E OBJ 5.01 Vocab

Competition

• The rivalry between two or more businesses to attract scarce customer dollars

• A retail store competing on the basis of low prices and offering limited customer service

• An organization’s portion of the total industry sales in a specific market

• Goals a company hopes to accomplish through its pricing strategies

Exchange price

• The amount of money that the buyer is willing to pay and the seller is willing to accept for a good or service

• A ratio of net profit (after taxes) divided by net sales that reflects the profit per dollar of sales

• A customer or a potential customer who has an unfulfilled desire and is financially able and willing to satisfy that desire

• The systematic gathering, recording, and analyzing of data about a specific issue, situation, or concern

Pricing

• A marketing function that involves determining and adjusting prices to maximize return and meet customers’ perceptions of value

• Marketing element referring to what goods, services, or ideas a business will offer its customers

• The amount of money a business plans to spend on promoting its goods and services during a certain period of time

• The combination of the four elements of marketing—product, place, promotion, and price

Pricing objectives

• Goals a company hopes to accomplish through its pricing strategies

• Marketing element referring to what goods, services, or ideas a business will offer its customers

• A ratio of net profit (after taxes) divided by net sales that reflects the profit per dollar of sales

• The systematic gathering, recording, and analyzing of data about a specific issue, situation, or concern

Profit margin

• A ratio of net profit (after taxes) divided by net sales that reflects the profit per dollar of sales

• Marketing element referring to selection of the various types of communications that marketers use to inform, persuade, or remind customers of their products

• The amount of money a business plans to spend on promoting its goods and services during a certain period of time

• An organization’s portion of the total industry sales in a specific market

Promotional budget

• Goals a company hopes to accomplish through its pricing strategies

• Marketing element referring to what goods, services, or ideas a business will offer its customers

• A ratio of net profit (after taxes) divided by net sales that reflects the profit per dollar of sales

• The amount of money a business plans to spend on promoting its goods and services during a certain period of time

Marketing mix

• The combination of the four elements of marketing—product, place, promotion, and price

• A retail store competing on the basis of low prices and offering limited customer service

• The amount of money that the buyer is willing to pay and the seller is willing to accept for a good or service

• The rivalry between two or more businesses to attract scarce customer dollars

Market share

• An organization’s portion of the total industry sales in a specific market

• A customer or a potential customer who has an unfulfilled desire and is financially able and willing to satisfy that desire

• The rivalry between two or more businesses to attract scarce customer dollars

• The message channel used by a seller to promote a good, service, or idea (e.g., radio, television, newspapers, magazines)