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Professors On The Go: Defining Marketing For Future Realities Key Chapter Concepts

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Professors on the Go

Chapter 1
Defining Marketing for Future Realities

Key Chapter Concepts:


Marketing Marketing Management
Marketer Prospect
Needs Wants
Demands Target markets
Market offering Positions
Value proposition Offering
Brand Communication channels
Distribution channels Paid media
Owned media Earned media
Impressions Engagement
Value Customer value triad
Satisfaction Task environment
Broad environment Globalization
New Customer Capabilities New Company Capabilities
Production concept Product concept
Selling concept Marketing concept
Holistic marketing Relationship marketing
Marketing network Integrated marketing
Internal marketing Performance marketing
Marketing mix The 4 Ps
The 4 As

In small groups, ask the students to review the annual report from Unilever. How do the missions
discussed in the opening vignette translate into their current business practices? How are its
marketing investments and initiatives affecting its profitability? What conclusions can you draw from
Unilever’s progress?

Assign students the task of visiting some companies Web sites to see if they feel that the company is
responding to the changes in marketing today, namely, societal marketing. Suggestions include firms
like Tom’s (shoes) and Ben and Jerry’s Ice Cream. Have the students comment on what they find
there of particular interest to them.

Students can choose a firm of their preference, interview key marketing management members and
ask the firm how they are reacting to the changes in marketing management for the new realities.

Have the students read Adi Narayan’s “Marketers Aim New Ads at Video iPod Users,”
BloombergBusinessWeek April 17, 2014 (http://www.businessweek.com/articles/2014-04-17/indias-
mobile-marketers-try-phone-calls-to-reach-rural-consumers) and Suzanne Vranica and Christopher S.
Stewart’s “Mobile Advertising Begins to Take Off: Spending More Than Doubled in the First Half,”

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Wall Street Journal, October 9, 2013 and comment on how effective they believe cell phone
advertisements will be in the future.

Have the students reflect upon their favorite product and/or service. Then have the students collect
marketing examples from each of these companies. This information should be in the form of
examples of printed advertising, copies of television commercials, Internet advertising, or radio
commercials. During class, have the students share what they have collected with others. Questions to
ask during the class discussion should focus on why this particular example of advertising elicits a
response from you. What do you like/dislike about this marketing message? Does everyone in the
class like/dislike this advertising?

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Chapter 2

Developing Marketing Strategies and Plans

Key Chapter Concepts:


The Value Delivery Network Segmentation, Targeting, Positioning
Value Chain Benchmarking
Core Business Processes Supply Chain
Core Competency Marketing Plan
Strategic Marketing Plan Tactical Marketing Plan
Target Market Definition Strategic Market Definition
Mission Statement Strategic Business Units
Integrative Growth Diversification Growth
Organization Corporate Culture
Scenario Analysis SWOT Analysis
Marketing Opportunity Environmental Threat
Goal Formulation Strategy
Porter’s Generic Strategies Strategic Group
Strategic Alliances Partner Relationship Management
Risk Analysis

Assignments:
Each student is in effect a “product.” Like all products you (they) must be marketed for success. Have
each of your students’ write their own “mission statement” about their career and a “goal statement”
of where they see themselves in 5 years, 10 years, and after 20 years.
Have students read Jon R. Katzenbach and Douglas K. Smith, The Wisdom of Teams: Creating
the High-Performance Organization (Boston: Harvard Business School Press, 1993); Hammer
and Champy, Reengineering the Corporation and report on their findings in a written and/or oral
presentation.

Select a local firm or have the students select firms in which they are familiar (current employers or
past employers, for example) and have them answer the questions posed by the Marketing Memo,
Marketing Plan Criteria regarding the evaluation of a marketing plan. Make sure the students are
specific in their answers.
As a group presentation project, have the students read: Peter Lorange and Johan Roos, Strategic
Alliances: Formation, Implementation and Evolution (Cambridge, MA: Blackwell, 1992); Jordan D.
Lewis, Partnerships for Profit: Structuring and Managing Strategic Alliances (New York: The Free
Press, 1990); John R. Harbison and Peter Pekar, Smart Alliances: A Practical Guide to Repeatable
Success, (San Francisco, CA: Jossey-Bass, 1998) and have each group present their findings.

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Chapter 3

Gathering Information and Forecasting Demand

Key Chapter Concepts:


Marketing Information System (MIS) Internal Records
Big Data Marketing Intelligence System
Fad Trend
Megatrend Demographic Environment
Reverse Innovation Cohorts
Economic Environment Sociocultural Environment
Core Cultural Values Subcultures
Natural Environment Corporate Environmentalism
Technological Environment Political-Legal Environment
Consumerist Movement Available Market
Target Market Penetrated Market
Market Demand Market Share
Market-Penetration Index Share-Penetration Index
Market Forecast Market Potential
Product-Penetration Percentage Sales Quota
Market-Buildup Method Brand Development Index

Assignments:

Using information from the web like FEDSTATS and the U.S. Census Bureau, have the students
predict the population of the U.S. for the years 2020, and 2060 and specifically answer the following
questions: a) What is the demographic makeup of the U.S. in these years? b) What is the age
dispersion in the U.S. in these years, and c) What industries do you see benefiting/losing within the
U.S. because of these population figures.
Obesity has been officially called an epidemic. In small groups, have the students collect, from the
university or college administrators, information about the students eating habits (on campus students
would be one group; commuting students another group), exercise, and lifestyle. For example, how
many students (as a percentage of the total student population) regularly take advantage of the
available exercise facilities? How many students presently on campus are clinically obese? This is a
very good project to demonstrate the skill of data mining and the use of secondary data.
Select or suggest a current “fad” or “trend” exhibited by students on campus. Each student is to select
either a fad or trend and then research this fad and trend in light of the marketing opportunities
present. Would a firm be successful in capitalizing on this “fad?” If so, why? Should companies
capitalize on this “trend”—What are the “upsides” for producing products that are currently “trendy?”
What are the “downsides?” What generation do these fads and trends appeal to? How large is the
potential market for the fad and/or trend? Students should prepare a report with as much detail into the
specific characteristics of these markets as is available. This is a good secondary data and data mining
assignment.

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Each student is a member of an identifiable ethic and demographic segment of society. As an


individual assignment, ask each student to describe their sub-segment in terms of population, age
distribution, growth potential, income, education levels, and other demographic characteristics. The
conclusion of their report should explain the marketing implications of their findings in terms of
potential market, over-saturated market, declining market, or hidden or ignored market with potential.

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Chapter 4

Conducting Marketing Research

Key Chapter Concepts:


Marketing Research Marketing Insights
Marketing Research Process Ethnographic Research
Survey Research Behavioral Research
Experimental Research Questionnaire
Qualitative Research Techniques Deep Metaphors
Neuromarketing Contact Methods
Marketing Decision Support System Marketing Dashboards

Assignments:

Ask students to contact a local marketing research firm in the area for the purpose of an interview
regarding research techniques, methods, and the difficulties in conducting research. Pre-approve the
set of questions prepared by the students prior to the appointment. Ensure that the students will be able
to collect information from the research company regarding how information is collected. Once it is
collected, what are some of the difficulties faced by the researcher in presenting this information to the
client?

In the Marketing Memo, Questionnaire Dos and Don’ts, the author lists 12 ways to phrase questions
that will maximize unbiased responses. Prepare a set of questions (10-12 questions) for a hypothetical
consumer products company trying to break into the toy business. Make sure that your questions meet
each one of these 12 criteria. Comment on how easy or hard such question formatting is to
accomplish.

In the Marketing Memo, Pros and Cons of Online Research, the author describes four advantages and
two disadvantages for conducting online research. Selecting online research from the Web, each
student is to comment on the “value” of this type of research vis-à-vis the advantages and
disadvantages of the marketing memo. Specifically, do the negatives of online research, in their
example, outweigh the positives? Can, and more importantly, should marketers develop marketing
strategies from just the findings of online research? On the other hand, is more qualitative or
quantitative research needed before strategy is defined?

The American Airlines case shows the power of conducting marketing research before offering a
service. In small groups for an in-class discussion, have the students comment on the case in light of
the marketing research process examined in the chapter. a

Have students watch this video on the concept of “neuromarketing” and comment on whether such
brain research is ethical or not ethical because such research may lead to more marketing
manipulation: http://www.businessweek.com/videos/2013-04-26/neuromarketing-explaining-the-
brains-buy-button See also http://www.businessweek.com/articles/2013-10-10/will-companies-one-
day-use-brainwaves-to-find-ideal-prices Carolyn Yoon, Angela H. Gutchess, Fred Feinberg, and Thad

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A. Polk, “A Functional Magnetic Resonance Imaging Study of Neural Dissociations between Brand
and Person Judgments,” Journal of Consumer Research, 33 (June 2006), pp. 31-40; Samuel M.
McClure, Jian Li, Damon Tomlin, Kim S. Cypert, Latané M. Montague, and P. Read Montague,
“Neural Correlates of Behavioral Preference for Culturally Familiar Drinks,” Neuron, 44 (October 14,
2004), pp. 379-387.

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Chapter 5

Creating Customer Long-Term Loyalty Relationships

Key Chapter Concepts:


Customer-Perceived Value Total Customer Cost
Customer Value Analysis Total Customer Benefit
Loyalty Value Proposition
Value Delivery System Satisfaction
Net Promoter Score Quality
Customer Profitability Analysis Activity-Based Costing
Customer Lifetime Value Customer Churn
Retention Dynamics Marketing Funnel
Frequency Programs Club Membership Programs
Brand Community Win-Backs
Customer Relationship Management Customer Value Management
Personalizing Marketing Permission Marketing
Customer Empowerment Customer Complaints

Assignments:

Key manufacturers and others must be concerned with how customers view products (customer
satisfaction perceptions) being disseminated throughout the “electronic world” via the Internet. No
longer can one discount the “power of the mouse” for affecting potential customers. In small groups,
students are to select a particular firm or product and are to research what is being said on the Internet
regarding this company/product. What affects/effects does this type of dissemination of consumer
opinions via the Internet have on the company’s marketing strategies? What can the company do to
stem the tide of such comments? How does a company defend itself against blatantly untrue consumer
opinions?

Have each of the students read Michael Tsiros, Vikas Mittal, William T. Ross Jr., “The Role of
Attributions in Customer Satisfaction: A Reexamination,” Journal of Consumer Research, 31
(September), 2004, pp. 476-483 and comment on their findings.

Customer relationship management is a current business “buzz word.” Students can be directed to do
an Internet research project from named marketing/business journals on the subject of customer
relations management (the chapter’s endnotes can provide a good source of leads for the students).
Each student can be directed to research, read, and compile a report on their findings from a minimum
of five articles from five different marketing (and business magazines such as Fortune). The student’s
report is to comment on how these articles compare, complement, or contrast the material contained in
this chapter.

The research firm J.D. Powers and Associates (jdpower.com) lists eight categories of products for
consumers to research before purchasing the product or service. Breaking up the class into eight
groups, have the students research the top performers for each category and be able to share their
findings as to what characteristics, policies, procedures, and vision these top rated companies have in

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common. Is there a “common” link among all of the winners? Are there differences? In terms of the
material contained in this chapter, how would you explain these similarities and differences?

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Chapter 6

Analyzing Consumer Markets

Key Chapter Concepts:


Consumer Behavior Culture
Subcultures Social Classes
Reference Groups Primary Groups
Secondary Groups Aspiration Groups
Dissociative Groups Opinion Leader
Cliques Mavens, Connectors, Salesman
Shill/Stealth Marketing Family of Orientation
Family of Procreation Role
Status Brand Personality
Lifestyle Multitasking
Motive Freud’s Theory
Laddering Herzberg’s Theory
Maslow’s Theory Perception
Projective Techniques Sensory Marketing
Selective Attention Selective Distortion
Selective Retention Subliminal Perception
Learning Drive
Cues Discrimination
Hedonic Bias Emotions
Short-Term Memory Long-Term Memory
Brand Associations Memory Encoding
Memory Retrieval Buying Decision Process
Market Partitioning Belief
Attitudes Expectancy Value Model
Heuristics Noncompensatory Model
Conjunctive, Lexicographic, Elimination-by-aspects Heuristics
Consumer Involvement Elaboration Likelihood Model
Variety-Seeking Behavior Behavioral Decision Theory
Availability, Representative, and Anchoring and Adjustment Heuristics
Framing Prospect Theory

Assignments:

Students should be assigned to survey their local business environment (city, town, campus area) and
collect examples of how local area businesses are trying to capture cultural market segments. For
example, the students should collect information regarding the number of cultural restaurants in the
area and then compare these numbers to the total amount of eating establishments and the percentage
of the population that is of that ethnicity. How do the numbers compare, contrast, and what marketing
strategies do they hint at?

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Consumers often choose and use brands that have a brand personality consistent with their own actual
self-concept, ideal self-concept, or others self-concept. Have the students review their recent
purchases of a car, computer, furniture, or clothing and ask them to comment on, why they purchased
this product, who influenced their purchase, and what does this purchase say about their own self-
concept ideas. What is their definition of the “brand personality” of this recent purchase—as
compared to the definitions stated in the chapter by Stanford’s Jennifer Aaker?

Individually, ask each student to select a print advertisement and identify its behavioral, cognitive, and
affective parts and have them discuss how they feel reading the advertisement.

We all belong to some sort of reference group. Students that are members of fraternities, sororities,
and clubs are influenced by their members and through their participation. Students should investigate
(within their own reference group) who the opinion leaders are, how these opinion leaders affect the
overall dynamics of the group, and most importantly, how these opinion leaders affect consumption
decisions. Answers should be specific in their definitions of how these opinion leaders influence
specific consumption/purchase decisions and students should share their observations with the class.

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Chapter 7

Analyzing Business Markets

Key Chapter Concepts:


Business Market Buying Situations
Buying Center Key Buying Influencers
The Procurement Process Stages in the Buying Situation
Order-Routine Specification Systems Buying and Selling
Vertical Coordination Opportunism
Institutional Market

Assignments:

Ad Age reported on a study done by B2B which talks about how much of the decision-making
process occurs in business buying before salespeople are involved:
http://adage.com/article/btob/branding-key-filling-sales-pipeline/288911/?btob=1. In small groups or
individually, ask the students to interview local business managers/ owners to see: a) How they reach
the right customers at the right time and b) How they build awareness.

Have each of the students read Bob Donath’s “Emotions Play Key Role in Biz Brand Appeal,”
Marketing News, June 1, 2006, p. 7 and comment on their perception of how effective “biz” is in their
lives and in their purchasing of products.

Contact your local Prentice-Hall sales representative and ask him/her to make a presentation to the
class on how he/she sells to your college or university.

In small groups (five students suggested as the maximum), have the students visit your college or
university’s Central Purchasing or Procurement department (you may have to clear this with your
administration before assigning). Have the students conduct interviews with purchasing personnel on
how they buy, who is involved in a purchase decision, and what characteristics do the best salespeople
who call on them share. Students should format their questions to the key concepts contained in this
chapter. Student reports should also characterize the differences found between government or
institutional buying, business-to-business buying, and consumer purchasing.

To improve effectiveness and efficiency, business suppliers and customers are exploring different
ways to manage their relationships. Have the students visit each of the company’s Web sites
mentioned throughout the chapter. Which one(s) do the students feel most effectively and efficiently
addresses the needs of the corporate buyer? Which Web sites do not? Why and what in their opinion
is missing from the least effective Web sites? How can the firm do better in its execution?

Have the students visit GE‘s Medical Systems® Web site (www.gehealthcare.com/). In context to the
major points of this chapter, have the students define how GE is addressing the needs of their hospital

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customers by the design of this Web site? Where and what is GE doing right, what is GE doing
wrong, and where can GE improve?

Small businesses have been described as the “lifeblood” of the economy. Students, who have after
school jobs in small business, should be assigned to interview their employers, managers, or
purchasing departments to understand how small businesses purchase goods and services. How many
of the concepts in this chapter do small business owners actually employ (for example, is the
purchasing habits of the student’s small business owner organized, how many decision makers are
involved in purchasing, how important is the customer-supplier relationship to them, is their
purchasing just transactional, etc.)? Students should prepare to present their findings to the class in
either an oral or a written report. Students not employed should be prepared to question the presenting
students as to their understanding of the “whys” for such actions.

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Chapter 8

Tapping into Global Markets

Key Chapter Concepts:


Global Industry Global Firm
Waterfall vs. Sprinkler Approach Psychic Proximity
Developing Markets Indirect and Direct Export
Licensing Joint Ventures
Direct Investment Acquisitions
Globally Standardized Marketing Marketing Adaptations
Product Standardization Product Adaptation
Brand Element Adaptation Global Adaptation
Price Escalation Transfer Prices
Dumping Dual Adaptation
Arms-length Price Counterfeit Products
Gray Markets Global Distribution Strategies
Country-of-Origin Effects

Assignments:

Have students read the March 8, 2014 Economist article titled “Business in emerging markets:
Submerging hopes,” at http://www.economist.com/news/leaders/21598640-boom-emerging-market-
investment-rich-world-firms-has-led-plenty. Ask students how marketers should balance current
risks, and lower than expected returns, with future potential. Share student comments in class.

Major marketers are using the power of the Internet to engage in global e-commerce. Visit a foreign
Web site for an American company and evaluate the similarities and differences between the U.S.
Web site and its foreign Web site. What differences/similarities strike you as significant? Could the
differences be readily adapted to other foreign countries?

Finding free information about trade and exporting has never been easier. Web sites such as
www.cia.gov.; www.ita.doc.gov, www.exim.gov, www.sba.gov, and www.bxa.doc.gov, provide
valuable information for marketers. Visit each site and compile a list of information that you, as a
marketer, might find valuable in deciding how to market internationally.

Table 8.3 shows some famous “blunders” in international marketing. Students should research these
examples (and find others) and provide insight into why they think such “blunders” were allowed to
occur. This can lead to a classroom discussion into the complexity facing many firms in international
and multi-cultural marketing.

Have the students prepare an international campaign and marketing plan for one consumer product.
Ask them to refer to Global Marketing Pros and Cons (Table 8.1) and being cognizant of these
international companies, decide on how much to adapt their marketing strategy to local conditions.
Students should pick an international corporation and in researching the products sold by the firm
overseas, see if there are some significant differences in brand characteristics for each country. For

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example, Pringles, Always, and Toyota, have made some changes in product features, packaging,
channels, pricing, in different global markets. The assignment is for the students to provide additional
examples of products changed to suit the country’s consumers while at the same time, maintaining the
international brand name.

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Chapter 9

Identifying Market Segments and Targets

Key Chapter Concepts:


Bases for Segmenting Consumer Markets Bases for Segmenting Business Markets
Psychographic Segmentation Behavioral Segmentation
Market Targeting Full Market Coverage
Multiple Segment Segmentation Supersegment
Single-Segment Concentration Niche
Long Tail Individual Marketing

Assignments:

The population of Americans over 50 years of age will swell to 115 million in the next 25 years. In
small groups, have the students detail the demographic information on this group of Americans (ages,
buying power, perception of themselves, etc.) and suggest some key marketing opportunities mined
from this information. For example, if seniors often make buying decisions based on lifestyle and not
age, as the vignette mentions, does this information present marketing opportunities for such
industries as travel, bio-medical industries, at-home exercise equipment, and automobiles? If so, who
is going to be affected and to what extent? Student answers should contain detailed demographic
information about this target market and should draw a connection between what the information says
and what is the potential for marketers.

The upcoming demographic changes for the U.S. population calls for Hispanics to be the largest
demographic segment in the U.S. by 2050. Assuming that this is true, either in small groups or
individually, ask the students to comment on how this demographic shift will change the segmentation
in: a) the grocery industry, b) the fast-food industry, and c) the casual dining industry. Student answers
should include key demographic and lifestyle facts and figures about these markets and their
consumers.

The firm Claritas, Inc. has developed a geoclustering system called PRIZM®. Assign students the task
of visiting this site and collecting the marketing information available for their particular zip code
(home or school). In a report, ask the students to comment on the accuracy, implications, and
usefulness of this information for marketers. How can a marketer “target” his/her audience using
PRIZM?

Figure 9.3 outlines the major VALS® segmentation (www.sric-bi.com). Students are asked to
characterize either themselves, family members, or others and place them in one of these groups. How
closely does the person the student selected, “fit” the profile? If so, can the marketer rely on these
characterizations in mapping out marketing plans? Are there major differences? If major differences
exist, what impact does this have on marketers’ developing marketing plans?

Marketing Insight, Chasing the Long Tail, is a compilation of thoughts and notes from a number of
sources. Ask the students to read each of these sources and be prepared to share their thoughts as well

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as comments about what they have read in class. Specifically, are these authors “on-target” when it
comes to the significance of the value of the long tail? Why has the 80-20 rule given way to a 50-50
rule? Ask them to weigh in on whether the long tail is as important as hit products. Are there any
“missing insights” from these readings that will have a profound impact on future marketing
strategies?

Effective segmentation criteria are necessary for target market identification. Market segments must
be measurable, substantial, accessible, differentiable, and actionable. However, not all segmentation
schemes are useful—the text uses table salt buyers for example. Students are to provide three
examples of those products or services in which: segmentation criteria are not necessary and three
examples where segmentation criteria are an absolute necessity. Students are to exchange their
findings and explain these differences. Additional discussion (or assignment) could be to have the
students devise a segmentation strategy for the products or services that they found not currently,
where segmentation criteria are necessary. In other words, to “create” a segmentation distinction for
—“table salt”!

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Chapter 10

Crafting the Brand Position

Key Chapter Concepts:


Positioning Brand Substitution Test
Competitive Frame of Reference Category Membership
Industry Points-of-Difference
Points-of-Parity Multiple Frames of Reference
Straddle Positioning Competitive Advantage
Perceptual Maps Emotional Branding
Brand Mantras Brand Narratives/Storytelling

Assignments:

The Web site www.allaboutbranding.com lists a number of articles and books about branding
products today. Assign students the objective of reading four articles from the Web site and
commenting in class about the information contained in the articles and what new information about
branding they learned.

Most campus communities have their own radio and/or television broadcasting stations. If one is
present on your campus, students are to define the college or university’s station(s) in terms of
positioning and differentiation strategy. What stage in the product’s life cycle are the station(s)? What
can be done to reposition the station(s) to attract more viewership? What is the competitive advantage
present in their operations?

Determining the proper competitive frame of reference requires understanding consumer behavior and
the consideration sets consumers use in making brand choices. For a set of three products or services
(selected by the students) students should research these companies and provide the companies (and
its products) value proposition in a matrix similar to Table 10.1.

Consultants Michael Treacy and Fred Wiersema, in their book, The Disciplines of Market Leaders
(Reading, MA: Addison-Wesley, 1994) proposed a positioning framework called value disciplines.
Within its industry, a firm could aspire to be the product leader, operationally excellent firm, or
customer intimate firm. Choosing an industry, each student is to identify one or more firms operating
within that industry that fits each of these three value disciplines. Students should define their
reasoning for selecting each firm and its placement as either the product leader, operationally excellent
or customer intimate.

Points-of-differences and points-of-parity are two important concepts of brand development and are
driven by two differing strategies—inclusion and differentiation. Students should devise a list of at
least five other products/services that they believe demonstrate points-of-differences and points-of-
parity in their brand positioning. Student must include their reasoning behind the inclusion of these
products/services into a category. Good students will present “proof” of their correct selection by
including advertising copy supporting the product or services POD or POP.

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Styles, fashions, and fads fall nto special categories when talking about product life cycles. Some may
have a product life cycle measured in weeks, others in months, and yet others in years. Ask the
students to list the current fads, fashions, and styles prevalent around campus today. Do any of these
fashions, styles, or fads meet or satisfy a strong need? If so, can they predict the length of the life cycle
of the ones that satisfy a strong need? Which of the fashions, styles, or fads do the students predict will
have longevity? Why or why not?

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Chapter 11

Creating Brand Equity

Key Chapter Concepts:


Brand Equity Brand Valuation
Brand Equity Models Alternative Branding Strategies
Brand Portfolios Brand Extensions
Customer Equity

Assignments:

Individually, have the students visit Brandchannel (www.brandchannel.com) and a) choose a brand
listed and summarize the views regarding the brand as expressed by brandchannel.com or b) choose
the “papers” icon and read and summarize one of the papers listed.
Either in small groups or indivually, ask the students to conduct a small research project with students
on campus regarding the student’s brand knowledge of a particular brand (again, the students can
select their “brand” for this exercise). In their research, the students are to delineate the brands: unique
brand association, the thoughts, feelings, images, experiences, and beliefs elicited by the brand. This
exercise builds on the concepts of marketing research covered in Chapter 4 of this text. Important
information for the students to postulate is why in their research some of the respondents held such
beliefs about the brand and why others did not.
In Seth Godin’s book, Permission Marketing: Turning Strangers into Friends, and Friends into
Customers, New York: Simon & Schuster, 1999, he lists five steps in developing effective permission
marketing. After reading Mr. Godin’s book, comment on whether or not you believe that “permission
marketing” will work for all products and services in the future. Specifically, explore whether or not
the proliferation of “permission marketing” will wear out its effectiveness, similar to the experiences
of spam, “pop-ups,” and other forms of customer specific marketing techniques.

From a reading of Scott Bedbury’s book, A New Brand World, Viking Press, 2002, students are to
comment on the appropriateness of his eight branding principles to the future of marketing.
Specifically, are Mr. Bedbury’s principles “on target,” and therefore applicable to all brands?, Or just
to emerging brands? If you were asked to implement Mr. Bedbury’s principles to the “branding” of an
existing product (say your school or university), how and what would you change in order to follow
these principles?

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Chapter 12

Addressing Competition and Driving Growth

Key Chapter Concepts:


Growth Strategies Growing the Core
Competitive Strategies for Market Leaders General Attack Strategies
Market-Follower Strategies Product Life-Cycle Marketing Strategies
Product Life Cycles Pioneering Advantages
Four Stages of Fashion Harvesting and Divesting
Marketing, Product, and Marketing Program Modifications

Assignments:
Identify the major competitors in the blue jeans market. Who has the leading market share, whose
shares have declined? What segmentation is (has) occurring/occurred in the blue jeans market and
why? Did demographic changes affect the market (from baby boomers to Gen X or Gen Y)? What
competitive signs, symbols, events, or occurrences did Levi-Strauss miss? What current shifts in
competition and channel power is occurring and what can Levi-Strauss do to minimize the impact
from these changes?

Have the students read: Tarum Khanna and Krishna G. Palepu, “Emerging Giants.” Harvard Business
Review, October 2006, Vol. 84, Issue 10, pp. 60-69 and comment on the emerging competition from
the “Third World” such as India and China on companies in the United States. Specifically, ask the
students to comment on whether or not they believe that this 1) competition will increase in the future,
and 2) how a U.S. company should respond to this threat.

For a market leader, increased sales must come from expanding the total market through adding new
customers or increasing the usage of the product. Picking a market leader in an industry (Dell
computers for example) explain how your market leader can expand the total market by adding new
customers or increasing the usage of the product. Be as specific as possible.

In challenging a market leader, the challenger has a number of differing strategies to employ.
Choosing the right one (or wrong one) could result in a larger market share and increased profits (or
disaster) for the challenger. In choosing a specific attack strategy, the challenger must go beyond and
develop specific strategies of price, lower price goods, value priced goods and services, and so on.
Students should explore these strategies and come prepared to identify one company (or brand) that
has chosen each of these strategies to implement and defend their selection(s).

Market-nichers avoid large markets and try to be the leader in a small market or niche. Nichers have
three tasks: creating niches, expanding niches, and protecting niches. Multiple niching is preferable to
single niching. Students should identify three “nichers” (firms and/or brands) and explain why they
have identified these as “nichers” based upon the criteria in the chapter.

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Chapter 13

Setting Product Strategy

Key Chapter Concepts:


The Customer-Value Hierarchy Core Benefit
Augmented Product Product Classifications
Consumer-Product Classifications Industrial-Product Classifications
Differentiation (Product, Service) Design
Luxury Products Environmental Issues
The Product Hierarchy Product System
Product Mix Product Line Analysis
Line Stretching Down-Market and Up-Market Stretch
Line Filling Line Modernization
Product Mix Pricing Co-Branding
Ingredient Branding Packaging
Labeling Warranties and Guarantees

Assignments:

Convenience items and capital good items can be seen as two ends of the “product continuum.”
Convenience items are purchased frequently, immediately, and with minimum effort. Capital goods
are those items that last a long period of time and are purchased infrequently by consumers. Students
should select a convenience good and a capital good of their choice and compare and contrast the
consumers’ value hierarchy and users total consumption system for each item using the concepts
presented in this chapter.

Assign the following readings to students: Robert Bordley, “Determining the Appropriate Depth and
Breadth of a Firm’s Product Portfolio,” Journal of Marketing Research, 40 (February), 2003, pp. 39-
53 or Peter Boatwright and Joseph C. Nunes, “Reducing Assortment: An Attribute-Based Approach,”
Journal of Marketing, 65 (July), 2001, pp. 50-63. After reading each article, students should submit a
paper summarizing their findings and illustrating the concepts exposed in these papers to the material
covered in this chapter.

When the physical product cannot easily be differentiated, the key to competitive success may lie in
adding valued services and improving their quality. Examples of adding value in the service
component of a product include computers, education, and pizzas. Each student is to select a product
in which they think that the additional value present lies in the service and quality components.
Students should be prepared to defend their selections using the material presented in this chapter.

In the Marketing Memo entitled, Making Ingredient Branding Work, the authors list four
requirements for success in ingredient branding. As a group, students should collect examples of
ingredient branding currently present in the marketplace (supermarkets, hotels/motels, automobile
companies, and causal dining establishments are good places to start) and examine these examples
versus the four requirements stated in the memo. Students should be able to defend their positions in
comparing these products to the statements in the Marketing Memo.

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Product differentiation is essential to the branding process. In choosing to differentiate a product, a


marketer has the choice of form, features, performance quality, conformance quality, durability,
reliability, repairability, and style. Collect examples of currently produced products that have been
differentiated and branded for each of these design parameters.

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Chapter 14

Designing and Managing Services

Key Chapter Concepts:


Service; The Nature of Services Categories of Service Mix
Distinctive Characteristics of Services Customer Empowerment
Customer Coproduction Technology and Service Delivery
Best Practices in Top Service Companies Service Quality
Customer Expectations Customer Switching
Service Gaps Self-Service Technologies
Post-Sale Service Customer-Service Imperative

Assignments:

As the opening vignette indicated, The Mayo Clinic has been built as one of the most powerful
services brands on its firmly held belief and focus on the experience of the patient. As one staff
member explained, “People don’t come to the hospital alone.” In small groups, students should review
their local hospitals (especially the one on campus) to see if their local hospital adheres to the tenants’
of a good service provider. A starting point is an examination of the hospital’s mission statement,
beliefs, and patient rights policies (if available).

We all have “service failure” stories to tell. As a matter of fact, most people love to tell about the time
that such and such firm provided sub-par service to us as consumers. Sometimes these stories are
humorous and other times they are sad. Ask the students to think about such stories and prepare to tell
these stories in class. These stories can either be their own stories or that of a close friend or family
member. In preparing to recount the story line, students should first analyze the incident in terms of
the concepts and tenants presented in this chapter. For example, the restaurant that did not address a
customer’s “cold food” is a service failure. However, was that service failure due to insufficient
training, inadequate hiring practices, or an inability of the restaurant to monitor customer
expectations? Students should come to class prepared to identify (as close as possible) the causes of
the service failure.

Search and experience qualities are two characteristics of service providers. Yet each provides
consumers with differing “clues” as to the competency of the service provider. In this assignment,
students are to identify two different service providers—one that is high in search qualities and one
that is high in experience qualities. Students should outline their understanding of how consumers
select a service high in search qualities and high in credence qualities.

In the Marketing Memo entitled, “Recommendations for Improving Service Quality,” the authors
Berry, Parasuraman, and Zeithaml, offer 10 lessons that they maintain are essential for improving
service quality across service industries. Individually or in small groups, have the students analyze
their Department, College, or University against these 10 criteria and list their recommendations for
improving one of the services on campus.

Have students read Elisabeth Sullivan, “Happy Endings Lead to Happy Returns,” Marketing News,

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October 30, 2009, p. 20. and interview five people about service failures and how they reacted (e.g.
did nothing, told friends, etc.). Ask the students to analyze the responses, summarize the results, and
list the implications for firms.

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Chapter 15

Introducing New Market Offerings

Key Chapter Concepts:


New Products Types of New Products
Organic Growth Continuous Innovation
New-Product Success New-Product Failure
Budgeting, Planning, Managing Development Cocreation
Mind Mapping Concept Testing
Rapid Prototyping Business Analysis
Commercializaation Quality Function Deployment
Sales-Wave Research Simulated Test Marketing
Controlled Test Marketing Test Markets
Business-Goods Market Testing Consumer-Adoption Process
Characteristics of Innovations

Assignments:
Use the class and conduct a brainstorming session using the tips from the Marketing Memo entitled
“How to Run a Successful Brainstorming Session.” Use the students as the “group” and appoint one
as a moderator.

Using the suggestions in the Marketing Memo entitled “Eight Ways to Draw New Ideas from Your
Customers,” set up a project in which students (individually or in groups) observe consumers using
products such as automobiles, use of the Internet, use of the “mall,” etc. to see if they can come up
with some ideas from their observations.

New products fail at a disturbing rate. Recent studies put the rate at 95 percent in the United States and
90 percent in Europe. In small groups (five students suggested as the maximum), find three products
that have “failed” (been introduced then withdrawn from the market by the company) and suggest the
cause or causes of these product failures. A listing of some of the reasons why new products fail can
be found in the chapter.

In the opening vignette of the chapter, Johnson & Johnson is noted for being one of the most
innovative U.S. companies. Other innovative companies exist as well. In a small group, find at least
three U.S. companies that have introduced numerous new products into the marketplace over the last
two years. What characteristics do all of these companies share? What has been their success rate?

Apple’s iPod® and iPhone® has been a successful new product introduction for the company. It has
been suggested that the introduction of iPhone and iPod was targeted at the “innovators”—technology
enthusiasts and “early adopters.” Question: Can the iPhone and iPod continue its rate of diffusion
throughout the adoption curve and reach the early majorities and late majorities users? Or will it
become stuck appealing to just those two first segments? In your answer, carefully review the sales,
pricing, and products recently introduced by competitors of Apple.

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The consumer-adoption process is similar to the product life cycle in its stages of introduction,
growth, expansion, and decline. For example, by the time a product reaches the late majority, the
product is also entering the latter stages of the product life cycle and price and promotion become
increasingly important to maintaining sales. Overlaying these two graphs, comment on what their
similarity means for marketers. Why do you think that the length of the adoption process and the
product life cycle stages are similar? What does this similarity say about consumer buying practices?
What lessons must marketers understand, in terms of new product launches, about these two?

In the section entitled, Creativity Techniques, the chapter defines some techniques for stimulating
creativity in individuals and groups. In small groups, and using the techniques described, create at
least three “new ideas” for products and services. Your group can use “lateral marketing” techniques
as well. Share these new ideas with others in the class and conduct an informal poll of which ideas
have the most merit for future development.

Companies find good ideas by researching competitors’ products and services. For this exercise, select
a consumer product category (shampoos, soft drinks, snack foods, etc.), purchasing many of the
available items in this category. Suggest some incremental innovations that you would like to see for
the products/category chosen. For example, would you prefer a different form of bottling for
shampoos? A different flavor for soft drinks—beer flavored cola, for example. Do any of the items in
your research have glaring weaknesses as in its cleaning properties, smell, or taste that a company can
improve upon? Why is competitive research so important for companies to undertake?

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Chapter 16

Developing Pricing Strategies and Programs

Key Chapter Concepts:


Collaborative Consumption Bartering
Reference Price Price-Quality Inferences
Price Endings New Luxury Products
Steps in Setting Pricing Policy Price Sensitivity

Assignments:

Marketers recognize that consumers often actively process price information, interpreting prices in
terms of their knowledge from prior purchasing experience, formal communications, informal
communications, point-of-purchase, or online resources. Purchase decisions are based on how
consumers perceive prices and what they consider to be the current actual price—not the marketer’s
stated price. In small groups, ask the students to choose a service good, such as education, legal
advice, tax advice, or other such services, and have them map out their perception of prices and what
they consider to be the current actual price. Finally, students should compare and contrast their
perceptions with the stated or published prices for these services. In completing this assignment,
students should explain the differences between perception and stated prices in terms of consumer
buying behavior models from Chapter 6 of this text.

Many consumers use price as an indicator or quality. As a group assignment, students should choose a
product produced by a firm. Subsequently, the students should conduct a small research project
(utilizing the material learned from Chapter 4) and either, confirm, or deny this relationship for the
chosen product. For example, do more women or men rely on price as an indicator of quality for
product X? If there is a difference, what is the quantifiable difference in terms of marketing research
data? Does this difference suggest that marketers must or can revise, or revamp price clues to reach
their target market?

Katherine Heires in Business Week 2.0, October 2006, wrote “Why it Pays to Give Away the Store.”
Either in small groups or individually, have the students read Ms. Heires article and comment on the
validity/invalidity of these nine suggestions as being applicable to key service companies.

Table 16.1 lists some possible consumer reference prices and students should comment on whether or
not these consumer reference prices are applicable today. Is this list inclusive or are there new
reference points caused by the increased use of such Web sites like eBay or Craigslist?

Table 16.3 lists nine factors that the authors contend leads to less price sensitivity in consumers.
Choose a product that is available online and in stores (books or tires, for example) and ask the
students to research the various pricings choices available online.
After collecting this data, ask the students to comment on whether or not, the variety of price points
found lowers their price sensitivity?

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For many firms pricing is the domain of the financial disciplines in the company. Using accepted
accounting and financial processes, some companies’ price strictly according to these models. Assign
students the assumed role of “defenders” of this practice and others as “innovators,” challenging these
models and supporting some of the newer pricing models such as “perceived” and “value” pricing for
products. Have the students come prepared to defend their positions using the concepts developed in
this chapter.

Paul W. Farris and David J. Reibstein, in their article, “How Prices, Expenditures, and Profits Are
Linked,” Harvard Business Review (November-December 1979); pp. 173-184, found a relationship
between relative price, relative quality, and relative advertising (their findings are summarized in the
chapter). Students should read the full report, and then be prepared to discuss the validity of this study
in light of the consumer information explosion that has occurred due to the emergence of the Internet.
Are these relationships still valid today? If not, why or what has caused them to change?

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Chapter 17

Designing and Managing Integrated Marketing Channels

Key Chapter Concepts:


Value Networks Marketing Channels
Holistic Marketers Multichannel Marketing
Omnichannel Marketing Digital Channels Revolution
SoMoLo Role of Marketing Channels
Channel Levels Channel Level Decisions
Showrooming Type of Intermediaries
Number of Intermediaries Channel Power
Channel Modification Channel Integration
Vertical Marketing System Horizontal Marketing Systems
Mobile Marketing Channels M-Commerce
Channel Conflict

Assignments:

Top marketing companies are employing both a “push” and a “pull” strategy to deliver incremental
sales. Take the example of the company called Sepracor, Inc. as defined in the chapter. Its product
Lunestra has caused the company’s stock price to soar. Using this product as an example, have the
students a) track the number of pharmaceutical products advertised on television and b) comment on
whether or not this increased advertising is increasing the demand by increasing the “awareness of”
certain medical conditions.

Ask the students to comment on the hybrid channel of distribution. The hybrid channel as defined in
the chapter poses an interesting channel for future marketers. As students grow into consumers will
they or won’t they rely on purchasing products exclusively through the Internet? Or will they demand
hybrid distribution choices like free shipment to store sites (like Wal-Mart) or pick up at the store like
Best Buy?

Today, some of the countries more successful companies are using a hybrid channel system to
increase its effectiveness of reaching the consumer. The text uses the examples of IBM, Charles
Schwab, and others and notes that channel integration and its features are what the consumer prefers.
Students should choose or find one additional example of a firm using the hybrid system, and
comment on how they see this system delivering value to the consumer. Student answers should be
directed toward the three features of channel integration found in the textbook.

In the Marketing Insight article entitled, Trasforming Your Go-to-Market Stratgey: The Three
Disciplines of Channel Management, V. Kasturi Rangan Boston, MA: Harvard Business School
Press, 2006 identifies new opportunities for marketing products through multiple channels by crafting
a “channel steward.” Ask the students to read this article and comment on its practicality in light of
the changes posed by Internet shopping.

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Channel members add value to the consumer’s purchase of certain products and services. Table 17.1
details key channel member functions. Yet some firms have abandoned channel partners and tried to
reach the consumer on a one-to-one basis. Selecting a product or firm that (a) is maintaining its
channel members, and (b) a firm that has decided to sell directly to the consumer thus bypassing
channel intermediaries. Comment on these two systems in terms of the information contained in the
chapter.

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Chapter 18

Managing Retailing, Wholesaling, and Logistics

Key Chapter Concepts:


Retailing Types of Retailers
Franchising New types of Competitors
Advances in Retail Technology Retail Marketing Decisions
Store Atmosphere Private Label Brands
Wholesaling Market Logistics
Integrated Logistics Systems

Assignments:

Two models for department store success seem to be emerging—one with a strong retail brand
approach and one as a showcase store. In small groups, students are to investigate these two differing
approaches to department store retailing and comment on the future of these concepts using the
concepts defined in this chapter (target market selection, product assortment decisions, etc.).

Atmospherics is an important component of store attractiveness. Every store has its own unique look,
feel, and smell. Yet each consumer may react differently to each of these elements. In groups
composed of male and female students, ask the students to visit three retailers of their own choosing
and comment on how the store atmospherics affected them personally and then group the findings by
sex. Why are there such differences? What can a store do to appeal to both sexes?

In his 1999 book entitled, “How we Buy,” Simon & Schuster, New York, 1999, Paco Underhill
examines the shopping phenomena that consumers and retailers alike need to know. Students should
be assigned to read this book and comment on the lessons learned.

New retail forms and combinations is one of the trends in retailing today. Examples include
supermarkets with banks and bookstores featuring coffee shops. After reading the material in this
chapter, ask the students to “speculate” on potential new retail forms or retail combinations yet
undeveloped. In their selection of a “new” form of retailing or combination of retailers, ask the
students to defend their choices using the ideas and concepts presented in this chapter.

Shop—that is, have students visit as many differing types of retailers (and non-store retailers) as they
can over the course of a week. For each shopping occasion, ask the students to record their
impressions of the store’s atmospherics, location, service levels, product selections, and others. Then
rank their preferences from best to least and be able to explain why they assigned the ranking to each
store in terms of the material covered in this chapter.

Store brands, or private label brands, account for one of every five items sold in the United States
today. Students should purchase differing store brands/private label items (ice cream is a favorite
choice for this experiment and can be conducted in class), the national branded product, and do a taste
test comparing the store brand and the national brand. Does the store or private label item meet or
exceed the taste and quality of the national brand? What are the implications for national branded

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products if store/private label items meet or exceed the national brand? What should or could
marketers’ do to differentiate these products?

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Chapter 19

Designing and Managing Integrated Marketing Communications

Key Chapter Concepts:


Marketing Communications Marketing Communications Mix
How Marketing Communications Work Macromodel of Communications Process
Micromodel of Communications Process Developing Effective Communications
Establish the Communications Budget Six Cs Criteria

Assignments:
The opening vignette of this chapter is about Oreo, including its real-time marketing efforts. Have the
students read the following articles: Tim Nudd, “Inside Oreo’s Adorable Triple Play for Father’s
Day,” Adweek, June 10, 2013; Jennifer Rooney, “Behind the Scenes of Oreo’s Real-Time Super Bowl
Slam Dunk,” Forbes, February 4, 2013; T. L. Stanley, “Brand Genius: Lisa Mann, VP Cookies,
Mondelēz International,” Adweek, October 29, 2012; Stuart Elliott, “For Oreo Campaign Finale, a
Twist on Collaboration,” New York Times, September 24, 2012; Rohit Nautiyal, “Cookie Time,” The
Financial Express, June 28, 2011. After reading, have the students’ share their impressions on the
effectiveness of its communications with the target market.

This chapter states that the marketing communications mix consists of six major modes of
communication and that every brand contact delivers an impression that can strengthen or weaken a
customer’s view of the company. In small groups, have the students select a company and see if its
messages are consistent across all major modes of media: advertising, sales promotion, events, and
experiences, public relations, direct marketing, and personal selling.

The starting point in planning marketing communications is an audit of all the potential interactions
that customers in the target market may have with the brand and the company. Students should select
a brand of their choosing and in their papers “map” out or create an audit of all the potential
interactions that customers in the target market have with the brand and company. Students should, for
the purpose of this assignment, assume that they are a member of the target market.

Have the students read the following sources listed in the Marketing Insight: “Don’t Touch That
Remote.”: Merrill Barr, “In a World of DVR Monsters, Do Time Slots Still Matter?,” Forbes,
November 1, 2013; “Over Half of Multi-Channel Video Households Have a DVR,”
www.leichtmanresearch.com, November 30, 2012; Andrew O’Connell, “Advertisers: Learn to Love
the DVR,” Harvard Business Review, April 2010, p. 22; Erik du Plesis, “Digital Video Recorders and
Inadvertent Advertising Exposure,” Journal of Advertising Research 49 (June 2009); S. Adam Brasel
and James Gips, “Breaking Through Fast-Forwarding: Brand Information and Visual Attention,”
Journal of Marketing 72 (November 2008), pp. 31–4; Kenneth C. Wilbur, “How Digital Video
Recorder Changes Traditional Television Advertising,” Journal of Advertising 37 (Summer 2008),
pp. 143–49. After reading the articles, ask them to write a memo that summarizes how DVRs are
affecting the way marketers should engage consumers that includes at least three specific
recommendations. They should write the memo from the perspective of a brand management team
member for a consumer packaged goods brand (of their choice) that uses television advertising.

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Have the students read the following sources listed in the Marketing Insight: “Playing Tricks to
Build a Brand,” Will Burns, “Samsung ‘Stare Down’ the Latest Great Reality Prank,” Forbes,
May 31, 2013; “An Eye to Eye Phone Competition,” www.feishmanhillard.com, accessed March
30, 2014; Will Burns, “LG Ultra HDTV: A Product Demo for the Ages,” Forbes, September 5,
2013; Salvador Rodriguez, “LG Hidden-Camera Prank Ad for Its Ultra HD TV Goes Viral,” Los
Angeles Times, September 7, 2013. After reading these articles, ask the students to take a
position: For or against using tricks to build a brand.

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Chapter 20

Managing Mass Communications:


Advertising, Sales Promotions, Events and Experiences, and Public Relations

Key Chapter Concepts:


Advertising Program Five Ms
Advertising Objectives Advertising Budget
Advertising Elasticity Message Generation and Evaluation
Creative Development and Execution Reach
Frequency Impact
Alternative Media Media Timing and Allocation
Macroscheduling Microscheduling
Advertising Effectiveness Sales-Effect Research
Sales Promotion Stockpiling
Digital Coupons Events and Experiences
Sponsorship Programs Public Relations
Marketing Public Relations

Assignments:
Organizations handle advertising in differing ways. In this assignment, students should contact
different size companies in their community (one large, one medium, and one small company) and
find out who is responsible for working with their ad agencies and how (and where) did they receive
their training in developing advertising messages. Was or did their training primarily consist of “on-
the-job” training? Experience learned from previous positions in larger firms? Or is their
understanding of the operation of advertising more of a “learn as I go” process? In compiling their
data, can the students identify any common elements? Can we draw any inference from or about
advertising from the data?

In small groups, have the students create an advertising campaign for a product/service of their
choosing, including ad copy and creative execution (mock-up print ads, a “homemade” television
commercial for example). This campaign should contain each of the elements of the chapter material
and most importantly, define the 5Ms objectives. The remainder of their class members should
evaluate each group member as to the effectiveness of their campaign.

It has been suggested that over 70 percent of all buying decisions are made in the store and as a result,
point-of-purchase advertising has grown in its appeal. Students should give three examples of point-
of-purchase advertising that they have recently come across (ads in-store, personal selling by a
cosmetic counter salesperson, etc.) and comment on the effectiveness to them of this type of
advertising. Did they buy the product? Did the advertising annoy them? Moreover, in the role of a
marketing executive, would the student recommend spending part of their advertising budget on this
form of media?

In the Marketing Memo entitled, Print Ad Evaluation Criteria, the author lists seven questions that
should be answered in the affirmative concerning the executional elements of print advertising. Have

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the students select two print advertisements, then ask them to evaluate each of them in regards to the
criteria stated in the Marketing Memo.

This assignment should be a favorite one for the students to complete. Breaking the class up into
groups, assign a different television channel (cable and network) to each group. Have the students’
record all the television commercials shown during prime time for a particular night (say for a
Thursday night). After watching the commercials, students should list their favorite ones, their not so
favorite ones, and the ones that annoyed them the most. Have the students share their commercials
with the other class members and see if the other members share the same opinion(s). Finally, in light
of the advertising objectives presented in this chapter, can the students “pick out” the
message of the ad?

Events, experiences, and sponsorship advertising is increasing. The chapter outlines eight reasons
given for sponsoring events. Students should choose an event or sponsorship (recent activity on
campus, attendance by students at an event, etc.) and evaluate how effective they feel the event is/was
towards achieving these eight objectives. Students should also be able to comment on why they feel
that the sponsorship event did not achieve some of these stated objectives.

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Chapter 21
Managing Digital Communications: Online, Social, Media and Mobile

Key Chapter Concepts:


Online Marketing Communications Online Communications Options
Ease of Use Physical Attractiveness
Search Ads Display Ads
Email Marketing Social Media
Blogs Word of Mouth
Viral Marketing Buzz
Customer Loyalty Ladder Mobile Marketing
Mobile Coupons Third Screen

Assignments:

Ask students to select three emails they received from marketers in the past week and see how many
of the suggestions the Marketing Memo: “How to Maximize the Marketing Value of E-mails” were
incorporated into the messages. Then, ask them to relate the tactics used to their personal perceptions
of the e-mails effectiveness. Based on their analysis, ask them to provide additional suggestions, if
any, for maximizing the marketing value of e-mails.

In a research paper, students are to comb appropriate Internet sites, and documents, illustrating the
power of the “buzz” and “viral marketing” about products and/or services. Which ones do they think
are effective and why?

Have students write a memo to their boss in the industry of their choice that explains how the firm
should manage information from online ratings. Have the students read, “Sinan Aral, “The Problem
with Online Ratings,” MIT Sloan Management Review, Winter 2014, pp. 47–52. See also Shrihari
Sridhar and Raji Srinivasan, “Social Influence Effects in Online Product Ratings,” Journal of
Marketing 76 (September 2012), pp. 70–88; Wendy W. Moe and Michael Trusov, “The Value of
Social Dynamics in Online Product Ratings Forums,” Journal of Marketing Research 48 (June 2011),
pp. 444–56” to help inform their responses.

Ask students to select a campaign that generated buzz and analyze why it caught on, using the memo
“How to Start a Buzz Fire” as a guide. Then, ask them to write up the results of the analysis, which
should include the positive and negative aspects of the buzz marketing effort, as well as a
consideration of the resources allocated to the effort and alternative ways the brand could have tried to
reach consumers.

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Chapter 22

Managing Personal Communications:


Direct and Interactive Marketing and Personal Selling

Key Chapter Concepts:


Direct Marketing Direct Mail
RFM Lifetime Value
Catalog Marketing Telemarketing
Database Marketing Data Warehouses
Data Mining Sales Force
Direct Sales Force Contractual Sales Force
Sales Force Structure, Size, Compensation Fixed and Variable Compensation
Motivating Sales Representatives Sales Quotas
SPIN Method Steps in Sales Process
Relationship Marketing

Assignments:

Ask students to select three emails they received from marketers in the past week and see how many
of the suggestions the Marketing Memo: “How to Maximize the Marketing Value of E-mails” were
incorporated into the messages. Then, ask them to relate the tactics used to their personal perceptions
of the e-mails effectiveness. Based on their analysis, ask them to provide additional suggestions, if
any, for maximizing the marketing value of e-mails.

In a research paper, students are to comb appropriate Internet sites, and documents, illustrating the
power of the “buzz” and “viral marketing” about products and/or services. Which ones do they think
are effective and why?

Have students write a memo to their boss in the industry of their choice that explains how the firm
should manage information from online ratings. Have the students read, “Sinan Aral, “The Problem
with Online Ratings,” MIT Sloan Management Review, Winter 2014, pp. 47–52. See also Shrihari
Sridhar and Raji Srinivasan, “Social Influence Effects in Online Product Ratings,” Journal of
Marketing 76 (September 2012), pp. 70–88; Wendy W. Moe and Michael Trusov, “The Value of
Social Dynamics in Online Product Ratings Forums,” Journal of Marketing Research 48 (June 2011),
pp. 444–56” to help inform their responses.

Ask students to select a campaign that generated buzz and analyze why it caught on, using the memo
“How to Start a Buzz Fire” as a guide. Then, ask them to write up the results of the analysis, which
should include the positive and negative aspects of the buzz marketing effort, as well as a
consideration of the resources allocated to the effort and alternative ways the brand could have tried to
reach consumers.

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Chapter 23

Managing a Holistic Marketing Organization

Key Chapter Concepts:


Trends in Marketing Organizing for Marketing
Vertical, Triangular, and Horizontal Product Teams Category Management
Customer-Management Organizations Matrix-Management Organization
Socially Responsible Business Models Cause-Related Marketing
Cause Program Social Marketing
Characteristics of Great Marketing Companies Marketing Implementation
Marketing Control Marketing Metrics
Marketing Audit

Assignments:

Successful holistic marketers have integrated relationship marketing, internal marketing, and social
marketing into their organizations. Students should chose three companies that they believe practice
holistic marketing and then defend their choices by outlining the marketing programs of the selected
companies.

Some companies like the Newman’s Own Brand, have built a business model on social responsibility.
Students should find three other examples of such socially responsible firms and comment on whether
or not they see “social responsibility” as a need component for marketing in the future. Specifically,
knowing what we now know about consumer-buying behavior, is “socially responsible” a determinant
for future success—is it a mega-trend? Or just a “trend”?

In the Marketing Memo entitled “Fueling Strategic Innovation,” Professor Steven Brown of Ulster
University claims that marketers are spending too much of their time in research and not enough in
marketing imagination and producing products with significant consumer impact. Split the class into
two sections: pros and cons and have them defend/attack Professor Brown’s assumption.

Have the students read Michael F. Porter and Mark R. Kramer, “Strategy & Society,” Harvard
Business Review, December 2006, pp. 78-82; Clayton M. Christense, Heiner Baumann, Rudy
Ruggles, and Thomas M. Stadtler, “Disruption Innovation for Social Change, Harvard Business
Review, December 2006, pp. 94-101 and report on their findings. In particular, ask the students to
comment on the sustainability of these concepts into the 21st Century.

Students should research and find two examples of a successful cause-marketing program currently
available in their area and evaluate whether or not they believe that this cause-marketing program is
(a) building the firms brand awareness; (b) enhancing brand image; (c) establishing brand credibility;
(d) evoking brand feelings; (e) creating a sense of brand community; and (f) eliciting brand
engagement. Students should be able to defend their opinions citing financial, market share, stock
price growth, and other definitive measures.

Copyright © 2016 Pearson Education, Inc.


Professors on the Go

Drawing a clear line between normal marketing practices and unethical behavior is not easy. Identify
two firms, in your area, that you feel are or have demonstrated unethical behavior (although not per se
illegal). Why do you believe that such practices will be not successful for the firm in the future? Do
the other students in the class agree with your assertion? On the other hand, do they believe that the
examples offered are just “creative” marketing?

Copyright © 2016 Pearson Education, Inc.

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