about a product than what was perceived prior
can be good or bad if better - satisfaction if worse - dissatisfaction |
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STP
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segmenting
targeting positioning |
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mass marketing
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same product and same marketing mix for everyone
efficient from supply side |
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segmentation
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determining which consumer segments are differentiated/worth targeting (targeting)
different product maybe or marketing mix for each (positioning part) |
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why is segmentation beneficial
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can tap into niche
can reposition existing product can allow for expansion into new markets can help determine what media channels to use identify specific wants/needs of customers |
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segmentation variables
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geographic
demographic psychological psychographic sociocultural/economic use related (usage rate/awareness/brand) use scenario benefits to segment hybrid |
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what makes a good segment?
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homogeneous within
heterogeneous between different groups substantial operational stable |
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factor analysis
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survey customers on what attributes they think most important for product
take huge list of adjectives and make into broader categories |
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cluster analysis
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have people rank different attributes on numerical scale
graph 2 attributes on x/y see where clusters of people are three iterations of center picking used to max homo/hetero qualities (i.e. perceptual maps) |
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CRM
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customer relationship management
moving to segment of one (microsegmentation) individual relationship with customer to create lifetime value interact + customize |
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targeting
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who to target?
depends on: company position competitor position PLC value of segment |
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positioning
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marketing mix
how will segment perceive as compared to other comp. |
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positioning statement
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"to (target segment/customer) our (brand) is the (concept) that (points of difference/reasons to believe)"
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brand
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proprietary trademark for company
contract between customer and company expectation of quality/care |
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brand equity
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$$ value for what the brand is worth
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interbrand equity calculation
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financial performance
role of brand (how much influence in purchase decision) brand strength (in finan. terms what risk associated?) brand value |
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brand ladder
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awareness
associations relationship |
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customer value imperative
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performance superiority (something)
relational intimacy (ritz carlton) operational excellence (walmart) seek differentiation in one, parity on others |
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experiential branding
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creating an experience specific to your brand
dynamic multi-sensory example. Wynn Hotels |
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five brand personality dimensions
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competence
ruggedness excitement sincerity sophistication (**cress) |
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brand structure
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bottom up:
reasons to believe brand/experience benefits emotional benefits brand personality core value |
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brand name/package: easy tests
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spell, say, read, remember
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brand name/package: fit tests
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target market, benefits, culture, legal
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brand relationship spectrum
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house of brands --> sub-brand --> endorsed brand --> branded house
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house of brands
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ex. P+G
brand has no visual presence on sub brands |
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sub-brand
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ex. GE Monogram, GE appliances
brand has some visual presence, but doesn't really do antyhing |
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endorsed brand
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ex. Marriot Courtyard
parent brand has some association for quality on product |
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branded house
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ex. Virgin Mobile, airlines, etc.
parent brand is very much the only brand |
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marketing research process
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define the problem
analyze the situation (situational analysis) collect relevant data interpret data potentially solve the problem |
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research criteria
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current
valid representative reliable (replic) |
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diagnostic analysis
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where does the comp/product stand? what does market look like? what are the current standings? how do perceptions shape current performance?
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opportunity analysis
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are there new exploitable markets? how to exploit a new market?
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diagnostic protocol
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availability
awareness perceptions history competition |
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direct elicitation
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direct surveys with numerical likert scales
asking directly what they think |
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indirect elicitation
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situational questions
asking them to rank preference of certain situations |
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perceptual mapping
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starts with direct elicitation (likert scales)
consistent visual representation of: - relative perceived positions of competitor products - relative perceived positions of ideal products |
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issues with perceptual mapping
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specific tactical advice for how to succeed
forecast of how consumers will respond new offerings |
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issues with customer feedback
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customer might not know what they want
customer may be reluctant to reveal cross customer differences dimensions are often not independent/ideal offering might not be simple sum of parts |
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conjoint analysis
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starts with indirect elicitation
relatively determines attribute importance for each segment part-worth utilities |
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IMC
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integrated marketing communications
marketing plan promotional goals promotional strategy communications mix execute/evaluate |
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communications mix
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advertising
sales promotion personal selling public relations word of mouth top down -> high control to low control bottom up --> high influence to low influence |
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benefits of IMC
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extend brand relationship
higher ROI improve overall marketing effectiveness conserve marketing resources increase message relevance |
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advertising
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objective
budget media + message evaluation |
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advertising objectives
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inform
persuade remind |
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budget methods
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% of sales (top down)
objectives and then allocate certain amounts (bottom up) parity with competition |
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guerrilla marketing
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field marketing
unique techniques/event marketing requires time/energy |
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interactive media
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social media, blogs, online video, etc.
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push
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incentives to channels
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trade marketing
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increase demand at the wholesaler/channel level instead of consumer
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spiff
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extra bonus given to salesperson/entity for selling products
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pull
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excite customers
(incentives: rebates, coupons, sweepstakes, etc) |
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personal selling
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direct person to person selling
high cost per action business to business high training |
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public relations
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FREE
public media |
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word of mouth
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internet buzz
communities talking most influential in decision making |
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PLC
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product life cycle:
introduction growth maturity decline |
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profits in PLC
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might be negative in introductory phase
highest in late growth then declines down |
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# of firms
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highest right after introduction
try to claim market share |
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introduction stage
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profits low
skim vs. penetration demand must be created product might not be fully ready yet high risk not too many competitors |
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growth stage
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market expands rapidly
sales steady product differentiation starts to occur many firms could enter profit increasing risk is moderate |
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mature stage
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market stops expanding as rapidly
sales steady competition on all 4 ps extract as much sales - niches, specific targeting, cost cutting market share maybe more important than profit |
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decline stage
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virtually no new customers
sales start to decline four strategies: harvest niche withdraw market leadership |
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adopter categories
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innovators (2.5%)
early adopters (13.5%) early majority (34%) late majority (34%) laggards (16%) |
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trial vs. repeat sales
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trial - have to get buy in from user, first time using, etc
repeat - already have bought before, assume certain quality |
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skim
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start slow then grow
attack innovators/early adopters can maybe charge at a premium, but big money comes later |
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penetration
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big bang - all at once
number of new adopters peaks early requires lots of resources but can have high ROI |
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ACCORD model
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relative advantage
compatibility complexity observability risk divisibility of trial-ability high, low, high, low, high, low --> skim medium, high, low, high, low, high --> penetration |
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strategies for declining industries
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favorable market:
possess competitive skills -> leadership or niche doesnt -> harvest or withdraw unfavorable market: posess comp. skills -> niche or harvest doesn't -> withdraw quickly |
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problems with PLC
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sales patterns aren't often smooth (noisy data, hard to know which stage in)
conflicting factors in skim vs. penetration cause and effect questions level of analysis |
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price planning
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develop objectives
estimate demand determine costs evaluate environment choose strategy choose tactics |
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pricing objectives
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sales or market share
profit competitive effect customer satisfaction image enhancement |
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estimating demand
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downward sloping demand
luxury goods --> will have a curved demand curve |
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determining costs
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MARKETING MATH
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pricing environment
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economic factors
competitive factors channel concerns consumer trends governmental concerns |
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pricing strategies
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cost based
competition based (going rate, price leadership) demand based (target costing, yield management) value based (EDLP, EVL) new product (skim, pen, trial) |
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pricing tactics
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individual products
multiple products channel-based e-commerce pricing psychological |
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channel
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path that enables products and services to flow to end users
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value delivery network
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manufacturers, suppliers, distr., customers all working together to make system better
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intermediaries
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agent/broker
retailer wholesaler facilitating agency |
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agent/broker
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negotiates sales without taking title of the good
generally paid by commission or fees |
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wholesaler
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takes title to the goods and resells them
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retailer
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sells to end user
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facilitating user
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moves the goods (post office, mail, etc)
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transactional functions
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buying, selling, risk taking
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logistical functions
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transporting, sorting, storing,
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facilitating functions
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financing, information/research, promoting, inspecting/testing
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density of coverage
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intensive - distribution through every reasonable channel
selective - through only a few select channels exclusive - through one channel ranges from high to low coverage, but low to high stability |
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disintermediation
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move toward direct to consumer marketing (ex. hybrid systems, ecommerce, channel conflict)
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integration
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combines stages of production and distribution under a single ownership
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Detroit model
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tightly clustered and controlled suppliers
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HI PENNY
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LOVE SNEH
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