Basic Marketing: A Global Managerial Approach

Perreault−McCarthy: Basic
Marketing: A
Global−Managerial
Approach, 14/e

Back Matter Glossary © The McGraw−Hill

Companies, 2002

Glossary G-11

Supply curveThe quantity of products that will be supplied at

various possible prices.

Supporting salespeopleSalespeople who help the order-

oriented salespeople but don’t try to get orders themselves.

S.W.O.T. analysisIdentifies and lists the firm’s strengths and

weaknesses and its opportunities and threats.

Target marketA fairly homogeneous (similar) group of cus-

tomers to whom a company wishes to appeal.

Target marketingA marketing mix is tailored to fit some spe-

cific target customers.

Target return objectiveA specific level of profit as an

objective.

Target return pricingPricing to cover all costs and achieve a

target return.

Ta r i ff sTaxes on imported products.

Task methodAn approach to developing a budget—basing

the budget on the job to be done.

Task transferUsing telecommunications to move service oper-

ations to places where there are pools of skilled workers.

Task utilityProvided when someone performs a task for

someone else—for instance, when a bank handles financial

transactions.

Team sellingDifferent sales reps working together on a specific

account.

Technical specialistsSupporting salespeople who provide

technical assistance to order-oriented salespeople.

TechnologyThe application of science to convert an econ-

omy’s resources to output.

TelemarketingUsing the telephone to call on customers or

prospects.

Telephone and direct-mail retailingAllows consumers to

shop at home—usually placing orders by mail or a toll-free long-

distance telephone call and charging the purchase to a credit

card.

Time seriesHistorical records of the fluctuations in economic

variables.

Time utilityHaving the product available whenthe customer

wants it.

Total costThe sum of total fixed and total variable costs.

Total cost approachEvaluating each possible PD system and

identifying allof the costs of each alternative.

Total fixed costThe sum of those costs that are fixed in

total—no matter how much is produced.

Total quality management (TQM)A management approach

in which everyone in the organization is concerned about qual-

ity, throughout all of the firm’s activities, to better serve

customer needs.

Total variable costThe sum of those changing expenses that

are closely related to output—such as expenses for parts, wages,

packaging materials, outgoing freight, and sales commissions.

Trade (functional) discountA list price reduction given to

channel members for the job they are going to do.

Trade-in allowanceA price reduction given for used products

when similar new products are bought.

TrademarkThose words, symbols, or marks that are legally reg-

istered for use by a single company.

Traditional channel systemsA channel in which the various

channel members make little or no effort to cooperate with each

other.

TransportingThe marketing function of moving goods.

Transporting functionThe movement of goods from one

place to another.

Trend extensionExtends past experience to predict the future.

Truck wholesalersWholesalers who specialize in delivering

products that they stock in their own trucks.

2/10, net 30Allows a 2 percent discount off the face value of

the invoice if the invoice is paid within 10 days.

Unfair trade practice actsPut a lower limit on prices, espe-

cially at the wholesale and retail levels.

Uniform delivered pricingMaking an average freight charge

to all buyers.

Unit-pricingPlacing the price per ounce (or some other stan-

dard measure) on or near the product.

Universal functions of marketingBuying, selling, transport-

ing, storing, standardizing and grading, financing, risk taking,

and market information.

Universal product code (UPC)Special identifying marks for

each product readable by electronic scanners.

Unsought productsProducts that potential customers don’t

yet want or know they can buy.

UtilityThe power to satisfy human needs.

ValidityThe extent to which data measures what it is intended

to measure.

Value in use pricingSetting prices that will capture some of

what customers will save by substituting the firm’s product for

the one currently being used.

Value pricingSetting a fair price level for a marketing mix that

really gives the target market superior customer value.

Vendor analysisFormal rating of suppliers on all relevant

areas of performance.

Vertical integrationAcquiring firms at different levels of chan-

nel activity.

Vertical marketing systemsChannel systems in which the

whole channel focuses on the same target market at the end of

the channel.

Virtual corporationThe firm is primarily a coordinator—with

a good marketing concept—instead of a producer.

Voluntary chainsWholesaler-sponsored groups that work with

independent retailers.

WantsNeeds that are learned during a person’s life.

WarrantyWhat the seller promises about its product.

Wheel of retailing theoryNew types of retailers enter the

market as low-status, low-margin, low-price operators and then,

if successful, evolve into more conventional retailers offering

more services with higher operating costs and higher prices.

Wheeler Lea AmendmentLaw that bans unfair or deceptive

acts in commerce.