Page 56 - Foundations of Marketing

Customer-Driven Strategic Marketing | Chapter 1 23

Compare the value of an Apple iPhone and a Samsung whatsoever and 5 meaning absolutely important . Using
Galaxy smartphone. Begin by identifying the benefits and the equation value = benefits − costs, calculate the value
costs that you consider when evaluating cell phones— for the iPhone and the Samsung Galaxy. Do these results
factors like ease of texting, overall look and feel, or match actual cell phone sales for the two products?
purchasing price. Assign a weighting coefficient to each 5. Develop your analytical and communication skills using
factor that reflects its importance to you. You could the Role-Play Exercises online at
use 0 – 5 , for example, with 0 meaning no importance www.cengagebrain.com.

Internet Exercise

The American Marketing Association

The American Marketing Association (AMA) is the market- 1. What type of information is available on the AMA
ing discipline’s primary professional organization. In addi- website to assist students in planning their careers
tion to sponsoring academic research, publishing marketing and finding jobs?
literature, and organizing meetings of local businesspeople 2. If you joined a student chapter of the AMA, what
with student members, it helps individual members to find benefits would you receive?
employment in member firms. Visit the AMA website at 3. What marketing-mix variable does the AMA’s
www.marketingpower.com. Internet marketing effort exemplify?

Successful companies develop strategies for marketing 2. Describe the level of market orientation that currently
their products. The strategic plan guides the marketer in exists in your company. How will a market orientation
making many of the detailed decisions about the attributes contribute to the success of your new product?
of the product, its distribution, promotional activities, 3. What benefits will your product provide to the cus-
and pricing. A clear understanding of the foundations of tomer? How will these benefits play a role in determin-
marketing is essential in formulating a strategy and in the ing the customer value of your product?
development of a specific marketing plan. To guide you The information obtained from these questions should assist
in relating the information in this chapter to the develop- you in developing various aspects of your marketing plan.
ment of your marketing plan, consider the following:
Develop your marketing plan online using the Interactive
1. Discuss how the marketing concept contributes to a Marketing Plan at www.cengagebrain.com.
company’s long-term success.

Cruising to Success: The Tale of New Belgium Brewing

In 1991, electrical engineer Jeff Lebesch and Kim Jordan mountain bike. He believed he could manufacture high-
began making Belgian-style ales in their basement. The quality Belgian beers in America. After spending time in
impetus for the brewery occurred after Lebesch had spent the Colorado Rockies deciding the values and directions of
time in Belgium riding throughout the country on his their new company, the two launched New Belgium Brewing

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