Perreault−McCarthy: Basic
Marketing: A
Global−Managerial
Approach, 14/e
Back Matter Glossary © The McGraw−Hill
Companies, 2002Glossary G-5Gross salesThe total amount charged to all customers during
some time period.
Heterogeneous shopping productsShopping products the
customer sees as different and wants to inspect for quality and
suitability.
Homogeneous shopping productsShopping products the
customer sees as basically the same and wants at the lowest price.
HypermarketsVery large stores that try to carry not only food
and drug items but all goods and services that the consumer pur-
chases routinely(also called supercenters).
HypothesesEducated guesses about the relationships between
things or about what will happen in the future.
Iceberg principleMuch good information is hidden in sum-
mary data.
Ideal market exposureWhen a product is available widely
enough to satisfy target customers’ needs but not exceed them.
ImplementationPutting marketing plans into operation.
Import agentsManufacturers’ agents who specialize in import
trade.
Import brokersBrokers who specialize in bringing together
buyers and sellers from different countries.
Impulse productsProducts that are bought quickly as
unplannedpurchases because of a strongly felt need.
IndicesStatistical combinations of several time series used to
find some time series that will lead the series to be forecast.
Indirect type advertisingCompetitive advertising that points
out product advantages—to affect future buying decisions.
Individual brandsSeparate brand names used for each product.
Individual productA particular product within a product line.
Inelastic demandAlthough the quantity demanded increases
if the price is decreased, the quantity demanded will not stretch
enough to avoid a decrease in total revenue.
Inelastic supplyThe quantity supplied does not stretch much
(if at all) if the price is raised.
InnovationThe development and spread of new ideas and
products.
InnovatorsThe first group to adopt new products.
InstallationsImportant capital items such as buildings, land
rights, and major equipment.
Institutional advertisingAdvertising that tries to promote an
organization’s image, reputation, or ideas rather than a specific
product.
Integrated marketing communicationsThe intentional
coordination of every communication from a firm to a target cus-
tomer to convey a consistent and complete message.
Intensive distributionSelling a product through all responsi-
ble and suitable wholesalers or retailers who will stock and/or sell
the product.
IntermediaryA middleman.
InternetA system for linking computers around the world.
IntranetA system for linking computers within a company.
Introductory price dealingTemporary price cuts to speed new
products into a market.
InventoryThe amount of goods being stored.ISO 9000A way for a supplier to document its quality proce-
dures according to internationally recognized standards.
Job descriptionA written statement of what a salesperson is
expected to do.
Joint venturingIn international marketing, a domestic firm
entering into a partnership with a foreign firm.
Jury of executive opinionForecasting by combining the
opinions of experienced executives—perhaps from marketing,
production, finance, purchasing, and top management.
Just-in-time deliveryReliably getting products there just
before the customer needs them.
LaggardsPrefer to do things the way they have been done in
the past and are very suspicious of new ideas—sometimes called
nonadopters—see adoption curve.
Lanham ActA 1946 law that spells out what kinds of marks
(including brand names) can be protected and the exact method
of protecting them.
Late majorityA group of adopters who are cautious about new
ideas—see adoption curve.
Law of diminishing demandIf the price of a product is
raised, a smaller quantity will be demanded—and if the price of
a product is lowered, a greater quantity will be demanded.
Leader pricingSetting some very low prices—real bargains—
to get customers into retail stores.
Leading seriesA time series that changes in the same direc-
tion but ahead ofthe series to be forecast.
LearningA change in a person’s thought processes caused by
prior experience.
Licensed brandA well-known brand that sellers pay a fee to use.
LicensingSelling the right to use some process, trademark,
patent, or other right for a fee or royalty.
Lifestyle analysisThe analysis of a person’s day-to-day pattern
of living as expressed in that person’s Activities, Interests, and
Opinions—sometimes referred to as AIOs or psychographics.
Limited-function wholesalersMerchant wholesalers who
provide only somewholesaling functions.
Limited-line storesStores that specialize in certain lines of
related products rather than a wide assortment—sometimes
called single-line stores.
Limited problem solvingWhen a consumer is willing to put
someeffort into deciding the best way to satisfy a need.
LogisticsThe transporting, storing, and handling of goods to
match target customers’ needs with a firm’s marketing mix—
both within individual firms and along a channel of distribution
(i.e., another name for physical distribution).
Long-run target return pricingPricing to cover all costs and
over the long run achieve an average target return.
Low-involvement purchasesPurchases that have little
importance or relevance for the customer.
Macro-marketingA social process that directs an economy’s
flow of goods and services from producers to consumers in a way
that effectively matches supply and demand and accomplishes
the objectives of society.
Magnuson-Moss ActA 1975 law requiring that producers pro-
vide a clearly written warranty if they choose to offer any warranty.