Perreault−McCarthy: Basic
Marketing: A
Global−Managerial
Approach, 14/eBack Matter Glossary © The McGraw−Hill
Companies, 2002G-8 Glossary
Personal needsAn individual’s need for personal satisfaction
unrelated to what others think or do.
Personal sellingDirect spoken communication between sell-
ers and potential customers, usually in person but sometimes
over the telephone.
Phony list pricesMisleading prices that customers are shown
to suggest that the price they are to pay has been discounted
from list.
Physical distribution (PD)The transporting, storing, and
handling of goods to match target customers’ needs with a firm’s
marketing mix—both within individual firms and along a chan-
nel of distribution (i.e., another name for logistics).
Physical distribution (PD) conceptAll transporting, storing,
and product-handling activities of a business and a whole chan-
nel system should be coordinated as one system that seeks to
minimize the cost of distribution for a given customer service
level.
Physiological needsBiological needs such as the need for
food, drink, rest, and sex.
Piggyback serviceLoading truck trailers or flat-bed trailers
carrying containers on railcars to provide both speed and flexibility.
Pioneering advertisingAdvertising that tries to develop pri-
mary demand for a product category rather than demand for a
specific brand.
PlaceMaking goods and services available in the right quanti-
ties and locations—when customers want them.
Place utilityHaving the product available wherethe customer
wants it.
Planned economic systemGovernment planners decide
what and how much is to be produced and distributed by whom,
when, to whom, and why.
PopulationIn marketing research, the total group you are
interested in.
Portfolio managementTreats alternative products, divisions,
or strategic business units (SBUs) as though they are stock
investments to be bought and sold using financial criteria.
PositioningAn approach that refers to how customers think
about proposed and/or present brands in a market.
Possession utilityObtaining a good or service and having the
right to use or consume it.
Prepared sales presentationA memorized presentation that
is not adapted to each individual customer.
Prestige pricingSetting a rather high price to suggest high
quality or high status.
PriceThe amount of money that is charged for “something” of
value.
Price discriminationInjuring competition by selling the same
products to different buyers at different prices.
Price fixingCompetitors illegally getting together to raise,
lower, or stabilize prices.
Price leaderA seller who sets a price that all others in the
industry follow.
Price liningSetting a few price levels for a product line and
then marking all items at these prices.
Primary dataInformation specifically collected to solve a cur-
rent problem.
Primary demandDemand for the general product idea, not
just the company’s own brand.
Private brandsBrands created by middlemen—sometimes
referred to as dealer brands.
Private warehousesStoring facilities owned or leased by
companies for their own use.
ProductThe need-satisfying offering of a firm.
Product advertisingAdvertising that tries to sell a specific
product.
Product assortmentThe set of all product lines and individ-
ual products that a firm sells.
Product-bundle pricingSetting one price for a set of products.
Product developmentOffering new or improved products for
present markets.
Product liabilityThe legal obligation of sellers to pay damages
to individuals who are injured by defective or unsafe products.
Product life cycleThe stages a new product idea goes through
from beginning to end.
Product lineA set of individual products that are closely
related.
Product managersManage specific products, often taking
over the jobs formerly handled by an advertising manager—
sometimes called brand managers.
Product-marketA market with verysimilar needs—and sell-
ers offering various close substituteways of satisfying those needs.
ProductionActually makinggoods or performingservices.
Production capacityThe ability to produce a certain quantity
and quality of specific goods or services.
Production eraA time when a company focuses on produc-
tion of a few specific products—perhaps because few of these
products are available in the market.
Production orientationMaking whatever products are easy to
produce and thentrying to sell them.
Professional servicesSpecialized services that support a
firm’s operations.
Profit maximization objectiveAn objective to get as much
profit as possible.
PromotionCommunicating information between seller and
potential buyer or others in the channel to influence attitudes
and behavior.
ProspectingFollowing all the leads in the target market to
identify potential customers.
PsychographicsThe 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 lifestyle analysis.
Psychological pricingSetting prices that have special appeal
to target customers.
Public relationsCommunication with noncustomers—includ-
ing labor, public interest groups, stockholders, and the
government.
Public warehousesIndependent storing facilities.
PublicityAny unpaidform of nonpersonal presentation of ideas,
goods, or services.
PullingUsing promotion to get consumers to ask middlemen
for the product.