#1-Do you think the World Wide Web is an effective marketing tool? Why or why not? Will technological advances affect the way we select and purchase goods in the future?
Depending upon your target market the World Wide Web can advance or decline your sales. If your target market includes people who own computers then the internet can be an extremely affective tool. However if your target market does not own computers then it does nothing for sales, and is not effective at reaching the potential consumer
Technology advances greatly affects the way we select and purchase goods. As technology advances it add more ways to reach millions of consumers. Also advances in technology make advertising faster and easier then ever before. With new technologies will continue to increase trade the way it always has been. The World Wide Web has transformed the way people communicate and do business.
#2-Mention four criticisms of the competitive marketing system?
Four criticisms of the competitive marketing system include product, price, place, and promotion. A product is anything that can be offered to a market for attention, acquisition, use or consumption that might satisfy a want or need. The basic mechanism by which a price is determined is the market or the interaction between supply and demand. Prices act as a mechanism for efficiently allocating resources in an economy. The place or channel in a competitive marketing system is a set of inter-related institutions which are engaged in the production and supply of a good and/or service to final customers. This contributes to product positioning, how a product is viewed in a perceptual sense relative to competing products. Lastly, the key aspect of any promotional strategy is that it is a form of communication between a seller and a buyer.
#3-Identify and explain the five components of the marketing environment?
The five components of the marketing environment are competitive, political-legal, economic, technological, and social-cultural. The competitive environment is an interactive process that occurs in the marketplace among marketers of directly competitive products, marketers of products that can be substituted for one another, and marketers competing for the consumers purchasing power. In the political-legal environment there are laws that require firms to operate under competitive conditions and protect consumers rights. The economic environment has factors that influence consumer buying power and marketing strategies, including stage of the business cycle, inflation, unemployment, income, and resource availability. The technological environment is applications to marketing if knowledge based on discoveries in science, inventions, and innovations. The social-cultural environment is the components of the marketing environment that consists of the relationship between the marketer, society, and its culture.
#4-How does the international marketplace differ from the domestic market place?
Some general concepts apply to both international as well as domestic marketplace. Both share the same general approaches to price, promotions, product and channels. Marketers must be sensitive to societys demographic shifts and changing values. Differences may exist with respect to risk. International marketing may differ from domestic marketing in terms of both magnitude and type of risk. Risk consists of unpredictable customer response to positioning and execution of the marketing program and uncertain and unpredictable competitive actions, political risk and foreign exchange risk. International marketers must monitor the economic environment of other nations. Changes in foreign currency rates compared with US dollars affect marketing decisions. Differences in buying patterns require marketing executives to do a lot of research before entering a foreign market. Before a company enters the international marketplace six different areas must be extensively researched. First, is there a demand, do foreign consumers have a need. Second, is it a competitive environment, how do supplies reach the market. Third, what is the economic environment, what is the state of the nations economic health. Fourth, what is the social-cultural environment, do cultural factors affect business opportunities. Fifth, what is the political-legal environment, are there legal restrictions and finally technological environment, to what degree is technology used by the consumers in the international market.
#5-Define the personal determinants of consumer behavior?
Personal determinants are internal and unique to every consumer. The elements of personal behavior are learning which refers to present behavior which is a direct function of past experiences. The learning process includes drive which causes a person to act, a cue which is an object or thing in the environment that determines the nature of a consumers response to a drive, a response which is a reaction to a set of cues or drives and reinforcement which is the reduction in the drive as a result of a proper response. Another personal determinant is motivation which is the basic idea that customers will be motivated to demand products and exhibit a certain kind of behavior depending upon their state of need. An individuals purchase behavior is driven by the motivation to fill a need. A need is an imbalance between a persons actual and desired state. Motives are the inner states that direct a person toward the goal of satisfying the need by purchasing a product. Marketers tend to use Maslows Hierarchy of Needs to promote products. Another personal determinant is a persons attitude, belief, and value where attitudes refer to enduring feelings of likes and dislikes from which overall behavior might be predicted. Attitudes are determined by the components of beliefs and values. Beliefs refer to a persons evaluation of certain attributes of a brand while values refer to how important a particular belief is in the persons overall scheme. A persons perception is the meaning that a person attributes to incoming stimuli gathered through the five senses. An individuals perception depends on what they want to perceive and is a result of two factors the stimulus factor which has to do with the physical characteristics and the individual factor which pertains to the person and their prior experiences and their motivations and expectations.Finally, the Self Concept theory of personal determinants is how a consumer perceives himself or herself in terms of attitudes, perceptions, beliefs, and self-evaluation.
#6-What are the six steps in the consumer decision process?
Consumers complete a step-by-step process in making purchasing decisions. The length and time they devote to a particular decision depends on the importance of the desired good or service to the consumer. The consumer decision process is the recognition of the problem or opportunity the search for that item then the evaluation of alternatives, the purchase decision, purchase act, and the post purchase evaluation.