MKTG Exam 2 Chs 6 to 10

Either finished items ready for assembly or products

Info icon This preview shows pages 4–6. Sign up to view the full content.

View Full Document Right Arrow Icon
either finished items ready for assembly or products that need very little processing before becoming part of some other product Processed Materials : products used directly in manufacturing other products Supplies : consumable items that do not become part of the finished product Business services: expense items that do not become part of a final product LO 8: Business Buying Behavior
Image of page 4

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Buying Center : all those people in an organization who become involved in the purchase decision Business Purchasing Roles- Initiator: Influencers/Evaluators: Gatekeepers: Decider: Purchaser: Users: New Buy: a situation requiring the purchase of a product for the first time Modified Rebuy: situation in which purchaser wants some change in the original good or service Straight Rebuy: the purchaser reorders the same goods or services without looking for new information or investigating other suppliers Request for Information- Request for Proposal CH 8: Segmenting and Targeting Markets LO 1: Market Segments The term Market means different things to different people. Market: people or organizations with needs or wants and the ability and willingness to buy. Market Segment : a subgroup of people or organizations sharing one or more characteristics that cause them to have similar product needs Market Segmentation : The process of dividing a market into meaningful, relatively similar, identifiable segments or groups LO 2: The importance of Market Segmentation Until the 1960’s, few firms practiced market segmentation. LO 3: Criteria for Successful Segmentation Marketers segment markets for three important reasons: 1. Segmentation enables marketers to identify groups of customers with similar needs and to analyze the characteristics and buying behavior of these groups 2. Segmentation provides marketers with information to help them design marketing mixes specifically matched with the characteristics and desires of one or more segments 3. Segmentation is consistent with the marketing concept of satisfying customer wants and needs while meeting the organization’s objectives. To be useful, a segmentation schema must produce segments that meet four basic criteria: 1. Substantiality - Segment must be large enough to warrant a special marketing mix. 2. Identifiability and measurability - Segments must be identifiable and their size measurable. 3. Accessibility - Members of targeted segments must be reachable with marketing mix. 4. Responsiveness - Unless segment responds to a marketing mix differently, no separate treatment is needed. LO 4: Bases for Segmenting Consumer Markets Segmentation bases (variables): Marketers use segmentation bases, or variables, which are characteristics of individuals, groups, or organizations, to divide a total market into segments.
Image of page 5
Image of page 6
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern