HomeTABLE OF CONTENTS

Contents

Part One

Modern Marketing 1



Chapter 1
The Field of Marketing 2

What Will It Take for the Harlem Globetrotters to Become Winners Again? 3
Nature and Scope of Marketing 4
You Make The Decision -
Why is the Number of Female Skiers Decreasing? 6
You Make The Decision -
Has Amtrak Correctly Defined the Business It Is In? 10
The Marketing Concept 11
Ethics and Marketing 14
An Ethical Dilemma? 16
Quality in Marketing 16
Importance of Marketing 19
A Global Perspective -
Is That Toyota an Import? 22
More About The Harlem Globetrotters 26



Chapter 2
The Dynamic Marketing Environment 28

Does McDonald's Have the Recipe for Success in a New Century? 29
Environmental Monitoring 30
External Macroenvironment 31
You Make The Decision -
What's an Effective Way to Appeal to "Generation X"? 33
A Global Perspective -

Does Competition Transcend National Borders? 36
An Ethical Dilemma? 38
External Microenvironment 44
Organization's Internal Environment 46
More About McDonald's 48



Chapter 3
Strategic Marketing Planning 50

Can Nordstrom Continue to Succeed by Being Different? 51
Planning as Part of Management 52
Strategic Company Planning 56
Strategic Marketing Planning 57
You Make The Decision -
Which Meat Has the Edge? 60
Annual Marketing Planning 61
A Commitment to Customer Satisfaction - Are Small Firms at a Disadvantage in Satisfying Customers 62
An Ethical Dilemma? 64
Selected Planning Models 64
A Global Perspective -
Are There Strategic Lessons to be Learned from Foreign Films? 71
More About Nordstrom 72



Chapter 4
Marketing Research and Information 74

Is CBS Gambling in Selecting Its Fall Schedule? 75
The Marketing Research Function 76
Marketing Information Systems 77
Decision Support Systems 79
Databases 80
A Global Perspective -
Are Databases an Invasion of Privacy? 81
Marketing Research Projects 82
An Ethical Dilemma? 88
You Make The Decision -
How Far Should Research Be Allowed To Go? 89
Competitive Intelligence 92
Status of Marketing Research 93
More About CBS 94

Cases For Part One

Case 1 - Ben & Jerry's Homemade Ice Cream Inc. 96
Case 2 - Coke versus Pepsi 98



Part Two
Target Markets 101



Chapter 5 Consumer Markets and Buying Behavior 102

Do Population Changes Suggest Avon Faces a Make-Over? 103
The Consumer Market 104
A Global Perspective -
Will Teens Be the Entree' into Global Marketing? 106
Consumer Decision Making 110
An Ethical Dilemma? 115
A Commitment to Customer Satisfaction - Deciding the Colors of the Products We buy 123
You Make The Decision -
Will Self-Scanning Benefit Consumers and Retailers? 128
More About Avon 129



Chapter 6
Business Markets and Buying Behavior 132

After a Lengthy Grounding, Can Cessna Single-Engine Planes Fly to New Heights? 133
Nature and Scope of the Business Market 134
components of the Business Market 135
A Global Perspective -
What Are Major Challenges of Doing Business Abroad? 139
Characteristics of Business Market Demand 139
Determinants of Business Market Demand 143
Business Buying Behavior 146
An Ethical Dilemma? 147
A Commitment to Customer Satisfaction 153
More About Cessna 154



Chapter 7
Market Segmentation and Target-Market Strategies 156

Does Black & Decker's View of the Market Hit the Nail on the Head? 157
An Overview of Market Segments and Target Markets 158
Market Segmentation 158
Ultimate Consumers and Business Markets-The First Cut 161
Segmenting Consumer Markets 161
You Make The Decision -
Where Should You Draw the Line on Age? 165
A Global Perspective -
Where Have the Cadillac Buyers Gone? 166
An Ethical Dilemma? 169
Segmenting Business Markets 170
Target-Market Strategies 172
Forecasting Market Demand 176
More About Black & Decker 182


Cases for Part Two

Case 1 American Express 184
Case 2 The Gap 186



Part Three
Product 189



Chapter 8
Product Planning and Development 190

Should General Motors Electrify its Product Line? 191
The Meaning of Product 192
Classifications of Products 194
Importance of Product Innovation 201
Development of New Products 202
A Commitment to Customer Satisfaction - How Do Green Products Win Both Customers and Awards? 203
A Global Perspective -
How Can New-Product Ideas Be Found on Other Continents? 206
An Ethical Dilemma? 208
New-Product Adoption and Diffusion 209
Organizing for Product Innovation 213
More About General Motors 215



Chapter 9
Product-Mix Strategies 218

Can General Motors Clarify Its Product Mix? 219
Product Mix and Product Line 220
Product-Mix Strategies 221
You Make The Decision -
How Many Products Are Too Many? 223
The Product LIfe Cycle 226
Planned Obsolescence and Fashion 234
An Ethical Dilemma? 236
A Global Perspective -
Does a Weak Dollar Convert to Strong Fashion Sales? 237
More about General Motors 238



Chapter 10
Brands, Packaging, and Other Product Features 240

Does the LEVI'S Brand Fit More Than the American Male? 241
Brands 242
A Global Perspective -
Who's Got the Bud? 243
Branding Strategies 247
You Make The Decision -
Who Appears Most on T-Shirts-The Rugrats or Buzz Lightyear? 254
Packaging 254
An Ethical Dilemma? 257
Labeling 257
Other Want-Satisfying Features 259
More About LEVI'S 263


Cases for Part Three

Case 1 Estee Corporation 266
Case 2 Gatorade versus the Upstarts 267



Part Four
Price 271



Chapter 11
Price Determination 272

Have Pricing Problems Taken a Bite out of Apple? 273
Meaning of Price 274
Importance of Price 275
Pricing Objectives 277
An Ethical Dilemma? 279
Factors Influencing Price Determination 281
A Global Perspective -
Is Pricing the Same in Argentina and Zambia as in the United States? 282
Cost-Plus Pricing 286
Break-Even Analysis 289
Prices Based on Marginal Analysis 291
Prices Set in Relation to Market Alone 293
You Make The Decision -
Can You Deal with a Kinked Demand Curve? 294
More About Apple 297



Appendix A
Marketing Math 299

Price Elasticity of Demand 299
The Operating Statement 300
Markups 304
Analytical Ratios 307



Chapter 12
Pricing Strategies 312

Could Boeing's Prices Be in a Nosedive? 313
Price versus Nonprice Competition 314
A Global Perspective -
Has Price Competition Finally Come to Japan? 315
Market-Entry Strategies 317
Discounts and Allowances 319
Geographic Pricing Strategies 323
Special Pricing Strategies and Situations 325
You Make The Decision -
Should a Firm Eliminate All of Its Pricing Flexibility? 325
An Ethical Dilemma? 330
More About Boeing 332



Cases for Part Four

Case 1 Southwest Airlines 334
Case 2 Home Depot 336