A college education helps men and women enjoy richer, more meaningful lives.  It prepares many people for professional careers such as Marketers, Doctors, Lawyers and Teachers.  It also gives a person a well rounded education in art, literature, history, science, and human relations.  It gives a person a better understanding in community affairs. [Universities p. 206]  A person without a college education will probably have a hard time finding a well paying job to support their family or themselves.  Many jobs require strong reading and writing skills.  As our society becomes more complex, education becomes more important.

I.  Benefits  Having a college degree can get a person a better paying job, a person can make more money, be more money wise, buy a new home and car, can meet people with the same interest, can establish networking contacts, and maybe even meet their future spouse.

II.  Opportunities  The best path to higher paying jobs for college graduates often need additional training to be truly employable, for example, doing an internship, joining different organizations in the field of training, networking with other companies and associates, gain economic value in community , and study political issues.  "About 81 percent of adults with a bachelor's degree participated in the labor force in 1995 compared with 65 percent of persons who were high school graduates."[Snyder, p. 409]

III.  Encouraging Children  Children realize their potential by attaining the balance between expectations that are too high and those that are too low on the part of the adults.  Realistic expectation is formed when there is constant communication between parent, child and teacher.  When a child is not performing, parents step in and help them get on the right track, which  motivates the child to continue with success. [Hokoda, p.375]

IV.  Family Expectations  There is a belief that if a person does well in school they will be rewarded with a well paying job.  All parents expect their children to do something when they graduate from high school.  "Parents have different reasons why they want their children to get an education:  better jobs, to get along with people on all levels of society, to achieve more financial success, to attain self satisfaction, to stimulate their minds, and various other reasons."  [Armbruster, p. 142]

Sources:
"Universities and College."  Encyclopedia The World Book.  1996.
Armbruster, Frank.  "Our Children's Crippled Future."  The New York  Times Book Co., Inc.  1977
U.S. Department of Education.  Office of Educational Research and Improvement.  Digest of education statistics.  By Thomas Snyder.  Washington, D.C.:  1996.
Hokoday and Fincham.  "Origins of Children's Helpless in Mastery Achievement Pattern in the Family."
Journal Education Psychology v.87, Sept 1995, p. 375-385.
 
 

How does a College Education in Marketing Differ in the U.S.A. compared to England, Germany and Japan?
Question 4: Presented September 10, 1997, Researched by Marty Whitten

Each country discussed has its own customs and ways of doing things.  Education is no different.  Education practices are different around the world.  Marketing education is no exception to the rule.  The United States, England, Germany, and Japan each have their own individual cultures and have developed different styles of teaching.  The way marketing skills are taught may be different, but the basic principles taught are very similar.  Germany may put more emphasis on one point where Japan may emphasize another . [Edfelt]

United States
The United States is the home of the independent four-year college.  In the U.S. the standard is the four-year bachelor's degree.  Graduate studies or professional training often follow this.  Far more secondary school graduates pursue degree programs in the United States than in European nations.  This is due to the fact that the general entrance level of American institutions is far lower. ["Universities and Colleges]  The business degree has become the most popular degree of the four-year colleges in the U.S.  Therefore, the majority of degrees attained in the U.S. are in business. [Edfelt 336]

England
English students are admitted to a university only after completing secondary school and passing competitive examinations.  About 80 percent of under graduates follow what is called an honors course in one, or sometimes two subjects.  A college course leading to the Bachelor of Arts normally take three years.  There are examinations at the end of the first year and again at the end of the course. ["Universities and Colleges"]  In England only  a slight minority of students study the field of business.  In 1988 only 7 percent of British post secondary students were enrolled in a business degree programs in "commercial and business administration." [Edfelt 338].

Germany
There is a lack of business education in Germany because the most popular form of education in Germany is vocational education.  This form of education is known as the dual system.  The duel system allows students to learn skills while serving as an apprentice to gain experience. [Education in Germany 44]  Professional diplomas are awarded in business after completing four years of university study.  The first degree awarded by the German universities is the doctorate. [Edfelt 229]  Fachhochschule is another option German students have.  It is the most like the American bachelor's degree.  It contains four semesters of basics, two semesters of two major studies, one semester of internship or foreign study, and one semester a final paper. [Frank]

Japan
Although the Japanese are some of the most highly educated people in the world, their education system does not focus on programs in business.  In 1988, there were 70 university-level institutions that offered degree programs in business, including at least 25 at the graduate level.  However, only about 10 percent of the Japanese undergraduates specialized in the business field. [Edfelt 337]  Scientific and technological studies are the most encouraged fields of study.  Employment after graduation is rarely a problem. ["Universities and Colleges"]

Sources:
Edfelt, Ralph.  "U.S. Management Education in Comparative Perspective."  Comparative Education Review,  August 1988, Vol. 32:  334-354.
"Education in Germany."  The Economist, 20 August 1994, Vol. 332:  44.
Hilswicht, Frank.  Personal Interview.  5 September 1997.
"Universities and Colleges."  Compton's Interactive Encyclopedia, 1997.
 
 

What Types of industries, fields of study, and geographic areas offer the most job opportunities over the next ten or so years?
Question 5:  Presented September 10, 1997, Researched by Frank Hilswicht

A slowdown in employment growth is expected.

Over the 1994-2005 period, employment is projected to increase by 17.7 million or 14 percent.  This is slower than the 24 percent increase attained during the 11 year period, 1983-94, when the economy added 24.6 million jobs.

Service-producing industries will account for most new jobs.

Business, health, and education services will account for 70 percent of the growth-9.2 million out of 13.6 million jobs within services.

The fastest growing occupations reflect growth in computer technology and
health service.

Many of the fastest growing occupations are concentrated in health services, which is expected to increase more than twice as fast as the economy as a whole.  Personal and home care for an increasing number of elderly people and for persons who are recovering from surgery and other serious health conditions.  This is occurring as hospitals and insurance companies mandate shorter stays for recovery to contain costs.

Employment of computer engineers and systems analysts is expected to grow rapidly to satisfy expanding need for scientific research and applications of computer technology in business and industry.

Job opportunities can arise in two ways---job growth and replacement needs

Most U.S. industries will see increased profits and sales in the future.  Industries that increase exports will lead.  Some industries whose prospects are profiled include:  retailers, food airlines, petroleum, telecommunications and automobiles.

Jobs requiring the most education and training will be the fastest growing and
highest paying.

Sources:
http://stats/bis/gov/oco/oco2003.htm; "Tomorrow's Jobs."
McGuinness, Kevin.  Occupational Outlook Handbook, 1996-97 edition.
Journal of Career and Planning and Employment, March 1994, 32.
 

What should an effective resume contain, and how should it look?
Question 6, Presented September 15, 1997:   Researched by:  John Richardson

     A resume is a brief, formal account of one's career and qualifications.  It involves self-evaluation, vocational and educational histories.  It emphasizes experiences pertaining to the job one is seeking (Bostwick, 2-4).  In the presence of fierce competition on the job market today, the resume is a necessity.  It should include who you are, what kind of work you are capable of, and how you are qualified (Nutter, 8).  When compiling a resume, one should keep one objective in mind.  The function of a resume is to win an interview.  It is not to gain employment or make friends (Rosenburg 1-10).

 The following is a description of an effective resume:
1.  Name (in bold or capitals), address, home and work phone numbers are placed at the top.
2.  Career objectives are listed next.  One should emphasize the objectives desired through the company, showing ambition.
3.  A summary of qualifications, personal details, and personal accomplishments are helpful sometimes, but are ptional. These should not be included on an already lengthy resume.  Any personal details should not be too personal.
4.  Employment history must be listed, preferably chronologically reversed.  A  functional listing may be used, but it is for those who have a "choppy" employment history.
5.  Education should also be listed in reverse chronological order.
6.  Any relative activities or affiliations may be listed next.  Use ones that might apply to the position.

Effective resume writers should keep the following pointers in mind:

1.  Be brief.  Never have more than two pages, although one is preferable.  Think of the employer/interviewer.  He/she wants your life at a glance, not a biography.
2.  Use black type and white paper.  Anything else could show lack of taste to the employer.
3.  Insure integrity in your work.  Check for flow, grammar, and chronology.
4.  Use italics or bold print on key words.  Emphasize what is applicable.
5.  Leave out impertinent information.  Do not list things that are too personal such as divorce, religious affiliations, social memberships, former and desired salaries, and reasons for leaving the previous job.
6.  If using references, check with the reference before you list him/her.

Sources:
Burdette Bostwick, Resume Writing:  A Comprehensive How-to-do-it Guide, 4th ed.Wiley, New York, 1990.
Carolyn F. Nutter, The Resume Workbook, 5th ed. Carroll Press, 1978.
Arthur D. Rosenberg, The Resume Handbook:  How to Write Outstanding Resumes & Cover Letters for Every Situation, 2nd ed. B. Adams, Holbrook, Mass, 1990.
 

What should a student applying for a marketing job know
about the company he/she is applying to?
Question #7, Presented September 15, 1997. Presented by:  Kimberly D. Weakley

Employers perceive "researching the company" as a critical factor in the evaluation of applicants because it reflects interest and enthusiasm. [Crowther, p.E24]  Knowing how to research companies and what information is essential to the applicant is therefore extremely important.  The most successful interviews occur when the job-seeker is well informed about the company to which he/she is applying and has some general idea of the role he/she may serve within the organization. [Rogers, p.102]  Although there are many areas that may be of interest to the applicant, there are seven essential factors needed to successfully evaluate an organization.
I. What the organizations products and/or services are
       This information is vital to the job-seeker.  Interviewers are likely to ask applicants questions regarding their products or services. Frequently asked questions include, retail prices for the product, the company's market share for the product and questions regarding major competitors.
  II. How long the company has been in business
       It is good to know some company history, primarily when the company was founded and by whom.  In researching company history pay attention to any information that may indicate major changes in the company or significant events.
  III. Growth and reputation of the company
       According to the Bureau of Labor Statistics, although executive and managerial jobs are  expected  to grow  nearly 26 percent by 2005, they will not grow as much as they have previously. [Job Hunting, p.57]  Acquiring information about the company's past growth hand reputation will give the applicant the competitive edge over others.  The applicant will be able to pursue positions with a company that will offer him/her the greatest opportunity for personal and professional  growth.
  IV. General knowledge of the industry
       Interviewers often ask questions such as, What do you know about this industry or why do you want to enter this industry? A job-seeker should learn and understand proper terminology related to the industry.[Washington, p.184]  Sources of this type information include,  U.S.Industrial Outlook, Standard and Poor's Industry Survey,and trade organizations affiliated with the particular industry.
    V. Small company Vs. large firm
       Recent college graduates tend to target large firms in their job search for entry-level positions.  However, two out of three workers get their first job in a small business.  Ninety-seven percent of all businesses in  the United States have fewer than 100 employees, this represents approximately 12 million firms. [Yeager, p.37] Because a company is not Fortune 500 is not sufficient reason to exclude it as a possibility for employment.
  VI. Geographical location and/or preference
       Due to some Marketing graduates' aversion to relocation it is imperative to determine the  location of the company's headquarters as well as the locations of other offices.  Prior to applying the applicant must decide whether or not he/she will be willing to move if it is required.  Standard & Poor's Register of Corporations and Dun's Electronic BusinessDirectory are excellent resources for this information. [Schellhardt, p.R6]
  VII. Entry-level Salary range for the desired Position
       Many factors play a part in determining starting salary such as cost-of-living, geographic  location and supply and demand of workers in a particular field.  Because each graduate is unique his/her specific abilities and qualifications will also play a role in the ability to attract employers and negotiate a salary.  The current entry-level salary for bachelor's degree candidates in marketing/marketing management is $20,000-34,000. [NACE, p.E18]
  Sources:
Crowther, Karmen N.T. How to Research Companies. Planning Job Choices. 41st Edition, 1998.
Job Hunting Statistics .Sales and Marketing Management. January 1995, v.147, p.57.
National Association of Colleges and Employers (NACE) Salary Survey. Planning Job Choices. September, 1996.
Rogers, Edward J. Getting Hired. Prentice-Hall Inc. 1992.
Schellhardt, Timothy D. Hints for Hunters. Wall Street Journal Eastern Edition February 27, 1995, p.R6.
Washington, Tom. Interview Power Selling Yourself Face-to-Face. Mount Vernon Press. 1995.
Yeager, Neil and Lee Hough. Power Interviews - Job Winning Tactics From Fortune 500 Recruiters. John Wiley & Sons. 1990.
 
 

HOW DOES A MARKETING MAJOR HAVE AN EFFECTIVE INTERVIEW
Question 8:  Presented September 15,  1997,  Researched by Cris Libera

There two major things to remember when interviewing for a job; they are your appearance    and being prepared.

Appearance:
-Your first impression is the most important, be on time, dress professionally, and remember to have a firm handshake.
-During the interview sit upright, make eye contact, appear attentive, and do not make yourself too at home (picking up and looking at things on the interviewer's desk is a real faux pas).
-When you are asked questions, speak in a clear and concise manner so there are no misunderstandings.
-Your last impression is also critical.  Remember to shake their hand firmly.  Ask when you may expect to be notified if you got the job or not.  Ask for the job.(Mercer)

Be Prepared:
-Know about the company that you are applying to and also, if you can find out who your interviewer is, know about the person who will be interviewing you.(Interview)
-Be honest and try to find some common ground that you can both agree upon.  The interviewer wants someone that he likes and feels that he can work with so finding out about him and finding common interests will help.(Kirkwood)
-There are several common questions that are asked of interviewees.  They are:
 1.   What exactly do you want from us?  Describe your ideal job.
 2.   Why did you leave your last job?
 3.   Why are you switching careers?
 4.   Where do you want to be five years from now?
 5.   What is your greatest accomplishment?
 6.   What are your strengths?
 7.   What are your weaknesses?
 8.   What about a time you failed?
 9.   Will you get along with your potential boss?
 10.  How old are you?  How is your health?  Are you married?  Any children?
            (Rigdon)
Know how to answer these questions.

Sources:
Rigdon, Joan E.  "Ace that job interview".  Reader's Digest.  July 1995, v.147:   p. 132-137.
Kirkwood, William G., and Steven M. Ralston.  "Ethics and teaching employment interviewing".  Communication Education.  April 1996, v.45:   p.167-180.
Mercer, John.  "Preparing for the job interview".  Scholastic Coach.  January 1994, v.63:   p.18- 20.
"Interview Techniques and Resume Tips for the Job Applicant."  Video: 1985.
 

WHAT IS THE INTERNET? WHY IS IT IMPORTANT TO EVERYONE IN THIS ROOM?
HOW CAN BUSINESS PEOPLE USE IT?
Question #10:  Presented September 17, 1997, Researched by:  MiMi McInnish

WHAT IS THE INTERNET?
"The Internet is essentially one big, loosely connected network that links smaller networks and individual computers all over the world using modems, phone lines, and satellite links."  A modem transforms digital signals from a computer into analog signals that can travel across regular phone.  These signals are received by another modem that transforms the analog signals back into digital signals the computer can use.  This exchange of signals between computers is what allows people to communicate through electronic mail (E-mail) and Internet Relay Chat (IRC).  It also provides easy access to a wealth of information and entertainment (Mainelli, 34).

WHY IS IT IMPORTANT TO EVERYONE IN THIS ROOM?
The Internet is important to everyone in this room for some of the same reasons that it is important to everyone.  It is a communication tool that is rapidly growing in its use.  Soon being capable of communicating by e-mail will be a necessity not a luxury.  The Internet is also a huge source of knowledge.  Information about products and services, companies, stock quotas, employment opportunities, and almost every other subject can be found on the Internet.

There are many reasons why the Internet is important to everyone. But, to us, as future marketers the Internet is most important as a potential marketing medium.  The Internet is fast becoming one  of the best places to locate consumers.  In 1995 there were 9.6 million households in the U.S. and Canada connected to the Internet, and 15 million households were connected worldwide.  By the year 2000,  these numbers are expected to grow to 38.2 million and 66.6 million respectively (McGrath, 84).  This creates a new medium for marketers to use to promote and even sell their products.

HOW CAN BUSINESS PEOPLE USE IT?
There are endless ways that business people can use the Internet.  They can use the vast amount of information on the Internet to research their customers and competitors.  They can communicate internally and externally.  They can also market their products and services.

A 1996 survey of Canadian executives identified the main reasons they use the Internet.
32%     Find competitive or market information           9%     Surf the Web
29%     Communicate with clients                                8%     Communicate with employees
12%     Obtain customer information                           7%      Market products
(Kearney, 40)

Sources:
Kearney, A.T.  "Commerce on the Net."  Maclean's.  Sept. 23, 1996, p40.
Mainelli, Tom.  "Internet 101:  A Guide to Understanding ‘Net Speak'."  PC Novice.  Oct. 1996, p38-39.
McGrath Peter.  "The Web:  Infotopia of Marketplace?"  Newsweek.  Jan. 27, 1997, p82-84.
 

Briefly summarize what one should have learned in each undergraduate marketing course offered at UNA.
Question 11  Presented on:  September 17, 1997  Researched by:  Stacy Ratliff

MK 360-Introduction to Marketing--A general survey of the functions, processes, institutions, and costs in the flow of goods and services from producers to users.  Key terms--1) The 4 P's,
2) Product Life Cycle, 3) Marketing Research, 4) Retailing, 5) Advertising.

MK 362-Promotion--A study of the role of promotion as a part of marketing communication.  Provides a behavioral foundation for the study of advertising, reseller stimulation, personal selling, and other communication tools as a part of an overall promotion mix.  Key terms-- 1) Communication,
 2) Demographics, 3) Advertising, 4) Merchandising, 5) Sales Management.

MK 373-Principles of Advertising--Deals with the role of advertising in the free enterprise system, the relationship if advertising to other business functions, and the use of advertising as a communications tool in marketing.  Key terms--1) Marketing Mix, 2) Methods of Advertising, 3) Methods of Visualization, 4) Maslow's Hierarchy of Needs, 5) Shannon's Model.

MK 461-Fundamentals of Selling--Covers the field of selling as it relates to marketing.  Involves a detailed study and application of the basic steps in selling.  Key terms--1) Prospecting, 2) 4 C's of Selling, 3) Approach, 4) Presentation, 5) Closing the Sell.

MK 476-Consumer and Market Behavior--A study of the buying habits and preferences of consumers; models for explaining and predicting consumer and marketing behavior;  consumer movements and attitudes with implications for marketing management policies and the business economy.  Key terms--1) Culture, 2) Demographics, 3) Reference Groups, 4) Decision Making, 5) New Product Planning,

MK 479-Marketing Research and Survey Technique--Methods and techniques employed in business and economic research.  Emphasizes sources of information, analysis, interpretation, and presentation of data and reporting.  Key terms--1) Objective, 2) Hypothesis, 3) Limitations, 4) Justification,
5) Resolution.

MK 491-International Business--An advanced survey of management practices and styles in developed and developing nations along with a study of the growing opportunities and potential risks in the marketing of goods and services across international boundaries.  Key terms-- 1) Imports, 2) Exports, 3) Currency, 4) GNP, 5) Culture.

MK 492-Retailing--Policies and practices followed in the operation of chain and independent retail stores.  Key terms--1)  Store Location, 2) Layout, 3) Market Segmentation, 4) Pricing,  5) Buying.

MK 498-Marketing Policy--An integrated course that provides advanced students an opportunity to apply marketing strategies to the solution of marketing problems.  Key terms--1) Internet,
2) Communication, 3) Job Opportunities, 4) Sums it all up, 5) Confidence.

Sources:
1) Undergraduate course syllabi
2) The University of North Alabama 1996-1997 Bulletin
3) The Internet
4) Other college catalogs
 

Fully explain six good definitions of marketing.  Differentiate between three micro definitions and three macro definitions.
Question 12, Presented September 22, 1997 Researched by Hilal Derici

During a presentation at the 1972 Fall Conference of the American Marketing Association, Kotler made some observations concerning the desirability of classifying marketing phenomena using the concepts of micro and macro, which suggested a different classification of the marketing concept based on the level of aggregation.(Enis; Cox, 50-52)
Three definitions of micromarketing;
1)  Micromarketing is the performance of activities which seek to accomplish an organization's  objectives by anticipating customer or client needs and directing a flow of need-satisfying  goods and services from producer to customer or client.  (McCarthy; Perreault, 11)
2)  Micromarketing studies the behavior and characteristics of individual actors or attributes of single marketing entities and how they use the marketing mix.  (Hunt; Burnett, 14)
3)  Micromarketing is concerned with how individual firms and channels operate.(McCarthy; Perreault, 720)
Three definitions of macromarketing are;
1) Macromarketing is a social process which directs an economy's flow of goods and services from producers to consumers in a way which effectively matches supply and demand and accomplishes the objectives of society.(McCarthy; Perreault, 13)
2)  Macromarketing refers to the study of marketing systems, the impact and consequences of marketing systems on society, and the impact and consequences of society on marketing systems.(Hunt; Burnett, 14)
3)  Macromarketing suggests a higher level of aggregation, usually marketing systems or groups of consumers.(Hunt; Burnett, 14)
In conclusion, micromarketing deals with small individual units; macromarketing with aggregations.  Micromarketing activities are oriented toward the enterprise's welfare; whereas the focus in macromarketing centers on society's welfare.(Moyer; Hutt, 5,6)
Sources:
E. Jerome McCarthy, William D. Perreault, Jr.:  Basic Marketing, Eighth Edition.  Irwin Inc.1984
Ben M. Enis, Keith K. Cox:  Marketing Classics, Sixth Edition.  Allyn and Bacon, Inc.  1988
Shelby D.Hunt, John J. Burnett "The Micromarketing and Macromarketing Issue".  Journal of  Marketing.  Summer 1982, v.46:  p.13-15
Reed Moyer, Michael D. Hutt:  Macro Marketing, Second Edition.  Wiley/Hamilton, 1978
 
 

The Differentiation Between the Practice of Marketing and the Discipline of Marketing
Question 13, Presented on September 22, 1997 by Jennifer Cobb

MARKETING AS A PRACTICE

Early Era (prehistoric man-1600's).  The exchange process, in which individuals give or receive something of value, encourages specialization, resulting in economic growth.

Production Era (1600's-1929).  Emphasis is on limited product lines and mass production.  Limited competition in each product market.  A seller's market, where demand exceeds supply (Fullerton, 108).

Sales Era (1930-1950).  Mass selling is needed to support mass production.  A buyer's market, where supply exceeds demand.  The emergence of consumerism.

Marketing Era (1950-present).  Shift from sales orientation to consumer orientation, focusing on satisfying customer needs and producing at a profitable volume (Schoell 17-22).
 

MARKETING AS A DISCIPLINE

Discovery (1900-1910).  Marketing thought begins to develop as ideas, not simply activities.  The first courses in marketing are taught, beginning in 1905 at the University of Pennsylvania by W.E. Kreusi.

Conceptualization (1910-1920).  Basic marketing concepts are developed and classified.  Four types of utilities created by marketing - form, time, place, and possession - are identified.

Integration (1920-1930).  The discipline emerges.  Principles of marketing are proclaimed as "rules of thumb" and guides to action.

Development (1930-1940).  Generalizations made in previous years are validated by evidence.  Marketing becomes more quantitative with scientific research techniques.

Reappraisal (1940-1950).  The question arises and is debated:  Can marketing attain the attributes of a science?

Reconceptualization (1950-1960).  Marketing gains new meanings with the shift to consumer orientation.  Increase in managerial marketing with the concept of the "marketing mix."

Differentiation (1960-1970).  Expansion of marketing thought.  Internationalism and environmentalism are new concerns.

Socialization (1970-present).  Focus shifts from the influence of society on marketing to marketing on society.  Social issues and marketing become much more important (Schwartz 47-68).

Sources:
Bartels, Robert.  The History of Marketing Thought.  Ohio: Horizons, Inc., 1988.
Fullerton, Ronald.  "How Modern is Modern Marketing?"  Journal of Marketing.  January 1988, 108.
Schoell, William F.and Joseph P. Guiltinan. Marketing.  Massachusetts:  Allyn and Bacon, 1982.
Schwartz, George.  Science in Marketing.  New York: John Wiley and Sons, Inc., 1965.
 
 

Cite six outstanding marketing practitioners in the history of USA marketing.  Justify each one with contributions made.
Question 14, Presented September 22, 1997. Researched by:  Theresa McIlwain

I. Tiger Woods--Professional Golfer  The Professional Golf Tournaments Association, an organization representing the tournament directors from the PGA, Senior, and Nike circuits, estimates that having Woods in the field is worth between $250,000 and $400,000 to any four-day event.  Pro golf, as a business, has opportunities never dreamed of before.  Nike is betting that Woods will become the heir, in short, to the company's current signature endorser, Air Jordan.  [Johnson, p. 72]

II. Howell Heflin--Former U.S. Senator  As Alabama's chief justice in the early 1970s, Heflin was named the nation's outstanding state jurist for pushing through long-needed court reforms.  He won election to the Senate in 1978 with 82 percent of the vote.  In Washington, Heflin is best known as a member of the Senate Judiciary Committee and past chairman of the Ethics Committee.  But beyond the Beltway he is recognized as one of the last champions of agriculture on Capitol Hill.  [Gold, p. 43]

III. Fred Dalton Thompson--U.S. Senator  He has been a corporate executive, the White House chief of staff, and an admiral--all roles in a film career spanning 10 years.  In real life, he has been a lawyer, a prosecutor, and a lobbyist.  Thompson is currently chairman of a panel digging into the Clinton Administration's alleged ethical lapses.  [Dwyer, p. 118]

IV. M. Douglas Ivester--President, Chief Operating Officer, and Director of Coca-Cola  Ivester is the much-heralded general of the Coca-Cola Co., Atlanta, winning marketing battles against PepsiCo and advancing Coke's penetration and sales, especially internationally.  Ivester's battle plan has been to market Coke as a local product all over the globe.  "Our marketing efforts are as diverse as the countries in which we do business."  [Marketing News, p. E2]

V. Bill Gates--Founder of Microsoft  He dropped out of Harvard to found Microsoft, and at last count was worth around $35 billion.  Gates most recently pushed into the corporate computer market, and recently made a $1 billion investment in the Comcast cable company.  [Whitaker, p. 78]

VI. Diana--Princess of Wales  She found the strength to comfort people whom she said were "rejected by society":  AIDS patients, battered women, drug addicts.  She campaigned against land mines in Bosnia.  Her fame was her most valuable possession;  it enabled her to draw attention to causes she cared about.  She was the most celebrated woman in the world.  [Kantrowitz, p. 40]

Sources:
Dwyer, Paula.  The Senator From Central Casting Picks Up The Gavel.  Business Week.  December 2, 1996, p. 118.
Edison Achievement Award Winners.  Marketing News.  March 17, 1997, p. E2.
Gold, Victor.  Southern Style.  The Washingtonian.  April, 1994, p. 43.
Johnson, Roy S.  TIGER!  Now The Sky's The Limit For Golf--The Game And The Business.  Fortune.  May 12, 1997, p. 72.
Kantrowitz, Barbara.  The Woman We Loved.  Newsweek.  September 8, 1997, p. 40.
Whitaker, Mark.  How We Did It.  Newsweek.  June 23, 1997, p. 78.

SIX OUTSTANDING MARKETING WRITERS AND THEIR CONTRIBUTIONS
Question #15  Researched by:  Mark A. Berry September 24, 1997
 

Ralph Starr Butler authored Marketing Methods, the first comprehensive book on marketing.  He was the first to view marketing with a managerial emphasis much like the in depth teachings of today.  His contributions to advertising earned him the title "the No. 1 ad man" by the NewYork World Telegram.  He was also the pioneer of the comic strip form of advertising.  He was awarded several medals in his career and given an honorary doctor's degree from Colorado College in 1954.  (Wright, pp. 23-26)

Paul D. Converse was an active member of the American Marketing Association (AMA) and served as president in 1931.  The AMA honored him by naming an award for the contributions to marketing thought after him.  He pioneered in the investigation of consumer behavior and purchasing patterns.  As a result of the interest and enthusiasm he brought to the marketing field, many of his former students are now marketing teachers.  (Wright, pp. 41-43)

Jerome McCarthy has written various articles and monographic research studies and is the author of many text books on data processing and social issues in marketing.  He devotes a great deal of time to revising text books.  He was the developer of the four P's of  marketing  in his text Basic Marketing.  In 1987 the AMA awarded him the Trailblazer award.  He was once voted one of the "top five" leaders in marketing thought by marketing educators.  (McCarthy)

Charles C. Parlin developed marketing research in 1911.  He was one of the earliest pioneers in the infant science of marketing.  He headed the first market research organization in the United States.  He was one of the first to be concerned about the classification of goods according to their marketing characteristics.  He developed many marketing  research concepts and techniques which are still used today.  (Wright)

Terence A. Shimp is a professor in marketing communications and research philosophy and methods.  He has published widely in areas of marketing, consumer behavior, and advertising.  His work has been published in the Journal of Consumer Research,  Journal of Marketing Research, and the Journal of Advertising.  He is on the editorial board of five journals.  He has served in official positions in the Association for Consumer Research and the AMA.  (Shimp)

Philip Kotler is one of the world's leading authorities on marketing.  One of his famous writings was his research on Behavioral Models for Analyzing Buyers.  He has written over 100 articles and 16 books.  He is the only three time winner of the  Alpha Kappa PSI Award for the best annual article published in the Journal of  Marketing.  He has received the Paul D. Converse Award and was the first recipient of the Distinguished Marketing Educator Award, both given by the AMA.  The Academy for Health Services Marketing established an award in his name and named him the first recipient.  (Kotler)

Sources:
Kotler, Philip. 7th ed.  Marketing Management.  Englewood  Cliffs, NJ:  Prentice Hall, Inc.,1991
McCarthy, Jerome G. and William D. Perrault.  10th ed. Basic Marketing.  Illinois:  Richard D.
             Irwin, 1990.
Shimp, Terence A.  2nd ed.  Promotion Management and Marketing Communications  The Dry Press, a division of Holt, Rinhart, and Winston, Inc. 1990.
Wright, John S., and Parks B. Dinsdale, Jr.  Pioneers in Marketing.  Georgia: 1974.
 
 

MANY PEOPLE CONFUSE MARKETING AND SELLING.
WHAT ARE THE DIFFERENCES?
Question 16:  Presented September 24, 1997.  Researched by Beverly Chesteen

We tend to confuse marketing and selling.  This can be a big mistake and in the end it hurts sales as well as marketing.  Salespeople need to have the right products to sell, know the best customers, and have the best values to offer to be successful.  Marketing fills this need.

WHAT IS MARKETING?
The American Marketing Association (AMA) defines marketing as "the process of planning and executing the conception, pricing, promotion, and distributing of ideas, goods, and services to create exchanges that satisfy individual and organizational objectives" (McCarthy 678).
Effective marketing provides needed direction for production and helps make sure that the right products are produced and delivered to customers at the right time, in the right place, and at a price they're willing to pay.  Marketing plays an essential role in providing customers with the need-satisfying goods and services.

WHAT IS SELLING?
Selling is an age-old practice that has picked up a lot of different meanings over time.  Sometimes selling is referred to as an art; other times it is referred to as a science.  To clear up the confusion the AMA has defined selling as  "the process of assisting and/or persuading a prospective customer to buy a commodity or a service or to act favorably on an idea that has commercial significance" (Gorman 6).
Personal selling is the most visible function of marketing.  The four tools that marketing managers use to promote market offerings with customers and prospects are:  personal selling, advertising, publicity, and sales promotion.  In addition to their traditional role in assisting and persuading prospective customers, salespeople also provide feedback by communicating the needs, wants, and views of the market back through the distribution channels to those who design the products.  The salesforce can aid in the marketing information function, also.  The sales representative may be the first to hear about a new competitor or a competitor's new product or strategy.  Salespeople who are well attuned to customer's needs can be a key source of ideas for new products (Gorman 396).

WHAT ARE THE DIFFERENCES?
Philip Kotler has demonstrated the differences in terms of the contrasts in the thinking of the sales executive and the marketing executive.
Sales executives tend to think of:                           Marketing executives tend to think of:
*Sales volume rather than profits                           *Profit planning
*Short-run rather than long-run terms                   *Long-run trends, threats, and opportunities
*Individual customers not market segments           *Customer types and segment  differences
*Field work rather than desk work                         *Good systems for market analysis, planning ,
                                                                                and control  (Kotler 68).
 
To summarize, marketing is much more than selling.  If the salespeople don't have the right products to sell, know the best customers and have the best values to offer, their time and energy may be wasted.

Sources:.
Gorman, Walter and Richard F. Wendel.  Selling. 3rd Edition. Random House Business Division 1988.
Kotler, Philip.  "From Sales Obsession to Marketing Effectiveness."  Harvard Business Review.  November-December
       1977:69-75.
  McCarthy, E. Jerome and William D. Perreault Jr.  Basic Marketing.  10th Edition.  Irwin 1990.

The Uncontrollable or macroenvironments facing a firm along with emphasis on the way that a marketing person can stay abreast of them
  Question 18: Presented November 29,1997, Researched by: Marty Whitten

All companies operate in uncontrollable or macroenvironments.  These environments pose opportunities as well as threats to the companies.  These macroenvironments can be separated into six major parts including:

I. Demographic Environment
 Demographic characteristics are innate physical, social, economic, and geographical attributes that  compromise an individual and describe the location of that individual in his or her social environment
 (consumer, 131).
 The Demographic environment is made up of six main parts that marketers must be aware of.
 Worldwide population growth
 Population age mix
 Ethnic market
 Educational groups
 Household patterns
 Geographical shifts in population (Kotler, 151).
 II. Economic Environment
 There are several factors that influence the economic environment including:
 Business Cycles
 Inflation
 Unemployment
 Resource availability
 Income (Boon & Kurts, 97).
III.  Natural Environment
 Marketers must stay aware of threats and opportunities associated with four trends in the Natural  Environment.
 Shortage of raw materials
 Increase in cost of energy
 Increased levels of pollution
 Changing role of governments (Kotler, 157).
IV. Political and Legal
 "The component of the marketing environment consisting of laws and interpretation of laws that determine  the competitive conditions under which firms operate and that protect consumer rights."
  (Boon & Kurts, 90).
V. Social-Cultural Environment
 "The components of the marketing environment consisting of the relationships between the marketer,  society, and its culture.  (Boon & Kurts, 105 ).
VI. The Technological Environment
 "The applications to marketing knowledge based on discoveries in science, inventions, & innovations."   (Boon & Kurts, 101).
Marketers must stay abreast of these environmental factors.  They can do this through publication, conferences, trade shows, and Consultants.  Also they can do marketing research and run statistical analysis to help make macroenvironment forecasts.  (Kotler, A-9).  Sometimes marketers also try to use strategic techniques to mold these uncontrollable factors to help the marketers in their marketing process (Varadarajan, 39).

Sources:
Boone, L.E., and D. L. Kurtz.  Contemporary marketing, 8th edition, Dryden Press, 1995.
Kotler, Philip.  Marketing Management, 9th edition, Prentice Hall, 1997.
Varadarajan, P. Rajan.  "Controlling the uncontrollable:  Managing your Market Environment."  Sloan Management Review, Winter1992: 39-47.
Wells, William D.  Consumer Behavior, John Wiley & Sons, Inc., 1996
 

Explain "Marketing Management" and the parts in the Marketing Management Process
Question 19:  Presented on September 29, 1997  Researched by:  Cris Libera

The American Marketing Association defines marketing management as "the process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services to create exchanges that satisfy individual and organizational goals.:(Kotler, p. 15)  In other words marketing managers see there is a need or want of a product from their target market and follow that product until the ultimate consumer is satisfied.  The marketing process, to be successful, "requires a sustained, multifaceted marketing focus without this continuing commitment, companies that have already achieved success will simply atrophy into insignificance." (Clark)

Before you can begin to start any marketing scheme, a problem must be defined and it must be decided to proceed.  There are several steps that must be taken in the marketing management process, they are: define organizational philosophy, analysis, planning, implementation, and control.  The following is brief summary of these five steps.
I.    Define Organizational Philosophy  The organization must have a clear mission statement and understanding of its objectives before it can even begin to decide on whether to attempt the development of a new product.  They must look at the prospective product and make sure that it does not conflict with the mission and objectives of the organization.
II.   Analysis   To begin with the analysis, the marketing manager must analyze and research, both internally and externally,  past, present, and future the micro/ macroenvironmental situations.  When looking at the micro/macroenvironments in the situation analysis for the past and present you include:  cooperative, competitive, economic, social, and political/legal environments. (Peter, Donnelly, p. 22)  In terms of the future situation,  sales forecasting is significant and one of the most important tools because the future should be your primary concern.  (Peter, Donnelly, p. 22)
III.  Planning  Once the analysis has been finished it is necessary to come up with a marketing plan.  In the marketing plan there are three areas that should be considered: the marketing objective, the target market, and the marketing mix.  In the marketing objective you should try to set a framework for the marketing plan.  It should follow closely  the company objective that was discussed in the beginning. The target market is then determined from a list of potential consumers to whom the company plans to  aim their efforts.  The final area to be considered is the marketing mix.  You will remember that the marketing mix is the 4 p's:  product, price, promotion, and place (distribution). (Peter, Donnelly, p. 24)
IV.  Implementation  In this phase of the management marketing process you put into motion the production of the product.  The marketing manager begins  looking at the advertising and promotional angles.  The marketing manager should remember to be continually monitoring the plan and making changes when necessary to try to stay with the plan objectives. (Kotler, p. 763)
V.    Control  In the controlling part of the process, the marketing manager makes sure that  three things are happening.  First, he makes sure to measure the results of the marketing plan that has just been instituted.  Second, he looks at the results and weighs them against the objectives.  Third, the marketing manager decides whether the marketing objectives that have been set forth are being met.  After looking at these three things a decision is made as to whether they are still on course or something needs to be done to get things back on track. (Peter, Donnelly, p. 26)

In conclusion, the marketing management process is vital to the success or failure of a product.  It is also imperative to remember that the "marketing process never ends".  (Clark)

Sources:
Peter, J. Paul and James H. Donnelly, Jr.  Marketing Management, 3rd ed.  Boston:  Irwin, 1992.  Kotler, Philip.  Marketing Management.  9th ed.  New Jersey:  Prentice Hall, 1997.
Clark,Scott.  "Marketing process never ends for successful business owner."  Houston Business Journal, vol. 26, Jan. 24, 1997, Panschar, William G.  Lectures in Marketing Management.  Dubuque:  Kendall/Hunt, 1988.
 
 

HOW DOES MARKETING FIT INTO THE MANY OTHER BUSINESS FUNCTIONS?  WHAT FUNCTIONS NORMALLY FIT UNDER THE MARKETING DEPARTMENT ORGANIZATION CHART?
Question 20: Presented September 30, 1997,  Researched by: John Richardson

Marketing is an important tool for building a successful business.  It is more than selling.  Marketing is "a social and managerial process by which individuals and groups obtain what they need through creating and exchanging products and value with others."  The primary goal is satisfying the customer_s needs (Kotler, 4-5).Marketing has been integrated into many companies, to better satisfy the customer.  Marketing starts with the customer, pays attention to field sales and representatives, synchronizes the media (advertising), develops the perception of value, and continues beyond the sale (Roman, 5).

To understand how marketing fits into other business functions, one must acknowledge certain marketing issues.  Those business functions exist as a result of these issues:
 1. Price--the amount to charge
 2. Promotion--advertising and sales promotion
 3. Place--where the product is sold
 4. Products--features of the products (Glassman and McAfee, 53).

There are several methods for organization in marketing:
Functional--most common.  Marketing specialists lead functional groups.
Geographic--divides into regions and zones.
Market-management--targets specific, diverse markets.
Product-management/Market-management--many different products in many diverse markets.
Corporate/divisional--divides larger products or market groups.  Used in large companies (Kotler, 748-756).

When a business is functionally organized, it is headed by a marketing vice president.  There are five major functions under him/her:
1. Marketing Administration Manager
2. Advertising and Sales Promotion Manager
3. Sales Manager
4. Marketing Research Manager
5. New Products Manager (Kotler, 749).

Marketing specialists operate these functions individually, but they often compete.  Each department wants more control of the company directives and the budget.  Organizing business by function is a simple way to organize, yet sometimes only products that are market "favorites" receive full attention (Kotler, 551).

Sources:
Kotler, Philip.  Principles of Marketing.  5th ed.  New Jersey: Prentice-Hall, Inc., 1991.
Roman, Ernan.  Integrated Direct Marketing.  Lincolnwood, IL: NTC Business Books, 1995.
Glassman, Myron and McAfee, Bruce.  "Integrating the Personnel and Marketing Functions: The Challenges of the 1990's."  Business Horizons.  May-June 1992.
Kotler, Philip.  Marketing Management.  9th ed.  New Jersey: Prentice-Hall, Inc., 1997.
 

HOW CAN WE DEFINE AND USE MBO AND TQM? EXPLAIN THE PROCESSES.
Question 21:  Presented October 6, 1997,  Researched by:  Stacy Ratliff

Management by Objective (MBO)--"performance is judged on the basis of ability to achieve performance objectives reached through conference between the individual and his or her superior"  (Chruden)
Process
1)  Setting Objectives
      A)  Corporate Strategic Objectives
 B)  Departmental Objectives
 C)  Individual Objectives
2)  Developing Action Plans
3)  Reviewing Process
 A)  Review Process
 B)  Corrective Process
4)  Appraisal of Overall Performance
Advantages
  1)  Management can measure and plan the performance with concrete results.
2)  Individuals can gain a greater sense of accomplishment, progress, and growth, because the individual is measured by his or her own objectives not his or her peers.
Disadvantages
1)  Performance is based strictly against organizational effectiveness or promised rewards of profitability.
2)  The approach does not insure that the proper objectives are set and that proper decisions will be made.
3)  If individuals are not consistent, effectiveness is hard to evaluate.
4)  Performance data is to be used for short-term results rather than long-term results.

Total Quality Management (TQM)--"an organization-wide approach to continuously improving the quality of all the organizations' processes, products, and services" (Kotler)
Process
1)  Commitment from Top Management
2)  Strategy
3)  Training
4)  Employee Involvement and Rewards
5)  Customer and Supplier Focus
6)  Systems Assurance and Measurement
Advantages
1)  The tasks demand high skills on employees.
2)  TQM serves to motivate employees and enrich jobs.
3)  The employees improve his or her problem-solving skills.
4)  Teamwork is used to work of hard problems.
5)  The company is always striving to improve.
Disadvantages
1)  The expectations of management is too high.
2)  Middle managers loss their authority.
3)  Union leaders are not included in discussions.
4)  Management waits too long for new improved innovations.

Sources:
Chruden, Herbert.  Managing Human Resources.  7th ed.  Ohio:  South-Western Publishing Co.  1984.
Daft, Richard.  Management.  3rd ed.  Texas:  Harcourt Brace.  1994.
Kotler, Philip.  Marketing Management.  9th ed.  New Jersey:  Printice Hall.  1997.
Talley, Dorsey.  Total Quality Management.  Wisconsin:  ASQC Quality Press.  1991.
 
 

The Historical Background of Marketing Research.
Question 22, Presented October 6, 1997 Presented by: Kimberly D. Weakley

Marketing research is defined as the systematic design, collection, analysis and reporting of data and findings relevant to a specific marketing situation. [Kotler,p.114] Historically, marketing research has been practiced for as long as marketing has existed.[Peterson,p.35]

The Marketing Research Time line:
I. Industrial Statistics Phase - 1880-1920
 Before 1900, the economy of the United States was in the
 process of conversion from an agrarian orientation to an industrial orientation. Government  planners realized the importance of accurate figures concerning the level of economic activity to  facilitate meaningful governmental policy and to stimulate economic growth and efficiency.
 [Zaltman,p.5]

II. Random Sampling, Questionnaire, Behavioral Measurement
 and Management Awareness Phase - 1920-1950
 During this period the techniques of sampling, questionnaire analysis, and consumer behavior  were clearly defined.[Zaltman,p.6] During  the period of the 1940's market research changed to  marketing research.[Myers,p.56]

III. Experimentation Phase and Computer Analysis, Quantitative
 Methods Phase - 1950-1970
       The shift in managerial philosophy facilitated a change from a product or selling concept to marketing concept. This created a need for consumer research as well as someone to take  charge of it.[Myers, p.56]
   Marketing Concept - a perspective that stresses the integration of  marketing activities directed  toward the goal of customer satisfaction.[Hartley,p.7]
 In the period beginning about 1960, a new major development occurred.  This development was  the advent and growing availability of the large scale digital computer.[Zaltman,p.6]

IV. The Consumer Theory Development Phase - 1970-Today
 The important characteristic of the 1970s was the adoption
 of an integrated, scientific approach to marketing research
 blending quantitative and qualitative analysis.  Marketing
 research has, over time, emerged as a science.[Myers,p.55]
 The consumer development phase has offered improved research
 techniques and more effective ways of predicting consumer behavior.
 In his book, The New Market Research Systems, David J. Curry presents two
 new data sources that have made an impact on marketing research and
 management over the last decade, single source data and geodemographics.
Sources:
Curry, David J. The New Marketing Research Systems. John Wiley and Sons, 1993.
Hartley, Robert. Essentials of Marketing Research. PenWell Publishing Co.,1983.
Kotler, Phillip. Marketing Research 9Th Edition. Prentice-Hall, 1997.
Myers, John C.,Massey, William, Greyser, Stephen. Marketing Research and Knowledge Development. Prentice-Hall Inc.,1980.
Peterson, Robert A. Marketing Research. Business Publications Inc.,1992.
Zaltman, Gerald and Burger, Phillip. Marketing Research Fundamentals and Dynamics. The Dryden Press, 1975.
 
 

Contrast a marketing information system with a marketing research project.
Question 23, October 6, 1997 Presented by  Sharon Owens
 

Marketing Information System consists of people, equipment, and procedures to gather, sort, analyze, evaluate, and distribute needed, timely, and accurate information to marketing decision makers.
[Kotler p. 110]  There are four main functions to the Marketing Information System:
1.  Internal Records
2.  Marketing Intelligence System
3.  Marketing Research System
4.  Marketing Decision Support System
 
I.  Internal Records insure that marketing and distribution costs are recorded within a system so that they can be reviewed with various segments of the business. All problems and opportunities can be dealt with if  accurate records are maintained.  Some of these record are sales, prices, account, receivable, payroll, and inventory levels. [Kotler p. 110]
1.  Order - to - Payment Cycle - main function.
2.  Sales Reporting Systems  - quick access to information for immediate feedback and sales reports.
    Example:  Fax-on-demand customers get what they want when they need it.

II.  Marketing Intelligence System is a set of procedures and sources used by  managers to obtain their everyday information about pertinent development in the marketing environment. [Kotler p.  112]
1.  Magazines - What magazines do your competitors usually use?
2.  Direct Response Television -  Watch and keep abreast of competitors advertising.
3.  Newspapers and Trade Publications - Read these backwards and forwards to know your competition           every move.  There are four steps to developing a well organized company :
1.  Sales force is trained to spot new developments.
2.  A competitive company passes along important information to others in company.
3.  The company purchases information from outside sources.
4.  Companies have internal marketing information center to circulate marketing intelligence.
 
III.  Marketing Research is the systematic design, collection, analysis, and reporting of data and findings relevant to a specific marketing situation facing the company. [Kotler p. 114]  There are five steps taken:
1.  Defining the problem and Research Objectives.
2.  Developing the Research Plan.
3.  Collecting the Information.
4.  Analyze the information.
5.  Present the findings.
Example:  Arm & Hammer must come up with new ideas for their baking soda to stay in today's market.

IV.   Marketing Decision Support Analysis is a coordinated  collection of data, systems, tools and  techniques with supporting software and hardware by which an organization gathers and interprets relevant information form business and environment and turns it into a basis for marketing action. [Kotler p. 127]
Example:  Mercantile Stores taking a more customer-focus apporach with the help of Archer to offer retail target marketing system.
Sources:
Kotler. Philip.  Marketing Management. 9th ed. New Jersey: Prentice Hall, Inc.  1996
Brownlee, Lisa.  Arm & Hammer's.  Wall Street Journal Eastern Edition  August 6, 1997, p.  B2.
Fred, Lisa I., "Information, please!  (Fax-on-demand)"   Journal of Sales and Marketing Management
 v.  146 p.  29.
 
 

Explain in detail the five steps of a typical marketing Research project, as covered in all major marketing research textbooks.

Question 24, October 8, 1997, Presented by: Sonya Hodges

Marketing research is the systematic design, collection, analysis, and reporting of data and findings relevant  to a specific marketing situation facing the company. (Kotler, p. 114)

Effective marketing research involves the following steps:
1. Define the Problem and Research Objectives
2. Develop the Research Plan
3. Collect the Information
4. Analyze the Information
5. Present the Findings

I.   Define  the  Problem  and Research Objectives   The Marketing  manager  and  marketing  researcher  must carefully define the problem and agree on the research objectives. Not all research projects are specific in their objectives. Some research is exploratory, descriptive, and casual. (Kotler, p. 116)

II.  Develop  the  Research  Plan  This  calls  for  making  decisions  on  data  resources,  research   approaches, research instruments, sampling plan, and contact methods. 1) Data Sources provide information on  secondary and/or primary data. 2) Research approaches are based on observation, focus-groups, surveys, and experimental research. 3) Research instruments can be used in the form of questionnaires or mechanical instruments. 4) Sampling plan consists of the sampling unit, sample size, and sampling procedure. Probability and nonrobability are also used. 5) Contact methods such as the mail questionnaire, telephone interviewing and personal interviewing help the researcher decide how to contact the subjects. (Kotler)

III. Collect the Information The data collection phase is generally the most expensive and most prone to error.  Information is collected through the use of surveys, observation, and controlled experiments. 1. Surveys  provide information through telephone, mail, personal and computer interview. (Tull, Hawkins, p. 61) 2.  Observational research can be collected by observing the relevant actors and settings. 3. Experimental research calls for selecting matched groups of subjects, subjecting them to different treatments, controlling extraneous variables, and checking whether observed response differences are statistically significant. (Kotler, p. 119)
 
IV. Analyze the Information In this step the researcher tries to collect pertinent findings from the data
collected. The researcher tabulates the data and develops frequency distributions-which simply reports the
number of responses that each question received. For the major variables, averages and measures of
dispersion are computed. The researcher will also apply some statistical techniques and decision models.
(Kotler, p. 124)

V.  Present the Findings When presenting the findings, the researcher should not overwhelm management
with alot of numbers and statistical techniques. The researcher should present major findings that are
pertinent to the major marketing decisions facing management.

Sources:
Kotler, Philip. Marketing Management. 9th ed. New Jersey: Prentice Hall, 1997.
Tull, Donald S., and Hawkins, Del I. Marketing Research. 6th ed. New York: Macmillan Publishing Company,
1993.
Hartley, Robert F., Prough, George E., and Flaschner, Alan B. Essentials of Marketing Research. Tulsa:
Pennwell Publishing Company, 1983
 

EXPLAIN THE FIVE MOST POPULAR STATISTICAL TOOLS IN MARKETING.
ALSO, EXPLAIN HOW EACH ONE CAN BE USED AND WHAT EACH ONE CAN SHOW US.

Question 25: Presented October 8, 1997, Researched by:  MiMi  McInnish

There are two major types of statistical methods non-parametric and parametric.

Parametric Methods are "designed for use when the data have certain characteristics-usually when they approximate a normal distribution and are measurable with interval or ratio scales" (Vogt 165).

Non-parametric Methods require less restrictive assumptions about the probability distribution of the data and nominal and ordinal scale data can be analyzed.  Non-parametric methods are often referred to as distribution-free methods (Anderson, Sweeney, and Williams 709-710).

FIVE STATISTICAL TOOLS
Chi-square
Non-parametric
Used to identify statistically significant differences between expected and observed frequencies of two variables (Vogt 34).
Example:  Cola bottles that are supposed to contain twenty ounces are tested to see if the amount of cola in each bottle varies enough from the twenty ounce standard to justify corrections.
Multiple Regression Analysis
Parametric
Used to estimate how the value of a dependent variable varies with changing values in a number of independent variables (Kotler 128).
Example:  A firm can estimate how unit sales are influenced by changes in the level of company advertising expenditures, sales force size, and price (Kotler 128).
Discriminant Analysis
Parametric
Allows two or more independent variables to be used to place individuals or objects into categories (Vogt 71).
Example:  The cable company classifies people as users or nonusers of cable television using three criteria: years of school completed, family size, and years in residence (Tull 692).
Factor Analysis
Parametric
"Enables researchers to reduce a large number of variances to a smaller number of variances or factors" (Vogt 89).
Only practical using a computer.
Example:  "A broadcast network can reduce a large set of TV programs down to a small set of basic program types" (Kotler 128).
Cluster Analysis
Parametric
Used to determine if individuals (or other units of analysis) are similar enough to fall into groups or clusters (Vogt 36).  (Market segmentation)
Analysis indicates that the effectiveness of the coding system, which is responsible for placing variables in a cluster and determining cluster number and size, is flawed (Ketchen and Shook 441).
Example:   A music store might classify its customers by age.
Sources:
Anderson, David, Sweeney, Dennis, Williams, Thomas.  Statistics for Business and Economics.  St. Paul:  West, 1993.
Hawkins, Deli, Tull, Donald.  Marketing Research.  New York:  Macmillian, 1990.
Ketchen, David, Shook, Christopher.  "The application of cluster analysis in strategic management research: an analysis and critique."
 Strategic Management Journal. June 1996, p441.
Kotler, Philip.  Marketing Management. Upper Saddle River, NJ:  Prentice, 1997.
Vogt, Paul.  Dictionary of Statistics and Methodology.  Newbury Park:  Sage, 1993.
 
 

Why do industrial buyers, resellers, and government buyers buy from specific vendors?
Question 27, presented October 13, 1997 by Jennifer Cobb

The Industrial Market consists of all of the individuals and organizations that acquire goods and services that enter into the production of other goods and services.  It contrasts with the consumer market in the following ways:
      Fewer buyers
 Geographical concentration of producers
 Derived demand from consumer goods
 Professionally trained purchasing agents
 More people influencing business buying decisions (Kotler 3rd, 99-105)
 
 Industrial buyers look for these things when choosing a supplier:
 1.  Delivery capability 6.  Performance history
 2.  Quality 7.  Production facilities
 3.  Evaluated price 8.  Aid and advice
 4.  Service 9.  Control systems
 5.  Technical capability 10.  Reputation    (Kotler 6th, 220 and Hill 54-58)
 
 The three types of industrial buying behaviors are:
      Straight rebuy.  Buying on a routine basis.  The company chooses from suppliers already on its list, giving a lot of weight to past experience with those suppliers.
 Modified rebuy.  The buyer makes a new requirement about a product.  Other suppliers have a better opportunity to gain a different share of the business.
 New task.  Most complex buying situation.  The purchaser is buying a product for the
          first time.  This involves a large number of company decision makers, and offers the
        greatest opportunity for industrial marketers. (Kotler 3rd, 105-106)
 
 The RESELLER MARKET consists of all of the individuals and organizations that acquire goods for the purpose of reselling or renting them to others at a profit.  It is basically made up of wholesalers and retailers.
 
 These are the most important elements to resellers in selecting a supplier:
      Evidence of consumer acceptance
 Well-designed advertising and sales promotion plan
 Introductory terms and incentives
 Rationale for product development
 Merchandising recommendations
 
 Reseller buying behavior is classified in the following three ways:
      New-item situation.  The reseller is offered a new item and will decide depending on how profitable the item looks.
 Best-vendor situation.  The reseller needs an item and must determine the best supplier.
 Better-terms situation.  The reseller wants to get better terms from current suppliers.  (Kotler 6th, 224-226)
 
 The Government Market consists of federal, state, and local units that purchase or rent goods for carrying out the main functions of government.  It is the nation's largest customer and is closely monitored by outside publics.  Decisions are made on the basis of minimizing taxpayer costs, and there is a high level of bureaucracy and paperwork involved.  Unlike other markets, the government does not pursue a profit-making standard.
 
 Government buying behavior has two forms:
      Open bid.  The government describes items and requirements, accepts bids, and usually awards the contract to the lowest bidder.
 Negotiated contract.  The government works with one or more companies and directly negotiates a contract with them.  This
         is usually for more complex projects.  (Kotler 6th, 227-230)

Sources:
Doney, Patricia. "An Examination of the Nature of Trust in Buyer-Seller Relationships."  Journal of Marketing.  April 1997:35-51.
Hill, Richard M., Ralph S. Alexander, and James S. Cross.  Industrial Marketing.  Illinois:  Richard D. Erwin, Inc., 1976.
Kotler, Philip.  Marketing Management.  6th ed.  Englewood Cliffs, NJ:  Prentice Hall, Inc., 1988.
Kotler, Philip.  Marketing Management.  3rd ed.  Englewood Cliffs, NJ:  Prentice Hall, Inc., 1975.
 
 

WHY AND HOW DO WE ANALYZE OUR COMPETITION?
AND NAME SPECIFIC WAYS TO KEEP UP WITH THE COMPETITION
Questoin #28  October 13,1997 Researched By:   Mark A. Berry

 To prepare an effective marketing strategy, a company must study it's competitors as well as it's actual and potential customers.  Companies need to identify their competitors strategies, objectives, strengths, weaknesses, and reaction patterns to stay competitive and focusing it's effort on profits.(Armstrong)

 We analyze our competition by assessing competitors strengths and weaknesses gathering informative data in areas like the following.(Kotler)
 
 -sales     -cash flow
 -market share    -new investment
 -profit margin    -capacity utilization
 -return on investment

SPECIFIC WAYS TO KEEP UP WITH THE COMPETITION

-Electronic Databases- Information that is stored and list data about the competition and industry
-Competitive Intelligence System- Where managers receive timely information about                competitors by phone calls, bulletins, newsletters and reports.
-Reverse Engineering or Benchmarking- Buying a competitors product and disassembling it to learn about it and getting ideas.
-Hiring  competitors employees- can be a very effective source of information.
-Key customers- to talk will sometimes pass forward vital information.
-Phony job interviews- where competitors employees will disclose valuable information.
-Market Research- to study customers, finding out why the competitors product is preferred in the goal to improve the share of market, share of mind, and share of heart.
-Analyze help wanted ads- because a company can determine a competitors future actions by the prospect they are attempting to hire.
-Observation of competition- to observe the buying and selling habits and the trends that are in the future, taking particular notice of service and quality.
-Industrial Espionage- to obtain secret information and ideas of new products or future expansion plans.
-Trade Associations- to join associations that provide information about industry leaders and new trends.
-Trade Journals- to read all journals describing successful companies and practices.

Sources:
Armstrong, J. Scott  "Competitors Orientation effects of  Objectives and Information on
Managerial Decisions and Profitability" Journal of Marketing Research  v33, pp188-199
May  1996
Nelton, S. "Beating back the Competition"   Nation's Business    v 82   p. 18-20 September 1994
Kotler, Philip   Marketing Management    9th ed.   New Jersey,  Prentice Hall. 1997
 

How does one select market targets?
Question 31, Presented October 24, 1997, Researched by:  Theresa McIlwain
 
I. Evaluating the Market Segments--Two Major Factors
 A. Overall attractiveness of the segment, i.e., size, growth, profitability, scale economies,
  low risk.
 B. Company's objectives and resources.
II. Selecting the Market Segments
 A. Single-Segment Concentration--Company selects a single segment.  The firm gains a
  strong knowledge of the segment's needs and achieves a strong market position in the
  segment.  The firm can earn high return on investment if it captures leadership in the
  segment.
 B. Selective Specialization--Multi-segment coverage strategy diversifies firm's risk.  This
  approach is most popular in radio broadcasting.  Radio broadcasters that want to appeal
  both to younger and older listeners can do so by having two different stations in the
  same market.
  C. Product Specialization--One certain product sold to several segments.  The firm can    build a strong reputation in the specific product area.  [Kotler, p. 270]  Improving a    brand's popularity will increase the number of frequent buyers of a brand.  This     provides revenue leverage, and cost efficiencies, and contributes to profit leverage.
  [Anschuetz, p. 63]
 D. Market Specialization--Firm concentrates on serving many needs of a particular     customer group.  Firm can become a channel for all new products that the customer    group could feasibly use.  [Kotler, p. 270]  However, it should be noted that psycho-
  graphics is a more feasible technique for identifying distinct categories than using age
  alone to segment the market.  [Oates, p. 14]
 E. Full Market Coverage--Firm attempts to serve all customer groups with all the products     that they might need.
  1. Undifferentiated Marketing--firm ignores market-segment differences and goes     after the whole market with one market offer.
  2. Differentiated Marketing--firm operates in several market segments and
   designs different programs for each segment.
III. Additional Considerations
 A. Ethical Choice of Market Targets--Socially responsible marketing calls for     segmentation
  and targeting that serve not just the interests of the company but also the interests of
  those targeted.
 B. Segment Interrelationships and Supersegments--Cost, performance, and technology
  should all be similar.
 C. Segment-by-Segment Invasion Plans--Enter one segment at a time.  Gain a foothold in a    market, then add new products as the earlier products become successful.
 D.  Intersegment Cooperation--The best way to manage segments is to appoint segment    managers with sufficient authority and responsibility for building their segment's
  business.  Cooperation is essential to improve overall company performance.
  [Kotler, p. 275]
Sources:
Anschuetz, Ned.  Point of View:  Building Brand Popularity:  The Myth of Segmenting to Brand Success. Journal of Advertising Research.  January/February 1997, p. 63-6.
Kotler, Philip.  Marketing Management.  9th ed.  Upper Saddle River, NJ:  Prentice Hall, Inc.  1997.
Oates, Barbara, Lois Shefeldt, Bobby Vaught.  A Psychographic Study of the Elderly and Retail Store Attributes.  Journal of Consumer Marketing.  1996.  p. 14-27.

 
 
Explain Product Positioning, How does one do it? Why does one do it?
Question 32, presented October 20, 1997, researched by: Marty Whitten

Positioning Defined-
 As stated by Rise and Trout: "Positioning starts with a product, a piece of merchandise, a service, a company, an institution, or even a person.  Perhaps yourself.  But positioning is not what you do to a product.  Positioning is what you do to the mind of the prospect." (Ries 2)

 As stated by Kotler:  "Positioning is the act of designing the company's offerings and image so that they occupy a meaningful distinct competitive position in the target customers minds." (Kotler 295)

When Positioning Was Born-
 The term positioning was actually coined by two advertising executives, Al Rise and Jack Trout.  It is thought that positioning got started in 1972, Rise and Trout wrote a series of articles for an advertising trade paper.  The articles were entitled "The Positioning Era".  Positioning has become a so-called buzzword among advertisers and marketers (Ries 3).

Creating a Positioning Strategy-
 The marketer must think about how he or she wants the prospective customer to perceive their particular product.  What does that customer think about the competition?  How can the product break through the clutter and become the top choice of the prospective customer (Association 104)?  Companies, products, and brands can be differentiated.  Therefore the company must carefully decide how it is going to identify itself from its competitor.  If the difference is important, distinctive, superior, communicable, preemptive, affordable, profitable it is worth establishing.  For example, Ford differentiates it trucks as "Ford Tough" pointing out durability, while its competitor might emphasize fuel economy, or comfort of ride (Kotler 294).

Positioning Errors-
 Is single-benefit positioning always best?  Double -benefit positioning may be necessary if more than one company or firm are claming to be the best at the same benefit.  Marketers need to be careful when deciding on this point not to make a positioning error.

Under positioning: Buyers have only a vague idea of the brand
Over positioning: The buyer's conception is too narrow
Confused positioning: Buyers have a confused image because the company has
made too many claims or has changed the products positioning too much
Doubtful Positioning: Buyers find claims made are too hard to believe

Marketers must avoid these four major errors (Kotler 298).

Sources:
"75 successful marketing ideas." Association Management, August 1994, Vol.46: 104.
Kotler, Philip.  Marketing Management, 9th edition, Prentice Hall, 1997.
Ries, Al, and Jack Trout.  Positioning: The Battle for Your Mind, 1st edition revised, McGraw-Hill Book Company, 1986.
 

WHAT IS MARKETING STRATEGY?  HOW DOES ONE COME UP WITH EFFECTIVE STRATEGIES?
Question 33.  Researched and presented by Beverly Chesteen

WHAT IS MARKETING STRATEGY?
The term marketing strategy does not have a definition that the majority of marketing professionals would agree to or use.  Regarding the management of a firm's resources:  Marketing strategy is the overriding principle a firm uses to organize and allocate its resources to generate profit from customers of its carefully chosen target market.
The marketing strategy must be related to the vision that a company has created for its future.  This vision should reflect where a firm wants to be positioned and how it wants to be perceived in five to ten years.

The marketing strategy plan for a new product consists of three parts:
The first part describes the target market's size, structure, and behavior; the planned positioning, and the sales, market share, and profit foals sought in the first few years.
The second part outlines the product's planned price, distribution strategy, and the marketing budget for the first year.
The third part describes the long-run sales and profit goals and marketing-mix strategy over time.
(Kotler 322).

HOW DOES ONE COME UP WITH EFFECTIVE STRATEGIES?
1.  Understanding the problems of the customer.
2.  Choosing and defining your target market and identifying long-term opportunities in that market.
3.  Developing a differentiating and positioning strategy for that target market.
4.  Initiating new product development, testing, and launching.
5.  Modifying product strategy at different stages in the product life cycle.
6.  Structuring business in terms of a strategic business unit (SBU).
7.  Understanding your industry, "the playing field," as it relates to each SBU.
8.  Using a solid pricing strategy that is based on market needs.
9.  Recognizing the competitive framework.  Who is the competition?  What is the best competitive edge?
10. Taking into account changing global opportunities and challenges.
11. Targeting efforts and prioritizing resources toward those efforts.
12. Continuously getting feedback and measuring success.

Sources:
Cook, Kenneth J.  AMA Complete Guide to Strategic Planning for Small Business.  Lincolnwood, IL:
 NTC Business Books, 1994.
Kotler, Philip.  Marketing Management, 9th ed.  New Jersey.  Prentice Hall, 1997.
Marketing Encyclopedia:  Issues and Trends Shaping the Future.  Chicago:  American Marketing
 Association, Lincolnwood, IL.  NTC Business Books, 1995.
 

EXPLAIN MARKET LEADERS, CHALLENGERS, FOLLOWERS, AND NICHERS, FROM THE STANDPOINT OF RATIONAL STRATEGY DEVELOPMENT, AND EXPLAIN WHAT THESE FOUR GROUPS CAN AND CANNOT DO.
Question # 34   Researched by : Mark A. Berry October 22, 1997  Mkt 498 Dr. G. Crawford

 In designing successful competitive marketing strategies, it is easier to gain insight into a firm if they are classified by  the role they play in the target market.  It is possible to play the role of market leader, challenger,  follower or market nicher in the market today  to measure market share.(Kotler)

MARKET LEADERS- the firms with the largest market share.  They usually lead the other firms in price change, new product introduction, distribution coverage, and promotional intensity.(Kotler)
WHAT MARKET LEADERS CAN AND CANNOT DO TO STAY ON TOP
      CAN expand their total market demand
 CAN protect current market share through good offensive actions
 CAN increase it's market share further even though market size remains same
 CAN always try harder and be persistent
 CANNOT ignore new innovations
 CANNOT be cheap on research and development spending
 CANNOT be satisfied with the status quo
     MARKET CHALLENGERS- are firms that occupy second, third, and lower ranks in a specific industry competing with market leaders for more market share.
WHAT MARKET CHALLENGERS CAN AND CANNOT DO TO MOVE FORWARD
      CAN define and attainable objective and attack
 CAN attack the weaknesses of market leaders
 CAN attack firms of equal size
 CANNOT attack without sufficient resources
 CANNOT attack without specific objectives
 CANNOT neglect the need of the market
     MARKET FOLLOWERS- are the other runner up firms that are willing to maintain their market share and not buck the system.(Kotler)
WHAT MARKET FOLLOWERS CAN AND CANNOT DO TO EXIST IN THE MARKET
      CAN imitate the market leaders
 CAN make an effort to draw away the leaders customers
 CAN improve on the product and /or the price
 CANNOT enter into a price war with market leaders
 CANNOT have an excessive amount of product costs
     MARKET NICHERS- are strategies often followed by a small business or a division of a large company, because it avoids a head on confrontation with the market leaders.(Kahn, Kalwani, and Morrison)
WHAT MARKET NICHERS CAN AND CANNOT DO TO BE EFFECTIVE IN THE MARKET
 CAN meet and exceed the needs of their target market
 CAN expand current niche and diversify
 CAN protect current niches
 CANNOT typically afford to compete with market leaders
 CANNOT just maintain the status quo
  Sources:
     Kahn, Barbara E. , Manohar U. Kalwani, and Donald G. Morrison. "Niching Versus Change-of-Pace Brands"  Journal of
Marketing Research  v.25 pps.384-390 Nov. 1988
Kotler, Philip . Marketing Management  8th ed.  Prentice Hall 1994
Treacy, Michael and Fred Wiersema. "How Market Leaders Keep Their Edge"   Fortune; February 6, 1995

New Products--Why They are so Important to a Firm and Consumers
Why New Product Development is Becoming More Difficult
Question #36 - October 24, 1997
Researched by Jason Johnson

In today's competitive market, firms must continually become innovators through the development of new products. New products are an essential key to the success of firms, whether it be through the company's own product development or through the purchasing of technologies developed by other firms. Firms must meet the everlasting challenge of satisfying its customers as well as turning profits for the firms.

What are new products? A product that is new to the marketing organization in any way. [Churchhill and Petes, p. 680].

Classes of New Products
       1. New-to-the-World Products
2. New Product Lines
3. Additions to existing product lines
4. Improvements to existing products
5. Repositioning of a product
6. Reduction in cost
 
Why are new products important to a firm? New products are the life blood of any business firm, and a steady flow of new entries must be available if the firm is to survive. [Boone and Kurtz, p. 331] New products produce the majority of a firm's profits and also are used to beat the competition.

Why are new products important to consumers? Consumers look for new products to satisfy needs. These different needs are best described by A. H. Maslow's Hierarchy of Needs. Firms must recognize these needs and how to target these consumers.

                                                 Heirarchy of Needs
1. Psychological needs
2. Safety needs
3. Social/belongingness needs
4. Esteem needs
5. Self-Actualization needs
Why is new product development becoming so much more difficult?
1.          Lack of money
2.          Lack of technical resources
3.          Changing specifications
4.           No common goal
5.           No or slow cooperation between functions

Steps in the New Product Development Process
1.           Idea Generation
2.           Screening
3            Business Analysis
4.           Development
5.           Testing
6.           Commercialization
 
 
  Sources:
Anonymous. 1994 April. http://www.orst.edu/instruct/nfm433/pd/p22.htm1.
Boone, Louis E., and David L. Kurtz. Contemporary Marketing, 7th ed. USA: Dryden, 1992.
Director, Karen. 1995 Videomaker, Inc. http:11/www.videomaker.com/edit/leased/promos2.htm
Churchill, Gilbert A., Jr., and J. Paul Petes. Marketing: Creating Value for Customers. Homewood, Illinois, Austin Press.
Kotler, Philip. Principles of Marketing. Englewood Cliffs, New Jersey: Prentice Hall, 1991.
 
 
Contrast "market testing" and "test marketing."  Explain how one goes about test marketing a product.
Question #37, Presented on October 27, 1997.
Researched by:  Cris Libera

Market Testing-  a test used "to test the new product in more authentic consumer settings and to learn how large the market is and how consumers and dealers react to handling, using, and repurchasing the actual product." (Kotler, 328)  The market test is the seventh of eight phases that a product goes through in new product development.  The amount of market testing depends on several things.  High-cost products and high-risk products are two o the main reasons that a company will market test.  In the consumer-goods market.  Market testing can be done through sales wave research, simulated test marketing, controlled test marketing and through test markets.  In the business-goods market here products normally go through alpha and beta testing. (Kotler, 332)  Market testing could be testing consumer reaction to a brand name, use of a product, packaging decision, advertisement copy, or even a taste test. )Donius, p. RC-4)

Test Marketing-  "the ultimate way to test a new consumer product in a situation resembling the one that would be faced in a full-scale launching of the product." (Kotler, 330)  It is one way that a new product will go toward commercialization.  This decision should never be routine.  Test marketing can be very costly when most of the same results that it generates can be obtained through research techniques. (Hisrich, Peters, 108)

Test marketing has two objectives:
 1)  to see problems with the product, get feedback necessary for success of a new product, and
      experiment with different characteristics in the new product.
 2)  to forecast sales nationally through projection of sales results in the he test market area.
      (Hisrich, Peters, 108)

Process of test marketing a Product

1.  How many test cities?   In general you use between 2 and 6 cities.  The greater the possible loss, contending marketing strategies, regional differences, test market interference by competing companies, the greater your number of test cities that you use.
2.  Which cities?  Here you use cities in the cities that best represent an average demographically and psychographically.
3.  Length of test?  How long you will do your test.  The length of time used depends on the average repurchase time for the  product.
4.  What information?  It must be determined what information you are looking for when you do your test.  You can use  warehouse shipment data, store audits, consumer panels, buyer surveys to collect different kinds of data.
5.  What action to take?  What are you going to do with the product now that you have tested it.  If it doesn't well in the  test market then they may decide to drop the product or maybe redesign it. (Kotler, 330).

Benefits of Test Marketing
 1.  It is a very reliable forecast of new product sales.
 2.  Companies can discover faults with their product.
 3.  Companies can find our repurchase rates and look into distribution problems.

Disadvantages of Test Marketing
 1.  Test marketing is expensive.
 2.  It is time-consuming and not confidential.
 3.  Actual sales estimates can be obtained in less expensive ways.
 4.  Long-life, durable goods are usually not tested because of the length of time between purchases.

Sources:
Kotler, Philip.  Marketing management, 9th edition.  Upper Saddle River, NJ:   Prentice Hall, Inc., 1997.
Hisrich, Robert and Michael P. Peters.  Marketing A New Product:  Its Planning, Development, and Control.  Menlo Park, CA:  The Benjamin/Cummings Publishing Co., Inc., 1978.
Donius, James F.  "Marketplace Measurement:  The Evolution of Market Testing."  The Journal of Advertising Research.  December  ‘87-January'88.  RC-3-RC5.
 

What is a product manager?
MK 498 - Marketing Policy, Fall 1997
Presentation, October 27, 1997; Question No.38 by Frank Hilswicht
________________________________________________________________

Companies producing a variety of products and brands often establish a product- (or brand-) management organization. A product-management organization makes sense if the company's products are quite different, or if the number of products is beyond the ability of a functional-marketing organization to handle.  The product manager's role is to develop product plans, implement them, monitor the results, and take corrective action when necessary. This responsibility breaks down into six tasks:

Developing a long-range and competitive strategy for the product
Preparing an annual marketing plan and sales forecast
Working with advertising and merchandising agencies to develop copy, programs, and campaigns
Stimulating support of the product among the sales force and distributors
Gathering continuos intelligence on the product's performance, customer and dealer attitudes, and new problems and opportunities
Initiating product improvements to meet changing market needs
 
Advantages of product-management organization
1. The product manager can concentrate on developing a cost-effective marketing mix for the product.
2. The product manager can react more quickly to problems in the marketplace than a committee of functional specialists can.
3. The company's smaller brands are less neglected because they have a product advocate.
4. Product management is an excellent training for young executives

Disadvantages of product-management organization
1. Product management creates some conflict and frustration. Product managers are not given enough authority to carry out their responsibilities effectively.
2. Product managers become experts in their  product but rarely become experts in any of the functions
3. The product-management system often turns out to be costlier than anticipated
4. Brand managers normally manage their brand for only a short time
5. The fragmentation of markets means that it gets harder to develop a national strategy from headquarters.

Sources:
Kotler, Philip. Marketing Management. Ninth Edition, 1997

Explain the history and trends in retailing in U.S. business.
Question # 40.  Presented on October 29, 1997.  Researched by Stacy Ratliff.

Retailing-- "includes all activities involved in the sale of goods and services directly to final consumers for their personal, nonbusiness use."  (Kotler, 563)

The History of Retailing:
1.  Yankee Peddler--(1780)  A peddle traveled to customers' homes by horse-drawn wagon in order to buy and sell the items the consumers needed and wanted.  The major items the peddler carried was pots, pans, medicines, and hardwares.
2.  General Stores and Trading Post--(1850)  These were set up in order to help the peddler (now merchant) to better service his or her customers.  The general store became a social center for many towns.
3.  Early Department Stores--(1880)  Department stores started the idea of dividing merchandise into categories for better convenience to the customer.
4.  Giant Retail Chains--(1900)  Giant retail chains are located in hundreds of cities in most or all states.  They continue to play a major role in the retail business today,
5.  Supermarkets--(1920)  Supermarkets specialize in the sale of food and food products.  By 1973, supermarkets accounted for almost 50% of all food sales.
6.  Discount Houses--(1940)  Discount houses can have lower prices on products because they do not have as many overhead expenses.
7.  Modern Planned Shopping Centers--(1960)  Shopping centers provide access to many stores that complement each other and provide one-stop shopping.

The Trends in Retailing
1.  Non-Store Retailing
 A.  Vending machines
 B.  Direct selling
 C.  Catalog operations
 D.  Television shopping
2.  Increased Specialization
3.  Globalization
4.  Marketing Convenience
5.  Marketing to a Mature Market
6.  Demands in Quality are Increasing
7.  Customer Service
8.  "Quick Response"
9.  Linking with Manufacturers
10.  Technological Changes

Sources:
Chapman, Elwood N.  Dynamic Retailing.  2nd edition.  Macmillan Publishing Company,  New York.  1992.
Kotler, Philip.  Marketing Management.  9th edition.  Prentice Hall Inc, New Jersey.  1997.
National Retail Federation.  "NRF Expo Examines Strategies for Success."  Discount Store News.  February 3, 1997:  18-20.
Rogers, Dorothy S.  Retailing:  New Perspectives.  2nd edition.  Dryden Press, Texas.  1992.
 
Define and outline the trends in non-store retailing in U.S. business.
Question 41.  Presented October 27, 1997.  Presented by :  Sharon Owens

Non-Store Retailing - "A form of retailing in which a traditional store building is not involved, i.e., in which the retailer and customer transact their business through such means as: 1) direct mail. 2) door to door sales, 3) in - home or party - plan selling, 4) telephone sales, 5) catalog sales, 6) interactive television, or 7) vending."
(The Dictionary of Marketing p. 168)

Non-store retailing is growing more rapidly than store retailing, which amounts to more than 12% of all consumer purchases. Studies have shown that as much as half of general merchandise will be sold through non-store retailing by the end of the century.  By the end of the century more than a third of all merchandise will be sold through non-store operation, such as mail-order, home shopping channels, and computer shopping by Internet.  (Kotler, p.  567)
There are four major categories of non-store retailing:
 1.  Direct Selling
 2.  Direct Marketing
 3.  Automatic Vending
 4.  Buying Services

Direct Selling
1.  One-to-one selling - A salesperson sells products to individual user.  Example:  Avon, World Book encyclopedias, and Kirby vacuum cleaners.
2.  One-to-many (party) sellers - A salesperson goes to a person home to help the host sale product line and answer questions about the products.  Examples:  Mary Kay, Avon, Home Interior and Tupperware.
3.  Multilevel (network) marketing - Companies recruit independent business people who act as distributors for their products, which in turn recruit other to sells product.  This leads to the distributors getting a percentage of the recruiter sales plus the percentage of the products that are sold.  Example:  Amway  (Kotler, p.  568)

Direct Marketing - Deals with direct mail and catalog marketing, but in today's society it also includes Telemarketing, Television Direct Response Marketing ( home shopping  and infomercials), and electronic shopping.  Examples:  Spiegel's - catalog, QVC Network - home shopping, 1-800's number that have a catchy name - telemarketing.  (Kotler, p.  569)

Facts:
1.   Catalogs are a striving business and marketers mail annually over 12.4 billion copies of more than 8,500 catalogs.   The average consumer receives at least 50 catalogs per year.  (Kotler, p.729)
2.  In 1991, marketers spent on the average $234 billion in telephone charges to sell their products and services.  The average consumer gets 19 telemarketing calls each year and makes 16 calls to place orders.  (Kotler, p.  729)
3.  In 1993 more than 22 million adults watched television home shopping programs and on average 13 million bought merchandise from a home shopping channels.  (Kotler, p. 730)
4.  Christmas is getting closer and this year sales will be up over lasts years by 20%.   <http://dmworld.com/library/sr_nsm1211.html>

 Automatic Vending - Vending machines are impulse items that are accessible anywhere for consumers fast pace lifestyles with 24-hour service availability.  Pepsi machines, candy, chips, newspaper stands and toiletries items are just a few of the various automatic vendors.  Also pay phone calls and banking services (ATM's) are vendors.

Buying Service -  is a storeless retailer serving different organization, such as schools, hospitals, and government agencies.  Each organization becomes a member of the buying service to receive goods at a discount rate.  The organization will in turn pay a small fee to the buying service for services rendered. Example:  United Buying Service.
Sources:
Rona, Ostrow and Sweetman R. Smith.  The Dictionary of Marketing.   Fairchilds Publication:
New York,  1988.
Kotler, Philip.  9th ed.  Marketing Management.  Englewood Cliffs, NJ:  Prentice Hall, Inc. 1997
Maxwell Sroge Publishing, Inc. courtesy of Non-Store Marketing Report
<http://dmworld.com/library/sr_nsm1211.html>  (24 October 1997)
 

How does one develop a good ad?  How does one measure effectiveness of print and broadcast ads?
Question 42, presented November 3, 1997 by Jennifer Cobb

Characteristics Of Good Advertising
 The key to developing a good advertisement is data collected from marketing research.
 Advertising should address people's problems with the product or product category.
 Appeals should be limited to one or two.  The message should be clear and simple.
 
Essential Research Data
 A list of people's problems with the product or product category
 A list of your product's strengths
 A list of your competitors' weaknesses
 A list of your differential advantages over the competition
 
Measures of Advertising Effectiveness
Measures of Recogntion and Recall
The Starch Service is used for print ads.  Consumers are interviewed about ads in particular issues of magazines.  People are classified as noted readers (who remember seeing it), associated readers (who correctly identify the advertiser with the ad), and read most readers (who read more than half the ad copy).  (Kotler 658).
Burke's Day-After Recall is used for broadcast ads.  Test commercials are placed in normal programming.  The next day, a sample is interviewed to determine if they saw the ad and how much they can recall about it (Shimp 421).
Measures of Persuasion
In theater testing, consumers preview new TV programs and commercials.  Beforehand, they  indicate brand preferences in different categories.  Afterward, they are asked to do it again.   Preference changes measure persuasive power (Kotler 658).
Measures of Emotion
A warmth monitor allows respondents to move a pencil down a paper labeled "absence of  warmth" at the left and "emotional" at the right while viewing a commercial to reflect their  feelings  (Shimp 425).
Measures of Physiological response
Phychogalvanometers measure small levels of perspiration at the fingertips, reflecting intensity  of emotion.  Pupillometers measure pupil dilation, which indicates a positive response (Shimp  425).
Measures of Sales Response
Historical data can be used to correlate past sales with past advertising expenditures.  Experimental design involves spending more on advertising in only certain areas and  measuring sales increases and decreases (Kotler 660).
SCANTRACK collects purchase data from scanners located in 15,000 homes.  When panelists  purchase an item with a bar code, they record it on their scanner (Shimp 431-2).

Sources:
Neal, William D. and Stefan Bathe.  "Using the Value Equation to Evaluate Campaign Effectiveness."
 Journal of Advertising Research.  May/June 1997:80-85.
Kotler, Philip.  Marketing Management.  New Jersey: Prentice Hall, 1997.
Shimp, Terence. Promotion Management and Marketing Communications. New York: Dryden Press, 1993.
"Which Half?  Advertising (debate over the effectiveness of advertising)" The Economist. June 8, 1996: 72.
 
 
 

Explain the Strengths and Weaknesses of Each Major Advertising Medium
Question 43, Presented November 3, 1997, Researched by: John Richardson

There are six major types of advertising medium: newspaper, television, direct mail, radio, magazines, and outdoor.  Choosing from among the different types is the job of the media planner of a company.  The factors to consider in choosing a medium are habits of the target audience; the product in relation to its appearance in the medium; the message, including timing and technical information provided; and the cost to advertise in the particular medium (Kotler, p.650-651).

It should be noted that once a particular medium has been chosen, more decisions have to be made.  For example with television, the company must decide whether to use cable or network.  A similar decision must be made for magazines.  A specific audience is  targeted by the type of magazine chosen.  This is the art of narrowing down a demographic, which every company must encounter (Ettema and Whitney, p.79-89).

The advantages and limitations of the various media follow.

     Type                                Advantages                                                    Limitations
Newspapers             Timeliness, flexibility, local market                Short life, poor visibility (repro-
                                coverage, broadly accepted, believable          duction), little word of mouth

Television                Combination of sight, sound, and,                  High cost and clutter, fleeting
                                motion appeals to the senses, high                 exposure time, less audience
                                attention, vast reach of audience                    selection (78-92)

Direct mail               Selected audience, flexibility, no                    Relative high cost, "junk mail"
                                competition within the same                           image
                                medium, personalization
 
Radio                       Mass use, high geographic and                       Audio presentation only
                                demographic selectivity, low cost

Magazines                High geographic and demographic                 Long advance purchase, waste
                                selectivity, credibility, high visibility               circulation, no guaranteed
                                reproduction, long life, pass-along                  position
                                to other readers

Outdoor                  Flexible, repeat exposure, low cost,                No audience selectivity, crea-
                               low competition                                             tive limitations (Kotler,p.651).
Sources:
Advertising Age.  "Donna Koran".  Volume 64.  Issue 33.  08-09-93. ps-10
Kotler, Philip.  Marketing Management.  New Jersey, Prentice-Hall Inc., 1997. pp.650-1.
Ettema, James and Whitney, Charles.  Audiencemaking: How the Media Create the Audience. Thousand Oaks, CA: Sage Publications, Inc., 1994. pp.78-92.
 

Clearly explain some methods of deciding on how much to spend on promotion.
 Question 44 - November 10, 1997
 Jason Johnson

Promotional budget is defined as advertising or sales promotion funds provided by a manufacturer to other channel members in an attempt to integrate promotional strategy within the channel. [Boone and Kurtz, p. 669]

Methods of determining a budget for promotion:
       1. Affordable method: Establishes the promotion budget based on what the company can afford.
2. Percentage-of-sales method: Based on a specific percentage of either past or forecasted sales.
3. Fixed-sum-per-unit method: Promotional expenditures are a predetermined dollar amount for each sales or production unit.
4. Meeting competition method: Matches competitors' promotional outlays on either an absolute or relative basis.
5. Task-objective method: A firm defines its goals and then determines the amount of promotional spending needed for achieving them.
 
             Advantages

 
       1. Affordable method
            A. Keeps firms from overspending
       2. Percentage-of-sales method
            A. Simplicity
            B. Encourages managers to consider what they can afford.
       3. Fixed-sum-per-unit method
            A. Simplicity
            B. Useful in fields with limited outside factors.
       4. Meeting competition method
            A.  Keeps the firm competitive.
       5. Task-objective method
            A. Based on a sound evaluation of the firm's promotion objectives.
            B. Makes marketers define realistic communication goals.
            C. Makes marketers determine the amount and type of promotional activity required to meet objectives.
   Disadvantages
       1. Affordable method
            A. Disregards role of promotion as an investment.
            B. Short term and long term impact of promotion is ignored.
       2. Percentage-of-sales method
            A. Ineffective way to achieve basic promotional objectives.
            B. Arbitrary percentage allocations fail to provide the required flexibility.
       3. Fixed-sum-per-unit method
                  Difficult to apply when there are many different types of products.
                  Not very useful in sporadic or irregular markets or style merchandise.
       4. Meeting competition method
            A. Leads to status quo situation resulting in company's retaining its percentage of total sales.
            B. Does not always pertain to promotion objectives.
       5. Task-objective method
            A. Time consuming
            B. Productivity of each promotional dollar is measurable; therefore, objectives must be carefully selected.
 
Sources:
       Boone, Louis E., and David L. Kurtz.  Contemporary Marketing.(7th ed.) New York:  Dryden Press, 1992.
Canada, Government of Saskatchewan. "Saskatchewan Economic and Co-operative Development." 03/31/97 http://www.rcsec.org/francais/english/sask/bis/5795.html.
  "Establishing Promotion Budgets." Internet http://soback.kornet.nm.kr/~kensyang/mktips/epb.html.

Define sales promotion. Show six examples of sales promotions and explain the apparent objective of each.
Question #45, Presented November 5, 1997.
Presented by:  Kimberly D. Weakley

Sales promotion is defined by Kotler as a variety of short-term incentives to encourage trial or purchase of a product or service. [Kotler, p. 604] Although sales-promotion tools are highly diverse, they all offer three distinctive benefits: Communication - They gain attention and usually provide information that may lead the consumer to the product.
Incentive - They incorporate some concession, inducement, or contribution that gives value to the consumer.
Invitation - They include a distinct invitation to engage in a transaction now. [Kotler, p.624]

Although there are many variations, all sales promotion can be reduced to 12 basic, and fairly simple techniques. These include:
1. Coupons - One of the most widely used and effective sales promotion techniques, usually a certificate that entitles the holder to a price  reduction, special value or gift.[Robinson, p.5]
2. Contest & Sweepstakes - Probably the most exciting and potentially  rewarding sales promotion devices for the consumer. This tool seems to work particularly well when a product or brand is not living up to
its sales or profit goals or expectations.[Robinson, p.37]
3. Bonus Packs - Widely used in the consumer packaged goods field. The bonus pack normally consists of a special container, package, carton, or other holder in which the consumer is given more of a product for the same or perhaps a lower cost.[Robinson, p.53]
4. Stamp and Continuity Plans - These type promotions all have a common goal of building repeat purchases for a product or repeat visits to a retail store. In other forms of sales promotion the receipt of the gift is immediate but with continuity plans the consumer must save the stamps, coupons or proofs-of-purchase over a period of time in order to receive the reward.[Robinson, p.61]
5. Price-Offs - This means a reduction in the price of the product. The most common reason for a price-off is the need to match or beat competitors' prices. [Robinson, p. 75]
6. In-Packs, On-Packs, Near-Packs, and Reusable Containers - This offers an immediate rewards to the consumer. The main purpose of these special packages is to call attention to the product on the shelf and provide a point of difference.[Robinson, p.87]
7. Free-in-the-Mail Premiums - The most common free-in-the-mail offer consists of a premium that the consumer obtains by some evidence of purchase of  the product.[Robinson, p. 103]
8. Self-Liquidating Premiums - The consumer sends in enough money to cover the cost of the premium, postage, handling and taxes, so that the marketer only pays the expense of the promotional effort.[Robinson, p 115]
9. Refunds - An offer by a manufacturer or a marketer to refund a certain amount of money when a product is purchased.[Robinson,schultz, p.131]
10. Trade Coupons - A coupon redeemable only at one specific retail store or chain.  Trade Allowances - Short-term special offers or deals, usually a  reduced selling price, given to the retailer by the manufacturer as an incentive to stock the product.[Robinson, p. 161]
11. Sampling - Giving the product to the consumers to try. Works best when introducing a new product. [Robinson, p. 181]
12. Point of Purchase Materials - Those items that are used in and around the retail store to call special attention to products.[Robinson,p.199]
Sources:
Helsen, Kristiaan. How does a product...households' purchases. Journal of Retailing. Fall, 1992.
Kotler, Phillip. Marketing Management. Prentice-Hall. 9th Edition, 1997.
Robinson, William A. and Don Schultz. Sales