DECA Marketing Terms Questions and Answers 100% Pass

DECA Marketing Terms Questions and Answers 100% Pass Adaptablility ✔✔The ability to make changes to be a better match or fit in new situations. Advertising Campaign ✔✔A coordinated series of linked ads with a single o ...

DECA Marketing Terms Questions and Answers 100% Pass Adaptablility ✔✔The ability to make changes to be a better match or fit in new situations. Advertising Campaign ✔✔A coordinated series of linked ads with a single or theme. AIDA ✔✔Acronym for customer: Attention, Interest, Desire and Action Assets ✔✔Property or items of value owned by a business Attitude ✔✔How a person feels about something or the way a person looks at the world and responds to events. Bait and Switch ✔✔Practice of advertising one product with the intent of persuading a customer to buy a more expensive item when they arrive in the store Barter ✔✔Exchange of one good or service for another good or service Benefit ✔✔Attribute of a product that will be an advantage for the customer Brand ✔✔Name, term or design that sets a product or a business apart from its competition Brand Equity ✔✔Value of having a well-known brand name Brand Loyalty ✔✔Situation in which the customer will only buy a certain brand of product Break-Even Point ✔✔The point at which revenue from sales equals the costs. Business Cycle ✔✔Cycle that consists of alternating periods of expansion and contraction in the economy. Business Plan ✔✔Written document that describes a new business, how it will operate and make a profit. Buyer ✔✔The person responsible for planning and ordering inventory Collateral ✔✔An asset pledged that would be claimed by the lender if the loan were not repaid Collusion ✔✔A situation that occurs when business leaders work together to eliminate their competition, set prices and control distribution Competition Based Pricing ✔✔Strategy based primarily on what the competitors charge Competitive Advantage ✔✔Offering better value, features or sercie than the competition Consumer ✔✔Person who buys products or services and also uses them Consumer Market ✔✔Customers who buy products for their own use Corporate Culture ✔✔How the owners and employees of a company think, feel and act as a business. Credit Risk ✔✔Potential of credit not being repaid Creditor ✔✔Individual or business to whom money is owed for goods or services provided. Customer Profile ✔✔Detailed description of the typical consumer in a market segment Database Marketing ✔✔Gathering, storing and using customer data for marking directly to them based on their histories. Demand- Based Pricing ✔✔Pricing strategies based on what customers are willing to pay Demand-Pull Inflation ✔✔Inflation that occurs when increasing demand pulls up prices Demographics ✔✔Qualities such as age, gender and income of a specific group of people Direct Mail ✔✔Advertising message sent through the US Postal Service to current or potential customers Discrctionary Income ✔✔Remaining take-home pay after life necesities are paid for Elastic Demand ✔✔Product demand in which the percent change in demand is greater than the percent change in price Entrepreneurship ✔✔Willingness and ability take on the risks and responsibilities of starting a new business Equity Financing ✔✔Raising money for a business in exchange for a percentage of the ownership Ethics ✔✔Set of rules of behavior based on ideas about what is the right and wrong Feasible ✔✔A term that means that something can be done successfully Fixed Assets ✔✔Items of value that may take time to sell Fixed Expense ✔✔An expense that does not change and is not affected by the number of products produced or sold Form Utility ✔✔Value that is added when a business changes the form of something to make it more useful Four P's of Marketing ✔✔Product, Price, Place, Promotion Franchisee ✔✔Person who buys the right to sell the brand products Franchisor ✔✔Company or person who owns the business and the brand Frequency ✔✔Number of times the ad appears before the customer Globalization ✔✔State that occurs when nations become connected through freely moving goods, labor and capital across boarders Goodwill ✔✔Advantage a business has due to its good reputation Gross Profit ✔✔Amount of profit before subtracting the costs of doing business Growth Stage ✔✔Stage of the product life cycle during which product sales increase rapidly Hook ✔✔Aspect of an ad that grabs attention Income Statement ✔✔Financial report that shows the revenue and expenses for a business during a specific period of time Indirect Competitors ✔✔Companies that offer different, but similar products or services that could also meet the customer needs Inelastic Demand ✔✔Demand for a product that is not affected by price Infaltion Rate ✔✔Rate of change of prices calculated on a monthly or yearly basis. Insurance Premium ✔✔The payment cost of an insurance policy Intangible ✔✔Something that cannot be touched tried out before purchase or return Jingle ✔✔A tagline or slogan set to music Job Shadowing ✔✔Following a person while he or she does a job Law of Diminishing Marginal Utility ✔✔Idea that consuming more units of the same product decreases the marginal utility from each unit Law of Supply and Demand ✔✔Law that says that the greater the demand for a given supply of a product, the price will be higher Line of Credit ✔✔Specific dollar amount that a business can draw against as needed Liquid Assests ✔✔Cash and the items of a business owns that can be wasily turned into cash Marginal Utility ✔✔Additional satisfaction gained by using one additional unit of the same product Market Risk ✔✔Potential that the target market for new products or services much less than originally thought Market Segmentation ✔✔Process of dividing a large market into smaller groups Market Structure ✔✔How a market is organized based on the number of businesses competing for sales in an industry Marketing ✔✔Dynamic activities that identify anticipate and satisfy customer demand while making a profit Marketing Mix ✔✔Plan of action for marketing a product; it consists of the decisions made about each of the four P's for that product Marketing Plan ✔✔Document describing business and marketing objectives and the strategies and tactics to achieve them Marketing Strategy ✔✔Decision made about product, price, place and promotion Markup ✔✔Amount added to the cost of a product to determine the base price Mass Product ✔✔Overall market or group of people who might buy a product or service Net Worth ✔✔Value of a company Networking ✔✔Process of making connections with people in the working world Opportunity Cost ✔✔Value of the best option you did not choose Overselling ✔✔Promising more than the product or the business can deliver Peer Pressure ✔✔Social influence exerted on individuals via a website Perishability ✔✔The idea that services are instangible and cannot be stored for later use Planned Absolescence ✔✔Evaluating and updating current products or adding new ones to replace older ones Press Kit ✔✔Packet of information distributed to the media about a new business opening or other major business events. Press Release ✔✔A story featuring useful company information written by the company PR contact Price Competition ✔✔When a lower price is the main reason for customers to buy from one business over another Price Discrimination ✔✔When a company sells the same product to a different customer at different prices based on personal characteristics Price Gouging ✔✔Rasing prices on certain kinds of goods to an excessively high level during an emergency Price Strategy ✔✔Business decision about pricing and how prices are set to make a profit Product Life Cycle ✔✔Stages a product or a product category goes through from its begining to end Product Mix ✔✔All of the products and services that a business sells Profit Motive ✔✔When business owners earn profits and are motivated to start and expand business Promotion ✔✔Process of communicating with potential customers in an effort to influence their buying behavior Promotion Strategy ✔✔Decision about selling, advertising, sales promotion and public relations activities to pursue in the promotional mix Promotional Mix ✔✔Combination of the elements used in a promotional compaign Psychographics ✔✔Data about the preferences or choices of a group of people Push Promotional Concept ✔✔Taking the product directly to the cutsomer Quick Response (QR) Codes ✔✔Bar codes that when scanned with a smart phone connect the user to a website or other digital information Recession ✔✔Period of great decline in total output, employment, trade or income Repackaging ✔✔Using new packaging on the same product, is another common way to create a new product Retailer Channel ✔✔Path of selling goods from the producer to the retailer then the retailer to the consumer Return on Investment (ROI) ✔✔Ratio that shows the efficiency of an investmentby comparing the gains from the investment to its cost. Return on Marketing Investment (ROMI) ✔✔A measurment showing the overall effectiveness of a marketing campaign or yearly budget Revenue ✔✔Money that a business takes in for the products or services it sells Sales Forecast ✔✔Prediction of future sales based on past sales and a market analysis for a specific time period Scarcity ✔✔Event that occurs when demand is higher than the available resources Sole Proprietor ✔✔The one person who owns a business and is personally responsible for all its debts Specialization ✔✔Worker or group of workers who perform a specific task for increased efficiency Stereotyping ✔✔Classifying or generalizing about a group of people with a given set of characteristics Suggestive Selling ✔✔The technique of suggesting additional items to go with merchandise requested by a customer Tagline ✔✔Phrase or sentence that summerizes some essential part of the product or business Target Marketing ✔✔Using unique marketing mixes for different target markets Trade Deficit ✔✔State that occurs when a nation has some importants that exports which results in a negative balance Trade Show ✔✔Large gathering of business for the purpose of displaying products for sale Variable Expense ✔✔An expense that changes based on the activities of the business Volume Pricing ✔✔Lowering the list price based on the higher number of units purchased at the same time.