Marketing

Grewal and Levy's Marketing is the first text published since the AMA introduced its new value-based definition of the word "Marketing", making it the most modern and forward thinking of all principles of marketing offerings. It seeks to apply the marketing concept. Marketing and its supplementary package was built from scratch by focusing on what the market wants. The motto, "Marketing Creates Value" permeates this text and is stressed through the main themes of entrepreneurship, service global marketing, and ethics. . Cover Page 1 Title Page 4 Copyright Page 5 Dedication 6 About the Authors 8 Acknowledgements 17 Brief Contents 20 Contents 21 SECTION ONE Assessing the Marketplace 37 1 Overview of Marketing 38 What Is Marketing? 39 What Is Value-Based Marketing? 51 Why Is Marketing Important? 55 Summing Up 62 Key Terms 62 Marketing Applications 63 Net Savvy 63 Chapter Case Study: eBay: Creating Value in the Marketplace 63 2 Developing Marketing Strategies 66 The Strategic Marketing Planning Process 67 Growth Strategies 78 Macro Strategies 81 Summing Up 86 Key Terms 87 Marketing Applications 88 Toolkit 88 Net Savvy 88 Chapter Case Study: Segway: Strategic Planning from Concept to Market 88 Chapter 2 Appendix: Boston Consulting Group’s Portfolio Analysis 91 3 Marketing Ethics 94 The Scope of Marketing Ethics 96 Ethical Issues Associated with Marketing Decisions 96 Integrating Ethics into Marketing Strategy 105 Understanding Ethics Using Scenarios 112 Summing Up 115 Key Terms 116 Marketing Applications 116 Net Savvy 117 Chapter Case Study: Whose Side Are You On? 117 4 Analyzing the Marketing Environment 120 A Marketing Environment Analysis Framework 121 The Immediate Environment 122 Macroenvironmental Factors 125 Scenario Planning 142 Summing Up 146 Key Terms 147 Marketing Applications 147 Net Savvy 148 Chapter Case Study: Stonyfield Farm: Changing the Environment of Business 148 SECTION TWO Understanding the Marketplace 151 5 Consumer Behavior 152 The Consumer Decision Process 154 Factors Influencing the Consumer Decision Process 167 Summing Up 176 Key Terms 177 Marketing Applications 178 Toolkit 178 Net Savvy 179 Chapter Case Study: The Smart Car Prepares to Enter the U.S. Market 179 6 Business-to-Business Marketing 184 B2B Markets 185 The Business-to-Business Buying Process 189 Factors Affecting the Buying Process 194 Role of the Internet in Business-to-Business Marketing 201 Summing Up 203 Key Terms 204 Marketing Applications 204 Toolkit 205 Net Savvy 205 Chapter Case Study: Weyerhaeuser: Serving the Home Building Industry 205 7 Global Marketing 210 Growth of the Global Economy: Globalization of Marketing and Production 212 Assessing Global Markets 214 Choosing a Global Entry Strategy 227 Choosing a Global Marketing Strategy 231 Ethical Issues in Global Marketing 236 Summing Up 238 Key Terms 239 Marketing Applications 239 Net Savvy 240 Chapter Case Study: IKEA Takes on the World, One Country at a Time 240 SECTION THREE Targeting the Marketplace Targeting the Marketplace 243 8 Segmentation, Targeting, and Positioning 244 Positioning Stages 267 Repositioning 269 Summing Up 270 Key Terms 271 Marketing Applications 271 Toolkit 272 Net Savvy 272 Chapter Case Study: Sodexho USA: Mass Customization in the College Food Service Market 272 9 Marketing Research and Information Systems 276 Using Marketing Information Systems to Create Better Value 278 The Ethics of Using Customer Information 279 The Marketing Research Process 280 Some Final Thoughts on the Marketing Research Process 297 Summing Up 297 Key Terms 298 Marketing Applications 298 Net Savvy 300 Chapter Case Study: Nike Going after Female Consumers 300 SECTION FOUR Value Creation 303 10 Product, Branding, and Packaging Decisions 304 Product Assortment and Product Line Decisions 306 Branding 309 Branding Strategies 316 Packaging 325 Product Labeling 327 Summing Up 329 Key Terms 329 Marketing Applications 330 Net Savvy 330 Chapter Case Study: Band-Aid® Brand Products: Building on the Value of the Brand 331 11 Developing New Products 334 Innovation and Value 336 Diffusion of Innovation 338 How Firms Develop New Products 341 The Product Life Cycle 350 Summing Up 356 Key Terms 357 Marketing Applications 357 Net Savvy 358 Chapter Case Study: Marketing Apple’s iPod: Music to Your Ears 358 12 Services: The Intangible Product 362 Services Marketing Differs from Product Marketing 364 Providing Great Service: The Gaps Model 370 Service Recovery 382 Summing Up 385 Key Terms 385 Marketing Applications 386 Toolkit 386 Net Savvy 387 Chapter Case Study: Wegmans Services Its Employees—and Its Customers Too 387 SECTION FIVE Value Capture 389 13 Pricing Concepts for Establishing Value 390 The Five Cs of Pricing 393 Macro Influences on Pricing 410 Summing Up 412 Key Terms 412 Marketing Applications 413 Toolkit 414 Net Savvy 414 Chapter Case Study: Finding the Best Price: Bizrate versus eBay 414 14 Strategic Pricing Methods 418 Pricing Strategies 419 Psychological Factors Affecting Value-Based Pricing Strategies 423 New Product Pricing 427 Pricing Tactics 429 Legal Aspects and Ethics of Pricing 436 Summing Up 439 Key Terms 440 Marketing Applications 441 Net Savvy 441 Chapter Case Study: Fujitsu General America Inc. 442 SECTION SIX Value Delivery: Designing the Channel and Supply Chain 443 15 Supply Chain Management 444 Supply Chain, Marketing Channels, and Logistics Are Related 446 Supply Chains Add Value 448 Making Information Flow 450 Making Merchandise Flow 453 Designing Supply Chains 458 Managing the Supply Chain 461 Summing Up 467 Key Terms 468 Marketing Applications 468 Net Savvy 469 Chapter Case Study: Wal-Mart: Pioneer in Supply Chain Management 469 16 Retailing 474 The Changing Retail Landscape 476 How Do Retailers Create Value? 477 Using the Four Ps to Create Value in Retailing 479 Internet and Electronic Retailing 483 Types of Retailers 486 Summing Up 492 Key Terms 492 Marketing Applications 493 Net Savvy 493 Chapter Case Study: Staples, Inc. 494 SECTION SEVEN Value Communication 497 17 Integrated Marketing Communications 498 Communicating with Consumers 500 Elements of an Integrated Marketing Communication Strategy 505 Legal and Ethical Issues in IMC 514 Summing Up 517 Key Terms 518 Marketing Applications 518 Net Savvy 519 Chapter Case Study: Scion Communicates Value with Its Innovative IMC Campaign 519 18 Advertising and Sales Promotions 522 1. Identify Target Audience 524 2. Set Advertising Objectives 525 3. Determine the Advertising Budget 530 4. Convey the Message 530 5. Evaluate and Select Media 532 6. Create Advertisements 535 7. Assess Impact 536 Regulatory and Ethical Issues in Advertising 537 Sales Promotion 538 Summing Up 543 Key Terms 544 Marketing Applications 544 Toolkit 545 Net Savvy 545 Chapter Case Study: Advertising Dole’s Fruit Bowls 546 19 Personal Selling and Sales Management 548 The Scope and Nature of Personal Selling 549 Personal Selling and Marketing Strategy 551 The Value Added by Personal Selling 552 The Personal Selling Process 553 The Impact of Technology and the Internet on Personal Selling 559 Ethical and Legal Issues in Personal Selling 560 Managing the Sales Force 562 Summing Up 568 Key Terms 568 Marketing Applications 569 Net Savvy 569 Chapter Case Study: Tel-Soft Solutions: Making the Sale 570 Glossary 572 Endnotes 586 Credits 612 Index 616

It is clear that marketing has changed significantly in the past few decades. So much so, that in 2004 and again in 2007, the American Marketing Association redefined the word “marketing” itself. Grewal/Levy is the first Principles of Marketing text to be written from the ground up using the new definition and its value focus. In keeping with the value theme of the text, the authors met face to face with more than 150 instructors and walked through each chapter of the text and each supplement of the package in order to provide the most current, useful text and package on the market. Other themes that permeate throughout the text are: services, ethics, global marketing and the power of the internet. Because services marketing and ethics in marketing play such vital roles in marketing practice today, the authors have dedicated an entire chapter to each of these concepts. The authors provide adding value, superior service, ethical and societal dilemmas and the power of the internet examples throughout, and everywhere these themes fit. The authors have also been careful to integrate the 4Ps of marketing with the overriding value theme.

Applying the marketing concepts, this work and its supplementary package was built from scratch by focusing on what the market wants. The motto, "Marketing Creates Value" permeates this text and is stressed through the main themes of entrepreneurship, service global marketing, and ethics.