MARKETING FOUNDATIONS GLOSSARY

Here we are going to announce the meaning of the most

important words of marketing.

Yuly Marcela Pira Castillo

2 AM

14 DE ABRIL DE 2014

ESCUELA COLOMBIANA DE CARRERAS INDUSTRIALES MODERN LANGUAGES BOGOTA-COLOMBIA

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Marketing: Marketing is the process of communicating the value of a product or

service to customers, for the purpose of selling that product or service.

Market: Market is an actual or nominal place where forces of demand and supply

operate, and where buyers and sellers interact (directly or through intermediaries) to

trade goods, services, or contracts or instruments, for money or barter. Markets

include mechanisms or means for (1) determining price of the traded item, (2)

communicating the price information, (3) facilitating deals and transactions, and (4)

effecting distribution. The market for a particular item is made up of existing and

potential customers who need it and have the ability and willingness to pay for it.

Product: In marketing, a product is anything that can be offered to a market that

might satisfy a want or need. In retailing, products are called merchandise. In

manufacturing, products are bought as raw materials and sold as finished

goods. Commodities are usually raw materials such as metals and agricultural

products, but a commodity can also be anything widely available in the open market.

In project management, products are the formal definition of the project

deliverables that make up or contribute to delivering the objectives of the project. In

insurance, the policies are considered products offered for sale by the insurance

company that created the contract.

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Promotion: Promotion is one of the market mix elements or features, and a term

used frequently in marketing. The specification of five promotional mix or promotional

plan. These elements are personal selling, advertising, sales promotion, direct

marketing, and publicity. A promotional mix specifies how much attention to pay to

each of the five subcategories, and how much money to budget for each. A

promotional plan can have a wide range of objectives, including: sales increases, new

product acceptance, creation of brand equity, positioning, competitive retaliations, or

creation of a corporate image. Fundamentally, however there are three basic

objectives of promotion. These are:

To present information to consumers as well as others.

To increase demand.

To differentiate a product.

Place: Is an establishment (a factory or an assembly plant or retail store or

warehouse etc.) where business is conducted, goods are made or stored or processed

or where services are rendered.

Need: A driver of human action which marketers try to identify, emphasize, and

satisfy, and around which promotional efforts are organized.

Client: Person that is looking for things to buy for his necessities.

Strategy: An organization's strategy that combines all of its marketing goals into

one comprehensive plan. A good marketing strategy should be drawn from market

research and focus on the right product mix in order to achieve the maximum profit

potential and sustain the business. The marketing strategy is the foundation of a

marketing plan.

Principles: Fundamental norms, rules, or values that represent what is desirable

and positive for a person, group, organization, or community, and help it in

determining the rightfulness or wrongfulness of its actions. Principles are more basic

than policy and objectives, and are meant to govern both.

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Services: Intangible products such as accounting, banking, cleaning, consultancy,

education, insurance, expertise, medical treatment, or transportation.

Sometimes services are difficult to identify because they are closely associated with a

good; such as the combination of a diagnosis with the administration of a medicine.

No transfer of possession or ownership takes place when services are sold, and they

(1) cannot be stored or transported, (2) are instantly perishable, and (3) come into

existence at the time they are bought and consumed.

Slavery: Slavery is a system under which people are treated as property to be

bought and sold, and are forced to work. Slaves can be held against their will from the

time of their capture, purchase or birth, and deprived of the right to leave, to refuse

to work, or to demand compensation. Historically, slavery was institutionally

recognized by most societies; in more recent times, slavery has been outlawed in all

countries, but it continues through the practices of debt bondage, indentured

servitude, serfdom, domestic servants kept in captivity, certain adoptions in which

children are forced to work as slaves, child soldiers, and forced marriage.

Feudalism: Feudalism was a set of legal and military customs in medieval Europe

that flourished between the 9th and 15th centuries. Broadly defined, it was a system

for structuring society around relationships derived from the holding of land in

exchange for service or labour.

Capitalism: Capitalism is an economic system in which trade, industry and the

means of production are controlled by private owners with the goal of making profits

in a market economy. Central characteristics of capitalism include capital

accumulation, competitive markets and wage labor. In a capitalist economy, the

parties to a transaction typically determine the prices at which assets, goods, and

services are exchanged.

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Socialism: Socialism is a social and economic system characterised by social

ownership of the means of production and co-operative management of the

economy." Social ownership" may refer to cooperative enterprises, common

ownership, state ownership, citizen ownership of equity, or any combination of these.

There are many varieties of socialism and there is no single definition encapsulating

all of them. They differ in the type of social ownership they advocate, the degree to

which they rely on markets or planning, how management is to be organised within

productive institutions, and the role of the state in constructing socialism.

New Information Technologies: In a business context, the Information

Technology Association of America has defined information technology as "the study,

design, development, application, implementation, support or management of

computer-based information systems". The responsibilities of those working in the

field include network administration, software development and installation, and the

planning and management of an organization's technology life cycle, by which

hardware and software is maintained, upgraded and replaced.

Consumption: The process in which the substance of a thing is completely

destroyed, used up, or incorporated or transformed into something else.

Consumption of goods and services is the amount of them used in a particular time

period.

Interest: A fee paid for the use of another party's money. To the borrower it is the

cost of renting money, to the lender the income from lending it.

Interest on all debt is normally deductible before taxes are assessed on a company's

income. Corporate legislation requires disclosure of interest payable on loans, and

companies often show a single interest figure in the income statement while providing

details in a note that may also include netting out of interest received or some other

adjustments. In cost accounting, interest is normally excluded from cost computations

on the grounds that (being a payment for capital) it is equivalent to dividend, and

hence is a finance item and not a cost item. The rate of interest is usually expressed

as an annual percentage of the principal, and is influenced by the money supply, fiscal

policy, amount being borrowed, creditworthiness of the borrower, and rate of inflation.

The two types of interest are simple interest and compound interest.

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Per-Cápita: Total national income (GDP) divided by total population. It is not the

average income (because it includes children and non-working population) but serves

as an indicator of a country's living standards.

Publicity: Publicity is the deliberate attempt to manage the public's perception

of a subject. The subjects of publicity include people (for example, politicians and

performing artists), goods and services, organizations of all kinds, and works of art or

entertainment.

Publicity is the act of attracting the media attention and gaining visibility with the

public, it necessarily needs the compliment of the media it cannot be done internally

) is the process of making service known by the people or creating awareness or letting

your product known or your company it is the publicist that carries out publicity while

PR is the strategic management function that helps an organization communicate,

establish and maintain relation with the important audiences, It can be done internally

without the use of media

Brand: Unique design, sign, symbol, words, or a combination of these, employed

in creating an image that identifies a product and differentiates it from its competitors.

Over time, this image becomes associated with a level of credibility, quality, and

satisfaction in the consumer's mind (see positioning). Thus brands help harried

consumers in crowded and complex marketplace, by standing for certain benefits and

value. Legal name for a brand is trademark and, when it identifies or represents a firm,

it is called a brand name.

Catalog: List of goods or services on sale with their description and prices

published as a printed document, or as an electronic document (e-catalog) on internet

or on a diskette, CD, DVD, etc.

Vademecum: A ‘Vademecum’ is a reference work containing information or

fundamental notions of a subject, whether scientific or artistic.

Particularly emphasize those using healthcare professionals to consult on submissions,

compositions and the main indications of drugs.

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Electronic Market: Electronic markets (or electronic marketplaces) are

information systems (IS) which are used by multiple separate organizational entities

within one or among multiple tiers in economic value chains. In analogy to the market

concept which can be viewed from a macroeconomic (describing relationships among

actors in an economic systems, e.g. a monopoly) as well as from a microeconomic

(describing different allocation mechanisms, e.g. public auctions of telephone

frequencies) perspective, electronic markets denote networked forms of business with

many possible configurations.

Monopoly: Market situation where one producer (or a group of producers acting

in concert) controls supply of a good or service, and where the entry of new producers

is prevented or highly restricted. Monopolist firms (in their attempt to maximize profits)

keep the price high and restrict the output, and show little or no responsiveness to the

needs of their customers. Most governments therefore try to control monopolies by

imposing price controls, taking over their ownership (called 'nationalization'), or by

breaking them up into two or more competing firms. Sometimes governments

facilitate the creation of monopolies for reasons of national security, to realize

economies of scale for competing internationally, or where two or more producers

would be wasteful or pointless (as in the case of utilities). Although monopolies exist

in varying degrees (due to copyrights, patents, access to materials, exclusive

technologies, or unfair trade practices) almost no firm has a complete monopoly in

the era of globalization.

Duopoly: Market situation in which only sellers supply a particular commodity to

many buyers. Either seller can exert some control over the output and prices, but must

consider the reaction of its sole competitor (unless both have formed an illegal

collusive duopoly).

Juncture: Juncture, in linguistics, is the manner of moving (transition) or mode of

relationship between two consecutive sounds. It is the relationship between two

successive syllables in speech. A juncture is, formally, a suprasegmental phonemic cue,

a means by which a listener can distinguish between two otherwise identical sequences

of sounds that have different meanings.

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Potential Customer: A potential customer is anyone with money, period. It

can also include people who are broke as well because they will someday have some

money as well.

What do they do? They buy junk as you do. My dog can be a potential customer, but

don't ever look at someone who is dressed badly, looks ugly and sloppy and assume

they won't buy.

Perishable Products: Perishable products are those that worsen in quality over

time, and become lesser in value. Perishable goods decay rapidly if not refrigerated,

or if some other preservation technique is not employed.

Fungible Product: Uniform, interchangeable, and substitutable like cash for

cash, corn for corn, and gold for gold. A commodity must be fungible before it can

be traded on a commodity exchange. If two manufactured goods are fungible, they

are treated as commodities and must compete only on the basis of price and/or

availability. Shares of a firm, even if bought at different prices at different times, are

fungible.

Tangible Product: A physical item that can be perceived by the sense of touch.

Examples of a tangible product include cars, food items, computers, telephones, etc.

Many businesses also need to provide packaging for a tangible product to provide

protection during its transportation to a retail location.

Intangible Product: Intangible products are products that cannot be separated

from the provider. Some examples are haircuts, Internet service, and advice.

Deficit: The amount by which expenses exceed income or costs outstrip revenues.

Deficit essentially refers to the difference between cash inflows and outflows. It is

generally prefixed by another term to refer to a specific situation - trade deficit or

budget deficit, for example. Deficit is the opposite of "surplus" and is synonymous with

shortfall or loss.

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Surplus: Extent to which generation of goods, services, and resources (such as

capital) exceeds their consumption. Surplus of resources is the bedrock on which

capitalism is built.

Inflation: Inflation is a persistent increase in the general price level of goods and

services in an economy over a period of time. When the general price level rises, each

unit of currency buys fewer goods and services. Consequently, inflation reflects a

reduction in the purchasing power per unit of money a loss of real value in the medium

of exchange and unit of account within the economy. A chief measure of price inflation

is the inflation rate, the annualized percentage change in a general price index

(normally the consumer price index) over time.

Stagflation: Stagflation, a portmanteau of stagnation and inflation, is a term

used in economics to describe a situation where the inflation rate is high, the economic

growth rate slows down, and unemployment remains steadily high. It raises a dilemma

for economic policy since actions designed to lower inflation may exacerbate

unemployment, and vice versa.

The term is generally attributed to a British politician who became Chancellor of the

Exchequer in 1970, Iain Macleod, who coined the phrase in his speech to Parliament

in 1965.

Consumer Price Index: A consumer price index (CPI) measures changes in

the price level of a market basket of consumer goods and services purchased by

households. The CPI in the United States is defined by the Bureau of Labor Statistics

as "a measure of the average change over time in the prices paid by urban consumers

for a market basket of consumer goods and services."

Producer Price Index: A Producer Price Index (PPI) measures the average

changes in prices received by domestic producers for their output. It is one of several

price indices.

Its importance is being undermined by the steady decline in manufactured goods as

a share of spending.

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Market Segmentation: The process of defining and subdividing a large

homogenous market into clearly identifiable segments having similar needs, wants, or

demand characteristics. Its objective is to design a marketing mix that precisely

matches the expectations of customers in the targeted segment.

Few companies are big enough to supply the needs of an entire market; most must

breakdown the total demand into segments and choose those that the company is

best equipped to handle.

Empowerment: A management practice of sharing information, rewards, and

power with employees so that they can take initiative and make decisions to solve

problems and improve service and performance.

Empowerment is based on the idea that giving employees skills, resources, authority,

opportunity, motivation, as well holding them responsible and accountable for

outcomes of their actions, will contribute to their competence and satisfaction.

Cost of Production: The costs related to making or acquiring goods and

services that directly generates revenue for a firm. It comprises of direct costs and

indirect costs. Direct costs are those that are traceable to the creation of a product

and include costs for materials and labor whereas indirect costs refer to those costs

that cannot be traced to the product such as overhead.

Sale Price: The price of a good or service that is being offered at a discount. The

sale price can be calculated by subtracting the discount percent from 100, converting

that number into a decimal, and multiplying the decimal by the normal price of the

good. For example, a good that is normally priced at $100 and currently being offered

at a 10% reduction would have a sale price of $90.

Labeling: Display of information about a product on its container, packaging, or

the product itself. For several types of consumer and industrial products, the type and

extent of information that must be imparted by a label is governed by the relevant

safety and shipping laws.

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Merchandising: The activity of promoting the sale of goods at retail.

Merchandising activities may include display techniques, free samples, on-the-spot

demonstration, pricing, shelf talkers, special offers, and other point-of-sale methods.

According to American Marketing Association, merchandising encompasses "planning

involved in marketing the right merchandise or service at the right place, at the right

time, in the right quantities, and at the right price."

Objection: Formal protest or disapproval of something that has been said, has

occurred, or is about to occur.

Distribution Channel: The path through which goods and services travel

from the vendor to the consumer or payments for those products travel from the

consumer to the vendor. A distribution channel can be as short as a direct transaction

from the vendor to the consumer, or may include several interconnected

intermediaries along the way such as wholesalers, distributers, agents and retailers.

Each intermediary receives the item at one pricing point and movies it to the next

higher pricing point until it reaches the final buyer. Coffee does not reach the

consumer before first going through a channel involving the farmer, exporter,

importer, distributor and the retailer.

Wholesaler: Person or firm that buys large quantity of goods from various

producers or vendors, warehouses them, and resells to retailers. Wholesalers who

carry only non-competing goods or lines are called distributors.

Retailer: A business or person that sells goods to the consumer, as opposed to a

wholesaler or supplier, who normally sell their goods to another business.

Quality Policy: Top management's expression of its intentions, direction, and

aims regarding quality of its products and processes.

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Marketing Plan: Product specific, market specific, or company-wide plan that

describes activities involved in achieving specific marketing objectives within a set

timeframe. A market plan begins with the identification (through market research) of

specific customer needs and how the firm intends to fulfill them while generating an

acceptable level of return. It generally includes analysis of the current market situation

(opportunities and trends) and detailed action programs, budgets, sales forecasts,

strategies, and projected financial statements. See also marketing strategy.

Life Cycle of a Product: Marketing concept that, like people and living

organisms, goods and services pass through a cradle to grave cycle of progression

through their life span. While different products have distinctly different patterns of

demand, almost every one of them passes through the stages of introduction, growth,

maturity or stagnation, and decline or death. This view dictates the need for

continuous efforts for new product development.

Economic Activity: Actions that involve the production, distribution and

consumption of goods and services at all levels within a society. Gross domestic

product or GDP is one way of assessing economic activity, and the degree of current

economic activity and forecasts for its future level can significantly impact business

activity and profits, as well as inflation and interest rates.

Publicity Agency: 1) creates new promotional ideas, (2) designs print, radio,

television, and internet advertisements, (3) books advertisement space and time, (4)

plans and conducts advertising campaigns, (5) commissions research and surveys, and

(6) provides other such services that help a client in entering and succeeding in a

chosen market. In general, advertising agencies are not deemed agents of the

advertisers, because they act as principals for the services they buy on behalf of their

clients.

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Demographic Environment: The demographic factors of the market in

which an organization operates, and which are used to segment the target population

for effective marketing.

Psychographics Environment: Analysis of consumer lifestyles to create a

detailed customer profile. Market researchers conduct psychographic research by

asking consumers to agree or disagree with activities, interests, opinions statements.

Results of this exercise are combined with geographic (place of work or residence) and

demographic (age, education, occupation, etc.) characteristics to develop a more

'lifelike' portrait of the targeted consumer segment.

Growth of a Product: Is the stage of the product life cycle where product

sales, revenues and profits begin to grow as the product becomes more popular and

accepted in the market.

Product Demonstration: In marketing, a product demonstration is a

promotion where a product is demonstrated to potential customers. The goal of such

a demonstration is to introduce customers to the product in hopes of getting them to

purchase that item.

Products offered as samples during these demonstrations may include new products,

new versions of existing products or products that have been recently introduced to

a new commercial marketplace.

Price Skimming: Price skimming is a pricing strategy in which a marketer sets

a relatively high price for a product or service at first, then lowers the price over time.

It is a temporal version of price discrimination/yield management. It allows the firm to

recover its sunk costs quickly before competition steps in and lowers the market price.

Price skimming is sometimes referred to as riding down the demand curve. The

objective of a price skimming strategy is to capture the consumer surplus. If this is

done successfully, then theoretically no customer will pay less for the product than the

maximum they are willing to pay. In practice, it is almost impossible for a firm to

capture all of this surplus.

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Discounts: Pricing strategy is an important element of a product marketing

campaign. More than any other element, pricing strategy directly impacts the amount

of profit you make. Choose a pricing strategy that helps you meet your sales

objectives, enhances your reputation and provides the best profit point for the market

demand. A discount pricing strategy is useful for driving traffic and sales short term.

Used as a long-term strategy, discount pricing has some negative effects on market

position and brand loyalty.

Tasting Product: Depends the product a degustation is a little example of your

product, for example food: you can give to the clients a little of your food.

Distribution: The movement of goods and services from the source through a

distribution channel, right up to the final customer, consumer, or user, and the

movement of payment in the opposite direction, right up to the original producer or

supplier.

Exclusive Distribution: Situation where suppliers and distributors enter into

an exclusive agreement that only allows the named distributor to sell a specific

product. For example, Apple had an exclusive distribution deal with AT&T to provide

the iPhone to consumers.

Mass Distribution: An attempt to appeal to an entire market with one basic

marketing strategy utilizing mass distribution and mass media. Also called

undifferentiated marketing.

Selective Distribution: Type of product distribution that lies between

intensive distribution and exclusive distribution, and in which only a few retail outlets

cover a specific geographical area. Considered more suitable for high-end items such

as 'designer' or prestige goods.

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Economy: An entire network of producers, distributors, and consumers of goods

and services in a local, regional, or national community.

Packaging: Processes (such as cleaning, drying, preserving) and materials (such

as glass, metal, paper or paperboard, plastic) employed to contain, handle, protect,

and/or transport an article. Role of packaging is broadening and may include functions

such as to attract attention, assist in promotion, provide machine identification

(barcodes, etc.), impart essential or additional information, and help in utilization. See

also packing.

Packing: Preparation of product or commodity for proper storage and/or

transportation. It may entail blocking, bracing, cushioning, marking, sealing, strapping,

weather proofing, wrapping, etc.

Container: A receptacle, such as a carton, can, or jar, in which material is held or

carried.

Market Equilibrium: A situation in which the supply of an item is exactly equal

to its demand. Since there is neither surplus nor shortage in the market, price tends

to remain stable in this situation.

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Sales Stages: 1. Prospect for Leads

You can't prospect effectively without knowing all about your product(s). If you don't

understand the product, how could you know who will want to buy it?

2. Set an Appointment

It's time to use those leads you collected in stage 1. Many salespeople prefer to cold

call over the phone, but you can also call in person, send email or even mail out sales

letters.

3. Qualify the Prospect

The qualification stage usually takes place at the appointment itself, although you can

also qualify briefly during your initial contact. The idea is to confirm that your prospect

is both able and potentially willing to buy your product.

4. Make Your Presentation

The presentation is the core of every sales cycle, and it's probably where you'll invest

the most preparation time. Keep in mind that you're not just selling your product...

you are also selling yourself! You represent your company, so appearance counts.

5. Address the Prospect's Objections

Here's where you get to deal with your prospect's concerns. The one you'll hear most

often? “I have to think about it.”

6. Close the Sale

Once you've made your presentation and answered your prospect's questions and

objections, it's time to ask for the sale. This is the second-most neglected stage of the

sales cycle... which is especially sad given that it's probably the most critical one.

7. Ask for Referrals

This is hands down the most commonly neglected step. Too many salespeople are so

relieved to get a sale that they grab their things and race out the door the second

they get the chance, for fear the prospect will change their mind!

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Exhibition Product: An exhibition, in the most general sense, is an organized

presentation and display of a selection of items. In practice, exhibitions usually occur

within museums, galleries and exhibition halls, and World's Fairs. Exhibitions include

(whatever as in major art museums and small art galleries; interpretive exhibitions, as

at natural history museums and history museums), for example; and commercial

exhibitions, or trade fairs.

Intermediary: Firm or person (such as a broker or consultant) who acts as a

mediator on a link between parties to a business deal, investment decision,

negotiation, etc. In money markets, for example, banks act as intermediaries between

depositors seeking interest income and borrowers seeking debt capital. Intermediaries

usually specialize in specific areas, and serve as a conduit for market and other types

of information. Also called a middleman. See also intermediation.

Market Research: Market research is the process of collecting valuable

information to help you find out if there is a market for your proposed product or

service. The information gathered from market research helps budding entrepreneurs

make wise and profitable business decisions.

The key to any successful business is to understand what it is that your customers want

and giving this to them in a way that is profitable for you.

Motto: I a memorable motto or phrase used in a political, commercial, religious, and

other context as a repetitive expression of an idea or purpose. The word slogan is

derived from slogorn which was an Anglicisation of the Scottish Gaelic and Irish

sluagh-ghairm tanmay (sluagh "army", "host" + gairm "cry"). Slogans vary from the

written and the visual to the chanted and the vulgar. Their simple rhetorical nature

usually leaves little room for detail and a chanted slogan may serve more as social

expression of unified purpose than as communication to an intended audience.

Marketing slogans are often called taglines in the United States or straplines in the UK.

Europeans use the terms baselines, signatures, claims or pay-offs.

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Product Line: A group of related products manufactured by a single company.

For example, a cosmetic company's makeup product line might include foundation,

concealer, powder, blush, eyeliner, eye shadow, mascara and lipstick products that are

all closely related. The same company might also offer more than one product line.

The cosmetic company might have a special product line geared toward teenagers

and another line geared toward women older than 60, in addition to its regular

product line that can be used by women of any age.

Logistics: Logistics is the management of the flow of goods between the point of

origin and the point of consumption in order to meet some requirements, for example,

of customers or corporations. The resources managed in logistics can include physical

items, such as food, materials, animals, equipment and liquids, as well as abstract

items, such as time, information, particles, and energy. The logistics of physical items

usually involves the integration of information flow, material handling, production,

packaging, inventory, transportation, warehousing, and often security. The complexity

of logistics can be modeled, analyzed, visualized, and optimized by dedicated

simulation software. The minimization of the use of resources is a common motivation

in logistics for import and export.

Brand: Brand is the "name, term, design, symbol, or any other feature that

identifies one seller's product distinct from those of other sellers." Brands are used in

business, marketing, and advertising. Initially, livestock branding was adopted to

differentiate one person's cattle from another's by means of a distinctive symbol

burned into the animal's skin with a hot branding iron. A modern example of a brand

is Coca Cola which belongs to the Coca-Cola Company.

In accounting, a brand defined as an intangible asset is often the most valuable asset

on a corporation's balance sheet. Brand owners manage their brands carefully to

create shareholder value, and brand valuation is an important management technique

that ascribes a money value to a brand, and allows marketing investment to be

managed (e.g.: prioritized across a portfolio of brands) to maximize shareholder value.

Although only acquired brands appear on a company's balance sheet, the notion of

putting a value on a brand forces marketing leaders to be focused on long term

stewardship of the brand and managing for value.

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Marketing Mix: The marketing mix is a business tool used in marketing and

by marketers. The marketing mix is often crucial when determining a product or

brand's offer, and is often associated with the four P's: price, product, promotion, and

place. In service marketing, however, the four Ps are expanded to the seven P's or

eight P's to address the different nature of services.

Point of Purchase (P.O.P): The location or medium at which a product is

purchased by an end-user. A point of purchase may be a physical location, such as a

store, booth, or other retail outlet, or may consist of an electronic sales environment

such as a telephone-based ordering service or a website. Transportation of products

to points of purchase is an important element of marketing and distribution. Also

called point of sale.

Boston Consulting Group Matrix: Is a chart that was created by Bruce

D. Henderson for the Boston Consulting Group in 1970 to help corporations to analyze

their business units, that is, their product lines. This helps the company allocate

resources and is used as an analytical tool in brand marketing, product management,

strategic management, and portfolio analysis. Analysis of market performance by firms

using its principles has recently called its usefulness into question.

Scientific Method: The scientific method is a body of techniques for

investigating phenomena, acquiring new knowledge, or correcting and integrating

previous knowledge. To be termed scientific, a method of inquiry must be based on

empirical and measurable evidence subject to specific principles of reasoning. The

Oxford English Dictionary defines the scientific method as: "a method or procedure

that has characterized natural science since the 17th century, consisting in systematic

observation, measurement, and experiment, and the formulation, testing, and

modification of hypotheses."

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Investigation Methodology: The research methodology contributes to the

field of education, methods, techniques and procedures to arrive at the knowledge of

objective truth to facilitate the research process and fight for the acquisition of new

knowledge. Thus, the development of this field aims to include the issues that I think

are the basic and fundamental in the development of research, but although there is

diversity in doctrine and theories about this research aims to use concepts Easy and

simple methodology regarding the structure of the process.

Product Offering: An offering in marketing is the total offer to your customers.

An offering is more than the product itself and includes elements that represent

additional value to your customers, such as availability, convenient delivery, technical

support or quality of service. A strong offering differentiates your products from

competitors and creates value by meeting customers’ wider needs better than other

options.

Maslow's hierarchy of needs: Maslow's hierarchy of needs is a theory in

psychology proposed by Abraham Maslow in his 1943 paper "A Theory of Human

Motivation" in Psychological Review. Maslow subsequently extended the idea to

include his observations of humans' innate curiosity. His theories parallel many other

theories of human developmental psychology, some of which focus on describing the

stages of growth in humans. Maslow used the terms Physiological, Safety,

Belongingness and Love, Esteem, Self-Actualization and Self-Transcendence needs to

describe the pattern that human motivations generally move through.

Planning: A basic management function involving formulation of one or more

detailed plans to achieve optimum balance of needs or demands with the available

resources. The planning process (1) identifies the goals or objectives to be achieved,

(2) formulates strategies to achieve them, (3) arranges or creates the means required,

and (4) implements, directs, and monitors all steps in their proper sequence.

Principles: Fundamental norms, rules, or values that represent what is desirable

and positive for a person, group, organization, or community, and help it in

determining the rightfulness or wrongfulness of its actions. Principles are more basic

than policy and objectives, and are meant to govern both. See also principle.

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Complementary Product: Material or good whose use is interrelated with

the use of an associated or paired good such that a demand for one (tires, for

example) generates demand for the other (gasoline, for example). If the price of one

good falls and people buy more of it, they will usually buy more of the complementary

good also whether or not its price also falls. Similarly, if the price of one good rises

and reduces its demand, it may reduce the demand for the paired good as well. Also

called complementary product.

Derivate Product: New product that results from modifying an existing product,

and which has different properties than those of the product it is derived from.

Product bundling: In marketing, product bundling is offering several products

for sale as one combined product. It is a common feature in many imperfectly

competitive product markets. Firms in telecommunications, financial services, health

care, and information industries frequently offer products in bundles. This is again

common in the software business (for example: bundle a word processor, a

spreadsheet, and a database into a single office suite), in the cable television industry

(for example, basic cable in the United States generally offers many channels at one

price), and in the fast food industry in which multiple items are combined into a

complete meal. A bundle of products may be called a package deal or a compilation

or an anthology.

Sales Promotion: Sales promotion is one of the seven aspects of the

promotional mix. (The other six parts of the promotional mix are advertising, personal

selling, direct marketing, publicity/public relations, corporate image and exhibitions.)

Media and non-media marketing communication are employed for a pre-determined,

limited time to increase consumer demand, stimulate market demand or improve

product availability. Examples include contests, coupons, freebies, loss leaders, point

of purchase displays, premiums, prizes, product samples, and rebates.

Price Cut: cutting the price of merchandise to one lower than the usual or

advertised price.

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Slogan: Simple and catchy phrase accompanying a logo or brand, that

encapsulates a product's appeal or the mission of a firm and makes it more

memorable. And which (when used consistently over a long period), becomes an

important component of its identification or image. Also called catch line, strap line,

or tag line.

Sampling techniques: The methods used in drawing samples from a

population usually in such a manner that the sample will facilitate determination of

some hypothesis concerning the population.

Gift Technique: A gift or a present is an item given to someone without the

expectation of payment, in marketing is like a promotion, you give a gift if someone

buys your product.

Competitions Techniques: Is something that the company do for the clients,

is a strategy for have more clients.

Telemarketing: Telemarketing is a method of direct marketing in which a

salesperson solicits prospective customers to buy products or services, either over the

phone or through a subsequent face to face or Web conferencing appointment

scheduled during the call. Telemarketing can also include recorded sales pitches

programmed to be played over the phone via automatic dialing. Telemarketing has

come under fire in recent years, being viewed as an annoyance by many.

General equilibrium theory: General equilibrium theory is a concept of

theoretical economics. It seeks to explain the behavior of supply, demand, and prices

in a whole economy with several or many interacting markets, by seeking to prove

that a set of prices exists that will result in an overall equilibrium, hence general

equilibrium, in contrast to partial equilibrium, which only analyzes single markets. As

with all models, this is an abstraction from a real economy; it is proposed as being a

useful model, both by considering equilibrium prices as long-term prices and by

considering actual prices as deviations from equilibrium.

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TOWS: TOWS analysis is a method of strategic analysis used to study the

environment of the organization and its interior. TOWS concept is synonymous with

the term SWOT acronym. By according to H.Weihrich english words Threats (in the

environment), Opportunities (in the environment), Weaknesses (of the organization),

Strengths (of the organization) should be placed in this order to make the emphasis

on problem-solving sequence in the process of strategy formulation.

Sales: A sale is the act of selling a product or service in return for money or other

compensation. Signaling completion of the prospective stage, it is the beginning of an

engagement between customer and vendor or the extension of that engagement.

The seller or salesperson – the provider of the goods or services – completes a sale in

response to an acquisition or to an appropriation or to a request.

Sales Vocabulary: Is the vocabulary that you use for purchases, when you go

to the shopping center and you use a specific vocabulary for buy something.